I will try to be as brief as possible in describing my situation, and hopefully you can prescribe some meaningful counsel.

Personal situation:
I�m 22 and in good shape
Regrettably I live with my folks, fortunately at little measurable expense other than my pride.
Work in the IT industry (Security Admin) mainly with active directory, have a bachelor�s degree in graphic design


Financial situation:
Income: I make a little more than 40k

Side income: I flip antiques and collectibles. I have averaged $750 profit or 18% return over the last 30 days. I enjoy this, but I am considering starting another side business; either a handyman service, computer repair, or graphic design service. Whichever is the most profitable, as I enjoy all three. Thinking about $35/hour 2 hour minimum, using word of mouth and church as advertising.


Debt: The only debt I have is 17k in student loans at 4%
Expenses: Pretty limited to just car insurance, groceries, gym fee, gas. I am working to make my own reductions here.

Savings: I have about $6000 saved up in cash or soon to be sold flips.


Retirement: I have about $600 to rollover into a retirement account. My employer does not match percentage, but gives profit sharing once per year. 5 years to be 100% vested in what they give you, but I don�t want to live here that long.


Here is where I get confused on how to proceed, as this is my five year plan:
1. Buy a house to fix up, both because I want to move out on my own and to build equity/income from roommate and housing market up-tick. (Low interest rates!) I�m prequalified for 100k for a house

2. Though I�ve only worked my current job for 3 months, I am planning on moving to Colorado or the Midwest. The rub, I need to stay long enough for my job experience to carry me to the next rung on the job ladder.


Overall � What should I be doing to save money fast, and where should I be putting it? If I want to retire at 40 why should my money go to a Roth or 401k � I know it shields the money from taxes, but what�s the point if you can�t withdraw it easily (without cost) before you are of conventional retirement age?




Buy a house, or tough it out?

Invest money or use it towards my side business/flips?

Why should I work to pay off 17k at 4%, when I could use the money to get 10% + either through Vanguard Total Stock Market Index Fund Admiral Shares (.05 expense ratio), or use the money towards my flips? Flips are more volatile, but tax free

Stay away from women and you should have no problem with your plan.

At 22 I wouldn't buy a house. You've got too much living to do to even have half a clue about where you'll want to settle down. Concentrate on paying off any and all debts and putting money away for when you do know where and when you'll settle.

If you meet a gal and really hit it off, make darned sure you're on the same page financially or you'll end up like 85% of the husbands out there - trapped by your finances. I'd give up a lot of our "stuff" to have a few more dollars in my pocket every week, because to me, those extra bucks mean freedom. Freedom to take a drive, maintain my hobbies, buy bait and gas to take the kids fishing, to be able to treat co-workers or buddies to donuts or a round of beers once in a while. In short, don't get yourself in a situation where you're constantly worried about money. Live well within your means and control your money rather than letting it control you.

I'm hardly a worldly guy. Quite the opposite. But I've learned enough to know what I'd keep the same and what I'd change if I had the chance to do it over.

You peck all that out on company time?

I would say hold off on buying a house.

Stay at your current job to build enough experience to make your move out west in a couple years a little easier.

Continue to flip antiques and use that money to try and get your student loan paid down as much as possible before you move.

Pay off the debt asap first!!

I have a 22 yo son[living at home] that just entered the real world himself. $11k in student debt.
Started his permanent job just over a month ago at $100K in welding/fabricating.
September 1 we will start charging rent. He is fighting the fact that he lives in a high rent district that includes hunting privileges .

did I mention-pay off your debt ASAP????

One question on Expenses? No ammo expense?

I'd hold off a while on a house. July showed 28 states had declines in employment. It seems the economy is declining. I'd see what happens with the economy until after the ACA is fully implemented. I'm figuring the future will see many more young move back home with mom and pop.

It's the way they go in Mexico and the Dimocrap projects, and seems to be the long term trend. Lord knows they are smarter than we. If it continues, housing prices will surely fall.

That is some sage advice right there. Heed it.

Lunch is a wonderful thing


Of folks I have talked with, holding off on buying a house is a consistent theme. Hell, I can even agree with it.

Suppose putting 10k or so into a retirement account, and any profits from flips towards student loans make sense. ?

Your fundamental problem is that you have a lot of good choices. That's a high quality problem to have.

I'm a little nervous about the long term housing market. Demographic trends indicate that we may not see rising house prices forever. Carefully research the trends in the area you're thinking of buying in.

401Ks are a retirement vehicle. The theory is that you put money in tax free, and then pay taxes on it when you take it out at a point in your life that you're in a lower tax bracket.

Listen to Dave Ramsey. Stay the heck out of debt, except maybe a home mortgage. Debt is selling yourself into slavery.

You'll probably start a family, and that will take all the cash you can generate. With a good woman, it will also be the greatest source of joy in your life. If you can get key assets pre-positioned for that, you'll have a better time of it.

I'd stay with my folks if I were you, until I moved. Some of the best financial advice I can give you is to learn to cook...for real. It is scary what many spend on schitty fast food.

Antiques eh?

I have to ask Mr Wolf; are you an oak man?

There is wisdom in paying off the debt, and I see it too. But why pay it off at 4% when the money can make 10% instead?
Plus steady payments looks good towards credit


Not trying to have anyone affirm my opinion so I feel good, or can internally justify. This is just the lens I view student loans with.

you'll get a ton of advice - so much so your head will spin.

