ChatGPT write a script for a ******y YouTube grind culture video, and make it sound like a 23 year old.
millionaires
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Last: 21 hrs ago by MyMamaSaid
My favorite executives to hire are mid to late career single people or empty nesters. Overwhelmingly workaholics you'll get 2-10x out of then someone married with kids.
I'll hire all the single 35+ year olds if you won't.
I'll hire all the single 35+ year olds if you won't.
Coincidentally, I just ran across this in a WSJ article:
Quote:
The financial industry usually places the cutoff between "ultra-high net worth" and "high net worth" or "affluent" at $10 million in investible assets.
That's the amount it takes to get a call back for JPM private bank or similar pbs
Gordon McKernan said:
I'll bring us back to some reality...
34, 4 kids & SAHM. Outside of a couple small stints my wife has mainly stayed home as we had kids right away. We started with a net worth of negative $70K (student loans mainly).
Anyways, here is our breakdown.
Retirement: $600K
Cash/Brokerage: $300K
Equity: $180K
That puts me close to $1.1M right now.
Above doesn't count around $200K of unvested RSUs, of which a good portion will vest in the next 6 months, and I fully expect to receive another $100K+ grant then as well.
For most of my 20's i was making under $100K, and with multiple small kids at home on a single income, it wasn't always easy, but we never went without. I always invested what I could though. I switched companies 3 years ago and have done well and income has grown tremendously.
I also missed out by sitting on quite a bit of company stock for the past year that really didn't make me much while the S&P grew 25+%. That was dumb.
600k in your 401k is pretty wild after 12 years. That's putting in the max of 23.5k and averaging 13% a year. Assuming that wasn't the case so curious.
a healthy match makes the return more realistic
I have close to 500 within similar timeframe with many years at startups without match
I have close to 500 within similar timeframe with many years at startups without match
staying single was prob one of the biggest factors in hitting 7 figures in my 30s
an employer match could be doubling that $23k.Howdy Dammit said:Gordon McKernan said:
I'll bring us back to some reality...
34, 4 kids & SAHM. Outside of a couple small stints my wife has mainly stayed home as we had kids right away. We started with a net worth of negative $70K (student loans mainly).
Anyways, here is our breakdown.
Retirement: $600K
Cash/Brokerage: $300K
Equity: $180K
That puts me close to $1.1M right now.
Above doesn't count around $200K of unvested RSUs, of which a good portion will vest in the next 6 months, and I fully expect to receive another $100K+ grant then as well.
For most of my 20's i was making under $100K, and with multiple small kids at home on a single income, it wasn't always easy, but we never went without. I always invested what I could though. I switched companies 3 years ago and have done well and income has grown tremendously.
I also missed out by sitting on quite a bit of company stock for the past year that really didn't make me much while the S&P grew 25+%. That was dumb.
600k in your 401k is pretty wild after 12 years. That's putting in the max of 23.5k and averaging 13% a year. Assuming that wasn't the case so curious.
I'm sure this is typical for a lot of folks and makes sense on paper, but I'll offer the opposite perspective. Despite my wife being a SAHM with 5, I think we've done more together than I ever could have done alone.EliteZags said:
staying single was prob one of the biggest factors in hitting 7 figures in my 30s
Because we're a team, it helps us focus on our goals together. With her there to cheer me on and supporting me in my career, I know I've advanced way more than I ever would have on my own. And the same is true for her equally important role at home and the support that I provide her.
It's like the old story of how two individual horse can pull 10,000lbs each, but when drafted together, they can pull 40,000lbs total. It holds true for us. I'm really grateful for my bride and kids.
this seems backwards to me.EliteZags said:
staying single was prob one of the biggest factors in hitting 7 figures in my 30s
A couple can split mortgage/rent, utilities, bills, etc. and have much more income than one person.
I'm a twin. My brother had to take far fewer risks to reach the same net worth because he's married. She's been going to school for 3 years, had she not quit her job to go back to school they'd easily be doubling me up. As it stands we're about even. I imagine now that she's finished her degree they'll get back to accelerating.
I may end up better off, but it's because I have higher risk tolerance/correctly selected investments to fill that risk tolerance.
I may end up better off, but it's because I have higher risk tolerance/correctly selected investments to fill that risk tolerance.
hph6203 said:
I'm a twin. My brother had to take far fewer risks to reach the same net worth because he's married. She's been going to school for 3 years, had she not quit her job to go back to school they'd easily be doubling me up. As it stands we're about even. I imagine now that she's finished her degree they'll get back to accelerating.
