Go Back  CorvetteForum - Chevrolet Corvette Forum Discussion > Off Topic > Politics, Religion & Controversy
Reload this Page >

Number of Fidelity 401(k) millionaires hits record high

Politics, Religion & Controversy Politics | Religion | Controversy (Non-Corvette)

Number of Fidelity 401(k) millionaires hits record high

 
Old 08-16-2018, 11:23 PM
  #41  
68/70Vette
CF Senior Member
 
Member Since: Jul 2004
Location: Torrance California
Posts: 24,703
Thanked 10 Times in 8 Posts
Default

Originally Posted by GhostTX View Post
Sounds to me like you picked the wrong state to retire in.
Not retired yet. In my mid 70's, I don't have to make minimum distributions since I'm still employed with a non-profit company. Will retire in January 2019. Plan to leave the state.
68/70Vette is offline  
Old 08-16-2018, 11:29 PM
  #42  
pdiddy972
CF Senior Member
 
pdiddy972's Avatar
 
Member Since: Jan 2014
Location: Dallas, TX
Posts: 9,825
Thanked 333 Times in 219 Posts
Default

Originally Posted by GCD1962 View Post
Today's $1 million is yesterdays $100,000. It's all relative
If that's so, then why are the number of millionaires still so small (3-4% of individuals)?

You guys can't simultaneously suggest a million isn't a lot of savings or net worth when so few still achieve it.
pdiddy972 is online now  
Old 08-16-2018, 11:35 PM
  #43  
Hoonose
CF Senior Member
 
Hoonose's Avatar
 
Member Since: Feb 2000
Location: Arizona
Posts: 42,082
Thanked 74 Times in 64 Posts
Default

Originally Posted by Frankie the Fink View Post
My top-shelf health premiums are $400/month for the wife and ...if a retiree has to pay $1,700/month that's a big dent in what his committed funds can be used for.
Medicare is much cheaper.
Hoonose is online now  
Old 08-17-2018, 12:03 AM
  #44  
7t5
CF Senior Member
 
Member Since: Jan 2004
Posts: 6,117
Thanks: 0
Thanked 1 Time in 1 Post
St. Jude Donor '14
Default

Originally Posted by Krystal View Post
Depends on your age.

It is if you're under 30.........if your 40 you got work to do and more planing........if your over 50........then you're behind your peers in the pursuit of "comfortable".
How would you feel about someone over 50 with a defined pension of ~1,500/ month who is half a millionaire in their 401k? Asking for a friend.
I never see defined pensions discussed in these situations.
7t5 is offline  
Old 08-21-2018, 09:38 AM
  #45  
Krystal
CF Senior Member
 
Krystal's Avatar
 
Member Since: Jan 2003
Posts: 17,856
Thanks: 0
Thanked 59 Times in 47 Posts
Default

Originally Posted by 7t5 View Post
How would you feel about someone over 50 with a defined pension of ~1,500/ month who is half a millionaire in their 401k? Asking for a friend.
I never see defined pensions discussed in these situations.
I look at this from a point of view that assumes you don't have a pension coming...........(Most people don't)........but even so........without getting hung up in the actual numbers because this will be different for different income levels and situations.

The point I was really attempting, in posting up what I did, was all about how delaying "the plan" for success is a huge mistake too many Americans make.

Start EARLY and the numbers I posted are very achievable for anyone with this country's median income level.

If you have pension money coming and then there is also SS............ you can likely still meet a pretty healthy number at retirement in your retirement accounts. You can afford yo be a little more aggressive than the person without a pension.

Calling your level on target, short of target or even possibly ahead can't really be done without knowing so very much more about you and your own situation and family, along with what retirement means to you. This, in a nut shell, is why I can only speak in broad general terms.

A million in your 50s is NOT a tough target to meet if you started after this goal in your first year of work.

It's way less likely if someone waits 'till their 30s to get seriously started and if they wait, as so many do, until their 40s because they were raising kids and paying a mortgage...... meeting the required figures that fund a "comfortable" and "active" retirement will either require them to work longer and/or plow away extra cash that could have made those years after the kids are gone a whole lot nicer.

The bottom line the costs associated with waiting.........is found in how it squanders your most valuable asset in all this ........."time".....regardless of income level........it's still the one piece that can make it such that you give up very little over a working lifetime to achieve "comfortable".........or you give up a whole lot in those last 10-20 years to ensure you still make the goal.

