Search found 457 matches

by B4Xt3r
Sat Oct 26, 2019 7:19 am
Forum: Personal Finance (Not Investing)
Topic: Reduce roth 401(k) to just match to prepay mortgage?
Replies: 51
Views: 2598

Re: Reduce roth 401(k) to just match to prepay mortgage?

Let's assume for the moment that I'm sticking with roth 401(k). Okay, we'll assume that. Looks like you are about age 29-30 based on searching some of your early posts. If you did cut back on your contributions to the 401k to the point of only receiving the employer match and redirected that cut mo...
by B4Xt3r
Sat Oct 26, 2019 7:15 am
Forum: Personal Finance (Not Investing)
Topic: Reduce roth 401(k) to just match to prepay mortgage?
Replies: 51
Views: 2598

Re: Reduce roth 401(k) to just match to prepay mortgage?

Without your exact numbers for mortgage rate and debt to equity its hard to say for sure. That being said have you run calculators to see how much you would save over the remaining years of the mortgage as well as how much sooner the payoff period would be? Another factor is how long you plan to sp...
by B4Xt3r
Sat Oct 26, 2019 7:14 am
Forum: Personal Finance (Not Investing)
Topic: Reduce roth 401(k) to just match to prepay mortgage?
Replies: 51
Views: 2598

Re: Reduce roth 401(k) to just match to prepay mortgage?

... ... Trying to be generous, as we all are, but if you want the best explanations it helps to have more detail on your situation. Or is this just a theoretical question? You now seem to be asking about net worth, which is irrelevant. Yes, if the investing return and the mortgage rate are the same...
by B4Xt3r
Thu Oct 24, 2019 5:32 pm
Forum: Personal Finance (Not Investing)
Topic: Reduce roth 401(k) to just match to prepay mortgage?
Replies: 51
Views: 2598

Re: Reduce roth 401(k) to just match to prepay mortgage?

Decisions about pre-paying a mortgage cannot be made in a vacuum. This is why I (and many others) are asking why you have chosen to use Roth, how close you are to retirement, and what your portfolio looks like. Without such information, the advice you will get will only be the most general kind. Wh...
by B4Xt3r
Thu Oct 24, 2019 7:28 am
Forum: Personal Finance (Not Investing)
Topic: Reduce roth 401(k) to just match to prepay mortgage?
Replies: 51
Views: 2598

Re: Reduce roth 401(k) to just match to prepay mortgage?

OP - How old are you? Are you retired? There is no way I would prepay the mortgage in lieu of pre-tax retirement savings. The amount of tax-deferred or tax-free retirement space is limited each year by law, you should seek to fill that bucket first before prepayment of your mortgage. If you have to...
by B4Xt3r
Thu Oct 24, 2019 7:21 am
Forum: Personal Finance (Not Investing)
Topic: Reduce roth 401(k) to just match to prepay mortgage?
Replies: 51
Views: 2598

Re: Reduce roth 401(k) to just match to prepay mortgage?

The average stock market returns are around 10%. The average mortgage these days is around 4. Couple that with years of tax free compound interest, and it’s not much of a contest imho. Bond yields are 2.22% (Vanguard Total Bond Market) or 1.58% in a taxable account (Admiral shares of Vanguard Inter...
by B4Xt3r
Thu Oct 24, 2019 7:17 am
Forum: Personal Finance (Not Investing)
Topic: Reduce roth 401(k) to just match to prepay mortgage?
Replies: 51
Views: 2598

Re: Reduce roth 401(k) to just match to prepay mortgage?

... List your available fund choices in your 401k with expense ratios. Don't base your financial success or failures on "most people". Most people have zero clue including the talking heads on CNBC. Most people are just repeating or regurgitating known news, they have no idea what tomorrow brings a...
by B4Xt3r
Thu Oct 24, 2019 7:14 am
Forum: Personal Finance (Not Investing)
Topic: Reduce roth 401(k) to just match to prepay mortgage?
Replies: 51
Views: 2598

Re: Reduce roth 401(k) to just match to prepay mortgage?

