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How many of you invest?

HawkFan75

Team MVP
Dec 5, 2017
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My wife and I have $50,000 saved. Our house will be paid off in 3 years, when I am 45. We have no kids. I want to invest but know nothing about it. We need to get a financial planner. Where do you recommend where to start?
 
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My wife and I have $50,000 saved. Our house will be paid off in 3 years, when I am 45. We have no kids. I want to invest but know nothing about it. We need to get a financial planner. Where do you recommend where to start?

That's in excess of your 401k/retirement savings I hope.

Having the house soon paid off is great though.
 
Low cost index funds. Funds that track the S&P or Nasdaq. Don’t waste your money on a financial planner. 3 fund portfolio made up of a US market fund, International fund, and some bonds depending on your risk tolerance are what I’d recommend.

This is good advice. You could also look into "target" funds that gradually decrease the risk of your portfolio mix as you approach retirement age.

Low cost is crucial. Every dollar you pay your broker is a dollar that's not working for you.

Do your own research and remember that past results do not imply future performance.
 
My wife and I have $50,000 saved. Our house will be paid off in 3 years, when I am 45. We have no kids. I want to invest but know nothing about it. We need to get a financial planner. Where do you recommend where to start?

You seem to know the answer. That being said, when we first started I created my basic plan just by reading and trying to do things that made good sense. For me that was use our employers' 401K plans, contribute to IRAs, etc. What you buy inside of those is important, too, but the most important part is just saving. You also need to figure out a strategy for insurance (health, life, disability, long-term care, etc.), too. You also need to decide if you want include real estate/rentals as a way to invest, or if there are other ways to create income streams for you after you retire. You will also want to consider the effects of taxation on your assets and what your estate plan will look like. All those pieces will formulate your financial plan - and you should discuss those with a planner.

You are doing great by having your house paid off. It will free up a lot of money to invest elsewhere.

Good luck.
 
This is good advice. You could also look into "target" funds that gradually decrease the risk of your portfolio mix as you approach retirement age.

Low cost is crucial. Every dollar you pay your broker is a dollar that's not working for you.

Do your own research and remember that past results do not imply future performance.

Actually, you get what you pay for. OP is about to have house paid off, ipers at 45, etc...... Financial planning is way more than picking investments. This guy would benefit greatly from getting a planner in place.
 
Actually, you get what you pay for. OP is about to have house paid off, ipers at 45, etc...... Financial planning is way more than picking investments. This guy would benefit greatly from getting a planner in place.

Meh. It's not like he's controlling Trump Enterprises.
 
You seem to know the answer. That being said, when we first started I created my basic plan just by reading and trying to do things that made good sense. For me that was use our employers' 401K plans, contribute to IRAs, etc. What you buy inside of those is important, too, but the most important part is just saving. You also need to figure out a strategy for insurance (health, life, disability, long-term care, etc.), too. You also need to decide if you want include real estate/rentals as a way to invest, or if there are other ways to create income streams for you after you retire. You will also want to consider the effects of taxation on your assets and what your estate plan will look like. All those pieces will formulate your financial plan - and you should discuss those with a planner.

You are doing great by having your house paid off. It will free up a lot of money to invest elsewhere.

Good luck.

Good post. Agree with all of it.
 
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Meh. It's not like he's controlling Trump Enterprises.

Why make mistakes that can be easily avoided. This guy has the potential to be in a fantastic spot by the time he is 55.

You don't have to run Trump enterprise to have a secure financial future, do you?
 
Meh. It's not like he's controlling Trump Enterprises.
Yes, but if he's going to purchase long-term care insurance it's more affordable now than later. He also needs to figure out how much more he might want in addition to IPERS and Social Security, and how his insurance will be paid for when he retires. There are a lot of things he can do to make it easier to retire earlier, or have more options after he retires, if he puts a general plan in place now.
 
