Search found 357 matches

by hightower
Wed Dec 13, 2017 8:59 pm
Forum: Personal Finance (Not Investing)
Topic: How much did you contribute to your 401k in 2017?
Replies: 92
Views: 4692

Re: How much did you contribute to your 401k in 2017?

1. His Employee contribution: full 18k
His Employer match: ~12k
Her Employee contribution: 18k
Her Employer match ~5k
2. Me 35, wife 34
by hightower
Mon Dec 11, 2017 7:36 pm
Forum: Personal Finance (Not Investing)
Topic: How much house can I afford? (First Home)
Replies: 27
Views: 2249

Re: How much house can I afford? (First Home)

Hi everyone, Long time lurker, first time poster. I am I my mid twenties and am looking to purchase my first home with my wife. Due to my HCOL area I do not know what the appropriate budget should be. A median 1 bedroom apartment within 10 miles of my current home is renting for $2000/month. My cur...
by hightower
Mon Dec 11, 2017 7:25 pm
Forum: Investing - Help with Personal Investments
Topic: Bitcoin IRA
Replies: 28
Views: 2445

Re: Bitcoin IRA

And if they do all cash out, the price will come crashing down. It's a classic bubble This. It's important to recognize that not EVERYONE can possibly get rich off bitcoin. Many people will indeed lose money. Anyone investing a huge chunk of their net worth in bitcoin is taking a big risk. Now it c...
by hightower
Mon Dec 11, 2017 7:05 pm
Forum: Investing - Help with Personal Investments
Topic: Bitcoin IRA
Replies: 28
Views: 2445

Re: Bitcoin IRA

Makes me wonder.. If Bitcoin goes to $20K by end of 2017, 40K by 2018, and $100K by 2020, will people on this board keep saying "too late to the game" "end of the Bitcoin bubble" then? :D I will feel no remorse if I "miss out" on bitcoin prices continuing to skyrocket. Unless all these people holdi...
by hightower
Mon Dec 11, 2017 6:48 pm
Forum: Investing - Help with Personal Investments
Topic: Bitcoin IRA
Replies: 28
Views: 2445

Re: Bitcoin IRA

Makes me wonder.. If Bitcoin goes to $20K by end of 2017, 40K by 2018, and $100K by 2020, will people on this board keep saying "too late to the game" "end of the Bitcoin bubble" then? :D I will feel no remorse if I "miss out" on bitcoin prices continuing to skyrocket. Unless all these people holdi...
by hightower
Mon Dec 11, 2017 7:11 am
Forum: Investing - Theory, News & General
Topic: VTI-Is this truly the total us stock market?
Replies: 6
Views: 1094

Re: VTI-Is this truly the total us stock market?

Hi, I currently use VTI (Total US Stock) as my domestic equity allocation. I know I'm probably fine, but does the VTI small cap allocation match the recommendations of the other well-regarded "lazy" portfolios? A lot of people use VTI or equivalent and then tilt to small caps or REIT or others with...
by hightower
Sun Dec 10, 2017 6:01 pm
Forum: Personal Finance (Not Investing)
Topic: 2018 financial goals - what are yours?
Replies: 79
Views: 6353

Re: 2018 financial goals - what are yours?

Make a lot of money. Either pay off my student loans (100k at 2.6%) or put the money in my taxable brokerage account. If the stock market crashes, I will definitely start pouring money into buying shares and hold off on paying down debt. We will also max both 401ks, Both backdoor Roths, and the HSA....
by hightower
Sun Dec 10, 2017 5:57 pm
Forum: Investing - Help with Personal Investments
Topic: Pay down loans or invest
Replies: 14
Views: 1103

Re: Pay down loans or invest

Yeah that interest rate is a bit too high for my liking. I have 100k of student loan debt at 2.6% and I am kind of torn about paying it off over the next 6 months or investing. I'm still leaning towards paying it off even at the lower interest rate. It will just be great to say I'm debt free except ...
by hightower
Sun Dec 10, 2017 5:50 pm
Forum: Investing - Theory, News & General
Topic: Back door ROTH eligibility
Replies: 11
Views: 809

