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Joined: Sep 2003
Posts: 23,522 Likes: 15
Campfire Ranger
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Campfire Ranger
Joined: Sep 2003
Posts: 23,522 Likes: 15 |
Most folks can't save a nickle. That includes lots of folks I know. They'll spend money like it's going out of style, but when they run out of it, they are the biggest victims you've ever met. Every excuse in the book.
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Joined: Jun 2012
Posts: 10,068
Campfire Outfitter
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Campfire Outfitter
Joined: Jun 2012
Posts: 10,068 |
Most folks can't save a nickle. That includes lots of folks I know. They'll spend money like it's going out of style, but when they run out of it, they are the biggest victims you've ever met. Every excuse in the book. Yep, tons of folks like that. $800 smart phone but no investments or savings.
Mercy ceases to be a virtue when it enables further injustice. -Brent Weeks
~Molɔ̀ːn Labé Skýla~
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Joined: May 2004
Posts: 5,230 Likes: 2
Campfire Tracker
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Campfire Tracker
Joined: May 2004
Posts: 5,230 Likes: 2 |
[quote=30338][quote=Toddly] But I kept buying $X of each fund at the beginning of each month through thick and thin. Not huge amounts by some folks’ standards, but several hundred dollars total each month treated as a monthly bill just like a car payment or mortgage. Sometimes if I had a fair amount of surplus income at the end of a month (i.e. I hadn’t bought myself a new toy that month), I’d invest some more.
The current value slowly crawled out of the toilet and now 9 years later it’s looking pretty darn good.
If you invest $300 per month at the average stock market return of 12% from age 22 to age 67, you'll accumulate a $5.5 million retirement stash. Now, watch, and some of the nay sayers will come on and say that inflation will turn that $5 million into something not worth worrying about, or that it can't be done, or that $300 per month is too much money. Shut up. It's less than half of your stupid car payment. Mow a few lawns every month, and you can retire a millionaire. For the price of basic cable, you can have a million $ retirement nest egg. There is no excuse. I ran the numbers about 1 month ago for a 23 yr old kid i worked with. I told him that $10 per day @ 7% gains average for 50 yrs will get you $ 1.8 million dollars. At 12% it will , like Dutch sais will get you $5.5 million dollars. That does not mean a whole lot cause I am 54 yrs old, but my 20 yr old son that has $ 5,500 in his ROTH and $ 1,000 in his taxable account, now you are talking about a kid that might be a millionaire when he is my age. My daughter, she is 25 and has $ 1,000 saved. Still better than many.
But the fruits of the spirit is love, joy, peace, patience, kindness, goodness,faithfulness, Gentleness and self control. Against such things there is no law. Galations 5: 22&23
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Joined: Oct 2005
Posts: 16,000
Campfire Ranger
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Campfire Ranger
Joined: Oct 2005
Posts: 16,000 |
the thunderbird school. what we call it locally is the thunderbird school of international bartending. I am not concerned about an average over the last 100year. I am concerned about the next ten years given i am 70. A fool and his money are soon parted. There should be some concern of chasing dividend yields that high given the safe rate of return. Oh well these columns make me giggle. if it was so friggin easy how come everyone isn't a multimillionaire? Ron, there are plenty of 70 year old + in the HDO system. If you are curious at all, I would recommend you sign up for the free two-week membership and get on the chat board and talk to all the other investors in your age category. I am prohibited by various laws in describing what my life has been professionally since the 70's. Suffice it to say i had personal friends in those towers that came down in New York, and there is a reason for that.
THE BIRTH PLACE OF GERONIMO
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Joined: Nov 2002
Posts: 33,791 Likes: 11
Campfire 'Bwana
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Campfire 'Bwana
Joined: Nov 2002
Posts: 33,791 Likes: 11 |
[quote=30338][quote=Toddly] But I kept buying $X of each fund at the beginning of each month through thick and thin. Not huge amounts by some folks’ standards, but several hundred dollars total each month treated as a monthly bill just like a car payment or mortgage. Sometimes if I had a fair amount of surplus income at the end of a month (i.e. I hadn’t bought myself a new toy that month), I’d invest some more.
The current value slowly crawled out of the toilet and now 9 years later it’s looking pretty darn good.
If you invest $300 per month at the average stock market return of 12% from age 22 to age 67, you'll accumulate a $5.5 million retirement stash. Now, watch, and some of the nay sayers will come on and say that inflation will turn that $5 million into something not worth worrying about, or that it can't be done, or that $300 per month is too much money. Shut up. It's less than half of your stupid car payment. Mow a few lawns every month, and you can retire a millionaire. For the price of basic cable, you can have a million $ retirement nest egg. There is no excuse. I ran the numbers about 1 month ago for a 23 yr old kid i worked with. I told him that $10 per day @ 7% gains average for 50 yrs will get you $ 1.8 million dollars. At 12% it will , like Dutch sais will get you $5.5 million dollars. That does not mean a whole lot cause I am 54 yrs old, but my 20 yr old son that has $ 5,500 in his ROTH and $ 1,000 in his taxable account, now you are talking about a kid that might be a millionaire when he is my age. My daughter, she is 25 and has $ 1,000 saved. Still better than many. All good but what does $1.8 million or, for that matter $5+ million, do for one in 2067? Make no mistake I retired at 53 thanks, in part, to the stock market. But a million dollars is not a lot of money years out.
