Search found 185 matches

by knowledge
Thu Sep 12, 2019 9:43 am
Forum: Personal Finance (Not Investing)
Topic: Bay Area budget for $350k family income
Replies: 94
Views: 6702

Re: Bay Area budget for $350k family income

This boils down to another article lamenting the fact that housing, childcare, education and healthcare costs have skyrocketed in the last 60 years. If you magically adjusted those costs down, then the headline number would fall dramatically. Also, these are the figures to lead a "middle class" life...
by knowledge
Wed Sep 11, 2019 10:59 am
Forum: Personal Finance (Not Investing)
Topic: [Yet Another] How much house can I afford ?
Replies: 28
Views: 2943

Re: [Yet Another] How much house can I afford ?

I don't know. You're talking about buying homes that are 65-100% of your net worth and 4.5-7x your current income. That's too much for me. I'm in a similar financial situation and when I was house shopping this past year, I set $1.2M as the price that I wouldn't cross, and even there I felt that a n...
by knowledge
Tue Sep 10, 2019 10:18 am
Forum: Personal Finance (Not Investing)
Topic: Refinance or pay off mortgage?
Replies: 19
Views: 1584

Re: Refinance or pay off mortgage?

I would look into no cost refinance options. You should be able to refinance to a rate that is higher than the prevailing market rates, but lower than 4.25% without paying anything into closing costs. ++ If you're absolutely certain that you're out in 2 years, you may want to consider a 5/1 ARM - t...
by knowledge
Sun Sep 08, 2019 1:17 pm
Forum: Personal Investments
Topic: Windfall - Investment Advice
Replies: 18
Views: 1826

Re: Windfall - Investment Advice

Agreed on counting chickens a bit too early. Perhaps you'll want to post back here after the deal closes and the cash is in your hands.

Otherwise, if you have $1M sitting there in a cash account and you're unsure what to do with it - go wipe out your mortgage.
by knowledge
Fri Sep 06, 2019 11:44 am
Forum: Personal Finance (Not Investing)
Topic: Stressed Over Money 25 Yr. Old
Replies: 65
Views: 4837

Re: Stressed Over Money 25 Yr. Old

It's interesting that everytime the OP posts, a new and highly relevant piece of information leaks out. While I understand the need for anonymity, I think the original post should have included these relevant bits of information - that would have wiped out many of the "humblebrag" comments. To the O...
by knowledge
Wed Sep 04, 2019 11:31 am
Forum: Personal Consumer Issues
Topic: First-hand experiences with United Basic Economy for families?
Replies: 180
Views: 6883

Re: First-hand experiences with United Basic Economy for families?

I have not had first hand experience flying basic economy. I have been in planes where a mother was separated from her toddler when she bought basic economy fares and no one wanted to accommodate her to allow her to sit next to her child. If you buy basic economy, assume the worst case and that you'...
by knowledge
Tue Sep 03, 2019 12:44 pm
Forum: Investing - Theory, News & General
Topic: Does having children hurt net worth?
Replies: 47
Views: 1838

Re: Does having children hurt net worth?

There's no reasonable assumption driven forecast where having children does not hurt net worth, assuming all else equal. These days, the intangible investment of time & energy alone may hamper your net worth, let alone the actual $$ investments. If you're asking whether it's worth it...that's not up...
by knowledge
Tue Sep 03, 2019 10:18 am
Forum: Personal Finance (Not Investing)
Topic: Refinance 7/1 ARM mortgage
Replies: 26
Views: 2172

Re: Refinance 7/1 ARM mortgage

Your refinancing quotes look out of whack with what I've seen. A 7/1 Jumbo ARM should be at 3% or lower. Are these quotes with 20% home equity? Yes, these are with 20% down. I am working with wells fargo and thats what the loan agent has quoted. https://www.wellsfargorelo.com/relo/todaysRates.page?...
by knowledge
Mon Sep 02, 2019 9:10 am
Forum: Personal Finance (Not Investing)
Topic: Refinance 7/1 ARM mortgage
Replies: 26
Views: 2172

Re: Refinance 7/1 ARM mortgage

Your refinancing quotes look out of whack with what I've seen. A 7/1 Jumbo ARM should be at 3% or lower. Are these quotes with 20% home equity?
by knowledge
Thu Aug 29, 2019 5:11 pm
Forum: Personal Consumer Issues
Topic: downside of going to a competitive high school?
Replies: 49
Views: 3381

Re: downside of going to a competitive high school?