But I bet your friends knows this already......... nobody in their 50s isn't aware of it.........it's the 20 something that it's so very hard to make the impression on about how retirement is coming despite how it looks like such a far off and fuzzy concept at the time. They can make a pretty much PAINLESS effort early on or they can wait and make the very tough decisions and trade offs later.

Last edited by Krystal; 08-21-2018 at 09:41 AM.
Krystal is offline  
Old 08-21-2018, 10:42 AM
  #46  
ZL1Vette
CF Senior Member
 
ZL1Vette's Avatar
 
Member Since: Oct 2004
Location: Rockland County New York
Posts: 28,794
Thanked 0 Times in 0 Posts
Default

Well, I brought 2 of those in this year -- my father and uncle.

Dad was already in The Club and my uncle joined it in Q2 when I made him a 6-figure score in 1 day, about 1200 basis points of outperformance relative to the S&P 500.

Fidelity is also getting new accounts from other brokerage firms (like my dad/uncle) because they provide special services for IRAs and Roth IRAs.

Last edited by ZL1Vette; 08-21-2018 at 10:43 AM.
ZL1Vette is offline  
Old 08-21-2018, 10:44 AM
  #47  
ZL1Vette
CF Senior Member
 
ZL1Vette's Avatar
 
Member Since: Oct 2004
Location: Rockland County New York
Posts: 28,794
Thanked 0 Times in 0 Posts
Default

Originally Posted by GCD1962 View Post
Today's $1 million is yesterdays $100,000. It's all relative
Maybe from the 1950's, yes.
ZL1Vette is offline  
Old 08-21-2018, 10:59 AM
  #48  
ZL1Vette
CF Senior Member
 
ZL1Vette's Avatar
 
Member Since: Oct 2004
Location: Rockland County New York
Posts: 28,794
Thanked 0 Times in 0 Posts
Default

Originally Posted by 7t5 View Post
How would you feel about someone over 50 with a defined pension of ~1,500/ month who is half a millionaire in their 401k? Asking for a friend. I never see defined pensions discussed in these situations.
That was my father's situation years ago. Since then, his Roth IRA has more than doubled.

I assume that the pension of $1,500/month is in the future and fixed and not current and able to grow (it could double by the time he retires). But $500,000 a year should provide anywhere from $18,000 - $25,000 a year in income assuming a conservative withdrawal rate. So combined about $40,000 a year in income, give-or-take.

Last edited by ZL1Vette; 08-21-2018 at 11:00 AM.
ZL1Vette is offline  
Old 08-21-2018, 11:15 AM
  #49  
BoostManiac
CF Senior Member
 
BoostManiac's Avatar
 
Member Since: Jan 2001
Location: Deplorable 160 Proof Olde Anglo-Saxon in Atlanta, GA
Posts: 35,937
Thanked 16 Times in 13 Posts
Default

Originally Posted by GCD1962 View Post
Today's $1 million is yesterdays $100,000. It's all relative
Or if you go back far enough, $10,000.

Fact is, it is still a substantial amount of money and the vast majority of Americans do NOT have it net or liquid.

If you are already well setup in life (reasonable expenses and debt, healthy, etc), $1 million well invested can generate enough income to live comfortably without a job. I guarantee you that if someone like Trump had to start over with $1 million today, he would gave the drive and ingenuity to turn that sum into a mountain of cash. Could Barack do that on his own? He hadn't done **** by age 47.

Last edited by BoostManiac; 08-21-2018 at 11:43 AM.
BoostManiac is online now  
Old 08-21-2018, 11:21 AM
  #50  
Hoonose
CF Senior Member
 
Hoonose's Avatar
 
Member Since: Feb 2000
Location: Arizona
Posts: 42,082
Thanked 74 Times in 64 Posts
Default

Originally Posted by BoostManiac View Post
Or if you go back far enough, $10,000.

Fact is, it is still a substantial amount of money and the vast majority of Americans do NOT have it net or liquid.