I may end up better off, but it's because I have higher risk tolerance/correctly selected investments to fill that risk tolerance.
Is this something commonly talked about? Can't say I know the net worth of anyone in my family.
I have 4 brothers. I only have an idea of the net worth of my twin and roughly my parents as they're in their late 70's/early 80's (vague knowledge of an older brother). Fairly confident I'm ahead of the rest of the brothers on wealth. My twin and I are 3, 12 and 14 years younger than the rest.
62strat said:this seems backwards to me.EliteZags said:
staying single was prob one of the biggest factors in hitting 7 figures in my 30s
A couple can split mortgage/rent, utilities, bills, etc. and have much more income than one person.
That's what we did. Got married at 23/24, waited 6-7 years to have kids. Lived off of my income, socked 100% of my wife's away. When we had kids, she quit working, but we were already accustomed to living on a single income from a cash flow standpoint. So no change in standard of living.
Worked very well for us.
This will be a long post. I got to a million (actually over two million) at age 36 by just slogging through life and doing it the traditional way. I don't need to be worth $100 million. If I retire worth $12-$15 million, that's fine with me. I just did well at A&M, did well in law school, and worked hard while jumping on opportunities here and there if they made sense and weren't too risky.
Full disclosure: I make way more money practicing law than the average person and even the average professional makes, so I have a big advantage there. Also my wife is a lawyer too. She doesn't work full time right now and hasn't for about 5 years, but she has high earning capacity if she ever decides to.
That being said:
We graduated law school in 2012 making $235k base between the two of us. I had saved up some money working during law school (made sure only to take paid summer clerkships), and my parents gave us $10k when we got married. We bought a $400,000 house in 2013 at age 25 (put 10% down), and also had approximately $90,000 in student loan debt, and $35,000 or so debt for new cars.
We never budgeted and still have never budgeted. We just worked, tried not to spend too much on eating out or frivolous things (sometimes unsuccessfully), and put as much money as we could toward debt. Got the cars paid off by 2017, student loans paid off in 2018. Paid off the house in 2021, sold it for $625,000 and bought an $800,000 house that has since gone up to $1.1 million. Got that house paid off about 6 months ago.
In the meantime, I bought some undeveloped property near New Braunfels for $35,000 cash, and it has gone up to about $200,000 in value. Bought one rental house for $225,000 for 25% down. It has gone up to about $325,000 and cash flows plus some on a 15 year note. I bought 1.0 BTC at $27,000 which is now of course worth $105,000. I have about $150,000 in a Schwab account in some large cap stocks, mostly Apple. I have two fully funded Texas Tuition Promise Fund accounts that are worth at least $125,000 and can be liquidated at value if I ever need to. Then I have about $300,000 cash in a high yield savings that makes $1,100 or so per month. I pull from or add to that as things come up. And between me and my wife we have approximately $500,000 in our 401ks.
And all of that is after buying two new cars for cash in the last two years, and also paying for private school at $10,000 per kid per year.
We're in a really good place right now. House paid off and zero debt other than the note on the rental house that pays for itself, won't need new cars for at least 6-7 years, college is paid for in full (at least tuition and fees).
So if you total up the non-homestead real estate equity, the bitcoin, the Schwab account, college accounts, high yield savings, and 401ks, it's conservatively $1.6 million. Add on the house, and it's $2.7 million. If you conservatively assume $100,000 in cars and other personal effects, that's $2.8 million. Now that we have no debt, that number should ramp up pretty quickly I'm hoping.
Again though, I have a significant advantage because of my salary. I have almost $14,000 after tax/401k hitting my bank account every two weeks, and my end of year bonus/draw is always six figures by itself.
But just ignoring the numbers above, based on concept, my experience tells me the best path to financial security for the average person is (1) do well in school, (2) find a job with fair compensation and upward mobility, and work as hard as you can, (3) buy some real estate, (4) take moderate risks where it makes sense and you can afford it (buying a bitcoin), (5) put cash in some solid, reliable growth stocks or ETFs, (6) if you have free cash, at least put it in something that will bear interest or pay dividends so you aren't losing it to inflation, and (7) prioritize getting rid of debt. That last one is probably controversial on here because some people like to fantasize about "I can keep this 3.5% note for 20 years and use my cash to make 5% doing xyz," but the reality is the average person probably is not going to be able to do that as consistently as their monthly debt payment hits. And most people aren't making enough money to leverage debt to their advantage.
