Hey everyone, here is my situation. I recently purchased a truck from my grandparents for relatively low cost (2.5k) now just recently the transmission went out on it. I now have two options, I can either put 2.5k into fixing the transmission or I can purchase a new car for 10k that is 9 years younger with 80k less miles.
My current finacial situation is as follows: My take home is 1200.00 every 2 weeks after taxes, I pay rent, gas and food. The parents pay for insurance ($100) and phone bill, I will being paying the difference in insurance for full coverage. At the moment I am taking a semester off to work but I will not be switching to part time when I start. Another expense that I am going to begin to start budgeting for it a trip to Japan ($6000). Now My question is; should I invest in a car with my current situation, at the moment I have no transportation and I would rather purchase a newer car with lowish miles than invest more in a vehicle with high miles.
I do not know if this matters but the car is a 2008 Volvo C30 with 50k miles. I will be doing general maintenance myself.
So, my father co-signed on a car for my younger brother a year ago. Ironically, he's actually a manager of a car dealership and has been in the business since he retired from the military when I was 8 (I'm nearly 32 now.)
The issue is that my brother has decided that he no longer wants the car and want's to voluntarily have it repo'd. At the time, they lived together when the lien was signed but now my brother is in TN and my dad is still in CA. So the car isn't even in reach to take back custody of it, anyway.
Here's the bottom line issue: My dad can't afford to make the payments and he also can't afford the repo on his credit. I'm involved in this because my dad is reaching out to me to help him with the payments and I honestly can't afford to do it, either.
A colleague of mine's father owns a local towing company. I don't know if he knows shit about shit but I'm assuming he may because he said there may be a way to negotiate with the bank some how to get my dad out of this in a way that isn't detrimental.
Again, I'm going off of this alone. This may be smoke because believe me, I know once you sign your name on any loan - you're responsible no matter what the circumstance is.
I've had several cars paid off (no matter if I was a month behind at times or not due fear of repo) and loans. I've defaulted on a couple in my 20's and still reaping those.
So please don't take this as ignorant. I'm asking seriously. Does anyone have anything other than "Fucked" to suggest? Maybe I'm slightly gulliable to my colleagues suggestion because of the emotional tie to all of this.
I am 24 years old and have had a 403(b) for about 1.5 years. I make about $43,000 a year and have been contributing 4% over the last year with no option of contribution from my employer. I will be increasing my contribution to 6% within the next few weeks and will continue to increase my contribution rate annually.
I have been investing 100% of my funds into my Vanguard Target Retirement 2055. I have $2,400 in my account and my Rate of Return from 01/01/2016 to 12/31/2016 was 11.38%
When I was doing my taxes - my preparer was looking over my retirement account. He told me that I should invest a portion of my money into riskier and high performing stocks since I am young. I also know that the point of a target retirement plan is that they start off riskier and start to taper down and become less aggressive as you approach retirement.
I am new here, so please forgive me if I don't use the correct terminology, but through my casual research, his suggested approach seems to be odd. There seems to be two camps in this subreddit: those who use target retirement plans (set it and forget it) and those who custom create their own portfolio.
However, I have not seen any people so far who advocate a combination of the two (70% in Target Retirement, 20% in VSIAX, 10% in VSMAX for example).
I am wondering if this advice is worth putting any consideration into (now or in the future). And if so, what is the best way to approach it? Or - is it wise to just stick where I am at.
So I got hit with a large tax bill this year as my income increased and I didn't withhold enough and didn't qualify for the IRA contribution or for the loan interest deduction on my student loans. So, planning for next year, I've maxed out my 401k (not matched, stock options instead) to reduce my income which should get me under the magic number to get those deductions again. However my question is, it's suggested to take care of debt first (~$66k in loans, $7k in CC ) before putting money into retirement. Given my tax bracket though would you suggest the path I'm on now and take the retirement and tax savings, or take the cash and pay off debt?
I recently met up with a friend that is getting married soon, and it came as a surprise because he always said he never would. When I asked him about the change in heart, he said a lot had to do with taxes and the deductions that married couples receive.
I know that seems like a terrible reason to change his views, but they have a house, plan on kids, and have been together for a while, so why not!?
I guess I am just reading it incorrectly, but when I see the standard deduction for single its 6,200 and jointly is 12,400. So, what's the benefit? Apparently 95% of people are better off filing jointly, so obviously I am missing something.
Hi everyone! New user here, so please let me know if this question belongs in the Moronic Monday thread or some other subreddit. I looked through the FAQ, did some searches, and wasn't sure if it's bad practice to be posting in Moronic Monday if it's not Monday, so that's a long-winded explanation for why this post ended up here...
