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What's your age and the value of your 401k?

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5 hours ago, ChiefD said:

:lol:   Wow.

 

Where is the "just shoot me out back" option? I swear, I'm just gonna off myself in the garage with my car running and some sweet tunes on the radio when I'm about 80 or so. 

I got you covered in case you can't do it yourself, old man.

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3 hours ago, NewlyRetired said:

To give an idea of how small an amount they are suggesting this is:

$250k would last, approximately 2.5 years at a decent facility in my area of the country.   If you don't die before then, you will be moving into places no one wants to live :(

And that is in today's dollars.   

Also need to remember that LTC can be handled by buying insurance as well.   You will be paying a decent amount each year but it will give you some piece of mind.   That being said, like most insurances, if you don't end up needing it, the money does not come back to you.

I think my wife and I are going to look at how much insurance will cost when we get in our late 50's and start figuring out what the sweet spot is.

Yeah, but the big question remains...if I buy insurance to cover the LTC, how much of a piece of my mind will it buy?

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2 hours ago, Terminalxylem said:

I know it doesn’t apply to you, but facilities accepting Medicaid for long term care tend not to be the most desirable places to live. And  absent long term care coverage, few can afford $7-8K month to pay out of pocket.

Nothing with medicaid is most desirable.  

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I think most of us will be going into LTC after the baby boomers all die.  The bubble crash in that area will be dramatic.  Price hikes like they show are not sustainable.  

That being said anyone got a good LTC reit stock?

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19 minutes ago, culdeus said:

anyone got a good LTC reit stock?

 

I've been in SNH (Senior Housing Property Trust) but returns haven't been great recently. Keeping an eye out.

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23 minutes ago, culdeus said:

anyone got a good LTC reit stock?

 

There is one actually called LTC, might have to do some research on it. SNH's dividend is larger I think but could be interesting to dig into.

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38 minutes ago, culdeus said:

I think most of us will be going into LTC after the baby boomers all die.  The bubble crash in that area will be dramatic.  Price hikes like they show are not sustainable.  

That being said anyone got a good LTC reit stock?

One option  Omega health. It's been my best performer with gains and dividends. 

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6 minutes ago, -OZ- said:

One option  Omega health. It's been my best performer with gains and dividends. 

Not sure I could own a stock called OHI. I’d fear someone saying ‘O’ at the end and making me vomit. 
🤮

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6 minutes ago, ConstruxBoy said:

Not sure I could own a stock called OHI. I’d fear someone saying ‘O’ at the end and making me vomit. 
🤮

Yeah, it's a challenge. But with an almost 10% dividend and nice gains this past year, I've gotten over it.

ETA- I guess it's not almost 10% now after the gains. I hadn't checked in a while. 6% isn't bad still.

Edited by -OZ-
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12 minutes ago, -OZ- said:

Yeah, it's a challenge. But with an almost 10% dividend and nice gains this past year, I've gotten over it.

ETA- I guess it's not almost 10% now after the gains. I hadn't checked in a while. 6% isn't bad still.

Question.  How are the dividends figured if you were to say buy a stock like 2 weeks before they pay out the dividends?

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42 minutes ago, ghostguy123 said:

Question.  How are the dividends figured if you were to say buy a stock like 2 weeks before they pay out the dividends?

Buy the stock before the ex-dividend date and you get the dividend; buy it on or after the ex-date, and you don't—the seller of the stock gets it.

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Sat with my financial planner today.  And as anticipated, learned I can now retire.  I really enjoy my work and colleagues. I plan to continue working for a few years. It's like a weight has been lifted.  AMA.  

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8 hours ago, NutterButter said:

Nothing with medicaid is most desirable.  

I was trying to be kind. They are the least desirable, in many cases not places anyone would choose to live.

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43, around $650k.  I have another smaller investment account through work, not a 401k but comparable for a partnership, for about another $150k. And then I have our own regular stock account and a little savings beyond that. 
 

