re: How do I retire with money?

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'However, if you keep investing 10% of your income, your payments will adjust themselves to the inflation rate, helping to reduce this effect.'

Why don't you explain to the young man what could happen if we have a hyperinflationary event?

Why don't you explain to the young man what could happen if we have a bout of deflation? Stagflation?

Why don't you explain to the young man what could happen if the stk mkts crash and remain at low levels for many years?

Why don't you explain the benefits of bonds vs stocks?

Are you guys all stk salesmen?

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I would like you to refer to the post that I made, trying to help this nice young man and compare it to this attack of a post you just made?

Why in the frick don't you explain all this shite? Probably because you don't have any clue as to what it actually means, but that will never stop you from spewing garbage on this board.

Seriously, you have gone from dumb to downright repulsively ignorant.

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Dave Ramsey is good if you are

1) Low income
2) Terrible at budgeting
3) Completely ignorant about finance
4) Not actually looking for the best practices, but rather the most psychologically effective practices.

His seminars are helpful for some, but hardly appropriate for the majority.

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+1

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For that demographic (which may well be the majority) it's just fine IMO.

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I agree that it's a very useful tool for some people, but for those who aren't deep in debt, the course isn't that useful.

Maybe I'm underestimating how many people in this country are in debt.

Either way, I don't think Ramsey's methods would be effective for a 25 year old making 50k a year.

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Either way, I don't think Ramsey's methods would be effective for a 25 year old making 50k a year.

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I am 55 years old and have managed my finances as Dave Ramsey teaches for long before anyone knew who he was. There my be someone that could do better using a different method, but I know tons of people that have incomes of 100k and up that would be far better off having followed Dave's advise than anything they have done so far. The inability to manage money has no income or educational limits, it is occurs across all demographics.

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but I know tons of people that have incomes of 100k and up that would be far better off having followed Dave's advise than anything they have done so far.

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Yeah, but the problem is, someone making that much isn't willing to follow his guidelines on frugality.

FWIW, I've never read his books or been to his seminars, but I listened to his radio show pretty extensively one summer and I get the feel of his suggestions.

It's a fact that his methods are not the most effective routes to financial success and if any intelligent person sat down and thought about them for a few minutes, they would be able to see why.

The reason Ramsey is effective is because he can motivate people to stop spending so much money and contribute more to debt repayment. Seriously, that's his method, "spend less, save more". He just presents it in a charismatic way and creates paths that quickly show progress to keep morale high.

I don't mean to bash him for the people who he is helping, but I've been in multiple real life arguments with people telling me that I'm wrong because my advice doesn't follow Dave Ramsey's system (ie, pay down the highest interest debt first, not the smallest balance), which is infuriating.

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It's a fact that his methods are not the most effective routes to financial success

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Eh, I think it's kind of like the Subway diet - it isn't by any means the best diet out there but if that's what it takes to lose weight I won't criticize too much.

The average person in America needs people like Dave Ramsey to give them guidance. Most people have no clue about money. Even people with Accounting/Finance backgrounds can get caught in a consumption lifestyle. I'm a CPA, I see plenty.

Back to the thread.....

I follow the rule of 120. Substract your age from 120 and that is what % of your portfolio should be in stocks. So if you're 25 (95% stocks, 5% bonds). Rebalance your portfolio on your birthday.

Put enough in your 401K/403b plan etc to get the match. The remainder in Roth IRA since you've got more control and options.

I strictly invest in Index funds/ Index ETFs (S&P, International) preferably Vanguard, TIAA-Cref or USAA are the fund families that are best as they have the lowest fees.

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Put enough in your 401K/403b plan etc to get the match. The remainder in Roth IRA since you've got more control and options.

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This.

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I strictly invest in Index funds/ Index ETFs (S&P, International) preferably Vanguard, TIAA-Cref or USAA are the fund families that are best as they have the lowest fees.

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Solid call

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I've never heard that rule, but that seems pretty arbitrary. If you don't know your risk tolerance, you're asking to lose money. People should spend $200 and talk to a real advisor for a half hour, just like they spend $200 to get you to do their taxes.

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I agree with what you are saying, but I think that is just a helpful rule of thumb.

I agree that people who aren't well versed in finance should just cough up a little money and see a financial advisor.

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Simply put, open a brokerage account and buy VTI. If you can do it as part of a Roth.

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- JM

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Simply put, open a brokerage account and buy MVIS. If you can do it as part of a Roth.

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- Zilla

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Simply put, open a brokerage account and buy JOEZ. If you can do it as part of a Roth.

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- RedStick

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Simply put, stop being an AZZHAT and buy some fricking gold you WHOGAS stock salesman. Don't put it in any account, or the government will steal it from you, bury that shite in your yard

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- Rivers