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Post by LTB on Jan 12, 2020 23:03:59 GMT -5
Never did stocks etc. Retired in November with a pension from DFW Airport (my employer of 42 years). Between that and Social Security I am doing better than when I worked (so far)
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Post by Chris Greene on Jan 12, 2020 23:18:45 GMT -5
Never did stocks etc. Retired in November with a pension from DFW Airport (my employer of 42 years). Between that and Social Security I am doing better than when I worked (so far) So other than those sources of income (which is good, not many people get defined benefit pension plans anymore) do you have savings or other resources? A safety net so to speak?
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Jake
Wholenote
Posts: 564
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Post by Jake on Jan 13, 2020 8:22:24 GMT -5
I've been talking to some young freinds on this stuff, emphasizing the need to have cash reserves and no high interest consumer debt.
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Post by Chris Greene on Jan 13, 2020 12:59:55 GMT -5
I like working the basics. Dave Ramsey has it in his baby steps, The Millionaire Next Door, The Old Money book, and a few others teach the simple basics which *should* be taught all through school.
My wife and I are wealthy not because of huge incomes but 40 years of working a plan. We aren't as wealthy as some who took on more risk and we would be poorer if we lived in California but we've always lived below our means other than a few stupid things right out of college. We've saved 20-40% of our income in diversified investments for decades. We live like were poor and thus, we aren't.
Ramsey likes debit cards, I don't. I like the Costco card at the Executive membership level and I put as much possible on the card as I can. The sometimes painful bill is paid in full each month because we have enough cash reserves. We get a 4% discount on gas, 2% at restaurants (though I usually use cash when forced to eat out, and I think 2% in the warehouse. Costco rebates us as does the credit card. We get a check for $400-500 annually which covers our membership and then some.
Cash is king and the bastards that run the world don't want you to use it. Fight the man!
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babsobass
Halfnote
One small step for man
Posts: 57
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Post by babsobass on Jan 13, 2020 21:02:55 GMT -5
Cash is king and the bastards that run the world don't want you to use it. Fight the man! I'm just the opposite! I have a Citi card that has a 2% reward on all purchases. I use it on absolutely everything I can. Mrs. Babs and I pay it off every month so no interested ever is paid. We have been banking the rewards for the last couple of years for a vacation this year!
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Post by Chris Greene on Jan 13, 2020 22:57:08 GMT -5
Cash is king and the bastards that run the world don't want you to use it. Fight the man! I'm just the opposite! I have a Citi card that has a 2% reward on all purchases. I use it on absolutely everything I can. Mrs. Babs and I pay it off every month so no interested ever is paid. We have been banking the rewards for the last couple of years for a vacation this year! I guess you didn't read completely or, perhaps, didn't understand what I wrote. Reread my third paragraph.
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Post by LTB on Jan 13, 2020 23:16:56 GMT -5
Never did stocks etc. Retired in November with a pension from DFW Airport (my employer of 42 years). Between that and Social Security I am doing better than when I worked (so far) So other than those sources of income (which is good, not many people get defined benefit pension plans anymore) do you have savings or other resources? A safety net so to speak? Yeah, they stopped the pension about 5 years ago for anyone hired as of a certain date have to do a 401K plan in which the Airport will match what they put in up to a certain amount each year. All of us older employees were grandfathered in on the Pension. During my tenure there our pay was frozen on 2 occasions for a few years when kids were young and again when teens. With that, 2 spinal surgeries and triple bypass we had to refinance our home and is now set to be paid off in 2023 (age 70) unless I pay some more principle. Paying some things off right now that I was unable to prior to retiring. Wife is working on a savings and I plan on the same eventually. I do hold back XXXX amount each month until the next check in the event something occurs then if it doesn't get used I put that on bills.
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Post by Chris Greene on Jan 13, 2020 23:21:18 GMT -5
Never to late to start paying yourself first. Everybody should have a stash of emergency money. Hope you accomplish your goals.
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Post by LTB on Jan 13, 2020 23:25:55 GMT -5
Never to late to start paying yourself first. Everybody should have a stash of emergency money. Hope you accomplish your goals. Your correct! Thanks Chris
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Post by stratcowboy on Jan 14, 2020 10:15:12 GMT -5
"We live like were poor and thus, we aren't."
Amen. This is the key to saving that many just don't get. I've done well financially in part because I never wanted much. The "richness" in my life has come from the varied experiences I've had--not the stuff I bought. I haven't had TV for over 50 years, which means not just the expense of buying trick video devices regularly, but not being subjected to the constant bombardment of consumerism. I keep my vehicles for 12 to 15 years. I take care of my stuff that I do have so I don't have to ever buy more. I do just about all the maintenance on my house, unless I get into really technical/safety ground. None of this takes a whole lot of involvement, but it is a mind-set that says you just don't go spending money all over the place--'cause so much of what you spend is truly wasteful. So you put it away and methodically invest, and over time--bingo! You get older (hopefully) and there's a nest-egg there. It doesn't have to be so difficult, but it seems that's how it winds up being for so many people--unfortunately. Again...enhance your life with experiences rather than stuff and you'll eventually be pretty comfortable. YMMV...