Re: Back door ROTH eligibility

If you're asking if you can place 5500 in a regular Roth AND put another 5500 in a Roth using the backdoor procedure in the same year, then the answer is no. You're only allowed to put 5500/yr in a Roth IRA no matter how you get it in there. There is no eligibility for it. Anyone can put money into ...
by hightower
Sun Dec 10, 2017 4:11 pm
Forum: Investing - Theory, News & General
Topic: Buying index funds is just as speculative as buying Bitcoin
Replies: 64
Views: 3860

Re: Buying index funds is just as speculative as buying Bitcoin

The vast majority of people buying index funds don’t care much about the underlying companies they are purchasing shares of. Their primary goal is to perform as well as the underlying market and hopefully beat inflation. They are speculating that by throwing their money into a little bit of everyth...
by hightower
Thu Dec 07, 2017 1:18 pm
Forum: Personal Finance (Not Investing)
Topic: Mortgage as percentage of take-home pay
Replies: 79
Views: 5731

Re: Mortgage as percentage of take-home pay

Isn't paying down a mortgage considered saving once you exclude the interest paid since that doesn't increase your ownership percentage of the house? nickjoy, How does that help you financially until it is totally paid off? It does not. Let's assume that you have a 400K house, 300K mortgage, and 10...
by hightower
Thu Dec 07, 2017 1:03 pm
Forum: Personal Finance (Not Investing)
Topic: Mortgage as percentage of take-home pay
Replies: 79
Views: 5731

Re: Mortgage as percentage of take-home pay

No more than 2x your gross annual salary for the size of your mortgage. I like this rule. It prevents you from becoming house poor. If this was a universal standard, realtors would need to survive on cat food. Let's look at the Top 25 Metro Areas per US Census and compare median household income, m...
by hightower
Thu Dec 07, 2017 12:53 pm
Forum: Personal Consumer Issues
Topic: Okay come clean....How man people share passwords for streaming services?
Replies: 41
Views: 1569

Re: Okay come clean....How man people share passwords for streaming services?

I'm pretty certain that my 30 year old sister in law has never paid for a subscription service her entire life because she's the world's biggest moocher. I'm not sure why this bugs me, but it does, so I will never share passwords for this sort of thing. It's like what 10 bucks a month for Netflix? I...
by hightower
Wed Dec 06, 2017 8:16 pm
Forum: Personal Finance (Not Investing)
Topic: Mortgage as percentage of take-home pay
Replies: 79
Views: 5731

Re: Mortgage as percentage of take-home pay

No more than 2x your gross annual salary for the size of your mortgage. I like this rule. It prevents you from becoming house poor.
by hightower
Wed Nov 29, 2017 10:22 pm
Forum: Investing - Help with Personal Investments
Topic: Invest or pay off mortgage?
Replies: 77
Views: 6077

Re: Invest or pay off mortgage?

Long time lurker, first time poster. Hello! 45 years old and max out 401k annually. Over $800k in retirement accounts. $150k mortgage at 3.37% on $500k home; no other debt. Have an extra $3k monthly to invest or pay off mortgage early. Really like the idea of being debt free, but also like the idea...
by hightower
Wed Nov 29, 2017 4:01 pm
Forum: Investing - Help with Personal Investments
Topic: Another House Affordability Question
Replies: 18
Views: 1462

Re: Another House Affordability Question

I personally follow the 2X salary rule to decide on house affordability. You make ~180k/yr combined. That means you can afford 2X that in mortgage, so a 360k mortgage. Unless you can put down 440k, you can not afford an 800k house IMHO. Don't become house poor at such a young age. If you absolutely ...
by hightower
Wed Nov 29, 2017 7:32 am
Forum: Personal Finance (Not Investing)
Topic: A good friend has nearly $1M in BitCoin what do I tell him?
Replies: 147
Views: 15194

Re: A good friend has nearly $1M in BitCoin what do I tell him?

