Madison MoneySports - Personal Finance Thread

[CaptainHenreh]

I read an article where John Tapper (the Bar Rescue guy) was saying that legalized weed was killing the bar industry.  People would rather get high than go sit at a bar and get drunk.  I could definitely see The Syndicates taking that market over though.

Is it weed killing the bar industry, or is it the bar industry?

[.RJ]

I read an article where John Tapper (the Bar Rescue guy) was saying that legalized weed was killing the bar industry.  People would rather get high than go sit at a bar and get drunk.  I could definitely see The Syndicates taking that market over though.

Is it weed killing the bar industry, or is it the bar industry?

[Apoc]

Mmm... weed.

[Senor_Taylor]

As if the bar rescue guy knows anything. All of those bars fold a year after the show and that whole show is a joke.

[JPolen01]

As if the bar rescue guy knows anything. All of those bars fold a year after the show and that whole show is a joke.

I think he knows quite a bit actually. Bar Rescue is a blip on his radar. It's not his fault these places fail. The show is a joke. Think about it, would you go to one of those places after they were on the show seeing as how dirty it was before he showed up? Of course not. Those places are destined to fail as soon as the show walks in.

[Apoc]

Yeah, he knows about $10 million of nothing.

[WRXtranceformed]

As if the bar rescue guy knows anything. All of those bars fold a year after the show and that whole show is a joke.

That's kind of like saying Gordon Ramsay doesn't know anything because he hosts Kitchen Nightmares.

Dude's built a $100m+ brand, partly off of shows like that

[Senor_Taylor]

Fair enough. I was wrong.

Sent from my Pixel 3 XL using Tapatalk

[JPolen01]

Parents - what are you guys doing for college savings? After we figure out our daycare situation this will be next research topic. 529? Straight up savings account? Other investment vehicle? Fuck it, college will be free in 18 years?

[Sijray21]

We started a 529 (Invest529 type) through Virginia529.org

It was a fairly easy button and we liked that if she didn't go to college that we could withdraw the funds for other purposes having only the interest gained being taxed and there being a 10% penalty on the gains only. It also didn't handcuff our daughter to a VA school in the future (despite VA universities/colleges being pretty good both in the past and now).

We're kind of treating it as a vehicle for our relatives to park funds for our daughter in the future (regardless of what she ends up doing later on).

[D_Eclipse9916]

^^ Same. The Virginia funds are ranked decent and for Virginia folks (me up to now); its a state tax shield.

Now that I am in North Carolina, I am looking around as NC doesn't have any incentives for investing in their own. Virginia is still one of the highest ranked so I am still in that. Too bad I am negative money right now due to the market drop *womp womp* (A whopping $300 down but still down).

Really hoping my kid doesn't want to go to Duke as I don't plan on the market doing extremely well in the next 16 years and I don't have $65k to blow per year...

[Ken]

^^ Same.  The Virginia funds are ranked decent and for Virginia folks (me up to now); its a state tax shield.

Now that I am in North Carolina, I am looking around as NC doesn't have any incentives for investing in their own.  Virginia is still one of the highest ranked so I am still in that.  Too bad I am negative money right now due to the market drop *womp womp* (A whopping $300 down but still down).  

Really hoping my kid doesn't want to go to Duke as I don't plan on the market doing extremely well in the next 16 years and I don't have $65k to blow per year...

Here's to hoping it's actually still near 65K in 16 years - considering it's nearly 54K now before room, board and other fees which bring it to nearly 70. Jesus.

[Apoc]

ETF.

529 growth rates aren't great and that difference vs. market plus the fees can negate the tax free benefits. I also like the freedom of being able to use the money for other things without penalty, should life require it. When tuition comes due, I'll just cut a check.

Right now we have a savings for money gifted directly to him. The amount is low, but I'll likely move it to a 529 at some point (VA will get a very hard look).

If you aren't a market watcher, this approach probably isn't for you. Some people like the set and forget nature of 529, so use one if that idea appeals to you.

[D_Eclipse9916]

FYI

529 is just like an IRA/401k. You can choose ETFs under a 529 plan if that's your thing.

[JPolen01]

I'm very much in the set it and forget camp on this one and not looking to squeeze every last penny out of whatever vehicle we go with. I didn't know you could choose a 529 plan in a state that you do not live in. Is that what you guys are saying? Or do you still have some connection to VA allowing you to do so?

[Apoc]

Residency is not a requirement.

I didn't like return options I saw in 529, but I'll admit I didn't look too hard because we're talking about a new house and/or moving overseas in the next few years. I didn't want to tie up too much cash.

If I'm honest, I actually think a lot of tuition is going to be paid by home equity from us selling after he goes off to college. I'll be 57 when he finishes high school and would like to sell a buncha crap, retire, and do a bunch of traveling with the wife.

But, yeah, 529 is likely what you want.

[D_Eclipse9916]

Residency is not a requirement.

I didn't like return options I saw in 529, but I'll admit I didn't look too hard because we're talking about a new house and/or moving overseas in the next few years. I didn't want to tie up too much cash.

If I'm honest, I actually think a lot of tuition is going to be paid by home equity from us selling after he goes off to college. I'll be 57 when he finishes high school and would like to sell a buncha crap, retire, and do a bunch of traveling with the wife.

But, yeah, 529 is likely what you want.

That's fair, if you are good about paying down home equity; its not a horrible return between home price increase and reducing interest on a cost.

Jon,  Apoc hit it but yes residency is not a requirement.  You can choose any 529 Plan (I thin last time I looked Vegas/Virginia/New York had the best overall returns).  However, some states have tax advantages to using their state plan.  I did a quick check and MD let's you deduct $2,500 per person.  Do a quick analysis and review Maryland's plan and calculate in your own cost of saving the $2500 in taxes to see if it's worth doing MD vs others.

[JPolen01]

Appreciate the info fellas. Touring a private daycare that both myself and wife went to (at different times, unknowingly). Small world. Infant care is as much as a small mortgage at $1700/m. Fuck me.

[Sijray21]

yup...

we were lucky and found a good local home daycare for $225/wk (price hasn't gone up the almost 3 years my daughter has been there). We almost paid $363/wk for Chesterbrook in Herndon, but my wife freaked the week before we were to drop off our daughter because there were 15 other infants and only 4 care givers; she saw something like 7-8 other kids crying and not being attended to. We had a very local friend who had a child a few months older than our daughter move to Leesburg a week prior and they recommended their home daycare who they loved. she's been great for us and it also helps that her daughter is the same age as ours and they're good friends now.

[Evan]

yup paid $2k a month when my son was an infant while also paying $1600/mo for my daughter
ugh that was rough