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Discussion Starter #1 (Edited)
I have been doing the 4o1k for 31 years now and have seen it go up and down so no worries, I just up my contributions from 35% to 45% I am over 50 so I can do make up contributions buy low sale high and will go to 55% at the first of the year, at that point I can only put money in for seven month's then I will retire and move it to a tax free roth IRA and let it grow till I have to draw.
 

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Discussion Starter #2 (Edited)
What I am trying to say is if you are young and have a good job and have a 4o1k just keep putting the money in as you can afford it and do not let the wife say no as mine did and my X is on #5 husband now and it Is not my problem.
 

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And if you can (make under 100,000 a year) go Roth IRA in your 401k. I wish I had when I was able. Taxes are a killer.

Also most ( some) utilities stocks pay mediocre dividends but they don't change and only increase. WEC, LNT, DTE..... All around 3.5% dividends regular as clock work and I just got anywhere from a 6.3% to 8% raise in dividends. Plus they are some of the safest stocks to hold. Not extreme performers but when you do retire they are pretty safe.
 

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I just up my contributions from 35% to 45% I am over 50 so I can do make up contributions....
I did similar. I did 50% for about my last 8 years of working. Aside from putting away a lot of money, the high contribution forced us to live a more frugal lifestyle, much like we might need to when retired.

The problem I've got now, if you want to call it a problem, is getting out of the frugal mode now that we are pretty well set.
 

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Discussion Starter #6 (Edited)
I did similar. I did 50% for about my last 8 years of working. Aside from putting away a lot of money, the high contribution forced us to live a more frugal lifestyle, much like we might need to when retired.

The problem I've got now, if you want to call it a problem, is getting out of the frugal mode now that we are pretty well set.
I got the big D in 1991 and paid child support for 15 years so I had to do the Frugal lifestyle and when I put my stop payment in, I upped my contribution from 6% to 20% and have been upping it since. I have seen many guys I have worked with only do the 4 to 6 % the company matches up to 7% and retire after 30 years with under $200,000 and one of my good friends worked 35 years and I talked him into doing the plan to late and he retired with only $46,000 and he has already gone thru it. So we have been hiring over 20 new guys this year and I tell them my story before you know it you will be old.
 

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Discussion Starter #7
boznarras I will respond to your PM tomorrow as I have been drinking the Devils Brew and cooking Chili your PM was something I have been looking for.
Great information. Paul
 

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Discussion Starter #8
I would like to hear advice from all that are willing to share some of their market knowledge.
Do you have a 4o1K at work?
 

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I would like to hear advice from all that are willing to share some of their market knowledge.
If your employer offers a matching 401K option with a Roth type IRA and you make under $100k a year, max it out. With a Roth you pay taxes up front but NO TAXES ARE DUE AT WITHDRAWAL!!!

This is a huge plus. All your gains are tax free. It's like hiding it in mason jars buried in your back yard yet you can still realize significant gains (read tax free income).

Right now would be a good time to get into the market. Remember these top secret words and repeat them to no one. Actually you can because even though most people know it they do the exact opposite.

Buy low, sell high. ....and you can forget half this just buy low. I have played the market and have done quite well but it is risky business. Heart attack risky. As I said above buy the utility stocks listed and watch your dividends accumulate. Buy more of the same stock with your dividends. Most company 401Ks don't let you have the control you need. You have to buy mutual funds that charge fees and always change their stories on what to do. If this is the case do the minimum for your company match and open a Scottrade, Ameritrade, what ever type ROTH IRA account and dump at least 10% of your adjusted gross into it. Look at tirebiters post. A lot of truth there. It's harder to go back to a more meager living...

Also remember this, stay out of debt or minimize as best you can. DON'T GET A CREDIT CARD.

"The percentage you're paying is too high priced,
While you're living beyond all your means.

And the man in the suit has just bought a new car,
From the profit he's made on your dreams."


Who said that?

PM me. We'll chat.
 

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Discussion Starter #10
When I started working at Southwest gas in 1984 one of the older guys took me aside and told me to put as much money in the plan as I could, so I was buying the SWG stock for 6 bucks a share and today it closed at $53. a share and our custodian is Fidelity and I have been in the Contra Fund for 31 years. Southwest Gas Corp (NYSE: SWX) the largest stand alone Natural gas company in the US.
 

