The thing is, is the MG is usually pretty transparent about the income stuff but not here. Like for instance they do say that if you are single and make under 100k a year you can include your employer match as part of your total 25%.

I agree with you income does obviously play a huge part if you crunch the numbers. It just seems odd to me that they are very transparent on income on some advice and not others. But you make a good point, they can't possibly give a one size fits all number here that makes sense for everything.

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Most travel cards come with no FTFs.

Its a lot easier with a higher income. That isn't meant as a flex, its just true because of how percentages work. You don't live of a percentage, you live off a certain number of dollars per month. Just because I start making more doesn't mean I'm going to lose my mind and start just throwing money away for no reason.

I've watched the Money Guy Show before by the way and I think they give solid advice and are some of the better personalities out there for financial advice so not trying to dunk on them. Pretty sure they would agree actually.

Do you have a retirement plan you could take a loan against? Not sure what rates would look like, but people borrow against their 401ks all the time.

It's called discipline

Just withdraw some cash to pay. No need to pay any fees.

Was the only reason you were leaving financial? Ask yourself where you would be happiest, then consider the money

Mistake was already made. All you can do at this point is pay the car down faster and address your credit score. Refining in a year might be pointless if your score is so low. If it’s recent isuses then all yo can do is eat the pain and pay extra to get the loan gone faster.

I know you aren't talking specifically to me but just as part of the community I will say I don't dislike dividend stocks in a retirement account. I do dislike them in a taxable account just because they provide an unneeded tax drag on the investment as well as an increase to your AGI.

Also I think the asset class you are refering to is more typically called Value than Dividend. Yes a lot of companies that are in the Value class offer dividends but that isn't really what defines them right. Really you are talking just about large companies that have been around a while have a big market cap and don't reinvest all of their returns into themselves as growth because they just dont have that much to gain from growth anymore. Those companies do tend to be more stable yeah so overall they are going to dip less (and subsequently rise less).

The idea that avoiding volitility in a retirement account where you are regularly contributing and are still young though not sure if that is 100% the best strategy. Lets say you are in largely growth stocks and they dip 25% in value while the Value stocks only drop 5%. That is great for the Value stock holder if they are about to cash out...but if they are 30 years from retirement well, that 25% drop in share price represents additional shares that they can purchase before the inevitable rebound over that 30 years. Its not like that lower drop in the Value share price means that the Value shares will be 20% ahead from there on out, that isn't how it works.

I'm pro value funds in holdings and pro say even a 60-40 mix, but when you are in your 50s and a substantial market downturn could actually negatively affect your retirement. Then yeah it makes sense. But for a 20 year old putting their first $1k into a Roth IRA? Nah.

Put it in a 529 - worst case, there's a 10% penalty on the money if it is taken out for non-academic expenses.

you should not have any money in a savings account with 0.5% or 0.05%! Do a HYSA with someone like Ally - they're at 3%

To make sure I understand, as long as the plan allows (they do), I can put the original pre-tax 401k balance plus any gains into my new 401k? This then leave my nondeductible contributions which I can then convert to the Roth?

170 miles per day is 42k per year. Your loan will outlast your car.

It is a bit sketchy that it is taking this long to make a determination. I'd complain to the Department of Insurance for the state OP is in. u/Milleniumfelidae

Personally, I won't take a trip without a travel credit card. I have two, but never really use the one associated with an airline. The best reason to use a travel credit card is the protection that many of them offer. For instance, you may get coverage for trip interruptions, rental car accidents, sickness related medical costs, loss of luggage, refunds for bad hotel rooms, replacement for damaged, stolen or lost items while traveling. The usual requirement is that you use the card to pay for the travel and accommodations. Most of them also have a points system that can be later redeemed for travel discounts or even full flights, as well as any number of other retail outlets. I often use my points as Amazon dollars. That said, these cards usually also carry an annual fee and require good or better credit for approval.

Your parents can put you as an authorized user on their credit card or you can get one from the bank w parents co signing

All the more reason to take job 2 and be forced into responsible retirement saving.