I went to a public magnet school where, every year bar none, you had the same matriculation distribution: 25% to top tier, prestigious schools. 50% to good schools, and 25% went to less prestigious state schools. Going to (a good) college was expected, with a sprinkle of being future leaders - it wa...
by knowledge
Thu Aug 22, 2019 9:57 am
Forum: Investing - Theory, News & General
Topic: Chinese property bubble?
Replies: 59
Views: 2781

Re: Chinese property bubble?

I feel that so much of this can be explained through cultural differences. If you grew up in a country where not even 60 years ago, the entire country was uprooted, and those that were lucky fled, you'd have a different standard of what is "rational" investing behavior. I guess you could ask - to wh...
by knowledge
Mon Aug 19, 2019 4:29 pm
Forum: Personal Investments
Topic: Advice regarding company call options set to expire soon...
Replies: 14
Views: 417

Re: Advice regarding company call options set to expire soon...

The intrinsic value of your options are about $1,500 pre-tax. Not to sound flippant but, does that amount matter to you? How would you feel if you let it ride and by Oct 15th, that turned into $3,000? What if it was $0? If none of it really matters, then I'd just go ahead and exercise them and be do...
by knowledge
Thu Aug 15, 2019 3:31 pm
Forum: Personal Finance (Not Investing)
Topic: Can we afford a $400k house?
Replies: 44
Views: 4412

Re: Can we afford a $400k house?

Yes, you can easily afford it. The only risk I can foresee is kids and how they could impact your income, but even then you seem to have the required factor of safety. A 70% savings rate would do that.
by knowledge
Thu Aug 15, 2019 12:01 pm
Forum: Personal Finance (Not Investing)
Topic: Realizing option value granted as part of compensation
Replies: 22
Views: 1065

Re: Realizing option value granted as part of compensation

Right, the $10k is based upon the FMV estimate of the value option using Black-Scholes formula. If you're inclined, you can do some digging and maybe even ask the recruiter what inputs they're using in the formula. But if the value from the option is only a small % of the overall comp, then feel fre...
by knowledge
Tue Aug 13, 2019 3:40 pm
Forum: Personal Consumer Issues
Topic: Is this 25% savings?
Replies: 67
Views: 4937

Re: Is this 25% savings?

If Amazon advertised a good as 25% off, and showed an original price of $200 marked down to only $160, you can bet that the FTC would come a knocking. This isn't open to debate, the math is clear: this is 20% savings. Your situation doesn't seem that high profile, but for your company's sake you wan...
by knowledge
Mon Aug 12, 2019 9:11 am
Forum: Personal Finance (Not Investing)
Topic: Buying a car, does it make sense to use 401k loan instead of an auto loan?
Replies: 37
Views: 2560

Re: Buying a car, does it make sense to use 401k loan instead of an auto loan?

