It is relatively easy to buy low.  It's pretty tough to sell high. 

 

It is hard to do either - if you're talking timing the market.  Plenty of "experts" in February '09 said we had a long ways down to go.

As long as the rich are prospering, the market has a very good chance of doing the same.

 

But when either starts bleeding like in 08, then all hell breaks loose with the other.

I have a lot of friends caught up in the Bitcoin craze. Nothing you can do to convince them there are no fundamentals behind the rise.

 

Probably because you don't understand the technology or how it's being used and can be used. Blockchain...it's not just a currency replacement anymore.

All of these ordinary people chatting up the stock market is the sign of bad things to come. 

 

 

OK, I'll bite. What makes you so extraordinary??

I have a lot of friends caught up in the Bitcoin craze. Nothing you can do to convince them there are no fundamentals behind the rise.

 

Probably because you don't understand the technology or how it's being used and can be used. Blockchain...it's not just a currency replacement anymore.

 

I am not an expert on it which is why I don't invest in it. If you want to be successful in investing, invest in what you know, except foreign currencies because that is just gambling.

 

If you like crypto currencies, by all means invest if you know what you are doing. Many people who do invest know nothing of the matter though which is dangerous.

 

However, from a financial valuation standpoint, there is not a rational valuation for the value of Bitcoin, but that does not mean it cannot be a good investment if you know what you are doing.

The technology is for real, that doesn't mean there's not a bubble in all these currencies.

However, from a financial valuation standpoint, there is not a rational valuation for the value of Bitcoin, but that does not mean it cannot be a good investment if you know what you are doing.

 

I thought you were Mr. Free Market? The value is what the market says it is. The market is always a rational user of resources, right?

 

BTW, the total market cap of all of these bitcoins is nearly $1 trillion -- all for a technology that has barely scratched the surface of its potential utility. Go back and read articles from five years ago about Bitcoin nearing the bubble. They're as laughable as the articles about crypto bubble(s) today. I fully expect Bitcoin to hold steady pricewise as more alt coins challenge it -- unless new transaction technologies now in testing realize their promise and increase the utilization of crypto for more of its potential applications. Eventually, the transaction technology will catch up to blockchain technology. When it does, watch that market cap find a new bubble, er, ceiling.

However, from a financial valuation standpoint, there is not a rational valuation for the value of Bitcoin, but that does not mean it cannot be a good investment if you know what you are doing.

 

I thought you were Mr. Free Market? The value is what the market says it is. The market is always a rational user of resources, right?

 

BTW, the total market cap of all of these bitcoins is nearly $1 trillion -- all for a technology that has barely scratched the surface of its potential utility. Go back and read articles from five years ago about Bitcoin nearing the bubble. They're as laughable as the articles about crypto bubble(s) today. I fully expect Bitcoin to hold steady pricewise as more alt coins challenge it -- unless new transaction technologies now in testing realize their promise and increase the utilization of crypto for more of its potential applications. Eventually, the transaction technology will catch up to blockchain technology. When it does, watch that market cap find a new bubble, er, ceiling.

 

I am free market. And your right, the market is what it says it is, however, as an investor, I like more traditional models where I can understand the underlying asset value behind it. I don't see that with Crypto currencies and to be honest, they have not stoked my interest enough at this time to learn about it for investment purposes.

 

That being said, Ken, if you know what you are doing, then by all means, it is a good investment for you, because you have market knowledge that I do not possess at this point. For someone like me and millions of other Americans, buying Bitcoin is about the same is playing $1000 on Powerball. For someone like you, who is much more educated on the subject, it is investing.

What scares me is that these exchanges are taking credit cards to purchase crytpo.  I can see lots of people ending up with piles of credit card debt in a gamble to get rich quick.

Heh.  People misunderstand the free market principle of efficiency.  In the long term, the free market is efficient for the ruthless reason that it tends to crush inefficiencies and bad business models.  The process of crushing those is not instantaneous (nor pleasant to the crushee).  If it were, any business that lasted more than a day would by definition enjoy the market's blessing as successful, since it survived the instantaneous winnowing process.