The average stock market returns are around 10%. The average mortgage these days is around 4. Couple that with years of tax free compound interest, and it’s not much of a contest imho. You might check out WCI post on invest vs pay off debt. https://www.whitecoatinvestor.com/pay-off-debt-or-invest/ ...
by B4Xt3r
Wed Oct 23, 2019 7:53 pm
Forum: Personal Finance (Not Investing)
Topic: Reduce roth 401(k) to just match to prepay mortgage?
Replies: 51
Views: 2598

Re: Reduce roth 401(k) to just match to prepay mortgage?

OP - How old are you? Are you retired? There is no way I would prepay the mortgage in lieu of pre-tax retirement savings. The amount of tax-deferred or tax-free retirement space is limited each year by law, you should seek to fill that bucket first before prepayment of your mortgage. If you have to...
by B4Xt3r
Wed Oct 23, 2019 7:53 pm
Forum: Personal Finance (Not Investing)
Topic: Reduce roth 401(k) to just match to prepay mortgage?
Replies: 51
Views: 2598

Re: Reduce roth 401(k) to just match to prepay mortgage?

mhalley wrote:
Wed Oct 23, 2019 10:45 am
Absolutely not. Mortgage interest rates are at the lowest they have been in decades. Max out retirement accounts and pay the mortgage as agreed.
Could you explain why you have such a strong opinion?
by B4Xt3r
Wed Oct 23, 2019 7:52 pm
Forum: Personal Finance (Not Investing)
Topic: Reduce roth 401(k) to just match to prepay mortgage?
Replies: 51
Views: 2598

Re: Reduce roth 401(k) to just match to prepay mortgage?

Spirit Rider wrote:
Wed Oct 23, 2019 9:12 am
Tax-advantaged contribution space has value. Failure to use it has a significant lost opportunity cost.

Using taxable income/investments to pre-pay a mortgage, maybe. I would never pre-pay a 4% mortgage when I had tax-advantaged contribution space available.
Yes, I'm trying to value it.
by B4Xt3r
Wed Oct 23, 2019 6:00 pm
Forum: Personal Finance (Not Investing)
Topic: Reduce roth 401(k) to just match to prepay mortgage?
Replies: 51
Views: 2598

Re: Reduce roth 401(k) to just match to prepay mortgage?

Let's assume for the moment that I'm sticking with roth 401(k).
by B4Xt3r
Wed Oct 23, 2019 5:48 am
Forum: Personal Finance (Not Investing)
Topic: Reduce roth 401(k) to just match to prepay mortgage?
Replies: 51
Views: 2598

Reduce roth 401(k) to just match to prepay mortgage?

Hi All, I am deciding whether contributions beyond the company match to a roth 401(k) are worthwhile when one has a mortgage. Am I thinking through things correctly? Prepaying mortgage: Equivalent to a bond with after tax risk free return of the mortgage rate (~4%) That bond is reasonably illiquid, ...
by B4Xt3r
Sat Sep 21, 2019 6:21 am
Forum: Personal Finance (Not Investing)
Topic: If accepting counter-offer, strategies to help relationship with manager
Replies: 12
Views: 1166

Re: If accepting counter-offer, strategies to help relationship with manager

As noted above, doing awesome work will certainly help.... Yeah, that's a given. ...You can try sitting down with the boss as noted above and telling him/her how much what they did meant to you and you were happy to stay... I like this idea as well. ... It sounds like from your posts they had no id...
by B4Xt3r
Fri Sep 20, 2019 3:44 pm
Forum: Personal Finance (Not Investing)
Topic: If accepting counter-offer, strategies to help relationship with manager
Replies: 12
Views: 1166

Re: If accepting counter-offer, strategies to help relationship with manager

There a re a number of threads here (see search box) and on the web in general on pros/cons of accepting a counter offer. Not likely much you can do to "mend the tension" or rebuild the trust other than give an excellent performance in your job. From your bosses/companies perspective you have shown...
by B4Xt3r
Fri Sep 20, 2019 3:43 pm
Forum: Personal Finance (Not Investing)
Topic: If accepting counter-offer, strategies to help relationship with manager
Replies: 12
Views: 1166