Would feel ok about it, except Mrs. O doesn’t work and we live in a high COL area, with crazy taxes, a bit mortgage, and three daughters to put through college and pay for weddings. I’m hitting the high earnings chunk of my career now, so I’m planning to get that mortgage paid off in the coming years and sock away as much as we can beyond that. Otis was not the most responsible with money as a younger man—could have been much better off if I’d be smarter about it — but we’ve finally caught up a bit. 

Only other major piece we have in mind is possibly buying a house and some land up in the mountains. If we rent it out during ski season, may not be a terrible investment.  Just not sure I want to do it now while we still have a big first mortgage. I figure we’ll wait for the inevitable recession when folks are unloading vacation properties and land for pennies on the dollar, and try to swoop in and get something then. 

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8 hours ago, Zerp said:

Sat with my financial planner today.  And as anticipated, learned I can now retire.  I really enjoy my work and colleagues. I plan to continue working for a few years. It's like a weight has been lifted.  AMA.  

Did the FP discuss the risk if the market tanked after retirement? Just curious as to what yours advised for risk mitigation. (Understanding that you're not retiring yet)

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1 hour ago, Otis said:

 

Only other major piece we have in mind is possibly buying a house and some land up in the mountains. If we rent it out during ski season, may not be a terrible investment.  Just not sure I want to do it now while we still have a big first mortgage. I figure we’ll wait for the inevitable recession when folks are unloading vacation properties and land for pennies on the dollar, and try to swoop in and get something then. 

We're very curious about this concept. 

Wife isn't sure she'd want to rent her house out and risk damage, I'd rather insure and make some money - at least enough to cover most upgrades and repairs, but not needing the rent to cover the mortgage. 

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19 hours ago, wilked said:

I hear you on all counts. If I’m saying anything, it’s that as you approach retirement (< 20 years) your enemies are time and timing. If my horizon is only 15 years I’m not sure I have time to recover from a 40-50% portfolio drop, and I will do what I can (ie bond allocation) to ensure that doesn’t happen. If I have 25 years, I’m more confident I have time to recover. If it’s 10 years and less I’m now extremely worried I can’t recover before retirement and I have to start considering postponing retirement. And so on 

One more comment on this: I did some "research" (read:Googled) market drops and recoveries awhile back and it was a much shorter down time than I expected. Looking at the Great Depression, dot com bust, Great Recession, etc. it was like 6 years or so on average from top to bottom and back up again. Of course we could go into a Japan-like slide for 20 years or whatever, but odds are that at 15 years you have more than enough time to recover and should still be pretty heavily into equities. 

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2 hours ago, Otis said:

43, around $650k.  I have another smaller investment account through work, not a 401k but comparable for a partnership, for about another $150k. And then I have our own regular stock account and a little savings beyond that. 
 

Would feel ok about it, except Mrs. O doesn’t work and we live in a high COL area, with crazy taxes, a bit mortgage, and three daughters to put through college and pay for weddings. I’m hitting the high earnings chunk of my career now, so I’m planning to get that mortgage paid off in the coming years and sock away as much as we can beyond that. Otis was not the most responsible with money as a younger man—could have been much better off if I’d be smarter about it — but we’ve finally caught up a bit. 

Only other major piece we have in mind is possibly buying a house and some land up in the mountains. If we rent it out during ski season, may not be a terrible investment.  Just not sure I want to do it now while we still have a big first mortgage. I figure we’ll wait for the inevitable recession when folks are unloading vacation properties and land for pennies on the dollar, and try to swoop in and get something then. 

Having a second mortgage for a rental property is certainly a normal thing to do if you can afford it. Owning property is always a desirable thing. Is it in the same high tax state you are in? You may want to wait for the local market to drop some to make sure it's a good investment and not just a spur of the moment purchase. You also need to make sure you have the money in non-retirement accounts to handle it and a possible downturn. On the plus side, you'll save some money on vacations when you go to a place you already own. My MIL owns a beach house and the amount of vacation money we've saved over the years by going there instead of some other beach location is immense. 

