Happy I found this community and love reading through everyone’s comments. It inspired me to post my NW. I would love to hear your thoughts on how I could be doing better to get closer to FIRE. Background: 25 yo female, renting in a big city, no debt. Was saving up to buy RE, but am now deciding to hold off until next year. What should I do with what I saved up? Definitely thinking of contributing some to 2020 Roth IRA- any ideas of what I should be investing in? Appreciate any feedback!

Post Photo
like
Posting as :
works at
You are currently posting as works at
Highlighted IconHIGHLIGHTED

First, congrats! I'd be proud to be where you are at 25. (I didn't start the FIRE journey till I was 29, and a decade later, I'm actually semi retired!)

Max out your Roth IRA for '20 (you have till Apr 15 to do this) & '21 right now from the savings you have. That's just $12k. Build up the savings over the year. Also, very important, you can always, anytime, without penalty, withdraw your contributions from your Roth. Invest in broad market low cost funds (FZROX, VTSAX, SCHB).

Ask away if you have any questions.

likeuplifting

Also 25F and have the same exact (to the 1k) net worth!! Keep it up OP 😍💪🏻 I’d recommend reducing your savings and putting more into the market. Try to get the Roth IRA maxed out year after year

like
Recent IconRecent

What is savings? A 0% interest account? Stop that. Also, get off robinhood ASAP and use an adult platform.

like

Definitely max IRA, I heed the advice to go 100% in S&P500 index funds and it hasn’t steered me wrong in the last ten years.

If you’re planning to buy RE in one year I’d sit on your savings as cash. That’s a short term plan. You’ll potentially miss out on gains, but you’ll also potentially avoid a significant loss if the market goes down (correction or crash).

like

How do you get a pension? I thought those were dead

like

$70k total I'm assuming.

Is the rollover IRA a traditional balance? I recommend rolling that into a Roth. You’ll eat some up front taxes, but it simplifies the tax process in the future if you plan to keep using a backdoor Roth IRA

like

If your employer's plan allows it and the options are decent, you can roll the rollover IRA into your 401k to avoid issues with future backdoor Roths. Your money typically has to be out of the market for a while to do this, but with such a small balance, I wouldn't sweat it.

like

It’s a lot of cash during a time when everyone expects inflation. Why delay the RE investment?

like

Agreed with everyone. Inflation is literally a target.

Sure, he’s “technically right” that not everyone expects it. Reasonable people do tho

Using personal capital would make it easier to track!

This is how it looks for mine

Post Photo

LMAOO that would make sense but yeah it was mortgage. There was a delay on my end for inputting the mortgage

You should def invest those savings. 100% do Roth IRA because you can only do that up to $6k a year (because it’s such a good investment vehicle)

If you’re looking to stick with excel, fairly easy to come up with some good visuals and charts to see how you’re doing overtime! 2nd everyone else’s point, contribute to your Roth IRA, broad market ETFs and funds are your friend.

You can also increase your 401k contribution if you’re not already maxed/after tax 401k.

Post Photo

How do you have so much saved at 25? That’s a crazy good job

Deloitte and EY both offer pensions

I am proud of you!!!

Are you investing your HSA?

Are your savings in a "high yield" savings account? (Interest rates are low right now, but you can still make like $20/month instead of $2)

This is insane!
Could I ask when you started your first full time job?

Related Posts

I’m going to start a new company, call it fottutamente fantastico. We are going to disrupt a market by turning employees into piece workers who can barely afford to feed themselves and since they are not employees they will get no benefits. We will ignore industry regulations, we will deny we are an employer, simply connecting people to a low cost option. We will take tens of billions in VC funding and never earn a dime. Later we will take other ideas and pretend they are ours too.

like

Lost a nice fee-based account today ($750K) to an "annuity" I was stunned. Whatever she's been sold has a 20%(!!!) "bonus". My assumption there is that the annuity has a ridiculous surrender schedule

like

How’s the Las Colinas area for a 25 year old with no kids? Is it more for families or is it okay for someone my age? Not looking to be in the city but within a reasonable drive if I need to be there.

like

I’m quitting two weeks before my coworkers maternity leave starts. They told me I’d have to cover her work and there’s no way that’s gonna happen. Also I just got into grad school.

likefunny

I am currently seeking an HR Generalist or Benefits Admin role. I live in Southern MA and I am SHRM-CP certified. In addition, I have over 5 years of experience in different HR areas. Please send any leads to me. Thanks!

like

How is the Workday practice at Deloitte or KPMG? Pay, benefits, etc.

Any great personal finance/investment books to read? Or even YouTubers/Podcasters

Really looking into expanding my investment horizons — particularly about learning about how to allocate my investment portfolio. Also, always nice to learn about better ways to save and cutback.

like

So I received an offer as a urgent care practice administrator of $3000 more yearly than my current …with an increase to $8000 when I assume an additional practice on a part time basis. (All in writing) Along with free healthcare at any of the 5 locations for my whole family plus up to $10,000 yearly bonus. It’s a start up and culture is completely in tune with me thoughts?

I have a friend who working in Healthcare organization as Admin Floor manager with very low package.She unable to change the job as she not able to find new.
She has IT skills too but small.

