Datasets:

danielv835

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pf_coach_v0.1

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User (GotsPaid): "I'm 30 years old, and just took a new job that puts me at $185k a year, an increase of $60k.\n\nKnowing that there is risk with this position, not sure how I should position myself next.\n\nStats:\nCash on hand (savings/checking/cash): $11k\n401k: $106k\nIRA: $50k\nInvestment accounts: $55k\nPrivate investments: ~$40k\nDebt: $0\n\nI currently do not own a house (co-own a rental property with a partner), max out my 401k and IRA, and contribute monthly to other investments. I guess what I want to know...where do I go next? I live in a high priced real estate market that I hope to leave in 4 years. I also plan on transitioning out of this industry in the next 4 years too.\n\nEdit: I have a car that is paid off. Never really had any goals or big dreams, other than early retirement. \nEdit 2: Let us say I want to retire at 40." Self: "just don't spend it all. I don't see how you can screw this up with $185k / yr. You'd have to try extra hard to spend like a rock star. \n\nThat said, you said nothing about your monthly expenses, so it's totally possible you're that bad." User (GotsPaid): "Nope live well within my means...rent and utilities is $2100 (standard for my area, although for the least six years it was below $1500). My one vice is I drink, but even that is getting harder to do as I get older." Self: "There's plenty of stuff on the sidebar, as well as blogs to read about this if you can use google. You seem like a smart guy. Go read everything you can. There's not enough information about your situation for anyone to provide a comprehensive answer. \n\nAbove all, I wouldn't trust r/pf to build my FI plan." AlphaDomain (AlphaDomain): "r/financialindependence would be good for him"

User (GotsPaid): "I'm 30 years old, and just took a new job that puts me at $185k a year, an increase of $60k.\n\nKnowing that there is risk with this position, not sure how I should position myself next.\n\nStats:\nCash on hand (savings/checking/cash): $11k\n401k: $106k\nIRA: $50k\nInvestment accounts: $55k\nPrivate investments: ~$40k\nDebt: $0\n\nI currently do not own a house (co-own a rental property with a partner), max out my 401k and IRA, and contribute monthly to other investments. I guess what I want to know...where do I go next? I live in a high priced real estate market that I hope to leave in 4 years. I also plan on transitioning out of this industry in the next 4 years too.\n\nEdit: I have a car that is paid off. Never really had any goals or big dreams, other than early retirement. \nEdit 2: Let us say I want to retire at 40." Self: "I don't mean to pry but... Damn. What profession pays 125 to 185k that early in your career? Good for you." actuallywtf (actuallywtf): "Similar in age/salary to OP give or take 1 yr and 10k.\n\nI work in strategy consulting. I work 70hrs/6 days in an average week not including travel time (last week i spent another 12hr on planes). I pull an all nighter doing work 1-2x month. The money is great but by no means easy. I developed a sleep disorder and lost an unhealthy amount of weight due to jet lag related loss of appetite."

User (GotsPaid): "I'm 30 years old, and just took a new job that puts me at $185k a year, an increase of $60k.\n\nKnowing that there is risk with this position, not sure how I should position myself next.\n\nStats:\nCash on hand (savings/checking/cash): $11k\n401k: $106k\nIRA: $50k\nInvestment accounts: $55k\nPrivate investments: ~$40k\nDebt: $0\n\nI currently do not own a house (co-own a rental property with a partner), max out my 401k and IRA, and contribute monthly to other investments. I guess what I want to know...where do I go next? I live in a high priced real estate market that I hope to leave in 4 years. I also plan on transitioning out of this industry in the next 4 years too.\n\nEdit: I have a car that is paid off. Never really had any goals or big dreams, other than early retirement. \nEdit 2: Let us say I want to retire at 40." Self: "Save up to buy house without a mortgage. Good time to start a family."

User (GotsPaid): "I'm 30 years old, and just took a new job that puts me at $185k a year, an increase of $60k.\n\nKnowing that there is risk with this position, not sure how I should position myself next.\n\nStats:\nCash on hand (savings/checking/cash): $11k\n401k: $106k\nIRA: $50k\nInvestment accounts: $55k\nPrivate investments: ~$40k\nDebt: $0\n\nI currently do not own a house (co-own a rental property with a partner), max out my 401k and IRA, and contribute monthly to other investments. I guess what I want to know...where do I go next? I live in a high priced real estate market that I hope to leave in 4 years. I also plan on transitioning out of this industry in the next 4 years too.\n\nEdit: I have a car that is paid off. Never really had any goals or big dreams, other than early retirement. \nEdit 2: Let us say I want to retire at 40." Self: "Congrats. We sound like we are in the same boat. Keep your spending as is and stash the rest. You will be good to go. But look, your 30 and these are great years. You are young enough to still go out and party, and make enough were you can do that right. Live a little. Travel, get out there and have fun. Auto save every month and then splurge the rest. \n\nEnjoy. You earned it. "

User (GotsPaid): "I'm 30 years old, and just took a new job that puts me at $185k a year, an increase of $60k.\n\nKnowing that there is risk with this position, not sure how I should position myself next.\n\nStats:\nCash on hand (savings/checking/cash): $11k\n401k: $106k\nIRA: $50k\nInvestment accounts: $55k\nPrivate investments: ~$40k\nDebt: $0\n\nI currently do not own a house (co-own a rental property with a partner), max out my 401k and IRA, and contribute monthly to other investments. I guess what I want to know...where do I go next? I live in a high priced real estate market that I hope to leave in 4 years. I also plan on transitioning out of this industry in the next 4 years too.\n\nEdit: I have a car that is paid off. Never really had any goals or big dreams, other than early retirement. \nEdit 2: Let us say I want to retire at 40." Self: "I don't mean to pry but... Damn. What profession pays 125 to 185k that early in your career? Good for you." mac2885 (mac2885): "I work for Big Oil in finance. My total comp (salary, bonus, 401k match, stock grants) is near the top of that range as well. "

User (GotsPaid): "I'm 30 years old, and just took a new job that puts me at $185k a year, an increase of $60k.\n\nKnowing that there is risk with this position, not sure how I should position myself next.\n\nStats:\nCash on hand (savings/checking/cash): $11k\n401k: $106k\nIRA: $50k\nInvestment accounts: $55k\nPrivate investments: ~$40k\nDebt: $0\n\nI currently do not own a house (co-own a rental property with a partner), max out my 401k and IRA, and contribute monthly to other investments. I guess what I want to know...where do I go next? I live in a high priced real estate market that I hope to leave in 4 years. I also plan on transitioning out of this industry in the next 4 years too.\n\nEdit: I have a car that is paid off. Never really had any goals or big dreams, other than early retirement. \nEdit 2: Let us say I want to retire at 40." Self: "I don't mean to pry but... Damn. What profession pays 125 to 185k that early in your career? Good for you." jaggity_boom (jaggity_boom): "Not OP, but software engineering." aaronisherebro (aaronisherebro): "As a recruiter for a large Gov Integrator in Northern Virginia. I second this, and its a candidates market for sure. Especially if you have a clearance!" dencalin (dencalin): "How does getting a clearance work? I'll be graduating relatively soon in software engineering, and it's come up a few times looking for jobs/internships." atlgeek007 (atlgeek007): "My first clearance came through a job I applied for. The application for clearance was done after an offer was made, and I could start working before the clearance came through, but not with the data set that actually required clearance, which basically made me a gofer for six weeks while the clearance interviews happened (for me it was my immediate family and everyone I'd associated with in the last year who got interviewed, but I was going for the bare minimum clearance)"

User (GotsPaid): "I'm 30 years old, and just took a new job that puts me at $185k a year, an increase of $60k.\n\nKnowing that there is risk with this position, not sure how I should position myself next.\n\nStats:\nCash on hand (savings/checking/cash): $11k\n401k: $106k\nIRA: $50k\nInvestment accounts: $55k\nPrivate investments: ~$40k\nDebt: $0\n\nI currently do not own a house (co-own a rental property with a partner), max out my 401k and IRA, and contribute monthly to other investments. I guess what I want to know...where do I go next? I live in a high priced real estate market that I hope to leave in 4 years. I also plan on transitioning out of this industry in the next 4 years too.\n\nEdit: I have a car that is paid off. Never really had any goals or big dreams, other than early retirement. \nEdit 2: Let us say I want to retire at 40." Self: "> Edit: I have a car that is paid off. Never really had any goals or big dreams, other than early retirement.\n\nWork towards that. Keep investing using taxable accounts. Investing grows your wealth, wealth allows you to retire earlier.\n\nUse a rent vs. buy calculator, like the one the New York Times has, and consider whether or not it's worth owning a home." deathlesgaming (deathlesgaming): ">Investing grows your wealth, wealth allows you to retire earlier.\n\nDon't be a stock market fck unless your Jesus at it(Diversify if you want to do it but still risky since whole markets can crash). Invest smart stuff like buying a house in a really good hood. Or buying something that will hold value like the Mona Lisa. \n\n____________________________\n\n____________________________\n\nEdit --------holy shit I thought it was because I was giving bad real estate advice or something. The stock market is in a really overbought place right now you don't just get 40% unless your in the Jesus Christ of Economies. Brokers will always tell you that you can make money THEY ARE SALESMEN. The bond market which is suppose to be the safest market right now is a shit show cause everybody went into it in 2008 people are trying to make it the new stock market. Now Hedge funds is something you can never be wrong about and are pretty much the only thing to invest in.\n\n\n\n-ouch downvotes " maxt10 (maxt10): "Worse advice ever"

User (GotsPaid): "I'm 30 years old, and just took a new job that puts me at $185k a year, an increase of $60k.\n\nKnowing that there is risk with this position, not sure how I should position myself next.\n\nStats:\nCash on hand (savings/checking/cash): $11k\n401k: $106k\nIRA: $50k\nInvestment accounts: $55k\nPrivate investments: ~$40k\nDebt: $0\n\nI currently do not own a house (co-own a rental property with a partner), max out my 401k and IRA, and contribute monthly to other investments. I guess what I want to know...where do I go next? I live in a high priced real estate market that I hope to leave in 4 years. I also plan on transitioning out of this industry in the next 4 years too.\n\nEdit: I have a car that is paid off. Never really had any goals or big dreams, other than early retirement. \nEdit 2: Let us say I want to retire at 40." Self: "pay a shit load more in taxes and live in the same house/area but work twice as hard."

User (GotsPaid): "I'm 30 years old, and just took a new job that puts me at $185k a year, an increase of $60k.\n\nKnowing that there is risk with this position, not sure how I should position myself next.\n\nStats:\nCash on hand (savings/checking/cash): $11k\n401k: $106k\nIRA: $50k\nInvestment accounts: $55k\nPrivate investments: ~$40k\nDebt: $0\n\nI currently do not own a house (co-own a rental property with a partner), max out my 401k and IRA, and contribute monthly to other investments. I guess what I want to know...where do I go next? I live in a high priced real estate market that I hope to leave in 4 years. I also plan on transitioning out of this industry in the next 4 years too.\n\nEdit: I have a car that is paid off. Never really had any goals or big dreams, other than early retirement. \nEdit 2: Let us say I want to retire at 40." Self: "I don't mean to pry but... Damn. What profession pays 125 to 185k that early in your career? Good for you." jaggity_boom (jaggity_boom): "Not OP, but software engineering." aaronisherebro (aaronisherebro): "As a recruiter for a large Gov Integrator in Northern Virginia. I second this, and its a candidates market for sure. Especially if you have a clearance!" jasonnellis (jasonnellis): "Let me guess - based somewhere in Crystal City? :)" aaronisherebro (aaronisherebro): "Nope, In Herndon!"

