Is this right?
Comments
-
Hell the S&P 500 SPDR fund has a 10% annualized return if you look back over the last 25 years.doogie said:
8%/ year? Measly? In a zero interest highly speculative market?GDS said:
Our kids are still too young but we were looking at Roth IRAs for both of them. You can contribute to your kids Roth IRA as soon as they have earned income so if Johnny gets an after school/summer gig at 16 making 5k a year you can start contributing to a Roth IRA in their name. Throw $400 a month in there from age 16 to 25 and consider it an early inheritance of 48k total. If they manage to earn a measly 8% a year and don't bother contributing another dollar after the age of 25 they have 1.8 million when they turn 65 tax free. Of course in 50 years maybe 1.8 mill only buys you a soyburger at McDonalds but that's another story...godawgst said:Two most important words we should be teaching our kids in school when it comes to finance is compound interest. Earlier it starts better it does for you.
I was born/raised/still live in Lewis County, but for some very fortunate reason loved finances and the stock market so started investing in my early 20's.
Both wife and I have contributed to our 401k's last 25 years and today, what we put in along with the match is minute compared to what the market does for our total. Even if it only goes up 5% in a year, that's double what we will contribute and make during that same time frame.
Congrats Creepy your 5-6 million portfolio puts you in the top 1/2 of 1% of household wealth in America (680,000 out of 116,000,000)
Do you work @CalPers? -
I was offended. Guess I'll have to LEAVEcreepycoug said:RaceBannon said:
Tug belongsdoogie said:
8%/ year? Measly? In a zero interest highly speculative market?GDS said:
Our kids are still too young but we were looking at Roth IRAs for both of them. You can contribute to your kids Roth IRA as soon as they have earned income so if Johnny gets an after school/summer gig at 16 making 5k a year you can start contributing to a Roth IRA in their name. Throw $400 a month in there from age 16 to 25 and consider it an early inheritance of 48k total. If they manage to earn a measly 8% a year and don't bother contributing another dollar after the age of 25 they have 1.8 million when they turn 65 tax free. Of course in 50 years maybe 1.8 mill only buys you a soyburger at McDonalds but that's another story...godawgst said:Two most important words we should be teaching our kids in school when it comes to finance is compound interest. Earlier it starts better it does for you.
I was born/raised/still live in Lewis County, but for some very fortunate reason loved finances and the stock market so started investing in my early 20's.
Both wife and I have contributed to our 401k's last 25 years and today, what we put in along with the match is minute compared to what the market does for our total. Even if it only goes up 5% in a year, that's double what we will contribute and make during that same time frame.
Congrats Creepy your 5-6 million portfolio puts you in the top 1/2 of 1% of household wealth in America (680,000 out of 116,000,000)
Do you work @CalPers?
-
Thank you. I was just trying to be extremely conservative with that reserve but I know you're inherently right.Sources said:
Obviously risk tolerance is personal, but if you're making 100k on 3-4MM annually, you need to change strategies. If you blindly throw that at any decent money manager, you'll get at least 2-3x that, and should be looking at closer to 4x, without lifting a finger.RoadTrip said:
Our paths and goals couldn't be more aligned. I should be anywhere from 5.8 to 6.8 including the equity in my home by 56. The rudimentary plan is to have 2-3mm in conservative investments, hopefully generate about 100k annually and also pull 100k annually from the univested 3-4mm and by the time I'm dead leave 1mm to each of 3 children. I actually have competing advisors work out that plan. Maybe it turns out that I can't spend $200k a year in rerirement which won't crush me. Neither my wife or I inherited anything so I feel a great need to do that for my children. My dad was a fortune 500 executive who wasn't in the market and didn't have any life insurance. He spent his rerirement on my sister's dream which failed. I'm proud that I built and accomplished most everything on my own and my children were lucky to have a stay at home mom their entire upbringing.creepycoug said:
Well, I'm not there yet. But unless something goes wrong, I should be at or close to 6. I have always assumed the rule of 20 before calling it a day ... of course as my base salary has increased, that target has moved further out. And despite the shit talk, I should inherit some money from the old man. Not quite sure how that's going to work out ... taking a trip at the end of the month to help him with his private equity "liquidity event". It should come up organically at that time. Otherwise I'll present him with a nice bill for services rendered.godawgst said:Two most important words we should be teaching our kids in school when it comes to finance is compound interest. Earlier it starts better it does for you.
I was born/raised/still live in Lewis County, but for some very fortunate reason loved finances and the stock market so started investing in my early 20's.
Both wife and I have contributed to our 401k's last 25 years and today, what we put in along with the match is minute compared to what the market does for our total. Even if it only goes up 5% in a year, that's double what we will contribute and make during that same time frame.
Congrats Creepy your 5-6 million portfolio puts you in the top 1/2 of 1% of household wealth in America (680,000 out of 116,000,000)
Joking. Not joking.