Two last things I have observed:
1. Don't marry somebody crazy who you are going to divorce. It could set you back years.
2. Be patient. Even at my income level, for 7 or 8 years I felt like "where in the hell is all of our money going? How are we making $250k/$325k/$400k and it still feels like we don't have that much?" Eventually you hit a point where your debt is paid down enough, your income has risen enough, and your investments have accrued enough that it all starts to snowball and you realize it actually paid off. For me that happened about 2 years ago at age 34. It could be earlier or later for other people, but eventually it will happen.
Again, these are just my observations based on my own experience for obtaining financial security. Attaining multi-generational wealth is a different story and something I have not done.
Full disclosure: I make way more money practicing law than the average person and even the average professional makes, so I have a big advantage there. Also my wife is a lawyer too. She doesn't work full time right now and hasn't for about 5 years, but she has high earning capacity if she ever decides to.
That being said:
We graduated law school in 2012 making $235k base between the two of us. I had saved up some money working during law school (made sure only to take paid summer clerkships), and my parents gave us $10k when we got married. We bought a $400,000 house in 2013 at age 25 (put 10% down), and also had approximately $90,000 in student loan debt, and $35,000 or so debt for new cars.
We never budgeted and still have never budgeted. We just worked, tried not to spend too much on eating out or frivolous things (sometimes unsuccessfully), and put as much money as we could toward debt. Got the cars paid off by 2017, student loans paid off in 2018. Paid off the house in 2021, sold it for $625,000 and bought an $800,000 house that has since gone up to $1.1 million. Got that house paid off about 6 months ago.
In the meantime, I bought some undeveloped property near New Braunfels for $35,000 cash, and it has gone up to about $200,000 in value. Bought one rental house for $225,000 for 25% down. It has gone up to about $325,000 and cash flows plus some on a 15 year note. I bought 1.0 BTC at $27,000 which is now of course worth $105,000. I have about $150,000 in a Schwab account in some large cap stocks, mostly Apple. I have two fully funded Texas Tuition Promise Fund accounts that are worth at least $125,000 and can be liquidated at value if I ever need to. Then I have about $300,000 cash in a high yield savings that makes $1,100 or so per month. I pull from or add to that as things come up. And between me and my wife we have approximately $500,000 in our 401ks.
And all of that is after buying two new cars for cash in the last two years, and also paying for private school at $10,000 per kid per year.
We're in a really good place right now. House paid off and zero debt other than the note on the rental house that pays for itself, won't need new cars for at least 6-7 years, college is paid for in full (at least tuition and fees).
So if you total up the non-homestead real estate equity, the bitcoin, the Schwab account, college accounts, high yield savings, and 401ks, it's conservatively $1.6 million. Add on the house, and it's $2.7 million. If you conservatively assume $100,000 in cars and other personal effects, that's $2.8 million. Now that we have no debt, that number should ramp up pretty quickly I'm hoping.
Again though, I have a significant advantage because of my salary. I have almost $14,000 after tax/401k hitting my bank account every two weeks, and my end of year bonus/draw is always six figures by itself.
But just ignoring the numbers above, based on concept, my experience tells me the best path to financial security for the average person is (1) do well in school, (2) find a job with fair compensation and upward mobility, and work as hard as you can, (3) buy some real estate, (4) take moderate risks where it makes sense and you can afford it (buying a bitcoin), (5) put cash in some solid, reliable growth stocks or ETFs, (6) if you have free cash, at least put it in something that will bear interest or pay dividends so you aren't losing it to inflation, and (7) prioritize getting rid of debt. That last one is probably controversial on here because some people like to fantasize about "I can keep this 3.5% note for 20 years and use my cash to make 5% doing xyz," but the reality is the average person probably is not going to be able to do that as consistently as their monthly debt payment hits. And most people aren't making enough money to leverage debt to their advantage.
Two last things I have observed:
1. Don't marry somebody crazy who you are going to divorce. It could set you back years.
2. Be patient. Even at my income level, for 7 or 8 years I felt like "where in the hell is all of our money going? How are we making $250k/$325k/$400k and it still feels like we don't have that much?" Eventually you hit a point where your debt is paid down enough, your income has risen enough, and your investments have accrued enough that it all starts to snowball and you realize it actually paid off. For me that happened about 2 years ago at age 34. It could be earlier or later for other people, but eventually it will happen.
Again, these are just my observations based on my own experience for obtaining financial security. Attaining multi-generational wealth is a different story and something I have not done.
It took me a while to get there, but I will only buy used vehicles from here on out. Low mileage, low cost. All they do is get me to work and back home. It's very nice not having a car payment. Plus, no one cares what you drive.