I too believed that 401k loans were straight foolish, full stop. But being in a (high-class) pickle where I didn't want to actualize capital gains to fund my new home purchase, I ran some due diligence on 401k loans. I ended up taking out a $50k loan, which was very simple (no underwriting when it's...
by knowledge
Fri Aug 09, 2019 12:00 pm
Forum: Personal Investments
Topic: New Jersey taxes
Replies: 58
Views: 3138

Re: New Jersey taxes

I've spent considerable time and energy trying to optimize my living location vs. schooling/taxes/commute. And so do millions of other folks w/their trillions in buying power. I've come to realize that it's pretty much all the same. The market works. To the extent that there is an area that looks to...
by knowledge
Thu Aug 08, 2019 9:13 am
Forum: Personal Consumer Issues
Topic: Silicon Valley Interview Attire
Replies: 30
Views: 2605

Re: Silicon Valley Interview Attire

I'd look at what the CEO wears and mimic that. If you can't do that, then go with T-shirt, jeans and sneakers - but not sloppy ones.
by knowledge
Tue Jul 30, 2019 1:36 pm
Forum: Personal Consumer Issues
Topic: Please help with vacation locations
Replies: 45
Views: 2123

Re: Please help with vacation locations

If you're in your 40s and without children, then you should have the ability to survive long, international flights. Yes - the airfare is expensive, but once there, the accommodations, food, and entertainment can be quite cheap. Think SE Asia, South America, Eastern Europe, etc.
by knowledge
Thu Jul 25, 2019 2:06 pm
Forum: Personal Finance (Not Investing)
Topic: Mismanaged Windfall + Early Retirement Hopes
Replies: 22
Views: 2860

Re: Mismanaged Windfall + Early Retirement Hopes

If everyone "mismangaged" their financial world like you, then there'd be a lot less debt in the world. I don't see anything here that causes any material harm, let alone dashing early retirement hopes.
by knowledge
Thu Jul 18, 2019 8:48 am
Forum: Personal Finance (Not Investing)
Topic: Do people in HCOL areas have a higher net worth and more wealth building potential than LCOL?
Replies: 222
Views: 15000

Re: Do people in HCOL areas have a higher net worth and more wealth building potential than LCOL?

The specifics do matter. If your consumption is location specific, then you should be able to save more in a lower COL area. If your consumption is primarily location agnostic (vacations internationally, private colleges, high end cars) then you're competing nationally and you won't save anywhere ex...
by knowledge
Tue Jul 16, 2019 9:07 am
Forum: Personal Finance (Not Investing)
Topic: Buying a home; Very HCOL Area
Replies: 40
Views: 3834

Re: Buying a home; Very HCOL Area

I mean, you have to live somewhere. If you're set on location, you can either chose to rent or buy. I don't love paying the amount of money that I do for the home that I have, but I've actively chose to buy, because the alternatives are worse.
by knowledge
Tue Jul 02, 2019 12:37 pm
Forum: Personal Consumer Issues
Topic: Used Car Purchase - What Interest Rate Should I Expect
Replies: 13
Views: 655

Re: Used Car Purchase - What Interest Rate Should I Expect

I had a bit of sticker shock as well when I looked at recent auto rates. Priced out a few loan options, but didn't bother applying and went for cash instead. Made it easier to compare deals between dealers, but dealers didn't like my deal since they had nothing margin they could make from their fina...
by knowledge
Fri Jun 28, 2019 10:07 am
Forum: Personal Finance (Not Investing)
Topic: Shopping for Mortgage - Question re ARMs
Replies: 16
Views: 1261

Re: Shopping for Mortgage - Question re ARMs

Wow, I wasn't aware that rates for conforming loans had gotten so low. I'd definitely get quotes for a 7/1 and a 10/1. Given the rates you've quoted, I'd think you'd be able to find a 7/1 at 2.75%, and a 10/1 at 3.00 or slightly better. Also, see what 25 or 30% down will do as well. I think you'll l...
by knowledge
Mon Jun 17, 2019 8:36 am
Forum: Personal Consumer Issues
Topic: used car advice
Replies: 20
Views: 1592

Re: used car advice

Answering a few questions: - Kids are young, so no concern about teenage drivers in the household. - I've looked at the Lexus GS. I've find them a bit unsightly, but typically they're not in the price range that I'm in. - I'll take a look at the Subaru Legacy 3.6 - The 25 mile trip to work would be ...
by knowledge
Fri Jun 14, 2019 3:13 pm
Forum: Personal Consumer Issues
Topic: used car advice
Replies: 20
Views: 1592