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Discussion Starter #11
SWX is the reason I have a good chunk.
Southwest Gas Corporation is engaged in the business of purchasing, distributing and transporting natural gas in Arizona, Nevada and California. The Company has two business segments: natural gas operations and construction services. The Company operates two pipeline transmission systems: a system, including a liquefied natural gas (LNG) storage facility owned by Paiute extending from the Idaho-Nevada border to the Reno, Sparks, and Carson City areas and communities in the Lake Tahoe area in both California and Nevada and other communities in northern and western Nevada, and a system extending from the Colorado River at the southern tip of Nevada to the Las Vegas distribution area. The natural gas operations segment includes acquiring and arranging delivery of natural gas to its system. The construction services segment consists of Centuri, which includes NPL Construction Co., Link-Line Contractors, W.S. Nicholls Construction and Brigadier Pipelines.
More from Reuters »
 

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Utilities.


Like I said.....

I am more familiar with the electric utilities as that's where my back ground is. I've worked there for the last ....since graduating college with a BSEE in Electrical Engineering, May of 82. I know that a lot of electric utilities are hedging their coal liabilities with all the new natural gas that is literally flooding the market. This pisses the global warming dicks off as there is half the green house gasses given off from natural gas versus coal.

Go fracking go!
 

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You're off to a good start.

Do this, take $500.00 and open a Roth IRA at Scottrade. Buy DTE. Take your dividends and keep buying DTE. See if your return beats the company's Roth IRA.
 

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Lyterx"

I rolled all my company 401Ks into a Scottrade IRA account and live off my dividends now. I get just under $5,000 a month in dividends and have another pension of under $2000.00 a month. It's not meager compared to what a lot are living on working. In another year and a half I'll get anther $1200 from Social Security.

Plus the wife still has to work for another two years! Yea!

The big thing is we are debt free. We still have property tax, income tax takes like 30% of everything above plus the rest of our daily/monthly expenses. Those expenses, especially the taxes, Fed and State, take a third of our income. You with your ROTH you should be able to get around most of those taxes.
 

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Was getting ready for bed and thought of some other stuff.

You cannot roll over funds from your employer's account into your personal account unless you have been participating in your employers account for more than two years. You would have had to been participating since September 6th, 2013 to be eligible to roll those funds over. Simple IRA and Roth.

Also you cannot start drawing from your Roth IRA until after 5 years from the first date you started participating. You cannot draw from any IRA, Roth or otherwise until you reach the age of 59 & 1/2 years old. Google IRA withdrawals and Roth IRA withdrawals for more information.

The views presented here may be purely bull shit. I was only trying to help and if it turns out sour I will never try to help again. Your mileage may very. Should you get an erection lasting for more than four hours seek immediate medical attention.
 

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"The percentage you're paying is too high priced,
While you're living beyond all your means.

And the man in the suit has just bought a new car,
From the profit he's made on your dreams."


Who said that?
.

Written by Steve Winwood and Jim Capaldi
:icon_thumright:
 

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Something I have had to drum into my head is that a down market, where your holdings are worth less, does not mean very much unless you are selling your shares now. In fact if you are in the long haul, dont look at the market so often. It will go up and down but you dont lose anything if you ride it out.
There are many investment strategies, and each person will have a different tolerance for risk , or a different timetable, but you can drive youself crazy with daily management.
Right after I retired in 2007 we went through the Great Recession. My 401k had just rolled into my IRA, and suddenly a third of its value seemed to have been lost. Well it would have been lost, but only if I sold out everything that day, which of course I did not. Over time the market came back and the value was greater than before, but again only if I sold it all that day. You can get on an emotional roller coaster for no good reason with this stuff.
I just try to look my portfolio over annually, with occasional advice from a pro, and make sure things are balanced well for a mix of risk, growth, and stability that suits me, and then let it ride. Within the IRA, when the market is up, I park some money from high value selling in a super stable money market fund, and draw from that for the year's distributions, and let the rest continue to grow.
I try to pay more attention to if the fish are biting, is it a nice day, how's my wife, (is my chain too loose?)all those IMPORTANT things that having saved for let me do.
You know, if the market didnt go up and down, nobody would make anything on it. You have to let it grow like a garden sometimes and not get too OCD.
If you have saved and done your homework, like many are talking about here, and no mistake you got to do that early and throughout your working life, then you do reach a point where the money should work for you, not the other way around.
 
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