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3 hours ago, Terminalxylem said:

I was trying to be kind. They are the least desirable, in many cases not places anyone would choose to live.

Its a safety net.  :shrug: At least its something. 

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1 hour ago, -OZ- said:

We're very curious about this concept. 

Wife isn't sure she'd want to rent her house out and risk damage, I'd rather insure and make some money - at least enough to cover most upgrades and repairs, but not needing the rent to cover the mortgage. 

We’ve debated this. There’s something nasty about a bunch of strangers crapping up your second home. But money is nice....

And as I’ve said to Mrs. O, it’s not like we’re staying at the Ritz when we go up to the mountains. They’re fairly rustic hotels that lots of nasty people sleep in. It would at least be nicer than that. 

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25 minutes ago, ConstruxBoy said:

Having a second mortgage for a rental property is certainly a normal thing to do if you can afford it. Owning property is always a desirable thing. Is it in the same high tax state you are in? You may want to wait for the local market to drop some to make sure it's a good investment and not just a spur of the moment purchase. You also need to make sure you have the money in non-retirement accounts to handle it and a possible downturn. On the plus side, you'll save some money on vacations when you go to a place you already own. My MIL owns a beach house and the amount of vacation money we've saved over the years by going there instead of some other beach location is immense. 

Yeah, this would be up in the Catskills, so also in NY state where we live, but a couple hours outside the city, where taxes and carrying costs are a fraction of what we pay at home.  
 

Then again, we’ll also need to pay for someone to maintain the house — at least a landscaper. And if we end up renting it out over ski season, which I’m inclined to at least try initially to see what we can get, I won’t want to deal with the headaches, so we’ll hire a local property manager and house cleaning service to handle that. 

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9 minutes ago, Otis said:

Yeah, this would be up in the Catskills, so also in NY state where we live, but a couple hours outside the city, where taxes and carrying costs are a fraction of what we pay at home.  
 

Then again, we’ll also need to pay for someone to maintain the house — at least a landscaper. And if we end up renting it out over ski season, which I’m inclined to at least try initially to see what we can get, I won’t want to deal with the headaches, so we’ll hire a local property manager and house cleaning service to handle that. 

At that point you will have a damn hard time breaking even. 

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I've had a few discussions with my son about investing. Since he has started down his career path, still lives at home and now is getting some matching money, I've tried to explain things in a manner that he can understand. The biggest being compounding interest for him starting at age 22. But when it comes to investing, he is inclined to think that stocks are similar to gambling. I tried to explain to him that he could take $1k and buy 20 shares of any number of ETF's. Or he could place twenty $50 bets on the roulette wheel. (red or black). If he guesses correctly, he could double that $50 bet. If he doesn't, he loses the $50 and has to put up another $50 just to break even. Meanwhile, the ETF would have to lose all of it's value, or he would have to sell at a considerable loss to lose money. He still owns the share, it's just the value that has changed. It may (or may not) regain it's value, but it always remains as a unit. 

It's been pointed out in the past that my analogies are often false. Thoughts on this one? Any suggestions other than "do this, because I said so". I don't think that will work any longer. 

Also, since he started working at 17, he's funded a Vanguard roth with about $12k. I'm thinking he should max his matching 401k and then try to fund his roth every year. Basically keep them equal for 20 years then he can decide what retirement will look like.  Yeah or nay?

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For any young person you talk to who has minimal knowledge of investing, it will be a huge struggle, especially coming from his own parents.  Kids listen to advice from other people more often, so coming from you keep it very simple.  If he has a 401k/403b make sure he puts in enough to get the match, but probably 15%, and talk to him about how cool it will be to be an early retired millionaire by living on "just a little less right now".  

Hell, set up a meeting with a financial advisor for him, and offer to pay for it.  

When I was 24 I wish someone tied me to a telephone pole and beat it into me to max out my 403b from day 1.

