Author Topic: New To Investing Thread (Read 332125 times)

steve dave · « **Reply #1200 on:** January 05, 2016, 07:47:42 AM »

Quote from: slobber on December 29, 2015, 12:57:14 PM

Quote from: Dlew12 on December 29, 2015, 12:50:45 PM
About to start dollar cost averaging into an index fund (probably S&P). Too safe? Not safe enough?

What say YOU gE.c investing elites?
How much money are we talking about moving? If it's not very much, just put it all in now. Don't Dick around with it.

Gonna win 'em all! (using Tapatalk)

nice work dobs

Emo EMAW · « **Reply #1201 on:** January 05, 2016, 07:57:41 AM »

Do NOT listen to ShellShock. The chickens are coming home to roost this year. Stay in sectors or stocks or cash, or ride the index funds down. Better buying oppy's coming later this year.

DQ12 · « **Reply #1202 on:** January 05, 2016, 11:17:10 AM »

Quote from: steve dave on January 05, 2016, 07:47:42 AM

Quote from: slobber on December 29, 2015, 12:57:14 PM

Quote from: Dlew12 on December 29, 2015, 12:50:45 PM
About to start dollar cost averaging into an index fund (probably S&P). Too safe? Not safe enough?

What say YOU gE.c investing elites?
How much money are we talking about moving? If it's not very much, just put it all in now. Don't Dick around with it.

Gonna win 'em all! (using Tapatalk)

nice work dobs

I was just thinking about this! No worries, it's a decent chunk of change, so I was always going to DCA (plus I wanted to get used to making this a habit), but in any event, I haven't even started yet!

sys · « **Reply #1203 on:** January 05, 2016, 11:54:35 AM »

when you say dca, you mean that you already have cash and instead of just taking 100% of that cash and investing it now, you will hold the cash back and trickle it into investments over time, correct?

if so, pretty sure that has been shown to generally lose money compared to just investing 100% immediately.

Emo EMAW · « **Reply #1204 on:** January 05, 2016, 12:56:44 PM »

Quote from: sys on January 05, 2016, 11:54:35 AM

when you say dca, you mean that you already have cash and instead of just taking 100% of that cash and investing it now, you will hold the cash back and trickle it into investments over time, correct?

if so, pretty sure that has been shown to generally lose money compared to just investing 100% immediately.

He's saying he already has some stuff and it has lost money but he's going to make himself feel better by buying more of it at a lower price and thereby reduce his average cost per share.

ShellShock · « **Reply #1205 on:** January 05, 2016, 10:16:28 PM »

Quote from: Emo EMAW on January 05, 2016, 07:57:41 AM

Do NOT listen to ShellShock. The chickens are coming home to roost this year. Stay in sectors or stocks or cash, or ride the index funds down. Better buying oppy's coming later this year.

Completely disagree! China and the Asian markets will get their crap figured out and we'll all be a little richer!

Emo EMAW · « **Reply #1206 on:** January 07, 2016, 08:20:29 AM »

Quote from: ShellShock on January 05, 2016, 10:16:28 PM

Quote from: Emo EMAW on January 05, 2016, 07:57:41 AM
Do NOT listen to ShellShock. The chickens are coming home to roost this year. Stay in sectors or stocks or cash, or ride the index funds down. Better buying oppy's coming later this year.

Completely disagree! China and the Asian markets will get their crap figured out and we'll all be a little richer!

ShellShock · « **Reply #1207 on:** January 08, 2016, 10:54:49 AM »

Quote from: Emo EMAW on January 07, 2016, 08:20:29 AM

Quote from: ShellShock on January 05, 2016, 10:16:28 PM
Quote from: Emo EMAW on January 05, 2016, 07:57:41 AM
Do NOT listen to ShellShock. The chickens are coming home to roost this year. Stay in sectors or stocks or cash, or ride the index funds down. Better buying oppy's coming later this year.

Completely disagree! China and the Asian markets will get their crap figured out and we'll all be a little richer!

I'll give you the win on this round...

Kat Kid · « **Reply #1208 on:** January 12, 2016, 02:48:48 PM »

https://www.washingtonpost.com/news/get-there/wp/2016/01/12/how-big-your-retirement-fund-should-be-at-every-age-according-to-one-guide/?tid=sm_tw

hemmy · « **Reply #1209 on:** January 12, 2016, 04:06:10 PM »

I'm going to stop saving, I don't want to out-pace that chart.

slobber · « **Reply #1210 on:** January 12, 2016, 04:10:38 PM »

Quote from: hemmy on January 12, 2016, 04:06:10 PM

I'm going to stop saving, I don't want to out-pace that chart.

that chart can get mumped .

Gonna win 'em all! (using Tapatalk)

Kat Kid · « **Reply #1211 on:** January 12, 2016, 04:20:54 PM »

Quote from: hemmy on January 12, 2016, 04:06:10 PM

I'm going to stop saving, I don't want to out-pace that chart.

I definitely am outpacing that chart and it feels awesome.

Sent from my iPhone using Tapatalk

CHONGS · « **Reply #1212 on:** January 12, 2016, 04:41:29 PM »

https://www.robinhood.com/

wetwillie · « **Reply #1213 on:** January 12, 2016, 05:03:37 PM »

Welcome to 2014 chingon

CHONGS · « **Reply #1214 on:** January 12, 2016, 06:34:47 PM »

Quote from: wetwillie on January 12, 2016, 05:03:37 PM

Welcome to 2014 chingon

Hey I was in prison for a while...

troubledscribe · « **Reply #1215 on:** January 12, 2016, 07:27:20 PM »

Quote from: Chingon on January 12, 2016, 06:34:47 PM

Quote from: wetwillie on January 12, 2016, 05:03:37 PM
Welcome to 2014 chingon
Hey I was in prison for a while...

