I am 26 and I already have a plan to leave the "game" early and do my own thing. I might be young but I know my stuff. I can carry on a great conversation on anything related to business/investing/retirement strategies!! Hopefully we can learn from each other. 8)
I'm only 26 but I think I will fit right in
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wildcat
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I just read through some other posts so I suppose I will include a few details. I have about $40,000 in retirement accounts and I am currently finishing up an MBA (please don't give me a hard time about that). I can't wait to get out!!
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wildcat
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Zipper -
Your response was full of wisdom and sage advice. What the heck am I doing? Being financially responsible? How stupid of me. I think people can be financially responsible and still have fun or "get your rocks off" at any age. Thanks for the response I guess.
Your response was full of wisdom and sage advice. What the heck am I doing? Being financially responsible? How stupid of me. I think people can be financially responsible and still have fun or "get your rocks off" at any age. Thanks for the response I guess.
yakers
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IMHO Zippers comments were OK but one sided. It is great to have an awareness of saving at a young age. What I would suggest is to set up a system for saving and investing but make sure to leave something for living as well. Just let time work for you "in the background" and focus most on living life.
The money you save today will enable you to just keep living life later on without becoming a WalMart greater later in life.
In any case, welcome. And it may be interesting to see what we can learn as well as what we can teach.
The money you save today will enable you to just keep living life later on without becoming a WalMart greater later in life.
In any case, welcome. And it may be interesting to see what we can learn as well as what we can teach.
J
JOhn Galt
Guest
Hello Wildcat. I think you are doing well also.
Anyway, when I was 26, we bought our first house ($23,500). That was in 1970.
I needed a 10% downpayment and practically had to take the seats out of the car to search for loose change.
Ended up selling my wife's piano to get enough to close.
But, we never thought we were "strapped" and continued to "earn and spend" (I earned, she spent)
for the next 20+ years until the ER bug bit me.
I did it with smoke, mirrors and financial voodoo. Your
approach is much better.
JG
Anyway, when I was 26, we bought our first house ($23,500). That was in 1970.
I needed a 10% downpayment and practically had to take the seats out of the car to search for loose change.
Ended up selling my wife's piano to get enough to close.
But, we never thought we were "strapped" and continued to "earn and spend" (I earned, she spent)
for the next 20+ years until the ER bug bit me.
I did it with smoke, mirrors and financial voodoo. Your
approach is much better.
JG
Dawg52
Give me a museum and I'll fill it. (Picasso) Give me a forum ...
Biggest mistake I made in my 20's and 30's was trading in for a new car every 4-5 years. A used one will do nicely. My advice, always buy a 2 year old car or older and let someone else take the hit on depreciation. I hate to think how much more I would have in savings if I had followed that plan. 
Welcome to the board!
Welcome to the board!
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wildcat
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Dog50-
I totally agree with you on the vehicle concept. My view on vehicles = buy a quality used vehicle that will last 8-10 yrs or at least 150K. I live and die by that rule when the time comes to look for a vehicle.
I totally agree with you on the vehicle concept. My view on vehicles = buy a quality used vehicle that will last 8-10 yrs or at least 150K. I live and die by that rule when the time comes to look for a vehicle.
Hi wildcat,
Wow! Someone with real earnings potential!! (both I and my husband have public sector jobs) Have you read Your Money or Your Life? You can find it at your local library (maybe even in the B-school library!)
One of the authors worked on Wall Street and saved a small fortune, and retired to his second life (author, non-profit work) when he was just 30 or 31. If you land a job in NYC or other expensive urban area after graduation, if I were you I'd find a shared apartment/ condo and live like a student for 5-6 more years and save like a demon. Ok, take some of the savings and treat yourself to annual vacations climbing mountains in Nepal or snorkeling in Mexico=- live a little along the way with budget adventure travel.
Unless, that is, you fall in love with corporate finance work and want to spend 30 years working for the Man. If I were in your shoes, I'd pocket my big salary and run with it in as short a time as possible. I can think of much better things to do than wear a suit every day and slave for 10-12 hours to keep up with the other MBAs.
Good luck and keep us posted when you get a job!
