Money How broke are you? - Page 38

R8RFAN · 07:28 PM

Instead of hijacking a thread lets make our own...
How far up to your ass are you in debt are you?
How close are you to filing for Bankruptcy.
How many of you borrow from Mom and Dad because you are sorry as hell and have to drive that car that sounds like a pissed off bumble bee?

Let's get it on you broke dick bastards...

It's on

I will start the thread

0 Mortgage debt
0 Consumer debt
0 Car payments

Bills I owe
Directv
Insurance
Taxes
Utilities
Food
and Cell Phone (thanks luv)

**Donger** · 06-17-2016, 01:53 PM

Quote:

Originally Posted by Amnorix

What, you don't like paying insurance to cover someone ELSE'S risk?

Yeah, every homeowner who pays PMI must work to eliminate it as soon as possible. It does absolutely nothing for them.

Yeah. I had PMI when we made the huge leap from KC housing prices to Denver. I got rid of it in less than a year.

Amnorix · 06-17-2016, 01:57 PM

Quote:

Originally Posted by Donger

Make sure that you don't have a pre-payment penalty on your loan. If don't, see if you can add some extra principal reduction every month. If you're just a few months in and have a 30 year note, even a few hundred extra a month will save you thousands and thousands in the long run.

errr....wellll....maybe. I'm actually not a fan of doing this, and here is why. If you do not keep the mortgage until you actually pay it off, all you've really done is given the mortgage company an interest fee loan for all the time from when you prepaid whatever amount until you sell the house.

Let me rephrase -- the above advice is terrific if you are definitely going to stay in the house until you pay off the mortgage. Otherwise, it isn't.

And that includes refinancing. If you're going to refinance, then you essentially get no benefit for prepaying, other than having a lower principal amount. You could, of course, pay down the principal WHEN you refi, which means you had that money working for you until such date, instead of given to the bank.

There is also no way to get it back once you prepay, so doing the above definitely comes after establishing a rainy day fund, etc.

Though the above is generally considered sound advice, I actually disfavor it unless you are not good at saving money. If the money will be "burning a hole in your pocket" and get spent, then sure, prepay the mortgage. Otherwise, meh.

**Donger** · 06-17-2016, 02:01 PM

Quote:

Originally Posted by Amnorix

errr....wellll....maybe. I'm actually not a fan of doing this, and here is why. If you do not keep the mortgage until you actually pay it off, all you've really done is given the mortgage company an interest fee loan for all the time from when you prepaid whatever amount until you sell the house.

Let me rephrase -- the above advice is terrific if you are definitely going to stay in the house until you pay off the mortgage. Otherwise, it isn't.

And that includes refinancing. If you're going to refinance, then you essentially get no benefit for prepaying, other than having a lower principal amount. You could, of course, pay down the principal WHEN you refi, which means you had that money working for you until such date, instead of given to the bank.

There is also no way to get it back once you prepay, so doing the above definitely comes after establishing a rainy day fund, etc.

Though the above is generally considered sound advice, I actually disfavor it unless you are not good at saving money. If the money will be "burning a hole in your pocket" and get spent, then sure, prepay the mortgage. Otherwise, meh.

Sorry, yes, only if you plan on riding out the loan term. And, it does help build equity faster, of course. At least a little.

**ChiTown** · 06-17-2016, 02:24 PM

I just turned 50, so I'll give you my advice, or shall we say, impart some common sense.

1. Live within your means. I had friends when I was younger, and still have friends at my age, that will spend right up to the very dollar they make......and more. I used to think that they must be super wealthy, but come to find out, they were actually just super stupid. Also, living within your means means that you actually have to save money each and every month. Don't listen to any specific percentage other than the one that works for you at the time that you are making the decision. Adjust it every 6 months to a year, depending upon how your life is changing (income increase/decrease and expense increase/decrease).

2. There is the tortoise and there is the hare. Both will cross the finish line eventually, but one gets there sooner than the other. One spends an enormous amount of energy trying to be first, while the other knows it's a lost cause to do nothing more than to keep a steady, slow pace. Figure out which one of these two you are, or which one you resemble the most. Why? Because it will help you in planning for the future. I knew a guy that wanted to retire when he was 55 (hare), but he wasn't on a career path that was going to allow that (tortoise). It's a bit of a conundrum and can create issues for you down the road, especially if you have convinced your wife you can provide something that won't come to fruition for several years down the road.