Well that sucks. I used to work for a company that gave loans to people with poor credit and my advice to you is to get your financial house in order ASAP. Make all your payments on time for the next year and then try to refi -this is what most of the people we had tried to do, granted 40% defaulted and another 20% always paid late but these companies used to report to the credit agencies every month so if you actually do pay on time it's good for your credit. Good luck.

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Good points. That's impressive investing percentage, hats off to you!

What about Paid Time Off?

Assuming the same, I'd say job 2 has a slight edge. Assuming 1950 paid hours per year with no weekends, the hourly rate comes to $66,943.50. 10.5% into a retirement fund adds another $7029.06 for a total of $73.972.56. That's $1027 less than job 1, but no commute 2 days per week probably more than makes that up financially, not to mention quality of life (time you don't have to spend commuting) though the full analysis of that depends on how bad the commute is. And job 2 has the potential for bonus weekend pay, assuming that's not a quality of life negative for you.

The real question is where do you have the better potential for advancement and raises. What are each of these going to be paying you next year, and 5 years down the line?

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Oh hey buddy, where you been?

>As you can see in figure 1, the highest quintile outperformed the broad S&P 500 Index by over 1.3% per year, which turned into nearly 141% outperformance over time. And it did this with a lower beta. Even the second quintile outperformed the S&P 500 by over 1.5% per year, for a total of more than 159% outperformance over time, with less risk.

>but what does one of the top finance professors at one of the top business schools in the world know?

I mean his chart shows that three of the five quintiles underperform the sp500.

This begs the question then, if its so easy to beat the market by picking dividend paying companies, why doesn't every (or at least many) fund manager(s) beat the market?

I'm not saying eschew dividends, I'm saying that whatever most retail investors do is probably going to be wrong, so go with the least wrong option (buying the market)

>What’s wrong with the three fund portfolio?

• indifferent to valuation, at least as commonly practiced, and valuation is probably the most critical part of long term ROI. if one chose to follow John Boggle's advice they would boost bond allocation above Bogle's minimum 20% as Shiller p/e gets elevated and would thus take some action based on valuation. but this part of his advice is commonly ignored from what I've seen on reddit and the Bogleheads forums.

• it's dominated by large-cap growth, when small cap and value stocks tend to give the best long-term results over long periods.

>Dividends aren’t anything special

on the contrary

>In the full dataset [CRSP database of US stock returns 1928 to 2017] there have been 71 periods of 20 consecutive calendar years. Table 2 on the following page shows how the six portfolios measure up on annualized returns and standard deviations over the 20-year periods. Similar to the full 90-year sample, we find a direct relationship between dividend yield and total return. And again, volatility for dividend paying portfolios was lower than that of non-payers. https://www.heartlandadvisors.com/media/Insights/White-Papers/Dividends-A-Review-of-Historical-Returns.pdf

or

>To demonstrate the power of dividends and their impact on performance, consider some research done by Professor [Jeremy] Siegel in his 2005 book, The Future for Investors. Professor Siegel broke down the performance of the S&P 500 dividend-paying stocks into quintiles, illustrating that focusing on only those stocks that provided the highest levels of dividends had a dramatic impact on performance—and risk.

>As you can see in figure 1, the highest quintile outperformed the broad S&P 500 Index by over 1.3% per year, which turned into nearly 141% outperformance over time. And it did this with a lower beta. Even the second quintile outperformed the S&P 500 by over 1.5% per year, for a total of more than 159% outperformance over time, with less risk.

https://www.wisdomtree.com/en-gb/-/media/us-media-files/documents/resource-library/whitepaper/the-dividends-of-a-dividend-approach.pdf

but what does one of the top finance professors at one of the top business schools in the world know?

Ya an expensive area. Since you are remote moving not just to apartments but to a less expensive area would help you out substantially.

Ya I'm a Costco fan too, but Sams just has a lot better website to actually see what things cost vs Costco's that doesn't list everything, doesn't tell you what's in the store, or what things that are in store might cost without adding on instacart fees.