At 22, if you saved $2200 a year until retirement at a rate of about 6% return, you'd be looking at being a millionaire in your late 50's ( by taking advantage of a healthy 401K )

At 22, you could join the military, go in as an officer and retire at 42, with more than enough time to have another career ahead of you - with full benefits from Uncle Sam

At 22 and single, you could buy a fixer upper home, depending on how comfortable you are with a hammer (or your old man is) for like $20 - $40K, pay it off in 3 or 6 years and never have a house payment or rent in your life again by the age of 28.

The point is - you have a ton of options right now - but every major decision regarding women, job and debt (as most have already told you) will limit those options as you get older.

When I was 22, the idea of buying a fixer upper home scared the hell out of me. Now I wish I'd had the balls to do it. I have friends that are retired military and making as much money in their second job as I do now, and I have friends that sacrificed buying that new high dollar car to put money into a 401K that are going to retire years before I do because they planned long term.

You asking the question shows you are already thinking that way.
Just always ask yourself before you do something major - "am I limiting my ability to achieve my goals if I do this?"

Also your kid makes $50/hour in welding?

WTF am I doing

1. Stay at your job for at least 2-3 years, both to build your experience and to establish a stable work history. I personally have no interest in hiring people who change jobs frequently, as they probably won't stick around long enough to justify the training investment.

2. Houses can be a curse as well as a blessing. I've bought 5 - 3 were good decisions, two were bad decisions. YMMV. Do not buy yet.

3. Realize what you want out of life now, will probably change in 5 years, or 10 years, but the decisions you make now can darn sure limit your options. Keep your career and personal life in good order, to keep your options open.

Oak's nice

Going rate is $80 bucks per hour down here...

Pay off your debt first. Put everything you have at it. With your salary, have it paid off in 6 months and never pay on it again. Once you get it paid off, then follow the money. Don't follow the money until you get all debts paid off.

Don't buy a house right now. If you aren't planning on staying long term, don't even think about buying. A fixeruper can be a huge money hole... money you don't have. Interest rates are going up, and will continue to go up. You missed the super low rates.

Once you get things paid off, then you can consider stocks. Get things paid off first, and don't get back into debt.

Flipping is nice, but it won't pay the bills.

That's the difference between someone who wants to work and someone who wants to sit at a computer.

You'd be surprised at how much some of us grunt workers make.

You've gotten good advice, so far.

I wouldn't recomment buying a house now, if you are going to look at moving in 5 years. If you're folks don't mind putting up with you and you're not on the prowl for women, stay the course. There is always time for that.

I would guess that you can make more money flipping antiques and collectibles than in the market, and flipping would have a greater safety factor, as well. Who knows what the markets will do at any given time, but I smell disaster on that horizon.

You need to really evaluate if you actually know what you are doing in your side job at 22, or just got lucky last month. One month does not give a good picture about anything. Go back at least 6 and see what kind of profit percentage you've accomplished.

If it seems good, set limits and criteria as to how much you will spend on any one item, any given week or month, and leave yourself a cushion to recover bad investments with. Once you have a plan stick to it, unless you know it needs adjustment, then do so methodically, not on the fly.

4% debt is not bad debt to have, considering what it was acquired for. I wouldn't worry about being in a hurry to pay that back.

Be careful starting a side job in something you are already employed in. Just be sure you don't have a non-compete you might violate.

At your age, I wouldn't put anymore than 20% in a retirement account, and more like 10. You will need some liquid funds to flip with and purchase a house within a relatively short time. If you want to invest in something, look what happened to guns, ammo and components recently. If you can buy at good prices, that is someplace that may be good to have invested in. If a demoncrap is elected again, look for the same, and most likely, worse.

Best wishes.

I'm not sure this is quite a fair comparison. Especially considering that not all that glitters is gold.

50/hour is stellar, obviously more than twice what I make without counting overtime, fringe benefits, healthcare, retirement etc. But where does this person live? Cost of living and on and on.

What sort of lifestyle does that type of work provide? Day-to-day? Job security? etc.

Wage is not the only measure of a job.



Sitting at a desk is not my idea of bliss, but it's safe and consistent. Not to mention secure.




If someone has an offer for me to come work on the oil rigs for 100K, 150k, 200k a year I can be there in less than one week, sober and ready for work. Hungry for work.

What 22 y/o male isn't on the prowl?

$50 an hour isn't quite so hot if no benefits are involved.

Yup...my best friends a welder. He made $180K last year.

If I was 22, making 40K a year I wouldnt surface even for air....

If I was 22 and in good shape, I would be all over the money the oilfield is throwing at people willing to work right now. Doesn't have to be in welding either. There are companies looking for all kind of workers, and at some damn fine salaries, as Calvin mentioned. There is a lot of this work in the areas you want to be in also.

I've lived in North and South Dakota, and have heard something similar many a time. Where do I sign up?

Halliburton? LetMeGoogleThatForyou?


If you make that much money, you can retire in 7 years flat.

I think the sheriff in midland said they need 4 jailers at $38/ hr.

22 and in good shape?
Here's what you do--go out and get drunk--you can afford it. Find someone young with one of them little furry things and do your best to knock it up. It'll all fall in place after that.
Buy her a new car and a house in Florida and start all over again--Thats how many of us did it.

http://www.rigzone.com/jobs/search_...y=8&gclid=COnG77WPj7kCFS9dQgodCCIAig

I don't know the particulars, but another one of my buddies is in Minot, making $1k a day as an electrician.

Get an ugly woman who makes a lot of money,

Then you have less worry of someone stealing your honey.

Grossed $2,600 for 6 8 hour days last week. Just over $2k when he works 5 days.
Structural steel, building beams.