Me too. I've only bought a couple new cars in my life, and that was a long time ago (I'm in my 60's).Buford T. Justice said:
It took me a while to get there, but I will only buy used vehicles from here on out. Low mileage, low cost. All they do is get me to work and back home. It's very nice not having a car payment. Plus, no one cares what you drive.
But I DO purchase high quality used vehicles. Here in southern Florida, a lot of wealthy snowbirds lease cars for 2 years and they are mostly garaged. I've gotten great deals on my last 2 cars (one each for my wife and I) with only 10 and 14K miles on them. The oldest is now 10 years old and I'm feeling like it has another 5-10 years of reliable transportation in it.
I think everyone here is well aware the past couple of years, especially if you're a homeowner, have been really good to our overall portfolios. Virtually every asset class has enjoyed some solid, if not spectacular, returns since the beginning of 2023.
While just about everyone agrees that markets generally look healthy in the short term, there is definite cause for concern that markets are just really expensive. I've been wondering this for the past couple of months and am starting to see articles like this one appear more frequently.
https://www.wsj.com/finance/stocks/why-this-frothy-market-has-me-scared-295c07c3?st=W4bxTD&reflink=article_copyURL_share
Yes, behind a paywall, so the cliff's notes:
- The market feels toppy. There is no science to this and readers will have to judge for themselves. But here are a bunch of things that make me think trouble might be imminent for stocksperhaps a correction, perhaps the start of something bigger, but at least a bump in the road.
- Bulls are everywhere. Bears are hard to find.
- Investment newsletter writers have rarely been more bullish or less bearish, according to the weekly survey by Investors Intelligence.
- And fund managers shifted after the election to be more overweight U.S. stocks than any time since 2013, pretty much as all-in on the U.S. as they have ever been.
- Almost everyone agrees AI and the U.S. economy are great.
- No one cares about valuation.
- Inside trades. The one group not buying into the story are corporate executives.
- This feels like a good time to take some money off the table.
No crystal ball here and I'm a believer of being in the market. However, I haven't put any cash to work since late 2023. Like Warren Buffet, I'm personally waiting for equities to go on sale.
While just about everyone agrees that markets generally look healthy in the short term, there is definite cause for concern that markets are just really expensive. I've been wondering this for the past couple of months and am starting to see articles like this one appear more frequently.
https://www.wsj.com/finance/stocks/why-this-frothy-market-has-me-scared-295c07c3?st=W4bxTD&reflink=article_copyURL_share
Yes, behind a paywall, so the cliff's notes:
- The market feels toppy. There is no science to this and readers will have to judge for themselves. But here are a bunch of things that make me think trouble might be imminent for stocksperhaps a correction, perhaps the start of something bigger, but at least a bump in the road.
- Bulls are everywhere. Bears are hard to find.
- Investment newsletter writers have rarely been more bullish or less bearish, according to the weekly survey by Investors Intelligence.
- And fund managers shifted after the election to be more overweight U.S. stocks than any time since 2013, pretty much as all-in on the U.S. as they have ever been.
- Almost everyone agrees AI and the U.S. economy are great.
- No one cares about valuation.
- Inside trades. The one group not buying into the story are corporate executives.
- This feels like a good time to take some money off the table.
No crystal ball here and I'm a believer of being in the market. However, I haven't put any cash to work since late 2023. Like Warren Buffet, I'm personally waiting for equities to go on sale.
I think in general, there's always a lot of vocal people bearish a rising market. Given my long term investment horizon, I usually just deploy money into the market slower instead of selling if I am nervous.
I will say, while the last two years have been amazing for equities, 2022 was not. The returns the past two years have not been outsized returns historically - just two solid years back to back. I'm ultimately very bullish America relative to other economies for many reasons, but that has become a crowded trade.
Headwinds:
I think inflation is coming back with the new administration. Bond yields are already pricing this in, and have since August.
Geopolitical risk will be high for the next 5-10 years.
The Chinese economic data is awful.
If you're concerned about about markets:
Keep more cash in MM funds ready to act.
Don't buy bitcoin or TSLA at this point... Both of these assets are priced with hope.
Develop an investment strategy for a crisis and remove emotions from the decision. During COVID, I bought $10k+ on every double digit down day.
Don't be surprised if the crisis doesn't happen anytime soon, and make sure whatever strategy you have accounts for that outcome.
As it stands, I don't see a catalyst for a real crisis or even economic slowdown in America today. Airports are packed. Restaurants packed. Hotels full. The American consumer is and has been strong. Stocks are expensive, but maybe there's good reasons.