Janie
Wow! Someone with real earnings potential!! (both I and my husband have public sector jobs) Have you read Your Money or Your Life? You can find it at your local library (maybe even in the B-school library!)
One of the authors worked on Wall Street and saved a small fortune, and retired to his second life (author, non-profit work) when he was just 30 or 31. If you land a job in NYC or other expensive urban area after graduation, if I were you I'd find a shared apartment/ condo and live like a student for 5-6 more years and save like a demon. Ok, take some of the savings and treat yourself to annual vacations climbing mountains in Nepal or snorkeling in Mexico=- live a little along the way with budget adventure travel.
Unless, that is, you fall in love with corporate finance work and want to spend 30 years working for the Man. If I were in your shoes, I'd pocket my big salary and run with it in as short a time as possible. I can think of much better things to do than wear a suit every day and slave for 10-12 hours to keep up with the other MBAs.
Good luck and keep us posted when you get a job!
Janie
Berkshire_Bull
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Wildcat, you'll enjoy this place. I'm 21 and I may be the youngest on here that participates. Anyway, it's good to have discussions with other folks in the same boat as myself. How difficult is the work for your MBA. I'll graduate in a year and plan to enter the workforce, but I'd love to get an MBA one day. Are you doing nightschool, or are you going full time?
Wildcat --
Welcome to the Board. You have already found out that some posters got F's in "Plays Well With Others" in kindergarten. Don't let that bother you. Most of the gruff guys here mean well. I think. Anyway, I am looking forward to your contributions. Curious to know what is happening in B Schools these days. Also curious
to hear what young people are thinking about SS reform and private accounts. You for it or agin it? Be prepared for the wrath of the spunky knowing ones to descend upon you if you care to share your thoughts on that. But please don't let that stop you from participating.
Donner
Welcome to the Board. You have already found out that some posters got F's in "Plays Well With Others" in kindergarten. Don't let that bother you. Most of the gruff guys here mean well. I think. Anyway, I am looking forward to your contributions. Curious to know what is happening in B Schools these days. Also curious
to hear what young people are thinking about SS reform and private accounts. You for it or agin it? Be prepared for the wrath of the spunky knowing ones to descend upon you if you care to share your thoughts on that. But please don't let that stop you from participating.
Donner
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wildcat
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Berkshire Bull (as in Berkshire Hathaway?),
If the great Warren Buffet has anything to do with your name I will offer a quick story. I attended the Berkshire annual a couple of years back and even got to shake hands with the 2nd richest man in the world. I recommend going at some point.
I would certainly recommend working a few years before going back to school. I amazed at the subtle differences between the "experienced" applicants and the "no experience" applicants. The "no experience" crowd does not really get the payback either. MBA school is the grind and do no go unless you really want to devote a couple of years to education. Graduate school is not fun.
I am doing the full-time program and here is how I would look at the PT/FT option. If you have a great job with a great company, go part-time. By doing the PT, you should be happy with what is in front of you and just want the advanced degree to move you up the ladder. If you want to totally change careers or if you are unhappy with where you are in your career, go full-time. However, I do believe the students that go full-time have a better chance of finishing the degree than the part-time students. I have seen people get married, have kids, etc. and the degree doesn't mean as much to them anymore.
I am no expert on the matter but I did stay at a Holiday Express last night. Bad attempt to be funny.
If the great Warren Buffet has anything to do with your name I will offer a quick story. I attended the Berkshire annual a couple of years back and even got to shake hands with the 2nd richest man in the world. I recommend going at some point.
I would certainly recommend working a few years before going back to school. I amazed at the subtle differences between the "experienced" applicants and the "no experience" applicants. The "no experience" crowd does not really get the payback either. MBA school is the grind and do no go unless you really want to devote a couple of years to education. Graduate school is not fun.
I am doing the full-time program and here is how I would look at the PT/FT option. If you have a great job with a great company, go part-time. By doing the PT, you should be happy with what is in front of you and just want the advanced degree to move you up the ladder. If you want to totally change careers or if you are unhappy with where you are in your career, go full-time. However, I do believe the students that go full-time have a better chance of finishing the degree than the part-time students. I have seen people get married, have kids, etc. and the degree doesn't mean as much to them anymore.
