And if I ever said I'm gettin' money Just know I mean it! Reddit goldmine! Financial Independence subrredit.

Water Cooler
#1

lol its like i wrote this shit. nice to see there are lots of smart ppl.

https://www.reddit.com/r/financialindependence/wiki/faq#wiki_the_basics

  1. Minimize taxes to the full extent of the law. Look into 401k/403b/457/IRA/HSA accounts as some examples.
  2. If you’re not positive you want to live in an area, avoid buying a house. Consider renting. Significantly easier to change your mind later.
  3. Many marriages end in divorce. Divorce is expensive. Do what you can to avoid this.
  4. Any loan means you are borrowing from “future you”. Be very careful about making your future self pay back a lot of money. Loans for depreciating assets (cars, electronics, etc) in particular are generally bad ideas.
  5. How much do I need to save to retire? The short answer: 25 times your annual spending (with caveats) 4% became known as the “Safe Withdrawal Rate” (SWR).
  6. Ensuring your money is fully invested. Too much held in cash will reduce your return rates, which reduces your ability to fight against inflation over time.
  7. jlcollinsnh: Early Retirement Withdrawal Strategies and Roth Conversion Ladders
  8. Once he quits his job, the first step to accessing this money early is to move the 401(k) funds into his Traditional IRA. This step is the easy part and according to Vanguard, the rollover can be set up in about 20-30 minutes (although it may take 2-3 weeks to be processed). After rolling over his 401(k) to his Traditional IRA, he can now start building a Roth conversion ladder. The IRS rules state that you are able to convert a Traditional IRA to a Roth IRA, as long as you pay ordinary income tax on the conversion. It’s possible though, due to a low amount of income during early retirement, that he won’t have to pay any tax at all on the conversion. If the conversions are tax free, that means he will have avoided paying any tax on the money (tax-free contributions to 401(k)/Traditional IRA, tax-free growth within the retirement accounts, tax-free conversion from 401(k)/Traditional IRA to a Roth IRA, and tax-free distributions from the Roth)! Assume for this scenario that he is confortable paying a few hundred dollars in tax each year for the conversion so he decides to convert $12,800 each year to cover over 75% of his $16,800 worth of annual expenses during early retirement. Once the money has been converted into a Roth IRA, the converted amount is then available for withdrawal, tax and penalty free, five years after the conversion date (the earnings on those investments, however, need to remain invested until standard retirement age). To build up his $12,800 conversion ladder, he moves $12,800 from his Traditional IRA to his Roth IRA every year. After the fifth year, he is then able to withdraw $12,800 per year from the account. Assuming he continues to convert $12,800 every year, he will be able to withdraw $12,800 from his Roth IRA, tax and penalty free, every year for the rest of his life. It should be noted that since he won’t be able to access his retirement account money during the five years he is building up the conversion ladder, he’ll need enough in his taxable accounts to sustain himself for those years. Luckily, he ends up with over $100,000 in his taxable account (see the age 39 dark green taxable bar in the 1st chart) in this example scenario so he’ll be able to live off of that money until he is able to access the funds in his Roth IRA. Here’s a graph to illustrate what the Roth IRA in this example would look like when building up the conversion ladder: Roth IRA Conversion Ladder Since you can build as big or as small of a conversion ladder as you want, you could potentially fund the majority of your early retirement using this strategy.
  9. madFIentist: Traditional IRA vs. Roth IRA – The Final Battle
#2

I remember seeing one Reddit “FIRE” thread where the guy said saving too much money ruined his life, as his gf and friends all left him because he became anal and paranoid about spending even a little bit of money.

Regarding #3 above, were you involved in cuckolding the bitcoin guy so he would drop the gold digger chick? Good friend does what is best for his friends, will not judge.

#3

I work with the top 1% of the top 1% fortune management companies- basically each person I come into contact with at work is a billionaire, or almost. Yesterday I received a massive bonus that would be more than enough for anyone on this board to retire. I had a hard time sleeping (with my very hot wife and our buxom concubine).

What is my best way to use this money? I owe 10 mil in student loans (spent too much time banging my sexy TAs) and have about 100,000,000.000 in savings. I’d like to max out my IRA, 401k and offshore, numbered bank accounts or throw it all in my savings account, or pay off half of my loans at once but I can’t decide what the best route would be. My first idea is to post here to let analystforum know I’m super rich and have lots of sex. ​ I feel like I’m living the dream.

#4

^You forgot to max out your HSA.