Re: used car advice

Is it fair to summarize the feedback as the following: The used car market is quite efficient, and that explains why luxury German cars post warranty have such low prices as compared to their original price. Stay wary of such bargains. On the flip side, the depreciation of say, a Lexus GS350 doesn't...
by knowledge
Thu Jun 13, 2019 5:47 pm
Forum: Personal Consumer Issues
Topic: used car advice
Replies: 20
Views: 1592

used car advice

Hello, I'm seeking advice to break my current paralysis analysis on used cars options. To add context: I'm moving to a house where we'll have to get a second car. This will be my primary car, and will be used to commute to work 3-4x a week, ~50 miles r/t per day. I'm looking for value, primarily, a ...
by knowledge
Thu Jun 13, 2019 5:14 pm
Forum: Personal Finance (Not Investing)
Topic: Currently Viable Refinance Options when 30-YR Mortgage is Currently at 3.875%?
Replies: 23
Views: 1843

Re: Currently Viable Refinance Options when 30-YR Mortgage is Currently at 3.875%?

The 10 year is still above the levels of 3 years ago, back when you originated your current loan, so it's not surprising that you can't find a better deal.
by knowledge
Wed Jun 12, 2019 1:09 pm
Forum: Personal Consumer Issues
Topic: How to move with bags inside JFK (official) long term parking lot?
Replies: 10
Views: 1051

Re: How to move with bags inside JFK (official) long term parking lot?

+ to dropping off bags/kids/wife etc first.

Note that driving to Terminal 4, dropping the stuff off, then parking at long-term and taking the airtrain back to terminal 4 could take 30-60 minutes.
by knowledge
Fri May 31, 2019 10:19 pm
Forum: Personal Finance (Not Investing)
Topic: For those who earn $500k+ per year. How'd you do that?
Replies: 369
Views: 39370

Re: For those who earn $500k+ per year. How'd you do that?

The internet allows such scale. A year ago I was having lunch in our corp HQ and discussing how that there wasn't a single tangible item produced, and yet this building existed. I've been lucky. I've steadily progressed in my roles, have added responsibilities and teams, and it's worked out. I defin...
by knowledge
Fri May 31, 2019 9:30 am
Forum: Personal Consumer Issues
Topic: Home buying
Replies: 50
Views: 2662

Re: Home buying

I've only done 3 closings myself, so I'm sure others have more experience to offer, but from what I have learned, this is par for the course. The next steps are for you to list all the issues back to the seller and look for them to remediate and/or provide credits to do so. It helps to be as specifi...
by knowledge
Thu May 30, 2019 10:01 am
Forum: Investing - Theory, News & General
Topic: Jim Cramer
Replies: 59
Views: 5724

Re: Jim Cramer

It's amazing. I'm positive that someone out there has tracked his prediction record and compared it to indices. I'm also quite certain that his predictions are quite terrible. He's been on the air for some 15(?) years. Every day he adds more data to that legacy. I would have guessed that he's irrele...
by knowledge
Fri May 24, 2019 2:52 pm
Forum: Personal Finance (Not Investing)
Topic: New home construction, Jumbo mortgages, and should I lock?
Replies: 8
Views: 1008

Re: New home construction, Jumbo mortgages, and should I lock?

I'm going through this right now, though my home is complete. There is no need to secure a lender at day 60. Any mortgage company worth a damn will close a loan in 45 days or less. Don't lock yourself in with a mortgage company until you're confident that the close is happening. That said, I'm out i...
by knowledge
Fri May 24, 2019 12:09 pm
Forum: Investing - Theory, News & General
Topic: Is the housing market starting to collapse?
Replies: 122
Views: 13012

Re: Is the housing market starting to collapse?