Re: If accepting counter-offer, strategies to help relationship with manager

There is always the possibility that they made the counter-offer because it would be inconvenient for them if you left now. However, they may be angry at you and want to replace you as soon as they can find a suitable replacement. So, the counter-offer may work out well for you, but it is possible ...
by B4Xt3r
Fri Sep 20, 2019 3:42 pm
Forum: Personal Finance (Not Investing)
Topic: If accepting counter-offer, strategies to help relationship with manager
Replies: 12
Views: 1166

Re: If accepting counter-offer, strategies to help relationship with manager

It really depends on the circumstances of your initial notice and the terms of your counter-offer. If you attemped to give notice because of a great opportunity elsewhere, and they counter-offered because you're a valuable member of the team and retaining you is critical to the business - then ther...
by B4Xt3r
Fri Sep 20, 2019 7:28 am
Forum: Personal Finance (Not Investing)
Topic: If accepting counter-offer, strategies to help relationship with manager
Replies: 12
Views: 1166

If accepting counter-offer, strategies to help relationship with manager

Hi all, If one accepts a counter-offer, what are some strategies to help mend the tension in the relationship with one's manager? As a start, I was thinking that after a month or so, just having a quick chat and thanking one's manager for their vote of confidence that they want me to be here and tha...
by B4Xt3r
Tue Sep 17, 2019 6:10 am
Forum: Personal Finance (Not Investing)
Topic: Multiple job offers - How to ask for time to evaluate with my BH?
Replies: 24
Views: 2439

Re: Multiple job offers - How to ask for time to evaluate with my BH?

Remind yourself that on the other side of the table, it's just business. This is a significant event in your life, but companies hire and fire every day and emotion rarely factors into their decision. Your last company didn't think twice about outsourcing your job. Don't feel bad about changing you...
by B4Xt3r
Tue Sep 17, 2019 6:10 am
Forum: Personal Finance (Not Investing)
Topic: Multiple job offers - How to ask for time to evaluate with my BH?
Replies: 24
Views: 2439

Re: Multiple job offers - How to ask for time to evaluate with my BH?

sapper1371 wrote:
Mon Sep 16, 2019 4:59 pm
I woundn’t think twice about declining an offer that I had signed if a better fit presented itself shortly thereafter. It’s business, and in the long run it’s best for both you and them that you do so.
I would agree, it's just business.
by B4Xt3r
Tue Sep 17, 2019 6:07 am
Forum: Personal Finance (Not Investing)
Topic: Multiple job offers - How to ask for time to evaluate with my BH?
Replies: 24
Views: 2439

Re: Multiple job offers - How to ask for time to evaluate with my BH?

I would not sing for any of them. :wink: Research should have been done pre-interview and during interview process. If they already told you that you had to make a decision by a certain date or they will move on to other candidates, that is pretty clear. Verbally accepting an offer is one thing. If...
by B4Xt3r
Mon Sep 16, 2019 6:04 am
Forum: Personal Finance (Not Investing)
Topic: Multiple job offers - How to ask for time to evaluate with my BH?
Replies: 24
Views: 2439

Re: Multiple job offers - How to ask for time to evaluate with my BH?

I would not sing for any of them. :wink: Research should have been done pre-interview and during interview process. If they already told you that you had to make a decision by a certain date or they will move on to other candidates, that is pretty clear. Verbally accepting an offer is one thing. If...
by B4Xt3r
Mon Sep 16, 2019 5:44 am
Forum: Personal Finance (Not Investing)
Topic: Multiple job offers - How to ask for time to evaluate with my BH?
Replies: 24
Views: 2439

Re: Multiple job offers - How to ask for time to evaluate with my BH?

I would not sing for any of them. :wink: Research should have been done pre-interview and during interview process. If they already told you that you had to make a decision by a certain date or they will move on to other candidates, that is pretty clear. Verbally accepting an offer is one thing. If...
by B4Xt3r
Tue Sep 10, 2019 6:55 am
Forum: Personal Finance (Not Investing)
Topic: Considering term life insurance to mitigate widow/widower risks
Replies: 14
Views: 727

Re: Considering term life insurance to mitigate widow/widower risks

for non-primary breadwinner's policy, the amount would be set to cover childcare costs for primary breadwinner's policy, the amount would be set to cover childcare costs & some supplemental income (non-primary breadwinner would need to switch and work some) If one of you dies it is possible that th...
by B4Xt3r
Tue Sep 10, 2019 6:53 am
Forum: Personal Finance (Not Investing)
Topic: Considering term life insurance to mitigate widow/widower risks
Replies: 14
Views: 727

