twa Posted February 28, 2020 Share Posted February 28, 2020 20 minutes ago, skinsmarydu said: I'm still in the paperwork phase of assuming control of my husband's 401k. I'm quietly freaking out, because while I have the last quarterly statement, I can't see what's happened to the account this week. 😖 breathe and think long term.....in bad times and good. Link to comment Share on other sites More sharing options...
EmirOfShmo Posted February 28, 2020 Share Posted February 28, 2020 3 hours ago, Hooper said: Largest single day drop in history. Pence better fix this virus thing! Deep breaths...relax... Link to comment Share on other sites More sharing options...
Corcaigh Posted February 28, 2020 Share Posted February 28, 2020 13 hours ago, hail2skins said: is anyone still a millionaire after this week? Hasn't the Dow fallen by around 12 percent? I don’t track the Dow but the S&P is still ahead of where it was in September. If you were heavily invested in stocks you’ve done very well since 2009. Think longer term than the idiot pundits on TV. Link to comment Share on other sites More sharing options...
Riggo-toni Posted February 28, 2020 Author Share Posted February 28, 2020 Bezos was reportedly so despondent about yesterday's drop he said "I feel like a million bucks..." Link to comment Share on other sites More sharing options...
mcsluggo Posted February 28, 2020 Share Posted February 28, 2020 15 hours ago, GhostofSparta said: Counterpoint: If you can afford to pay for your 2 kids to go to college, you're rich. Just because that's how you chose to spend your money, doesn't mean you're not rich compared to the people that can't afford to do so. Way back in the 60s/70s being able to afford college moved decidedly and emphatically OUT out of the "rich" basket, and into the "easily obtainable by the middle class" basket....... but..... if the current definitions of "rich" is trending closer towards the direction of : "does not have to supplement his/her diet with dogfood to survive" rather than the older more established definitions... then it seems even MORE like a comment on the changing kurtosis of income distribution in this society. (the tails are getting bigger, as is the chasm between the haves versus the have-nots) Link to comment Share on other sites More sharing options...
Corcaigh Posted February 28, 2020 Share Posted February 28, 2020 1 hour ago, mcsluggo said: (the tails are getting bigger, as is the chasm between the haves versus the have-nots) earlier in the thread I posted median and mean net worths and the median is about six to seven times lower than the mean across most age groups. That’s quite a tail. Link to comment Share on other sites More sharing options...
Corcaigh Posted February 28, 2020 Share Posted February 28, 2020 Put another way regarding tails ... a typical county might have 40,000 homes. The median net worth is say $100k and mean net worth is about $600k. if Bill Gates moves into the county the median net worth would still be $100k and the mean net worth would be $3.1 million. imagine how much better those 40,000 families feel to see the mean net worth jump so much! Link to comment Share on other sites More sharing options...
Kosher Ham Posted February 28, 2020 Share Posted February 28, 2020 How do you suggest that without displacing those people? I think I see that differently. I have no issue with helping folks out...however, I am not and will never be the one that takes care of people that are irresponsible and abuse the system. I had a boss ..eh, perhaps I should save that story for later. Link to comment Share on other sites More sharing options...
Corcaigh Posted February 28, 2020 Share Posted February 28, 2020 2 minutes ago, Kosher Ham said: How do you suggest that without displacing those people? If that comment was in response to anything I wrote I have absolutely no idea what you are talking about. 😀 Link to comment Share on other sites More sharing options...
Kosher Ham Posted February 28, 2020 Share Posted February 28, 2020 25 minutes ago, Corcaigh said: If that comment was in response to anything I wrote I have absolutely no idea what you are talking about. 😀 The amount of land in that area that he would build his house on. I do admit that I may have read it wrong. If so sorry. Property value goes up when you are sitting next to a more expensive home. I bought a property in 1999 for 70k in downtown DC...it's now worth over...ugh, don't remind me. I do more research now. I had no idea about the convention center a few blocks away and the revitalization of the area. I apologize again if I read that wrong. Gates would buy the neighborhood or at least a part of it. That's how I read that. Link to comment Share on other sites More sharing options...
Forehead Posted February 28, 2020 Share Posted February 28, 2020 I'm in the same boat as PB and TShile. I'm well aware that I'm better off than a significant portion of the country. My wife and I both have good careers and relatively good salaries within our fields. We can afford an emergency and occasionally pay ahead on things like student loans. But rich? Doesn't feel like that at all, especially not in Northern Virginia. Not with the costs of rent, after school care for the kids, etc. We're looking to possibly buy a house in the next year or two. Heck, this one is in the neighborhood where we rent, I even had my eye on it, if it had been available six months from now. https://www.redfin.com/VA/Falls-Church/6800-Walnut-St-22046/home/9481960 Nope...sold for $170,000 over list price. Damn near 1 million dollars. Ask me again when I can actually afford a house and have that asset locked in. Then I might tell you differently. Not right now though. Link to comment Share on other sites More sharing options...
