|
So I went down to the local credit union to setup an account in preparation to get an auto loan in about six weeks. The lady said they would do a "soft pull" on my credit to do identity verification etc, and the more we got talking about it the less sure she was that it was a soft pull or a hard pull so I decided to hold off a day and get more info. I'm planning on calling their main office tomorrow to sort out which - but is that normal? My uncle works on the finance side of a credit union elsewhere and he said they don't do that there. I'm probably just overly sensitive about having credit pulls, but if I get my auto loan through the local credit union, they should realize that two of the four credit pulls in the last year were them setting up my account and the auto loan, right?
|
#
?
Jul 22, 2015 00:37
|
|
|
|
| # ? Jun 8, 2024 00:48 |
|
|
I'v finally paid off the last of my student loans. I have absolutely no debt whatsoever. Feels loving awesome. Except for yesterday, when I paid $700 to repair a broken coolant gasket on my car. But it's amazing how much this type of thing turns into an annoyance rather than a downright catastrophe. I'm *annoyed* that I don't have that money. I'm not panicking or losing sleep over it.
|
|
#
?
Jul 22, 2015 00:41
|
|
|
Hadlock posted:So I went down to the local credit union to setup an account in preparation to get an auto loan in about six weeks. The lady said they would do a "soft pull" on my credit to do identity verification etc, and the more we got talking about it the less sure she was that it was a soft pull or a hard pull so I decided to hold off a day and get more info. I'm planning on calling their main office tomorrow to sort out which - but is that normal? My uncle works on the finance side of a credit union elsewhere and he said they don't do that there. Probably will be soft, but may be hard if they want to offer you loans/credit when you sign up. 4 hard pulls is so low there's no point in bothering to worry about it.
|
|
#
?
Jul 22, 2015 03:02
|
|
|
I work for a company that is being acquired by a much larger company. My 4 year stock option plan is being rolled into options of the company that has acquired us. At this point, I am 2 years in, giving me half of my vest; I have not exercised any of my options at this point and am trying to get a handle on the best way to play this. The shares for the acquiring company have dividends which seems enticing but at this point I don't have the money to pay for exercising of a meaningful amount of shares. What do?
|
|
#
?
Jul 22, 2015 03:02
|
|
|
CelestialScribe posted:Except for yesterday, when I paid $700 to repair a broken coolant gasket on my car. But it's amazing how much this type of thing turns into an annoyance rather than a downright catastrophe. Yup, this is a huge huge thing about being out of debt and having some savings built up. Lots of stuff is "minor hassle" instead of "gently caress, now how'm I gonna pay the rent?" Congrats!
|
|
#
?
Jul 22, 2015 03:11
|
|
|
Hadlock posted:So I went down to the local credit union to setup an account in preparation to get an auto loan in about six weeks. The lady said they would do a "soft pull" on my credit to do identity verification etc, and the more we got talking about it the less sure she was that it was a soft pull or a hard pull so I decided to hold off a day and get more info. I'm planning on calling their main office tomorrow to sort out which - but is that normal? My uncle works on the finance side of a credit union elsewhere and he said they don't do that there. *I can't think of a better way to put it than that. Point of the story is that they (or at least mine) don't pull your credit and just write you off because you have X amount of inquiries or what have you.
|
|
#
?
Jul 22, 2015 04:22
|
|
|
nullfox posted:I work for a company that is being acquired by a much larger company. My 4 year stock option plan is being rolled into options of the company that has acquired us. At this point, I am 2 years in, giving me half of my vest; I have not exercised any of my options at this point and am trying to get a handle on the best way to play this. The shares for the acquiring company have dividends which seems enticing but at this point I don't have the money to pay for exercising of a meaningful amount of shares. What do? Not to distract from your question, but the acquisition isn't going to lead to you being phased out because the new company doesn't need two Official Weiner Inspectors now or whatever, right? Anyway, I have a question about credit unions too - right now all my money that's not savings goes into Chase, which is also what all my automatic bill pays, direct-deposits and credit cards are hooked up to. What's the BFC Approved way of switching to a credit union without the risk of loving something up or overlooking something? I was thinking I'd just change my direct deposit first to send something like 35% to the new account until there's a bit of a cushion there, and then switch over the bills and once I'm sure nothing's drawing from the old account that I overlooked pull the money out and move it.
|
|
#
?