Re: Considering term life insurance to mitigate widow/widower risks

Agree there are many posts on this topic which may be helpful. Suggest a longer term until kids are self sufficient which for us meant after college. Suggest a larger policy amount. We covered mortgage balance, college costs, extra childcare costs, loss of income (to pay living expenses and fund re...
by B4Xt3r
Tue Sep 10, 2019 6:51 am
Forum: Personal Finance (Not Investing)
Topic: Considering term life insurance to mitigate widow/widower risks
Replies: 14
Views: 727

Re: Considering term life insurance to mitigate widow/widower risks

Many threads on this as stated, also sites that focus specifically on term life information. You're on the right track, but make sure you're taking everything into account: - how would college tuition be impacting if one or both were to pass? - are you insuring for both passing at the same time? - ...
by B4Xt3r
Tue Sep 10, 2019 6:50 am
Forum: Personal Finance (Not Investing)
Topic: Considering term life insurance to mitigate widow/widower risks
Replies: 14
Views: 727

Re: Considering term life insurance to mitigate widow/widower risks

Agree there are many posts on this topic which may be helpful. Suggest a longer term until kids are self sufficient which for us meant after college. Suggest a larger policy amount. We covered mortgage balance, college costs, extra childcare costs, loss of income (to pay living expenses and fund re...
by B4Xt3r
Tue Sep 10, 2019 6:49 am
Forum: Personal Finance (Not Investing)
Topic: Considering term life insurance to mitigate widow/widower risks
Replies: 14
Views: 727

Re: Considering term life insurance to mitigate widow/widower risks

If you can both get rated in a low cost risk pool now after medical exams I'd go ahead and buy somewhat more insurance than you think you need and for a longer term. You haven't given any numbers so can only speak in concept. Some people would want the policy to help cover college education costs. ...
by B4Xt3r
Mon Sep 09, 2019 6:31 am
Forum: Personal Finance (Not Investing)
Topic: Considering term life insurance to mitigate widow/widower risks
Replies: 14
Views: 727

Considering term life insurance to mitigate widow/widower risks

Hi All, I'm considering term life insurance for both my wife and I to mitigate the costs associated should one of us become a widow/widower. My thinking so far is: the term would be set as to get the last child to 16 (so likely around 20 years). for non-primary breadwinner's policy, the amount would...
by B4Xt3r
Sat Aug 24, 2019 6:29 am
Forum: Personal Consumer Issues
Topic: Plastic moving boxes for open deck trailer?
Replies: 15
Views: 917

Re: Plastic moving boxes for open deck trailer?

We got some of these at Costco some time ago: https://www.amazon.com/Homz-Durabilt-Gallon-Stackable-2-Pack/dp/B06ZZNLLP5/ref=dp_ob_title_home The lid snaps on pretty tightly. There are no latches, but there are holes where you can add a lock or string/rope/cable for tiedown or security. ... (1) sec...
by B4Xt3r
Fri Aug 23, 2019 12:42 pm
Forum: Personal Consumer Issues
Topic: Plastic moving boxes for open deck trailer?
Replies: 15
Views: 917

Re: Plastic moving boxes for open deck trailer?

logicon wrote:
Fri Aug 23, 2019 10:54 am
Costco has 27 gallon storage boxes that range from $6–10 depending on sales/time of year. They are very stackable and have tie-down spots and lock holes to secure them.
Any chance these were linked in the post directly above yours?
by B4Xt3r
Fri Aug 23, 2019 10:39 am
Forum: Personal Consumer Issues
Topic: Plastic moving boxes for open deck trailer?
Replies: 15
Views: 917

Plastic moving boxes for open deck trailer?