User (GotsPaid): "I'm 30 years old, and just took a new job that puts me at $185k a year, an increase of $60k.\n\nKnowing that there is risk with this position, not sure how I should position myself next.\n\nStats:\nCash on hand (savings/checking/cash): $11k\n401k: $106k\nIRA: $50k\nInvestment accounts: $55k\nPrivate investments: ~$40k\nDebt: $0\n\nI currently do not own a house (co-own a rental property with a partner), max out my 401k and IRA, and contribute monthly to other investments. I guess what I want to know...where do I go next? I live in a high priced real estate market that I hope to leave in 4 years. I also plan on transitioning out of this industry in the next 4 years too.\n\nEdit: I have a car that is paid off. Never really had any goals or big dreams, other than early retirement. \nEdit 2: Let us say I want to retire at 40." Self: "I don't mean to pry but... Damn. What profession pays 125 to 185k that early in your career? Good for you." jaggity_boom (jaggity_boom): "Not OP, but software engineering." aaronisherebro (aaronisherebro): "As a recruiter for a large Gov Integrator in Northern Virginia. I second this, and its a candidates market for sure. Especially if you have a clearance!" dencalin (dencalin): "How does getting a clearance work? I'll be graduating relatively soon in software engineering, and it's come up a few times looking for jobs/internships." aaronisherebro (aaronisherebro): "Your going to want to look for a company that will sponser you. Once you graduate, you should have no problem having a company sponser you for a clearance. I have been hearing about Jacobs alot on the radio, but depending on where you want to live will determine which companies are in your commutable range that you want to target. "

User (GotsPaid): "I'm 30 years old, and just took a new job that puts me at $185k a year, an increase of $60k.\n\nKnowing that there is risk with this position, not sure how I should position myself next.\n\nStats:\nCash on hand (savings/checking/cash): $11k\n401k: $106k\nIRA: $50k\nInvestment accounts: $55k\nPrivate investments: ~$40k\nDebt: $0\n\nI currently do not own a house (co-own a rental property with a partner), max out my 401k and IRA, and contribute monthly to other investments. I guess what I want to know...where do I go next? I live in a high priced real estate market that I hope to leave in 4 years. I also plan on transitioning out of this industry in the next 4 years too.\n\nEdit: I have a car that is paid off. Never really had any goals or big dreams, other than early retirement. \nEdit 2: Let us say I want to retire at 40." Self: "seriously dude? you should probably live under a bridge and live off of ramen until you're 40 to afford retirement. \n\ncome on man...you're maxing out your retirement accounts and holding investments while making 185k a year. that's ALL YOU HAVE TO DO. \n\nyou might have a good job but you lack common sense... go talk to a reputable broker instead. brokercheck.com is your friend"

User (GotsPaid): "I'm 30 years old, and just took a new job that puts me at $185k a year, an increase of $60k.\n\nKnowing that there is risk with this position, not sure how I should position myself next.\n\nStats:\nCash on hand (savings/checking/cash): $11k\n401k: $106k\nIRA: $50k\nInvestment accounts: $55k\nPrivate investments: ~$40k\nDebt: $0\n\nI currently do not own a house (co-own a rental property with a partner), max out my 401k and IRA, and contribute monthly to other investments. I guess what I want to know...where do I go next? I live in a high priced real estate market that I hope to leave in 4 years. I also plan on transitioning out of this industry in the next 4 years too.\n\nEdit: I have a car that is paid off. Never really had any goals or big dreams, other than early retirement. \nEdit 2: Let us say I want to retire at 40." Self: "I've been trying to get a real job since I graduated college and can't find one. What do I do? Lol. Congrats by the way on the raise...!"

User (GotsPaid): "I'm 30 years old, and just took a new job that puts me at $185k a year, an increase of $60k.\n\nKnowing that there is risk with this position, not sure how I should position myself next.\n\nStats:\nCash on hand (savings/checking/cash): $11k\n401k: $106k\nIRA: $50k\nInvestment accounts: $55k\nPrivate investments: ~$40k\nDebt: $0\n\nI currently do not own a house (co-own a rental property with a partner), max out my 401k and IRA, and contribute monthly to other investments. I guess what I want to know...where do I go next? I live in a high priced real estate market that I hope to leave in 4 years. I also plan on transitioning out of this industry in the next 4 years too.\n\nEdit: I have a car that is paid off. Never really had any goals or big dreams, other than early retirement. \nEdit 2: Let us say I want to retire at 40." Self: "I don't mean to pry but... Damn. What profession pays 125 to 185k that early in your career? Good for you." jaggity_boom (jaggity_boom): "Not OP, but software engineering." aaronisherebro (aaronisherebro): "As a recruiter for a large Gov Integrator in Northern Virginia. I second this, and its a candidates market for sure. Especially if you have a clearance!" dencalin (dencalin): "How does getting a clearance work? I'll be graduating relatively soon in software engineering, and it's come up a few times looking for jobs/internships." Not_the_brightest (Not_the_brightest): "A buddy of mine enlisted in the Air Guard in a rate that would get him a Top Secret Clearance.\n \nTS cleared Helpdesk make $80k in the DC area."

User (GotsPaid): "I'm 30 years old, and just took a new job that puts me at $185k a year, an increase of $60k.\n\nKnowing that there is risk with this position, not sure how I should position myself next.\n\nStats:\nCash on hand (savings/checking/cash): $11k\n401k: $106k\nIRA: $50k\nInvestment accounts: $55k\nPrivate investments: ~$40k\nDebt: $0\n\nI currently do not own a house (co-own a rental property with a partner), max out my 401k and IRA, and contribute monthly to other investments. I guess what I want to know...where do I go next? I live in a high priced real estate market that I hope to leave in 4 years. I also plan on transitioning out of this industry in the next 4 years too.\n\nEdit: I have a car that is paid off. Never really had any goals or big dreams, other than early retirement. \nEdit 2: Let us say I want to retire at 40." Self: "Lowering your taxes is your new top priority. In addition to real estate, look at back door Roth and mega back door Roth " ChiantiAndFavaBeans (ChiantiAndFavaBeans): "At 30 years old w/ 50k in an IRA, I assume OP Is already maxing the IRA." Self: "You can't do an IRA at OPs New salary range but backdoor Roth is something different..." AlphaDomain (AlphaDomain): "What is a backdoor roth" PooptyPewptyPaints (PooptyPewptyPaints): "Like a regular Roth, but kinkier"

User (GotsPaid): "I'm 30 years old, and just took a new job that puts me at $185k a year, an increase of $60k.\n\nKnowing that there is risk with this position, not sure how I should position myself next.\n\nStats:\nCash on hand (savings/checking/cash): $11k\n401k: $106k\nIRA: $50k\nInvestment accounts: $55k\nPrivate investments: ~$40k\nDebt: $0\n\nI currently do not own a house (co-own a rental property with a partner), max out my 401k and IRA, and contribute monthly to other investments. I guess what I want to know...where do I go next? I live in a high priced real estate market that I hope to leave in 4 years. I also plan on transitioning out of this industry in the next 4 years too.\n\nEdit: I have a car that is paid off. Never really had any goals or big dreams, other than early retirement. \nEdit 2: Let us say I want to retire at 40." Self: "I don't mean to pry but... Damn. What profession pays 125 to 185k that early in your career? Good for you." HKAKF (HKAKF): "Software engineers can start at 180-190k+ fresh out of undergrad at places like Google and Facebook.\n\nE: lol at the salty downvotes from arts majors" cmdrsoup (cmdrsoup): "probably in places where 180-190k is slightly higher than middle class, I'd venture a guess." quentin-coldwater (quentin-coldwater): "Even in the bay area, 180-190k can be good money if you're willing to put up with a stupid long commute."

User (GotsPaid): "I'm 30 years old, and just took a new job that puts me at $185k a year, an increase of $60k.\n\nKnowing that there is risk with this position, not sure how I should position myself next.\n\nStats:\nCash on hand (savings/checking/cash): $11k\n401k: $106k\nIRA: $50k\nInvestment accounts: $55k\nPrivate investments: ~$40k\nDebt: $0\n\nI currently do not own a house (co-own a rental property with a partner), max out my 401k and IRA, and contribute monthly to other investments. I guess what I want to know...where do I go next? I live in a high priced real estate market that I hope to leave in 4 years. I also plan on transitioning out of this industry in the next 4 years too.\n\nEdit: I have a car that is paid off. Never really had any goals or big dreams, other than early retirement. \nEdit 2: Let us say I want to retire at 40." Self: "My next step would be to tend to my narcissistic infatuation of cleverly boasting about my income to internet strangers.. But that's just me."

User (GotsPaid): "I'm 30 years old, and just took a new job that puts me at $185k a year, an increase of $60k.\n\nKnowing that there is risk with this position, not sure how I should position myself next.\n\nStats:\nCash on hand (savings/checking/cash): $11k\n401k: $106k\nIRA: $50k\nInvestment accounts: $55k\nPrivate investments: ~$40k\nDebt: $0\n\nI currently do not own a house (co-own a rental property with a partner), max out my 401k and IRA, and contribute monthly to other investments. I guess what I want to know...where do I go next? I live in a high priced real estate market that I hope to leave in 4 years. I also plan on transitioning out of this industry in the next 4 years too.\n\nEdit: I have a car that is paid off. Never really had any goals or big dreams, other than early retirement. \nEdit 2: Let us say I want to retire at 40." Self: "May I ask what you do? Because I want goals like you and maybe my career path is wrong."

User (GotsPaid): "I'm 30 years old, and just took a new job that puts me at $185k a year, an increase of $60k.\n\nKnowing that there is risk with this position, not sure how I should position myself next.\n\nStats:\nCash on hand (savings/checking/cash): $11k\n401k: $106k\nIRA: $50k\nInvestment accounts: $55k\nPrivate investments: ~$40k\nDebt: $0\n\nI currently do not own a house (co-own a rental property with a partner), max out my 401k and IRA, and contribute monthly to other investments. I guess what I want to know...where do I go next? I live in a high priced real estate market that I hope to leave in 4 years. I also plan on transitioning out of this industry in the next 4 years too.\n\nEdit: I have a car that is paid off. Never really had any goals or big dreams, other than early retirement. \nEdit 2: Let us say I want to retire at 40." Self: "I don't mean to pry but... Damn. What profession pays 125 to 185k that early in your career? Good for you." User (GotsPaid): "OP here...not far off. IT Management. High stress work in a high stress environment. I'm 30 but the last two years probably took 5 years off my life." saml01 (saml01): "If you don't mind my asking, what industry? "

User (GotsPaid): "I'm 30 years old, and just took a new job that puts me at $185k a year, an increase of $60k.\n\nKnowing that there is risk with this position, not sure how I should position myself next.\n\nStats:\nCash on hand (savings/checking/cash): $11k\n401k: $106k\nIRA: $50k\nInvestment accounts: $55k\nPrivate investments: ~$40k\nDebt: $0\n\nI currently do not own a house (co-own a rental property with a partner), max out my 401k and IRA, and contribute monthly to other investments. I guess what I want to know...where do I go next? I live in a high priced real estate market that I hope to leave in 4 years. I also plan on transitioning out of this industry in the next 4 years too.\n\nEdit: I have a car that is paid off. Never really had any goals or big dreams, other than early retirement. \nEdit 2: Let us say I want to retire at 40." Self: "I don't mean to pry but... Damn. What profession pays 125 to 185k that early in your career? Good for you." User (GotsPaid): "OP here...not far off. IT Management. High stress work in a high stress environment. I'm 30 but the last two years probably took 5 years off my life." AlphaDomain (AlphaDomain): "OP I make similar to what you use to and they are looking to push me into management in 2-3 years. Was it worth it?" Psycik99 (Psycik99): "I'm OP 5 years ago. I'd say stop and think really hard if you want to be a manager or a technical contributor. They are extremely different roles and if you love what you do but want more money, focus on specialization (cloud, security, etc). If you want to have broader impact, less hands on technical exposure, and are prepared to deal with a large part of your day being spent on people management (hiring, firing, people issues, goal setting, etc) then go into management.\n\nI waffle. I loved being deeply technical. I initially made the jump for the money and almost immediately didn't like it. Now I love the larger organizational impact I have and I really like mentoring/developing staff. That said, there are very tough and unpleasant parts of being a manager and you also have to deal with a lot of people's personal BS. Also be prepared for your relationship with your team to change. " zephyrIT (zephyrIT): "Definitely think hard about it. I'd easily say no to a management position. I've done management before and hated every hour of it.\n\nI'm now a happy little code monkey again. All I worry about is writing code and a rare short deadline." Psycik99 (Psycik99): "Exactly. Management seems like an 'easy' way to $$$, but especially in today's technology landscape there are plenty of developers/architects/specialized SMEs that make more than management. \n\n" zephyrIT (zephyrIT): "And they have a better work/life balance."