Bet it's contract work, all equipment furnished by welder? Truck too.

We have a rather low cost of living in Appalachia. His[son] job includes 6% match on 401k and 50% on health, 20 days vacation and most major holidays. He doesn't provide any equipment beyond his own helmet.
They are paid minimally by the hour but are given production quotas daily with bonuses based on how far they exceed the quota. It works, they work-hard for 8 hours. They don't sit and socialize or play on their phones.

sure beats throwin BBs at passing cars from my BJ and The Bear Freightliner

Buy a house, or tough it out?

First, I'd suggest getting your job/career situation squared away and decide where you want put down roots. If you buy a home plan on a five year commitment to stay there because anything less can have adverse consequences. So ... decide if you want to stay where your at or move. You're young enough to do a little exploring and decide where you want to live (and raise a family?).

Having some stability (longevity) with an employer is also key factor before signing a mortgage. I'd want to know with some reasonable certainty that I had a good job with a good employer that will provide some security before buying a house.

What should I be doing to save money fast, and where should I be putting it?

Sock away down payment $$$ in liquid, secure and safe investments. If you plan using that money in the next couple of years I'd strongly suggest not gambling on the stock market. The risk of loss outweighs the potential, and likely small, short term returns.

If I want to retire at 40 why should my money go to a Roth or 401k � I know it shields the money from taxes, but what�s the point if you can�t withdraw it easily (without cost) before you are of conventional retirement age?

You can invest in multiple retirement vehicles. One that you could tap into at age forty and another like a ROTH IRA to use at age fifty-nine. I'd suggest if and when you leave your current employer roll it into a ROTH. In the future take advantage of any IRA's (matching funds/profit sharing ) that an employer offers.

Why should I work to pay off 17k at 4%, when I could use the money to get 10% + either through Vanguard Total Stock Market Index Fund Admiral Shares (.05 expense ratio), or use the money towards my flips? Flips are more volatile, but tax free

This is more of a dilema. I think the best route would be decide on when you want to be rid of your student loan. Since it's a low interest loan I wouldn't commit to paying it off as soon as possible but OTOH at some point it will be an advantage to end the monthly payments. Come up with a plan to pay it off in ___ years and stick to it.


Good luck and I really think you're on the right track even if it's just asking questions.

Great advice in these replies.

Are you paying your parents rent & helping around the house? If so, don't be ashamed of living there. If not, get crackin'.

Most people grossly underestimate the real cost of owning a house, especially if they can't fix their own stuff. Even if they can, tools and repair/maintenance items are not cheap. Painting a small room will cost you a couple hundred bucks if you do it right.

Move to Alaska now.

Hunt and fish your ass off, you will find a way to afford it.
Live the dream that is only a fantasy for most.

Actually it doesn't have to be Alaska, Montana Wyoming & Idaho have much to offer.

SD is nice, but if you yearn for a residence with the ultimate in hunting & fishing, go now.

You wait & it gets much more difficult to leave, you get very entrenched with work & family.

Go, Go now, you can always come back if it doesn't work out.

Best advice I've seen. Wish I would've done that at 22.

Advise to a Young Man

1.) No need to buy a house until you've figured out where you are going to put down roots for 5 years or more.

2.) At 22, don't panic if you are not hooked up with "Ms. Right" now. Plenty of time for that, and I promise all the good ones will not be gone before you are 30 (or 35 either).

3.) When yo think you have found "The One", make sure you can agree on the following: Sex, Money, Religion, and Politics. If you can agree on those, there isn't much left to argue about.

Politics and Religion will give a good idea where her moral base and her outlook on how the world should run. If you are Conservative, and she is an Obamanite Atheist, you're asking for trouble.

Money - if she doesn't know where it comes from but only how to spend it, you're in trouble.

Sex - well, that all changes after kids anyway. Get it while you can. Don't marry anybody too freaky in bed. That ain't normal, so don't expect her not to be slinging her cooter around town sooner or later.

4.) Save 10% of every paycheck and live on the rest. That way, you will never be broke. There are always more expenses that you anticipate. That is also the only way to save for down payments, much less retirement.

Get rid of debt ASAP. Those already spent dollars are still costing one money. Never quit a job until one has another in hand. If a near term move is in the sights, do not invest in a home unless it's in a booming destination resort. If retirement at 40 is a goal, then look for other tax free investments. Do not do municipal bonds from Detroit, New York, or large California cities.

Haven't read all the replys, but I'd say as long as you can help out and not be a burden, live at home. It provides a great opportunity to put away some money. I understand wonderlust as well as anyone, but it will all be out there later, and the grass is not really greener. Do the home buy locally. you can still rent the rooms even though you live at home.I wouldn't buy a home unless i intended to keep it for at least 5 years, 7 would be better, and 10 years would be safe; assuming there are no more obamas in our future. good luck with your choices, and remember, when you follow your heart, the heart sees things with a different set of eyes, not the ones you see reality with.

Move the phfcuck out of your parent's house. Yesterday.

Go work in the Bakken. Pay off any and all debt.

Don't marry.

Retiring at 40 is a stupid goal.

Buying a house that you can afford is never a bad idea. Ever.


Travis

Yeah. Helps young men today really lay in a good supply of tampons before they get out into the world.



Travis

If you want a future, you need to devote all your efforts toward getting the fug outta the U.S.A,....and you need to be very picky about where you choose.

Personally, I'd give the Czech Republic a hard look.

Freedom is still fairly new there.

They don't take it for granted.

Join the USMC!

They'll give you a home!!

