Why would be consider poor if we qualify to contribute to a Roth IRA?
From my understanding its $5,500 if you make less then $181,00 a year if you’re married & under 50years old…If you’re older you can contribute up to $6,500. Im kicking myself, we should have done this 10 years ago. We each will be contributing $5,500 per year for 15 years & then $6,500 per year for 10 more years.
What’s the average of interest gains on Roth IRA yearly?
Read NinetiesArcade’s post, the chart is there. I’m just saying, that’s not really much money to be bragging about. If that’s all I made with two people working I certainly wouldn’t be bragging about it. I can’t contribute to Roth IRA as an individual because my income is too high…actually I don’t get a lot of deductions like student loan interest either. A lot of stuff gets phased out…you pretty much have to do charitable contributions after you make a certain amount of salaried income.
As for interest gains, an IRA is just an account, it isn’t a specific investment. You can select different funds and such, you can self direct or you can get a managed one (where they will take their cut in fees too). So the interest returns are something you have to find on your own.
I do not keep an IRA account or 401k myself, but my situation is a bit different. I’m not really sure who those things benefit and work for, but everyone has to have their own personalized plan based on their situation. I would strongly suggest consulting with a financial adviser rather than just SRK. There are too many pitfalls for someone trying to do this by themselves as well, so I can’t in good conscience tell you to study up on it. Unless you have exposure to Wall St. I don’t think that is a good idea, you kind of have to see how things are done first.
How am i bragging? Also i dont work, my asian wife is the breadmaker…Making 6 figures annually is well above most people, not to mention we have zero debt, already own 2 homes that are paid for & 3 other homes overseas. We got 4more years to payoff kids college. So we are in good financial shape right now but im worried about the future/retirement which we never consider as we were mostly putting money on property & building up our savings account. Seeing interest rates are less then 1% its not worth putting it in CD’s & saving accounts anymore.
Now our main focus is retirement/kids college. Roth IRA seems like the logical thing to do now. Then probably try this stock stuff.
I’m not entirely sure how to contribute to this thread, but I suppose I can start off by how I’m now experiencing the struggle of debt as a college student. My grant wasn’t enough to cover my classes, so I will have to pay off the bill before I can register for summer classes. After speaking with the cashier at the student building at my school and receiving some clarify on my situation, I was re-directed to the main Financial Aid office, which I didn’t understand (at the moment I didn’t see how that was going to assist me). When the receptionist answered me and asked what was my question after I was directed to her, I just got fed up and hunged up the phone.
It’s also more stressful that my job isn’t even bothering to give me hours, so I don’t see how I can pay off my bill before May. Plus I will have to search for a new one if I want to aim for my license again, as well as fully paying off my credit card and being able to enroll in Kumdo lessons.
This shit is stressful. Hope you guys are doing well. #adulthood
@Rcaido: Serpent is right- sounds like you need to visit a Financial advisor. Everyone has a different scenario but based on what you have posted(no debt, multiple properties etc), you are in good shape except the retirement part. I know this thread is over 7 years old but some of the earlier post still holds true even today.
On a related note, here’s an interesting podcast on retirement. I have to admit, I never questioned the value of the American dream until I heard this particular cast. I can’t wait for part 4 next week.
Part 1
Part 2
Part 3
I know I’ve asked this before, but I’ll ask again:
Does your asian wife have an asian sister? Tell her about me. I make her happy LONG time. :smokin:
All jokes aside, I probably would be bragging if I had it like you. You got the wife, the cash and you don’t have to worry about some sort of criminal task force kicking your door down because a so-called trusted member of the “family” gave you up? Yeah, I’d be jealous of you if I were the kind of guy to get jealous. Instead, I give you the E-brofist :tup: I personally don’t know much about the IRA, but I know that if you have that much money coming in it will be a good idea for you to start it up while you’re young. As far as learning about stocks, I might be able to help you out with these websites:
there are a few others, but I remember those off the top of my head. There is a book I read that will give you all the basics about such things as money management as well. The one I got is called ,“sound mind investing”. It breaks it all down for the reader and gives you plenty of knowledge without making it so complicated that you’re too scared to go for it. Good luck mang.
-Starhammer-
Hey all, 1st time talking here, but not talking money(my father is a big name via veteran-status doing stocks, he taught me a LOT through blunt
metaphors that I listened to and understood completely but didn’t apply immediately, I was lazy as fuck before I started mentally growing up lol).
So far I’ve kept up my apartment(rent/bills/food/whatnot) and everything else with non-taxable income; how much of an impact would taxes have when I have to start factoring them
in(never had to pay them yet, will soon though)?
I fucks with this website often enough. I think this little part would be worth seeing by the eyes of the SRK crew.
-Starhammer-
@MechWarrior If you’re an employee who receives wages, you’ll pay social security taxes (6.2%) up to about $110k and medicare taxes (1.45%) on everything. Federal income tax rate is based on a progressive tax bracket and state tax rates vary. In a simple scenario, $70k in wages should equal about 17% in federal income taxes after averaging the bracket rates. To make budgeting easier, you should have your employer withhold enough fed and state taxes, so you don’t have to worry about paying anything come April 15th (you’ll get a refund if you withheld too much). You can always adjust your withholding rate later. If you’re self employed, taxes are a bit trickier. Just know that social security and medicare rates are doubled and your employer doesn’t withhold anything, so you need to save more of each paycheck.
oh and this is all if you’re filing as single.
All 100% relevant info, very helpful.
Thank you!
Read about this startup company that’s changing the way home loans are being offered. Think REIT in a more-personal level. Apparently last year’s returns were 5%-12%. I wish I have extra $$ around for this.
Looks like another crowdfunding loan company like Prosper.com or Lending Club, only exclusively for real estate.
Something to look into. Thanks Nineties Arcade.
-Starhammer-
Has anyone had experience with online banking (where there is no physical branch, it is all online)? Me and my wife have been thinking about getting into it, but we are unsure as to how to go about it. So has anyone had experience with it?
Well, not something with NO physical branch. I have to have a building that I can go to and talk to humans when things go wrong. I don’t even know of any all online banks. Personally, I’d say stick to the brick and mortar, but search and research to see which one will best serve your interests.
-Starhammer-
So… anyone buying Apple stocks today since they’re doing stock splits? If I have the money, I know I would. Watched the opening Apple conference stream last week and those new Kits+ ‘new’ programming language is really showing Apple’s long term goals.
Only do it if you’re comfortable trading in and out quickly. But nobody can do that anymore because of HFT machines, so you’d essentially be gambling in a rigged casino.
There is too much heat on Apple right now, you have to usually play things that have less attention on them.
Ironically, pre-split Apple was probably a safer bet because of the high price. But everyone played the options heavily because they were cheaper, and they’re still going to. If you’re dead set on getting Apple, at least look to what the options market looks like for expiry and work from that.
I am not a financial advisor blah blah blah disclaimer here.
i swing trade with some play-dough, though haven’t done much of that this year
my setup is simple: got a house, got my cars, got some cash and stable biz investments. more money would mean more stuff, though losing money would suck.
just don’t be greedy… and as a primary investment i’d take real estate over stocks any day. no matter what happens to the market, you’ll still have a house you can live and play in. if a stock tanks, it’s vapor.
I agree with this. Too many people prioritize stocks when it should be the very last area they put money into, after they take care of everything else first.
Real estate and business are the top two. You don’t want to be tied to an employer, and if your businesses get off the ground you aren’t.