No penny stocks

ben ji · « **Reply #1216 on:** January 14, 2016, 09:56:13 AM »

Alright guyz, I know I asked a couple of years ago about HSA's but I am starting a new job soon and they offer a HDHP and HSA so lets help ben ji make sure he does everything right.

My deductible is 5k and I am a fit young single EMAW who has never had any medical issues.

I plan on contributing the max of $3,350 and basically dumping it in the closest thing they have to a S&P500 Index Fund.

My questions-

1. Doing some research it appears that conventional wisdom is to leave the HSA untouched unless you have can't pay the full deductibe out of checking/savings, correct?

For example if I get poison ivy while fishing and have to get some drugs from a doc I should pay this all out of pocket, lets say $500 (No idea if this is reasonable but lets go with it).

2. If I save the receipt I can reimburse myself the $500 tax free from my HSA at any time in the future correct?

Lets say I get poison Ivy 3 years in a row, I now have $1,500 that I can withdraw anytime from my HSA tax free if I needed it. But I won't withdraw it because that $1,500 in tax free money is earning interest and growing in my HSA.

Taking it further lets say i spend $500 out of pocket every year for 30 years. I now have 15k I can withdraw tax free to help purchase the goEMAW ranch where I give fishing tours and SD runs cattle and Emo wires up windmills for electricity etc.

Am I doing this right?

steve dave · « **Reply #1217 on:** January 14, 2016, 10:01:06 AM »

that seems like a huge PITA (record keeping) and I don't know how the rules apply to late withdrawals. I don't see the advantage of not just paying for the medical expenses out of the HSA as they arise. then just save that money you would have paid for those expenses in a normal investment account.

ben ji · « **Reply #1218 on:** January 14, 2016, 10:08:06 AM »

Quote from: steve dave on January 14, 2016, 10:01:06 AM

that seems like a huge PITA (record keeping) and I don't know how the rules apply to late withdrawals. I don't see the advantage of not just paying for the medical expenses out of the HSA as they arise. then just save that money you would have paid for those expenses in a normal investment account.

I assumed that its because your funds in the HSA are pretax, you want to keep them earning as much money as possible in a tax sheltered account.

Say I have a $1000 medical bill. I could reimburse myself that amount and stick it in a regular brokerage account but then I would have to pay tax on anything I earn....By leaving that $1,000 in the HSA I will not pay any taxes on the gains (Assuming I withdraw them after 59.5 or whatever the age is)

ben ji · « **Reply #1219 on:** January 14, 2016, 10:12:02 AM »

Another question.

If I do need to reimburse myself from the HSA I would just sell the stock I owned and use that cash correct?

Once you have over say 10k, would it make sense to leave a couple thousand in a low risk/reward account to protect against having to sell the stock in a downturn? Or over the long term would the expected gains of that couple thousand out weigh the risk of having to sell in a downturn?

Mrs. Gooch · « **Reply #1220 on:** January 14, 2016, 10:12:08 AM »

Ben ji if you are paying $500 just for having poison ivy then you need to get another doctor.

steve dave · « **Reply #1221 on:** January 14, 2016, 10:15:27 AM »

Quote from: ben ji on January 14, 2016, 10:08:06 AM

Quote from: steve dave on January 14, 2016, 10:01:06 AM
that seems like a huge PITA (record keeping) and I don't know how the rules apply to late withdrawals. I don't see the advantage of not just paying for the medical expenses out of the HSA as they arise. then just save that money you would have paid for those expenses in a normal investment account.

I assumed that its because your funds in the HSA are pretax, you want to keep them earning as much money as possible in a tax sheltered account.

Say I have a $1000 medical bill. I could reimburse myself that amount and stick it in a regular brokerage account but then I would have to pay tax on anything I earn....By leaving that $1,000 in the HSA I will not pay any taxes on the gains (Assuming I withdraw them after 59.5 or whatever the age is)

yeah, but that HSA money isn't going anywhere. your stating it will continue to grow tax free holds true for the rest of your life. why not just keep it in there instead of using it for some purchase in a few years? not worth the benefit imo (because it sounds like a PITA). and honestly, you won't be having any medical expenses for a long time hopefully so you shouldn't have to worry about it and dragging around 10 year old walgreens receipts isn't worth it. But, if you are maxing out all of your pre-tax investment options A) good for you B) then this may be a reasonable plan.

steve dave · « **Reply #1222 on:** January 14, 2016, 10:19:42 AM »

Quote from: ben ji on January 14, 2016, 10:12:02 AM

Another question.

If I do need to reimburse myself from the HSA I would just sell the stock I owned and use that cash correct?

Once you have over say 10k, would it make sense to leave a couple thousand in a low risk/reward account to protect against having to sell the stock in a downturn? Or over the long term would the expected gains of that couple thousand out weigh the risk of having to sell in a downturn?

I have like half of mine invested in a vanguard S&P fund and the other half available for use.

chum1 · « **Reply #1223 on:** January 14, 2016, 10:48:08 AM »

You should put the amount that you expect to spend on healthcare in the HSA.

slobber · « **Reply #1224 on:** January 14, 2016, 12:23:30 PM »

My Canadian friend, who happens to operate under US tax laws, says that he pays out of pocket and then writes off the expenses as medical expenses. His wife sometimes messes up and uses the HSA, but he forgives her.
Is he doing it wrong? He says it is the only way you can make money work for you three times: goes in pre-tax, grows tax free, comes out for future old ballz medical expenses tax free. He wants to have $200,000 in his HSA when he retires.

Gonna win 'em all! (using Tapatalk)