Deflave -

Why is retiring at 40 a stupid goal? Hell I'd retire even earlier if I could, why languish and toil at work when one can relax and play?

It's not realistic.



Travis

I left home for good at 17, I found no advantage to it. If there is one please let him know, but trying to get lifes knocks as early as possible isn't a great plan imo. He'll never have a better opportunity to save money or start those other business' than he has right now.

Pressure makes diamonds.



Travis

This ^^^+ chitt happens + people change (even you will)

I packed everything I owned into a cantaloupe crate, threw it in the backseat of a 62 Plymouth Valiant, and moved 300 miles away from home when I was in my teens.

Yeah buddy!,...it was an adventure!,...but I can't recommend it unless you have damn little to lose.

I can't say for sure,..but an educated guess says that it'll take 10 years off your life expectancy, on average.

That's assuming that you survive the first year.

yea, it's been said a diamond is just a lump of coal that stuck to it's job. The question is, does he have that amount of time, and does anyone really know how diamonds are formed? Theres a lot more coal than diamonds.

From a quick and dirty Internet retirement calculator:

RESULTS: SUMMARY
YOUR NEEDS
In retirement, you will need $50,000 a year in income. (Because of inflation, in 2031, that will be equivalent to $85,121.)
Part of that income will come from your Social Security and/or pensions. To produce the rest, you should build up your nest egg (including your 401k, IRA and other savings accounts) to $1,079,006 by the time you retire. (In 2031, that will be equivalent to $1,836,936).


YOUR CHANCES OF GETTING THERE
To save $1,079,006, your investments need to gain an average of 20.31% from now until retirement. We estimate that there is a 0.84% chance of this happening.




And this doesn't include factoring in things like providing your own health insurance until you reach Medicare age, potentially supporting a family, etc.

Good luck!

I know a fella living with mom and dad when he's 22 is off to a rough start if he wants to retire at 40.




Travis

You have to live somewhere. So you can either pay rent or pay into your own home. I would suggest looking to buy a neglected fixer-upper in a nice neighbourhood. Something that needs more time and labour than just material and specialized contractors. You never want to be the most expensive house on the block, so look at the cheapest and then bring it up to the average m.v. Make sure that neighbourhood is stable in the long term, not a trendy new neighbourhood.

You will of course need to acquire tools to do this, but there are used tools available everywhere for dirt cheap.

You sound like your head is screwed on right to begin with. Saving money, and the mentality to do it, is a good thing. For example, we can use a snowblower out at the lake. I can't justify $700 for one, or even $500. But I kept my eyes open in the local online ads and found one that a guy was getting rid of for $20. He moved to an acreage so it is now too small, and it was leaking fuel. No mechanical ability (cough, more money than brains, cough) and just wanted it gone. Another $15 in fuel line, JB weld and a carb kit, and it's running like a champ.

Very sound advice. Or else you can take that 40 aged retirement dream and kick it out the window.

-Ken

Thank you.



Travis

Oh yeah, someone mentioned Bakken. There's stupid money floating around there for a young unattached guy to collect.

Such as?

At 22 I would do everything I could to work my way up the ladder. I would stay in your job long enough to get to the next step, say at least a year while looking for the next step for the last 3-4 months.

When your young its easy to adjust, learn and climb career wise. One of the easiest ways to save more money is to make more money. As you get older options are eliminated.

Work on spending money wisely at this point. IT isn't my field, but if courses/schooling help build that career, those are a wise investment.

I would hold off on the house, mostly because it will limit your options. As a 22yo, one of your advantages is that you can move to where the opportunities are. Each job you should try to add to your skill/responsibility set and to your income, being able to load up the car and move to a new job is a bonus.

Money wise, I would pay the minimums on that 4% student debit just because the 4% is next to nothing. While 40K at 22 is good, it might not be much compared to what you may earn later in life. Your tax rates are moderate now. I might consider a Roth Ira, pay the tax now, and get it back tax free later.

In a general sense, listen to Mike Ramsey, live cheap, save, pay down debit, increase net worth.

To really retire at 40, takes a lot of savings but if you shoot for it worse your can do is put your self in great shape for retirement at 50.

Here is what I told our son, bank every dollar you can and when you feel comfortable with what you have put away quit your current job and work at a bit more miserly pace doing what you like. Like mobile ready welding/fabrication.

G_N_SD
If you can retire at 40 that's great, it puts you in a very, very small % of citizens.

Because you gave your word that you would repay the loan. If your word is no good there's little else to be said.

Do people really think that a million dollars cash is still instant retirement money at an early age?

What Micky said and keep your dick out of married stuff and set some goals for yourself including going to college and staying out of debt.

Mr. Coleman, I think you misunderstand. Why should my priority be aggressively paying down student loans at 4% interest, when I could invest the money instead at a 10% return.

I will make the scheduled payments regardless of the above. It's not like I'm some deadbeat.

My goals are on paper.

College, been there done that. Likely will not go back as a masters typically does not make financial sense. Work will pay 2/3 of degree program so ?

First, is this really your situation? Just curious.

Second....
If you stumble into a GOOD woman snag her up, regardless of how old you are. A GOOD woman at 22 will cost you far less than chasing bad women for 10 years and settling for an OK woman at 32. In fact, a good one will sve you quite a bit of money.

Move out. It'll be good for you.

Whatever you do. Get out of your parents house. Your 22 years old with a college degree for gods sake. Stand on your own 2 feet then make a new plan with adjusted budgets. But all these guys are right about staying away from split tail, which you won't have to worry about that anyway when they find out where you live.

You didn't say that in the OP. You asked why should you pay off the loan.