Part of what I've been driving towards is to leave the kids something. A fully funded undergraduate education (check), some money for a house down payment (1 out of 3, check), a wedding (1 out of 3, check, and it was a really nice one), and we (hopefully) live off of the earnings from the assets. I didn't have a Seattle tech. liquidity event. In the tortoise and hare story, I've been the slow guy, which is fine, except when you live in Seattle, a lot of hares actually win the race a lot earlier. -
Although you may not be entirely too conservative either. I know a lot of smart investors who will sacrifice the highs to avoid the lows, and that's before retirement. In retirement, those people won't touch the market. Not saying that's my plan, but it's not unheard of.RoadTrip said:
Thank you. I was just trying to be extremely conservative with that reserve but I know you're inherently right.Sources said:
Obviously risk tolerance is personal, but if you're making 100k on 3-4MM annually, you need to change strategies. If you blindly throw that at any decent money manager, you'll get at least 2-3x that, and should be looking at closer to 4x, without lifting a finger.RoadTrip said:
Our paths and goals couldn't be more aligned. I should be anywhere from 5.8 to 6.8 including the equity in my home by 56. The rudimentary plan is to have 2-3mm in conservative investments, hopefully generate about 100k annually and also pull 100k annually from the univested 3-4mm and by the time I'm dead leave 1mm to each of 3 children. I actually have competing advisors work out that plan. Maybe it turns out that I can't spend $200k a year in rerirement which won't crush me. Neither my wife or I inherited anything so I feel a great need to do that for my children. My dad was a fortune 500 executive who wasn't in the market and didn't have any life insurance. He spent his rerirement on my sister's dream which failed. I'm proud that I built and accomplished most everything on my own and my children were lucky to have a stay at home mom their entire upbringing.creepycoug said:
Well, I'm not there yet. But unless something goes wrong, I should be at or close to 6. I have always assumed the rule of 20 before calling it a day ... of course as my base salary has increased, that target has moved further out. And despite the shit talk, I should inherit some money from the old man. Not quite sure how that's going to work out ... taking a trip at the end of the month to help him with his private equity "liquidity event". It should come up organically at that time. Otherwise I'll present him with a nice bill for services rendered.godawgst said:Two most important words we should be teaching our kids in school when it comes to finance is compound interest. Earlier it starts better it does for you.
I was born/raised/still live in Lewis County, but for some very fortunate reason loved finances and the stock market so started investing in my early 20's.
Both wife and I have contributed to our 401k's last 25 years and today, what we put in along with the match is minute compared to what the market does for our total. Even if it only goes up 5% in a year, that's double what we will contribute and make during that same time frame.
Congrats Creepy your 5-6 million portfolio puts you in the top 1/2 of 1% of household wealth in America (680,000 out of 116,000,000) Joking. Not joking.
Part of what I've been driving towards is to leave the kids something. A fully funded undergraduate education (check), some money for a house down payment (1 out of 3, check), a wedding (1 out of 3, check, and it was a really nice one), and we (hopefully) live off of the earnings from the assets. I didn't have a Seattle tech. liquidity event. In the tortoise and hare story, I've been the slow guy, which is fine, except when you live in Seattle, a lot of hares actually win the race a lot earlier.
Those people have tended to approach wealth building through bonds. Some in the bond funds, but the purists buy individual corporates and munis and build bond ladders. It's an interesting approach. When rates move and the bond's selling value drops, you don't have to realize the loss as long as you hold to maturity, which for these guys was always the plan. Of course, your replacement rate won't be fun after the bond matures, but you protect principal throughout and it's just a credit risk analysis at that point.
As I mentioned before, when I do my back of the napkin monthly income calc, I use .00333333 assuming I can safely get 4% on my money. I have no idea what I'm going to actually do, but in trying to get to "my number", as it were, that's the math I use.
Obviously, 8 out of 10 posters on this board are smarter than I am about money and investments, so at some point I will look to one of them to tell me I'm fucking up my own analysis. Until then, 4% is what I use to calculate my principal goals. If it's unrealistically conservative, then I guess I'll have a pleasant surprise waiting for me in 5 or 6 years. But I'm not counting on it.
Although in the interests of full disclosure, I am assuming a growth rate of my current retirement funds in excess of 4%. I run different calcs with different end dates using different rates, usually 6, 7 and 8%. I never assume more than 8%. This is just the simple future value calculation of my funds' worth.
So I assume up to 8% growth between now and sometime 5 or 6 years from now, and I assume I'll earn 4% in retirement. -
<
Creep. I think you are confused by how some others feel about you. Many times, you believe it is hate. Those owning the feelings could consider it pity or something else.
Your view of yourself is not universal. One person see someone who throws out untruths and then later claims he said something even more outrageous as proof that he was just engaging in hype. Nope. Caught in a mistruth. Hence. Pity.
People can ignore you for a lot a reasons. And, I would guess, few fall in the hate category.
Think about how you feel about the inbred trump supporters who beat policemen with flags. If you are like me, you don't hate someone who embraces that behavior (99 % of Tug). You likely pity (insert other feeling here) some one who can't see though the(ir) own truth.