I just graduated from college 3 weeks ago and before I start work at the end of the month, I've been asked to fill out some onboarding information by my employer - reviewing benefits, filling out tax information, etc.
I just had two quick questions:
If was told by a friend that we can continue using our campus address up to 6 months after graduation on tax documents to save some money on taxes if I'm working in a high-tax area (NYC) - is that true? After graduating, if I will be working, is it true that my parents can no longer claim me as a dependent? I read the qualifications for a dependent here. I am under 24 and not sure what providing half my "support" on my own means.
Much more general question here, I don't really know anything about health insurance and have been using guides that pop up on Google (like thesimpledollar guide) to get up to speed. Do you guys have any suggestions for guides on "adult" things like medical insurance, credit, taxes, etc. that are tailored to the recent graduate? Will definitely be reading through the FAQ on these but was wondering whether any of these topics takes a different bent when applied to new grads.
So ive been in the union for a little bit and i need to choose which insurace to get PPO or non PPO and im not really sure which one to choose. Im 23M still living with my mom dont have any kids or anything so what would be my best option for choosing the insurance that will benefit me?
I currently have about $25,000 in the bank. I have no debt at all, fortunately. I just started a job with a salary of $85,000 a year. I'm maxing out my Roth 401k ($17,500 post-tax per year plus employer contribution of about $6,000) which leaves me with a take-home pay of $1,500 biweekly, or about $39,000 per year. I was thinking about also maxing a Roth IRA which would put me out $5,000 a year, but I do need to worry about my car and left-over money too.
I pay around $1800/mo for rent right now which I can't really change due to my lease. I regret it now, but it really seemed like I didn't have many options at the time. Anyway, that leaves me with ~$14,000 after rent per year.
The car is the big thing right now. I'm from NYC so I never actually owned a car in my life. I'm 22 and I just moved to northern California where a car is basically a necessity outside of SF. I was hoping to buy something around $28,000 (I was thinking a Subaru BRZ), but after insurance and monthly payments, I'm not sure if I can really afford it. The other option would be to get a used car which would likely have a lower insurance premium and be cheaper. I was thinking about a used Nissan 350Z (probably around $20,000 for one that's about 5 years old) in that case, but I'm unsure about getting a car with only 2 seats and if it would make a change in insurance costs despite the lower value. If anyone can give me advice about either my finances or the car, I'd really appreciate it. Thanks.
First off, I hope this is the right spot. I tried reading through some related posts, but can't really get a clear picture.
WA state residents. Wife and I bought a house in May 2016 and were married in Sept. 2016.
I changed jobs around Sept from ~$57k to $70k; wife makes around $35k.
I have student loans and a car payment.
Should we be filing jointly or Married Filing Separately. I'm also not against paying someone to help with our taxes, but have no idea what a fair price is and who is the best to go to (all I know is to avoid some of those clear scams like Liberty Tax).
Ok, so ihave about 20 grand in student loans left to pay off between 2 companys. One being sallie Mae and the other is the government with myfedloans. I have 3 federal loans to the sum of 6700. Each of those have a interest rate between 5.75 and 6.55 %. Now the sallie Mae loans. I have 5 individual loans 1500 at 2.33%, 1500 at 2.33 %, 1700 at 2.33% and two 3700 dollar loans at 6.8%. Now I have about 7000 extra dollars to throw at these loans. My question is do I pay the federal loans in full and apply my federal loan payment each month towards the sallie Mae loans or do I go after the sallie Mae loans with the higher interest rates?
I’m a masters degree student staying in Beijing, China and have received 20,000 rmb as a scholarship. I have income that’s enough for everything including saving up. I want to spend the money for something else that can profit in short/long term. Any advice will be highly appreciated
I left my part time job and I have a small 401k that I want to roll over (~$700).
This is my first time leaving a job with a 401k, and I had a couple of questions.
First one seems a little stupid, but how do I actually roll it over to an IRA? The 401k is with fidelity and I have my current IRA with Vanguard. Should I call Vanguard and give them the information? Does fidelity know that I'm no longer employed at work with the 401k? I've heard with low balances, sometimes a check will just get sent to you automatically, but I'm not for sure though. I tried asking my manager at work, but they were unsure and couldn't give me any answers.
I also wanted feedback on converting it to a Roth or Traditional IRA. After I change jobs, my and my wife's income for the total of this year will probably be around 80-85k filing jointly. I kind of lean towards converting it into a Roth IRA.
I'm a federal govt employee in Maryland who puts 10% of my income into a TSP savings account and makes mandatory payments to a FERS account. If I moved to a state like Florida after retiring could I avoid paying taxes on my TSP account earnings?