 

As for blockchain (which is separate from bitcoin), I have confidence that blockchain will be a successful technology in the future, but that doesn't mean that bitcoin specifically will be or even that cryptocurrency will be.  It also doesn't mean that blockchain is a good investment today, unless you think that stories like this constitute no evidence whatsoever of a bubble inflating:

 

https://arstechnica.com/tech-policy/2018/01/blockchain-announcement-sends-hooters-parent-company-stock-soaring/

 

https://arstechnica.com/tech-policy/2017/12/iced-tea-company-stock-triples-after-adding-blockchain-to-name/

^ The funniest thing is companies that are adding blockchain to their name and getting huge gains in value in the  market.  It reminds me of the .com boom in the 90s.

A lot of what is happening in the stock market now reminds me of the dot-com boom, even moreso than the pre-2008 overleveraged "financial innovation" bubble.

 

Fortunately, the dot-com bust caused less widespread, mainstream damage than the 2008-2009 meltdown.  If this bubble deflates more like that one and less like post-Lehman 2008, I'll call that ... well, not a good thing, but a less-bad thing.

^ The funniest thing is companies that are adding blockchain to their name and getting huge gains in value in the  market.  It reminds me of the .com boom in the 90s.

 

I have said this to a number of people in my office who bought this.

Heh.  People misunderstand the free market principle of efficiency.  In the long term, the free market is efficient for the ruthless reason that it tends to crush inefficiencies and bad business models.  The process of crushing those is not instantaneous (nor pleasant to the crushee).  If it were, any business that lasted more than a day would by definition enjoy the market's blessing as successful, since it survived the instantaneous winnowing process.

 

As for blockchain (which is separate from bitcoin), I have confidence that blockchain will be a successful technology in the future, but that doesn't mean that bitcoin specifically will be or even that cryptocurrency will be.  It also doesn't mean that blockchain is a good investment today, unless you think that stories like this constitute no evidence whatsoever of a bubble inflating:

 

https://arstechnica.com/tech-policy/2018/01/blockchain-announcement-sends-hooters-parent-company-stock-soaring/

 

https://arstechnica.com/tech-policy/2017/12/iced-tea-company-stock-triples-after-adding-blockchain-to-name/

 

This is the nail on the head. Not to say you cant successful investing now based on your risk profile and goals, but probably best to keep things short term, day trading, etc. I would not consider betting the house on this yet or placing retirement money in it until the market works itself out.

I am avoiding cryptocurrency like the plague.  But that's because I don't understand it and I think the bubble is about to bust.  That's just me.  I hope KJP[/member] gets rich and gets his condo in Canada where he and his beautiful wife can live happily.  I just hope he understands what he is doing but I don't want him to lose his shirt.

Bitcoin is valued highly because it is so widely accepted compared to other cryptocurrencies. From a technology perspective, it is very slow and difficult to scale. You can process only about 3 transactions per second. As more alt-coins and channels/blockchains like Ethereum, Ripple/XRP, XEM, and ADA and some of the lesser-known techs that are faster, more scalable and user friendly become accepted, their values will ultimately overtake Bitcoin's -- unless a faster channel for it is implemented. Again, we're all still is the embryonic stage with this technology, and does have a lot in common with the dot-com crash of the late 1990s. A few dominant cryptos will emerge from it, and part of the game right now is trying to figure out which ones those will be for the market to ratchet up further. But the beauty of crypto is that anyone with a basement full of servers can make a blockchain. It truly is a garage technology or a basement brewer who can use it to protect intellectual rights, audio/video copyrights, assign royalties, create smart contracts, etc. etc. or even create your own impenetrable payment system for a small (or large) business.

I am avoiding cryptocurrency like the plague.  But that's because I don't understand it and I think the bubble is about to bust.  That's just me.  I hope KJP[/member] gets rich and gets his condo in Canada where he and his beautiful wife can live happily.  I just hope he understands what he is doing but I don't want him to lose his shirt.

 

I'm putting a little bit of money into a number of new, low-priced cryptocurrencies based on their fundamentals (speed, scalability, supply, management team, financial backing, etc) so that if one becomes the "next big thing" then I'll enjoy that ride. That means I'll probably lose money on all of the others, so I'm not putting too much money in them. I'm only putting the money in them I'm willing to lose. So if I put $1,000 into 10 cryptos and one takes off (ie: more than 1000 percent) and I lose everything in the other 9, I still make a profit. But I won't lose everything in all 9 because not all 9 will fail and I will certainly try to get out of those that seem destined to fail. I will also use different exchanges so that if one or two gets hacked, I won't be out of luck. Same deal if the market crashes and everyone tries to get out all at one, more than one exchange will likely put the brakes on the withdrawals to prevent "a run on their bank" since they're not FDIC insured. So it's best to spread the money around. This market isn't for the faint of heart, especially if you can't afford to lose a few thousand dollars.

