live4swell
Member
I just wanted to see if anyone here was a financial advisor or in a related field...I need some investment advice...any help is appreciated.
Thanks
Thanks
any members financial advisors?
- Thread starter live4swell
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live4swell
Member
yeah...as am I...haha
I just wanted some investment advice...i know nothing about stocks/mutual funds and such....oh well
I just wanted some investment advice...i know nothing about stocks/mutual funds and such....oh well
sharp4runr
New member
uhh, give me the money and I'll hold it for you 
JB.
New member
live4swell said:
I absolutey am NOT and I hope I don't regret jumping in on this, but since you don't seem to be getting any replies I'll offer my humble opinion.
First step is avoiding making any big mistakes. If you do that, you're already partially ahead of the game.
All the parameters advisors talk about DO apply; age, situation, goals, etc.
For a no brainer, minimal time invested, set and forget investment that performs well and is for money not needed soon (3 years minimum, 5+ better), an S&P 500 index fund is very hard to beat. Hopefully with an expense ratio under 1. In a 401k it's even better 'cause the money gets put in regularly over time to smooth out market ups and downs.
Stock tips are to be avoided. You can get better odds on a crap table in Las Vegas.
iFORCE
New member
I am taking my Certified Financial Planner and Canadian Securities courses right now. I have completed the courses and need to take the final exams.
Investments need to be catered to your SPECIFIC goals. A investment strategy might work for one person and not the other as we all live different lives with different goals/aspirations/debt.
I have a job at the bank as a Financial Services Representative, so I'll offer my advice to help steer you in the right way.
Investments need to be catered to your SPECIFIC goals. A investment strategy might work for one person and not the other as we all live different lives with different goals/aspirations/debt.
I have a job at the bank as a Financial Services Representative, so I'll offer my advice to help steer you in the right way.
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live4swell
Member
Thanks for all the replies guys...basically my original question applies to 403(B) Tax Shelter...so its through my job...I can do this in addition to my other benefits so thought I could definitely stand to make some money off it. Is anyone familiar with 403B? I guess we will go from there. Again, thanks for all your help guys
iFORCE
New member
a 403B is exactly the same as a 401k, only that the 403b is offered to employees of a non-profit organization.
The 403B is like a retirement pension, and the employers pay for half, while the employee pays for half. This is an EXCELLENT way of saving for retirement as the amount you put contribute is deductible off your taxable income for the year and any growth in the 403B fund is NOT taxable until you withdraw it.
This is an excellent way to go as 1) you reduce your current taxable income 2) reduce the taxes you pay now 3) employer helps contribute 4) when you retire, you're taxed at a lower bracket, which is good, so the income you receive will most likely be taxed at the lowest tax bracket.
Retirement plans should be started ASAP, because TIME is what helps you the most. MAX out your contributions if you can as this way you're maximizing the reduction in taxable income.
The 403B is like a retirement pension, and the employers pay for half, while the employee pays for half. This is an EXCELLENT way of saving for retirement as the amount you put contribute is deductible off your taxable income for the year and any growth in the 403B fund is NOT taxable until you withdraw it.
This is an excellent way to go as 1) you reduce your current taxable income 2) reduce the taxes you pay now 3) employer helps contribute 4) when you retire, you're taxed at a lower bracket, which is good, so the income you receive will most likely be taxed at the lowest tax bracket.
Retirement plans should be started ASAP, because TIME is what helps you the most. MAX out your contributions if you can as this way you're maximizing the reduction in taxable income.
live4swell
Member
iFORCE said:
Thanks for the info iForce...i work for a school district thats why i have the 403b option in addition to my new york state retirement. I am only 25 yrs old so wanted to maximize my gains as much as I can. I have a list of mutual funds ( i think that is what they are) that I can choose from so I guess I just have to do research on them to find out which is best. Thanks for the help. Some of the choices I have, not sure if you are familiar with them are as folows:
Alliance
Fidelity
T. Rowe Price
Oppenheimer
and others.
So now I just have to figure out which is best and pick the amount of money to invest
iFORCE
New member
The best is to research a little as to what the funds invest in. You don't want a fund that is investing in some foreign corn field. Those names you provided are pretty big companies and since the 403B is a government retirement program, its pretty safe going with any of those.
The earlier you jump on the 401K program the better. I'm not saying do it for your 8 year old kids, but when you get a substantial salary, take advantage of the deductions.