- The blog that OP linked to is...agree that it has an agenda. And absolutely recommend Calculated Risk for being a good source for even tempered analysis. They were a wonder to read back then. From my understanding (NYC suburbs): The top end market ($3m+) is very soft. SALT deduction limitations se...
by knowledge
Thu May 16, 2019 9:00 am
Forum: Investing - Theory, News & General
Topic: How much is the 401K and retirement savings propping up the market?
Replies: 26
Views: 3395

Re: How much is the 401K and retirement savings propping up the market?

To the extent that there's a discernible pattern on 401k contributions into the market, you can bet that others have thought about it before, and have taken advantage of it. Likely that's gone through multiple cycles in its history and hopefully is now just drowned out as noise.
by knowledge
Tue May 07, 2019 11:09 am
Forum: Personal Consumer Issues
Topic: How to get insurance for a first time car buyer?
Replies: 10
Views: 779

Re: How to get insurance for a first time car buyer?

The dealer won't let him drive off without insurance. This is a common use case. Your son should shop around and pick an insurer before buying a car. Once he's confirmed that he's buying the car, he can get the insurer on the phone while at the dealership and get a policy in force that starts that d...
by knowledge
Fri May 03, 2019 12:51 pm
Forum: Personal Investments
Topic: ESPP
Replies: 8
Views: 623

Re: ESPP

Well, that wasn't what I expected
by knowledge
Thu May 02, 2019 5:11 pm
Forum: Investing - Theory, News & General
Topic: Short BYND? (beyond meat, IPO today)
Replies: 76
Views: 5799

Re: Short BYND? (beyond meat, IPO today)

While there's the green element, there's also the ethical element of not eating meat. But for folks that have gone vegan or vegetarian already, a burger that imitates real meat isn't all that appealing. The goal would be to switch current meat eaters, but they'll need a better product for that to ha...
by knowledge
Thu May 02, 2019 1:40 pm
Forum: Personal Finance (Not Investing)
Topic: 5/5 ARM or 30yr-fixed?
Replies: 25
Views: 1997

Re: 5/5 ARM or 30yr-fixed?

I've been quoted a 7/1 w/25% down for 3.125% (no points) I've seen the 5/1 at 3.00% with a lender credit And a 10/1 at 3.5%. I don't see any particular reason why you should put down 75%. Either pay for it in cash to avoid the hassle of a mortgage (and the costs) or look to put down 25% and get one ...
by knowledge
Tue Apr 23, 2019 2:23 pm
Forum: Personal Consumer Issues
Topic: At what age did you buy your first first class airplane ticket?
Replies: 112
Views: 5000

Re: At what age did you buy your first first class airplane ticket?

For work, there are circumstances that allow me to fly business. That was probably first done at age 36. The one time I paid (not got upgraded) for business/first class was for a mileage run. Nothing like spending time & money for status on Dec 30th, at age 38. It's hard for me to fathom personally ...
by knowledge
Tue Apr 23, 2019 10:59 am
Forum: Personal Finance (Not Investing)
Topic: At a crossroads on how much to put down towards new home
Replies: 32
Views: 2377

Re: At a crossroads on how much to put down towards new home

#1) if you're going to move, get it done before the twins are out. Honestly, you're already cutting it close if the due date is in July. #2) You're in a position to comfortably take on risk. I'd get into the lowest rate mortgage possible, which may be a 7/1 ARM with 25% down. I'm in the mortgage hun...
by knowledge
Tue Apr 09, 2019 9:01 am
Forum: Personal Investments
Topic: HSA in NJ -- is it worth it?
Replies: 14
Views: 923

Re: HSA in NJ -- is it worth it?

Learn something new everyday. I had no idea, though in hindsight, it makes sense. This is quite...annoying.
by knowledge
Tue Apr 09, 2019 8:38 am
Forum: Personal Investments
Topic: HSA in NJ -- is it worth it?
Replies: 14
Views: 923

Re: HSA in NJ -- is it worth it?

