How u Doing? Retirement savings.

[sobo]

I'm sure it will go down again. Back in 2008 a lot of my co-workers bailed out at the bottom and never got back in again. They were afraid it was going down more. When the market started climbing they didn't go in because they didn't believe it would continue. As a result they were to afraid to get back in. I rode the market down and lost about a third of my value. But I made that money back and a lot more in the ensuing years. Trying to time the market is a loser's game.

Back then, I lost 40% of my portfolio, but it wasn't very big back then anyway cuz the BSC wife was spending more than I made every month by an average of $1,000 month over month. Seriously! I went in the hole about $12,000 every year for 8+ years of marriage. Uncontrollable spending. I got the $100,000 credit card bill in the divorce, cuz the judge said "You have the ability to pay, and she doesn't because she doesn't work." I gladly traded her for the $100k credit card bill. Best trade ever...

Once I kicked her to the curb in 2009/2010 (for other reasons besides just monetary), I was finally able to gain control of my finances and started to make some money.
I went from a net worth of NEGATIVE $300k in 2009 at the height of the Great Recession to +$1.5 million net worth today, even after COVID.
Never again will I be in an upside-down position in an economic downturn. In the red in a downturn is not where you want to be!
I'm sittin' pretty where I am right now and it's only going to get better, cuz I am the one who's in control of the purse strings now..

 

[CountryGent]

How u Doing?

401(k) Balance: How You Compare to Others Your Age

Aloha, Mark

Interesting. We're past the forty-something figures, several times over. One of the things I am glad I, then we, did was get on retirement planning in our very early 20s. Something I recommend to younger folks who will listen is get in early, with good vehicles, and sock away as much as you can. Good investments, disciplined/automated investing, living well within ones means, and planning helps. But getting in early, with all that time, is a huge factor.

 

[ma96782]

That said, there will probably come a time when I can't actively help because I won't be around any longer, so I am hoping to make a difference after I am gone. Between my real estate and my retirement funds, I hope to make life easier for them after I am gone.

We all gotta go sometime.

Storytime.....
My mother passed away, leaving quite a sum. YES, I inherited a sum from her IRA that she didn't use. I cashed it in. And because of the amount, I don't qualify for the coronavirus stimulus money this year. Yeah.... my AGI went up. And, it was only for one year. It's not like I make that much on a regular basis. But whatever.

Anyway.....I plan on doing my estate planning, "a little differently."

Aloha, Mark

 

[slimmer13]

What gets me, is that if I was able to put the money involuntarily taken for SS into my 401k, I could probably retire 10-15 years earlier.

Pretty much everything the government does could be done better by private individuals and businesses. Those clamoring for gov run this or that, obviously have had minimal experience dealing with it.

 

[CLT65]

It surprises me sometimes to see some people lay out intimate details of their most personal, private information for the world to see. To each their own...

I'm doing OK I suppose, better than "average" according to that article surprisingly, but that average seems scary low to me. As I get older and my ability to save actually decreases, it makes me worry. My employer sends out these stupid little email articles about retirement savings and how I need to save more. It's ironic because in the last couple years they've cut their retirement contribution by about 80%, and increased my cost of medical insurance by over 10% of my gross income. Yes, a massive, huge increase that only hit some, and many think was specifically designed to drive those people out.

It's all in the choices we make, though. We started our family a little later in life than most. I have friends from high school who are grandparents, and our youngest is 7. Kids are expensive, and don't seem to get any cheaper. Saving at this point in life is a pipe dream.

 

[wolfcreed]

I take advantage of a 401k and max out my contributions plus whatever catch up I can do since I am closer to 60 years old than I am to 50. I didn't contribute much at all to my 401k for the first 20 years of employment since my wife was not employed. She stayed home raising our three kids and for that I have no regrets making that decision. Another benefit that will help is putting as much as I can in to to put a health savings plan and I hope to have about 20k in that by the time I retire.

I sure wish my 401k will get out of the red for this year. I am still down about 9% YTD.

 

[66PonyCar]

What gets me, is that if I was able to put the money involuntarily taken for SS into my 401k, I could probably retire 10-15 years earlier.

That's the problem with Social Security. The funds are invested in low-yield Treasury issues. If a portion was invested in the market the fund would not be in such dire straits. They should let workers invest a portion of their Social Security contributions into the stock market. The funds could be in a sub-account for the workers benefit.

 

[sobo]

It surprises me sometimes to see some people lay out intimate details of their most personal, private information for the world to see. To each their own...

If I was in worse shape than I am, then I likely wouldn't be sharing details. Because I went from a negative NW of -$300k to a positive NW of $1.5 million+ over the course of 10 years, I want to share so that others can gain some hope that all is not lost, and that a better life can be made if one really wants it and does the necessary things to achieve that better life: Paying off/getting out of debt, living within/below your means, and saving/investing instead of buying on credit.
One must adopt an attitude of delayed gratification, as difficult and unpopular as that may be. Too many Americans are accustomed to instant gratification.