 

Furthermore, I don't plan to cash out of them in a single move at the end of a long period. I plan to skim and pocket the profits at/near the peaks and/or at regular intervals, leaving the principal to ride the next dip/correction until the next upswing. And if I feel a crypto has run out of gas after a good run, like Litecoin seems to have done, I'll reduce my exposure to it. Doesn't mean I'll completely walk away from it either just in case it has another run left in it.

^ it's a bit like I treat black jack albeit you probably have better odds.  If you can afford it go for it.  I hope you get wealthy from it.  I'll just plug away at my boring index funds at take it slow and steady.

^ it's a bit like I treat black jack albeit you probably have better odds.  If you can afford it go for it.  I hope you get wealthy from it.  I'll just plug away at my boring index funds at take it slow and steady.

 

I have index funds too, and some blue-chip stocks, and a boring IRA, and a mortgage-free condo, and no other debts. I wouldn't be doing this if I didn't. :) And I wouldn't recommend someone else getting deeply invested in it unless they had other, more significant investments that overshadowed your high-risk, high-return adventures.

All of these ordinary people chatting up the stock market is the sign of bad things to come. 

 

 

OK, I'll bite. What makes you so extraordinary??

 

Well it's impossible to beat the market.  Less than 5% of investing professionals beat the market over the course of their lifetimes.  Active traders do significantly worse than passive investors. 

 

I'm definitely not borrowing money to throw at single stocks or cryptocurrencies or preposterously leveraged rental property.

 

 

 

 

 

 

Well it's impossible to beat the market.  Less than 5% of investing professionals beat the market over the course of their lifetimes.  Active traders do significantly worse than passive investors. 

 

I'm definitely not borrowing money to throw at single stocks or cryptocurrencies or preposterously leveraged rental property.

 

 

I didn't see anyone on this forum suggesting another should act so recklessly.

 

As for trying to beat the market, I hope you didn't think I was advocating such a dumb strategy. I own a mix of small cap, large cap, growth, income, cash and other investments for the long term (years if not decades). I trade at the margins for fun.

I am avoiding cryptocurrency like the plague.  But that's because I don't understand it and I think the bubble is about to bust.  That's just me. 

 

Not just you. Also some pretty prominent macroeconomists/currency experts.

 

The bitcoin bubble will likely burst, and here’s why

http://www.bostonglobe.com/opinion/2018/01/03/the-bitcoin-bubble-will-likely-burst-and-here-why/dJUDm2RYRoj64iHaIx0bZL/story.html

I think the way KJP is playing it is totally fine though.  I worry about the people who cannot afford it and are going into debt to invest in it.

Not just you. Also some pretty prominent macroeconomists/currency experts.

 

The bitcoin bubble will likely burst, and here’s why

http://www.bostonglobe.com/opinion/2018/01/03/the-bitcoin-bubble-will-likely-burst-and-here-why/dJUDm2RYRoj64iHaIx0bZL/story.html

 

Bitcoin is just one coin. It's the largest by per-coin price and market cap. But no one knows how this market is going to shake out. One thing that the skeptics keep overlooking is that the blockchain technology is ahead of the channel/sharing technology. As the latter catches up, the former will increase in value. But which of the the former. I wonder if the skeptics realize how many coins/blockchains are out there. Not all will survive, but more will be created in the coming years. Some are accidentally created through splits in normal blockchain transactions, such as what happened to Ethereum. In Ripple's case, the coin and the channel are married which makes the coin very attractive.

https://www.marketwatch.com/story/stock-market-investors-should-brace-for-a-possible-near-term-melt-up-jeremy-grantham-2018-01-03

 

Jeremy Grantham, who predicted the 2000 and 2008 crashes, says the market is entering "melt up" phase - a quick ascension in the markets before a large crash (likely late in '18 or 2019).  He says the S&P 500 will get to 3400-3700 before crashing, likely some 50%.

https://www.marketwatch.com/story/stock-market-investors-should-brace-for-a-possible-near-term-melt-up-jeremy-grantham-2018-01-03

 

Jeremy Grantham, who predicted the 2000 and 2008 crashes, says the market is entering "melt up" phase - a quick ascension in the markets before a large crash (likely late in '18 or 2019).  He says the S&P 500 will get to 3400-3700 before crashing, likely some 50%.