Jul 22, 2015 04:55
|
|
|
nullfox posted:I work for a company that is being acquired by a much larger company. My 4 year stock option plan is being rolled into options of the company that has acquired us. At this point, I am 2 years in, giving me half of my vest; I have not exercised any of my options at this point and am trying to get a handle on the best way to play this. The shares for the acquiring company have dividends which seems enticing but at this point I don't have the money to pay for exercising of a meaningful amount of shares. What do? If the options are being converted into options on the new company's stock, why do you need to do anything?
|
|
#
?
Jul 22, 2015 05:26
|
|
|
Parallel Paraplegic posted:Not to distract from your question, but the acquisition isn't going to lead to you being phased out because the new company doesn't need two Official Weiner Inspectors now or whatever, right?
|
|
#
?
Jul 22, 2015 07:43
|
|
|
Parallel Paraplegic posted:Not to distract from your question, but the acquisition isn't going to lead to you being phased out because the new company doesn't need two Official Weiner Inspectors now or whatever, right? I dealt with this situation in reverse when I moved to a new state. All I had was my old mom-and-pop credit union with an account, routing number, and debit card number saved on a lot of things. I wanted a local bank, so I pulled everything except $500 from the credit union account and opened a new account, and set my direct deposits to go to the credit union. After each direct deposit hit, I transferred everything except $500 from the old account to the new one, and would check for any recurring transactions and such that had hit the old account. After a few months, I was okay with setting my direct deposits to the new bank account, and repurposed the old account as a vacation debit card.
|
|
#
?
Jul 22, 2015 13:10
|
|
|
Knyteguy posted:So there's two popular debt repayment schemes, 1) Avalanche where you pay off your highest interest debt first, and 2) Snowball where you pay off your smallest debts first. Why not pay off the debt that is costing you the most money every month first? If you have 75% APR on a $1 debt, who cares about that if you're bleeding $200/mo on a 10% car loan? I used a index of closing amount versus monthly payments to prioritize, actually. So a shorter term loan of lower interest prioritized higher than a longer higher interest one because I could recapitalize the additional cash flow into future loans. My math showed that all three methods more or less ended up within one month of each other to reach debt free, but the upside of improved cash flow protects me a bit more and improves my DTI faster if we decide to buy a house.
|
|
#
?
Jul 22, 2015 18:39
|
|
|
SiGmA_X posted:I'd pull a month of bills from savings, put it into the new account, and change everything over. I've done this before and due to monetary tracking, I knew I didn't miss anything ahead of time. If I didn't have the savings to cushion it, I would do exactly as you described doing though. I mean I know about 99% of my bills but I'm just nervous that I'll either overlook something or randomly next week is the day that something auto-renews after having paid for 4 years of it in advance back in 2011 and forgetting it  Anyway thanks for the feedback from you and Pittsburgh Lambic, I really just wanted to make sure I wasn't ignoring something glaringly obvious or setting myself up to get screwed 
|
|
#
?
Jul 22, 2015 23:09
|
|
|
moana posted:Utterly misguided - study after study has shown that active management is almost always worse than passive index investing that you can set up on your own with less than an hour's time of work each year. Don't do it! Going back to this (the original question was essentially are financial advisors worth the money) is the preferred alternative to just go the lazy portfolio/three-fund portfolio route with Vanguard? Then spend an hour every so often rebalancing? Basically, I have like $30k I can invest and everything I'm reading basically leads me to believe the lazy portfolio route is my best option if I a) don't want to actively manage the investments myself and b) don't want to pay someone else to do it either. Is this the general philosophy or should I be reading something else?
|
|
#
?