Hi All, I’m toying around with the idea of finding some plastic containers that would survive moving personal items on an open-deck trailer. My requirements would be: (1) secure enough so they don’t blow open on the highway (2) stackable so they don’t take up too much space at next place (3) reasona...
by B4Xt3r
Thu Aug 22, 2019 6:01 pm
Forum: Personal Finance (Not Investing)
Topic: Giving 2 weeks notice with a non-compete
Replies: 14
Views: 2301

Giving 2 weeks notice with a non-compete

I have some questions for those who have voluntarily left before with a non-compete. I have a non-compete with my current employer and an offer from a company whom, in my opinion, does not compete. The prospective employer did not pull their offer, so I doubt that they view it as an issue, though I'...
by B4Xt3r
Tue Aug 20, 2019 6:47 am
Forum: Personal Finance (Not Investing)
Topic: Risk associated with house value declining?
Replies: 34
Views: 2026

Re: Risk associated with house value declining?

Are you planning to keep these bonds in a taxable account? Are they municipal bonds? The market value of your house is immaterial to what you're trying to calculate. As long as you can continue to make the payments on your loan, that's what matters. For example, if the market value of your home dec...
by B4Xt3r
Tue Aug 20, 2019 6:43 am
Forum: Personal Finance (Not Investing)
Topic: Risk associated with house value declining?
Replies: 34
Views: 2026

Re: Risk associated with house value declining?

Vanguard Fan 1367 wrote:
Mon Aug 19, 2019 9:28 am
If I am borrowing to buy real estate I like for the lender to accept the property as the total collateral for the loan and not make me sign something that I am responsible to make up any difference if the value drops.
Do banks actually agree to these terms?
by B4Xt3r
Tue Aug 20, 2019 6:42 am
Forum: Personal Finance (Not Investing)
Topic: Risk associated with house value declining?
Replies: 34
Views: 2026

Re: Risk associated with house value declining?

You are asking the wrong question. The question that you should be asking is how much of an emergency fund you would need to make the mortage payments until you could reasonably expect to find another job. In my opening post, I specified if I was forced to sell, so I would have to eat the decline i...
by B4Xt3r
Tue Aug 20, 2019 6:37 am
Forum: Personal Finance (Not Investing)
Topic: Risk associated with house value declining?
Replies: 34
Views: 2026

Re: Risk associated with house value declining?

What do you mean by “short-sell”? Here in Florida it has not been unusual for houses to drop 50% in value, during a number of collapses over the last century. Gill Like selling within the period that normalish fluctuations in house-value would put the homeowner underwater on the loan. This is proba...
by B4Xt3r
Tue Aug 20, 2019 6:36 am
Forum: Personal Finance (Not Investing)
Topic: Risk associated with house value declining?
Replies: 34
Views: 2026

Re: Risk associated with house value declining?

OP, It depends on whether you have a recourse loan or a non-recourse loan. For a non-recourse loan, you just walk away from the house. You do not need to short-sell. KlangFool Interesting, I hadn't known about "recourse" and "non-recourse" loans, https://www.investopedia.com/terms/r/recourse-loan.a...
by B4Xt3r
Tue Aug 20, 2019 6:35 am
Forum: Personal Finance (Not Investing)
Topic: Risk associated with house value declining?
Replies: 34
Views: 2026

Re: Risk associated with house value declining?

If you had to sell fast you will be looking at a 10% to 20% discount. I don’t think a short sale is applicable. You would do that only if you had not been able to make payments for a year and had negative equity. Which is pretty had to do if you put 20% down. There are executions. 1930 and 2008. Or...
by B4Xt3r
Tue Aug 20, 2019 6:34 am
Forum: Personal Finance (Not Investing)
Topic: Risk associated with house value declining?
Replies: 34
Views: 2026

Re: Risk associated with house value declining?

It depends where you are. Las Vegas, Phoenix and Florida were hammered by the recession, but they also had big run-ups in value before the recession. Contrast that with where I am, Louisville, and there wasn't a large drop. However, we also didn't have the big run-up before the recession either. Ye...
by B4Xt3r
Tue Aug 20, 2019 6:30 am
Forum: Personal Finance (Not Investing)
Topic: Risk associated with house value declining?
Replies: 34
Views: 2026

Re: Risk associated with house value declining?

There is zero risk in your home value going down as long as you can make the monthly payments and make a reasonable down payment. Or if you make a small down payment and do not need to move. During the housing crash, in my opinion, a lot of people let their homes foreclose because their home value ...
by B4Xt3r
Mon Aug 19, 2019 7:35 am
Forum: Personal Finance (Not Investing)
Topic: Risk associated with house value declining?
Replies: 34
Views: 2026

Risk associated with house value declining?

