Investment BS Thread - Stocks/Futures/Mutual Funds/Bonds/Commodities/Options/ETFs/401ks/Etc

I look at the same kind of stuff. My prediction is +15-20% this year. I say that because the horrible returns in 2018 were not triggered by a recession, I think it was an overreaction to the possibility of a recession. Add in the fact that 2 negative years in a row is rare, I see a good year ahead. I think soon though a recession should hit, maybe next year or the year after that. I just stay invested, buy more, and collect my dividends so this is more of a hobby to study, I won’t sell anyways.

 

I have them sent to me and I reinvest them all, but in the stocks I choose. I get free trades so I just buy more.

I saved a lot for years and invested in other places, and I dumped the whole thing into the stock market last summer. I am down about 15% but that hasn’t bothered me at all.

My portfolio of 30 stocks yields just under 5% so I am pretty happy with it. It is set up for decent growth (some low yield stocks) and some REITs, so I think it will do well over the next decades.

 

If you don’t absolutely need that dividend cash, reinvest it and you’ll be getting just that much more next month.

 

Are you guys trying to hold your dividend stocks in traditional accounts or IRA’s?

 

Mine are in a regular account, I don’t do any retirement accounts. However, mine need to be accessible if I decide I need them. I’m 30 years away from retirement age but sort of retired already.

I would definitely use a tax advantaged retirement account under different circumstances, I’m sure I’d have a lot more money in the end that way. But who even knows if you’ll live to retirement age, not worth it to me.

 

Semi retired! Nice

I’m 40 years away.

I come here to read others ideas, and sometimes you guys say things I’m unfamiliar with and a google search later and reading I’ve learned something new. That’s the benefit of this thread.

I do have a question if my company does a profit share of 3% salary and I’m already putting the limit of a 401k 18,500 in my Roth can the company still contribute 3% to my account?

Edit.. 2019 limits are 19000 now

 

So I think I misunderstood, but someone correct me if I’m wrong.

For 2019 “I” can only contribute $19,000 to my 401k, this is my personal hard earned money. The company can give me as much as they want till the total combined retirement account contribution for the year equals $56,000. So technically the company could give me up to $37,000 if I’m using my maximum personal contributions.

 

Are you getting the 2 confused? The Roth has a limit of $5500 for the year. The IRA has the 19,000.

Good question. I don't know if you can get the company match for the Roth.

I'm only quikly scanning the thread, so I may have things ixed up.

 

Company sponsored Roth accounts you can contribute the full 19,000 all Roth

 

Well VA disability allows me to work or not work, but I am working and trying to get my dividend income to a point that I am comfortably retired. Not there yet but on a decent pace.

I have actually bought stocks I heard about in this thread so I’m with you on that, I’ve learned a lot as well reading posts. Next will be options, just been lazy about getting started on that.

 

That's correct. Unless you're old enough to make catch-up contributions, which allows you to go to $25,000. And employer contributions are traditional, not roth I believe.

Not correct. An IRA has a $6,000 limit for 2019, and that can be traditional or roth. A 401k has a limit of $19,000 this year and can also be either roth or traditional.

 

Quick question since it’s the topic right now.

I have a 401k that I didn’t realize was going for a while, and I want to get it out to put into my regular brokerage account. I still work there (but stopped contributions) so they won’t let me. I want to pay any penalty necessary, but they tell me it’s IRS rules and I can’t get it unless I stop working there.

Anyone know of a way I can cash that out? Or is it impossible? I’d be ok with half of the balance, the rest as a penalty.

 

I think your company is correct. You can cash out a 401k while still employed, but not while still employed by the company sponsoring the plan. So if you move companies, you can cash out the 401k from the place you leave. But not the one from the place you're currently at.

 

That’s what they told me. I was wondering if there was a trick. My boss tried to help me even, and he owns the company, no luck.

 

“Quit” for a couple months, cash it out, then get rehired?

 

I asked the company sponsoring it if I could do that. I can’t remember why, but there’s a reason you can’t do that. The lady I spoke to said she has been asked that before lol

Also, you can’t roll it into an IRA while working for the company. I was going to do that, then pay the penalty to get it from that account.

Just in case someone reads this in a similar situation, here’s a little knowledge for you!

 

@memario1214 You’ve got it handled my man. I only bring it up for those who are not as well versed in understanding tax deferral strategies.

I don’t personally mess with dividend stocks - just want everyone to be aware that they need to figure out their best options for their own plans.