It's all in the choices we make, though. We started our family a little later in life than most. I have friends from high school who are grandparents, and our youngest is 7. Kids are expensive, and don't seem to get any cheaper. Saving at this point in life is a pipe dream.

We, too, started a family late. I was 41 before I married for the first time. First kid at 43. He's 17 now. In his first year of college in the Running Start program right now. He has a sister two years behind him. They'll all be out of school and on their own in 5 years or less. Their college is already half paid for in 529 accounts I took out for them, and will likely only be 2-3 years of a four-year university after credits transfer from the community college they attend/will attend.

I say all that to say to you, don't give up hope and never believe that saving is a pipe dream. I turned almost a $2 million about-face in less than 10 years. You can, too.

 

[jbett98]

My retirement plan is a massive heart attack.

 

[Juniper9mm]

I hope to marry well.

 

[ma96782]

Let's just confirm I will not have to live under a bridge when I'm older...

Well, if you would just......


Aloha, Mark

 

[sobo]

Some people love him, some people hate him.
For me, it just worked. And that was good enough for me...



"If you will live like no one else, later you can live like no one else."

 

[ma96782]

I hope to marry well.

My plans don't include a 3rd wife. So....



Aloha, Mark

 

[Medic!]

Time will tell.

 

[sobo]

View attachment 705603

The lottery is a tax on people that can't do teh maths...

 

[CountryGent]

Storytime.....
My mother passed away, leaving quite a sum. YES, I inherited a sum from her IRA that she didn't use.

Experiencing a similar situation. We had a close family member pass, and we were named executor of the estate. As bad as the whole thing has been, she left resources for her heirs, including a retirement account that will be providing monthly income for many years to come.

What gets me, is that if I was able to put the money involuntarily taken for SS into my 401k, I could probably retire 10-15 years earlier.

Agreed. Social(ist) Security is an outright joke. I know our portfolio could outperform said. That and it will be bankrupt long before we retire. That is, frankly, theft.

My retirement plan is a massive heart attack.

Yah ... I had planned on the "live hard and die young" plan. Alas, it hasn't quite panned out yet.

I hope to marry well.

Well, thankfully, marrying well and good financial planning is not mutually exclusive.

 

[308]

Glad to hear it. But we all know the stock market can take all your money.

My 401k is in Bonds. Why risk what's coming.

Zero dept. And cash on the sidelines.
Ready to buy your place cheep the minute you falter.

Zero debt here. Followed Dave Ramsey's advice most all my life. So you'll need to snatch someone else's place...or maybe I'll cash them out first...lol

 

[CLT65]

Some people love him, some people hate him.
For me, it just worked. And that was good enough for me...

View attachment 705602

"If you will live like no one else, later you can live like no one else."

I've listened to Dave Ramsey off and on for many years. I do like him; he has a lot of good ideas and advice, but sometimes I think he takes things a little far. It's also irritating when so many of the people who call in talk about their six-figure incomes and how they paid off massive debt in a couple years. He then knowingly says how they're "doing pretty good". In my world, the people I am around, a six-figure income is exceptional. Most average, working-class people don't achieve that. For average, working class folks, two incomes is necessary to make ends meet.

For someone like me, who has never had debt (beyond a modest house), who pinches pennies to live within my means because my wife cannot work, Dave doesn't have much advice. I suppose I could get a second or third job and spend a lot less time with my family. Ideally I could find a way to start a business of my own. I've given substantial thought to that over the years, but that seems to take something I don't have, somehow. We are all different in many ways, and everyone is capable of different things.

We're not in a bad place, all in all. Sure, we pinch pennies and live simply, but we don't live paycheck to paycheck. I don't sit around feeling sorry for myself. I know I could do better if I really had the ambition and drive to do so, but my focus is on raising my family right now. That, and to be honest my needs are pretty simple. I've never had any interest in all the fancy toys in life. Never wanted a fancy car, a big house, a boat, RV, or any of that. It's great if that's what you like, just not for me. All I ever really wanted, even as a teenager, was family. In that regard I've done very well.

If I was single with the income I have now, I'd be rolling in money, but I wouldn't trade my family for all the money in the world. If my wife had been able to continue her career we'd have plenty, but life doesn't always go how you think.

 

[Brian Vedack]

I pretty much got nothing and expect to die on the job.
Edit: this is what happens when your wife spends all the money at the casino and the kids think you are a one way atm. Moved to Oregon and still trying to catch up. Kids still think I'm an atm, but at least the casino is gone.

 

[Medic!]

Zero debt here. Followed Dave Ramsey's advice most all my life. So you'll need to snatch someone else's place...or maybe I'll cash them out first...lol

Not really meaning ''YOUR'' place.
Just a figure of speech.

Though I bet your place is nice.