What is your net worth?

[BirdGang 385]

Just now, TimHauck said:

No he just calls you a rat constantly, I do it when you say something hypocritical like I quoted

You should work on your own material, when you parrot the dumbest person I’ve come across in my lifetime it’s hard to take seriously. 

[BirdGang 385]

33 minutes ago, Bert said:

I agree with a lot of what you have said but the mortgage issue is dependent on each individual's situation.  For example, I only have $95,000 left on my mortgage and I could pay it off.  My rate is 2.8 percent.  Why would I pay it off?  I added the cash to my emergency/cash fund and just purchased a 6 month CD at 4 percent and I get to deduct the mortgage interest. 

In your case at that low rate in your mortgage that’s the right move. I had 2.875% when I paid off a few years back but did not see this inflation coming and CDs were paying nothing at the time so I went for the guaranteed savings. 

[Horseman 2,479]

7 minutes ago, BirdGang said:

You should work on your own material, when you parrot the dumbest person I’ve come across in my lifetime it’s hard to take seriously. 

Not to mention he showers with his foster kids which he has only because that's how he gets his money. No job, lives off government handouts that people like you and me have to pay got. 

[Shooter McGavin 618]

14 minutes ago, Horseman said:

No. 

Have any answers to my questions?  

Semi professional?

I have 700k equity, no interest in taking out a HELOC to invest at this time

[BirdGang 385]

4 minutes ago, Horseman said:

Not to mention he showers with his foster kids which he has only because that's how he gets his money. No job, lives off government handouts that people like you and me have to pay got. 

If that’s true, it’s disgusting on a number of levels. 

[Horseman 2,479]

Just now, Shooter McGavin said:

Semi professional?

I have 700k equity, no interest in taking out a HELOC to invest at this time

Purely recreational.

So on one hand having a mortgages is great. On the other hand you are not maximizing that greatness.  What gives, are they great to have or not?  

[Shooter McGavin 618]

1 minute ago, Horseman said:

Purely recreational.

 

Whoops

[Shooter McGavin 618]

3 minutes ago, Horseman said:

Purely recreational.

So on one hand having a mortgages is great. On the other hand you are not maximizing that greatness.  What gives, are they great to have or not?  

It's not all or nothing.  Hedging.  Learn.

Besides this environment of high rates and questionable asset prices is a risk off move.  Also my employment is questionable the next year.

[TimHauck 2,912]

8 minutes ago, BirdGang said:

If that’s true, it’s disgusting on a number of levels. 

It’s not true

[Mark Davis 398]

3 hours ago, Fnord said:

We've taken big advantage of this. Airline miles are great but we currently have a card that earns cash that goes directly toward the principle on our mortgage. Put EVERYTHING on it but never carry a balance. Already taken a couple years off, before paying ahead.

I'm not Henry Ford. He is way smarter than me. And much more subtle in his ability to make people look stupid. 

I’m Henry Ford. I jest. But you really shouldn’t be singing the praises of the guy who didn’t comprehend how you had to account for dividend and capital gain distributions when calculating mutual fund and market returns in any financial thread. He’s an attorney, but didn’t seem qualified to balance his checkbook when it came to finance. 

[Horseman 2,479]

2 minutes ago, Shooter McGavin said:

Whoops

Yeah, should have said "was" sorry about that. 

Small time now, way small, remember less risk the closer to retirement you get. That doesnt discount my knowledge or experience though. 

So are mortgages great to have or not?  

[Shooter McGavin 618]

1 minute ago, Horseman said:

Yeah, should have said "was" sorry about that. 

Small time now, way small, remember less risk the closer to retirement you get. That doesnt discount my knowledge or experience though. 

So are mortgages great to have or not?  

My mortgage is great, it's 2.5%.  no reason to pay it off with rates so high and likely going higher.

[Horseman 2,479]

31 minutes ago, Shooter McGavin said:

It's not all or nothing.  Hedging.  Learn.

Besides this environment of high rates and questionable asset prices is a risk off move.  Also my employment is questionable the next year.

Taking a set determined amount of risk is a great answer. That's miles away from the definitive "people should not pay cash for their house".  And I think now you understand why.  For me my set determined amount is zero. 

[Horseman 2,479]

9 minutes ago, TimHauck said:

It’s not true

You love half truths based on your own interpretation of what people post.  Love it. 

[Pimpadeaux 2,406]

10 minutes ago, Shooter McGavin said:

My mortgage is great, it's 2.5%.  no reason to pay it off with rates so high and likely going higher.

That's a great rate. I couldn't move on that when rates were down that low, but I'm fine with the 4.2 percent I have now. 