The biggest issue though is that the youngsters have a "I want to enjoy life when I am young" mentality, and they think spending money is the way to do that.   That's a tough nut to crack

Edited by ghostguy123

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29 minutes ago, KCitons said:

I've had a few discussions with my son about investing. Since he has started down his career path, still lives at home and now is getting some matching money, I've tried to explain things in a manner that he can understand. The biggest being compounding interest for him starting at age 22. But when it comes to investing, he is inclined to think that stocks are similar to gambling. I tried to explain to him that he could take $1k and buy 20 shares of any number of ETF's. Or he could place twenty $50 bets on the roulette wheel. (red or black). If he guesses correctly, he could double that $50 bet. If he doesn't, he loses the $50 and has to put up another $50 just to break even. Meanwhile, the ETF would have to lose all of it's value, or he would have to sell at a considerable loss to lose money. He still owns the share, it's just the value that has changed. It may (or may not) regain it's value, but it always remains as a unit. 

It's been pointed out in the past that my analogies are often false. Thoughts on this one? Any suggestions other than "do this, because I said so". I don't think that will work any longer. 

Also, since he started working at 17, he's funded a Vanguard roth with about $12k. I'm thinking he should max his matching 401k and then try to fund his roth every year. Basically keep them equal for 20 years then he can decide what retirement will look like.  Yeah or nay?

Yay.  And also, stocks are not similar to gambling.  I think you know much more about this than I do.  The roulette wheel or a coin flip is completely different than the last 10-, 20-, 30-, 40-year history of diversified portfolio of market sector mid cap and large caps.  And while past performance ....yada yada. Winning hand.  

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55 yo. No debt. 3 kids college paid in full.  $850 in 401.  $1.2 in home mortgage paid in full.  $6.8 in various accounts. $2.2 in deferred bonuses.  Just woke up after celebrating the confirmation with a couple glasses of wine last night.  9 hours of sleep. I'm usually 7.  What a great day. 

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4 minutes ago, Zerp said:

Yay.  And also, stocks are not similar to gambling.  I think you know much more about this than I do.  The roulette wheel or a coin flip is completely different than the last 10-, 20-, 30-, 40-year history of diversified portfolio of market sector mid cap and large caps.  And while past performance ....yada yada. Winning hand.  

Yes. I was trying to take the approach that owning stock (or more accurately an ETF) is tangible. Is that true? Once you own it, you don't lose anything on it unless you sell it. It's still one unit. When you gamble, there is nothing tangible. It's a float until the outcome is determined. And while that outcome can be positive or negative, it's absolute. Stocks are not absolute unless you own individual stock in a company that goes bankrupt.

Hopefully I'm explaining this correctly. Can an ETF or index fund go to zero?

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1 minute ago, Zerp said:

55 yo. No debt. 3 kids college paid in full.  $850 in 401.  $1.2 in home mortgage paid in full.  $6.8 in various accounts. $2.2 in deferred bonuses.  Just woke up after celebrating the confirmation with a couple glasses of wine last night.  9 hours of sleep. I'm usually 7.  What a great day. 

If you don't mind me asking. What has your debt to income been for the different stages of your life? Personally, our 20's we were upside down in everything. In our 30's we realized the errors of our ways. In our 40's we lived well within our means. 

You mentioned your home is paid. Based on your nest egg and celebratory state of mind. How much did you spend on the wine? 

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Just now, KCitons said:

Hopefully I'm explaining this correctly. Can an ETF or index fund go to zero?

It's embarrassing how little I know about these matters.   I can speak reasonably well re: ion exchange, logistics, SIOP, and managing people. And fastpitch. Mostly the fastpitch.  I went with RBC.  Now with Baird.  

25 years ago my financial advisor put it to me this way: I'll bet you're good at what you do. If I worked hard, 40 hours a week, for the next couple years, I bet I could be almost as good at your job as you are. And if you work hard, for 40 hours a week at my job, you'll probably be almost as good as me at my job.  

I figure I can only do a couple things really well. Mine are my wife, kids and family,  excercising, and my work.  Not always in that order. But I'm trying.  