Holy schit! Two Texans saying the correct thing at the same time!

It's a Festivus miracle!


Travis

If you are going to make money going forward, why pay any more interest than necessary?
Get the debt gone, you don't know what tomorrow might have in store.

good advice abounds on this subject


nada wrong with shooting for financial independence at 40, odds are you won't make it by that date, but they increase your odds of hittin it in your 50's since you're aiming for it.

the trouble is, it's difficult for a young man in his 20's chasing tang, not to be tempted by the rockstar lifestyle so he can get a better grade and more tang. Or you hook up with some chick with 3 kids so you can play hero, cause her kids are cute and she makes love like a mink. BTDT seen most all of it.

either way you're going to have to make a ton of money and live pretty frugally so that you can save enough.

personally for a young man that's got a plan I like the Bakken oil field scenario


whether hunting game or hunting dollars, I find it exceedingly easier to go hunt them in the habitat they live in.


oh and hookers are cheap compared to the alternatives.

This right here is sound advice. One common theme in this thread is GET OUT OF DEBT. That is a priority. Then you will have money for flips. Remember, with flips what's popular change, just like styles. Save your money. If you can't pay cash, DON'T BUY IT... Save a good hunk of money for a down payment on a house. That way, even if something does happen in the market you shouldn't go under water. Make sure you have 30-40% down for a house. Don't justify staying in debt in anyway shape or form. Took me all my life. I've got two houses paid for and both vehicles as 2012 and a 2013 paid for. Got some money in the bank and planning on buying another house this year. CASH Come up with investments that make you money. Only invest in things that create income. Rent income is good income. Everybody has to have a place to live. When you buy something, take care of it.

I wouldn't even know what to do with $1 million if I retired at an early age. Assuming that I am retired and living off of the money, I would probably not be able to be super aggressive in my investment strategy. Yet CDs, bonds, annuities, etc. are paying such a low rate of interest, my money would be worth less after one year of investing than it was when I invested it, once inflation and taxes on any earnings are taken into account.

A young person today may live until 90 years of age or more. If retired at 40, that's 50 years of paying for retirement. $1 million divided by 50 years is $20K per year, without considering any investment earnings. That sounds like a risky and paltry retirement to me, especially if no other benefits are included.

Do not buy a house.
Do not pay off the school loan.
Get in you sled and go to ND oil patch.
Bank the money. Don't go nuts chasing whoo-ers.
Find yourself a good place to hunt and fish.

Egypt is about to go t!ts up. We're gonna need the erl and even if it didn't we're still going to need it.
ACA is going to screw many things up.
BTW, you may "qualify" for a $100,000 but that is FAR more than you can or should buy right now.

Your not getting any younger.

Bluedreaux, yes this my exact situation to a T. No sense in seeking counsel with faulty information.

Yes, to all inquirers and critics, it is my intention to move out ASAP. Not next year, not next month, next week. I was previously 'on my own two feet' and was unfortunately laid off, though thankfully I was blessed with parents capable of assisting me.

I'm confident others here have been laid off, and their situation has drastically and expediently changed for the worse. Now that I am positioned to catapult above my circumstances I intend to do so post haste.


Perhaps the service, the oilfields, turning-a-trick, or scamming uncle sam on the side with a whisker of entrepreneurship is the best vehicle to achieve my goals. Regardless, they are only that, vehicles with which I use and abuse at my whim for my betterment.

+1 on Karnis' advice.

Talk to a REAL financial advisor.

http://www.ricedelman.com/

Staying mobile,and not tied to a house can make you more money. To me, buying a house would be a no, but if you want some place of your own, find a apartment.

I can't quibble with this take on a good woman vs. a bad one. I do, however, take issue with a 22 year old male being able to discern the difference.


Since I frequently repeat this mantra to my own 5 boys, I'll pass it along to the OP:







Also, if you collect all of our $.02, you'll be well on your way to retirement! Here's mine:

1) Pay off the loan. It may be cheap money, but you've already experienced a job loss once. Get the monkey off your back, & move on.

2) Cars, women, & alcohol will absorb all of your $. Watch the hell out.

3) Budget something for charity. Giving a little a way will keep you humble. It'll also keep you hungry, & open to finding creative ways to come up with more $. Dave Ramsey advocates 10-10-80 on $, & I can't find much to disagree with.

4) Get off this forum, now & forever. You'll end up with more guns, gear, & optics than anyone would ever need.


FC

having stated you only have $600 in a retirement account to "roll over", I can see why you may think this way.

is that $600 the only skin you've got in the investment game ?

did you pay any attention at all to what happened to people's investment accounts over the past 5 year ?

this year hasn't been to bad, but losses of 30% were then norm there for awhile....

At 22 I didn't know what state I was in half the week sometimes. You will be successful.

Utah Lefty - They were only 'losses' if you pulled out. *snicker*

There are always ups and downs, but historically the markets gains. People that stop and start, put in, pull out typically go worse than those that let it ride.

Let time iron out the wrinkles

Do you have a strict budget you follow? If not, make a budget.

Don't buy a house. You're already talking about moving. A house is an anchor and cost you don't need. If you're going to stay where you are then buy all the house you want.

Pay the student loan off. Set your budget up so you put all the extra $ each month going to pay off principal on your student loan.

true, but you're attempting to go from $600 to $1.8 million in 18 years, no?

for those of us that already had 6-7 figures on paper 18 years (from now) should be long enough to make up our losses.

your plan doesn't necessarily have that luxury.

you'll need to be investing close to $100,000 a year (after taxes) to even have a shot at it.