[TimHauck 2,912]

5 minutes ago, Horseman said:

You love half truths based on your own interpretation of what people post.  Love it. 

Says the guy who apparently doesn’t know the definition of “yep”

[Horseman 2,479]

8 minutes ago, TimHauck said:

Says the guy who apparently doesn’t know the definition of “yep”

Kids all showered and put to bed? You sick fok. 

[TimHauck 2,912]

Just now, Horseman said:

Kids all showered and put to bed? You sick fok. 

You’re not usually on this late.  Wife’s night out with George?

[Horseman 2,479]

15 minutes ago, TimHauck said:

You’re not usually on this late.

It's only 8 on the west coast and I really enjoy talking about ways to make money.  But as usual you ruin every thread with your whining crying piss fights and child mentality.  

 

[Hardcore troubadour 15,510]

48 minutes ago, Pimpadeaux said:

That's a great rate. I couldn't move on that when rates were down that low, but I'm fine with the 4.2 percent I have now. 

Your credit rating must suck. 

[TimHauck 2,912]

27 minutes ago, Horseman said:

It's only 8 on the west coast and I really enjoy talking about ways to make money.  But as usual you ruin every thread with your whining crying piss fights and child mentality.  

 

Sorry, please get back to telling us how rich you are 

[Horseman 2,479]

38 minutes ago, TimHauck said:

Sorry, please get back to telling us how rich you are 

Tim, what exactly do you think people should be talking about in a thread titled "What's your net worth?"?

 

[Strike 5,590]

19 minutes ago, Horseman said:

Tim, what exactly do you think people should be talking about in a thread titled "What's your net worth?"?

 

I look forward to Tim's response to this query. 

[jonmx 2,429]

10 hours ago, Fnord said:

I am completely convinced that the poster above reported me at FBG. Wimp, indeed. Snowflake puzzy who has me on ignore because of his sensitivity to being questioned. Radicalized coward.

Lol....rrrrriiiiihhhgggghhhhttttt.  You guys were pathetic.  I was by far the most reported and most banned poster.  You sissies could not help yourself.  

 

[TimHauck 2,912]

5 hours ago, Horseman said:

Tim, what exactly do you think people should be talking about in a thread titled "What's your net worth?"?

 

I never said that wasn’t what the thread was about, I’m sorry I distracted from your bragging.  That’s also why I didn’t open this thread for the first ~12 pages of discussion, I don’t care how much money a bunch of strangers on the internet claim to be worth.  I do enjoy trolling you though, and figured you’d have among the most posts in the thread.

[jerryskids 6,836]

2 hours ago, MLCKAA said:

I’m not a finance genius.  Can’t refute any of these points.  I’m just a work hard, live within your means guy.  But there’s an intangible value to the freedom of being beholden to no creditor.

Perhaps "emotional" wasn't the best word, as it implies something incorrect.  More like "risk tolerance." 

2 hours ago, Horseman said:

1 - Why, how?  I have plenty of liquidity and could get the exact same loan anytime I wanted. 

2 - Paying someone interest to lower your AGI is a net negative. Why do people think that is some sort of positive?

3 - Key word "expect".  There is risk you are willing to take. At 7% I think its extremely stupid to take that risk. At 3.5% go right ahead, but, not for me. I want and need to reduce as much risk as possible going into retirement.  

 

1. Your question was a general one about why not to pay $800K cash, not about your personal situation.

2. Technically yes, but it is part of the calculation on the cost of the interest on your loan.

3. Same risk tolerance as above.  And it depends where you are in life.  A person nearing or at retirement is more susceptible to short-term market changes than a younger person.

Back to risk, I heard an interesting pod on Freakonomics where he interviewed an economist about financial advice, and how it differs from what successful financial planners recommend.  An economic analysis does not take emotions into account, which is NOT necessarily a good thing if you are not comfortable.  One thing he said was that he doesn't own a house and never will.  It had something to do with the market being efficient and setting reasonable rental prices for the current time, vs. locking into a price and payments.  And if your rental becomes unreasonable, you can easily move.  That's not for me, I like owning a house.

[Horseman 2,479]

4 hours ago, TimHauck said:

I do enjoy trolling you though, and figured you’d have among the most posts in the thread.

You think you're trolling when you run around saying things that make you sound like an imbecile?

Let's me ask you something, do you play the piano?  

[TimHauck 2,912]

13 minutes ago, Horseman said:

You think you're trolling when you run around saying things that make you sound like an imbecile?