Good for him. He has an opportunity now to make an easy $1,000,000 dollars for having done essentially nothing. Hopefully he "sees the light" now and sells all of it and cashes in. He will have "won" if he does this. Could it go higher? Sure. Could it crash and burn and be worth nothing? Sure as wel...
by hightower
Tue Nov 28, 2017 8:30 pm
Forum: Investing - Theory, News & General
Topic: Jack Bogle Says ‘Avoid Bitcoin Like the Plague’
Replies: 187
Views: 17239

Re: Jack Bogle Says ‘Avoid Bitcoin Like the Plague’

Like Duh you should avoid "investing" in bitcoin. Way too risky. However, that's not to say I don't believe in block chain technology. It sounds like a very good solution to a lot of important problems. But, I'm not putting my money on it.
by hightower
Mon Nov 27, 2017 4:05 pm
Forum: Personal Consumer Issues
Topic: Growing Number of Electric Vehicles
Replies: 112
Views: 8330

Re: Growing Number of Electric Vehicles

I charge mine at night on a level 2 charger (same as a dryer outlet). My dream is to eventually be off grid with solar and a massive battery array for storage, but can't do it at my current residence (roof too small, no land, house too big). I plan on downsizing to a smaller farmhouse soon. That wil...
by hightower
Sun Nov 26, 2017 12:46 pm
Forum: Personal Finance (Not Investing)
Topic: The fallacy of spending money on "experiences" vs hard assets
Replies: 336
Views: 17407

Re: The fallacy of spending money on "experiences" vs hard assets

The trendy thing these days is to talk about spending money on "experiences", basically a new-age description of a vacation, and how it's better than spending money on "things", basically a new-age description of hard assets. The news is full of pop-science articles touting the benefits of this, mo...
by hightower
Sun Nov 26, 2017 12:33 pm
Forum: Personal Finance (Not Investing)
Topic: Too much house, right?
Replies: 88
Views: 8094

Re: Too much house, right?

I think the answer to this is going to be a more resounding, "No!", but it seems to be a once-in-a-lifetime opportunity, so I am wanting to get some opinions. We are rapidly outgrowing our current home due to our rambunctious 3yo and 18mo, and am looking to move within 1-2 years. We discovered a si...
by hightower
Sun Nov 26, 2017 12:22 pm
Forum: Personal Finance (Not Investing)
Topic: Pay this off now or not?
Replies: 33
Views: 2534

Re: Pay this off now or not?

Thanks for all the replies and discussion! This is a very informative thread and it's very helpful to hear so many people's take on this decision. I'm leaning towards paying it off still, but I'll keep you posted as the year progresses.
by hightower
Fri Nov 24, 2017 1:41 pm
Forum: Investing - Help with Personal Investments
Topic: Anyone tired of the stock market going up?
Replies: 213
Views: 16259

Re: Anyone tired of the stock market going up?

I feel pretty similar. In fact, I just moved a small percentage of my portfolio to cash for this reason (3-4%). You have to keep your AA in a place where you feel comfortable. For me, I felt too exposed to equities and wanted to know I had some cash on hand for the next correction. I still left the ...
by hightower
Fri Nov 24, 2017 1:14 pm
Forum: Personal Finance (Not Investing)
Topic: Pay this off now or not?
Replies: 33
Views: 2534

Re: Pay this off now or not?

Have you asked yourself the question in reverse? Would you take out a $100k loan at 2.6% interest rate to invest the money? I certainly wouldn't, but then I'm not a fan of debt. I would not either. I feel like I should get rid of it too, but I just want to make sure I'm thinking about this correctl...
by hightower
Fri Nov 24, 2017 12:19 pm
Forum: Personal Finance (Not Investing)
Topic: Pay this off now or not?
Replies: 33
Views: 2534

Pay this off now or not?

Hi Folks, I want to get everyone's input on this. I'm 35 y/o, physician, wife and I bring in around 350k/yr right now. I have a mortgage and student loan debt. No other debt. Mortgage is very affordable for us (291k at 4% for 30 years on a ~500k house). LCOL area I have 101k of student loan debt at ...
by hightower
Fri Nov 24, 2017 8:25 am
Forum: Personal Consumer Issues
Topic: Geneology: finding the house a dead relative lived in.
Replies: 14
Views: 1202

Re: Geneology: finding the house a dead relative lived in.