Jul 22, 2015 23:36
|
|
|
Parallel Paraplegic posted:I mean I know about 99% of my bills but I'm just nervous that I'll either overlook something or randomly next week is the day that something auto-renews after having paid for 4 years of it in advance back in 2011 and forgetting it Detail I forgot to mention: Make sure they don't hit you for new service charges once your balance drops below a threshold.
|
|
#
?
Jul 23, 2015 00:21
|
|
|
Shrimpy posted:Going back to this (the original question was essentially are financial advisors worth the money) is the preferred alternative to just go the lazy portfolio/three-fund portfolio route with Vanguard? Then spend an hour every so often rebalancing? Have you looked into putting it into an IRA or anything?
|
|
#
?
Jul 23, 2015 00:53
|
|
|
Cicero posted:Yeah that's a perfectly fine strategy. Heck just dumping everything into a Vanguard Target Retirement fund and forgetting it exists puts you ahead of most people. I was negligent and only contributed to my Roth IRA once (currently 30, going on 31), and I'm pretty sure I'm currently ineligible to add any more due to earnings exceeding $131k and not being married. It's my understanding that I'll be able to do a backdoor IRA though, so I'll likely begin doing that as well. Right now I'm contributing up to match on my 401k, but that doesn't max out contributions. I'll most likely take the Roth and convert that to a Target Retirement since right now it's just sitting in an Edward Jones account I set up with a friend during his brief foray into financial advising.
|
|
#
?
Jul 23, 2015 01:11
|
|
|
Pittsburgh Lambic posted:Detail I forgot to mention: Make sure they don't hit you for new service charges once your balance drops below a threshold. Many of the Big Banks do, hence close the accounts ASAP!
|
|
#
?
Jul 23, 2015 01:16
|
|
|
Shrimpy posted:I was negligent and only contributed to my Roth IRA once (currently 30, going on 31), and I'm pretty sure I'm currently ineligible to add any more due to earnings exceeding $131k and not being married. It's my understanding that I'll be able to do a backdoor IRA though, so I'll likely begin doing that as well. Right now I'm contributing up to match on my 401k, but that doesn't max out contributions.
|
|
#
?
Jul 23, 2015 02:09
|
|
|
SiGmA_X posted:Many of the Big Banks do, hence close the accounts ASAP! It's just something to watch out for when you're moving around money or adjusting your direct deposit arrangements. It's irritating to suddenly see a $12 or $25 monthly service charge because the fee waiver you forgot about went away when your monthly direct deposits to the account went below $500 or the balance went below $5000 or whatever Chase's deal is nowadays. Long as you know what the terms for getting a fee waiver are, they can be planned for.
|
|
#
?
Jul 23, 2015 13:10
|
|
|
I've been doing some "contract" work for a local doctor's office for extra income. Contract is in quotes because there's no actual contract, he just mails me a check a few days after I show up and sometimes just pays me in cash. It was originally just supposed to be me helping him for three days total so I didn't think much of it at the time, but he's been asking me to come down on a regular basis now. I've recently come to the realization that I could be in serious tax trouble later on since I haven't paid any taxes on any of this. Is this kind of thing something I could just put down as income on next year's tax returns and just paying whatever I owe on it then? Or am I going to get hit with some kind of gigantic penalty for not having anything withheld?
|
|
#
?
Jul 24, 2015 14:56
|
|
|
I mean, if it's all under the table, you'll only get hosed if the IRS notices and you get audited. ...yes you should declare it. Might want to ask in the income tax thread though! http://forums.somethingawful.com/showthread.php?threadid=3394641
|
|
#
?