Corcaigh Posted February 28, 2020 Share Posted February 28, 2020 2 hours ago, Kosher Ham said: I apologize again if I read that wrong. Gates would buy the neighborhood or at least a part of it. That's how I read that. no, the point was solely that the most wealthy in society are so wealthy that they impact average statistics for the entire population. Link to comment Share on other sites More sharing options...
hail2skins Posted February 29, 2020 Share Posted February 29, 2020 11 hours ago, Corcaigh said: I don’t track the Dow but the S&P is still ahead of where it was in September. If you were heavily invested in stocks you’ve done very well since 2009. Think longer term than the idiot pundits on TV. I generally agree, but I also agree with the notion that most of the people who have become 401k millionaires are probably not too far away from retirement. And that when one is close to retirement, they probably should get more conservative in their portfolio. While the US markets (Dow/S&P) had rebounded back to their pre-Great Recession highs by like 2013, you've also had instances like the NASDAQ which crashed from the 5000 level in 2000 and didn't get back there for 15 years. What goes down, doesn't necessarily go up.....quickly, at least. Link to comment Share on other sites More sharing options...
GhostofSparta Posted February 29, 2020 Share Posted February 29, 2020 On 2/28/2020 at 2:12 PM, Forehead said: But rich? Doesn't feel like that at all, especially not in Northern Virginia. And therein lies the rub. I grew up in MD. If my wife and I had our current jobs and salaries and still lived in MD. We MIGHT be Middle Class, but definitely lower middle class. We wouldn't have been able to but a house 10 years ago, and we'd be much more paycheck to paycheck, even without kids. Living near Pittsburgh might as well be another world (and not just culturally). You're not going to get a whole lot of 6-figure salaries in this area, but that Cost of Living also reflects that. Here's a glimpse at what real estate costs around here:https://www.redfin.com/city/15702/PA/Pittsburgh https://www.realtor.com/realestateandhomes-search/Pittsburgh_PA And that's in/right outside the city. I live 45 minutes away, and it's MUCH cheaper. Talking about "Total Net Worth" in the million dollar equation, well....our house and cars are less than $100k combined. And our house is old but fine, and our cars are only a few years old. That certainly gives us a lot more wiggle room with $900k in cash than if you're the opposite with $850k tied up in your house and a couple of very nice cars. And that's not even factoring lifestyle into it. We're DINKs. Having no kids saves us a bunch of money on a daily basis, and moreso in the long term. So for us, a million dollars would only have to support the 2 of us. And if we never left this area? You can bet we'd be quite rich. Not "never work again" wealthy, but definitely "Never have to worry about money barring a major medical emergency" well off. I'm not trying to belittle anyone's lifestyle or choices, or say that you've got it easy because you've got a well paying job while living in an expensive area. But this question, if nothing else, does bring to light the "coastal elites vs. flyover country" contrast of what wealthy is. People in, say, Arkansas would love to have a NoVa salary (and maybe/maybe not culture, entertainment, etc.) while keeping an Arkansas cost of living, not realizing the 2 are almost always linked. It sounds to them almost like all those "Making $2 million a year in New York is barely break even money when you factor in eating out, Broadway shows, membership dues, vacations, etc." articles sound to you. You're not wrong. But neither am I. It just depends on the perspective of who is being asked. Link to comment Share on other sites More sharing options...
Corcaigh Posted February 29, 2020 Share Posted February 29, 2020 15 hours ago, hail2skins said: I generally agree, but I also agree with the notion that most of the people who have become 401k millionaires are probably not too far away from retirement. And that when one is close to retirement, they probably should get more conservative in their portfolio. While the US markets (Dow/S&P) had rebounded back to their pre-Great Recession highs by like 2013, you've also had instances like the NASDAQ which crashed from the 5000 level in 2000 and didn't get back there for 15 years. What goes down, doesn't necessarily go up.....quickly, at least. if you are approaching retirement your allocation should be 60/40 or more conservative. With one million in savings you have $400k or more in bonds which means you have quite a few years for the stock portion to recover. And being heavily invested in one sector like the NASDAQ is way too risky. Buy the whole haystack, not just a few needles. Link to comment Share on other sites More sharing options...
Corcaigh Posted March 3, 2020 Share Posted March 3, 2020 Sort of related ... people feeling rich when they are not. I'll take "ways not to have a million dollars for $1000", Alex. The average monthly income of Rolex watch owners. I found this hard to believe. Link to comment Share on other sites More sharing options...
Riggo-toni Posted March 3, 2020 Author Share Posted March 3, 2020 I don't know anyone who owns a Rolex, but you're telling me that nearly 1/4 of people making 60 -$70k own one? Link to comment Share on other sites More sharing options...