Most major cities now have online searches of old city directories that were published yearly with the names, addresses, and often occupations of all of it's residents and businesses. They have been scanned in and can be searched online. So if you know the approximate dates and a name (often last na...
by hightower
Wed Nov 22, 2017 12:32 pm
Forum: Personal Finance (Not Investing)
Topic: Refinance to 15-Year Fixed or Not?
Replies: 10
Views: 620

Re: Refinance to 15-Year Fixed or Not?

Do you plan on staying in your current home for awhile (15 years or more?). If so, then I would go ahead and refinance to a 15 year and get the lower, fixed rate. If you think there's a chance you'll move in the next 5 years or so, then just refinance to a 30 year. Either way, get out of the adjusta...
by hightower
Tue Nov 21, 2017 2:07 pm
Forum: Personal Consumer Issues
Topic: Trip to Hawaii - what do I need to know
Replies: 46
Views: 4130

Re: Trip to Hawaii - what do I need to know

For a first time visitor I think the Big Island is the place to start. We spent 2 weeks there on our first trip and absolutely loved every second of it. There's so many different things to see/do there. Lot's of different landscapes. Hawaii Volcanoes National Park is a must see. Green sand beaches, ...
by hightower
Mon Nov 20, 2017 5:15 pm
Forum: Personal Consumer Issues
Topic: Drive it till it dies. It died.
Replies: 54
Views: 6209

Re: Drive it till it dies. It died.

The transmission (CVT) went out in my 2010 Nissan Murano with 140K miles. It will cost $6,000 to replace the CVT at the dealership. I don't want to put anymore money into the car. I already spent $4,500 earlier this year. How do I sell a car that won't run if I don't trade it in at the dealership? ...
by hightower
Sun Nov 19, 2017 6:28 pm
Forum: Personal Finance (Not Investing)
Topic: Dave Ramsey says don't use credit cards, even if you pay them off
Replies: 221
Views: 14041

Re: Dave Ramsey says don't use credit cards, even if you pay them off

Thanks for the great responses so far. I enjoy hearing everyone's take on this. One thing I tell myself when trying to justify credit card use vs paying cash that goes above and beyond the rewards points argument is that since everyone is paying with credit cards these days, retailers are forced to ...
by hightower
Sun Nov 19, 2017 5:35 pm
Forum: Personal Finance (Not Investing)
Topic: Dave Ramsey says don't use credit cards, even if you pay them off
Replies: 221
Views: 14041

Dave Ramsey says don't use credit cards, even if you pay them off

This is from a segment 1 year ago https://www.youtube.com/watch?v=np5i5oWfqAo Do you all agree with Dave on this? He says that it's stupid to use credit cards even in situations where you use credit cards for rewards points (credit card hacking) and pay them off each month without paying any interes...
by hightower
Sun Nov 19, 2017 4:52 pm
Forum: Investing - Help with Personal Investments
Topic: Resident needs help with new moonlighting money
Replies: 5
Views: 611

Re: Resident needs help with new moonlighting money

My advice, that money would be far better served paying off your student loan debt. You're still a resident, so you can easily live off of your resident salary. You don't need to save that money for anything specific. That debt is bad and has high interest. The sooner you get rid of that the sooner ...
by hightower
Sun Nov 19, 2017 3:06 pm
Forum: Personal Finance (Not Investing)
Topic: Why I am not happy even with OK Net Asset
Replies: 38
Views: 3749

Re: Why I am not happy even with OK Net Asset

Net Asset (include primary residence ) : 1 to 1.2 million excluding primary residence it is ~ 800 k in mid 30s. Came from very poor family, my dad's paycheck was about $125 in 2003-2004 ( yes you are reading it right). Now it looks like I have made a good progress, but still not happy with my progr...
by hightower
Sun Nov 19, 2017 3:02 pm
Forum: Personal Finance (Not Investing)
Topic: The valet smashed my Tesla into a brick wall!
Replies: 108
Views: 12942

Re: The valet smashed my Tesla into a brick wall!