User (GotsPaid): "I'm 30 years old, and just took a new job that puts me at $185k a year, an increase of $60k.\n\nKnowing that there is risk with this position, not sure how I should position myself next.\n\nStats:\nCash on hand (savings/checking/cash): $11k\n401k: $106k\nIRA: $50k\nInvestment accounts: $55k\nPrivate investments: ~$40k\nDebt: $0\n\nI currently do not own a house (co-own a rental property with a partner), max out my 401k and IRA, and contribute monthly to other investments. I guess what I want to know...where do I go next? I live in a high priced real estate market that I hope to leave in 4 years. I also plan on transitioning out of this industry in the next 4 years too.\n\nEdit: I have a car that is paid off. Never really had any goals or big dreams, other than early retirement. \nEdit 2: Let us say I want to retire at 40." Self: "I don't mean to pry but... Damn. What profession pays 125 to 185k that early in your career? Good for you." User (GotsPaid): "OP here...not far off. IT Management. High stress work in a high stress environment. I'm 30 but the last two years probably took 5 years off my life." Avocadoavenger (Avocadoavenger): "Same career here, the before and after pictures in the first four years of my face and body are staggering, I have aged at an alarming rate. I hope to retire at 50 if I don't die first."

User (GotsPaid): "I'm 30 years old, and just took a new job that puts me at $185k a year, an increase of $60k.\n\nKnowing that there is risk with this position, not sure how I should position myself next.\n\nStats:\nCash on hand (savings/checking/cash): $11k\n401k: $106k\nIRA: $50k\nInvestment accounts: $55k\nPrivate investments: ~$40k\nDebt: $0\n\nI currently do not own a house (co-own a rental property with a partner), max out my 401k and IRA, and contribute monthly to other investments. I guess what I want to know...where do I go next? I live in a high priced real estate market that I hope to leave in 4 years. I also plan on transitioning out of this industry in the next 4 years too.\n\nEdit: I have a car that is paid off. Never really had any goals or big dreams, other than early retirement. \nEdit 2: Let us say I want to retire at 40." Self: "OP, similar age & income. Best advice I could give would be to understand taxes and perform tax planning. If your income continues to grow, you'll be getting close to the supplemental Medicare tax (+0.9%) and personal exemption and standard deduction phaseouts. IME most people are not aware of these extra taxes for high incomes. "

User (GotsPaid): "I'm 30 years old, and just took a new job that puts me at $185k a year, an increase of $60k.\n\nKnowing that there is risk with this position, not sure how I should position myself next.\n\nStats:\nCash on hand (savings/checking/cash): $11k\n401k: $106k\nIRA: $50k\nInvestment accounts: $55k\nPrivate investments: ~$40k\nDebt: $0\n\nI currently do not own a house (co-own a rental property with a partner), max out my 401k and IRA, and contribute monthly to other investments. I guess what I want to know...where do I go next? I live in a high priced real estate market that I hope to leave in 4 years. I also plan on transitioning out of this industry in the next 4 years too.\n\nEdit: I have a car that is paid off. Never really had any goals or big dreams, other than early retirement. \nEdit 2: Let us say I want to retire at 40." Self: "I don't mean to pry but... Damn. What profession pays 125 to 185k that early in your career? Good for you." HKAKF (HKAKF): "Software engineers can start at 180-190k+ fresh out of undergrad at places like Google and Facebook.\n\nE: lol at the salty downvotes from arts majors" wexlo (wexlo): "That would be total comp not base salary" chicago1729 (chicago1729): "That is correct, but it only includes stocks that vest this year. If you have $200k of equity over 4 years than only $50k are included in the $190k+ figure. For public companies, it's not that different from a cash bonus."

User (GotsPaid): "I'm 30 years old, and just took a new job that puts me at $185k a year, an increase of $60k.\n\nKnowing that there is risk with this position, not sure how I should position myself next.\n\nStats:\nCash on hand (savings/checking/cash): $11k\n401k: $106k\nIRA: $50k\nInvestment accounts: $55k\nPrivate investments: ~$40k\nDebt: $0\n\nI currently do not own a house (co-own a rental property with a partner), max out my 401k and IRA, and contribute monthly to other investments. I guess what I want to know...where do I go next? I live in a high priced real estate market that I hope to leave in 4 years. I also plan on transitioning out of this industry in the next 4 years too.\n\nEdit: I have a car that is paid off. Never really had any goals or big dreams, other than early retirement. \nEdit 2: Let us say I want to retire at 40." Self: "To retire at 40 (in 10 years) the math works out that you need a 70% net savings rate. So take whatever the fuck your check is and stash away 70% and live on the additional 30%.\n\nBy the time you're 40, that savings will pay you whatever 30% of your check that you've been living on was - in perpetuity.\n\nSo, if I make 10,000 per month. I live on 3000, I save 7000. In 10 years my nest egg will pay out (at like a 3-4% swr) 3000 per month until the end of time or finance as we know it. If this strategy fucks you, chances are everyone and everything around you is fucked also." aboganza (aboganza): "you neglect taxes, which would be about 15% at that monthly rate. so you would have to live off 1500 and save 7000. " Self: "I was talking net income, not gross. The example was just using even numbers. " Pulstastic (Pulstastic): "Starts to get real hard to really live if you are saving 70% of *net* income though. Depending on your tax burden that's like spending only 20% of your salary. And I'd rather be a working stiff than slave around trying to live off of $10,000/year, much less try retiring on it. " Self: "Well right, it's not easy. He said he wanted to retire in 10 years. I was just pointing out how the math to do that works out. I also ignored the fact he was pretty well in the positive to start out."

User (GotsPaid): "I'm 30 years old, and just took a new job that puts me at $185k a year, an increase of $60k.\n\nKnowing that there is risk with this position, not sure how I should position myself next.\n\nStats:\nCash on hand (savings/checking/cash): $11k\n401k: $106k\nIRA: $50k\nInvestment accounts: $55k\nPrivate investments: ~$40k\nDebt: $0\n\nI currently do not own a house (co-own a rental property with a partner), max out my 401k and IRA, and contribute monthly to other investments. I guess what I want to know...where do I go next? I live in a high priced real estate market that I hope to leave in 4 years. I also plan on transitioning out of this industry in the next 4 years too.\n\nEdit: I have a car that is paid off. Never really had any goals or big dreams, other than early retirement. \nEdit 2: Let us say I want to retire at 40." Self: "I don't mean to pry but... Damn. What profession pays 125 to 185k that early in your career? Good for you." HKAKF (HKAKF): "Software engineers can start at 180-190k+ fresh out of undergrad at places like Google and Facebook.\n\nE: lol at the salty downvotes from arts majors" wexlo (wexlo): "That would be total comp not base salary" HKAKF (HKAKF): "Why does that matter?" orangeisstupid (orangeisstupid): "Stock options that take years to vest are not as good as a higher base salary." HKAKF (HKAKF): "You vest 25% of your initial grant of RSUs every year. As long as you stay for a full year, you see 100% of the money that you'd calculate to be your yearly compensation." orangeisstupid (orangeisstupid): "i'm in software and my RSU vests 100% after 3 years. 0% til then so if i'm gone for w/e reason before 3 yrs i see nothing." HKAKF (HKAKF): "For the two companies I mentioned, they vest 25% per year." orangeisstupid (orangeisstupid): "> You vest 25% of your initial grant of RSUs every year.\n\n> i'm in software and my RSU vests 100% after 3 years. 0% til then so\n\ni clearly stated my experience and didn't ever say i worked at either of the two you mentioned. your two companies don't represent anything near a majority of experiences. since your two companies don't represent anything near a majority of experiences of people then you shouldn't assume that for anyone that has stock options somehow those options are better than a higher base salary.\n" HKAKF (HKAKF): "The original question was what kind of job makes that kind of money early on in their career. I answered the question. It follows that everything in the resulting thread should be related to that, no?"

User (GotsPaid): "I'm 30 years old, and just took a new job that puts me at $185k a year, an increase of $60k.\n\nKnowing that there is risk with this position, not sure how I should position myself next.\n\nStats:\nCash on hand (savings/checking/cash): $11k\n401k: $106k\nIRA: $50k\nInvestment accounts: $55k\nPrivate investments: ~$40k\nDebt: $0\n\nI currently do not own a house (co-own a rental property with a partner), max out my 401k and IRA, and contribute monthly to other investments. I guess what I want to know...where do I go next? I live in a high priced real estate market that I hope to leave in 4 years. I also plan on transitioning out of this industry in the next 4 years too.\n\nEdit: I have a car that is paid off. Never really had any goals or big dreams, other than early retirement. \nEdit 2: Let us say I want to retire at 40." Self: "Congrats!\n\n- I would also consider bolstering your emergency fund. The higher up the food chain you go -> the fewer positions -> the longer it can take to find a new gig.\n\n- I'm guessing your IRA is a traditional given your income. Make sure you know about backdoor Roth IRA contributions.\n\n- You should find out if your funnel more of your savings into a mega-backdoor roth ira savings.\n\n- Take time to understand taxes. You're now at a point where one of the most effective ways to increase your savings is to try to reduce what you pay in taxes. \n\n- Have you modeled how much you would need to retire? No offense, but you don't look like you're track to retire at 40. Assuming you could save $55k/year, you'd need to have ~$1.5M *today* (whereas sounds like you're closer to $300k) to retire in 10 years and maintain your existing lifestyle."

User (GotsPaid): "I'm 30 years old, and just took a new job that puts me at $185k a year, an increase of $60k.\n\nKnowing that there is risk with this position, not sure how I should position myself next.\n\nStats:\nCash on hand (savings/checking/cash): $11k\n401k: $106k\nIRA: $50k\nInvestment accounts: $55k\nPrivate investments: ~$40k\nDebt: $0\n\nI currently do not own a house (co-own a rental property with a partner), max out my 401k and IRA, and contribute monthly to other investments. I guess what I want to know...where do I go next? I live in a high priced real estate market that I hope to leave in 4 years. I also plan on transitioning out of this industry in the next 4 years too.\n\nEdit: I have a car that is paid off. Never really had any goals or big dreams, other than early retirement. \nEdit 2: Let us say I want to retire at 40." Self: "The easiest thing to do? Keep maximizing your 401k, Roth IRA, mutual funds, etc. Overall, treat this $60,000 raise like you got a $20,000 pay cut. At under 7 years, home ownership isn't worthwhile, due to taxes, costs, closing fees, inspection, etc."