3. Along the way, don't forget to be happy. Money issues seemed to rise up all the time for me between the ages 28-40. There were some great earning years in the age frame, but it also cost me a great deal of time away from Family and Friends. Ambition is great, but ambition doesn't care about you after you retire. Money will come and go, but Family and true Friends are there forever. Find the balance that makes you happy, and I promise you'll never worry about how you didn't didn't spend more time in the office or on the road working. I missed a lot of time with my oldest Son when he was a toddler due to traveling overseas on business. I'd substitute the bonuses and salary bumps I made to have that time back with my Son.

4. Last - Have a retirement goal. Figure out where you want to retire, how you want to retire, and how much money it will take to get there. I fully realize that plans and desires change over time (especially when you are younger), but it's immensely difficult to cross the finish line if you don't know where you are running to. Just a FYI, I never used a pen in planning out my retirement goals. I generally used a pencil with a giant eraser.

Good luck, and enjoy the ride - it goes a lot faster than you think!

BWillie · 06-17-2016, 03:14 PM

Quote:

Originally Posted by lewdog

A figure came out at the end of 2015 that said around 60% of people have less than $1,000 saved.

That's an astonishing figure.

Wow I can't really believe this figure. Sad if true.

**lewdog** · 06-17-2016, 03:48 PM

Quote:

Originally Posted by Amnorix

What, you don't like paying insurance to cover someone ELSE'S risk?

Yeah, every homeowner who pays PMI must work to eliminate it as soon as possible. It does absolutely nothing for them.

You can pay off the PMI outright on a mortgage from the start if you aren't getting the 20% down to avoid the PMI. Not sure why more people don't do this but is saves you money in the long run and obviously makes your monthly payments less.

**lewdog** · 06-17-2016, 03:49 PM

Quote:

Originally Posted by BWillie

Wow I can't really believe this figure. Sad if true.

http://www.marketwatch.com/story/mos...ngs-2015-10-06

And 21% of people don't even have a savings account.

**ChiTown** · 06-17-2016, 03:54 PM

Quote:

Originally Posted by lewdog

http://www.marketwatch.com/story/mos...ngs-2015-10-06

And 21% of people don't even have a savings account.

Savings Account's aren't much of a measure anymore. There's all sorts of ways to save money and be liquid without having an actual Savings Account at your bank. So, if someone has an interest bearing checking account, and keeps 3 months worth of salary in there, does that skew the results in that article? Or, are they saying 21% of the people don't have savings in any sort of account?

**lewdog** · 06-17-2016, 03:59 PM

Quote:

Originally Posted by ChiTown

Savings Account's aren't much of a measure anymore. There's all sorts of ways to save money and be liquid without having an actual Savings Account at your bank. So, if someone has an interest bearing checking account, and keeps 3 months worth of salary in there, does that skew the results in that article? Or, are they saying 21% of the people don't have savings in any sort of account?

I don't ****ing know, but I am guessing by the 62% that don't have $1k saved, that it's probably pretty accurate across all savings vessels.

**lewdog** · 06-17-2016, 04:04 PM

I've thought about starting a general financial, stock market and life planning events thread. I really like hearing about companies and investing trends/advice as well.

Not sure if anyone would be interested but I surely learn a lot from others?

eDave · 06-17-2016, 04:07 PM

PMI is a scam targeting younger first time buyers who most likely don't have the 20%. And being younger carries risk. Like not having the 20%. But they are in a home.

Next, concentrate on getting out of that PMI.

**ChiTown** · 06-17-2016, 04:11 PM

Quote:

Originally Posted by lewdog

I've thought about starting a general financial, stock market and life planning events thread. I really like hearing about companies and investing trends/advice as well.

Not sure if anyone would be interested but I surely learn a lot from others?

Maybe you and R8ER's could co-author the thread?

**SAUTO** · 06-17-2016, 04:31 PM

Quote:

Originally Posted by lewdog

http://www.marketwatch.com/story/mos...ngs-2015-10-06

And 21% of people don't even have a savings account.

I don't have a savings account.