Jul 24, 2015 15:10
|
|
|
Xequecal posted:I've been doing some "contract" work for a local doctor's office for extra income. Contract is in quotes because there's no actual contract, he just mails me a check a few days after I show up and sometimes just pays me in cash. It was originally just supposed to be me helping him for three days total so I didn't think much of it at the time, but he's been asking me to come down on a regular basis now. I've recently come to the realization that I could be in serious tax trouble later on since I haven't paid any taxes on any of this. If it's just been within this year you won't get penalized. You don't have to have money withheld if you're a contractor, but you will owe all the money that would have otherwise been withheld when you file your taxes, all at once. My boyfriend worked as a contractor for a year and all he had to do was file a form (1099 EZ I think?) that showed how much he made, then pay an obscene amount of money all at once since nothing had been withheld.
|
|
#
?
Jul 24, 2015 22:33
|
|
|
Parallel Paraplegic posted:then pay an obscene amount of money all at once since nothing had been withheld. If only this was the case with regular old hourly employee status. 
|
|
#
?
Jul 25, 2015 00:37
|
|
|
Moneyball posted:If only this was the case with regular old hourly employee status. Literally 95% of people would not save enough money for taxes. It would be an incredible disaster
|
|
#
?
Jul 25, 2015 02:54
|
|
|
I'm having some trouble deciding between two job offers and weighing the relative value of them, wondering if anyone had any opinions. Offer 1: Cash Offer 2: Base salary plus bonus within 10/15k of offer one. Plus an outright stock grant on the one year date of my employment worth ~50% of my salary. Plus 3500 options shares. Haven't worked out vesting schedule or strike price. Is it immature to just prefer taking home more cash each month?
|
|
#
?
Jul 25, 2015 13:48
|
|
|
That's really not enough information to go off of...10-15k is a big difference if you're making 50k. Not so much if you're making 200k. Does one require relocation, does the other not? Are they both in the same town? Is commute time the same? Are working hours/responsibility the same? No, I don't think straight up cash compensation is immature. There are a lot of variables that could erase those more intangible perks...
|
|
#
?
Jul 25, 2015 14:14
|
|
|
Some perspective: as someone who only makes 25k, an extra 10-15k a year would literally change my life completely. I feel I'd rather have more upfront cash I can either save or invest in any way I want than the promise of eventually someday getting an investment in one company and hope I work there long enough for it to matter.
|
|
#
?
Jul 25, 2015 15:38
|
|
|
Is the stock being offered at a real, established company, or are you getting startup lottery tickets?
|
|
#
?
Jul 25, 2015 17:39
|
|
|
Dead Pressed posted:That's really not enough information to go off of...10-15k is a big difference if you're making 50k. Not so much if you're making 200k. Does one require relocation, does the other not? Are they both in the same town? Is commute time the same? Are working hours/responsibility the same? Right-- sorry. Salary is at the high 100s to low 200s range. No relocation, as they're both located in the same place I live now. Commute same, working hours same. Stock is in an established company, currently trading on the NASDAQ.
|
|
#
?
Jul 25, 2015 18:37
|
|
|
How could you even consider giving up 100k in stock grants plus options because you want an extra $1000 per month in salary? I really hope these jobs are wall street analyst positions.
|
|
#
?
Jul 25, 2015 18:52
|
|
|
Droo posted:How could you even consider giving up 100k in stock grants plus options because you want an extra $1000 per month in salary? The only way I can see that make sense is because I think people are not seeing some of the possible details of what he said: Koppite posted:Base salary plus bonus within 10/15k of offer one. Plus an outright stock grant on the one year date of my employment worth ~50% of my salary. Plus 3500 options shares. If it's a big honking 50% bonus at the end of the year, and let's suppose Offer 1 is $200k salary while Offer 2 is $185k salary + bonus, Offer 2's salary is only 123k. This math makes the stock grant only worth around $61k, basically a double bonus the first year. Additionally, the bonus may be variable, and at the very least, it's almost certainly contingent on his continued employment. Also, Options are another matter, 3500 options could be worth anywhere from $15k to hundred of thousands, but requires liquid capital to exploit. Finally, deferred benefits such as bonuses, stock grants, and options, are worth less than money today due to time value of money. More details are needed, but despite everything I just said, it's likely that the bonus + stock + options company is financially a better choice.
|
|
#
?