 

It'll be Obama's fault (if not Hillary's.)

Not a bad start to the year:

 

DOW: 25,295.87 up 2.33% YTD

NASDAQ: 7,136.56 up 3.38% YTD

S&P 500: 2,742.33 up 2.57% YTD

NYSE: 13,099.15 up 2.27% YTD

I wish I had UPRO (3x leveraged ETF).

42% of Americans have $10,000 or less in retirement savings:

 

https://www.cnbc.com/2018/03/06/42-percent-of-americans-are-at-risk-of-retiring-broke.html

And in a bitter irony, linked straight from the bottom of that article:

 

Even a $1 million retirement nest egg isn't enough anymore

 

https://www.cnbc.com/2017/11/30/even-a-1-million-retirement-nest-egg-isnt-enough-anymore.html

 

=======================

 

The worst part is that because of the nature of compound returns, people that "wise up" at 40 or even 35 have lost a lot of the critical early years to start compounding beginning.  I started at 27 and the math is crazy for how much further ahead I'd be if I'd started at 25.  Meanwhile, the math after 50 is so uninspiring that I'm practically tempted to stop saving and start enjoying life a bit more at that point, if I'm in a position to do so; the compounding on new contributions between 50 and 59.5 is just that wimpy.

^The article isn't very good, imo.  It notes a 4% safe withdrawal rate, which has roughly a 95% success rate throughout history ("success" being defined as the portfolio still having a value after 30 years) - http://afcpe.org/assets/pdf/vol1014.pdf

 

Of course, it notes that least 75% of the portfolio needs to be in stocks as a hedge against inflation. 

 

But yes, as costs rise $1 million doesn't go as far as it used to.  But if you have $1 million now and spend $40k/year, your portfolio should last at least 30 years if you withdraw $40k/year and then adjust only for inflation because your $1 million will generate, on average, ~7% in dividends, cap gains, and increase in nominal value.  So by year 2, it'll be worth $1,030,000 (you withdrew $40k) and at 4% you could withdraw $41,200, which is a 3% increase (inflation) from the $40k in year 1.

 

So your goal should be to get to 25x your annual expenses as soon as possible, not $1 million "at retirement."

And in a bitter irony, linked straight from the bottom of that article:

 

Even a $1 million retirement nest egg isn't enough anymore

 

https://www.cnbc.com/2017/11/30/even-a-1-million-retirement-nest-egg-isnt-enough-anymore.html

 

=======================

 

The worst part is that because of the nature of compound returns, people that "wise up" at 40 or even 35 have lost a lot of the critical early years to start compounding beginning.  I started at 27 and the math is crazy for how much further ahead I'd be if I'd started at 25.  Meanwhile, the math after 50 is so uninspiring that I'm practically tempted to stop saving and start enjoying life a bit more at that point, if I'm in a position to do so; the compounding on new contributions between 50 and 59.5 is just that wimpy.

 

I get livid when I see articles like this. Although many more Americans are millionaires today, the overwhelming majority won't have anything close to that when they retire, and the fact that half the world lives on 2 cents a day makes it even more outrageous that people are crying in their beer about having "only" $1M! It's sickening. There's my 2 cents--lol (whatever happened to him?)

And in a bitter irony, linked straight from the bottom of that article:

 

Even a $1 million retirement nest egg isn't enough anymore

 

https://www.cnbc.com/2017/11/30/even-a-1-million-retirement-nest-egg-isnt-enough-anymore.html

 

=======================

 

The worst part is that because of the nature of compound returns, people that "wise up" at 40 or even 35 have lost a lot of the critical early years to start compounding beginning.  I started at 27 and the math is crazy for how much further ahead I'd be if I'd started at 25.  Meanwhile, the math after 50 is so uninspiring that I'm practically tempted to stop saving and start enjoying life a bit more at that point, if I'm in a position to do so; the compounding on new contributions between 50 and 59.5 is just that wimpy.

