Ron 10 #26 January 10, 2005 QuoteAnd who's advice did the King listen to? The Fool's.... he didn't have to curry favor. Go check it out...you'll see. ___________________________ Oh I know, I was kidding....I have read things from there before."No free man shall ever be debarred the use of arms." -- Thomas Jefferson, Thomas Jefferson Papers, 334 Quote Share this post Link to post Share on other sites
slug 1 #27 January 10, 2005 Been listening to the basics for a long time Invest for the long term. Diversify. Don't panic corrections to the market will occur and eventually recover. The 15% return is overly optimistic I've read long term diversified stocks 7-8% Din't understand dollar cost averaging (buying stocks over time) rather than all at once but i guess it works. The table's that I've seen of accruel of wealth over time were striking between starting to save/invest young vs waiting until your older. compound factor for a extra 30-40 yr's. There's a book we read "your money or your life" they advocate buying the basics saving the rest in conservative investments and then retire early live frugaly off the interest. BTW we retired at 47 almost 10 yr's ago. People ask how can you afford to do that? Easy just have to match your expenses to your income. R.I.P. R.i.P. Quote Share this post Link to post Share on other sites
mnealtx 0 #28 January 10, 2005 QuoteQuoteAnd who's advice did the King listen to? The Fool's.... he didn't have to curry favor. Go check it out...you'll see. ___________________________ Oh I know, I was kidding....I have read things from there before. I figured you might have been, since you mentioned DRIP's. But I figured, just in case....Mike I love you, Shannon and Jim. POPS 9708 , SCR 14706 Quote Share this post Link to post Share on other sites
mjosparky 4 #29 January 10, 2005 Yes, I have a pension, or retirement. Have been drawing it since 1997 at age 52. I also started a deferred comp. account through my employer and am drawing on that also. If you are 30 now and have not started you are in deep shit. Sixty is a terrible place to be without a steady income and health insurance. SparkyMy idea of a fair fight is clubbing baby seals Quote Share this post Link to post Share on other sites
SkymonkeyONE 4 #30 January 10, 2005 <----currently collecting my 53% pension for serving 21 years in the Army. Quote Share this post Link to post Share on other sites
freeflir29 0 #31 January 11, 2005 One other thing........In my "retirement" plan there are 5 differen't accounts. I have my money in one "Money Market", a S&P 500, Common stock, and an international stock funds. By FAR the international is doing better. Especially for those of us being paid in the WEAK US Dollar. Quote Share this post Link to post Share on other sites
slug 1 #32 January 11, 2005 Quote<----currently collecting my 53% pension for serving 21 years in the Army. You really earned it enjoy itR.I.P. Quote Share this post Link to post Share on other sites
skytash 0 #33 January 11, 2005 To find an IFA in the UK, call IFA promotions on 0800 095 3250. tashDon't ever save anything for a special occasion. Being alive is a special occasion. Avril Sloe Quote Share this post Link to post Share on other sites
dropoutdave 0 #34 January 11, 2005 The best thing to do in the UK is property, get yourself a couple of houses, rent them out, sit back and wait. ------------------------------------------------------ May Contain Nut traces...... Quote Share this post Link to post Share on other sites
wmw999 2,565 #35 January 11, 2005 QuoteIf you are 30 now and have not started you are in deep shit But not nearly as deep as if you don't start. Really. It can be done. One way to stretch whatever money you have when you retire is to make sure that you don't still have big bills to pay -- that's why you see so many older folks still driving the same 10-year-old cream puff. Why buy a new bill? If your house is paid off, then it's like really cheap rent (taxes etc); money you don't have to pay out. Wendy W.There is nothing more dangerous than breaking a basic safety rule and getting away with it. It removes fear of the consequences and builds false confidence. (tbrown) Quote Share this post Link to post Share on other sites
