Depends on whether you expect to pay a higher tax rate after you retire, or not.What's your opinion on Roth vs traditional 401k?
And never forego the company matching your employer may offer on a 401K. It's free money.
Depends on whether you expect to pay a higher tax rate after you retire, or not.What's your opinion on Roth vs traditional 401k?
Keep in mind, pa doesn't charge income tax to retirees for income from social security or retirement accounts.
It's why I do 15% into my employer sponsored 401k to reduce my taxable income. Also the 8% on top of my contribution in matching from my employer doesn't hurt.
Great thread op.
Should I sell everything I own and live in an insulated shed? Serious question, and I'm seriously contemplating it
Also, is it illegal to set up my life insurance policies as hedge funds?
Whatever makes you happy! What would you do for money? Keep working? You can’t build long term wealth living like that, but if you don’t care about wealth, do what makes you happy!
I’ve never seen hedge funds in a life insurance policy. Most are standard mutual funds offered by the issuing company. I don’t do much with life insurance, so I’m not well versed on the current rules. Great question though.
I was thinking living on what would equal at least a $75k yearly salary.
How do you define "comfy?" The rule of thumb has been that someone can withdraw about 3.5% of their portfolio for a period of 30 years without outliving their money. So, if you want to live on $35k in retirement, you would need a portfolio of $1,000,000 to support that. This doesn't include social security benefits. The average SS benefit is about $16k.
I get that ROTH IRAs are recommended for young investors - but since the annual cap is relatively small at $5,500 would you recommend maxing that out and still directing 10-15% to a traditional/401k?
When should I dump my GE stocks! Also thinking about buying more TR, as its had a decent drop.
I don’t understand this. At a million dollars, the interest earned with this retirement investment should give someone conservatively 5-8% after fees. That would mean at least $50k a year in income without touching the $1 million principal.