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Post by Larry Madsen on Jan 14, 2020 13:41:29 GMT -5
I'm up .6% (ROTH portion) for the first 9 days of 2020. Now up .86% for the first 14 days of 2020.
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Post by LTB on Jan 14, 2020 14:03:58 GMT -5
"We live like were poor and thus, we aren't." Amen. This is the key to saving that many just don't get. I've done well financially in part because I never wanted much. The "richness" in my life has come from the varied experiences I've had--not the stuff I bought. I haven't had TV for over 50 years, which means not just the expense of buying trick video devices regularly, but not being subjected to the constant bombardment of consumerism. I keep my vehicles for 12 to 15 years. I take care of my stuff that I do have so I don't have to ever buy more. I do just about all the maintenance on my house, unless I get into really technical/safety ground. None of this takes a whole lot of involvement, but it is a mind-set that says you just don't go spending money all over the place--'cause so much of what you spend is truly wasteful. So you put it away and methodically invest, and over time--bingo! You get older (hopefully) and there's a nest-egg there. It doesn't have to be so difficult, but it seems that's how it winds up being for so many people--unfortunately. Again...enhance your life with experiences rather than stuff and you'll eventually be pretty comfortable. YMMV... Very admirable. You also described my 93 year old dad to a tee. He had shirts etc he got as gifts that hung in his closet until his other's were completely worn out. He had Wingtip shoes purchased after WWII that he said have gone in and out of style several times. I think they finally went out of style
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Post by Chris Greene on Jan 14, 2020 14:50:51 GMT -5
We don't really live like we're "poor" but for the past 35 or so years, we've saved 25-40% of our after tax income. Fortunately, it's still enough to have allowed us to buy two homes, and some niceties but we keep our vehicles for many years. a 2016 is our newest but the other vehicles date from 2001, 2002, 2002, and 2007. My personal vehicle was bought used when it was seven years old. Now, it's almost 18 years old.
Material things that mattered to me when I was younger no longer do. It's nice to know you can write a check for a new Mercedes but have the wisdom not too.
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Post by Mfitz804 on Jan 14, 2020 14:54:18 GMT -5
I'm up .6% (ROTH portion) for the first 9 days of 2020. Now up .86% for the first 14 days of 2020. Up 1.6% and 2.8% on my two funds. I will start my retirement paperwork immediately.
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Post by tri0de on Jan 14, 2020 19:26:23 GMT -5
Everything in S&P index funds for the most part.
I have defined benefit pensions coming from State Farm (22 years), the County (12 years when I retire in 4.7). A 401K, a Roth, and a 457, none of which I'll need to touch for 10-20 years, so I'll take the market for the long haul.
Wife has the same, except 25 years with State Farm and 10 with State of CA.
No debt, of course. And a rental property in Montana. Who knows, social security might even still be in existence.
Going to sign off at 63 from the County and am throwing into a 529, will either finish law school or do something else to use that dosh.
Everything I know I got from two books: 'A random walk down Wall Street', and 'The Millionaire Next Door'.
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babsobass
Halfnote
One small step for man
Posts: 57
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Post by babsobass on Jan 14, 2020 21:12:26 GMT -5
guess you didn't read completely or, perhaps, didn't understand what I wrote. Reread my third paragraph. Sorry, misunderstood the fourth paragraph. We are in agreement.
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Post by Larry Madsen on Jan 17, 2020 18:16:32 GMT -5
I'm up .6% (ROTH portion) for the first 9 days of 2020. Now up .86% for the first 14 days of 2020. up 1.92 for the first 17 days of 2020.
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cato
Quarternote
Posts: 5
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Post by cato on Jan 17, 2020 19:18:28 GMT -5
I hit financial independence at the end of 2019. I’m going to work two more years and then wrap it up.
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Post by LTB on Jan 17, 2020 20:11:36 GMT -5
I hit financial independence at the end of 2019. I’m going to work two more years and then wrap it up. Good For you!!! 😊
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twangmeister
Wholenote
Posts: 349
Formerly Known As: Twangmeister
Age: 72 and fading fast.....
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Post by twangmeister on Jan 18, 2020 17:48:35 GMT -5
Starting my fourth year of retirement. We had to downsize but cutting back on expenses has been an eye-opener. We bought the condo next door to add to our too tiny Philly condo. $$$. Then paying big taxes on my part of the proceeds of selling the practice. That was followed by taxes going up bigly on our CT condo and a looming assessment for a failing seawall.
We have learned to live on 50% of our pre-retirement income. Enough kvetching--we are doing OK. Don't miss work.
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