Find out exactly which mutual funds you are able to invest in and do a little research. Find out if your restricted to just mutual funds or if your restricted to specific funds. If you need any more help, feel free to ask me anytime.
The earlier you jump on the 401K program the better. I'm not saying do it for your 8 year old kids, but when you get a substantial salary, take advantage of the deductions.
Find out exactly which mutual funds you are able to invest in and do a little research. Find out if your restricted to just mutual funds or if your restricted to specific funds. If you need any more help, feel free to ask me anytime.
ToyotaDoodz
New member
Schooler said:
Whooooo you call'in an engineer?? That's and 8 letter word where I come from.
live4swell
Member
I just found out that I can contribute up to $12,000 for the year...now my next question is how do I figure out how much I should contribute?
iFORCE
New member
live4swell said:
it is a percentage of your income up to the maximum amount they will let you. Generally speaking, as I don't know your entire story, is to maximize the contribution. This will allow for maximum deduction off income and will allow you to take out the money later when your at a lower income tax bracket.
Even if you don't have the cash, borrow the money as the interest on the borrowed money will be less then the amount you will be saving in taxes.
Once again, this is a general guide and in no way be followed to the exact point. The best bet is still for you to see a taxation specialist, an accountant, or a financial planner where you live.
live4swell
Member
Thanks for all the help iForce...I pretty much posted the question just to get some insight into what I should do and thats what I got so I appreciate it. I also want to talk to a financial planner to finalize everything. Again thanks for the help.
but seriously.... best of luck figuring it all out. 
silver4x419
New member
Can not go wrong if you want to invest some money into property.
live4swell
Member
iForce,
I also found out of another plan, 457b it is similar to 403b...are you familiar with this? If so any ideas which would be better?
I also found out of another plan, 457b it is similar to 403b...are you familiar with this? If so any ideas which would be better?
iFORCE
New member
Difference:
457 - unique benefits
- cannot take out loans against it
- not subject to penalty if you take it out before 59.5
- under certain hardships you can take some out
- owned by the employer and not you
- limited in investment choices
They both are payroll deduction plans and both off the same contribution room, but it just depends on furthur down the road. What happens when you quit? what happens to the plan. those are things you need to find out.
457 - unique benefits
- cannot take out loans against it
- not subject to penalty if you take it out before 59.5
- under certain hardships you can take some out
- owned by the employer and not you
- limited in investment choices
They both are payroll deduction plans and both off the same contribution room, but it just depends on furthur down the road. What happens when you quit? what happens to the plan. those are things you need to find out.
chunderboy
New member
I was a financial advisor, and now am a hedge fund accountant.
A rule of thumb is to take your age, and invest the inverse of that into equities. Reason being, is that you are young enough to make back losses that you may incur, and you can handle a slightly more aggressive approach to investing since you will be working for a long time. And take the remaining portion of what you have to invest and put it into fixed income securities. I.E. bonds t-bills, cd's etc
As far as a 401k contribute as much as you can, with still being able to stay liquid. Liquidity is very important, cuz you never know what they day will bring.
And thirdly, do you have an I.R.A? You should also be contributing to that. It is good b/c it takes post tax dollars, but it grows tax deferred. So, you have more money than you think when you are able to retire at 59.5 years old. That is the age where you can withdraw from your IRA legally w/o penalty. The only way to withdraw before that is for medical expenses (g-d forbid) school and I think for buying a house, but I am not sure.
Any other questions, feel free to ask
A rule of thumb is to take your age, and invest the inverse of that into equities. Reason being, is that you are young enough to make back losses that you may incur, and you can handle a slightly more aggressive approach to investing since you will be working for a long time. And take the remaining portion of what you have to invest and put it into fixed income securities. I.E. bonds t-bills, cd's etc
As far as a 401k contribute as much as you can, with still being able to stay liquid. Liquidity is very important, cuz you never know what they day will bring.
And thirdly, do you have an I.R.A? You should also be contributing to that. It is good b/c it takes post tax dollars, but it grows tax deferred. So, you have more money than you think when you are able to retire at 59.5 years old. That is the age where you can withdraw from your IRA legally w/o penalty. The only way to withdraw before that is for medical expenses (g-d forbid) school and I think for buying a house, but I am not sure.
Any other questions, feel free to ask