Attempting is a far cry superior to speculating. Boy if I was smart, I would have maxed out student loans and invested it all in 2008 when I started school. Hindsight

Retirement investments are not the only path to mecca. However improbable you see my goal as, I have ten times the determination on making it a reality.

10 times the determination of who, you say ?

I was your age once, and I'm at your target retirement age now.

the knowledge gap between 22 YO me and 42 YO me is really more of a chasm than a gap and I find it curious you're showing no interest learning how those 20 years went.

I'm bowing out now. Good luck to you

Determination is great, but it ain't enough. Math don't lie.

Marry a rich woman.

1) Don't buy a house. Nothing's worse than finding the perfect job somewhere else and having the boat anchor of an unsold house around your neck. Sure, you could make a few bucks on a fixer-upper, but odds are it won't be THAT much and there's something to be said for the freedom of a rental. If you see yourself in that town for 5 years+, think about buying, otherwise, do yourself a favor and find a rental in a safe part of town.

2) Are you paying rent/mowing the yard/paying utilities/paying groceries at your parents'?? Frankly, you ought to move out in the next twelve months. If not that, than at least do this for your parents. It's the right thing to do.

3) For the love of God, don't go out and blow $30k+ on a new car/truck. Nothing loses value like a new auto. NOTHING(well, maybe a boat or a Simmons scope). I'm not telling you to drive a junker, but you don't need a new car, esp. when living on your parents' dime. Do the math on what $30K in an investment would do in 20 years vs. what a 20 year old pickup is worth.

4) Women-If you find the right one, great. Don't go out looking for marriage at your age, though. You've got time. A thief will take everything in your wallet. An ex-wife will take half of everything you've got (bank/retirement/home/etc.). Don't listen to everything your friends/parents tell you, but if you're getting way to many negative vibes on the girlfriend, they may be on to something.

best of luck to you friend. while im a little farther along in life( 28 in sept) i wish i had the hind sight to do things different. after half a decade i will be leaving my Marine Corps base behind the 9th of september.

the wife and i decided it not a good career with little ones running around for us. had good times/bad times/rich times/broke times while in and spent alot more than we should have trying to keep up with others. but we managed to save enough that we have a house bought back home in Iowa that is fully paid off. no other debts, a clean start.

what im trying to say is you can always make more money elsewhere, but you need to figure out where YOU want to be. at 22 i couldn't wait to leave home, and now im dying to get back. of course the hunting might play a little in to that.

best of luck and sometimes there is no right or wrong choice. you just gotta make up YOUR mind and go after it, even if it is a winding road.

David

'Oh man! I got a chuckle here. I'll never have a car payment, that's how the poor stay poor. No mental masturbation or gymnastics can justify a ball-and-chain of a car payment.

Absolutely right on the nut. Quit the BS line of thought on I'm only paying 4% but I could get 10 % invested. Damn school loans, got you educated now get them boat anchors out of your life.You pay it off RFN so you don't owe it ANYMORE that creates more possibilities in your life choices than dragging it around for 10 yrs. Keep flipping the antiques as long as people buy them. build cash, pay off debt, give your folks some rent so YOU don't feel like a freeloader. Poke all the girls at their place or in the car and absolutely never without the best latex possible. One eyed buddies are bad enuf at doing your thinking for you, but draw the line at letting the SOB make your lifes decisions for YOU. Magnum Man

Figure out what people really want. If it is difficult or off putting, so much the better. Do it, and learn how not to spend money.

If ya find a REAL winner of a gal along the way, marry her. She will be a major asset. Chances of knowing what you are looking at, at age 22 are slim - REALLY. Solicit and take good, proven advice.

Never take advice from those who stand to benefit from your expenditures.

If ya show up here in the Bakken, do so with marketable skills (electrician, welder etc.), so as to multiply your opportunity. Where ya gonna live? Save your bucks. Go fish and hunt with Lt Powell. ;-{>8

Sure nothing wrong with being conservative, having goals and wanting to achieve them.
That being said, I got over the scheming and plotting on how to get rich...quick.
Happiness in life will take you much further.
I live in a near perfect location (for my interests) and have a low cost of living. This allows me to buy what I want to buy and go where I want to go. I work and the first person that gets paid every month is me.
I'll never have 5 mil and I am fine with that.
My feeling is working during the week makes me look forward to fishing, hunting or shooting on the weekend.
I wonder alot if I could do any or all of those, everyday, would I lose my appreciation for them after a while.
That leads to shuffleboard.
My .02

It isnt a matter of the interest rates so much, it is the risk in being indebted to someone. The debt can hand on you like a weight. Hurry and pay off the school loans then your money is free and you can invest more. What is the difference over a year, of a 4% loan or a 10% investment, on 10 grand? It is only $600 a year different, yet you carry the burden of loan. Pay it off and be a free man, and invest wisely. Risk is a factor that is often left out of the financial evaluations of the young. You have to go broke a time or two, or end up in a bad spot before you learn that one!

Just remember that good decisions at this fork in your life can carry you far, and bad decisions may take decades to a lifetime to undue. You�re not only looking at making financial decisions with serious repercussions, you�re looking at establishing your habits for life as an adult, either good or bad. No-one can predict the job market, the housing market or the stock market, but good habits pay dividends in either an up or down market, and the flip with bad habits. Payoff the student loan as soon as possible. It�s not about the 4% interest rate vs. 10% return, it�s establishing the habit of not wanting to be in debt and making a debt free life your biggest priority. So maybe you �loose� a couple hundred bucks, the discipline you�ve gained is priceless.