User (GotsPaid): "I'm 30 years old, and just took a new job that puts me at $185k a year, an increase of $60k.\n\nKnowing that there is risk with this position, not sure how I should position myself next.\n\nStats:\nCash on hand (savings/checking/cash): $11k\n401k: $106k\nIRA: $50k\nInvestment accounts: $55k\nPrivate investments: ~$40k\nDebt: $0\n\nI currently do not own a house (co-own a rental property with a partner), max out my 401k and IRA, and contribute monthly to other investments. I guess what I want to know...where do I go next? I live in a high priced real estate market that I hope to leave in 4 years. I also plan on transitioning out of this industry in the next 4 years too.\n\nEdit: I have a car that is paid off. Never really had any goals or big dreams, other than early retirement. \nEdit 2: Let us say I want to retire at 40." Self: "I don't mean to pry but... Damn. What profession pays 125 to 185k that early in your career? Good for you." sAfuRos (sAfuRos): "(Tech) Sales can get you there too. I graduated from college last year and here has been my career path so far:\n\nFall 2015 - First job, 65k\n\nFebruary 2016 - Second job, 90k\n\nNovember 2016 - Third job, 140k <= planning to stay here for a while"

User (GotsPaid): "I'm 30 years old, and just took a new job that puts me at $185k a year, an increase of $60k.\n\nKnowing that there is risk with this position, not sure how I should position myself next.\n\nStats:\nCash on hand (savings/checking/cash): $11k\n401k: $106k\nIRA: $50k\nInvestment accounts: $55k\nPrivate investments: ~$40k\nDebt: $0\n\nI currently do not own a house (co-own a rental property with a partner), max out my 401k and IRA, and contribute monthly to other investments. I guess what I want to know...where do I go next? I live in a high priced real estate market that I hope to leave in 4 years. I also plan on transitioning out of this industry in the next 4 years too.\n\nEdit: I have a car that is paid off. Never really had any goals or big dreams, other than early retirement. \nEdit 2: Let us say I want to retire at 40." Self: "> Edit: I have a car that is paid off. Never really had any goals or big dreams, other than early retirement.\n\nWork towards that. Keep investing using taxable accounts. Investing grows your wealth, wealth allows you to retire earlier.\n\nUse a rent vs. buy calculator, like the one the New York Times has, and consider whether or not it's worth owning a home." deathlesgaming (deathlesgaming): ">Investing grows your wealth, wealth allows you to retire earlier.\n\nDon't be a stock market fck unless your Jesus at it(Diversify if you want to do it but still risky since whole markets can crash). Invest smart stuff like buying a house in a really good hood. Or buying something that will hold value like the Mona Lisa. \n\n____________________________\n\n____________________________\n\nEdit --------holy shit I thought it was because I was giving bad real estate advice or something. The stock market is in a really overbought place right now you don't just get 40% unless your in the Jesus Christ of Economies. Brokers will always tell you that you can make money THEY ARE SALESMEN. The bond market which is suppose to be the safest market right now is a shit show cause everybody went into it in 2008 people are trying to make it the new stock market. Now Hedge funds is something you can never be wrong about and are pretty much the only thing to invest in.\n\n\n\n-ouch downvotes " Cycle_time (Cycle_time): "If you invested at the peak right before the market started to crash before 2008 you'd still have 40% growth as of today. " deathlesgaming (deathlesgaming): "Yeah the stock market is inflated bud. We were at 14,000(the peak of it being overbought) in the good economy and the shit hit the fan. So 8 years later we are in a okay economy the possibility of a student debt crisis 19 trillion in government debt and oh yeah the dow is at 19,200 that is what you call over bought and it is not going to hold. Don't listen to brokers they are always going to tell you to buy. Mutual funds don't like crashes really big and neither do Index funds. This is not the 50s where if you hold your money you will be fine overtime. Time to cash out. " Cycle_time (Cycle_time): "Yeah, people have been saying that same thing for years and we keep going up. There's no predicting the market. I'm invested for 20+ years from now, so if the market wants to tank tomorrow and lose 50% it doesn't change anything I'll be doing. " deathlesgaming (deathlesgaming): ">Yeah, people have been saying that same thing for years and we keep going up.\n\n\nWhen there is a logical gee this should be happening and instead x is happening that is a bad sign. \n\n>tank tomorrow and lose 50% it doesn't change anything I'll be doing.\n\nSo when your index fund loses 50% of its value it won't change anything... ok.(you will make a profit if you had a lot in since 1990's but your 10 years of gains will take a hit) The only thing that is not affected by a crash is a hedgefund because of the way it is done. 20+ years you say this has been the most violent twenty years in market history. 2000's crash then 2008's yet gee even though our economy is shrinking lets make records highs. Right now you will say nothing matters as the markets are up but once they are down bad you will bleed big time. \n\n\nAlso one more thing check out this graph https://finance.yahoo.com/chart/%5EDJI#eyJtdWx0aUNvbG9yTGluZSI6ZmFsc2UsImJvbGxpbmdlclVwcGVyQ29sb3IiOiIjZTIwMDgxIiwiYm9sbGluZ2VyTG93ZXJDb2xvciI6IiM5NTUyZmYiLCJtZmlMaW5lQ29sb3IiOiIjNDVlM2ZmIiwibWFjZERpdmVyZ2VuY2VDb2xvciI6IiNmZjdiMTIiLCJtYWNkTWFjZENvbG9yIjoiIzc4N2Q4MiIsIm1hY2RTaWduYWxDb2xvciI6IiMwMDAwMDAiLCJyc2lMaW5lQ29sb3IiOiIjZmZiNzAwIiwic3RvY2hLTGluZUNvbG9yIjoiI2ZmYjcwMCIsInN0b2NoRExpbmVDb2xvciI6IiM0NWUzZmYiLCJyYW5nZSI6Im1heCJ9\n\n\n\n\n\n\n\nLook as the market goes up past 2008 volume (the bottom candles) go down the past 8 years have been a what the fuck in most investors minds. Normally I would agree with you dont listen to what fear mongering retards say invest your money, however If I buy low in a low economy I should be buying low in a low market like 1979 or 1969. Buy low sell high right well why the fuck am I buying high in a low economy 1+1!= 2 that means there will be a correction and a big one since for some fcking reason it has been delayed for the last 8 fcking years by bail out bullshit that gets us into more debt. \n\n\n\nLook at the big short every laughed at them. Right now every one who is a mental fcking retard who has bought stock since 2008 has made money when the idiots are making money time to pull out. Hell those guys who predicted 2008 said the bail out fcked every things up and I agree. \n\n\n\nI am not selling gold or puts. I agree the stock market is full of BS of people trying to overbuy or oversell, my point is something smells fcked up it does not matter if it is 8 years or 20 years I am not putting money into a cess pool (Unless it is a hedge fund). " Cycle_time (Cycle_time): "All the money I had invested at the peak in 2007 before it crashed in 2008 is back up over 40% so ce the highest peak back then. Short term crashes do t bother me. Even if we have a crash like back in the great depression I'll ride it out and be just fine 10 years later. Being invested for the long haul gives you stability to ride out the worst crash you can dream up. \n\nPlus during the crash I'll be buying like crazy and so I'll be getting everything at a discount. I've got about $700k invested and would actually love a crash at this point in my life because I'd reap the benefits of low priced stocks for the next few years and ride the recovery wave to being a multimillionaire " deathlesgaming (deathlesgaming): "Look as long as you do it right so your buying during the low of the crash that is really smart, I hope to have a job that pays enough to invest once it does crash although it is sooner than later sadly for me. \n\n\nThe only thing that should scare everybody though is liquidation of the market and how that will work out, or God forbid but we are close to this place the EU or US defaulting on bonds and loans(19 trillion to 200 billion in Income is a horrible fcking place). \n\n\nEverything sounds simple when you think it out but actually executing a plain is going to be a pain in the ass. However you do have an idea since it sounds like you have positioned yourself correctly. My main thing is telling people to invest in markets when it is a horrible idea to buy right now. Give it a year or two and it will be ripe even if there is no big crash.\n\n\n\n\n\n If you don't develop a gut sense of when things are off or when things are ripe I would advise not investing because it becomes gambling (yes index funds blah blah still not thing to just say it is totally safe like having a Energy IRA right before Oil crashes LOL what an idiot(fck Opec)) if you have a good gut sense or at least plan ahead so your hedged for a crash good but do the math and make sure the math is on your side cause you can fix it just less reward (risk inverse reward bad combo)unless it is a hedgefund(in that case your filthy fcking rich). "

User (GotsPaid): "I'm 30 years old, and just took a new job that puts me at $185k a year, an increase of $60k.\n\nKnowing that there is risk with this position, not sure how I should position myself next.\n\nStats:\nCash on hand (savings/checking/cash): $11k\n401k: $106k\nIRA: $50k\nInvestment accounts: $55k\nPrivate investments: ~$40k\nDebt: $0\n\nI currently do not own a house (co-own a rental property with a partner), max out my 401k and IRA, and contribute monthly to other investments. I guess what I want to know...where do I go next? I live in a high priced real estate market that I hope to leave in 4 years. I also plan on transitioning out of this industry in the next 4 years too.\n\nEdit: I have a car that is paid off. Never really had any goals or big dreams, other than early retirement. \nEdit 2: Let us say I want to retire at 40." Self: "I don't mean to pry but... Damn. What profession pays 125 to 185k that early in your career? Good for you." jaggity_boom (jaggity_boom): "Not OP, but software engineering." aaronisherebro (aaronisherebro): "As a recruiter for a large Gov Integrator in Northern Virginia. I second this, and its a candidates market for sure. Especially if you have a clearance!" Not_the_brightest (Not_the_brightest): "For anyone reading this, if you can, get a job that will sponsor a clearance.\n\nI could quit today and have another position in a week. And I don't have any concern for H1B, as long as the Pentagon is funded, I have a job, and so will you." aaronisherebro (aaronisherebro): "Very True...and you would get paid more. I can't find a software developer with less than 6 years of experience that doesn't want anything less than 130,000........." whatever9855 (whatever9855): "There are lots of people trying to get into the field that would gladly work for much less, you guys just won't hire and develop them."

User (Xtankpittlol): "Most of the income I make doesn't take money out for taxes. I have had short term jobs in the past and always had them take money out of my paycheck for taxes but that was only 5-6 months. I do clinical trials so each year I've made about 6 to 12 grand a year and side every on I know won't need help I think I'll have more then enough to pay. Right nowim making 10grand and I would have 5 left over after I help some people out plus I should be able to do one more trial before tax season. So how do I go about this and how do I get my lost w-2s. " Self: "You may find these links helpful:\n\n- [Tax Software Megathread](http://redd.it/41dew6)\n- [Taxes wiki page](https://www.reddit.com/r/personalfinance/wiki/taxes)\n- [Understanding tax brackets](https://www.reddit.com/r/personalfinance/wiki/taxes#wiki_eli5.3A_taxable_income.2C_tax_brackets.2C_marginal_tax_rates)\n- [W-4 IRS Withholding Calculator](http://www.irs.gov/Individuals/IRS-Withholding-Calculator)\n\n*I am a bot, and this action was performed automatically. Please [contact the moderators of this subreddit](/message/compose/?to=/r/personalfinance) if you have any questions or concerns.*"

User (Xtankpittlol): "Most of the income I make doesn't take money out for taxes. I have had short term jobs in the past and always had them take money out of my paycheck for taxes but that was only 5-6 months. I do clinical trials so each year I've made about 6 to 12 grand a year and side every on I know won't need help I think I'll have more then enough to pay. Right nowim making 10grand and I would have 5 left over after I help some people out plus I should be able to do one more trial before tax season. So how do I go about this and how do I get my lost w-2s. " Self: "Pull your [IRS transcripts](https://www.irs.gov/individuals/get-transcript). You'll be able to get most of your W2, 1099, and prior tax info. It won't be everything you need, but it should be a good start to piecing things together. "

User (Xtankpittlol): "Most of the income I make doesn't take money out for taxes. I have had short term jobs in the past and always had them take money out of my paycheck for taxes but that was only 5-6 months. I do clinical trials so each year I've made about 6 to 12 grand a year and side every on I know won't need help I think I'll have more then enough to pay. Right nowim making 10grand and I would have 5 left over after I help some people out plus I should be able to do one more trial before tax season. So how do I go about this and how do I get my lost w-2s. " Self: "Come January make sure you watch your mail like a hawk and save all envelopes that say "Tax Information" or anything to do with tax. This may be W-2s but can also be 1099s if they paid you as a contractor.\n\nTo get your old W-2s, you will need to call all the companies where you worked and ask for the HR department. Then ask for your prior year W-2s to be sent to you. Make sure they have your current address and make sure you tell them which years you need.\n\nIf you are a dependent (I.E. under 24 and living with your parents) your parents may have claimed you on their tax return, so make sure you check with them. If that's the case, you may not have to file, though you may still want to in order to get back any refunds you are owed.\n\nAt $6,000-$12,000 per year it depends largely on whether you are getting W-2s or 1099s. With W-2s, payroll tax is already taken care of. In this case the amount you owe will be quite low, and you may get some money back. With a 1099, you will have to pay self-employment tax, which is 15.3%. If you only got W-2s then you don't need to worry about this.\n\nThere are programs all over the US that will help you do your taxes for free. You can check out [this link](https://www.irs.gov/individuals/free-tax-return-preparation-for-you-by-volunteers) to find one."