I am no expert on the matter but I did stay at a Holiday Express last night. Bad attempt to be funny.
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wildcat
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Donner -
I was pretty sure I had the correct website before I posted my info but to my surprise I had a person suggest otherwise. I was pretty sure that this was the ER page and not the RR (regular retirement) page. I have thick skin so the comments don't bother me.
Anyway, SS we go!! Here is my view and this is just a view from a young person's perspective. I do not like politics when nothing is ever accomplished. I always believe there is a "middle" so to speak. Dems do not want SS reform and Rep do want SS reform. So why not let the people decide what they want to do with their SS allocation? I, personally, think SS is very flawed for a few reasons: 1) the SS benefits go to everyone despite the wealth of a person (I know people are pissed off b/c they put so much in and feel entitled to the money but come on) 2) the demographics they use to determine benefits are off and 3) SS should have been planned and updated throughout the years accordingly. I know about finance so I would not mind investing some of the money in the market b/c of the time horizon. The people that do not want to invest their SS in the market, fine too. Our choice though!! I just hope SS inflows match the outflows for the people that are in need of the money. I don't know if SS is going to be there for me but oh well I will plan accordingly.
However, just one problem with the proposed SS idea. Bush has spent so much money on foreign policy he has neglected domestic issues. The SS reform would cost a lot more money. We can only borrow so much.
Funny idea to consider: SS was never meant to be the sole means of retirement for people when the program was first set up by LBJ or I think it was LBJ.
I was pretty sure I had the correct website before I posted my info but to my surprise I had a person suggest otherwise. I was pretty sure that this was the ER page and not the RR (regular retirement) page. I have thick skin so the comments don't bother me.
Anyway, SS we go!! Here is my view and this is just a view from a young person's perspective. I do not like politics when nothing is ever accomplished. I always believe there is a "middle" so to speak. Dems do not want SS reform and Rep do want SS reform. So why not let the people decide what they want to do with their SS allocation? I, personally, think SS is very flawed for a few reasons: 1) the SS benefits go to everyone despite the wealth of a person (I know people are pissed off b/c they put so much in and feel entitled to the money but come on) 2) the demographics they use to determine benefits are off and 3) SS should have been planned and updated throughout the years accordingly. I know about finance so I would not mind investing some of the money in the market b/c of the time horizon. The people that do not want to invest their SS in the market, fine too. Our choice though!! I just hope SS inflows match the outflows for the people that are in need of the money. I don't know if SS is going to be there for me but oh well I will plan accordingly.
However, just one problem with the proposed SS idea. Bush has spent so much money on foreign policy he has neglected domestic issues. The SS reform would cost a lot more money. We can only borrow so much.
Funny idea to consider: SS was never meant to be the sole means of retirement for people when the program was first set up by LBJ or I think it was LBJ.
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wildcat
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Donner -
One more "middle" ground idea. Let's assume the government gave people a choice on SS. The cost is an issue right? Why don't we let the people that want to invest a portion of the money in the market help fit the bill (assuming the bill was reasonable for the average person)? I think the "pay your own way" change in policy could at least help out with some of the costs to where the goverment would not have to borrow the entire amount. Your thoughts?
One more "middle" ground idea. Let's assume the government gave people a choice on SS. The cost is an issue right? Why don't we let the people that want to invest a portion of the money in the market help fit the bill (assuming the bill was reasonable for the average person)? I think the "pay your own way" change in policy could at least help out with some of the costs to where the goverment would not have to borrow the entire amount. Your thoughts?
Wildcat--
Well, I'm glad to see that your willing to give private or personal accounts a chance. I think for people at your stage they make a lot of sense. You have roughly 40 years to ride the roller coaster of market volatility. For folks at the other end of the process private accounts are far less of a good idea.
The personal account proposal does nothing to address the problem of too many boomers living longer and not enough workers to keep up the pay as yopu go
system. The answer to that is as plain as the nose on your face -- some combination of higher taxes and lower benefits. Tough but inevitable. Some way to protect the most vulnerable will have to be worked out.