If you are already well setup on life (reasonable expenses and debt, healthy, etc), $1 million well invested can generate enough income to live comfortably without a job. I guarantee you that if someone like Trump had to start over with $1 million today, he would gave the drive and ingenuity to turn that sum into a mountain of cash. Could Barack do that on his own? He hadn't done **** by age 47.
IMO Trump would have a chance, not a guarantee. Obama little chance.
Hoonose is online now  
Old 08-21-2018, 11:46 AM
  #51  
BoostManiac
CF Senior Member
 
BoostManiac's Avatar
 
Member Since: Jan 2001
Location: Deplorable 160 Proof Olde Anglo-Saxon in Atlanta, GA
Posts: 35,937
Thanked 16 Times in 13 Posts
Default

Originally Posted by Hoonose View Post
IMO Trump would have a chance, not a guarantee. Obama little chance.
Trump has proven himself more than capable of bouncing back bigly many times. He was already a billionaire by age 30. That doesn't happen by accident. Give Barack the same million dollar loan at a young age and he wouldn't have the same result. Give Mike Tyson $10 million free and clear, and he'd magically turn it into $0.00.
BoostManiac is online now  
Old 08-21-2018, 11:48 AM
  #52  
pdiddy972
CF Senior Member
 
pdiddy972's Avatar
 
Member Since: Jan 2014
Location: Dallas, TX
Posts: 9,825
Thanked 333 Times in 219 Posts
Default

Originally Posted by BoostManiac View Post
Trump has proven himself more than capable of bouncing back bigly many times. He was already a billionaire by age 30. That doesn't happen by accident. Give Barack the same million dollar loan at a young age and he wouldn't have the same result. Give Mike Tyson $10 million free and clear, and he'd magically turn it into $0.00.
Million dollar loan? That he never paid back. And the additional 3.5 million illegal "loan" to bail out his failing casino when his Dad bought 3.5 million in chips and then never cashed them in? And the tens or hundreds of millions in NY real estate he inherited? Why do you guys want to pretend Trump started with nothing?
pdiddy972 is online now  
Old 08-21-2018, 11:56 AM
  #53  
BoostManiac
CF Senior Member
 
BoostManiac's Avatar
 
Member Since: Jan 2001
Location: Deplorable 160 Proof Olde Anglo-Saxon in Atlanta, GA
Posts: 35,937
Thanked 16 Times in 13 Posts
Default

Originally Posted by pdiddy972 View Post


Million dollar loan? That he never paid back. And the additional 3.5 million illegal "loan" to bail out his failing casino when his Dad bought 3.5 million in chips and then never cashed them in? And the tens or hundreds of millions in NY real estate he inherited? Why do you guys want to pretend Trump started with nothing?
He had a big head start in life, but again, has shown the ability to Win again and again. Barry showed the back of his head to old White men in Chicago bathhouses again and again.

I guess it eventually paid off, since old White men decided to place Barry in the White House many years later.


BoostManiac is online now  
Old 08-21-2018, 12:01 PM
  #54  
JDSKY
CF Senior Member
 
JDSKY's Avatar
 
Member Since: Aug 2018
Location: Western WI
Posts: 460
Thanked 92 Times in 62 Posts
Default

Originally Posted by Frankie the Fink View Post
True - and net worth is a funny thing.....some don't realize their Traditional IRA/401K is "committed" money for a future expense and tax deferred -- not tax exempt.

I have a 7 digit portfolio with 3/4 of it tax free including a Roth IRA.... Moreover, the money is untapped because the wife and I live off two Federal defined benefit pensions and two social security monthly checks and zero debt...

So an apples-to-apples comparison of somebody with $1MM in a taxable IRA they HAVE to maintain for future use becomes a bit tricky... My top-shelf health premiums are $400/month for the wife and ...if a retiree has to pay $1,700/month that's a big dent in what his committed funds can be used for.

To wit, you can have a $1MM portfolio but due to exogenous circumstances live like someone with $4MM-$5MM in an IRA...

Not to brag but just to understand that getting giddy over a nice slug of money in a tax-deferred retirement fund might need some qualifications...
Yes, money in a 401K is not tax exempt but most invest to defer taxes to a time when their income will likely be lower realizing an "immediate" tax savings while also benefiting from the growth over time. A very smart strategy and yes, something to be giddy about. They also invest in order to receive the advantage of an "immediate" gain provided by their employers matching contributions, another great reason to be giddy because a chunk of that million or more was actually provided by their employer.

Your statement also ignores the fact that many invest in tax deferred vehicles because they do not qualify to participate in other tax advantaged vehicles like a Roth IRA due to the restrictive income limits that are placed on these. Any smart plan includes a diversified investment strategy that includes "a nice slug of money in a tax-deferred retirement fund" AND other investments. My guess is just as in the personal example you gave most that have reached this 401K mile marker also have other investments not included in the analysis like pensions, annuities, real-estate, businesses, trust accounts, after tax investment accounts etc...