User (Fizzy718): "The motto, do what makes you happy in life, that brings a double edged sword. \n\n**My situation:** I love cars, I have from a very young age, I currently sell cars everyday. It brings me a half decent paycheck when I do well, but at the same time, I'm not happy at with what I'm doing. **Reality** I don't think I can do this job long term!\n\n\nI what I would love to do more than anything is modify cars, not in the typical aspect of the term either. I would want to restore cars to their former glory. From customer body builds, to upholstery work, having only extremely minor experience in the field. I'm not sure I can do this efficiently for the rest of my life.\n\n\nHow do I transition to myself into this career, with making money?\n\nHow can I follow my dreams? \n\nI want to have passion for what I do, wake up everyday rejuvenated, feeling happy with my life!\n\n\nSuggestions? \n\n\n\nSorry about grammar, and spelling!" Self: "Lots of people who want to pursue their dreams have to hold a day job during their transition from hobby to career. \n\nIf you're truly passionate about pursuing this dream, you can siphon some of that passion toward a job that allows you to pay the bills while you pursue." User (Fizzy718): "Yes, I think I'll start with a vehicle that helps my self look more of a professional in my current work area to show my customers I love what I do, Maybe this will help me acquire more money toward the hobby." Self: "Great idea! Maybe it will help. If not, just keep in mind that it takes some people decades to get to their dream job. Keep your chin up and your goal in your sights. " User (Fizzy718): "I see people like the Outlawed Porsche *guy* in LA. Living his dream, I understand I cant be him, But I want to know How I can get to that stage in my life, where I have everything figured out. Where I can afford to work on my hobby 30 hours a week, and only work 20 hours doing something that sufficiently makes money.\n\n\nThanks for the help!"

User (Fizzy718): "The motto, do what makes you happy in life, that brings a double edged sword. \n\n**My situation:** I love cars, I have from a very young age, I currently sell cars everyday. It brings me a half decent paycheck when I do well, but at the same time, I'm not happy at with what I'm doing. **Reality** I don't think I can do this job long term!\n\n\nI what I would love to do more than anything is modify cars, not in the typical aspect of the term either. I would want to restore cars to their former glory. From customer body builds, to upholstery work, having only extremely minor experience in the field. I'm not sure I can do this efficiently for the rest of my life.\n\n\nHow do I transition to myself into this career, with making money?\n\nHow can I follow my dreams? \n\nI want to have passion for what I do, wake up everyday rejuvenated, feeling happy with my life!\n\n\nSuggestions? \n\n\n\nSorry about grammar, and spelling!" Self: "Well unless you've got a rich dad to buy you the workshop full of tools needed to pursue that type of career, the first step is probably to go find a place doing what you are interested in and beg for a job. \n\nThe other tried and true approach is a functioning budget that lets you grin and bear the 9-5 but have a kickass hobby that you love when you aren't working. \n\nThen if you get really good at the hobby, you start finding ways to make it self financing. \n\nYou find yourself a great deal on a 60's pickup. Spend a year making it awesome, then sell it for a 8k profit over your costs. Spend that 8k on tools and toys. \n\nYou should read about turning your hobby into a job, sometimes it ruins the hobby. Often because sometimes what you might normally spend all Saturday afternoon doing while drinking a beer and listening to the football game, needs to be done in 90 minutes if you plan on making any money out of the deal. \n\n" User (Fizzy718): "Honestly, I'm a middle class early 20's. I live quite tight, I save enough to keep a minimal amount to be suffice with, but not nearly enough. Most of the time I'm working 9-6 or 12 to 9 so I'm not sure when I have the free time to work on it at the moment.\n\n\nI do like the pick up truck Idea, Although I might start with a Bug, due to that's what I have in my area. But It sounds more of a Feasible goal.\n\n\nIf it takes me a year to figure out stuff I might be happier in the end, I will give it my best shot." Self: "The truck was just an example, you can do whatever you want. I'm just saying that sometimes it is easier to have a hobby that you enjoy and a job that pays the bills than a job that you love and no money. \n\n" User (Fizzy718): "Although I'm saving on a typical month from 500-1k, since I'm living so tight to my budget. (early 20's) I might as well get ride of the GF, and take more money. \n\n\nSpend more time working on my hobby, And presue* my dream, and what makes me most happy at the end of the day." Self: "Keep in mind, there is more to life than being happy. \n\nAt some point you are going to be too old to be lying on your back under a car turning a wrench, you need to be sure you are saving for that day. \n\nWhat I'm really saying is that it is a balance, and finding that balance is the real trick. \n" User (Fizzy718): "I mean, being happy and financially dependent is the most important thing to me at this moment. But at the same time, How do balance being going through the motions at work everyday to not make enough money to be happy with my life, compared to doing what I want to persue.\n\n\nI'm not sure, How I'm to go about this, but I want to love what I do everyday!"

User (Fizzy718): "The motto, do what makes you happy in life, that brings a double edged sword. \n\n**My situation:** I love cars, I have from a very young age, I currently sell cars everyday. It brings me a half decent paycheck when I do well, but at the same time, I'm not happy at with what I'm doing. **Reality** I don't think I can do this job long term!\n\n\nI what I would love to do more than anything is modify cars, not in the typical aspect of the term either. I would want to restore cars to their former glory. From customer body builds, to upholstery work, having only extremely minor experience in the field. I'm not sure I can do this efficiently for the rest of my life.\n\n\nHow do I transition to myself into this career, with making money?\n\nHow can I follow my dreams? \n\nI want to have passion for what I do, wake up everyday rejuvenated, feeling happy with my life!\n\n\nSuggestions? \n\n\n\nSorry about grammar, and spelling!" Self: "you can start off by this being a "hobby"...it will take you a few years to build up your tools and equipment...craigslist is a great way.....there is no way to jump into this overnight. Perhaps set a goal of 5-10years, but meanwhile you establish your skills and create your networks. Having said that, I had a close friend many years (I knew him in the early 1970's) ago do this...he started out restoring an old 1958 corvette....when he was 19 (in 1969)...and sold it for a several thousand dollar profit in a year.....by the time I knew him....he was restoring 12-15 cars a year, mostly corvettes he would find in pretty bad shape and he had connections with local high school and junior college auto shops for students which he paid and he had a auto dealer in England where he was exporting the vehicles to and the dealer was selling them all over Europe. So yes, it can be done...but takes a lot of time and patience...."

User (nubcakefactoryy): "Hi guys,\n\nI'm 23 years old. I have about 33,000 in student loans in my name and about another 20,000 in my parents name. The 20k is deferred right now and I believe we will be approved to defer it until late 2019. In this time I'm going to hardcore tackle the 33 in my name as fast as possible, but would like your advice on how I can better optimize my life for this terrible burden.\n\nCurrently I make about 55k a year. No credit card or other debt thankfully. My monthly expenses add up to about 1200 bucks. Up until this point I've saved up 10k (which was my goal) in the bank that I have no plans on expanding on until my debt is gone. My employer has a 401k match on up to 6% which I've been taking advantage of as well (it has about 8k in it so far). I have a budget, I've been selling things I don't need, and working odd jobs to make a little extra cash. Is there anything else you guys think I should do? Should I stop the 401k contributions? Should I dump all of my savings into the loans? Any advice is appreciated!\n\nEdit: I forgot to mention, the interest rate on my loans varies between each one, but the highest is at 7.55%." Self: "You may find these links helpful:\n\n- [Student Loans wiki page](http://www.reddit.com/r/personalfinance/wiki/studentloans)\n- ["How to handle $"](http://www.reddit.com/r/personalfinance/wiki/commontopics)\n- [What's the best way to pay down my debt?](http://www.reddit.com/r/personalfinance/wiki/debt#wiki_what.27s_the_best_way_to_pay_down_my_debt.3F)\n\n*I am a bot, and this action was performed automatically. Please [contact the moderators of this subreddit](/message/compose/?to=/r/personalfinance) if you have any questions or concerns.*"

User (nubcakefactoryy): "Hi guys,\n\nI'm 23 years old. I have about 33,000 in student loans in my name and about another 20,000 in my parents name. The 20k is deferred right now and I believe we will be approved to defer it until late 2019. In this time I'm going to hardcore tackle the 33 in my name as fast as possible, but would like your advice on how I can better optimize my life for this terrible burden.\n\nCurrently I make about 55k a year. No credit card or other debt thankfully. My monthly expenses add up to about 1200 bucks. Up until this point I've saved up 10k (which was my goal) in the bank that I have no plans on expanding on until my debt is gone. My employer has a 401k match on up to 6% which I've been taking advantage of as well (it has about 8k in it so far). I have a budget, I've been selling things I don't need, and working odd jobs to make a little extra cash. Is there anything else you guys think I should do? Should I stop the 401k contributions? Should I dump all of my savings into the loans? Any advice is appreciated!\n\nEdit: I forgot to mention, the interest rate on my loans varies between each one, but the highest is at 7.55%." Self: "Keep going as you are. You're doing things right, it looks like." User (nubcakefactoryy): "Thanks! I appreciate the encouragement! "

User (nubcakefactoryy): "Hi guys,\n\nI'm 23 years old. I have about 33,000 in student loans in my name and about another 20,000 in my parents name. The 20k is deferred right now and I believe we will be approved to defer it until late 2019. In this time I'm going to hardcore tackle the 33 in my name as fast as possible, but would like your advice on how I can better optimize my life for this terrible burden.\n\nCurrently I make about 55k a year. No credit card or other debt thankfully. My monthly expenses add up to about 1200 bucks. Up until this point I've saved up 10k (which was my goal) in the bank that I have no plans on expanding on until my debt is gone. My employer has a 401k match on up to 6% which I've been taking advantage of as well (it has about 8k in it so far). I have a budget, I've been selling things I don't need, and working odd jobs to make a little extra cash. Is there anything else you guys think I should do? Should I stop the 401k contributions? Should I dump all of my savings into the loans? Any advice is appreciated!\n\nEdit: I forgot to mention, the interest rate on my loans varies between each one, but the highest is at 7.55%." Self: "gross salary of $55k means take home of about $3500 to $4000. expenses of $1200, so that's $2300 to $2800/month to throw at the debt. \n\nat that rate, you can pay off the $33k in about 14 months, and the $20k in another 8 months or so. that's everything paid off in a little under 2 years. \n\ngreat plan, stick with it! \n\nI'd consider using maybe half of the savings towards the debt, and keeping $5k for emergencies. you're young, don't mention spouse/partner or a house payment. so IMHO $5k might be a good emergency account that you could build back up after paying down the debt. 2 months of saving at $2500/month and you'd be up to $10k again. \n\nI'd think twice or thrice about suspending the 401k. it wouldn't really be that big a benefit for you towards paying off debt. 6% of 55k is ~$275/month, which is a relatively small amount given your current plan. you can already pay off the debt in less than 2 years at your current rate. " vincent_ignatius (vincent_ignatius): "^ yes"

User (nubcakefactoryy): "Hi guys,\n\nI'm 23 years old. I have about 33,000 in student loans in my name and about another 20,000 in my parents name. The 20k is deferred right now and I believe we will be approved to defer it until late 2019. In this time I'm going to hardcore tackle the 33 in my name as fast as possible, but would like your advice on how I can better optimize my life for this terrible burden.\n\nCurrently I make about 55k a year. No credit card or other debt thankfully. My monthly expenses add up to about 1200 bucks. Up until this point I've saved up 10k (which was my goal) in the bank that I have no plans on expanding on until my debt is gone. My employer has a 401k match on up to 6% which I've been taking advantage of as well (it has about 8k in it so far). I have a budget, I've been selling things I don't need, and working odd jobs to make a little extra cash. Is there anything else you guys think I should do? Should I stop the 401k contributions? Should I dump all of my savings into the loans? Any advice is appreciated!\n\nEdit: I forgot to mention, the interest rate on my loans varies between each one, but the highest is at 7.55%." Self: "25 year old here, in a similar situation. I refinanced my loans out of my mom's name with Sofi. I think you are doing fine and are on the right track. If you can handle getting a part time job instead of just odd jobs, it could be beneficial but not necessary. " User (nubcakefactoryy): "If you refinance the loans don't you lose the benefits from federal student loans? Like the flexible payment plans and whatnot?" Self: "Yes, but I had a secure job and well paying job when doing it so the income based plans, etc wouldn't help me. "

User (nubcakefactoryy): "Hi guys,\n\nI'm 23 years old. I have about 33,000 in student loans in my name and about another 20,000 in my parents name. The 20k is deferred right now and I believe we will be approved to defer it until late 2019. In this time I'm going to hardcore tackle the 33 in my name as fast as possible, but would like your advice on how I can better optimize my life for this terrible burden.\n\nCurrently I make about 55k a year. No credit card or other debt thankfully. My monthly expenses add up to about 1200 bucks. Up until this point I've saved up 10k (which was my goal) in the bank that I have no plans on expanding on until my debt is gone. My employer has a 401k match on up to 6% which I've been taking advantage of as well (it has about 8k in it so far). I have a budget, I've been selling things I don't need, and working odd jobs to make a little extra cash. Is there anything else you guys think I should do? Should I stop the 401k contributions? Should I dump all of my savings into the loans? Any advice is appreciated!\n\nEdit: I forgot to mention, the interest rate on my loans varies between each one, but the highest is at 7.55%." Self: "25 year old here, in a similar situation. I refinanced my loans out of my mom's name with Sofi. I think you are doing fine and are on the right track. If you can handle getting a part time job instead of just odd jobs, it could be beneficial but not necessary. " User (nubcakefactoryy): "If you refinance the loans don't you lose the benefits from federal student loans? Like the flexible payment plans and whatnot?" vincent_ignatius (vincent_ignatius): "what state are you in? You may have state funded refinance programs." User (nubcakefactoryy): "Kentucky! Sounds like I need to do some googling. Thanks for the info!"