**Bugeater** · 06-17-2016, 04:55 PM

I bet Sauto has all his cash in a wall safe hidden behind a portrait of Smokey Yunick.

**Rain Man** · 06-17-2016, 04:57 PM

Quote:

Originally Posted by JASONSAUTO

I don't have a savings account.

Offshoring it, eh?

03-18-2011, 11:32 AM
R8RFAN Molôn Labé Join Date: Sep 2001 Location: North Carolina Casino cash: $8466872	How broke are you? Instead of hijacking a thread lets make our own... How far up to your ass are you in debt are you? How close are you to filing for Bankruptcy. How many of you borrow from Mom and Dad because you are sorry as hell and have to drive that car that sounds like a pissed off bumble bee? Let's get it on you broke dick bastards... It's on I will start the thread 0 Mortgage debt 0 Consumer debt 0 Car payments Bills I owe Directv Insurance Taxes Utilities Food and Cell Phone (thanks luv) Last edited by R8RFAN; 03-18-2011 at 07:28 PM..
Posts: 23,182

06-17-2016, 02:24 PM	#559
ChiTown Stroking to the SB Champs! Join Date: Aug 2000 Location: Flatlands of Kansas Casino cash: $-311038	I just turned 50, so I'll give you my advice, or shall we say, impart some common sense. 1. Live within your means. I had friends when I was younger, and still have friends at my age, that will spend right up to the very dollar they make......and more. I used to think that they must be super wealthy, but come to find out, they were actually just super stupid. Also, living within your means means that you actually have to save money each and every month. Don't listen to any specific percentage other than the one that works for you at the time that you are making the decision. Adjust it every 6 months to a year, depending upon how your life is changing (income increase/decrease and expense increase/decrease). 2. There is the tortoise and there is the hare. Both will cross the finish line eventually, but one gets there sooner than the other. One spends an enormous amount of energy trying to be first, while the other knows it's a lost cause to do nothing more than to keep a steady, slow pace. Figure out which one of these two you are, or which one you resemble the most. Why? Because it will help you in planning for the future. I knew a guy that wanted to retire when he was 55 (hare), but he wasn't on a career path that was going to allow that (tortoise). It's a bit of a conundrum and can create issues for you down the road, especially if you have convinced your wife you can provide something that won't come to fruition for several years down the road. 3. Along the way, don't forget to be happy. Money issues seemed to rise up all the time for me between the ages 28-40. There were some great earning years in the age frame, but it also cost me a great deal of time away from Family and Friends. Ambition is great, but ambition doesn't care about you after you retire. Money will come and go, but Family and true Friends are there forever. Find the balance that makes you happy, and I promise you'll never worry about how you didn't didn't spend more time in the office or on the road working. I missed a lot of time with my oldest Son when he was a toddler due to traveling overseas on business. I'd substitute the bonuses and salary bumps I made to have that time back with my Son. 4. Last - Have a retirement goal. Figure out where you want to retire, how you want to retire, and how much money it will take to get there. I fully realize that plans and desires change over time (especially when you are younger), but it's immensely difficult to cross the finish line if you don't know where you are running to. Just a FYI, I never used a pen in planning out my retirement goals. I generally used a pencil with a giant eraser. Good luck, and enjoy the ride - it goes a lot faster than you think! __________________
Posts: 40,896

06-17-2016, 04:04 PM	#565
lewdog Mod Team Join Date: Sep 2011 Location: Valley of the hot as **** Casino cash: $-1338100	I've thought about starting a general financial, stock market and life planning events thread. I really like hearing about companies and investing trends/advice as well. Not sure if anyone would be interested but I surely learn a lot from others?
Posts: 46,294

06-17-2016, 04:07 PM	#566
eDave Banned Join Date: Jan 2013 Casino cash: $9998560	PMI is a scam targeting younger first time buyers who most likely don't have the 20%. And being younger carries risk. Like not having the 20%. But they are in a home. Next, concentrate on getting out of that PMI.
Posts: 53,803

06-17-2016, 04:55 PM	#569
Bugeater The Maintenance Guy Join Date: Sep 2005 Location: Renovated Bugeater Estate Casino cash: $3992680	I bet Sauto has all his cash in a wall safe hidden behind a portrait of Smokey Yunick.
Posts: 70,546