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Strategies & Market Trends : The Residential Real Estate Crash Index -- Ignore unavailable to you. Want to Upgrade?

To: Amy J who wrote (16803)	2/6/2004 7:53:27 AM
From: Wyätt Gwyön	Read Replies (1) \| Respond to of 306849

Amy, re: She absolutely should be putting 12k into her 401k account. This would reduce her taxes to essentially nothing. If I were her, I would rent a bedroom in a house for $500/mo (maybe help an older lady to bring the rent down to $300/mo in exchange for meals & board), pay $150/mo in health care, and use $300/mo for food if you did a similar thing, then your discipline is admirable. however, keep in mind that one can have all the discipline in the world, but the story depends most heavily on the initial assumptions. i personally cannot think of a worse decision than putting all one's savings in a 401k account, which itself, due to high management fees, is likely to return considerably less than the market over time, which market is itself likely to underperform its historical average since 1926 (the 11% figure taken from the Ibbotson data which you and others seem to assume will go on for the next century) due to the reasons i explained in earlier posts.

To: Amy J who wrote (16803)	2/6/2004 9:15:08 AM
From: fatty	Read Replies (1) \| Respond to of 306849

Amy, you seem to be another exceptional case just like Grace. But the only reason I brought up my cousin is because I think she is the average case that applies to the majority. And majority is the core of this country and its economy.