NT: Official Personal Finances Thread

[antidope]

My friend is doing something similar with his student loans. I do not agree with it at all. Pay the higher balances first they are costing you more money. You will get the same psychological benefit from paying the larger one if not more because it's helping you save more.

 

[dathbgboy]

Knock out whatever has the highest interest rate. If they're all the same, start w/ the smallest.

 

[peep the kicks]

So I rolled over my pension to a vanguard ira.

There's so many indexes. Should i just invest based on my age?

 

[capital sb]

So I rolled over my pension to a vanguard ira.

There's so many indexes. Should i just invest based on my age?

VTMSX is the fund I invest in, not sure how old you are and how big your tolerance level is.

 

[pdino]

Undergraduate college student here. Been contemplating getting a credit card to get some credit under my name other than student loans. Should I?

So, I thought getting a CC would be a bad idea since I was already paying for everything with student loans. So, I thought why should I get more debt and pay off my debt with loans.. But, After I started working I had no CCs and not very good credit due to "age of credit history" being a major factor. I would get a CC if you don't have one just so you can be working on your age of credit history earlier, rather than later, like myself. 

I've never missed a payment, never been late, never had collections, have good amount of accounts now, good debt to income ratio, but age of credit history is bringing me down.

I recommend getting a CC.

 

[based mod]

So I rolled over my pension to a vanguard ira.

There's so many indexes. Should i just invest based on my age?

So I rolled over my pension to a vanguard ira.


There's so many indexes. Should i just invest based on my age?

VTMSX is the fund I invest in, not sure how old you are and how big your tolerance level is.

VTMSX is high risk with it being a small-cap fund. Also requires $10k minimum since they're Admiral shares. You wouldn't want to put all of your money into one type of fund anyway.

Research "lazy portfolios." You'll likely want a mix of small, mid and large cap domestic stock funds & a smallish amount in an international stock fund.

Market's REALLY volatile right now, so be careful what you put your money into.

 

[capital sb]

@Based Mod Sorry that was a typo , VTSMX (investor shares 3K min) is the fund I invest into.VTSAX (adimiral shares 10K min) .

He said his pension, so I assumed it would be 10K.

I'm 100% stock VTSMX/VTSAX until retirement, just my preference definitely not for everyone.

 

[cs02132]

Quick random question

My mom pays for my gym membership, which I haven't been using for like the past 6 months. She recently lost her credit card and got a new one but never gave the info to the gym. I just got some letters in the mail from a collection agency that we owe the gym like $350 or something, and it was addressed to my name. Wondering if this will have any effect on my credit or anything like that? Now that I think about it I think this is the second or third time this exact situation happened. She got a new card, didnt tell the gym, and I get a letter from a collection agency. She pays for the membership but I'm pretty sure I'm the member, like the letters were addressed to me


I just recently got a credit card to start building my credit I hope this doesn't set me back

 

[jay are]

What are some yall saving goals for the year?
What percentage of the your monthly pay is going towards rent?

 

[アミーゴ]

What are some yall saving goals for the year?
What percentage of the your monthly pay is going towards rent?

20k by June is my first.

I spend 20% of my monthly take home on rent.

 

[superantigen]

20k in my emergency fund by the end of the year after I'm done settling my student loan balance in March.




...

 

[jay are]

20k by June is my first.

I spend 20% of my monthly take home on rent.

Now thats a real good setup.
Im spending about 30% of take home on rent. Goal is a modest 20k this year. I need to cut down my 15k student loans. I have a year of emergency funds already.

 

[アミーゴ]

Now thats a real good setup.
Im spending about 30% of take home on rent. Goal is a modest 20k this year. I need to cut down my 15k student loans. I have a year of emergency funds already.

It's probably going up to 25% since I can't stand my roommate and will be getting my own spot.

 

[still itachi]

What are some yall saving goals for the year?
What percentage of the your monthly pay is going towards rent?

10k for the year.

I spend 17% of monthly pay on rent.

 

[crcballer55]

 

20k by June is my first.

I spend 20% of my monthly take home on rent.

Now thats a real good setup.
Im spending about 30% of take home on rent. Goal is a modest 20k this year. I need to cut down my 15k student loans. I have a year of emergency funds already.

I would use the EF to eliminate the student loans personally. A year by most accounts is a little rich unless you plan to be out of work long term and can't get unemployment.

 

[unkn0wn]

Paid off my student loans last summer. Will be paying off the rest of my auto loan by this summer then I'll be debt free.

 

[jay are]

Does anyone keep their emergency funds in a roth?
Which institutions do you use for your roth ira?

 

[af1 1982]

Not best to keep emergency funds in a Roth because to my knowledge you can't access the funds in your Roth until you reach 59.5 years old without penalty.

You want emergency funds in something you can access easily

 

[based mod]

Nope, you can take your contributions out without penalty. Can't take your earnings though

I wouldn't put any emergency funds into anything with any risk though

 

[big panda]

My personal goal this year is to at least touch 100k, currently after tax season I should have around a lil over 30k saved up, I'm 19 trying to buy a car this year and start an online business to keep me from having to work a job for the rest of my life, any tips?

 

[da hen]

My personal goal this year is to at least touch 100k, currently after tax season I should have around a lil over 30k saved up, I'm 19 trying to buy a car this year and start an online business to keep me from having to work a job for the rest of my life, any tips?

get a real job while starting up your online biz. Always need a Plan B.

 

[friscostylez]

Sometimes the best plan b is not having a plan b

 

[jay are]

Not best to keep emergency funds in a Roth because to my knowledge you can't access the funds in your Roth until you reach 59.5 years old without penalty.

You want emergency funds in something you can access easily

You can access all your contributions in a roth. I read a few articles about just investing the roth in a CD since its less risky. If I leave my emergency fund in a roth I can always have access to it while it has the opportunity for compounding interest.

 

[superantigen]

Not best to keep emergency funds in a Roth because to my knowledge you can't access the funds in your Roth until you reach 59.5 years old without penalty.

You want emergency funds in something you can access easily

You can access all your contributions in a roth. I read a few articles about just investing the roth in a CD since its less risky. If I leave my emergency fund in a roth I can always have access to it while it has the opportunity for compounding interest.

Yes, you can access all your roth contributions whenever you want, but it's still not a good idea to house your emergency fund in a roth account.

Emergencies are unpredictable. They happen when you least expect them. As such, it is essential that an emergency fund remain liquid at all times to respond to emergencies.

A roth account invests in the market. The market is NOT liquid and it is very volatile.

If you house your e.fund in a roth account, you stand to lose all or some fraction of it on a day that market turns sour (like these past few days). What do you do, then, when an emergency arises? If you remove it from the roth, at best you've lost some of your e.fund to the market; at worst, you may have lost all of it. All the while, your emergency is still breathing down your neck.

Don't ever "invest" your e.fund. Just park it a high yield savings account and pray you don't ever need it. In the event you do end up needing it, you can rest easy knowing that the full amount is there for your taking.






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[JL415]

Would a company match to a roth be considered contributions and therefore penalty-free on withdrawl as well?