Ron 10 #36 January 13, 2005 Some advice that was sent to me...It ry to live like this: Quote1. Live below your means. My car is 10 years old. It looks fine. It runs fine. Can I afford a flashy car? Sure! But I'd rather retire early. Right now is the time to cut out all those silly, expensive habits that don't mean much in the larger scheme of things. I mean today! Right now! For example, does smoking really give you $150 a month worth of "fun"? Get rid of it! I was looking to buy a BWM coupe...But I didn't since my car is only a few years old. Quote 2. Save Regularly. Saving is like exercise. It's a lot more beneficial if you do it regularly, in moderation, beginning when you're young, than it is if you do it sporadically, and to excess, when you're getting older. Saving is like paying yourself. So every payday, pay yourself first. A little here, a little there over a period of time and pretty soon you're talking real money. 20% of my income goes into 401k and stocks on a DRIP plan. I also have a savings account and any money I make skydiving, coaching in the tunnel, selling something goes directly into that account. Quote 3. Invest for the long term. Seven or eight years ago, my father, who was getting on in years, asked if I would look after his investments. I said sure. So I'm looking through his records and I come across this mutual fund, which was not exactly a swinger. I think it was worth $90,000 or something. So I asked my dad, 'What did you pay for this thing?' He said, '$5,000.' I said, 'When did you buy it?' He said '1969.' I shouldn't have been surprised. Quote 4. Don't be house poor. My house was paid for by 503, because I resisted the urge to keep moving up into something bigger and bigger. Sure, it was a little cramped when the kids were still at home. And I always watched the interest rates and refinanced when it made sense. As a result, my housing expenses as a percentage of my income have declined every year of my adult life! I live in a trailer on a DZ...Looking to buy a house if a job I am looking at comes through. Quote 5. Don't let tax considerations drive your spending decisions. Some folks will do foolish things just to avoid taxes. I say, forget that lame argument that you should keep a big mortgage to shelter your income from taxes. You pay interest and you deduct it -- but what do you care whether you pay the bank or pay Uncle Sam? The goal is to pay yourself! If your house is appreciating fast, that's great -- but just own the fact that, to the extent you have more house than you need, you're speculating in real estate on margin. Quote6. Take advantage of tax-free compounding. If you can have an IRA, have one. If you can have a 401(k), get one. If you can have both, go for it! Had a 401k now for 11 years. Some years I didn't put much in, some I put a lot. It is doing OK. Quote7. Pay off the balance on your credit cards every month. If someone offered you a sure-thing investment paying 18% a year, would you take it? You should: 18% is almost twice what the stock market pays over the long term! Invest $10,000 at 18% and it becomes about $37,600 in eight years and almost $2 million in 32 years! What's the easiest way on the planet to make 18%? Pay off your credit cards! No credit card debt at all. The only thing I owe on is my car. Quote8. Have a plan. Wanting to retire early is one thing. But without a plan, you can't be sure you're on target. You can't be sure you're saving enough, or that your investments are returning enough, or that you'll outlive the money you'll have on the day you retire. Quote9. Have fun every day. Some poor souls think if they just grit their teeth, put their shoulders to the grindstone and put off living in the here and now, some day they'll have a wonderful life. Me, I think back to my years in the military. I say, 'Make sure every day above ground is a good one because you just don't know how many you're going to have!' I don't think anyone here has a problem with living in the moment. However, I see way to many people living like there is no tomorrow. While you should have fun, don't do it at the cost of having debt."No free man shall ever be debarred the use of arms." -- Thomas Jefferson, Thomas Jefferson Papers, 334 Quote Share this post Link to post Share on other sites
Newbie 0 #37 January 13, 2005 Thanks 'dad' Seriously, that was some good advice, as was other stuff in this thread, thanks guys. At the very least im opting back into the pensions scheme here at work, and looking to go back to saving 15% or so of my net salary. "Skydiving is a door" Happythoughts Quote Share this post Link to post Share on other sites
Ron 10 #38 January 13, 2005 QuoteThanks 'dad' Who's your daddy?"No free man shall ever be debarred the use of arms." -- Thomas Jefferson, Thomas Jefferson Papers, 334 Quote Share this post Link to post Share on other sites