Hi All, For first-time homebuyers, if they need to short-sell their house, how much risk is reasonable to associate with their house value declining? My first-thought about this would be about ~1/3rd of the house value because that seems to be in the ball park with what happened in 2008? So for exam...
by B4Xt3r
Wed Aug 07, 2019 7:28 am
Forum: Personal Finance (Not Investing)
Topic: Reaction of mangers who found out their direct reports were applying for external jobs?
Replies: 8
Views: 1070

Reaction of mangers who found out their direct reports were applying for external jobs?

Hi,

I am curious for some feedback from managers who found out their direct reports were applying for external jobs? What was your reaction? Did you take any actions?

Thanks,

-b4xt3r
by B4Xt3r
Thu Jul 04, 2019 8:31 pm
Forum: Personal Finance (Not Investing)
Topic: How to interpret different raise percents?
Replies: 41
Views: 2887

Re: How to interpret different raise percents?

Hi All, Does my intuition about interpreting raises seem right to you? Let's say that inflation is X% CAGR and that we are discussing a decent employee that is producing more value each year as they get better at their job. Yearly CAGR raises: <X: company either cannot or does not value you. This i...
by B4Xt3r
Thu Jul 04, 2019 8:30 pm
Forum: Personal Finance (Not Investing)
Topic: How to interpret different raise percents?
Replies: 41
Views: 2887

Re: How to interpret different raise percents?

It must be very, very company-specific. The companies I’ve worked for have been a bit random (but often generous) about giving raises, and definitely don’t follow the 0-4% rule I see described in this thread. For example, I took a new job in August 2017, and since then received the following salary...
by B4Xt3r
Thu Jul 04, 2019 8:29 pm
Forum: Personal Finance (Not Investing)
Topic: How to interpret different raise percents?
Replies: 41
Views: 2887

Re: How to interpret different raise percents?

Your math is wrong. As I see it, in my company, raises are computed as follows: 4% of each group is given a 3% raise. These are the "walks on water" rated employees. Everyone else gets zero. As a manager, your task is to make up a new excuse out of thin air as to why almost nobody gets any raise. T...
by B4Xt3r
Thu Jul 04, 2019 8:29 pm
Forum: Personal Finance (Not Investing)
Topic: How to interpret different raise percents?
Replies: 41
Views: 2887

Re: How to interpret different raise percents?

It’s completely company and industry dependent. I’ve worked at a couple of jobs where the company paid each person what they were worth on the open market, including letting people go who were overpaid. I’ve also worked at companies who doled out raises like JoMoney’s company. The policy was explic...
by B4Xt3r
Thu Jul 04, 2019 8:27 pm
Forum: Personal Finance (Not Investing)
Topic: How to interpret different raise percents?
Replies: 41
Views: 2887

Re: How to interpret different raise percents?

This whole theory is flawed. Some companies are more liberal with raises than others so these percentages are arbitrary. Also, how do you approach companies that give out RSUs as compensation? If I get a low % but a lot of RSUs does that mean a company doesn't value me? Total salary = $ to RSU valu...
by B4Xt3r
Thu Jul 04, 2019 8:27 pm
Forum: Personal Finance (Not Investing)
Topic: How to interpret different raise percents?
Replies: 41
Views: 2887

Re: How to interpret different raise percents?

Your math is wrong. As I see it, in my company, raises are computed as follows: 4% of each group is given a 3% raise. These are the "walks on water" rated employees. Everyone else gets zero. As a manager, your task is to make up a new excuse out of thin air as to why almost nobody gets any raise. T...
by B4Xt3r
Thu Jul 04, 2019 8:26 pm
Forum: Personal Finance (Not Investing)
Topic: How to interpret different raise percents?
Replies: 41
Views: 2887

Re: How to interpret different raise percents?

This whole theory is flawed. Some companies are more liberal with raises than others so these percentages are arbitrary. Also, how do you approach companies that give out RSUs as compensation? If I get a low % but a lot of RSUs does that mean a company doesn't value me? Your confusion would go away...