User (nubcakefactoryy): "Hi guys,\n\nI'm 23 years old. I have about 33,000 in student loans in my name and about another 20,000 in my parents name. The 20k is deferred right now and I believe we will be approved to defer it until late 2019. In this time I'm going to hardcore tackle the 33 in my name as fast as possible, but would like your advice on how I can better optimize my life for this terrible burden.\n\nCurrently I make about 55k a year. No credit card or other debt thankfully. My monthly expenses add up to about 1200 bucks. Up until this point I've saved up 10k (which was my goal) in the bank that I have no plans on expanding on until my debt is gone. My employer has a 401k match on up to 6% which I've been taking advantage of as well (it has about 8k in it so far). I have a budget, I've been selling things I don't need, and working odd jobs to make a little extra cash. Is there anything else you guys think I should do? Should I stop the 401k contributions? Should I dump all of my savings into the loans? Any advice is appreciated!\n\nEdit: I forgot to mention, the interest rate on my loans varies between each one, but the highest is at 7.55%." Self: "I was right where you were at 23. And to answer your question, yes I think you're on the perfect path relatively speaking. \n\nIf you can refinance for a lower interest rate (which means higher monthly payments = debtbegone'faster'), that would be something to look into sooner than later. Some states like MN have refinancing programs that were launched in the last year or two (keeps the benefits of Fedloan). Attempt to consolidate everything if it will save you money/interest. \n\nSounds like you have a good relationship with the rents, with $1200 in expenses I assume you may live at home? If so (and this is controversial), you **don't need that 10k saved**. You toss that shizz at that debt and don't look back. If you get into an emergency your parents will be there (again, controversial). "If you're in debt you don't have money". 23k is a LOT better than 33k (or taking 10k off what I assume is a private loan in your parents name?), do the math with the loan calculators out there (and the post from the bot). And at the end of the day, you have that 401k growing much earlier than the national average, so you do have a legitimate future plan in place. \n\nIdeally, you place as much aside per month (set it up auto pay to commit) to go to your loans. The goal should be "out of debt by 30" if not sooner. Which means any other goals like moving out, nicer car, vacation, etc will have to come from additional income. With how much you've saved already I think you have a good grasp on realistic budgeting for yourself. \n\nIn terms of your job: the more you make, the more you can allocate to your debt. If you get a bonus or salary increase, take a good hard look to see how you can maximize that toward your debt.\n\nMoral of the story, eventually that money will come back into your pocket. That's what it's all about: eventual cashflow. You take the hit now (smart move due to interest) and eventually, when the debt is paid, all that comes back in your pocket per month/pay period. By that time, you've already built a life around not having that money. Now you can utilize it to gain financial freedom! (And your thirties will be much different than the majority of your peers;)\n\nGood luck! It's a long ride. "Time is more important than timing."" User (nubcakefactoryy): "I actually don't live with my parents. Cost of living is just pretty low in Kentucky! It also helps that I live with my girlfriend and a room mate for housing costs. Thanks for all of the advice and information! I'll look into refinancing." Self: "Touche!"

User (nubcakefactoryy): "Hi guys,\n\nI'm 23 years old. I have about 33,000 in student loans in my name and about another 20,000 in my parents name. The 20k is deferred right now and I believe we will be approved to defer it until late 2019. In this time I'm going to hardcore tackle the 33 in my name as fast as possible, but would like your advice on how I can better optimize my life for this terrible burden.\n\nCurrently I make about 55k a year. No credit card or other debt thankfully. My monthly expenses add up to about 1200 bucks. Up until this point I've saved up 10k (which was my goal) in the bank that I have no plans on expanding on until my debt is gone. My employer has a 401k match on up to 6% which I've been taking advantage of as well (it has about 8k in it so far). I have a budget, I've been selling things I don't need, and working odd jobs to make a little extra cash. Is there anything else you guys think I should do? Should I stop the 401k contributions? Should I dump all of my savings into the loans? Any advice is appreciated!\n\nEdit: I forgot to mention, the interest rate on my loans varies between each one, but the highest is at 7.55%." Self: "gross salary of $55k means take home of about $3500 to $4000. expenses of $1200, so that's $2300 to $2800/month to throw at the debt. \n\nat that rate, you can pay off the $33k in about 14 months, and the $20k in another 8 months or so. that's everything paid off in a little under 2 years. \n\ngreat plan, stick with it! \n\nI'd consider using maybe half of the savings towards the debt, and keeping $5k for emergencies. you're young, don't mention spouse/partner or a house payment. so IMHO $5k might be a good emergency account that you could build back up after paying down the debt. 2 months of saving at $2500/month and you'd be up to $10k again. \n\nI'd think twice or thrice about suspending the 401k. it wouldn't really be that big a benefit for you towards paying off debt. 6% of 55k is ~$275/month, which is a relatively small amount given your current plan. you can already pay off the debt in less than 2 years at your current rate. " User (nubcakefactoryy): "Thanks so much for the info! I rent an apartment with my girlfriend and another room mate, so that keeps the rent down, thankfully. " FelonyMonk (FelonyMonk): "Just to agree the parent comment above me. Always take the employer 401k match. That's a 100% tax free return! I don't care if it's only a dollar a year, that's the best investment you'll ever get."

User (nubcakefactoryy): "Hi guys,\n\nI'm 23 years old. I have about 33,000 in student loans in my name and about another 20,000 in my parents name. The 20k is deferred right now and I believe we will be approved to defer it until late 2019. In this time I'm going to hardcore tackle the 33 in my name as fast as possible, but would like your advice on how I can better optimize my life for this terrible burden.\n\nCurrently I make about 55k a year. No credit card or other debt thankfully. My monthly expenses add up to about 1200 bucks. Up until this point I've saved up 10k (which was my goal) in the bank that I have no plans on expanding on until my debt is gone. My employer has a 401k match on up to 6% which I've been taking advantage of as well (it has about 8k in it so far). I have a budget, I've been selling things I don't need, and working odd jobs to make a little extra cash. Is there anything else you guys think I should do? Should I stop the 401k contributions? Should I dump all of my savings into the loans? Any advice is appreciated!\n\nEdit: I forgot to mention, the interest rate on my loans varies between each one, but the highest is at 7.55%." Self: "> student loans\n\n> terrible burden\n\nWhat a world we live in today. :/" User (nubcakefactoryy): "It is a terrible burden. Society places a lot of stress on kids in high school to go to college by any means necessary. Many of them such as myself lacked the maturity to understand the gravity of the situation. " Self: "I didn't quite finish my degree, but I have a pretty stable job now and I'm happy. I'm also eligible for loan forgiveness, so I'm only going to finish my bachelors if I can get tuition reimbursement from my employer at some point."

User (StarOfAthenry): "Hey all! \n\nI currently have 3 primary cards. I have the AmEx Premier Rewards card which I use for almost all purchases, the Jet Blue Rewards Master Card that I use for all business flights (I fly a lot for work), and then a Visa Journey card that helped get my credit line started. \n\nHere's my issue...there are a few places I routinely shop that do not accept either AmEx or MC cards, and so I use my Visa Journey card. The rewards on that card are hot garbage. Is it worth it to apply for the Amazon Visa card, even though I already have three other card accounts open? Am I at a risk of hurting my credit here?\n\n" Self: "You may find these links helpful:\n\n- [Credit-related wiki pages](http://www.reddit.com/r/personalfinance/wiki/index#wiki_credit)\n- [Credit Cards](http://www.reddit.com/r/personalfinance/wiki/creditcards) \n- [FICO / Credit Scores](http://www.reddit.com/r/personalfinance/wiki/fico)\n- [Improving Credit Scores and Building Credit](http://www.reddit.com/r/personalfinance/wiki/credit_building)\n\n*I am a bot, and this action was performed automatically. Please [contact the moderators of this subreddit](/message/compose/?to=/r/personalfinance) if you have any questions or concerns.*"

User (StarOfAthenry): "Hey all! \n\nI currently have 3 primary cards. I have the AmEx Premier Rewards card which I use for almost all purchases, the Jet Blue Rewards Master Card that I use for all business flights (I fly a lot for work), and then a Visa Journey card that helped get my credit line started. \n\nHere's my issue...there are a few places I routinely shop that do not accept either AmEx or MC cards, and so I use my Visa Journey card. The rewards on that card are hot garbage. Is it worth it to apply for the Amazon Visa card, even though I already have three other card accounts open? Am I at a risk of hurting my credit here?\n\n" Self: "It hurts you in the short term, because it lowers the average age of your accounts. Long term, it helps you for several reasons if you are responsible. It lowers your utilization percentage and gives you more accounts as evidence of your credit worthiness. I have two credit cards I don't use at all. Combined, its $18,000 in unused credit." User (StarOfAthenry): "Should I bother closing the other Visa account then? " Self: "I wouldn't. Let's say you've got two cards with $5,000 limits. Your balance of $500 equals a utilization of 5 percent. If you close out one of them, your utilization doubles to 10 percent" User (StarOfAthenry): "I understand that aspect of it. The thought of having so many open accounts worries me from a security perspective. In any event, thanks for your feedback. I appreciate it!"

User (blitzingby): "I started a relationship with a woman who has (unfortunately) a criminal record. She was involved with someone in 2010 who was a master manipulator and con artist, she ended up stealing something at her job for her friend who in turn sold the item online using her home address for the buyers to pick up the item so when the company found out about the theft they tracked the stolen items down and eventually tracked her down.\n\nThey were both charged, her friend served jail time and my significant other was ordered probation and restitution. She just finished her probation this year, March to be exact. When she told me all this 2 years ago, it had been a couple of months after we had started dating and I thought that since it happened a long time ago and since she was almost done with probation she would just have a monthly restitution payment to think about and that was it.\n\nI proposed, we got married, we have a great relationship. We looked into buying a house and because I don't make enough money on my own I wanted her to be on the loan as well so we could get the house we need for our growing family. A few days before the closing we find out that the banks might not approve our loan even though everything else looks great, because of this restitution problem. \n\nJust yesterday (we've been together for over 2 years now) I realized this shit (pardon me, but I'm upset) runs deeper than I thought. There's a possibility that I might not ever buy a house as long as I'm with her, she couldn't save up for her 401k without them taking it, if she's a beneficiary for my life insurance she might not ever be able to get that money, there's so much to think about and I have no idea where to start or what to do now. I am kicking myself in the balls thinking I should have looked into what all of this meant when she first told me about it, but I tend to look for the good in people and I am normally an always positive, always look on the bright side person.\n\nI appreciate any insight you guys can give me, I don't normally post on Reddit, but I'm a daily lurker." Self: "Hey man, you'll find a way. You obviously care about this woman. You said yourself you have a great relationship and those are so hard to come by. It's never fun when someone's past haunts them and even worse when it effects the person they care about too. \n\nI don't know anything that could help you with your situation, but there's always a way. Best of luck to ya. " User (blitzingby): "Thank you so much, I do love her, she means the world to me, and I wouldn't trade her for anyone else... I just need to know there's a light at the end of this tunnel and I want to know what our options are."