As others have said, there is no reason to get a house at this point in your life. You�re too young to know where you�ll want to settle in life and it will hamstring yourself by setting down roots and having to miss out on opportunities that present themselves. Houses are never a guaranteed good investment, and they are a long term investment that ties up a lot of capital. When you have a good idea of where you want to live, have a 20% down payment and 5%reserve for unexpected repairs, then you are ready to start looking for a house.

You want to retire at 40, head to the oil fields, bust your azz, work as much o/t as possible and bank as much of the money as possible for 2-3 years. There is no reason a young responsible man couldn�t bank $100-200k in that time frame, and that is what will set you up for early retirement and will just as importantly give you the freedom of being able to take off some time to travel if you wish, will allow you to quit a job that is untenable and will allow you to tide over any times of financial woe.

Pardon my asking, but do you even know anybody who's worked his ass off, earned a bunch of money and then retired at 40?

As a general rule, they're not the kind of people who are psychologically capable of retiring.

Not without the help of drugs and alcohol, anyway.

If you were 75 now and ready for a nursing home that would take about $50,000 a year at this time, not counting medicine. By the time you plan on retiring it will probably be an easy $100,000 + per.

And you leach off your folks?
DAAAAAAAMN. Sack up and get a life of your own.Parasites are for vermin, not for family. You don't seem to give a sh!!t about living off of others (the osamabama way) and want advice?

Move out on your own and live elsewhere rather than live a sheltered life and suck at your parents teats. Right the [bleep] now, tonight, yesterday. Your parental units are doormats that you gladly wipe your scum soaked shoes upon.
OMG, REALLY?

Student (stupid) loans? Tough sheeite Your problem (perhaps liberal arts major???).
40k in income and6K in cash? You are osamabamabama's son!

PFAKKIN a, you are a leach of the first order.

WORD, live for yourself at this time. The more you can carry on your own, better later. A house does not make a man at this time. Independence can be a apartment out from Mom & Dad, save the bucks but invest smartly. a house can tie you down to one area and it's really a big world....

I disagree with most on the house buying.

Rent it if you move. Easy money in the big picture.



Travis

For sure. Disregard COSky. Maybe menopause.

Buy a tent, a quality sleeping cot, and a 10 year old Toyota Corolla.

Travel around the country following the good weather.

Pick up odd jobs here and there for a few days at a time to fund yourself.

Only work enough to maintain the lifestyle.

People work their lives away while daydreaming about freedom like that.

Besides,...if you're only 22, a big part of your life will be spend in the post collapse world.

If you're already existing without the burden of debt/jobs/the daily grind,..you'll hardly notice it when it happens.

I think the OP was hoping to be a success. Not a vagabond.

I could be wrong...


Travis

It is a woman. No need to try and explain anything they type.


Travis

Laffin! You mad bro?

I'm blessed to have parents that love me enough to help me in a time of need. Perhaps you weren't so lucky



Go [bleep] yourself. Guess one [bleep] opinion in 100 are some great odds




Certainly seems to be a collective thought on not buying a house too early, and paying the loans off. I will keep praying about everything and saving up/making flips.

pffft! on the American idea of "success".

Work your life away to buy chit that you don't need.

The bigger success you are, the more needless chit you accumulate.

I was a vagabond for 3 months back when I was 23 years old.

It was the most free, happiest 3 months of my life.

Of course,..I ended it and got yet another job.

I don't understand why.

Seriously,...coming off the road after 3 months and starting up the daily grind again really sucked.

I don't think I ever really readjusted to it after that.

I just accepted it.

Now here I am after working my whole life,..in my late 50's,..and I'm like, "What the fug has this all been for?"

Survival

You'll find higher paying jobs up here in tech central with your degree, but I doubt you'll beat your current rent here

I lived by th motto that I had the rest of my life to earn money, but that I could never buy my youth back. A game of shuffleboard at 70 was a game of shuffleboard, rich or poor. Things worked out and I was reasonably successful, but the fact is I could never have predicted obama. I lost my shirt, even the kid's shirts. Be as prepaired for life as you can be. Make enough money you can take a month off and have adventure. My advice is to work while the others are sleeping, you might get ahead. And ignore jackass in the sky, just a jerk hoping everyone has as bad of day as themself.

nah,..survival is just a set of skills that are applied to your surroundings.

People don't need the daily grind to survive.

Best I can figure, a person works his life away for two things,...the ability to buy junk that he doesn't need,..and the ability to die in comfort.

I thought he was speaking about financial independence at an early age.

Maybe you should read the thread again.


Travis

Blame Adam.

Ever since him, if a man does not work, he does not eat.

That's very uplifting.


Travis

You will hear as many opinions as you here grief. First, I would pay off the debt. Don�t waste the opportunity your parents have presented you with bad financial decisions. Keep the $5,000 - $6,000 to look at side deals or flip things. Put effort into building a career and pay off the debt. It will build credit, but most importantly, provide you with long term options and flexibility. Even if you kept � the cash, you could make a sizable dent in the student loans. St a goal to look for odd jobs you enjoy and make a little, but pay off the debt. It is a guaranteed 4% return and requires only discipline. You have every opportunity to see it gone in 18 months with no real sacrifices. A house will cost $1,000 per month in mtg, PMI, taxes, insurance and upkeep. Add in utilities, food, fun and your parents house gets better: don�t squander that opportunity.
You don�t have to make a career choice, but the more you put in, the more you will get. I see so many young people with a sense of entitlement. Look at it as a chance to earn those opportunities.

