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How much should you aspire as the take home amount, if you plan to relocate to Abu Dhabi / Dubai from India ? How is the cost of living there and what is the minimum expense ( fixed + variable ) bound to happen. A ballpark figure also works, just want to check is it worth relocating ! Boston Consulting Group McKinsey & Company Bain & Company Deloitte KPMG EY PwC Strategy& EY-Parthenon Monitor Deloitte
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Mentor
This is very good. I know people on here will tell you not enough but you’re in a very good position for how young you are
Thank you! Appreciate your kind words.
Hey I’m in a similar boat. 24 and $150k in savings. What I do is max out my 401k, roth IRA, HSA, have an emergency fund, then look up mega backdoor roth if your company allows it. Essentially it lets you use the whole $57k 401k limit as a retirement vehicle.
The entire 401k limit is $57k but $19.5k for pre-tax contributions (traditional and roth for example). The rest can only be met using employer contributions (highly doubt an employer will contribute that much) or after tax contributions, which is not traditional nor roth. Earnings on it will be taxed but the trick, known as mega backdoor roth, is to immediately roll the after tax amounts into a Roth IRA so earnings are tax-free. This Roth IRA rollover does not count towards your $6k limit either so it’s a win-win.
Drop it all into GME first thing in the morning and you’ll be set
As your salary goes up, only minimally increase your COL. Put the difference in a brokerage index. You’ll be surprised how fast it goes.
Mentor
Yes!!! Lifestyle creep is awful! Whenever I got a raise I would immediately put it towards a financial goal
Roth IRA and HSA!
You're killing it at 24!
Make sure you have enough in your savings to cover 3-6 months of emergencies if something happens. (I’m guessing you do, post is just unclear)
Market downturns tend to coincide with job loss, and statistically impossible events happen more often than you think. Definitely keep a rainy day fund outside your brokerage account.
401K : are you contributing beyond the matching amount? I personally would consider moving some of that (if so) into your brokerage account because it’s more accessible and could work as a last resort savings a lot better. Just a thought
Also, look into buying a duplex or small apartment building if you don’t mind neighbors and the extra work. You will have people paying your rent basically, and can write off utilities paid etc for their units. Consult a good CPA with investment property background etc etc etc, but worth looking into at your age.
You can probably cut the expenses down a bit? Do you live in HCOL?
NYC
GameStop YOLO!! Jk, look into writing options contracts. If you write puts for solid dividend stocks, you should be looking at above-average returns that compound nicely over time
Don’t forget about fat tail risk :)
How does a 24 year old male $120k?!?
Inflation
Nice comp, if you don’t mind me asking... what’s your YOE?
Making 140 now. 3.5 YOE.
3 years
My advice if pay yourself first. I always transfer 40% of my pre tax paycheque to another account.
I’ve been doing this as an intern in a HCOL area so I’m pretty sure anyone can 😁.