Accountant wrote:
Without knowing his tax bracket or whether or not he gets W2 or 1099 income, your reply makes no sense.
^^^ This guy can save you some serious money. He save me $6,600 on my taxes last year (my marginal rate is 33%). All I had to do was take out a $500k loan at 4% on my paid-for house.
Not so fast bro wrote:
Congrats, but in today's economy, I'd rather be putting money away than paying down debt with low interest. What rate did you have?
Look, I've averaged 17% return the last few years on my investments, and that's compounding interest. Yes, I have a mortgage at around 4% (simple interest) that I could have been paying off....but I am much further ahead.
Not saying one way is right or wrong. If the market performance was terrible, I'd be paying down the debt, which is basically like paying myself 4%....but doing so much better than 4% right now by investing.
Can you tell us exactly when you're going to move out of those 17% returning investments?
Hey bro wrote:
Not so fast bro wrote:
Congrats, but in today's economy, I'd rather be putting money away than paying down debt with low interest. What rate did you have?
Look, I've averaged 17% return the last few years on my investments, and that's compounding interest. Yes, I have a mortgage at around 4% (simple interest) that I could have been paying off....but I am much further ahead.
Not saying one way is right or wrong. If the market performance was terrible, I'd be paying down the debt, which is basically like paying myself 4%....but doing so much better than 4% right now by investing.
Can you tell us exactly when you're going to move out of those 17% returning investments?
I should probably do it any day now. Before the election. for sure.
Right after college I had some money saved and no debts and invested in the stock of a company called Amazon. You may have heard or it. There are a few other gems in my portfolio but that has been my most profitable. I own a house and a condo in one of America's most expensive real estate markets.
And I'm younger than you.
And I've qualified for the OT in Marathon.
I can retire whenever I want.
Do you feel like sh!t yet?
reed and write wrote:
Debt Free, Baby wrote:
For years, we have paid extra on a 15-year note, and we got a little lucky selling one house. Now, at 38, we are 100% debt free. House, car, student loans = PAID. (House isn't huge, btw: 2600ish sqft. But it is OURS.)
Needless to say, I am pumped. Help bring me back down to earth.
Congrats.
how much did your house cost originally?
We paid $180ish. One of the smallest houses in a nice hood. Paying taxes on a $225k appraisal, lol. Whatevs.
captain buzzkill wrote:
Right after college I had some money saved and no debts and invested in the stock of a company called Amazon. You may have heard or it. There are a few other gems in my portfolio but that has been my most profitable. I own a house and a condo in one of America's most expensive real estate markets.
And I'm younger than you.
And I've qualified for the OT in Marathon.
I can retire whenever I want.
Do you feel like sh!t yet?
A little, yeah...
Terrible financial decision. Debt is cheap. What was your mortgage, 4%? You could have been using that extra cash you were throwing at your mortgage to invest in new properties, Amazon stock, or just about anything right now, which is paying well over 4% returns.
Read Rich Dad Poor Dad and like 5 other Kiyosaki books stat.
Mortgage is for lazy Americans. Us Asian buy in cash.
Kiyosaki wrote:
Terrible financial decision. Debt is cheap. What was your mortgage, 4%? You could have been using that extra cash you were throwing at your mortgage to invest in new properties, Amazon stock, or just about anything right now, which is paying well over 4% returns.
Read Rich Dad Poor Dad and like 5 other Kiyosaki books stat.
or maybe he's just fine with his life the way it is and is reducing the variability. Now's not exactly a lock solid safe time to be buying stocks.
yeah it's not the sexiest option but he can stash the money he would be paying into the mortgage and invest when the market drops 30% in the next couple of years.
In theory he could have just saved the cash he paid off the house with and do the same thing on larger scale, but the reality is people who are sitting on a large chunk of cash usually find a way to spend it.
If he had paid off his house by 40 he's doing just fine and doesn't need to be super aggressive in the market since retirement is not really going to be a problem.
loqueelvientoajuarez wrote:
Are you still a cancer away from bankrupcy? How much for your pension funds?
Who isn't? I am actually curious -- I'm confident Jeff Bezos wouldn't be run the risk of being bankrupted by cancer, but the people in my life whom I consider wealthy could definitely run through it all on experimental treatments. I wonder where the line is?
Debt Free, Baby wrote:
For years, we have paid extra on a 15-year note, and we got a little lucky selling one house. Now, at 38, we are 100% debt free. House, car, student loans = PAID. (House isn't huge, btw: 2600ish sqft. But it is OURS.)
Needless to say, I am pumped. Help bring me back down to earth.
You must have no kids.
Debt Free, Baby wrote:
For years, we have paid extra on a 15-year note, and we got a little lucky selling one house. Now, at 38, we are 100% debt free. House, car, student loans = PAID. (House isn't huge, btw: 2600ish sqft. But it is OURS.)
Needless to say, I am pumped. Help bring me back down to earth.
Good for you. Congratulations, man.
Help bring you back down to earth? If it makes you feel any worse, given the stress people feel about this sort of thing, going online to brag about how well off you are now might mean you're something of a thoughtless person for rubbing it other people's faces. How's that?
Hope I helped.
I don't think I have been debt-free a day in my life, but I haven't had to worry about money in 15 years, and I'm confident that I never will again. I'm pretty sure that wouldn't be the case if I had been trying to avoid cheap debt when I was in my 30s and 40s.
You don't need to be debt free to have a comfortable net worth.
Only 10 short years ago and everyone has already forgot.
https://en.m.wikipedia.org/wiki/United_States_housing_bubble
Are you an accountant that works at HR Block or something. Not sure why it would matter if he received a w-2 or a 1099 the point is valid that if he no longer itemizes he will pay more taxes.
Ok, so you want to be brought down?
You'll never set another PR. You never broke 14 or even 15 for a legit 5k. You never made All-American, not even D3. You never won your conference meet or any regional championship.
Enjoy your house
That's why Chinese man say,
"Save every receipt you get even gas and parking
because they are tax deductible."
Everything you say is correct. But the OP asked us to make him feel like sh!t. I'm just doing what he asked.
Kiyosaki wrote:
Everything you say is correct. But the OP asked us to make him feel like sh!t. I'm just doing what he asked.
sorry was drunk and didn't read the rules
Scam