Bogleheads.org is my favorite forum. People are open with their situations and you get a bunch of good information. They’re all big fans of the 3 fund portfolio. All worship Jack Bogle (Mr. Vanguard)
 
Sounds like you're in good shape then. If you want to invest choose a online platform and go with an index fund. Something will low fees.
Vanguard is the way to go. Bogle, the former CEO and father of Index funds does it right. Their value of funds is around 3.4 Trillion yet Bogle is 'only' worth 80 million. To me that's the sign of a company that isn't full on greedy.
 
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My wife and I have $50,000 saved. Our house will be paid off in 3 years, when I am 45. We have no kids. I want to invest but know nothing about it. We need to get a financial planner. Where do you recommend where to start?

No kids huh.
Happy with house?
Any thoughts of taking the equity plus the savings and buying a retirement place somewhere else?
Otherwise what will you do with the IPERs and retirement $$ except look at a statement every month.
 
No kids huh.
Happy with house?
Any thoughts of taking the equity plus the savings and buying a retirement place somewhere else?
Otherwise what will you do with the IPERs and retirement $$ except look at a statement every month.

What?
 
Index funds.

If you want to buy individual stocks I would suggest watching some of the shows on CNBC and doing some reading.

I put almost all my money in 401k but do enjoy buying stocks as a hobby.

It’s fun to follow them and have enjoyed the rise of Apple and Amazon for about 10 years.

Apple is actually cheap and Amazon will one day run the world.
 
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Huh?
Trying to give a couple with no kids the concept of a investment they can get some enjoyment out of vs looking at a statement every month celebrating saving for nothing.
Alot of investors have this problem. Its a working investment vs a non working investment according to some.
As an example as soon as my first house was paid off i immeditely cashed out most of my investments and purchased my fla residence with 40% down.
Its now paid off so im back doing a little market stuff but not much.
 
Index funds.

If you want to buy individual stocks I would suggest watching some of the shows on CNBC and doing some reading.

I put almost all my money in 401k but do enjoy buying stocks as a hobby.

It’s fun to follow them and have enjoyed the rise of Apple and Amazon for about 10 years.

Apple is actually cheap and Amazon will one day run the world.

Lol. Isn’t amazon already running the world? From a retail perspective, everyone watches what amazon is doing.
 
Huh?
Trying to give a couple with no kids the concept of a investment they can get some enjoyment out of vs looking at a statement every month celebrating saving for nothing.
Alot of investors have this problem. Its a working investment vs a non working investment according to some.
As an example as soon as my first house was paid off i immeditely cashed out most of my investments and purchased my fla residence with 40% down.
Its now paid off so im back doing a little market stuff but not much.

Gotcha. That could be a whole other topic. To each their own kind of thing. I enjoy watching my accounts grow every month knowing I am one step closer to financial freedom.
 
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My wife and I have $50,000 saved. Our house will be paid off in 3 years, when I am 45. We have no kids. I want to invest but know nothing about it. We need to get a financial planner. Where do you recommend where to start?
When planning your investing, realize that when you hit 65, you will still be a long term investor. Most people that see 65 will see 85. So many people think they retire and cash them in or convert to annuities. You should be investing your whole life.

In terms of nursing home insurance, I was told by nursing home administrators that the average man will never spend a day in a nursing home. However, many women will spend some time in a nursing home, but it averages less than 2 years. My mother is in assisted living, and the women outnumber then men by about 10-1.
 
My wife and I have $50,000 saved. Our house will be paid off in 3 years, when I am 45. We have no kids. I want to invest but know nothing about it. We need to get a financial planner. Where do you recommend where to start?
Mutual fund (or funds) will probably give you a decent return and a decent amount of security.
 
I would avoid financial planners. You can read a bit and get a good idea what works best for you. If you do talk to financial advisors, run away from any that try to sell you an annuity-- they're just trying to get big fees.