I will say, while the last two years have been amazing for equities, 2022 was not. The returns the past two years have not been outsized returns historically - just two solid years back to back. I'm ultimately very bullish America relative to other economies for many reasons, but that has become a crowded trade.
Headwinds:
I think inflation is coming back with the new administration. Bond yields are already pricing this in, and have since August.
Geopolitical risk will be high for the next 5-10 years.
The Chinese economic data is awful.
If you're concerned about about markets:
Keep more cash in MM funds ready to act.
Don't buy bitcoin or TSLA at this point... Both of these assets are priced with hope.
Develop an investment strategy for a crisis and remove emotions from the decision. During COVID, I bought $10k+ on every double digit down day.
Don't be surprised if the crisis doesn't happen anytime soon, and make sure whatever strategy you have accounts for that outcome.
As it stands, I don't see a catalyst for a real crisis or even economic slowdown in America today. Airports are packed. Restaurants packed. Hotels full. The American consumer is and has been strong. Stocks are expensive, but maybe there's good reasons.
you do seem like a cool guy.. and you are killing it! there are many paths to wealth. congrats on your success while "young"the most cool guy said:
This will be a long post. I got to a million (actually over two million) at age 36 by just slogging through life and doing it the traditional way. I don't need to be worth $100 million. If I retire worth $12-$15 million, that's fine with me. I just did well at A&M, did well in law school, and worked hard while jumping on opportunities here and there if they made sense and weren't too risky.
Full disclosure: I make way more money practicing law than the average person and even the average professional makes, so I have a big advantage there. Also my wife is a lawyer too. She doesn't work full time right now and hasn't for about 5 years, but she has high earning capacity if she ever decides to.
That being said:
We graduated law school in 2012 making $235k base between the two of us. I had saved up some money working during law school (made sure only to take paid summer clerkships), and my parents gave us $10k when we got married. We bought a $400,000 house in 2013 at age 25 (put 10% down), and also had approximately $90,000 in student loan debt, and $35,000 or so debt for new cars.
We never budgeted and still have never budgeted. We just worked, tried not to spend too much on eating out or frivolous things (sometimes unsuccessfully), and put as much money as we could toward debt. Got the cars paid off by 2017, student loans paid off in 2018. Paid off the house in 2021, sold it for $625,000 and bought an $800,000 house that has since gone up to $1.1 million. Got that house paid off about 6 months ago.
In the meantime, I bought some undeveloped property near New Braunfels for $35,000 cash, and it has gone up to about $200,000 in value. Bought one rental house for $225,000 for 25% down. It has gone up to about $325,000 and cash flows plus some on a 15 year note. I bought 1.0 BTC at $27,000 which is now of course worth $105,000. I have about $150,000 in a Schwab account in some large cap stocks, mostly Apple. I have two fully funded Texas Tuition Promise Fund accounts that are worth at least $125,000 and can be liquidated at value if I ever need to. Then I have about $300,000 cash in a high yield savings that makes $1,100 or so per month. I pull from or add to that as things come up. And between me and my wife we have approximately $500,000 in our 401ks.
And all of that is after buying two new cars for cash in the last two years, and also paying for private school at $10,000 per kid per year.
We're in a really good place right now. House paid off and zero debt other than the note on the rental house that pays for itself, won't need new cars for at least 6-7 years, college is paid for in full (at least tuition and fees).
So if you total up the non-homestead real estate equity, the bitcoin, the Schwab account, college accounts, high yield savings, and 401ks, it's conservatively $1.6 million. Add on the house, and it's $2.7 million. If you conservatively assume $100,000 in cars and other personal effects, that's $2.8 million. Now that we have no debt, that number should ramp up pretty quickly I'm hoping.
Again though, I have a significant advantage because of my salary. I have almost $14,000 after tax/401k hitting my bank account every two weeks, and my end of year bonus/draw is always six figures by itself.
But just ignoring the numbers above, based on concept, my experience tells me the best path to financial security for the average person is (1) do well in school, (2) find a job with fair compensation and upward mobility, and work as hard as you can, (3) buy some real estate, (4) take moderate risks where it makes sense and you can afford it (buying a bitcoin), (5) put cash in some solid, reliable growth stocks or ETFs, (6) if you have free cash, at least put it in something that will bear interest or pay dividends so you aren't losing it to inflation, and (7) prioritize getting rid of debt. That last one is probably controversial on here because some people like to fantasize about "I can keep this 3.5% note for 20 years and use my cash to make 5% doing xyz," but the reality is the average person probably is not going to be able to do that as consistently as their monthly debt payment hits. And most people aren't making enough money to leverage debt to their advantage.
