So do I take Social Security first, on the assumption that it's going to go bankrupt, and so I should get some of my money while I can, or do I take 401(k) first, on the assumption that the struggling company that owns it may give in to the temptation to raid the funds?
Decisions, decisions....
9 comments:
I don't know. I started mine a long time ago only I didn't do enough of it.
You need to talk to a financial adviser because every situation is different.
We are, though I have my doubts - the last one we talked with, from the company that's handling this whole layoff deal, assured us that in 30 years, given our pattern of spending, we'd have essentially the same amount of money as we did at the time. Yeah...I really believe that. She went on to speak glibly about Monte Carlo simulations, which I understand, and I know that they do a decent job of forecasting, but they look for the mean, not the outliers.
As for which to hit first, comes down to which smiling glib people I believe. Right now, the answer is neither.
Talk to an independent financial advisor! (Ask on one of the Yahoo forums, for instance.)
The thing is, companies going under can and do raid the pension fund without warning. Trusting them isn't an option - not these days. Speaking strictly for myself, here's what I'd think: "Hmm. Management isn't doing a good job. They're asking everyone to trust them. I think I'll move my money."
Thats exactly our thought. There are times when the old put your money under the mattress doesn't seem so stupid.
Buy a business. Sink your entire fortune, such as it is, and work your tail off for five years.
It should start paying off in five years. If it doesn't, sell it, and start a different one.
downside....its risky. Yeah, like your present plan isn't?
Upside....if you sink, its because of something YOU either did or didn't do. Not because of some suit on Wall Street who is going to get his gold plated pension at your expense.
downside....the economy is in the dumps, and "times is hard".
upside....can't get any worse.
Bottom line....you won't get rich by working for somebody else. You MIGHT get rich working for yourself. (Oh, and please, none of that "well, what do you define as "rich" self defeating rhetoric...we know what rich means. Its achieveing your lifetime goal.
Oh and Carolyn Ann.... Advice is right on! prrr. nice kitty...
Who knew a cat could be so smart!
I'm not that courageous.
I started a grocery delivery service in my neighbourhood. I worked purely for tips. Made me feel good, kept me active, met a lot of my neighbours and covered the gas.
Worked well until some well meaning neighbourhood group like the Kinettes or some thing decided to do it as well. Can't compete with a charity, so I folded it.
Of course if I had a back like yours I would have come up with something different.
A back like mine? Je ne comprends pas, desolé.
Post a Comment