I personally enjoy investing on my own. I built my own portfolio using Motley Foole and my own common sense. It's doing better than my mutual funds in my 401k.
 
My wife and I have $50,000 saved. Our house will be paid off in 3 years, when I am 45. We have no kids. I want to invest but know nothing about it. We need to get a financial planner. Where do you recommend where to start?

I'm assuming you want to invest some of what you have saved?
 
Gotcha. That could be a whole other topic. To each their own kind of thing. I enjoy watching my accounts grow every month knowing I am one step closer to financial freedom.

They’re just #’s.
I enjoyed walking my dog down the beach christmas day chasing birds.
 
When planning your investing, realize that when you hit 65, you will still be a long term investor. Most people that see 65 will see 85. So many people think they retire and cash them in or convert to annuities. You should be investing your whole life.

In terms of nursing home insurance, I was told by nursing home administrators that the average man will never spend a day in a nursing home. However, many women will spend some time in a nursing home, but it averages less than 2 years. My mother is in assisted living, and the women outnumber then men by about 10-1.
My grandparents bought this insurance against the families advice long ago. My grandpa lived there for 5 years with Parkinson’s and my grandma lived there for 20. Best investment they ever made. Her room was over $2,000 a month!
 
When planning your investing, realize that when you hit 65, you will still be a long term investor. Most people that see 65 will see 85. So many people think they retire and cash them in or convert to annuities. You should be investing your whole life.

In terms of nursing home insurance, I was told by nursing home administrators that the average man will never spend a day in a nursing home. However, many women will spend some time in a nursing home, but it averages less than 2 years. My mother is in assisted living, and the women outnumber then men by about 10-1.
My mom has been in full care for 3 years and we've never paid out of pocket for her care. It's going to end soon, but the policy dad bought has really eased a lot of burdens. Statistically you may be right, but, there is the peace of mind factor.
 
You don’t need a financial planner.

For the most part they will put you in age targeted funds and index funds. You can do that on your own.

No kids and IPERs. I would buy some individual stocks, maybe make a game out of it and both of you invest the same amount and see who wins.
 
My wife and I have $50,000 saved. Our house will be paid off in 3 years, when I am 45. We have no kids. I want to invest but know nothing about it. We need to get a financial planner. Where do you recommend where to start?
For this amount I would avoid a financial planner for now. The fact your house will be paid off will mean you will have another significant amount of income to invest, so maybe then. For $50,000 I'd keep it simple for yourself. Find about four very low cost mutual funds to invest in, and keep $10,000 in a ladder of CD's, or a money market. As mentioned by others Vanguard is good. We own a portfolio of four funds there.
 
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They’re just #’s.
I enjoyed walking my dog down the beach christmas day chasing birds.

Those numbers will allow me to walk on any beach I want to in about 15 years, not just the one I am committed to. Anyway, like I already said, this could be another topic. To each their own. I have no desire to own a vacation home as I have a ton of other places I want to see.
 
Anyone who says to invest in a particular stock is an idiot or someone trying to take your money.
 
You don’t need a financial planner.

For the most part they will put you in age targeted funds and index funds. You can do that on your own.

No kids and IPERs. I would buy some individual stocks, maybe make a game out of it and both of you invest the same amount and see who wins.

Interesting. I am a financial planner and I have never used a targeted fund and never will. Index funds I use all the time because they keep my clients expenses down. What is wrong with that? I also use mutual funds as I believe a balanced portfolio is the way to go for everything, including indexed/mutual funds and stocks.
 
I would avoid financial planners. You can read a bit and get a good idea what works best for you. If you do talk to financial advisors, run away from any that try to sell you an annuity-- they're just trying to get big fees.

I personally enjoy investing on my own. I built my own portfolio using Motley Foole and my own common sense. It's doing better than my mutual funds in my 401k.

This such a misconception about annuities. there is a very good spot for annuities. they are certainly not for everyone, but they serve a very good purpose for the right person.
 
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