User (blitzingby): "I started a relationship with a woman who has (unfortunately) a criminal record. She was involved with someone in 2010 who was a master manipulator and con artist, she ended up stealing something at her job for her friend who in turn sold the item online using her home address for the buyers to pick up the item so when the company found out about the theft they tracked the stolen items down and eventually tracked her down.\n\nThey were both charged, her friend served jail time and my significant other was ordered probation and restitution. She just finished her probation this year, March to be exact. When she told me all this 2 years ago, it had been a couple of months after we had started dating and I thought that since it happened a long time ago and since she was almost done with probation she would just have a monthly restitution payment to think about and that was it.\n\nI proposed, we got married, we have a great relationship. We looked into buying a house and because I don't make enough money on my own I wanted her to be on the loan as well so we could get the house we need for our growing family. A few days before the closing we find out that the banks might not approve our loan even though everything else looks great, because of this restitution problem. \n\nJust yesterday (we've been together for over 2 years now) I realized this shit (pardon me, but I'm upset) runs deeper than I thought. There's a possibility that I might not ever buy a house as long as I'm with her, she couldn't save up for her 401k without them taking it, if she's a beneficiary for my life insurance she might not ever be able to get that money, there's so much to think about and I have no idea where to start or what to do now. I am kicking myself in the balls thinking I should have looked into what all of this meant when she first told me about it, but I tend to look for the good in people and I am normally an always positive, always look on the bright side person.\n\nI appreciate any insight you guys can give me, I don't normally post on Reddit, but I'm a daily lurker." Self: "This will all depend on how much she actually has to pay back. Please tell me you signed a prenuptial agreement in regard to your finances. " User (blitzingby): "No, I was severely misinformed about the gravity of the situation. I didn't think it was that big of a deal since she never served jail time, she was almost done with probation, and she has no problem getting a job because there's nothing on her criminal record." Self: "You need to keep non-joints account pretty much forever, then. I'm sorry that this is happening to you but honestly, relationship wise this would be a dealbreaker for me. " User (blitzingby): "I totally understand what you mean! I thought about keeping separate accounts and divorce so that they can't take my money as well, but still stay together." Self: "A common law marriage may be better." User (blitzingby): "I've never heard of that, but I'm looking into it right now. Thank you!"

User (blitzingby): "I started a relationship with a woman who has (unfortunately) a criminal record. She was involved with someone in 2010 who was a master manipulator and con artist, she ended up stealing something at her job for her friend who in turn sold the item online using her home address for the buyers to pick up the item so when the company found out about the theft they tracked the stolen items down and eventually tracked her down.\n\nThey were both charged, her friend served jail time and my significant other was ordered probation and restitution. She just finished her probation this year, March to be exact. When she told me all this 2 years ago, it had been a couple of months after we had started dating and I thought that since it happened a long time ago and since she was almost done with probation she would just have a monthly restitution payment to think about and that was it.\n\nI proposed, we got married, we have a great relationship. We looked into buying a house and because I don't make enough money on my own I wanted her to be on the loan as well so we could get the house we need for our growing family. A few days before the closing we find out that the banks might not approve our loan even though everything else looks great, because of this restitution problem. \n\nJust yesterday (we've been together for over 2 years now) I realized this shit (pardon me, but I'm upset) runs deeper than I thought. There's a possibility that I might not ever buy a house as long as I'm with her, she couldn't save up for her 401k without them taking it, if she's a beneficiary for my life insurance she might not ever be able to get that money, there's so much to think about and I have no idea where to start or what to do now. I am kicking myself in the balls thinking I should have looked into what all of this meant when she first told me about it, but I tend to look for the good in people and I am normally an always positive, always look on the bright side person.\n\nI appreciate any insight you guys can give me, I don't normally post on Reddit, but I'm a daily lurker." Self: "How much does your wife need to pay back as restitution? Can she pay more than what she owes per month to be done sooner? " User (blitzingby): "It was settled at $113,000 but when I made a phone call to the DA office they told me the balance was now $189,000. I'm guessing there's interest added on to it so I'm beginning to think she was right when she told me she's going to be paying for this for the rest of her life and never pay it off." Self: "I suggest you or your wife get the details on the interest rate being applied. A jump from $113k owed to $189k is pretty massive. How is her monthly payment amount calculated? \n\n$189k is a lot of money, but it's not insurmountable. How much do the two of you earn?" User (blitzingby): "We make $75,000 before taxes together. I bring in about $32,000 annually and the rest is all hers." Self: "If I were you, I'd look for online resources to help you deal with this. I don't know very much about restitution arrangements, but perhaps there are others out there who can provide more specific advice. \n\nRegarding buying a house--it sounds like you'll need to increase your own income and buy a house in just your name. " User (blitzingby): "Thanks, I appreciate the suggestion. I was looking to enroll in college yesterday after fully realizing how big this is."

User (blitzingby): "I started a relationship with a woman who has (unfortunately) a criminal record. She was involved with someone in 2010 who was a master manipulator and con artist, she ended up stealing something at her job for her friend who in turn sold the item online using her home address for the buyers to pick up the item so when the company found out about the theft they tracked the stolen items down and eventually tracked her down.\n\nThey were both charged, her friend served jail time and my significant other was ordered probation and restitution. She just finished her probation this year, March to be exact. When she told me all this 2 years ago, it had been a couple of months after we had started dating and I thought that since it happened a long time ago and since she was almost done with probation she would just have a monthly restitution payment to think about and that was it.\n\nI proposed, we got married, we have a great relationship. We looked into buying a house and because I don't make enough money on my own I wanted her to be on the loan as well so we could get the house we need for our growing family. A few days before the closing we find out that the banks might not approve our loan even though everything else looks great, because of this restitution problem. \n\nJust yesterday (we've been together for over 2 years now) I realized this shit (pardon me, but I'm upset) runs deeper than I thought. There's a possibility that I might not ever buy a house as long as I'm with her, she couldn't save up for her 401k without them taking it, if she's a beneficiary for my life insurance she might not ever be able to get that money, there's so much to think about and I have no idea where to start or what to do now. I am kicking myself in the balls thinking I should have looked into what all of this meant when she first told me about it, but I tend to look for the good in people and I am normally an always positive, always look on the bright side person.\n\nI appreciate any insight you guys can give me, I don't normally post on Reddit, but I'm a daily lurker." Self: "So she's not paying on this restitution that she owes? Or she's not paying enough?\n\nIf she pays it all off, then they won't come after her anymore, and she's free to get a house/mortgage with you?" User (blitzingby): "She is paying, $50 a week through wage garnishment. We opted for that so that it would be easier and automatically taken off her paycheck.\n\nIt is my understanding that if she pays it off, they wouldn't come after her earnings or assets anymore." Self: "> She is paying, $50 a week through wage garnishment. We opted for that so that it would be easier and automatically taken off her paycheck.\n\n$113,000 being paid at $50/week is going to take 43+ years to pay off.\n\n> It is my understanding that if she pays it off, they wouldn't come after her earnings or assets anymore.\n\nSounds like you (the collective you two in a relationship "you") need to take a more proactive stance on this restitution debt and get it paid off so it's no longer this negative thing hanging over your heads." User (blitzingby): "I am looking into this, see what our options are to pay it off sooner. I'm just not 100% certain it can be done with the amount we both earn annually but I'll run the numbers and see what I can come up with. Thank you!"

User (blitzingby): "I started a relationship with a woman who has (unfortunately) a criminal record. She was involved with someone in 2010 who was a master manipulator and con artist, she ended up stealing something at her job for her friend who in turn sold the item online using her home address for the buyers to pick up the item so when the company found out about the theft they tracked the stolen items down and eventually tracked her down.\n\nThey were both charged, her friend served jail time and my significant other was ordered probation and restitution. She just finished her probation this year, March to be exact. When she told me all this 2 years ago, it had been a couple of months after we had started dating and I thought that since it happened a long time ago and since she was almost done with probation she would just have a monthly restitution payment to think about and that was it.\n\nI proposed, we got married, we have a great relationship. We looked into buying a house and because I don't make enough money on my own I wanted her to be on the loan as well so we could get the house we need for our growing family. A few days before the closing we find out that the banks might not approve our loan even though everything else looks great, because of this restitution problem. \n\nJust yesterday (we've been together for over 2 years now) I realized this shit (pardon me, but I'm upset) runs deeper than I thought. There's a possibility that I might not ever buy a house as long as I'm with her, she couldn't save up for her 401k without them taking it, if she's a beneficiary for my life insurance she might not ever be able to get that money, there's so much to think about and I have no idea where to start or what to do now. I am kicking myself in the balls thinking I should have looked into what all of this meant when she first told me about it, but I tend to look for the good in people and I am normally an always positive, always look on the bright side person.\n\nI appreciate any insight you guys can give me, I don't normally post on Reddit, but I'm a daily lurker." Self: "You could always treat this as any other kind of debt -- CC, student loans, whatever -- and formulate a plan to pay it off ASAP. Second jobs, cutting luxuries, etc. " User (blitzingby): "How doable is this? I mean, I feel like it's a waste of time and effort considering we don't make as much to be able to pay it off in this lifetime, unless our salaries doubled miraculously so that we could put that difference towards it and pay it off in 5 years." Self: "It's not going to be five years, but you can do it. (And you should. These people are owed that money.)" User (blitzingby): "I completely agree with you on this point!"

User (blitzingby): "I started a relationship with a woman who has (unfortunately) a criminal record. She was involved with someone in 2010 who was a master manipulator and con artist, she ended up stealing something at her job for her friend who in turn sold the item online using her home address for the buyers to pick up the item so when the company found out about the theft they tracked the stolen items down and eventually tracked her down.\n\nThey were both charged, her friend served jail time and my significant other was ordered probation and restitution. She just finished her probation this year, March to be exact. When she told me all this 2 years ago, it had been a couple of months after we had started dating and I thought that since it happened a long time ago and since she was almost done with probation she would just have a monthly restitution payment to think about and that was it.\n\nI proposed, we got married, we have a great relationship. We looked into buying a house and because I don't make enough money on my own I wanted her to be on the loan as well so we could get the house we need for our growing family. A few days before the closing we find out that the banks might not approve our loan even though everything else looks great, because of this restitution problem. \n\nJust yesterday (we've been together for over 2 years now) I realized this shit (pardon me, but I'm upset) runs deeper than I thought. There's a possibility that I might not ever buy a house as long as I'm with her, she couldn't save up for her 401k without them taking it, if she's a beneficiary for my life insurance she might not ever be able to get that money, there's so much to think about and I have no idea where to start or what to do now. I am kicking myself in the balls thinking I should have looked into what all of this meant when she first told me about it, but I tend to look for the good in people and I am normally an always positive, always look on the bright side person.\n\nI appreciate any insight you guys can give me, I don't normally post on Reddit, but I'm a daily lurker." Self: "You could always treat this as any other kind of debt -- CC, student loans, whatever -- and formulate a plan to pay it off ASAP. Second jobs, cutting luxuries, etc. " User (blitzingby): "How doable is this? I mean, I feel like it's a waste of time and effort considering we don't make as much to be able to pay it off in this lifetime, unless our salaries doubled miraculously so that we could put that difference towards it and pay it off in 5 years." Self: "Have you created a budget? It will give you the info you need to answer such a question. " User (blitzingby): "I have been trying to create a budget. I did it and stuck with it to pay off all my credit cards before we applied for the mortgage loan. Very aggressively we were able to live off her income alone and use all my income for debt. I'm guessing we'll need to do something similar this time around, until the debt is completely paid off. Mentally, it feels overwhelming!"