 

I get livid when I see articles like this. Although many more Americans are millionaires today, the overwhelming majority won't have anything close to that when they retire, and the fact that half the world lives on 2 cents a day makes it even more outrageous that people are crying in their beer about having "only" $1M! It's sickening. There's my 2 cents--lol (whatever happened to him?)

 

That's an understandable reaction, but the fact is that if you're retiring on less than $1M saved, you're likely delaying retirement, seriously adjusting your standard of living downward, or both.  The maximum possible Social Security retirement check for someone retiring at 62 in 2017 is $2153/mo.  And almost no one will get that because that's based on earning the taxable maximum for 35 years, so starting around age 27.  Obviously the population of people who hit that mark is vanishingly small, especially outside of high-cost-of-living markets.

 

Meanwhile, defined-benefit pension plans are less and less common.  Other oddball accounts like cash balance accounts are just other versions of defined-contribution accounts anyway, and are also both not particularly common and seldom real difference-makers in retirement living standards.  So the big defined-contribution accounts--401(k) and IRA--really do deserve a certain amount of handwringing even among those who already have higher balances in them.

Over the next 20 years we could shift to Japanese-type stock market stagnation and a rise in interest rates, meaning $1 million in cash could reliably generate $50-100k annually in a standard savings account. 

 

A paid off 4-family anywhere in Ohio should generate as much or more monthly income as a social security check.  You only need $10,000 cash to buy one with an FHA loan at age 30 and then live in it for a year...but hardly anyone is doing it. 

 

 

Pay off your debts, America! I'm pretty close to retirement and have $500,000 saved, yet my family spends only about $30,000 per year because I own all of my major assets and have no credit card debt. In fact, my single biggest expense right now is my son's day care, an expense which goes away next fall and my wife is earning more and more income as she gains a better foothold in the USA. So if you can get your monthly expenses down by paying off your debts (and not incur new ones!), a comfortable retirement is possible on far less than $1 million.

Pay off your debts, America! I'm pretty close to retirement and have $500,000 saved, yet my family spends only about $30,000 per year because I own all of my major assets and have no credit card debt. In fact, my single biggest expense right now is my son's day care, an expense which goes away next fall and my wife is earning more and more income as she gains a better foothold in the USA. So if you can get your monthly expenses down by paying off your debts (and not incur new ones!), a comfortable retirement is possible on far less than $1 million.

 

I owe $750/month on my student loans. I pay $1,100-1,500 every month.

 

Damn millenials

I get livid when I see articles like this. Although many more Americans are millionaires today, the overwhelming majority won't have anything close to that when they retire, and the fact that half the world lives on 2 cents a day makes it even more outrageous that people are crying in their beer about having "only" $1M! It's sickening. There's my 2 cents--lol (whatever happened to him?)

 

It's only going to get worse, unfortunately. People my age can't buy a decent starter home for $100k anymore. The price of a lot of the assets we need to own has increased dramatically, but the median salary hasn't - adjusted with inflation.

I owe $750/month on my student loans. I pay $1,100-1,500 every month.

 

Damn millenials

 

That blows. 

 

If the economy holds steady and I can avoid a medical problem that interrupts work and ravages my savings I should be able to retire when I'm 50. 

 

 

 

Also, let me share a personal anecdote -- about 12 years ago I worked at a place where I was told I would be automatically enrolled in the 401k after one year.  Cool.  Two years into it I ask the head of HR if I could see my statement and she said I had never signed up.  I told her I had been told it would happen automatically.  She said no that's never been the case.  I told her I wanted to start and do a Roth.  She looked at me quizzically.  Over the next minute of conversation it became obvious that our head of HR had no idea what the difference between a traditional and a Roth was. 

 

I bring this up because we not only have a crisis with low-income individuals who can't hope to enjoy a dignified retirement -- we have people in middle and even upper management who simply do not understand how retirement accounts work.  Like, not even the basics.  Sort of like how a lot of real estate agents don't understand how real estate investing works. 

 

 

It's only going to get worse, unfortunately. People my age can't buy a decent starter home for $100k anymore. The price of a lot of the assets we need to own has increased dramatically, but the median salary hasn't - adjusted with inflation.