#5

i think, at the beginning of your life, its ok to be greedy and frugal at the cost of friends and family. money compounds, your relationships do not. also most relationships at the beginning dont really matter as things easily come and go. what matters are your friends in the end. also if you are rich, you’ll find it easier to make friends and perhaps create a better family.

lastly, i had nothing to do with the cuckolding. i just stirred the pot and bred mistrust. i stated the shitty things she’s done in the past and since past performance is indicative of future results, and i encouraged him to talk to her ex roommate to get more dirt on her.

anyways its quite hilarious, they are back together. they made 2 conditions. 1 is for bitcoin to block the ex roommate. and for her to stop seeing other guys and running away when they have a fight to her cousin’s place.

anyways, my friend is such a depressed loser. why are some dudes so sad, i dont get it. he wanted to go to skid row and help poor people, and go volunteer at a hospital to help the sick. and attend church to “clean” his soul. he was planning on running to ecuador, until she got back with him and changed his mind. anyways i think it might be better he stay in this unstable relationship, he is too depressed. dont want another mac miller situtation. some chick he was talking to wanted his address to make sure he was ok, i had to tell her to slow her role and id deal with it.

i was low key shocked and told him bro, you weak bro, if you want to get over this you need a rebound. we tried to take him out to the club, and some chick was somewhat interested but he didnt want a 1 night stand or betray her (grinding and making out ok, but didnt want to do the duty in the booty). my banker buddy hooked up with a chick he literally met 30 min ago same night.

#6

I don’t know, seems like a pretty toxic situation. How do his parents feel about giving him money, which he clearly spends on gold digging chick who cares only about milking him (actually them) like a cash cow? A bad relationship can be harmful for family ties sometimes.

Anyway, the source of his depression seems to be that he just has nothing to do and has no purpose in life. That’s why he wants to do things that sound cool like voluntary poverty in Equador. Maybe you should get those clueless VC guys to hire him or something, like how Ben Affleck showed up in the interview in Good Will Hunting.

#7

definitely toxic. he couldnt even bball properly last sunday and just kept talking about her. and when you start making fun of her even when they were broken up gets him to make excuses for her. stockholm syndrome status. he was sitting in his car depressed for 30 min when someone told him to play better.

supposedly they both decided 1 more fight and its over. but they honestly have broken up 8 times this past 8 months. 1 funny thing is how he was bragging about the sex, we break up just to make up. lol. anyways at least he got a taste, perhaps when they do break up for the last time, hes less of a pussy.

all the parents care about is the age diff. essentially they want to have grand kids so they want a younger chick. i dont think money is as much of an issue. the mother is supposedly bipolar. the dad is pretty chill but cheap af. mom constantly threatens divorce. the brother has like social anxiety. so just a lot of problems all together.

personally would not mind swapping lives. having no purpose and just relaxing and enjoying life till i die seems cool. having the choice to drop everything and do something like move to ecuador because 1 is sad is balling af. i was hoping he wanted to go to ecuador to ball out with high quality chicas on the cheap though. but my gf thinks he is going to there to find a nice pure girl given the comments on cleaning his soul.

#8

Relationships do compound

#9

Right, good call. I think I maxed that out by accident, though. I’m thinking of getting the new Koenigsegg Agera RS because driving it relives my anxiety and lowers my blood pressure. Think I can make the purchase with the HSA?

P.S. My hot gf is 18 and 0 days old.

#10

https://www.cnbc.com/2018/11/19/how-much-early-retirees-spend-each-year.html

Fire article! anywyas nice to read. i always said that raising a family should not cost more than 50k.

Justin McCurry, a father of three based in Raleigh, North Carolina, quit his engineering job in 2013 and retired at age 33. His wife, Kaisorn, joined him in early retirement in 2016 at age 38.

“Neither of us ever reached a six-figure salary, with my salary topping out at $69,000 and [Kaisorn’s] at $74,000,” Justin writes on his blog, Root of Good, which explains how they built a seven-figure portfolio in 10 years to retire early.

At their peak, earnings-wise, they made a combined $138,000 and saved up to 70 percent of it. You can see a detailed breakdown of how their money grew from $64,000 in 2004 to $1.3 million in 2014 on their blog.

It’s smart to set a retirement budget and stick to it. That number is highly personal and depends on your lifestyle, spending habits and when you decide to settle down. For the McCurrys, it started at $32,000 per year.

To get to that number, they analyzed their spending habits. Between 2004 and 2014, the decade they were focused on saving for the future, the McCurrys spent an average of about $24,000 a year on “core expense,” Justin says. He defines those as expenses that will continue into retirement, such as housing, cars, groceries, clothes and entertainment. That number does not include temporary expenses, such as student loans, child care and their mortgage at the time (which they paid off in 2015), since those expenses would be irrelevant in the future.

The McCurrys then projected how their family’s expenses would change in retirement and added an extra $8,000 to cover costs like health care and travel, bringing the bottom line retirement budget to $32,000 a year, which they hit in 2014 and went below in 2015.

They aim to spend $40,000 a year, or $3,333 per month, but, since their portfolio has gone up quite a bit in the past couple of years, they’re going to start “giving ourselves permission to spend $5,000, $10,000 or $20,000 more than that if we find something worthwhile to spend it on,” Justin tells CNBC Make It.

#11

Seriously, I read this and thought you are talking about DJT.

#12

btw on his divorces, how was he able to pay them off with only such a small amount relative to his net worth.

#13

If you ain’t no punk Holla, “We want prenup! We want prenup!” (Yeah!) It’s somethin’ that you need to have ‘Cause when she leave yo’ ass, she gon’ leave with half