Ouch! I'm very sorry this happened to you. Sounds like you are wealthy enough to afford it, so this isn't necessarily directed at you, but more of a general comment...it's things like this that prevent me from ever wanting to spend $100k+ on a car. Cars are prone to damage, sometimes big damage and ...
by hightower
Sun Nov 19, 2017 2:56 pm
Forum: Investing - Theory, News & General
Topic: Experience with 401K "Self Directed Brokerage Account"
Replies: 9
Views: 688

Re: Experience with 401K "Self Directed Brokerage Account"

I use my employer's self directed brokerage option. We have our 401k through Empower Retirement (used to be through Metlife and had the same option). My self directed account is with TD Ameritrade. It works great. I'm still sore about TDA getting rid of Vanguard commission free ETFs. I'm probably go...
by hightower
Sat Nov 18, 2017 3:37 pm
Forum: Personal Finance (Not Investing)
Topic: To buy or not to buy...house buying question (budget)
Replies: 17
Views: 1800

Re: To buy or not to buy...house buying question (budget)

I've been reading through this forum recently and am learning quite a bit. I'm looking for a little bit of advice in buying a first home. I have high income, but that's only been the case for the past 2 years. My situation: My wife and I are both 35. She is pregnant with our first child. I live in ...
by hightower
Sat Nov 18, 2017 3:27 pm
Forum: Personal Consumer Issues
Topic: Upgrading a flight - what are your rules?
Replies: 40
Views: 3736

Re: Upgrading a flight - what are your rules?

We've got a upcoming family trip, for four of us. On the way out, we have a single/direct 8 hr leg. On the way back, we have a 7hr redeye flight back. Right now we've got basic economy booked, and have the option to upgrade to econ plus. The fliers are 5'10", 5'6", and 2 fliers are 5'2" in height. ...
by hightower
Sat Nov 18, 2017 3:22 pm
Forum: Personal Finance (Not Investing)
Topic: Physician(s) changing Jobs - Advice
Replies: 25
Views: 4093

Re: Physician(s) changing Jobs - Advice

My initial gut response to the OP was to strongly consider sticking with the private practice position. I think this mostly is coming from the fact that right now in my own life the extra income potential seems wiser (I'm still paying off debt and trying to build wealth). But, after thinking about i...
by hightower
Fri Nov 17, 2017 7:58 pm
Forum: Personal Consumer Issues
Topic: Tesla truck unveil
Replies: 142
Views: 8872

Re: Tesla truck unnveil

This dog and pony show was a joke IMO. Total vaporware or worse. It is not a product yet or even close. The truck does not work and will not tow any real heavy loads any significant distance because the design is not done. It is years away. The truck shown has no cooling or radiator for the power t...
by hightower
Fri Nov 17, 2017 5:38 pm
Forum: Personal Consumer Issues
Topic: BMW to Chevy Bolt?
Replies: 30
Views: 2436

Re: BMW to Chevy Bolt?

Hi fellow bogleheads, I currently drive a 2012 BMW 335i coupe which comes off CPO warranty in 8 months from now. It has been a fairly reliable car, but has had about $5k in repairs under warranty. I am concerned about ongoing maintenance costs going forward. My local Chevy dealer has a 0 down 0 dri...
by hightower
Wed Nov 15, 2017 11:14 am
Forum: Personal Finance (Not Investing)
Topic: Sobering article for my 25 year old self
Replies: 57
Views: 6891

Re: Sobering article for my 25 year old self

I agree that the 50%+ savings target is probably more realistic for high earners. So is retiring early. It doesn't take as much of a sacrifice for me to save that aggressively. I feel like I'm living quite comfortably. As a physician, I aim to save more than 50% of what I make as well, but that's al...
by hightower
Tue Nov 14, 2017 5:57 pm
Forum: Investing - Help with Personal Investments
Topic: Rapidly pay down student loans prior to house?
Replies: 24
Views: 1649

Re: Rapidly pay down student loans prior to house?