 

There are plenty of "decent starter homes" in Ohio for $100K.  You just have to be willing to do the work on them.  My ex wife and I bought our first in Lakewood for 105K, sold it 3 years later for 140K with just cosmetics put into it with paint, carpet etc.  If you want those modern finishes, start learning how to rip down walls, install cabinets and order quartz countertops.  I did without buying a 300K tax-abated townhouse in Ohio City.

Pay off your debts, America! I'm pretty close to retirement and have $500,000 saved, yet my family spends only about $30,000 per year because I own all of my major assets and have no credit card debt. In fact, my single biggest expense right now is my son's day care, an expense which goes away next fall and my wife is earning more and more income as she gains a better foothold in the USA. So if you can get your monthly expenses down by paying off your debts (and not incur new ones!), a comfortable retirement is possible on far less than $1 million.

 

I owe $750/month on my student loans. I pay $1,100-1,500 every month.

 

Damn millenials

 

Did you consolidate?  I've heard of some services offering lower interest rates, if that'd be helpful for you.

Also, let me share a personal anecdote -- about 12 years ago I worked at a place where I was told I would be automatically enrolled in the 401k after one year.  Cool.  Two years into it I ask the head of HR if I could see my statement and she said I had never signed up.  I told her I had been told it would happen automatically.  She said no that's never been the case.  I told her I wanted to start and do a Roth.  She looked at me quizzically.  Over the next minute of conversation it became obvious that our head of HR had no idea what the difference between a traditional and a Roth was. 

 

I bring this up because we not only have a crisis with low-income individuals who can't hope to enjoy a dignified retirement -- we have people in middle and even upper management who simply do not understand how retirement accounts work.  Like, not even the basics.  Sort of like how a lot of real estate agents don't understand how real estate investing works.

 

That's really embarrassing.  What purpose does HR even serve?

 

Over the next 20 years we could shift to Japanese-type stock market stagnation and a rise in interest rates, meaning $1 million in cash could reliably generate $50-100k annually in a standard savings account. 

 

A paid off 4-family anywhere in Ohio should generate as much or more monthly income as a social security check.  You only need $10,000 cash to buy one with an FHA loan at age 30 and then live in it for a year...but hardly anyone is doing it.

 

You're more courageous than most.  There is a chance that I will get into owning rental properties someday (and I've asked some basic questions over on the Owning Rental Properties thread, as you know), but my only experience with owning real property--i.e., owning my own home--has been nothing but a cost center.  I just, you know, need a roof over my head.  Real property comes with ongoing tax and maintenance obligations that stocks don't.  Being a landlord comes with further legal obligations; owning stocks (at least unless you're a controlling shareholder) doesn't.

 

That said, yes, a long-term stock market stagnation would cause me to change plans.  I'm obviously less likely to look at doing new things when I'm posting 5-year compound returns north of 20% annually.

 

My general, 30,000-foot thought is that the equity markets are where most of the gains from the coming revolutions in artificial intelligence, robotics, and even genetics and energy will be realized.  I view those as the most likely wealth-creating engines of the next generation.  Therefore, I still prioritize being in the stock market.  I do understand that real estate ownership and management does offer potentially powerful returns on equity because the leverage means you're also making part of your money as returns on someone else's capital, in exchange for interest payments that are hopefully affordable, though.

 

It's only going to get worse, unfortunately. People my age can't buy a decent starter home for $100k anymore. The price of a lot of the assets we need to own has increased dramatically, but the median salary hasn't - adjusted with inflation.

 

There are plenty of "decent starter homes" in Ohio for $100K.  You just have to be willing to do the work on them.  My ex wife and I bought our first in Lakewood for 105K, sold it 3 years later for 140K with just cosmetics put into it with paint, carpet etc.  If you want those modern finishes, start learning how to rip down walls, install cabinets and order quartz countertops.  I did without buying a 300K tax-abated townhouse in Ohio City.

 

This is where, just impressionistically, I think the US has lost a step.  That's definitely the right move for a lot of young people.  But that kind of general-handyman skill set just seems to be a lot rarer these days than it was in the past, even as the resources available to acquire that skill set generally and get walkthroughs of specific projects are infinitely greater (YouTube and other online tutorials from outlets like DIY and HGTV, public library resources, etc.).  There are screaming bargains in the "needs a little TLC" category out there if you have the skill set to put in the sweat equity.  I certainly don't.  I wish I did.  We definitely paid the premium to buy a house that was "move-in ready," in real-estate speak.