A big factor for me is that we would end up investing the HSA in a Treasury fund (company's HSA is managed through Fidelity). My understanding is if we don't use a Treasury fund, it is a real bear to handle it on NJ state taxes. So this account isn't really going to grow a huge amount most likely. ...
by knowledge
Fri Apr 05, 2019 2:18 pm
Forum: Personal Finance (Not Investing)
Topic: Anxiety about car/house purchase
Replies: 28
Views: 3024

Re: Anxiety about car/house purchase

Think about it this way. There's value in having the latest safety tech, especially as it protects your largest assets - your livelihoods. Now this doesn't seem to apply so much for the wife, as it seems she's in later model cars. But specifically for you, you may want to think of the car expenditur...
by knowledge
Thu Apr 04, 2019 2:17 pm
Forum: Personal Finance (Not Investing)
Topic: Newlyweds considering moving to NYC...advice and insight appreciated.
Replies: 51
Views: 4648

Re: Newlyweds considering moving to NYC...advice and insight appreciated.

Maybe we're thinking about this the wrong way. In your current situation, everything says to stay up in Westchester, near White Plains, but it doesn't sound like that's what you want. If that's the case, I'd focus on finding a job in Manhattan as well, which hopefully pays more.
by knowledge
Mon Apr 01, 2019 4:56 pm
Forum: Personal Finance (Not Investing)
Topic: Newlyweds considering moving to NYC...advice and insight appreciated.
Replies: 51
Views: 4648

Re: Newlyweds considering moving to NYC...advice and insight appreciated.

Be mindful to tack on an extra (just shy of) 4% for NYC resident income tax if you move into the city. Because of that, and for the added space you can get in the suburbs, I'd advise moving to a better part of Westchester. But take my advice with a grain of salt - I'm married w/children and boring.
by knowledge
Wed Mar 20, 2019 9:36 am
Forum: Personal Finance (Not Investing)
Topic: Lottery/Raffle Statistics Question
Replies: 8
Views: 497

Re: Lottery/Raffle Statistics Question

On #3, you're choosing 5 out of 39 (again, repeats not allowed). But further, the order doesn't matter, i.e., choose 5,4,3,2,1 = 1,2,3,4,5 = 1,3,4,2,5, etc.

In that case, your odds are 1 in 39!/(5!*34!)
by knowledge
Wed Mar 20, 2019 9:23 am
Forum: Personal Finance (Not Investing)
Topic: Lottery/Raffle Statistics Question
Replies: 8
Views: 497

Re: Lottery/Raffle Statistics Question

#1 is straightforward. You have a 1/1,500 (~.067%) chance of winning $50k, and for that chance you get to pay $100/chance. EV is 33 cents on the dollar invested, so a pretty terrible bet. #2 just changes your investment amount. Nothing else changes, so your EV is 33 cents on 75 cents invested, or cl...
by knowledge
Fri Mar 08, 2019 1:46 pm
Forum: Personal Finance (Not Investing)
Topic: Employee stock options investment thesis?
Replies: 29
Views: 1841

Re: Employee stock options investment thesis?

There is no overriding thesis, everyone's risk/reward meters are different. As mentioned above, to optimize stock options, you need to extract as much extrinsic value as possible. Generally, this means holding on to as long as you can before expiry. But we all know that the world doesn't work that w...
by knowledge
Wed Mar 06, 2019 10:20 am
Forum: Personal Finance (Not Investing)
Topic: Mortgages
Replies: 34
Views: 3185

Re: Mortgages

I am actively in the market for a house and mortgage. My sense is that for non-agency loans, the 7/1 is the sweet spot. I've been quoted 3.25%, 0 points, 30% down. If I go with 20% down, I believe it may move up 1/8th of a point. Meantime, a conforming balance loan 7/1 is at least 4.0%. I also have ...