Conduct is the best proof of character.
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Joined: Jan 2005
Posts: 22,884
Campfire Ranger
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Campfire Ranger
Joined: Jan 2005
Posts: 22,884 |
It may not be a "lot of money" but it sure will be a "lot more money" than most folks will have saved up by 2067.
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Joined: Jan 2002
Posts: 12,889 Likes: 5
Campfire Outfitter
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Campfire Outfitter
Joined: Jan 2002
Posts: 12,889 Likes: 5 |
All good but what does $1.8 million or, for that matter $5+ million, do for one in 2067? Make no mistake I retired at 53 thanks, in part, to the stock market. But a million dollars is not a lot of money years out.
Seriously? SERIOUSLY? You are going to the inflation boogey man? Ok, I'll play the game. The average stock market return NET OF INFLATION, over the last 100 years has been just under 7%. So, as posted above, a $300 investment per month from age 22 to age 67 will net you a million of TODAY'S dollars at 7%. 15% of that will be the money you put in, 85% of that will be returns. That's 300 lousy dollars a month, never increasing your investing as you get older and your income goes up. In today's dollars, that 300 monthly investment is $42 in 2067. Friggen' peanuts. I think a million of today's dollars would make for a much better retirement than throwing your hands up and counting on the government to provide for you, don't you agree? Want to try something else? Ok, that 22 year old couple, instead of a $15,000 wedding, you put that $15,000 in two Roth's in an S&P index fund. At age 67, that'll be a coooooool 2.5 MILLION. Yea, I know, that's only $360,000 in today's dollars. Better blow that in one day on bridezilla's whims.... (please engage sarcasm detector).
Sic Semper Tyrannis
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Joined: May 2004
Posts: 5,230 Likes: 2
Campfire Tracker
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Campfire Tracker
Joined: May 2004
Posts: 5,230 Likes: 2 |
No, I guess, in 2067 $ 1.8 million won't be all that much , but $ 1.8 million will get you about $ 80 per year in dividends @ 4% div. That may not be enough to live off of then, but you have to remember the stock values should still be going up . Now, $ 300 a month for my 20 yr old son is a small fortune , but he is investing about $ 3,000 per yr and the day will come when he gets out of what he calls " Stupid college" he will be putting much more in. The kid is an investing machine and just loves it. Off the subject a bit but he has Visa, Delta Airlines, Walgreens and British Petroleum stock. He will do very well , God willing, of course.
But the fruits of the spirit is love, joy, peace, patience, kindness, goodness,faithfulness, Gentleness and self control. Against such things there is no law. Galations 5: 22&23
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Joined: Feb 2009
Posts: 11,922
Campfire Outfitter
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Campfire Outfitter
Joined: Feb 2009
Posts: 11,922 |
We have been putting money in several funds before 911.
We lost over 80,000 in a short period of time after that.
The funds made it back in 8 years and now is doing between 5 to 8 % each quarter.
One thing i would recommend is don't look at it every day,the swings will drive you crazy.
She has only a few years to go till she has had enough crap,so the next few years should be profitable.
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Joined: Nov 2002
Posts: 33,791 Likes: 11
Campfire 'Bwana
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Campfire 'Bwana
Joined: Nov 2002
Posts: 33,791 Likes: 11 |
All good but what does $1.8 million or, for that matter $5+ million, do for one in 2067? Make no mistake I retired at 53 thanks, in part, to the stock market. But a million dollars is not a lot of money years out.
Seriously? SERIOUSLY? You are going to the inflation boogey man? Ok, I'll play the game. The average stock market return NET OF INFLATION, over the last 100 years has been just under 7%. So, as posted above, a $300 investment per month from age 22 to age 67 will net you a million of TODAY'S dollars at 7%. 15% of that will be the money you put in, 85% of that will be returns. That's 300 lousy dollars a month, never increasing your investing as you get older and your income goes up. In today's dollars, that 300 monthly investment is $42 in 2067. Friggen' peanuts. I think a million of today's dollars would make for a much better retirement than throwing your hands up and counting on the government to provide for you, don't you agree? Want to try something else? Ok, that 22 year old couple, instead of a $15,000 wedding, you put that $15,000 in two Roth's in an S&P index fund. At age 67, that'll be a coooooool 2.5 MILLION. Yea, I know, that's only $360,000 in today's dollars. Better blow that in one day on bridezilla's whims.... (please engage sarcasm detector). A million dollars today is not a lot of money to retire on, no? I don't even have to ask as I know. But what the kcuph do I know?
Conduct is the best proof of character.
