13.67% Holy damn
- Thread starter Airjockie
- Start date
- Replies 30
- Views 1K
We may earn a small commission from affiliate links and paid advertisements. Terms
yeah, that'd be a full time job. However, I've been buying like mad with this fire sale that's been going on. Thinking about picking up ETFC soon as well...
And Clayton, the common stock that you have is exactly what most all of us purchase on the market. Common stock offers proxy/votes to be cast and dividends to be collected, whereas preferred stock does not normally allow votes but still collects dividends.
The shares that you have are severely discounted on the market price (in your case a roughly 40% cut than I could purchase). I presume you contribute to an Employee Stock Purchase Plan which is great, but you should really diversify your allocations across the board more. Bonds, mutual funds or even your own Roth would be good bets to make.
And Clayton, the common stock that you have is exactly what most all of us purchase on the market. Common stock offers proxy/votes to be cast and dividends to be collected, whereas preferred stock does not normally allow votes but still collects dividends.
The shares that you have are severely discounted on the market price (in your case a roughly 40% cut than I could purchase). I presume you contribute to an Employee Stock Purchase Plan which is great, but you should really diversify your allocations across the board more. Bonds, mutual funds or even your own Roth would be good bets to make.
you're going to get hit with anywhere from $10-20 per transaction.
Thus, buying in with 100 bucks already puts you 10-20% in the hole.
I generally don't buy under $1000 worth of whatever.
Some funds have min limits, too.
And some stocks are cheaper the more you buy. This usually saves a few cents a share once you break 1000 shares, or whatever their big buy figure is.
That said, if you open a fund with someone, chances are they have an interest bearing 'cash reserves' that pays WAY over any savings passbook will.
I'm currently earning 2.35% in my cash reserves, and was over 5% just a few months ago.
So,
Dump a 100 a month into it if you can. If you can dump more, great.
I personally dump 350 into my 401k (175 each me and my company match pre-tax, directly out of my check) and 200 into my roth IRA (direct deposit from my bank each month, post-tax).
roth ira's earn interest free. the only tax you pay is that it is post-income, so it's already been taxed. but, they have limits. Currently, 5k a year max contribution.
the 401k is pre tax now, but when i take it out later at 55+, i will have to pay taxes on it.
basically, it earns interest/investment value on the tax dollars, and then the gov't takes that interest you earned on 'them' for allowing it that way.
and the roth is the other way around, it's your money 100% when you take it out, but you don't earn interst on the taxable extra as they already took their cut before you put it into it in the first place.
If you're not remotely concerned with retirement funds (but you should be) you can always get a simple 'trader' account.
This will be 100% post tax money that you put in, and can take out at will with no age limits. But, you will be hit with capital gains on anything you pull.
I say start an account with no less than 250.
and don't make your first stock purchase until you have 1000 in it.
Thus, buying in with 100 bucks already puts you 10-20% in the hole.
I generally don't buy under $1000 worth of whatever.
Some funds have min limits, too.
And some stocks are cheaper the more you buy. This usually saves a few cents a share once you break 1000 shares, or whatever their big buy figure is.
That said, if you open a fund with someone, chances are they have an interest bearing 'cash reserves' that pays WAY over any savings passbook will.
I'm currently earning 2.35% in my cash reserves, and was over 5% just a few months ago.
So,
Dump a 100 a month into it if you can. If you can dump more, great.
I personally dump 350 into my 401k (175 each me and my company match pre-tax, directly out of my check) and 200 into my roth IRA (direct deposit from my bank each month, post-tax).
roth ira's earn interest free. the only tax you pay is that it is post-income, so it's already been taxed. but, they have limits. Currently, 5k a year max contribution.
the 401k is pre tax now, but when i take it out later at 55+, i will have to pay taxes on it.
basically, it earns interest/investment value on the tax dollars, and then the gov't takes that interest you earned on 'them' for allowing it that way.
and the roth is the other way around, it's your money 100% when you take it out, but you don't earn interst on the taxable extra as they already took their cut before you put it into it in the first place.
If you're not remotely concerned with retirement funds (but you should be) you can always get a simple 'trader' account.
This will be 100% post tax money that you put in, and can take out at will with no age limits. But, you will be hit with capital gains on anything you pull.
I say start an account with no less than 250.
and don't make your first stock purchase until you have 1000 in it.
Last edited:
Dude, yes.
Look at historical trends. The market is still much higher than it was 25 years ago.
I was upset about the rally in the past few days because I was just about to sink a large lump sum into the market and buy at a discount.
If you're not cashing out your chips now and you have money to spend its a great time to buy.