Unless its a NWA or a Dimocrap, but then again, you don't want to be crap.

And pay for your children's education...

And provide them with opportunity...

And not live in section 8 housing...


Travis

*shrugg*,..

It is what it is,..and I very seriously doubt if I'm the first person to ponder it.

Basically,..you get to a point that you realize that you've been played.

You work your life away while the government is taking half your earnings and inflating the value out of the other half.

We'll probably never have kids so it looks like I can keep [bleep] off until I die!

So they can work their lives away too.

Stay with dogs, man.. they actually listen, and the county doesn't get pissed when you put them in cages.

I also heard they(dogs) are cheaper to keep around?

They sure appreciate it more as they get older..

And to the OP, the only advice I can offer is don't drink and gamble, especially at the same time.

If I had it to do again at your young age of 22, I would join the Military as an officer right out of College & retire at 42. Lots of my buddies that I went to School at A&M that were in the Corp at A&M are retired Colonel's drawing one heck of a Retirement Check, not to mention getting to travel all over the Nation & World.

As far as living with your Parents, enjoy it while you can & put aside the money you would be using for a house payment as an investment. Ought to be able to make at least a 10% return with wise investments.

My Parents are getting even with me now! At 53 they are living with me due to poor health from working too hard all those years, instead of enjoying life.
Our roles have reversed & I've become the Parent & they have become the child!
But that's ok as they took care of me & I'm now taking care of them.

Also, don't waste all your money on Tequila, Fast Cars, MotorCycles, & Redheaded Women like I did!

I'm sorry to hear that, Sam. But, I would sure hate to think of having little ones at this time. Unless my nose is wrong, I smell big schitt in the wind.

That was way out of line sir. Way, out of line.


Travis

GFY

Awesome. Let your kids know. I wish them the best.


Travis

Again?

This internet is wearing me out...


Travis

Take it easy.. he didn't say anything about no whoring around.

Buy a diesel pusher motorhome and go where the work leads you.
Save enough to hunt and fish at least four months out of the year.
Life is so short. Don't waste it working for a company that thinks you are nothing more than a tool.
Also,buy some property in the country that you could at least build a shack on so you'll have somewhere to hang your dead critter heads.

If its good for the goose....

Only thing I can recommend to a young unhitched lad, is to go live at the beach.

The OP can thank me later. Pix will do..

Mostly just nix the gambling idea....grin

Drinking and whoring around.. meshes nicely with beach living.

Every time I read one of your posts, you become more attractive.



Travis

Ahhh chit, trying to remember 22 and thinking it was a good year to be alive!

I need to get back out to the pizzoint.



Travis

Flave, that's EXACTLY how I feel about you!




Pizzoint= Northern Lights....

No worries about the tequila, fast cars, or motorcycles as I would kill myself with either. The redheaded women are what make me nervous; yeah 'nervous' is the right word


My brother is a LT in the army, and loves it. I've tossed the idea around more than a few times, and have been close to signing up once or twice.
The traveling part is what sells me, finding a bad wife is what scares me. Vey respectable profession. It pays well, is secure and adventurous, and is in my mind prestigious. I better keep praying for god to show me the way.

ding ding ding..time to put your big boy pants on! GTFO!

I knew it. It's that [bleep] Yankee water.

Gonna buy me a drink, sailor?

I love those chicks!

Gross! Sand and sunscreen is my nightmare

You are gay.

Never mind...stay with your parents.

No hope.

Finish the basement.


Travis

We tried......

Vagina in SD?
My bad, I thought we were trying to help a guy.

New advice.
Cry.
Tears always work.




Or marry a rich old man.

Ok, did you ever find that nurse who wanted to massage your nuts?

If you live in a glass house.....

Just saying.

Cut the guy some slack.

You've already received more advice than you can use, but I will give you credit for at least thinking and questioning some fairly important topics at a fairly young age.

I did live with my mom and younger brother when I was 22. The only difference was I was paying the mortgage (I was working full time (and going to college)and made much more than my mom).

I remember 22...I was either working, hunting or in Cancun/Cozumel. Ate LOTS of rabbits 'cause I blew all my money. I haven't changed much, don't regret it and still don't like rabbits.

You make 40K and live with your folks? I have no advice for you that you'd understand.

start up/buy your own business.....you mentioned several possibilities.....do the one (or two?) you like the best and work your
azz off to make it go....be frugal and modest at first then
expand as time and money permit....this is the way to financial independence...ps, you might not make it work on the first try....don't give up....tweak and try again.....

I was all set to offer advice until I read this last gem... Abandon all hope. You're doomed.

No doubt!!

Freshman Hokie move in day right outside your window, what are you sad about?

Ewww...yuck.

That would be Radford U outside my window. Only have drivers over at VT today.
RU, however being smaller enrollment wise has better a percentage of females to males and of a different breed too.

no shyt.......................................................

bwahahahahahaaaaaaaa!!!!!!!

girlsorbud.com ltppowell? great leg/thigh/cheek transition, my favorite part of a woman.

expand your knowledge with LAMP, cloud systems and automation tools like puppet, chef, etc. AD is good and security is too. cisco asa, vpn and f/w experience is as well. then become an independent contractor and work 6 months out of the year and make 100k.

George in SD,

Understand that you're not getting out of this world alive.

Do not try for an early retirement just for the sake of retirement.
For most of us work is what defines us and shapes who we become. Do the work in this life that you want done and that means something to you.

Do not totally disregard the advice of bristoe or bart.

Pay no attention to bristoe and bart...

Instead of seeking retirement as a goal, try to backpack every continent before you're 30