Two last things I have observed:
1. Don't marry somebody crazy who you are going to divorce. It could set you back years.
2. Be patient. Even at my income level, for 7 or 8 years I felt like "where in the hell is all of our money going? How are we making $250k/$325k/$400k and it still feels like we don't have that much?" Eventually you hit a point where your debt is paid down enough, your income has risen enough, and your investments have accrued enough that it all starts to snowball and you realize it actually paid off. For me that happened about 2 years ago at age 34. It could be earlier or later for other people, but eventually it will happen.
Again, these are just my observations based on my own experience for obtaining financial security. Attaining multi-generational wealth is a different story and something I have not done.
No material on this site is intended to be a substitute for professional medical advice, diagnosis or treatment. See full Medical Disclaimer.
I agree that my "gut instinct" is that the market is overbought as well and a stock market correction is probably due. However, I'm still heavily invested in the market, and the reasoning is the 401k market. Salaries are up substantially in the past 5 years which means more money is being shoveled into the market through 401k contributions by millions of Americans than ever before. That is pretty inelastic investment in terms of demand, so its my belief that this will continue to prop up the stock market higher, as the divide between the stock market health and economy health continues to separate.
By not putting any cash to work since late 2023, you've missed out on a 28% return on your money YTD. The market was down 20%+ in 2022 and 2023, went down as much as 10% in 2024, and has always rebounded.MyMamaSaid said:
I think everyone here is well aware the past couple of years, especially if you're a homeowner, have been really good to our overall portfolios. Virtually every asset class has enjoyed some solid, if not spectacular, returns since the beginning of 2023.
While just about everyone agrees that markets generally look healthy in the short term, there is definite cause for concern that markets are just really expensive. I've been wondering this for the past couple of months and am starting to see articles like this one appear more frequently.
https://www.wsj.com/finance/stocks/why-this-frothy-market-has-me-scared-295c07c3?st=W4bxTD&reflink=article_copyURL_share
Yes, behind a paywall, so the cliff's notes:
- The market feels toppy. There is no science to this and readers will have to judge for themselves. But here are a bunch of things that make me think trouble might be imminent for stocksperhaps a correction, perhaps the start of something bigger, but at least a bump in the road.
- Bulls are everywhere. Bears are hard to find.
- Investment newsletter writers have rarely been more bullish or less bearish, according to the weekly survey by Investors Intelligence.
- And fund managers shifted after the election to be more overweight U.S. stocks than any time since 2013, pretty much as all-in on the U.S. as they have ever been.
- Almost everyone agrees AI and the U.S. economy are great.
- No one cares about valuation.
- Inside trades. The one group not buying into the story are corporate executives.
- This feels like a good time to take some money off the table.
No crystal ball here and I'm a believer of being in the market. However, I haven't put any cash to work since late 2023. Like Warren Buffet, I'm personally waiting for equities to go on sale.
How much of a sale are you looking for? If you keep waiting for a sale, it might take a really long time and you will obviously keep missing out on returns.
Agree with above.. not being in the market for last two years was a huge missed opportunity.
My entire net worth is up 30% ytd. Not just a few stocks, my entire portfolio.
It's why no one ever argues with DCA.
My entire net worth is up 30% ytd. Not just a few stocks, my entire portfolio.
It's why no one ever argues with DCA.
Very well said, Gordo. Yeah, 2022 stunk and agree the past 2 years are just 2 solid back-to-back years.
I'm with you in that my investing principle is to stash cash (MM) when markets are frothy and push piles of chips in when equities go on sale (e.g. March & April 2020, Dec 2022).
Conversely, my plans to withdraw are reflective of the WSJ article I posted. I'm about ~5 years out from starting to reverse my pattern and take chips off the table in piles when markets are really high to fund my lifestyle. It's effectively hedging downside volatility risk and/or sequence of returns risk.
I'm with you in that my investing principle is to stash cash (MM) when markets are frothy and push piles of chips in when equities go on sale (e.g. March & April 2020, Dec 2022).
Conversely, my plans to withdraw are reflective of the WSJ article I posted. I'm about ~5 years out from starting to reverse my pattern and take chips off the table in piles when markets are really high to fund my lifestyle. It's effectively hedging downside volatility risk and/or sequence of returns risk.
Fair point - I'm generally looking for a 20% dip to push chips in. I started to think that might happen in August, but things reversed for the better later in August & September.
