Being the OP am I entitled to update the thread to Dow 30k or should we wait for the dems prayers of a recession?- not a political debate but let’s get real. Hate him or love him 4 more years of prosperity is in order. I’m voting for Bernie In the primary if he’s still standing so we can have the true showdown needed in this country - capitalism vs socialism If anyone cares to go back and read the post 2016 headlines the Dow was going to crater MSM has never been more wrong on this guy even if they still hate him
Sitting on some $ from rolling over a work retirement fund in to a trad IRA. I'm hesitant to do anything at the moment due to how high everything is and the upcoming election. Any recommendations on what to put the money in for short term? My long term plan is index and mutual funds.
Timing the market is about impossible. Start getting that money working for you. Pick a good investor and get going.
Doesn't matter when you buy, it matters when you sell. If you aren't going to withdraw this money for 10+ years, then plow it into the market now. If you are 2 or 3 years away you might want to do something else.
The way you typed this up sounds like it is already "rolled over" into a qualified account. That's good. But then you say you are "sitting on some $$" meaning it is not in a qualified account? If you did retain a portion of it from rolling over, expect to pay taxes on it......like this smiley except you will not be smiling.
No it was directly rolled over into a qualifying account. No tax implications at this time. However the $ is not invested at this time. It's just sitting in a Trad IRA account. Havent bought any funds yet.
Really depends on where you are funds wise vs retirement age. If you’re 10+ yrs balance the the mix 60-80% in stocks target retirement funds work for inactive investors maybe make 5% of your own picks and 10-15% in high yield bonds. Just keep an eye on cost ratios as you get into high yield funds. As you first get into the 401k roll the high yields look great but if they eat 2% then start looking elsewhere. Really depends on your current situation and long term goals- which for most people are I hope I have enough money to do xyz and live comfortably. You have to have plan B as well, but that’s a worst case we elect a socialist president that craters the markets and doesn’t do anything actually for 4 yrs before sensible minds react and things normalize
Anyone familiar with JL Collins? My friend recommended his book to me. I stumbled upon the FIRE community (Financial Independence Retire Early) over the last week. Very interesting stuff. Our goal this year is to save $30k. $12k to max out both Roth IRAs and $18k into non-retirement account for more low expense Index Funds.
^^^^^^ and if you start young enough saving enough you can easily double what SS will yield you. I've always maintained that SS 12% is only half minimum of what you need. Borrowing from this savings should be the 8th cardinal sin.
Yes, avid JL reader (plenty of content on his website) as well as Mr. Money Mustache and Mad Fientist. Those 3 guys are must reads. Always been a saver who is responsible and smart about money. When I learned about FIRE I was so stoked to realize all my habits make it much more likely to retire way earlier rather than have so much I'll never spend it in a normal retirement.