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Joined: Jun 2006
Posts: 13,401
Campfire Outfitter
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Campfire Outfitter
Joined: Jun 2006
Posts: 13,401 |
24k/year in Vanguard index funds for my 401k (hit the magic 50 two years ago). I'll think I'll be fine at age 70 when I start pulling money out...
“There are some who can live without wild things and some who cannot.” ALDO LEOPOLD
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Joined: Nov 2002
Posts: 33,791 Likes: 11
Campfire 'Bwana
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Campfire 'Bwana
Joined: Nov 2002
Posts: 33,791 Likes: 11 |
24k/year in Vanguard index funds for my 401k (hit the magic 50 two years ago). I'll think I'll be fine at age 70 when I start pulling money out... Good work. How old are you and are you talking $50k, $500k or ?
Conduct is the best proof of character.
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Joined: Jan 2009
Posts: 23,319
Campfire Ranger
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OP
Campfire Ranger
Joined: Jan 2009
Posts: 23,319 |
We have been putting money in several funds before 911.
We lost over 80,000 in a short period of time after that. . . . Did you sell?
"All that the South has ever desired was that the Union, as established by our forefathers, should be preserved, and that the government, as originally organized, should be administered in purity and truth." – Robert E. Lee
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Joined: Jan 2016
Posts: 96,015 Likes: 19
Campfire Oracle
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Campfire Oracle
Joined: Jan 2016
Posts: 96,015 Likes: 19 |
OO, what do you think of 5 mo of decreasing house signings? That forebodes rough times to me.
Ecc 10:2 The heart of the wise inclines to the right, but that of a fool to the left.
A Nation which leaves God behind is soon left behind.
"The Lord never asked anyone to be a tax collector, lowyer, or Redskins fan".
I Dindo Nuffin
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Joined: Jan 2009
Posts: 23,319
Campfire Ranger
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OP
Campfire Ranger
Joined: Jan 2009
Posts: 23,319 |
OO, what do you think of 5 mo of decreasing house signings? That forebodes rough times to me. Are you talking about a decrease in new home sales?
"All that the South has ever desired was that the Union, as established by our forefathers, should be preserved, and that the government, as originally organized, should be administered in purity and truth." – Robert E. Lee
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Joined: Jan 2016
Posts: 96,015 Likes: 19
Campfire Oracle
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Campfire Oracle
Joined: Jan 2016
Posts: 96,015 Likes: 19 |
So if you had 100k to put in the market now, where would you put it? Dollar cost average into large Vanguard index funds. Let it ride and keep buying. Bingo. Bingo, bingo. Life is easy, don't make it hard. Oh yeah...leave the money in there for a few years DECADES and don't worry about it. If you made a sound investing decision, then there is no need to re-examine it every day/week/month. Agreed, with minor edit. Anything more "sophisticated" (HA!) than putting money into index funds requires a very high risk tolerance AND a willingness to lose a bunch, even in the long term. The average stock market return over the last 100 years is right around 12%. All you have to do is put your money in and KEEP IT IN. The only people that get hurt on a roller coaster are the ones that get off before the end of the ride..... So how do you kno you are at the end of the ride? How's that Roman market doing?
Last edited by jaguartx; 09/27/17.
Ecc 10:2 The heart of the wise inclines to the right, but that of a fool to the left.
A Nation which leaves God behind is soon left behind.
"The Lord never asked anyone to be a tax collector, lowyer, or Redskins fan".
I Dindo Nuffin
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Joined: Jan 2002
Posts: 12,889 Likes: 5
Campfire Outfitter
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Campfire Outfitter
Joined: Jan 2002
Posts: 12,889 Likes: 5 |
So how do you kno you are at the end of the ride?
How's that Roman market doing?
When things get really dark and quiet.........
Sic Semper Tyrannis
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Joined: Nov 2002
Posts: 33,791 Likes: 11
Campfire 'Bwana
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Campfire 'Bwana
Joined: Nov 2002
Posts: 33,791 Likes: 11 |
We have been putting money in several funds before 911.
We lost over 80,000 in a short period of time after that. . . . Did you sell? Yep. It ain't a loss until it has been sold.
Conduct is the best proof of character.
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Joined: Jan 2009
Posts: 23,319
Campfire Ranger
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OP
Campfire Ranger
Joined: Jan 2009
Posts: 23,319 |
I hear investors complain about losing money in their portfolio, but they have not yet sold. Just trying to determine the facts in plainsman case.
"All that the South has ever desired was that the Union, as established by our forefathers, should be preserved, and that the government, as originally organized, should be administered in purity and truth." – Robert E. Lee
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Joined: Jan 2009
Posts: 23,319
Campfire Ranger
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OP
Campfire Ranger
Joined: Jan 2009
Posts: 23,319 |
Long Term Investing Success
Rida Morwa - 1:53 - 2017 • The key is to be a long-term investor, especially in times of a unique bull market such as ours today. We are very lucky to be experiencing such a period in our lives.
"All that the South has ever desired was that the Union, as established by our forefathers, should be preserved, and that the government, as originally organized, should be administered in purity and truth." – Robert E. Lee
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