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18 minutes ago, KCitons said:

If you don't mind me asking. What has your debt to income been for the different stages of your life? Personally, our 20's we were upside down in everything. In our 30's we realized the errors of our ways. In our 40's we lived well within our means. 

You mentioned your home is paid. Based on your nest egg and celebratory state of mind. How much did you spend on the wine? 

I think my story is very much like yours.  Early 20s, paid off college debt. No car loans, apartment.  Late 20s, had just a home mortgage, no other debt. By mid 30s, had the home mortgage and a couple car loans.  By 40, lived within our means.  $30 bottle of Cote du Rhone.    

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13 hours ago, culdeus said:

That being said anyone got a good LTC reit stock?

I have a hunk of VTR.  It's the class of this little sector.  None of these stocks are doing well.  It's the only area of housing right now that has a significant glut.  I done see any of these exploding up anytime soon.

 

1 hour ago, KCitons said:

Also, since he  started working at 17, he's funded a Vanguard roth with about $12k. I'm thinking he should max his matching 401k and then try to fund his roth every year. Basically keep them equal for 20 years then he can decide what retirement will look like.  Yeah or nay?

Always match for the free money.  If he's in the 12% bracket roth next.  If above that is probably good to stick with the 401. But the half and half strategy is a good one.

 

38 minutes ago, Zerp said:

55 yo. No debt. 3 kids college paid in full.  $850 in 401.  $1.2 in home mortgage paid in full.  $6.8 in various accounts. $2.2 in deferred bonuses.  Just woke up after celebrating the confirmation with a couple glasses of wine last night.  9 hours of sleep. I'm usually 7.  What a great day. 

So total of 11M?   If you aren't good no one will ever be.  Frankly I'm not sure why it took so long for the realization (or FA declaration) that you're free.  Right now you can spend about 400k per year.  That's a baller lifestyle.

Edited by Sand

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11 minutes ago, Sand said:

Right now you can spend about 400k per year.  That's a baller lifestyle.

I have some conservative estimates baked into health care. I hope to live a long life. I plan to fund some scholarships. And weplan to live abroad/travel 6-8 months a year. It's 32 here. And going to get much colder. But this is home, this is where the kids are. 

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Had been getting really close, was a couple hundred away yesterday.  

Checked just now and saw that I hit 300k.  Wife has 20k from a job a while back.

All equities, so no diversification as far is that type of investing.  Also no HSAs, roths, or any of that.

I do have 1 rental property paid off worth about 65-70k and another rental worth about 85k that I owe about 50k.  

My house is probably worth around 150k and I owe 65k.

Creeping up on a half mill net worth (mostly all taxable though).

My current plan I have been working on is to pay off my house ASAP with my current extra payments putting that about 2 years away, then paying off the rental ASAP.  Once I do that I will look to buy another rental.  

Bit of a modified Dave Ramsey approach as I do not have an emergency fund in liquid cash, instead that money is being used to pay the house.

Feels good for the moment.  Just needed to share.

 

 

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4 hours ago, culdeus said:

At that point you will have a damn hard time breaking even. 

Eh, still good to own real estate if you can afford it and aren’t losing money. 

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28 minutes ago, ConstruxBoy said:

Eh, still good to own real estate if you can afford it and aren’t losing money. 

Yeah but if I'm gonna rent w property out I damn well better be cash flow positive.  VRBO and Airbnb and services take so many fees now along with just the huge PITA of it all 

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2 hours ago, ConstruxBoy said:

Eh, still good to own real estate if you can afford it and aren’t losing money. 

Sort of how I’m looking at it. Even if I’m just breaking even. I do a shortened mortgage, maybe 15yr, and 15 years from now I own the place outright, and my family has a getaway “compound” up in the mountains. If things end up going really well financially, I’d love to build a new main house in the property, fully self sustaining and modern and off the grid, and then the original house becomes a guest house. 
 

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9 hours ago, KCitons said:

I've had a few discussions with my son about investing. Since he has started down his career path, still lives at home and now is getting some matching money, I've tried to explain things in a manner that he can understand. The biggest being compounding interest for him starting at age 22. But when it comes to investing, he is inclined to think that stocks are similar to gambling. I tried to explain to him that he could take $1k and buy 20 shares of any number of ETF's. Or he could place twenty $50 bets on the roulette wheel. (red or black). If he guesses correctly, he could double that $50 bet. If he doesn't, he loses the $50 and has to put up another $50 just to break even. Meanwhile, the ETF would have to lose all of it's value, or he would have to sell at a considerable loss to lose money. He still owns the share, it's just the value that has changed. It may (or may not) regain it's value, but it always remains as a unit. 

It's been pointed out in the past that my analogies are often false. Thoughts on this one? Any suggestions other than "do this, because I said so". I don't think that will work any longer. 

Also, since he started working at 17, he's funded a Vanguard roth with about $12k. I'm thinking he should max his matching 401k and then try to fund his roth every year. Basically keep them equal for 20 years then he can decide what retirement will look like.  Yeah or nay?

Idea 1: show him some charts of how much you would have if you invested $10k in SP 500 30 years, then show him a picture of someone like Art Schlicter

Idea 2: Tell him you'll put $1000 in the S&P500 for 3 years, he can gamble with you as the bookie for 3 years on anything he wants.  Winner takes all the money.

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30 minutes ago, Tool said:

Idea 1: show him some charts of how much you would have if you invested $10k in SP 500 30 years, then show him a picture of someone like Art Schlicter

Idea 2: Tell him you'll put $1000 in the S&P500 for 3 years, he can gamble with you as the bookie for 3 years on anything he wants.  Winner takes all the money.

You haven't seen my locks of the week in the Shark Pool? He'd take it all. :kicksrock:

This would be a good idea for a thread. $1000 in an S&P 500 index on Dec 1st. What will it be worth EOB Nov 30th, 2022?

Winner gets @Zerp's deferred bonus. 

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3 hours ago, Otis said:

Sort of how I’m looking at it. Even if I’m just breaking even. I do a shortened mortgage, maybe 15yr, and 15 years from now I own the place outright, and my family has a getaway “compound” up in the mountains. If things end up going really well financially, I’d love to build a new main house in the property, fully self sustaining and modern and off the grid, and then the original house becomes a guest house. 
 

We did this eight years ago. Will pay off the mortgage in about ten more years but it is self-sustaining and even throws off a couple grand each year. We got lucky, I think, but we also did a lot of homework. One of our best financial decisions ever. 

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9 hours ago, Zerp said:

I have some conservative estimates baked into health care. I hope to live a long life. I plan to fund some scholarships. And weplan to live abroad/travel 6-8 months a year. It's 32 here. And going to get much colder. But this is home, this is where the kids are. 

Not at the same financial level, but a few years back I set a number of FI tripwires that, at the time, were incredibly lofty.  As of this weekend all four tripped.  I'm not "there" yet despite those, but it brings into focus that I'm not doing too bad and there is light at the end of the tunnel.

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I'm adding a LBFSA to my HSA this year.  We can carry over $500, so I'm going to start with that.  My son and I both wear glasses, and I seem to have some dental expenses that aren't covered by preventitive.  I will track these costs better in 2020 and adjust going forward.  

Goal is to keep more of the money in the HSA and invesments.  

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On 11/2/2019 at 9:44 AM, Zerp said:

55 yo. No debt. 3 kids college paid in full.  $850 in 401.  $1.2 in home mortgage paid in full.  $6.8 in various accounts. $2.2 in deferred bonuses.  Just woke up after celebrating the confirmation with a couple glasses of wine last night.  9 hours of sleep. I'm usually 7.  What a great day. 

You *just* figured out that you could retire? :lol:

 

(congrats!)

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8 minutes ago, Worm said:

You *just* figured out that you could retire? :lol:

 

(congrats!)

Yeah - I had the same thought.  Granted, everybody’s situation is different and what they plan for retirement is different but with that portfolio I would be checking out this afternoon.

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5 hours ago, Nugget said:

I'm adding a LBFSA to my HSA this year.  We can carry over $500, so I'm going to start with that.  My son and I both wear glasses, and I seem to have some dental expenses that aren't covered by preventitive.  I will track these costs better in 2020 and adjust going forward.  

Goal is to keep more of the money in the HSA and invesments.  

Hsa for me at this point is just more 401k.  I used to spend it but quit when I figured out how good it is 

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35 minutes ago, culdeus said:

Hsa for me at this point is just more 401k.  I used to spend it but quit when I figured out how good it is 

Same.  We max it each year and pay medical expenses out of pocket.  

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1 hour ago, AAABatteries said:

Yeah - I had the same thought.  Granted, everybody’s situation is different and what they plan for retirement is different but with that portfolio I would be checking out this afternoon.

I'm just wondering about the FA.  Did he do 4 hours of research and give the dramatic speech declaring freedom, then sighed afterward on a hard job completed?  :P

At least in his case, easiest job ever.

48 minutes ago, Random said:

Same.  We max it each year and pay medical expenses out of pocket.  

Me 3.  The longer you can hide money from the taxation universe the more valuable it is.  This money is gold, Jerry.

 

Edited by Sand

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Kind of a different question here, but how does everyone here value your primary residence in your net worth?  Similarly, how do you value your tax liability on retirement accounts? 

I've always discussed this with a close friend of mine and he always puts his primary residence on his personal financial statement as well as his retirement accounts at gross value.  I've always omitted my primary residence because I'm always going to need a place to live.  I've also put a 33% reduction factor on any pre-tax accounts knowing that when I cash them out I'm going to owe the IRS and can't liquidate without triggering that tax.  I realize technically net worth is the gross of those two items as well, but when looking at retirement and future funds available I adjusted for those two things.

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On 11/2/2019 at 8:43 AM, Otis said:

Yeah, this would be up in the Catskills, so also in NY state where we live, but a couple hours outside the city, where taxes and carrying costs are a fraction of what we pay at home.  
 

Then again, we’ll also need to pay for someone to maintain the house — at least a landscaper. And if we end up renting it out over ski season, which I’m inclined to at least try initially to see what we can get, I won’t want to deal with the headaches, so we’ll hire a local property manager and house cleaning service to handle that. 

I would not go into this type of rental property as really making any money and it being a huge hassle.  We have a house on the jersey shore and we used to rent it out for August and use for rest of year.  We did this for a couple of years but the amount of income was not worth the hassle and gave up on it.  With our house we used to rent it for the the month of August and a house a couple blocks from the beach was a big number but a big problem was the time of year you get the most rental income out of the house is the time of year we wanted to use it most.  With a ski house this is even more true as there will only be demand a few weeks a year (think February break and Christmas break but that is about it) which is the time you want to use it most.  

Also, if it is not a full rental property you don't get all the benefits of running it as business so almost all the income is pure income and gets taxed at your marginal rate.  If you are in higher brackets and given you are in NY state go ahead and kiss half of the amount goodbye to the government.  Add in the hassle of renting/setting it up for rental and stupid crisis that comes up when renter has a problem and it is not worth the amount of money you get paid for it.  Being a landlord even for short period of time is a huge pain in the ###.  Especially when you aren't near the house so if renters have a minor problem and you are paying someone else to go check on it for them or driving a couple hours to check it out yourself.   

We love our beach house and you will likely love a mountain house but wouldn't look to it for any real/significant rental income.  Look to get as munch value out of the house as a family destination.  For example, my kids and wife live at the beach for the whole summer and do camp there, etc.  Much of my family is in NJ so we also use it for Thanksgiving and have hosted my extended family there for like the last decade.  So many great times/memories at the house and that is what it is for.  Renting it out for a few weeks a year is just not worth it.  

Edited by Redwes25

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