TradeTheBeal! Posted March 3, 2020 Share Posted March 3, 2020 Not all Rolexes are super expensive and, in fact, some of the lower-priced models hold their value or often accrue value over time. As “bling” goes, a modest Rolex is about as sensible as it gets. Full disclosure, I do not and have never owned a Rolex but, as a dealership guy, I know many, many people who do. Link to comment Share on other sites More sharing options...
Chachie Posted March 4, 2020 Share Posted March 4, 2020 It seems to me that the term "rich" has been redefined. With folks out there like Bezos, Gates, Zuckerberg, etc the bar has been raised beyond our atmosphere. A million bucks is doodley-squat now. I'd be happy as a clam with a million, but I wouldn't feel rich. Link to comment Share on other sites More sharing options...
PleaseBlitz Posted March 4, 2020 Share Posted March 4, 2020 20 hours ago, Riggo-toni said: I don't know anyone who owns a Rolex, but you're telling me that nearly 1/4 of people making 60 -$70k own one? That cannot be right. 20 hours ago, TryTheBeal! said: Not all Rolexes are super expensive and, in fact, some of the lower-priced models hold their value or often accrue value over time. As “bling” goes, a modest Rolex is about as sensible as it gets. Full disclosure, I do not and have never owned a Rolex but, as a dealership guy, I know many, many people who do. I own one, but it was my late father’s watch and was handed down to me (meaning, I did not buy it). I agree that (some) Rolex’s are not as expensive as their brand suggests. 18 minutes ago, Chachie said: It seems to me that the term "rich" has been redefined. With folks out there like Bezos, Gates, Zuckerberg, etc the bar has been raised beyond our atmosphere. A million bucks is doodley-squat now. I'd be happy as a clam with a million, but I wouldn't feel rich. Yea, people are gonna have their own definition of what “rich” means. Since this thread started I had a second kid and my definition is starting to include whether we need to continue to be a 2 income family. Meaning, in NoVa, if one spouse can stop working, they are probably rich as I define the term. I will consider myself rich on the day I can tell my wife she can quite her job. Link to comment Share on other sites More sharing options...
mcsluggo Posted March 4, 2020 Share Posted March 4, 2020 2 hours ago, PleaseBlitz said: That cannot be right. I own one, but it was my late father’s watch and was handed down to me (meaning, I did not buy it). I agree that (some) Rolex’s are not as expensive as their brand suggests. Yea, people are gonna have their own definition of what “rich” means. Since this thread started I had a second kid and my definition is starting to include whether we need to continue to be a 2 income family. Meaning, in NoVa, if one spouse can stop working, they are probably rich as I define the term. I will consider myself rich on the day I can tell my wife she can quite her job. My wife is a stay at home mom.... it is a luxury, no doubt, but i would hardly call it rich. Indoor plumbing, Dental floss and toilet paper are luxuries too, and i would feel damned poor without them, but i have a hard time setting those as the standard for "rich", as well. Link to comment Share on other sites More sharing options...
twa Posted March 4, 2020 Share Posted March 4, 2020 I told my wife she didn't have to work if she didn't want to about a month after getting married.....the **** immediately took me at my word unfortunately 😛 I shoulda said there or something. I told my wife she didn't have to work if she didn't want to about a month after getting married.....the **** immediately took me at my word unfortunately 😛 I shoulda said there or something. Link to comment Share on other sites More sharing options...
abdcskins Posted March 4, 2020 Share Posted March 4, 2020 I own a Movado. I used to have a sick Tag Heuer but got it stolen from me in Minneapolis 😞 I hate that city. Stupid Somalians. My goal is to own an Omega. Link to comment Share on other sites More sharing options...
NoCalMike Posted March 4, 2020 Share Posted March 4, 2020 I think there is also an issue of people spending and trying to live way beyond their means. I always chuckle when I throw on the Dave Ramsay show for a segment or two and he will be taking calls from people who make 250-300k a year that just don't know how to survive, and these people are usually living somewhere in the middle of the country, not high cost of living places like NY or SF where I could sympathize a little more with their plight. It seems like a lot of people try to live as if they are 1-2 tax brackets higher than they earn. I work with folks who are making 30-40k a year but are driving around cars that they are making $400 payments on and they wonder why they have no money leftover to do anything. Hell I tried to talk someone out of buying a house because the math just simply didn't make sense but they insisted because they felt they should be "owning" by their age. Link to comment Share on other sites More sharing options...
mcsluggo Posted March 4, 2020 Share Posted March 4, 2020 7 minutes ago, abdcskins said: I own a Movado. I used to have a sick Tag Heuer but got it stolen from me in Minneapolis 😞 I hate that city. Stupid Somalians. My goal is to own an Omega. i have a 1950s Omega Constellation, and i love it, because it was my dad's.... but it is not something i would ever buy. Link to comment Share on other sites More sharing options...
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