I'm 25 and have a flawless credit history. My only weird marks would be a single medical bill that recently went to collections due to my insurance company being morons and my utter refusal to pay it. It got cleared up and I haven't seen a mailing/heard a phone call since the insurance paid their share and I paid my $12.
CK shows my score as 750. Quizzle has it at 693, which is a huge difference from CK obviously.
I have a Citi Rewards card and a car loan at ~10k that I've been paying down more than required for about two years now. FT job paying well enough that I save for retirement/IRA/emerg fund.
My issue right now is that I only have 3 years of history between two cards and a car loan. I'm aiming for an AMEX but doesn't look likely. So, to build up credit history (and on-time, full payments like I already do), is it bad to sign up for a "store card"? I shop at only a couple of stores routinely, but I'm looking at two "big" purchases (one ~$150 and one ~1000) that I could probably really benefit with a store card for either.
If I open one of these and make occasional purchases, on top of the initial "big" one, and obviously pay on time/in full (duh), is it that big of a deal? I'd just let it sit to build credit more than anything
I've recently come across a killer deal on a foreclosure in my area, it's actually a much nicer house than mine right now. I'm interested in possibly buying that house, moving into it and renting out the house that I'm currently paying a mortgage on now.
The catch is that it I can't say it's a 2nd home due to the guidelines a 2nd home would need to fall under and I would have to consider it an investment property from what I'm told.
Is there anyway to buy this house as a primary residence? And possibly move my house to an investment property type deal? I do not have the full 15-20% to put down on it right now, I can probably manage about 8% of it, reason being is that I need to act quickly in order to get this deal.
I understand the due diligence I would need to put into making sure this house isn't a lemon before purchasing it, I just want to see if this is a possibility
So what I'm interested in is what did you do once you paid off a debt/loan with that now "extra" income. Did you get a new loan for something different? Save, invest, buy new junk? In order of importance perhaps, rank: emergency fund, long-term savings, investments (stocks/ETFs), personal spending, other loan (house, boat...boathouse).
I'm at the end of my auto loan and have lived without the money every month for years now. I could use it to pad an emergency fund, or contribute to a fun fund and so on. No new bills in my future and no big auto repairs (less than 50k miles on a 5yr old car) in the future. Just wondering what other people do or recommend once debts are finally paid off. I have no other debts that the money could go to.
I'm just about ready to file my tax return, but there's one form I am missing - a 1099 (I think) for the sale of stock resulting in a (long-term) capital loss of about $20.00.
The brokerage says the form will be available by the end of February, though I'd really rather not wait that long to get my taxes done. Apart from the minuscule deduction, what are the consequences of failing to include this form? Can I amend my tax return this year after I receive the form? Can I file the form with my tax return next year?
Oh boy, I think I might be in trouble. After reading another post in r/personalfinance, I think I may also be getting screwed. I hired a financial planner to help manage my IRA and a message I just got from them regarding fees has me concerned. Can someone explain this to me like I'm 5?
"There are front-end load fees and back-end load fees, depending on the type of share class you go with. There are a few share classes, but the two to be most familiar with are A shares and C shares. A shares are front-end loaded, which means you pay the management fee up front (see what I elect to place you in above). C shares are back-end loaded, which means you pay the management fee when you pull out your money. Typically, A shares charge 5.75% and C shares charge 1% (with a some variation depending on the fund). While you pay less up front with C shares, you pay a higher 12b-1 fee annually (see definition below), which means A shares are better tailored if you plan on holding onto your funds for a longer period of time."
She says that her firm also takes out an annual custodial fee of $75. and breaks cost down as such:
So, in conclusion, you’ll be paying as follows:
$75 per year for any type of share
5.75% of each deposit for A shares
.25% annually for A shares
Did I... did I just get screwed over? I apologize if there is any info lacking from this post that makes it hard to answer... just feeling really confused myself. Help.
The people over at r/askcarsales have been giving him advices on how bad his financial decision will be other post. From what we collected, he works a kitchen job somewhere in Florida making about 30k/yr and trying to lease a freaking GS 350 which is a $60k car and knowing well that he will go over the lease mileage limit. Hopefully someone here can knock some sense into him!
I am sick of spending $15.99 a month on my credit reporting agency! I feel like I am paying too much for some computer to think about me periodically. I would like to have a similar service, but perhaps a better, cheaper one.
I know I am entitled to 3 free credit reports every year, which is sufficient for me, but I would still like to have a service that notifies me of any significant changes or new accounts. Does anyone have any recommendations or experience with any services like this, that don't seem too expensive for what they are?
A bonus question: My wife and I were single when we both signed up for our own plan. Now that we're married, is there any reason to maintain two credit monitoring accounts, one in each of our names?