^^^ Do you really think it's financially wise to tie up 25%(guesstimating based on your earlier list of expensess/cashflow) of your monthly income into a car payment? Especially at the expense of retirement planning?

6/8/2006 1:57:44 PM

YEAH MY CAR PAYMENT IS $225/MONTH AND I THINK THAT IS TOO MUCH....LUCKILY IT WILL BE PAID OFF IN ABOUT 18 MONTHS

6/8/2006 2:10:16 PM

Quote :

"it sounds like you probably financed the entire thing with little to nothing down and a 7%+ interest rate "

i put down 2.000 I think, plus my shitty trade-in and I'm happy with my current situation, yes my car payments are a bitch, but i'll live and in about 5 years I'll be good to go..besides it takes 6 years before my company will make 100% of what i put in anyway.

6/9/2006 12:01:50 PM

when you factor in gas and insurance, you're paying around $800 a month to own that car. I mean, if owning that car truly makes you happy, then more power to you.

6/9/2006 12:11:01 PM

Quote :

"besides it takes 6 years before my company will make 100% of what i put in anyway. "

I am not sure what you are saying here, but I think you are referring to the fact that most companies will not let you keep what they match until you reach certain time periods. Usually it increases incrementally until ~ the five or six year mark at which time you keep all the money they matched. Furthermore, if I understand correctly, they only take back what they put in, you get to keep the interest earned on their money even if you quit early.

Basically, if you can't see the value and importance of preparing for your future, then no one here could ever convince you differently. I think you already have made up your mind. Have fun being poor.

Failing to prepare is simply preparing to fail.

Good luck.

[Edited on June 9, 2006 at 12:42 PM. Reason : i]

6/9/2006 12:32:01 PM

yeah i'm amazed at how some people don't think about what they will do once they stop working

6/9/2006 12:52:32 PM

i've actually planned out my future quite well...What i'm saying is yea the next few years the company will match a certain percentage, but it will take 6 years before they match what you put in 100% and I wouldnt be able to touch the money(without penalty) until i'm 59 1/2 and yea i'm paying like 800 a month for car payments/insurance/gas. I do plan to start up my 401k in the next quarter. I'm not saying that I'm not going to do it until my car is paid off. I do have enough money to play around with(alcohol/travel/etc.) so i plan on cutting back on that some. Believe me I care a ton about my well-being in the future. Especially considering the fact that I'm the first to graduate from a 4 year college out of all of my family..aunts and uncles and cousins included. i want to retire very very happy.

6/9/2006 12:59:34 PM

and pretty much everyone else has said - you should definitely put in at the bare minimum the amount that will be matched - if you don't have enough "extra income" to put that much in then you should rearrange your budget

you said your company would match 100% of what you put in after 6 years - and that may very well be true - but it's highly unlikely - you should double check the working on that - it probably says they will match 100% of what you put in up until a certain percentage #

6/9/2006 1:21:16 PM

I do plan on putting in the minimum for now. Like i said i have enough extra income to do so. I just need to cut back on excess spending. We just had our quartly 401k meeting yesterday, so i'm up to date on all the info and I'm pretty sure it's 100% at 6 years and they match it .50 to every dollar.

6/9/2006 1:24:58 PM

That's so weird. Are you sure its not vested after 6 years?

6/11/2006 8:21:51 PM

yeah i'm pretty sure he doesn't understand his company's 401k - but it's a slight slight possibility that his company works that way - it's just very unprobable

6/11/2006 11:51:22 PM

yeah i'm pretty sure he doesn't understand his company's 401k

6/12/2006 3:29:49 PM

whatever you contribute is 100% vested immediately. however, what the company contributes can be subject to vesting. so if you change jobs in 4 years (assuming 6 yrs for full vesting), you will get whatever you contributed plus interest, but will lose the amount the company contributed.

6/13/2006 2:47:47 PM

i saw on the first page and stopped reading...but not only does Ameriprise suck...THEY HARRASS YOU.

6/13/2006 4:08:28 PM

ameriprise has a bad rep, but financial planners can be very helpful and give excellent advice
(i don't like ameriprise...that's why i chose to work for a more reputable company)

[Edited on June 13, 2006 at 4:34 PM. Reason : ]

6/13/2006 4:34:12 PM

^, ^^, seriously. There's a reason why AMEX spun ameriprise off...

6/13/2006 4:52:13 PM

good for you...cause man this Charles Adam Crews guy is really getting on mine, and my friends', nerves!

6/13/2006 4:52:55 PM

ameriprise seems to just want to sell you something. I choose to take the path of providing sound financial advice that will be in the client's best interest. different strokes for different folks.

6/13/2006 4:55:04 PM

that's why I'll only ever go to a fee-based financial advisor.

6/13/2006 5:09:39 PM

what in your poly sci background qualifies you to be a financial planner? or is it something you just picked up in your spare time/along the way

[Edited on June 13, 2006 at 5:10 PM. Reason : or do they just hire anyone?]

6/13/2006 5:09:52 PM

I have done a lot of work in stocks and investing throughout college, even doing some research and analysis. Making reccomendations, etc. So, it started out as a personal interest and all my friends told me I was in the wrong career. So, I had the knowledge and changed jobs. I had to pass the NASD certification tests and some other competency tests that are required. I am actually working on my finance degree to make it look a little more official.

basically, i started out by doing the research and investigation on my own. also asked advice and talked to professionals who turned me in a different direction.

^also, depends on who you work for. ameriprise will seemingly hire anyone. morgan stanley, edward jones, AXA advisors seem to hire more professional types.

[Edited on June 13, 2006 at 6:19 PM. Reason : ]

6/13/2006 6:14:47 PM

What's with all the hate for Huggard? Is it bad to tell people that they should save 15% of his income?

He's not a super-genious, and it wasn't the best class ever but it was helpful. He had good points like make sure you get insurance, and insure the right things. A single person doesn't need a million dollar life insurance policy, but having auto & homeowner's/renter's insurance is essential.

I asked him about his no CC policy, pointing out that I almost exlusively used mine, but pay it off every month. He said that it was very uncommon for students to do that, and he's teaching to the general population. If you can manage your CC without going into debt, he said he had no problem.

My main criticism was that he spent the first 1/3 of the semester trying to convince everyone they should save $$. I took the class b/c I wanted to know HOW to save money with a good ROI and avoiding taxes.

That said, his answer of variable annuities is a little hard for someone just starting out.

6/15/2006 8:05:30 PM

^ excellent advise. and, honestly, it takes around that much time (half a semester) to convince anybody my age (20-28) that the time to start saving is NOW. not when you're 35-40.

also, life insurance in a necessary investment. now there are even ways so you can earn some return on the premiums you pay. so if you don't die anytime soon, you can use the cash (or securities) value.

6/15/2006 9:02:04 PM