I dont know how to help her to get a job.Any Idea?

like

When I change a home into a rental, my understanding is that I need to update my insurance. How does it change? Is it a different type of coverage? Is it usually more expensive?

like

I just finished a final round of interviews with Microsoft for SDE position. I have 12+ year of experience and I do have another offer waiting for me to decide by Friday. The offer I have is 100% remote,40hr weeks for federal and decent benefits. My question is how is working at Microsoft as SDE and if I should wait for their decision? I am not sure if it will come by Friday nor what the offer would even be (I expect to be competitive).
I am not in dire need to leaving but 100% remote is nice.

like
like

Hi fishes, anyone working at Deloitte UK currently? I'll be joining them in a couple of months and had some questions about the benefits they offer. Please DM, thanks!

like

Please enlighten me, does J.P Morgan chase did invest in ASJ forex global??

like

Hey Everyone,
I am quite new to Healthcare domain. I am searching for tutorial/pdf to understand topics which comes under AHM 250 certification(requires in my next proj). Could you please point me in the right direction. I have already searched and Checked Youtube also.
Thank you!

like

Hi all, how to apply for relocation reimbursement in JPMC?

like

I’m applying for PMM jobs at a few types of tech and healthcare/health tech companies in the Boston area. Got 2 years consulting/market research experience + 4.5 years at a PR and marketing agency. What salary range should I aim for if I get an offer?

like
like

Hi Fishes,
I've got offer from EPAM System and Fiserv. Which one to join in terms of management, appraisal/hikes, benefits and growth? Both are offering similar compensation.

I have an interview with a « new » marketing company today. I love the culture, very young mindset and it’s remote. Salary is good BUT they don’t offer healthcare insurance yet. What question would you ask? I need ideas!

More Posts

Does anyone know how long the hirevue videos last for Goldman Sachs? Because when I did it I was very much a beginner and if I do it now I can do it much better. I just don’t want my beginner side to be looked at when I am much more advanced in my talking and technical skills. I know JP Morgan the hirevue makes you do new videos every 6 months

like

Hey everyone! Let’s use this post to share some “worth it” moments. For me it was my 7yo daughter nursing me while I was sick recently (not COVID). She did the exact same things I would do, said my exact words, stayed by my side when she could have been playing instead, and every second of it reminded me what a gift I have. What a blessing ❤️

like
like

Hi All,
Can anybody clarify what is non promotion eligible (non PE) SO ? Can they really stop your promotion just because you are tagged in a non PE SO ?

like

I’ll finish my Master’s in Engineering Management in 1 year. How do I land a management level role at a tech company without management exp?

I'm looking for a freelance event planner to help organize a Summit for a B2B SaaS company. Please ping me if you are interested!

like

Any references for Customer Service Manager in Banking Domain?

like

How much does a manager at Alvarez and Marsal make in Forensics in NYC and Charlotte?

like

Seriously considering placing offer for a 3 bedroom 1.5 bathroom townhouse in Burlington.

Asking $650k, likely going for $750k.

Feels like I'm losing my mind, but what's the alternative when you're in the GTA?

Open to any thoughts. It's just nuts here..

like

Is there an average number of billable hours for first year associates? I’m about 2 months into clerking and get barred in about 2 weeks and the firm I’m at has me set at a fairly high billable minimum. I haven’t hit it yet and I’m getting nervous because I’m starting month 3 and gonna try to hit it so I don’t start facing possible adverse affects (losing vacation days, getting bumped from salaries to hourly, etc.). It’s a very small firm...

like

What's the biggest stereotype about the marketing industry?

like

Anybody here transitioned from QA to UX design? I am learning UX design and I loved it. I have checked JDs for UX designer post and I find it very interesting than QA. Also we as QA are already exposed to user experience testing so should be a smooth transition. Anyone wants to share their experience on this?

like

For those who made it to Managers and Senior Managers, what made you stay in public accounting.

like

Anybody here looking to hire a Public Health graduate

like

What are some good opportunities for someone with a tax background outside of Public Accounting

like

08/03 check in: Did a Renaissance themed sunrise ride this am💃🏻 🕺🏼

likeuplifting

Best/Most luxurious SPG property in downtown Chicago?

like

Any recos for interior decorator/ home organizer in the city? Looking help for my new condo in space mgmt, decorating etc.

Anyone have a month long sublease available for August?

like

Additional Posts in FIRE Financial Independence Retire Early

Need some investment guidance. I've about 130k cash in my savings account, of which I want to invest about $75k. Was planning to buy a home earlier but delaying that decision by another year (hoping housing mkt normalizes by then). What are some investment options for me? (Leaning towards ETFs but want to hear more options)
TIA

like

If I only plan to own the house I’m buying for 6-8 years, is it better to do 30 year or 15 year mortgage. Assume about a 0.5% lower rate for the 15 year.

Has anyone moved from a managed account to a self managed account? If so, how was the process to untangle your investments and then self manage?

like

So we have 3 rental properties and some cash saved up. Is it better for me to buy 2-3 more on these 30 years mortgages, or stop buying and work to just pay these ones off more quickly?

like

My son’s first birthday is coming up and my parents want to gift him $1k in a separate account under his name for him to use in the future. My husband and I make about $250 combined but paying off student loans and a mortgage so don’t have much in assets. My parents only make $50-70k a year. We’re all pretty clueless about money. What would be the best way to invest in his future?

like

If my home appraisal comes in lower than contract price, am I stupid to cover the balance in cash if I have it or does that mean I’ll have an issue down the line wrt a resale? FWIW the appraisal and contract price is about $18k off. And no the seller isn’t budging on price. Help!

like

Friendly reminder: IRA contribution limit increased from $5500 to $6000 in 2019. Make sure to update those automatic contribution amounts!

likesmart

Any recommendations on dividend ETFs? Looking for decent yield, low cost, stable stocks with some growth potential. Plan to hold long term ultimately as part of retirement portfolio

like