Finance Advice Thread

[Hawker]

Finally hit $100k today.

Feels amazing but now I don't know what else to work towards.

Look up CD Ladders for that $100k.
Put $25k each in 3 month, 6 month, 9 month and 1 year CD and as each one matures take the earnings and reinvents the principal in the CD so you'll always have money coming in every three months. When the 3 month CD matures, put it in a one year CD, same with the 6 and 9 month.

There's no reason for you to continue to save as you'll be over saving at this point. You have your emergency fund. Now you need to maximize your retirement contributions and look to buy a home. Start saving for a house deposit.

Buying a home makes sense to avoid paying mortgage or rent in your retirement as that eliminates a huge expense.

You can also maybe increase the amount of money you put towards your leisure activities or long term holiday fund.

[sammichoffate]

Finally hit $100k today.

Feels amazing but now I don't know what else to work towards.

Watch Graham Stephan, great resource. The big three would be businesses, stocks, or real estate. They all have their pros and cons.

[Draz]

Thanks fellas. I'm way too liquid. I'm going to have to make a move soon. I was a man on a mission this year to hit this goal. Not sure how I compare to other people my age (27) but, I can tell I'm doing decent. I just need to focus on my future now and stability (mental and emotional) for how stressed I am with this line of work. I'm exhausted.

That's my biggest worry. I can't be too excited with this accomplishment until I finish this out.

[egokiller]

Thanks fellas. I'm way too liquid. I'm going to have to make a move soon. I was a man on a mission this year to hit this goal. Not sure how I compare to other people my age (27) but, I can tell I'm doing decent. I just need to focus on my future now and stability (mental and emotional) for how stressed I am with this line of work. I'm exhausted.

That's my biggest worry. I can't be too excited with this accomplishment until I finish this out.

I saved my first $100k in liquid when I was 28 and single so if you did this with just your portion of total household income while married, it’s actually pretty impressive considering the fact that saving with 2 people’s purchasing interests in mind is more difficult than just your own. Ultimately you want to get to the point where you have a career that is not stressful and pulling in 6 figures a year. Find someone you know that has done this, and model your career after theirs. That’s what I did. The end result is so much free time and minimal stress lifestyle where at that point your just setting small goals and knock them out one at a time. With regards to sound investments, read...read....and then read again. Then talk to people who have done well and absorb their advice like a sponge.

This forum is excellent:

https://www.bogleheads.org/forum/index.php

[bladefd]

Consider betterment.com if you are too lazy to research/buy/sell stocks yourself. Betterment uses artificial intelligence to automate the process and maximize efficiency

[Hawker]

I saved my first $100k in liquid when I was 28 and single so if you did this with just your portion of total household income while married, it’s actually pretty impressive considering the fact that saving with 2 people’s purchasing interests in mind is more difficult than just your own. Ultimately you want to get to the point where you have a career that is not stressful and pulling in 6 figures a year. Find someone you know that has done this, and model your career after theirs. That’s what I did. The end result is so much free time and minimal stress lifestyle where at that point your just setting small goals and knock them out one at a time. With regards to sound investments, read...read....and then read again. Then talk to people who have done well and absorb their advice like a sponge.

This forum is excellent:

https://www.bogleheads.org/forum/index.php

I'm in the Vanguard retirement 2045 retirement fund.

John Bogle is a great man. Invented the first index fund.

Man I bought six chicken thighs for only $3.50 (not USD) and bought a bag of potatoes for $4.00 made a great tasting mealfor really about $3.50 in total that lasted two meals.

That's cheaper than any fast food or restaurant meal.

[egokiller]

I'm in the Vanguard retirement 2045 retirement fund.

John Bogle is a great man. Invented the first index fund.

Man I bought six chicken thighs for only $3.50 (not USD) and bought a bag of potatoes for $4.00 made a great tasting mealfor really about $3.50 in total that lasted two meals.

That's cheaper than any fast food or restaurant meal.

That

[sammichoffate]

Was talking to accountant coworker at work today, she said that if you have money lying around and maxed out retirement for the year that buying+renting out a property on airbnb would be an option.

https://www.youtube.com/watch?v=fvK6ihMzJbE

@Sajo

Definitely something to consider if your area allows it.

[Hawker]

BUMP

I haven't adjusted anything.

I'm continuing to buy. This is going to pay off long term.

I'm nowhere near rich and taking advantage of this. Luckily, I have cash in an emergency fund so I'm not worried about pulling my money out. That's the importance of having an emergency fund. Can take advantage of the current situation and not have to worry as much.

[bladefd]

I will buy some stocks, even though I don't have much money. Which stocks are the safest buys? Airline companies and energy companies? Nobody is going without electricity. Maybe some food market chain like Walmart?

What do you all use to trade stocks with?

[Hawker]

I will buy some stocks, even though I don't have much money. Which stocks are the safest buys? Airline companies and energy companies? Nobody is going without electricity. Maybe some food market chain like Walmart?

What do you all use to trade stocks with?

Use Vanguard and just buy https://investor.vanguard.com/etf/profile/VOO
It's an ETF/index fund.

[bladefd]

Use Vanguard and just buy https://investor.vanguard.com/etf/profile/VOO
It's an ETF/index fund.

That's for long term investment, isn't it? Essentially buy and hold. What about for short term gains? Not exactly short sell, but buy & hold for a few months or a year then sell

[Hawker]

That's for long term investment, isn't it? Essentially buy and hold. What about for short term gains? Not exactly short sell, but buy & hold for a few months or a year then sell

I'm not a trader so I don't do short term investment.

I go long term/retirement only when it comes to stocks so I buy index and mutual funds.

[MaxFly]

That's for long term investment, isn't it? Essentially buy and hold. What about for short term gains? Not exactly short sell, but buy & hold for a few months or a year then sell

Technology stocks have the potential to bounce back quickly and are likely a good buy... especially companies that have a robust cloud component to their business model given that there will be a lot of talk and investment around remote work: so Amazon and Microsoft for sure. Apple might be a good bet. I expect their manufacturing pipeline in China to get back on track. Disney, Walmart, Target...

Avoid companies that are overleveraged... Tesla for instance.

[rawimpact]

Eh... I had quite a bit in a CIT account when it was 2.5%, and its obviously gone down but still, it's 1.75%. When CIT was significantly higher than most CDs even at 5 years so it was a no brainer... but even now, sacrificing a quarter percent for liquid asset is worth it. Especially when considering I've since used up half of that. If you don't need a lot of liquid in your checking account, redneckbank (All America bank) is at 2.25% for up to 10k which i assume is near what most people keep in their checking.

I just purchased 100 shares of SACH, it's a REIT that has been good to me in the past.