U have done a great job saving so far. Absolutely agree that the best thing to do is get rid of your debt now. Even 5.5% refinanced is not a good rate IMO. You'll be so thankful you got rid of that debt as you get older.
by hightower
Tue Nov 14, 2017 10:40 am
Forum: Personal Finance (Not Investing)
Topic: 35 yr-old doc needs some wisdom
Replies: 49
Views: 11006

Re: 35 yr-old doc needs some wisdom

wow, a top tax bracket income solves so many problems. my initial reaction was that your net worth is crazy crazy low given your income. you are throwing away $12000 a year on a lease with a net worth of like ~$250k... but then I look at your income and... it just doesn't matter. it just doesn't. y...
by hightower
Mon Nov 13, 2017 11:47 pm
Forum: Personal Finance (Not Investing)
Topic: 35 yr-old doc needs some wisdom
Replies: 49
Views: 11006

Re: 35 yr-old doc needs some wisdom

OK, I would assume that your after-tax net income is circa $300k. My rules-of-thumb at any income level (worked well for me, retired at 55, now in my 70s, not an MD): 1. Save and invest 30% of after-tax income, i.e. $100k. You can include paying off principal (not interest!) on a home mortgage. 2. ...
by hightower
Mon Nov 13, 2017 11:38 pm
Forum: Personal Finance (Not Investing)
Topic: 35 yr-old doc needs some wisdom
Replies: 49
Views: 11006

Re: 35 yr-old doc needs some wisdom

Great thread! Thanks for updating us on the progress. You're doing very well overall. You certainly have a thing for expensive cars. I get it. I like cars too. But, when I really started to run the math on what I'd be giving up in terms of years of extra work needed to maintain that lifestyle, I sta...
by hightower
Mon Nov 13, 2017 5:09 pm
Forum: Investing - Theory, News & General
Topic: Regret of selling winning stocks early
Replies: 64
Views: 8701

Re: Regret of selling winning stocks early

So, back before I was a boglehead and did all kinds of stupid things with my money, I bought about 5k in Tesla stock when it was trading at $180/share. A few weeks went by and it went up to like 200/share and I thought wow this is great! Then it dropped again a few weeks later to 188, so I spooked a...
by hightower
Mon Nov 13, 2017 11:38 am
Forum: Personal Consumer Issues
Topic: Do you meditate?
Replies: 117
Views: 7844

Re: Do you meditate?

I've tried it on and off over the years but have never seemed to be able to get to grips with it. All it seems to achieve for me is that I get very sleepy! There's got to be a Boglehead way to do it - i.e. a simple method with which you can stay the course... would love to hear any practical tips y...
by hightower
Sun Nov 12, 2017 8:08 pm
Forum: Investing - Help with Personal Investments
Topic: Why pay cash for a car?
Replies: 179
Views: 15223

Re: Why pay cash for a car?

I paid cash for both of our cars. It just feels better. Adding another required montly payment to my plate doesnt feel right to me, regardless of the interest rate. More importantly though is that forcing yourself to pay cash helps prevent you from spending more than you can afford. Too many people ...
by hightower
Sat Nov 11, 2017 2:05 pm
Forum: Personal Finance (Not Investing)
Topic: Why NOT make more money?
Replies: 213
Views: 19503

Re: Why NOT make more money?

Real life example: My Father worked for 30+ years for the "telephone company". He retired in August of the year he turned 60 with more than enough money to do what he wanted to do. There was no family history of serious health problems in the family (his brothers and sisters are either still alive ...
by hightower
Sat Nov 11, 2017 2:01 pm
Forum: Personal Finance (Not Investing)
Topic: Why NOT make more money?
Replies: 213
Views: 19503

Re: Why NOT make more money?

My answer to this question is simple. The only time I think you should avoid trying to make more money is if the pursuit of that money is making you unhappy or preventing you from doing the things you enjoy. If you can continue to make money and enjoy your life at the same time, then there's no reas...