08-02-2013, 11:35 AM
HAULN-SS Wrote:Ive been trying to usually carry 13-15k,We're not that dissimilar then on the cash then, typically I might have twice that, but $5k is kind of our current floor. We have some expenses coming up this year that will have me back on the floor (kindergarten, weddings) by the end of the year. Oh well.
If I sold everything today I'd be up 35% this year in my IRA (excluding contributions). Your 12% yearly return on the 401k, with you having to do nothing is not terrible, but the whole market went up about that much in 2012, and it's more than that this year already. So heck, you could do that.
My current and previous employer match nothing. So that's why I moved it out and put it in a roth early this year (which means I owe taxes on it). It makes more sense than a traditional for younger folks and you can actually draw $ out tax free after 5 years, so that's a big bonus.
And yes, avoiding the 1+% fees with 401k funds like Fidelity (who I was with) is nice. That being said, you have to have enough in your trading account (I'd say $10k) to make it worthwhile or you could easily eat up a couple % in trading costs. Or you're in short term, gamble mode because you cannot afford to maintain any sort of balanced portfolio. Put it all on black! (ie, TSLA)
Mike Wrote:i think i've been throwing 20% into my 401k since graduation so that's ridiculously healthy if i ever have an emergency. that's my 75% in the market. not getting any matching, but the tax savings + market growth makes it the best bet for my money. and no, i do not beat the market so it's probably best i stop playing...Sounds like you're doing it right then. :thumbup: You probably have 10x what I have in my IRA, good work.
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