Donner
Well, I'm glad to see that your willing to give private or personal accounts a chance. I think for people at your stage they make a lot of sense. You have roughly 40 years to ride the roller coaster of market volatility. For folks at the other end of the process private accounts are far less of a good idea.
The personal account proposal does nothing to address the problem of too many boomers living longer and not enough workers to keep up the pay as yopu go
system. The answer to that is as plain as the nose on your face -- some combination of higher taxes and lower benefits. Tough but inevitable. Some way to protect the most vulnerable will have to be worked out.
Donner
cute fuzzy bunny
Give me a museum and I'll fill it. (Picasso) Give me a forum ...
Ah BLOW ME!
(Havent gotten one of those off in a while)
Welcome Wildcat...good luck and I hope the holliday inn gave you the customary headgear you will need on this forum.
REWahoo
Give me a museum and I'll fill it. (Picasso) Give
Wildcat, it was FDR in the 30's who got SS started, not LBJ in the 60's. LBJ was responsible for the War on Poverty and a little skirmish in SE Asia you may have heard about. :-/
REW
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wildcat
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Donner -
Interesting point we discussed in a Risk Management course, i.e. Insurance. I don't recall the specifics of who and where but one of the topics had to do with SS for women. The basic idea was that women live X number of years more than men and therefore should either have to pay more in or take less out. The insurance industry labels every applicant with a profile. Why doesn't SS do the same thing?
I do agree with you on the taxes to fund the SS. Realistically, how can Bush fund all the programs he is pushing and still cut taxes? Your personal view of taxes doesn't matter. Most sensible people would agree that you can't do both.
I am game if Bush does offer the private SS but again I going through life like SS will no longer exist.
Interesting point we discussed in a Risk Management course, i.e. Insurance. I don't recall the specifics of who and where but one of the topics had to do with SS for women. The basic idea was that women live X number of years more than men and therefore should either have to pay more in or take less out. The insurance industry labels every applicant with a profile. Why doesn't SS do the same thing?
I do agree with you on the taxes to fund the SS. Realistically, how can Bush fund all the programs he is pushing and still cut taxes? Your personal view of taxes doesn't matter. Most sensible people would agree that you can't do both.
I am game if Bush does offer the private SS but again I going through life like SS will no longer exist.
brewer12345
Give me a museum and I'll fill it. (Picasso) Give me a forum ...
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Welcome, wildcat. Just make sure your skin is thin enough, and you'll do fine here.
I finished a PT MBA about a year and a half ago. I would say that pursuing a PT degree is also applicable to those who want to switch fields, etc.
I got a lot more out of my program than many of the FT students in part because I actually got to apply what I was learning plus I graduated with more years of experience than they did (and a LOT less debt). Since I grauated as the economy was still in the dumper, coming out with a job and without a crushing pile of debt was a humongous advantage. No offense intended, but I found many of the FTers to be painfully clueless about the real world at times.
Your comment about having a tough time completing a PT degree is right on the money. I finished in a little over 2.5 years, but it nearly killed me, since I was working full time the whole way. It was very stimulating, but quite exhausting. I saw several classmates either stop taking classes for a while or completely break it off. One had a kid and took a year off. Another was half way through and had to stop because work got too crazy (don't know if he ever finished). Yet another took a year off and went to India, having converted to some strain of Buddhism (don't know if she made back, either). PT is not for the faint of heart. However, if you pull it off, the returns on invested money and effort are excellent.
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wildcat
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I agree to what you said about the FT. I was making the statement about the FT students assuming the FT students had prior work experience. The fresh from undergrad students are clueless and do not have much to contribute to the experience in my opinion. The only reason I mentioned the FT programs for those that want to switch careers was based on the access to recruiters that come to campus. I think the PT students get the raw end of the deal on the campus recruiters and do not get the opportunity to participate in many of the events, some of which might guarantee access to a desirable career. Any face time with an employer is extremely valuable and I just think the PT's don't get as much if any.
brewer12345
Give me a museum and I'll fill it. (Picasso) Give me a forum ...
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Hopefully this doesn't come off as snotty, but...
I found even the FTers with some experience to be pretty painfully clueless. I also didn't feel disadvantaged in any way by not talking to the on-campus recruiters, because most of the jobs were beneath me (too entry level).
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