 

Did you consolidate?  I've heard of some services offering lower interest rates, if that'd be helpful for you.

 

I did, 5 months ago. I have a 3.9%

^That's a really good rate, tbh.  But yeah, student loans suck.

Mine aren't that bad month to month.

 

But my last one matures when I'll be almost 46.

 

:-(

Mine aren't that bad month to month.

 

But my last one matures when I'll be almost 46.

 

:-(

 

I'm supposed to be paying until I'm 52. But, paying at the rate I am, I should be done in 3-4 years, God willing.

Pay off your debts, America! I'm pretty close to retirement and have $500,000 saved, yet my family spends only about $30,000 per year because I own all of my major assets and have no credit card debt. In fact, my single biggest expense right now is my son's day care, an expense which goes away next fall and my wife is earning more and more income as she gains a better foothold in the USA. So if you can get your monthly expenses down by paying off your debts (and not incur new ones!), a comfortable retirement is possible on far less than $1 million.

 

I owe $750/month on my student loans. I pay $1,100-1,500 every month.

 

Damn millenials

 

That is why you shouldn't go to law school. :)

Pay off your debts, America! I'm pretty close to retirement and have $500,000 saved, yet my family spends only about $30,000 per year because I own all of my major assets and have no credit card debt. In fact, my single biggest expense right now is my son's day care, an expense which goes away next fall and my wife is earning more and more income as she gains a better foothold in the USA. So if you can get your monthly expenses down by paying off your debts (and not incur new ones!), a comfortable retirement is possible on far less than $1 million.

 

I owe $750/month on my student loans. I pay $1,100-1,500 every month.

 

Damn millenials

 

That is why you shouldn't go to law school. :)

 

It's the avocado toast man.  That's what's holding you back.

 

That is why you shouldn't go to law school. :)

 

Lol! I had a full-ride my first year, but needed a 3.3 to maintain it. I got a 3.18 :(

 

So, I guess I'm still more fortunate than most

 

That is why you shouldn't go to law school. :)

 

Lol! I had a full-ride my first year, but needed a 3.3 to maintain it. I got a 3.18 :(

 

So, I guess I'm still more fortunate than most

 

It is that damn b- curve. Where did you go to law school?

 

That part sucks. I know I struggled paying my loans until I quit practicing law. Funny how that worked out.

That's really embarrassing.  What purpose does HR even serve?

 

A yes man for the ownership.  I have worked for 4 or 5 small family-owned companies.  At 3 or 4 of them, aside from the family drama we all got to witness, there was one person who wasn't in the family who the family trusted.  And every time that person was swindling them.  That swindler also tricked the family into thinking the honest people at the company were liabilities. 

 

 

 

 

has been nothing but a cost center.  I just, you know, need a roof over my head.  Real property comes with ongoing tax and maintenance obligations that stocks don't.  Being a landlord comes with further legal obligations; owning stocks (at least unless you're a controlling shareholder) doesn't.

the "needs a little TLC" category out there if you have the skill set to put in the sweat equity.  I certainly don't.  I wish I did.  We definitely paid the premium to buy a house that was "move-in ready," in real-estate speak.

 

I now have heard of two doctors who quit the profession because they started making more money in real estate and being a doctor was holding them back.  Most recently my friend's stepdad told me he had a colleague who bought 10 vacation homes in South Carolina and Georgia in his 40s and makes more money off those things than he ever hoped to as a doctor. 

 

I listened to a podcast recently that had a guest who owns 4,000 apartments.  His complex in Florida sustained $70,000 in landscaping damage from Hurricane Mathew that wasn't covered by insurance.  He shrugged it off because he keeps a ton of cash on hand for maintenance. 

 

All of the people who lose their shirts in real estate do so because they get over-leveraged.  The whole banking system is set up to get people hooked on buying more and more.  People love saying they "own" such-and-such number of properties, or in the case of Kushner Companies, one prominent but half-leased, antiquated, and massively indebted office building on Fifth Ave.