As of 1/1/2024, I had 99% of my liquid assets in equities. The cash I've stashed so far this year brings that level to 94% of liquid assets invested in equities as of today. I'm not sure what my personal rate of return would be on incremental investments throughout 2024, but I'm at peace with where I'm at. I DCA in my tax-sheltered accounts (401k, Keough, etc), but that's about half of my annual invested cash. My personal preference in my taxable accounts are just to wait for sales and push chips in opportunistically since ~2010. I was a constant DCA investor for 15 years prior to 2010. YMMV.
Outside of equities, I made a big (to me) real estate acquisition in May 2023 that has appreciated beyond my wildest expectations. That asset now represents 85% of my illiquid net worth and 24% of my total net worth.
As many have said, there are 100+ ways to build wealth and real estate can definitely be a big component.
Appreciate this thread & discussion. Hoping this thread inspires and/or helps folks out.
As of 1/1/2024, I had 99% of my liquid assets in equities. The cash I've stashed so far this year brings that level to 94% of liquid assets invested in equities as of today. I'm not sure what my personal rate of return would be on incremental investments throughout 2024, but I'm at peace with where I'm at. I DCA in my tax-sheltered accounts (401k, Keough, etc), but that's about half of my annual invested cash. My personal preference in my taxable accounts are just to wait for sales and push chips in opportunistically since ~2010. I was a constant DCA investor for 15 years prior to 2010. YMMV.
Outside of equities, I made a big (to me) real estate acquisition in May 2023 that has appreciated beyond my wildest expectations. That asset now represents 85% of my illiquid net worth and 24% of my total net worth.
As many have said, there are 100+ ways to build wealth and real estate can definitely be a big component.
Appreciate this thread & discussion. Hoping this thread inspires and/or helps folks out.
Considering our debt load and the severe volatility of geopolitics right now, we are gong to have to pay the piper. $35T in debt and climbing at a pace of $3-4T per year is unsustainable. Our debt service is now climbing higher than our biggest ticket items. It's already higher than defense spending.
The question will always be when will this happen? Who knows but we are closer than to it than ever before. We all just assume the music won't stop while we are fully exposed. In my lifetime, we've gone from <$1T in debt to $35T. The former was manageable through fiat money policy. The latter is not.
It's scary but there is also nothing to be really don't about it other than working a risk mitigation plan to limit your losses as much as possible. Even that is almost pointless in a world where our Debt finally comes calling.
It's going to be catastrophic and make the Depression look like child's play.
Good luck to all!
The question will always be when will this happen? Who knows but we are closer than to it than ever before. We all just assume the music won't stop while we are fully exposed. In my lifetime, we've gone from <$1T in debt to $35T. The former was manageable through fiat money policy. The latter is not.
It's scary but there is also nothing to be really don't about it other than working a risk mitigation plan to limit your losses as much as possible. Even that is almost pointless in a world where our Debt finally comes calling.
It's going to be catastrophic and make the Depression look like child's play.
Good luck to all!
There are a few extra items bucketed in here which could be called out separate but was trying to keep it high-level.
I included my kids 529 (which is very underfunded) at ~$45k, and my HSA (which is ~$40k). Also includes my wife's old 401k balances which have remained invested and are ~$35k.
At my last company they didn't have a cash bonus but did implement a profit sharing plan that got deposited into my vangaurd (can't touch till retirement). Usual payout was 8-10% of salary, I probably got 4 or 5 years of that plan before I left. Otherwise 401k matches have always been 3-4%.
I included my kids 529 (which is very underfunded) at ~$45k, and my HSA (which is ~$40k). Also includes my wife's old 401k balances which have remained invested and are ~$35k.
At my last company they didn't have a cash bonus but did implement a profit sharing plan that got deposited into my vangaurd (can't touch till retirement). Usual payout was 8-10% of salary, I probably got 4 or 5 years of that plan before I left. Otherwise 401k matches have always been 3-4%.
Another year in the books, coming up on 33, looks like will be up ~$400K this year. Currently slowing down on retirement contributions. Probably will be looking for a new job this year. I think our pace will slow down in 2025 as we potentially add a second kiddo to our family and with my wife deciding to leave her job to stay home full time.AgDrone14 said:Looks like Net Worth will finish ~$300K up this year compared to last year as I approach 32 years old in the next couple of months. ~$1.4M NW.AgDrone14 said:
Still hanging in there, pretty busy chart admittedly
https://imgur.com/bqz7nQc
Not bad but certainly could've improved more if I wasn't so heavily allocated for cash waiting to purchase the right property. Cash is currently around 17%
https://i.imgur.com/zj0sLlm.jpeg
With the money Elon and Vivek are about to save taxpayers, deficit spending will be greatly reduced and the debt can start to get paid down.YouBet said:
Considering our debt load and the severe volatility of geopolitics right now, we are gong to have to pay the piper. $35T in debt and climbing at a pace of $3-4T per year is unsustainable. Our debt service is now climbing higher than our biggest ticket items. It's already higher than defense spending.