 

12 hours ago, TimHauck said:

Says the guy who apparently doesn’t know the definition of “yep”

 

[Djgb13 2,339]

Hack doesn’t have a net worth. You have to have worked to have one  

[TimHauck 2,912]

16 minutes ago, Djgb13 said:

Hack doesn’t have a net worth. You have to have worked to have one  

Zing!  How long did it take you to think of that one?

[Hardcore troubadour 15,510]

4 minutes ago, TimHauck said:

Zing!  How long did it take you to think of that one?

Enjoy your week off? Back to the grind next week. Pity you won’t be able to post  as much. 

[Horseman 2,479]

32 minutes ago, TimHauck said:

 

 

Do you play the piano?

[Horseman 2,479]

Do not allow my confidence (and success) offend your insecurity.

-Primetime. 

[Pimpadeaux 2,406]

I got a new one for Christmas. It's an upgrade over the old one. It's one of those ones you fling out and catch a mess of bait fish. They run about $140 at Academy.

[Horseman 2,479]

On 12/31/2022 at 9:46 AM, Horseman said:

Do not allow my confidence (and success) offend your insecurity.

-Primetime. 

Bump for Raven Dummy.

[Raven Fan 362]

1 minute ago, Horseman said:

Bump for Raven Dummy.

Sorry what are you lying about now insecure incel?  Are you bottoming Birdstard right now?

Yuck. 

[Horseman 2,479]

On 12/29/2022 at 11:48 AM, Horseman said:

@Raven Fan  Let me help you out.  And anyone else that's looking to maximize their retirement accounts.

Best and maximum retirement contributions.

You have to have your employer set up a retirement plan with these options:  401(k), 401(k) Roth and 401(k) After-Tax.  A lot of companies don't know and/or don't offer all three.  But there isn't any reason they can't.  

Max 401(k) and/or 401(k) Roth contribution 2022: $20,500

50+ Catch up 2022: $6,500

Max total employer retirement account contributions 2022: 67,500

That means you can contribute $40,500 more after-tax money to a 401(k) after-tax account if your employer has that option available.  Simply roll that $40,500 (I do it twice a year, 20K a pop) into a regular Roth IRA.  It's called a Mega Backdoor Roth if you want to google about it.

Don't forget a regular backdoor Roth $7,000 if you don't have any existing regular IRA accounts.

So:

$27,000 401(k) Roth 

$40,500 Mega Backdoor

$7,000 Regular Backdoor

$74,500 total invested each year that will grow tax free, no capital gains tax, ever.  

2023 limits go up to:

401(k) - $22,500

Catch up - $7,500

Total Employer Plan - $73,500

Leaves $43,500 to after-tax

Backdoor Roth - $7,500

$81,000 total   

Fok, I forgot about HSA.  $8,750

$89,750 

Pro Tip: Pay for your medical bills in cash now, save receipts.  Let pre tax money grow tax free then reimburse yourself with cash anytime you want to in retirement.

Pro Tip #2: Thanks to Covid and the Cares act HSA can be used for OTC medicines without a prescription, save those receipts.  Masks, sanitizers, band aids, eye drops, thermometers. And in Ravens Fan/Fake Tim's case menstrual care products too (how/why these foking politicians put these types of things in these bills is beyond me ).

 

[nobody 2,691]

1 hour ago, Horseman said:

 

Pro Tip: Pay for your medical bills in cash now, save receipts.  Let pre tax money grow tax free then reimburse yourself with cash anytime you want to in retirement.

Pro Tip #2: Thanks to Covid and the Cares act HSA can be used for OTC medicines without a prescription, save those receipts.  Masks, sanitizers, band aids, eye drops, thermometers. And in Ravens Fan/Fake Tim's case menstrual care products too (how/why these foking politicians put these types of things in these bills is beyond me ).

 

Is there a time limit on that?  For instance, if I go out of pocket today for a few grand can I reimburse in 15 years?

[Horseman 2,479]

1 hour ago, nobody said:

Is there a time limit on that?  For instance, if I go out of pocket today for a few grand can I reimburse in 15 years?

No limits.  It's just a matter of keeping receipts and a log just in case you get audited.

It's a triple tax advantage: 1-not taxed as income when you contribute 2-no tax on gain/interest 3-no tax when used if you have the reciepts

No mandatory withdrawal, transferable and you can even leave it as inheritance. It probably should be the last thing you tap into during retirement if you stay healthy and aren't saddled with a bunch of medical needs.

At age 65 you can even start using it for non-medical expenses (if you don't have enough receipts) but those distributions would be taxed as income.

A good summary: https://www.fidelity.com/viewpoints/wealth-management/hsas-and-your-retirement

[nobody 2,691]

I'll have to remember that.  Could be a nice little way to redeem some cash if I start saving up medical expenses for the whole family for years.