Jul 26, 2015 16:22
|
|
|
Hi newbie thread, just looking for a sanity check: I started a new job last month so just going through all of the pension setup Me: 28, single, no dependents, London UK based, on a push to clear all credit card debt by end of year (just over £1k to go on a 0% interest balance transfer until Feb 2016 so not accruing interest). Student loan is being repaid under the UK's pre topup fees scheme of 9% of earnings over £17,335 (about £6.5k to go) Current pension status: About £11k sitting in a dormant fund when I did 2 years under a university superannuation scheme - I'm keeping this open in case I ever go back to a scheme participant later in my career as it's final salary and inevitably will be closed to new joiners in a few years £25k in my last job's pension scheme which I'm not sure about rolling into my new one. This new pension: 3% min employee contribution (I've pushed this to 6% already as it's what I'm used to for my old job's pension), 5.5% initial employer match which gets bumped up every 10 years (7% when I'm 30, 9% at 40, 11.5% at 50, 13.5% at 60) so my plan is to bump my contribution to 10% when I clear the credit cards and then I don't have to worry about it for 20 years. In terms of funds I've currently gone with the following (fund summary here for those interested): 30% Over 15 Year Gilt Index [Fund Management Charge 0.08%] 30% UK Equity Index Fund [FMC 0.10%] 30% World (Ex-UK) Equity Index Fund [FMC 0.12%] 10% Asia Pacific (Ex-Japan) Equity Index Fund [FMC 0.14%] The Asia Pacific fund I know is a bit of a gamble but I don't want to be completely risk averse whilst I have no spouse or house and is still an index fund with 4% Samsung and 29% Australian based stocks. I've done a fair bit of work over the last month or so going through this thread and the IF booklet in the OP, only questions I have are:
|
|
#
?
Jul 26, 2015 19:22
|
|
|
baquerd posted:The only way I can see that make sense is because I think people are not seeing some of the possible details of what he said: Also account moderately for risk. If option one was incumbent, for instance, the bonuses in option two are contingent on still being employed at bonus time. If you're concerned more about fit at the bonus option, discount it a bit more. I've had to do this in the past with an amazing offer because I knew my current job was secure for a year but my alternative could have dumped me in a week, so a huge portion of of higher salary coming in a bonus a year or more from hire had to be discounted. E: the actual logic I used to discount was to treat it as a higher risk, and thus a higher required emergency fund, and I factored in the losses in opportunity cost from money withheld from investing or debt payments.
|
|
#
?
Jul 27, 2015 15:21
|
|
|
The recent thread on combining finances was interesting to me because my wife and I are currently figuring out how to do this as well. I don't want to hijack that thread, but do you all think there'd be enough interest in BFC to see a thread that lays out the actual steps some of the more financially astute BFC goons do with their finances each month? I mean like a step by step, paycheck to how all the money goes in to this or that account, auto-transfers, etc? Something like that would be really useful for me, because we get kind of overwhelmed with all the different accounts/budgets etc. I can start a thread if there's enough interest, it might be really helpful for those of us starting out in marriages or finances in general.
|
|
#
?
Jul 28, 2015 15:57
|
|
|
I'm about to inherit a large sum of money and I'm looking for advice, would this be the thread to ask for it?
|
|
#
?
Jul 29, 2015 16:26
|
|
|
Post your own thread and let the finance goons do a Let's Play with your financial well being. I'm sure most of us have fantasized about what to do with a large windfall and will give you a lot of great ideas and jealous bitching. Crowd source the best decisions to make.
|
|
#
?