The question will always be when will this happen? Who knows but we are closer than to it than ever before. We all just assume the music won't stop while we are fully exposed. In my lifetime, we've gone from <$1T in debt to $35T. The former was manageable through fiat money policy. The latter is not.
It's scary but there is also nothing to be really don't about it other than working a risk mitigation plan to limit your losses as much as possible. Even that is almost pointless in a world where our Debt finally comes calling.
It's going to be catastrophic and make the Depression look like child's play.
Good luck to all!
I'm somewhere between these two extremes. I wish Elon/Vivek the best, but if Trump actually follows through on his promises (no taxes on tips, social security, and other expensive deficit-building ideas), he will be a major obstacle in their progress. Is there anyone other than these two "consultants" within government who has the stomach to reduce deficit spending? And let's start with not further increasing the debt - that would be a good accomplishment - then we'll see if we can "pay it down". Not to mention fixing the time bomb of social security. I'm not real bullish on any of these, but I am bullish on the US economy, so hopefully, we will all figure it out (or the next generation is bolder than us).I Am A Critic said:With the money Elon and Vivek are about to save taxpayers, deficit spending will be greatly reduced and the debt can start to get paid down.YouBet said:
Considering our debt load and the severe volatility of geopolitics right now, we are gong to have to pay the piper. $35T in debt and climbing at a pace of $3-4T per year is unsustainable. Our debt service is now climbing higher than our biggest ticket items. It's already higher than defense spending.
The question will always be when will this happen? Who knows but we are closer than to it than ever before. We all just assume the music won't stop while we are fully exposed. In my lifetime, we've gone from <$1T in debt to $35T. The former was manageable through fiat money policy. The latter is not.
It's scary but there is also nothing to be really don't about it other than working a risk mitigation plan to limit your losses as much as possible. Even that is almost pointless in a world where our Debt finally comes calling.
It's going to be catastrophic and make the Depression look like child's play.
Good luck to all!
Savior from Elon is more likely to come in the form of a radical increase in productivity/reduction in the cost of labor relative to productivity rather than government cuts. Growth over restriction. Think in terms of in home nursing care falling from ~$100,000/yr to $10,000/yr. Freight costs falling by half or more. Potentially on the edge of a AI/robotics revolution that could make every other rapid increase in productivity look like a flat line.
I'm impressed you're tracking this to that granular of a level on a quarterly/monthly basis. I do check my accounts frequently but I do a single year end valuation. Easy to do with cash accounts and all in Quickbooks but pulling in all investment accounts and business investments would be more difficult.
We aren't very sophisticated with our assets. I can update everything in ~5 mins on a Sunday night and it's not a super precise exercise. Seems like checking in monthly has been good for us, especially as we tighten things up a little bit as we move to 1 income.Daytona22 said:
I'm impressed you're tracking this to that granular of a level on a quarterly/monthly basis. I do check my accounts frequently but I do a single year end valuation. Easy to do with cash accounts and all in Quickbooks but pulling in all investment accounts and business investments would be more difficult.
We basically have accounts in three different places (Banking, IRAs/Taxable/etc., Workplace 401ks)
I set the vehicles to auto depreciate a small percentage every month (don't care enough to try to be precise with this and I'm probably understating them as is)
Leave the value of the house flat
Check credit card balance, no other debt
Done
I think monthly is more info than you need if you're looking to forecast your net worth out until retirement. My fidelity can go up and down so much in a month.. I wouldn't want to use any of those points to forecast future.
So I do it on Jan 1. It's only about 3 log ins total to get all the info I need.
I already have vehicle and house payoff schedules in there.
So every new year, that column becomes fixed, and future years can be forecasted with the ability to input a desired growth rate which I keep at about 7%, even though my 14 years of past data indicate we've grown about 22% every year.
So I do it on Jan 1. It's only about 3 log ins total to get all the info I need.
I already have vehicle and house payoff schedules in there.
So every new year, that column becomes fixed, and future years can be forecasted with the ability to input a desired growth rate which I keep at about 7%, even though my 14 years of past data indicate we've grown about 22% every year.
Cyp0111 said:
That's the amount it takes to get a call back for JPM private bank or similar pbs
Not for me but he clearly approached me thinking it's smart to get a young hungry guy he knows will crush
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