Rant over. But your newfound(?) peacemaking ability is good when its not seen through your own self interested tinted glasses.
Get over it. You are not Rod Smart. (btw, that could be your actual name as indicated in one of your recent posts).
And, yes, I am an ass on message boards (other than this one). It is still not real life.
Creep. I think you are confused by how some others feel about you. Many times, you believe it is hate. Those owning the feelings could consider it pity or something else.creepycoug said:
It's my inherently peaceful and spiritual nature to which people are drawn. Stalin recognized this in me. It's a gift.GreenRiverGatorz said:I have nothing to add, but what a fine thread this has been. Hats off to you @creepycoug for putting together a diverse community of people who are otherwise shitheads to each other, but are nonetheless here behaving in the house you built.
And we must pay some homage to @Baseman , even though, like @Gladstone , he hates me.
Your view of yourself is not universal.
Consider the following totally made up situation. . . .One person sees someone who throws out untruths and then later claims he said something even more outrageous as proof that he was just engaging in hype. Nope. Caught in a mistruth. Hence. Pity.
People can ignore you for a lot a reasons. And, I would guess, few fall in the hate category.
Think about how you feel about the inbred trump supporters who beat policemen with flags. Is it possible that you don't hate someone who embraces that behavior (99 % of Tug)? You likely pity (insert other derogatory but not disdainful feeling here) someone who can't see though the(ir own) truth.
Rant over. But your newfound(?) peacemaking ability is good when its not seen through your own self interested tinted glasses.
Get over it. You are not Rod Smart. (btw, that could be your actual name as indicated in one of your recent posts).
And, yes, I am an ass on message boards (other than this one). It is still not real life.
-
Fair enough Ewa. Our newfound common ground gives me hope for the Tug and our populist brothers on the far right. Actually, forget that. There is no hope. We are, I'm afraid, a country clearly divided for at least the foreseeable future.EwaDawg said:<
Creep. I think you are confused by how some others feel about you. Many times, you believe it is hate. Those owning the feelings could consider it pity or something else.
Your view of yourself is not universal. One person see someone who throws out untruths and then later claims he said something even more outrageous as proof that he was just engaging in hype. Nope. Caught in a mistruth. Hence. Pity.
People can ignore you for a lot a reasons. And, I would guess, few fall in the hate category.
Think about how you feel about the inbred trump supporters who beat policemen with flags. If you are like me, you don't hate someone who embraces that behavior (99 % of Tug). You likely pity (insert other feeling here) some one who can't see though the(ir) own truth.
Rant over. But your newfound(?) peacemaking ability is good when its not seen through your own self interested tinted glasses.
Get over it. You are not Rod Smart. (btw, that could be your actual name as indicated in one of your recent posts).
And, yes, I am an ass on message boards (other than this one). It is still not real life.
Creep. I think you are confused by how some others feel about you. Many times, you believe it is hate. Those owning the feelings could consider it pity or something else.creepycoug said:
It's my inherently peaceful and spiritual nature to which people are drawn. Stalin recognized this in me. It's a gift.GreenRiverGatorz said:I have nothing to add, but what a fine thread this has been. Hats off to you @creepycoug for putting together a diverse community of people who are otherwise shitheads to each other, but are nonetheless here behaving in the house you built.
And we must pay some homage to @Baseman , even though, like @Gladstone , he hates me.
Your view of yourself is not universal.
Consider the following totally made up situation. . . .One person sees someone who throws out untruths and then later claims he said something even more outrageous as proof that he was just engaging in hype. Nope. Caught in a mistruth. Hence. Pity.
People can ignore you for a lot a reasons. And, I would guess, few fall in the hate category.
Think about how you feel about the inbred trump supporters who beat policemen with flags. Is it possible that you don't hate someone who embraces that behavior (99 % of Tug)? You likely pity (insert other derogatory but not disdainful feeling here) someone who can't see though the(ir own) truth.
Rant over. But your newfound(?) peacemaking ability is good when its not seen through your own self interested tinted glasses.
Get over it. You are not Rod Smart. (btw, that could be your actual name as indicated in one of your recent posts).
And, yes, I am an ass on message boards (other than this one). It is still not real life.
PS: I was, in fact, being sarcastic about my peaceful and spiritual nature. I am more given to jumping into the fight, as you know. But I am trying to leave that behind in the hopes of making something of this forum. You were correct: this is supposed to be a place people can share a view and have it be critically evaluated without the knee-jerk pile-on. Which of course is easier when you're talking about money rather than politics and culture. -
I like the creep.
I don't have a ton of advice here because most of you are older than me. I blew about 200k and went bankrupt. But I can't get super mad about it.
I would have been better off leaving it where it was but then again I'd be hating my life doing pro sales.
Now I have a path and it's pretty great. Sometimes you just kind of have an epiphany. I was just lucky that I got something that lets me fake that I'm super qualified.