Even if they don't they have still achieved something be "giddy" about. A majority never save a dime and just think old age is something to worry about later on and that someone else will take care of them - Social Security and Medicare...... Two things definitely not to be giddy about.

Last edited by JDSKY; 08-21-2018 at 12:03 PM.
JDSKY is offline  
Old 08-21-2018, 02:13 PM
  #55  
GCD1962
CF Senior Member
 
Member Since: Feb 2004
Location: CT
Posts: 13,671
Thanked 69 Times in 64 Posts
Default

Originally Posted by ZL1Vette View Post
Maybe from the 1950's, yes.
Later than that. 60s and even 70s. Friends dad purchased a home in Greenwich on Lake Ave past Pkwy. 13 acres, many out buildings. beautiful property. $150k in mid 60s. Today (if still intact) over $10 million. Even in the early 70s houses in back Greenwich went for under $100k with lots of land and a house that is easily $5-8 million today. Friend was offered the E.C. Benedict house across from the yacht club for under $500k in the late 60s.
GCD1962 is offline  
Old 08-21-2018, 02:18 PM
  #56  
GCD1962
CF Senior Member
 
Member Since: Feb 2004
Location: CT
Posts: 13,671
Thanked 69 Times in 64 Posts
Default

Originally Posted by ZL1Vette View Post
That was my father's situation years ago. Since then, his Roth IRA has more than doubled.

I assume that the pension of $1,500/month is in the future and fixed and not current and able to grow (it could double by the time he retires). But $500,000 a year should provide anywhere from $18,000 - $25,000 a year in income assuming a conservative withdrawal rate. So combined about $40,000 a year in income, give-or-take.
You can't live very well on that income in most of the populated areas of the NE
GCD1962 is offline  
Old 08-21-2018, 02:20 PM
  #57  
GCD1962
CF Senior Member
 
Member Since: Feb 2004
Location: CT
Posts: 13,671
Thanked 69 Times in 64 Posts
Default

Originally Posted by BoostManiac View Post
Trump has proven himself more than capable of bouncing back bigly many times. He was already a billionaire by age 30. That doesn't happen by accident. Give Barack the same million dollar loan at a young age and he wouldn't have the same result. Give Mike Tyson $10 million free and clear, and he'd magically turn it into $0.00.
Keep in mind Donnie got a big head start from his daddy. Didn't exactly work his way up from the bottom
GCD1962 is offline  
Old 08-21-2018, 03:20 PM
  #58  
CuZ06
CF Senior Member
 
Member Since: Feb 2011
Posts: 13,888
Thanked 9 Times in 7 Posts
Default

Originally Posted by pdiddy972 View Post


Million dollar loan? That he never paid back. And the additional 3.5 million illegal "loan" to bail out his failing casino when his Dad bought 3.5 million in chips and then never cashed them in? And the tens or hundreds of millions in NY real estate he inherited? Why do you guys want to pretend Trump started with nothing?
Please show us where he inherited hundreds of millions in real estate, that is complete BS and you know it....
CuZ06 is offline  
Old 08-21-2018, 03:25 PM
  #59  
GCD1962
CF Senior Member
 
Member Since: Feb 2004
Location: CT
Posts: 13,671
Thanked 69 Times in 64 Posts
Default

Originally Posted by CuZ06 View Post
Please show us where he inherited hundreds of millions in real estate, that is complete BS and you know it....
Daddy Trump
GCD1962 is offline  
Old 08-21-2018, 03:33 PM
  #60  
GCD1962
CF Senior Member
 
Member Since: Feb 2004
Location: CT
Posts: 13,671
Thanked 69 Times in 64 Posts
Default

Originally Posted by CuZ06 View Post
Please show us where he inherited hundreds of millions in real estate, that is complete BS and you know it....
Reported to be between $40 to $200 million. Even with an equal split between all siblings when Fred Trump died each would get $35 million
GCD1962 is offline  

Thread Tools
Search this Thread
Quick Reply: Number of Fidelity 401(k) millionaires hits record high


Sponsored Ads
Vendor Directory

Contact Us - About Us - Archive - Advertising - Cookie Policy - Privacy Statement - Terms of Service

© 2019 MH Sub I, LLC dba Internet Brands

We are a participant in the Amazon Services LLC Associates Program, an affiliate advertising program designed to provide a means for us to earn fees by linking to Amazon.com and affiliated sites.
 
  • Ask a Question
    Get answers from community experts
Question Title:
Description:
Your question will be posted in: