IRA's & You

[bloody_trauma 2]

It came up in a discussion in general skydiving that i had a Roth IRA that i contribute to regularly, post what you save your money in, you don't have to reveal the funds you invest in, just let us know where you put your money, either Roth or traditional and how its working out for you, heres the gist of how the conversation was going

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Bloody_trauma
i threw 4000 in right at the end of the fiscal year, and then have pushing money in monthly, i have one high risk and one med risk, na the limit is 4000 per year. So far 6 months in and i'm sitting at about 8000

Mr17Hz wrote

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You can withdrawl from an IRA for a few different reasons before you're 59.5 years old without taking a tax penalty. I believe that two of them are the purchase of a first home, and for a childs education. If you're putting money in at 23 I would strongly suggest you max it out with the idea that you'll empty it on your first home; you will need to pay income taxes on it, but not the 10% early withdrawl penatly. I did this a few years ago. This is a particularly good way to go if you have a company that it willing to match contributions.

Also, I don't know for sure but I'm pretty confident that (at least for a simple IRA ) the max per year is $6,000.

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as far as that goes i don't plan on buying a house for a number of years from now and onc ei get out of advanced NCO course i hear they offer a 500K loan interest free, but thats a LONG way away

feel free to ask questions if you don't know what an IRA is or if you have no idea what that is, start you nad stick with it, it could be what you retire on or send your kids to school with.

Fly it like you stole it

[freeflir29 0]

I have 2. One from my last Federal job. The TSP (Thrift Savings Plan) and a 401K'ish account through the company I work for now. I don't get any matching funds now because the company only matches if you make under X number of dollars per year. I make too much. However.......I'm still putting away the max for me. 10%. I need to roll over my TSP into this new account. I was waiting to be vested which takes 3 years. I'm over that now in the TSP so I can roll it and take ll the matching funds with me to the new account. In my 401K I am about 63% in stocks. Out of that 63% I am close to 50/50 between a large cap S&P 500 fund and an Asia Pacific rim foreign stock investing fund. The other 37% is split 50/50 between bonds and money market. Funny thing is.........I sorta picked these out on the fly. When I was signing my contract they shoved the paperwork in front of me. This company has literally hundreds of funds to choose from. I picked out 4 funds based on balancing my risk with offsets of US and foreign investments and then the protection of bonds and money market. I recently went in and looked at some of the planning tools they have on the funds site. If the investment company planned my retirement they projected that I would make $1000 LESS per year than the plan I made up on the fly. Fuck paying a financial planner! When it comes to basic funds. Just use common sense. Stock funds are more volitile but have a high potential for growth. Bond and money market is more stable but dont grow that much. Balance it out depending on how long you have until retirement. If you are in your 20's.......go about 70% stocks. The odler you get..........back it down to minimize your risk. It really is that easy. If you have extra cash.........go do some gambling with a site like Ameri trade or E Trade. Pick a low priced stock and try to hit the jackpot. I haven't done the E trade thing yet but now that I have internet that actually works in Iraq I'm going to get on that.

[bloody_trauma 2]

yeah thats what i did, just picked a couple through USAA and was done with it

Fly it like you stole it

[freeflir29 0]

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yeah thats what i did, just picked a couple through USAA and was done with it

A lot of people feel overwhelmed and get scared to put money into anything for fear of making a mistake. However..........saving SOMETHING is better than saving nothing. As long as you follow the general rules I just layed out and stick with reputable names in the investing industry I think you'll be OK. Can't go wrong with USAA!!!

[PLFXpert 0]

It's strange to me people will freely post in a public forum what investment accounts they have and contribute to, money they make, etc.

I was raised that such information is personal and should be kept "in the family".

It's nearly impossible to give away such information w/out revealing other things about yourself. For example, you contribute to a Roth. Thus, I know if you are single you make less than X amount/year or married less than Y, as Roths have income limitations. That info doesn't matter much to me, but provides a good example of how one might be revealing more than intended.

I think it's a great idea you're encouraging others to save. I just wouldn't do so by revealing too much detail about what you particularly are doing on a public forum. Just my two cents.
Also, to anyone interested, I highly recommend the book "Investing For Dummies". I read it myself freshman year of college---no I'm not calling anyone a "dummy" by suggesting it. I think it makes the idea of saving & investing and what one's options are/could be and how to start/plan/go about it really understandable and easy for anyone.

Paint me in a corner, but my color comes back.

[freeflir29 0]

You have a point. I have this problem that I was raised to believe that it doesn't matter how much or how little someone makes. Who cares right? Doesn't change what kind of person they are right? I'm also old enough to know that this just isn't so. Seems everyone cares EXCEPT me.

[PLFXpert 0]

Oddly enough, we have friends from all different income ranges.

I agree that it doesn't/shouldn't matter what one makes, but I DO think it matters how they manage/what they do with however much or little they do make.

Paint me in a corner, but my color comes back.

[Slappie 9]

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You have a point. I have this problem that I was raised to believe that it doesn't matter how much or how little someone makes. Who cares right? Doesn't change what kind of person they are right? I'm also old enough to know that this just isn't so. Seems everyone cares EXCEPT me.

I could careless what you make or what college degree you have. It's all about the person inside to me. I'm constantly being judged by others because of what I make or the lack of my degree. It really gets me down sometimes.

I thumb my nose at ANYONE who says the USA doesn't have a "class system" where the haves have and the have nots get the shaft.

**edit to add**

I really dislike shallow people....

"Find out just what any people will quietly submit to and you have found out the exact measure of injustice and wrong which will be imposed upon them."

[skydiver51 0]

I use to have my money in the TSP. It gave some good choices for a Gov. plan. Since retirement I have moved it all to a traditional IRA balanced index fund. Lower risk than even the TSP. Since i'm already retired that's best for my money

[Slappie 9]

I forgot to contribute to the thread..

I've got 95% of my retirement in a company matched 401k. I contribute 6% co. matches 4% so it's about 10% investment. I'm 100% vested in the plan. Company also contributes 3.5% of my annual salary a year into a retirement cash acct. It's not invested but makes a very small apr.

401k is split 80% into a quarterly balance fund that is "aggressive" with it's investments. It re-balances itself every quarter. Spread among overseas funds and stock & bond with some mutual funds thrown in. The other 20% is company stock. Some may claim that's crazy since Enron. But, I'm pretty secure in the knowledge the company I work for is run by some greedy bastards and they sure as hell aren't going bankrupt. I also deal with our auditors on a monthly basis. They suck... The company also offers a Credit Union which I contribute 2% of my pay to each pay period. Helps at Christmas and for emergencies. I'm able to pull the money out via secured loans and pay myself back. I can also borrow with signature loans if needed. It's just a handy tool when the real world bites you on the ass and you need money quick.

Now on my personal side of things. I've got an IRA I contribute to. Which I'm way behind on.

I've also got a Sctottrade acct I seeded with $1500. It's been worked and built to about $2350 now. I know it's not a lot. But, it helps

"Find out just what any people will quietly submit to and you have found out the exact measure of injustice and wrong which will be imposed upon them."

[AllisonH 0]

I started a Roth IRA with USAA a couple of years ago. I just picked a couple of things that my mother said were good choices since she knows much more about these things than I do. That and a couple of CDs are about all I have because I'm 24, a full time student, and haven't actually had a real job yet.

[mnealtx 0]

All you need

Mike
I love you, Shannon and Jim.
POPS 9708 , SCR 14706

[mnealtx 0]

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I could careless what you make or what college degree you have. It's all about the person inside to me. I'm constantly being judged by others because of what I make or the lack of my degree. It really gets me down sometimes.

I thumb my nose at ANYONE who says the USA doesn't have a "class system" where the haves have and the have nots get the shaft.

**edit to add**

I really dislike shallow people....

No, it's all that damn FLUFF you post!!!!

Mike
I love you, Shannon and Jim.
POPS 9708 , SCR 14706

[Slappie 9]

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All you need

Not quite true. You actually have to have some brians and common sense.

"Find out just what any people will quietly submit to and you have found out the exact measure of injustice and wrong which will be imposed upon them."

[mnealtx 0]

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All you need

Not quite true. You actually have to have some brians and common sense.

Damn, THAT'S where I've been going wrong!!!

Mike
I love you, Shannon and Jim.
POPS 9708 , SCR 14706

[shortyj 0]

I do funds mainly stock market. That way you can get it out whenever and I love that they send me a statement each month to let me know how it's doing.
Some great advice don't let other people be in control of your money. You seek out what is good for you and invest in that

Playtime is essential.

[WeakMindedFool 0]

You can take the principal out of those roths without paying taxes on it cause you already did...that's one of the things that make it a roth. I have two (one for the wife) and we are actually using them as savings accounts for our daughters education. I also have a 457 and another retirement plan (Cal Pers Safety)
PLFXpert, If someone wants your identity...this is not how they are going to do it.

Edidted to add: Have you looked into GPS (Guided Portfolio Services)?

Faith in a holy cause is to a considerable extent a substitute for lost faith in ourselves.
-Eric Hoffer -
Check out these Videos

[freeflir29 0]

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we are actually using them as savings accounts for our daughters education.

Wouldn't a 529 be better for that purpose?

[WeakMindedFool 0]

We looked at alot of options, the roths worked for us for a couple of reasons. The others had restrictions on the use of the money we were uncomfortable with. Who knows if your child will do the traditional college thing. I hope she does even though I didn't, but no matter what she does, I am setting aside money to help her.
That said I would be shocked if she didn't go all the way, my girl is scary smart and loves math, science, and constantly corrects my spelling...she's 9. I just wanted to keep my money more fluid and a roth does that for me.

Faith in a holy cause is to a considerable extent a substitute for lost faith in ourselves.
-Eric Hoffer -
Check out these Videos

[freeflir29 0]

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my girl is scary smart and loves math, science, and constantly corrects my spelling...she's 9.

My boy is 11 and unfortunately, he seems to be about as interested in traditional school as I have been my entire life. Oh well...........I hope he has the good luck that I have had.

[PLFXpert 0]

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PLFXpert, If someone wants your identity...this is not how they are going to do it.

I wasn't necessarily speaking about identity theft; more about giving more info away than one might have intended.

But since you brought it up, certainly that info posted alone shouldn't be harmfull, but add that to the plethora of other tidbits people reveal about themselves and it definitely can make the process a lot easier to the thief.

Of course, I'm biased. I have so much protection, take so many precautions and am still always conscious of what I throw away, what I say/to whom I say it to, etc. I'm not a very trusting person, and that trait has always served me well.

Paint me in a corner, but my color comes back.