Jul 29, 2015 16:33
|
|
|
Mocking Bird posted:Post your own thread and let the finance goons do a Let's Play with your financial well being. I'm sure most of us have fantasized about what to do with a large windfall and will give you a lot of great ideas and jealous bitching. Crowd source the best decisions to make. This, but failing that a combination of this thread and Long Term Investing. Depending on what "a large sum" is, you'll want to invest a large portion of it well in a way that will make you a lot of money and not make a financial planner a lot of money.
|
|
#
?
Jul 29, 2015 16:46
|
|
|
Mocking Bird posted:Post your own thread and let the finance goons do a Let's Play with your financial well being. I'm sure most of us have fantasized about what to do with a large windfall and will give you a lot of great ideas and jealous bitching. Crowd source the best decisions to make. Nail Rat posted:This, but failing that a combination of this thread and Long Term Investing. Depending on what "a large sum" is, you'll want to invest a large portion of it well in a way that will make you a lot of money and not make a financial planner a lot of money. Thanks, made my own thread.
|
|
#
?
Jul 29, 2015 16:58
|
|
|
RisqueBarber posted:I'm about to inherit a large sum of money and I'm looking for advice, would this be the thread to ask for it? Sure. The basics for a windfall are pretty simple. Set aside some small amount of it (1-3%) as blow money. Use it to buy yourself something nice that doesn't need much upkeep. Go on a vacation, buy a nice piece of furniture, whatever (as long as you can buy it in cash). Somebody who cared about you left you a nice gift. Recognize that, spend a little of the money on something to remember them by, and put the rest in a separate account you won't be tempted to spend from. After that, pay down any high interest revolving debt you've got. Credit cards, etc. If you don't have an emergency fund, make one. Next, put as much as possible into tax-advantaged spaces. Max out your Roth IRA for the year. If you've got a 401(k) or similar plan, max out your contribution and use the windfall to backfill your income. If you have an HSA, top that off, too. Finally, it's time to start thinking outside of tax shelters. This is where things get more complicated. In general: pay down debt, invest in Vanguard index funds that match your risk tolerance, be skeptical of investment advisors, and any "sure fire" exotic investment with a large minimum offers worse odds than Vegas. (Note that this is all geared to someone who's not getting enough money to immediately put them into early retirement. If you just received an inheritance that's 20-25 times your annual income, the strategy looks a bit different)
|
|
#
?
Jul 29, 2015 17:00
|
|
|
|
| # ? Jun 8, 2024 00:48 |
|
|
Does anyone else starting off ever feel overwhelmed about retirement savings? I've been looking for milestones about how much I should save per year to make sure I'm on track to retire in my 60s, especially since I'm living at home and can afford to save aggressively. I feel like I've heard conflicting things. - My parents say I should have $750k-$1m saved by the time I retire. - Milestones suggested by Fidelity based on your salary: .5x your salary by age 30 $21250 (I'm 27 and I have $27k in my 401k, so I've hit this milestone already. I also have $5400 in my roth but I try to avoid counting that in case I withdraw from it for a house when I'm older) 1x your salary by age 35 $42500 2x your salary by age 40 $83000 3x your salary by age 45 $127500 4x your salary by age 50 $170000 I've been using these milestones as a guide, but aren't you supposed to have at least $300k in your 401k in your 50s so you can start earning compound interest and hitting really big numbers? I earn about $42,500 a year so I use that salary as my benchmark, but maybe I need to save more aggressively so I can make sure I don't get to that age and have too little. I was reading an article that looked at different people in various stages of retirement planning, and it suggested that a 45-year old who wants to live on $50k per year have $219k saved for retirement--that is way more than my Fidelity milestones! Maybe I feel overwhelmed because I know at least two older people who are completely broke. One of them is losing her house, has cancer, is still working in her 70s, told my mother she has to change doctors every few months because they eventually stop treating her because she can't afford to pay, and last I heard she is declining treatment for her cancer because she feels so depressed. legsarerequired fucked around with this message at 17:34 on Jul 29, 2015 |
|
#
?
Jul 29, 2015 17:31
|
|