User (blitzingby): "I started a relationship with a woman who has (unfortunately) a criminal record. She was involved with someone in 2010 who was a master manipulator and con artist, she ended up stealing something at her job for her friend who in turn sold the item online using her home address for the buyers to pick up the item so when the company found out about the theft they tracked the stolen items down and eventually tracked her down.\n\nThey were both charged, her friend served jail time and my significant other was ordered probation and restitution. She just finished her probation this year, March to be exact. When she told me all this 2 years ago, it had been a couple of months after we had started dating and I thought that since it happened a long time ago and since she was almost done with probation she would just have a monthly restitution payment to think about and that was it.\n\nI proposed, we got married, we have a great relationship. We looked into buying a house and because I don't make enough money on my own I wanted her to be on the loan as well so we could get the house we need for our growing family. A few days before the closing we find out that the banks might not approve our loan even though everything else looks great, because of this restitution problem. \n\nJust yesterday (we've been together for over 2 years now) I realized this shit (pardon me, but I'm upset) runs deeper than I thought. There's a possibility that I might not ever buy a house as long as I'm with her, she couldn't save up for her 401k without them taking it, if she's a beneficiary for my life insurance she might not ever be able to get that money, there's so much to think about and I have no idea where to start or what to do now. I am kicking myself in the balls thinking I should have looked into what all of this meant when she first told me about it, but I tend to look for the good in people and I am normally an always positive, always look on the bright side person.\n\nI appreciate any insight you guys can give me, I don't normally post on Reddit, but I'm a daily lurker." Self: "You could always treat this as any other kind of debt -- CC, student loans, whatever -- and formulate a plan to pay it off ASAP. Second jobs, cutting luxuries, etc. " User (blitzingby): "How doable is this? I mean, I feel like it's a waste of time and effort considering we don't make as much to be able to pay it off in this lifetime, unless our salaries doubled miraculously so that we could put that difference towards it and pay it off in 5 years." skeever2 (skeever2): "You got involved with a woman who you knew owed a lot of money, and it's just now dawning on you that her owing a lot of money would effect you? Sorry to say but you knew (or should have) what you were getting yourself into, and it's kind of ridiculous you just started to consider what that means. Of course her debt will effect weather or not you can take on more debt. But hey, you don't make enough to buy the house on your own anyways, so you're not really any further behind. You need to either keep renting or find a place you can afford. Also, are you sure you're in a place to buy a place at all? No offense but this is something that should have occurred to you in phase 1 of this home buying plan. Do you have 20% saved up for a down payment? Plus closing costs and an emergency fund? Do you know what you can afford?" User (blitzingby): "Maybe I didn't explain myself too well. It wasn't just the money I was worried about. I have the down payment saved, and I have a nice emergency fund. I'm worried about what the restitution means.\n\nI have no knowledge about those things, and when she told me things weren't serious enough between us for me to worry about. When we started the house buying process we were told by the DA office we shouldn't have a problem getting a loan because she was off probation so we started the process.\n\nA day before the closing the underwriter informed us that because of this judgement, the DOJ was going to put a lien on the house, and that's when we realized we weren't fully informed. I don't know if she got a crappy attorney or what, but he never told her any of this. I've been consulting with a few attorneys to see what they can do about it.\n\nI freaked out because this means we could potentially buy a house, pay it off, and never own it because after the bank releases their lien, the DOJ keeps the deed unless the debt is paid. We were told initially that the settlement was for $113,000 divided by the 2 people responsible for this, which meant my wife owed $56,500. And we thought OK, this is doable, it might take us a while but we could pay it off before we pay off the house, that way we won't lose the house to the DOJ. Now they're saying the debt is $189,000 for my wife alone and it's a huge difference on how much and how fast we can pay it."

User (RGB123RGB): "Cross posted to r/investing as well, since I was unsure where this fits better\n\nI recently started a new job this year after graduating college. I wanted to get started with my retirement planning so I decided to do the following:\n\nOpen Roth IRA\n\nOpen Roth 401k\n\nInvest in ESPP for 10% of my income (at least for this quarter, could change this for other quarters. The rule is must wait 1 year to sell)\n\nSave ~$400 this year (2016) in my HSA\n \nNow, for the IRA my old plan was to invest purely in equity since I was thinking since I am 23 I can afford some risk early on. So I have an initial deposit into the IRA pending for 3k in VTSMX mutual fund. I was going to add 2.5k more by the end of the year and then repeat the same procedure next year for admiral shares. Then I could balance this risk later with ETFs in bonds, international stock, etc if I wanted to.\n\nFor the 401k I was going a similar route and put 6% earnings in at 51% VIIIX and 49% VEMPX (currently this is about $900 after the match)\n\nHowever, after thinking about it should I have even bothered with VTSMX when I have VIIIX available in my 401k? is VIIIX strictly better, and furthermore since I can't get it on my own should my job change later then is getting as much VIIIX as possible the better option? Should I cancel the pending 3k VTSAX transaction?\n\nOther notes:\n\nSingle\n\nLive with parents\n\n63k per year\n\nIn grad school (Computer Science, Computer Science BS finished)\n\nSmall student loan debt (2.3k at 3.6%)\n\nNo car payments\n\nWork for very large company just outside the Fortune 100\n\nVBMPX for bonds is available in the 401k, but there are no good low fee options available for international investments (to complete a 3 fund portfolio)\n\nAny other advice is appreciated" Self: "You may find these links helpful:\n\n- [General Information on Rollovers](http://www.reddit.com/r/personalfinance/wiki/retirementaccounts/rollovers)\n- [401(k) Fund Selection Guide](http://www.reddit.com/r/personalfinance/wiki/401k_funds)\n- [Retirement Accounts](https://www.reddit.com/r/personalfinance/wiki/index#wiki_retirement_accounts) (articles on 401(k) plans, IRAs, and more)\n- ["How to handle $"](http://www.reddit.com/r/personalfinance/wiki/commontopics)\n\n*I am a bot, and this action was performed automatically. Please [contact the moderators of this subreddit](/message/compose/?to=/r/personalfinance) if you have any questions or concerns.*"

User (SaysSimmon): "So I just looked at my account history and there are Service Charges every few weeks which range from $3 to $38. I have no idea what these are. I'm a student and i have a CIBC visa card, debit card, and everyday chequing account open, each of which have no monthly fees or transaction costs (25 free/month as I'm a student). I just realized this has been going on since September but when i opened my account, the first service charge ($3) was taken and then deposited back so it looked like nothing happened. What should I do? I have no experience with banking. Should I go to the CIBC branch and ask? Mainly, if I should go, what should I say?\n\nI specifically opened the account due to no monthly fees which it said on the website and what the banker told me when I opened my account." Self: "Go to any branch and ask them to explain what the charges are for. \n\nHowever, do it with less exclamation marks when you go in. Just be calm and say you are a new customer and would like to learn. Take a pen and paper if you need to write notes. \n\nWhen you find out what they are determine why you are getting them and see if you can eliminate them. " User (SaysSimmon): "Okay, I'll do this after class. Thank you. Sorry about the exclamation marks; it's just that I'm already broke being a student and seeing over $60 just gone was scary."

User (SaysSimmon): "So I just looked at my account history and there are Service Charges every few weeks which range from $3 to $38. I have no idea what these are. I'm a student and i have a CIBC visa card, debit card, and everyday chequing account open, each of which have no monthly fees or transaction costs (25 free/month as I'm a student). I just realized this has been going on since September but when i opened my account, the first service charge ($3) was taken and then deposited back so it looked like nothing happened. What should I do? I have no experience with banking. Should I go to the CIBC branch and ask? Mainly, if I should go, what should I say?\n\nI specifically opened the account due to no monthly fees which it said on the website and what the banker told me when I opened my account." Self: "> Should I go to the CIBC branch and ask?\n\nYes.\n\n> Mainly, if I should go, what should I say?\n\n"What are these various charges for?"" User (SaysSimmon): "I meant are there other things I should ask besides this. I'm new to banking, just opened an account this year, and don't know much about how things work. Sorry if it was a stupid question; I just want to learn what appropriate questions to ask in such cases would be." Self: "> I meant are there other things I should ask besides this. I'm new to banking, just opened an account this year, and don't know much about how things work. Sorry if it was a stupid question; I just want to learn what appropriate questions to ask in such cases would be.\n\n\nStart with "what are these charges for"\n\nThen from those answers, figure out "how do i avoid these charges in the future"\n\nAnd maybe "can you waives these charges for me this one time?""

User (SaysSimmon): "So I just looked at my account history and there are Service Charges every few weeks which range from $3 to $38. I have no idea what these are. I'm a student and i have a CIBC visa card, debit card, and everyday chequing account open, each of which have no monthly fees or transaction costs (25 free/month as I'm a student). I just realized this has been going on since September but when i opened my account, the first service charge ($3) was taken and then deposited back so it looked like nothing happened. What should I do? I have no experience with banking. Should I go to the CIBC branch and ask? Mainly, if I should go, what should I say?\n\nI specifically opened the account due to no monthly fees which it said on the website and what the banker told me when I opened my account." User (SaysSimmon): "So problem is resolved. Apparently when the banker made my account back in June, he entered the wrong information; despite what was on the contract and what he told me. I was supposed to get a student account with no monthly fees, 25 free transactions, and other benefits. He apparently just opened a normal account where each transaction had a fee and I wasn't given the other benefits, like no monthly fees. So all in all, I got back my $105 and they fixed everything. It was very inconvenient however - dealing with all this."

User (lofzfreak): "Hello everyone,\n\nI am currently enrolled in college full time to get my bachelor in Computer Science. I am just finishing up my first year and I am working at Domino's pizza as a driver for 25~ hours a week on top of this. So far I have been able to do fine and my grades are decent, but I am on a regional campus and have yet to dive into the degree-relevant and challenging courses.\n\nI have consulted a couple of friends of mine who have already obtained their CS degrees and they warn me that the degree program is quite difficult, and my spending so much time working could have some serious negative implications on my schoolwork (both of them did not work while going to school). They tell me to find a way to leave my job and spend my summers working paid internships. I would really like to make this happen, but it would be difficult with my wife's and my income level.\n\nMy wife is currently working part time, but plans on looking for full-time positions or picking up another job. We have no kids and rent from my father at a reduced cost. We are both early 20's, have no debts, 2 cars, and about $30k in liquid assets (mostly in the bank and some stocks). We don't make a lot of money, though (just about enough to come up slightly in the green currently) and are paying tuition out of pocket, which will go up once I transfer from the regional campus to the main campus starting sometime my junior year. I would like to avoid loans if at all possible as we am lucky enough to have money in the bank. I am hoping once I get my degree I will be able to jump right into a good paying job and start making up for the lost work hours (although I know you cannot rely on money you haven't made).\n\n \n\nAre there any steps I can take to make this possible?" Self: "I was kind of in the same position as you were while I was getting my CS degree. What I did was paid-internships. Most CS internships are paid, so you wouldn't have to worry about that. They pay a good $15-24/ hr, which is probably equivalent (or more) than what you'd make at Domino's (I think).\n\nAlso internships know you are a student, so when you have an exam and stuff, they are lenient on letting you take the day off and stuff. Plus, it gives you experience for when you graduate :) its a win-win situation.\n\nI also want to point out that taking out loans for a CS degree is not the worse option. My first job right after I graduated was $65k/yr, got promoted a couple of months later to $78k and then switched jobs to $95k. My point is that if you take out $15k of loans, it wouldn't even take you a year to pay it back. So I wouldn't worry too much about taking out loans. " User (lofzfreak): "How did you find your internship if I may ask?" spartan5312 (spartan5312): "Architecture major here, honestly it's all on you. Your people skills, drive, and willingness to get out of your comfort zone. I made a list of the top 25 firms in the city I wanted an internship and called, emailed and politely harassed as many people as I could get a hold of. The stories about finding a job/internship being difficult didn't faze me one bit I knew what I wanted and I knew I could get it. I put together a better résumé, C/V and portfolio(you won't need one) together then anyone I knew I was going to school with and the emails/calls/offers rolled in, rejections as well mind you. The world is your oyster, do the research, make the calls and get out there. " User (lofzfreak): "That's a very motivating story, thanks!"

User (lofzfreak): "Hello everyone,\n\nI am currently enrolled in college full time to get my bachelor in Computer Science. I am just finishing up my first year and I am working at Domino's pizza as a driver for 25~ hours a week on top of this. So far I have been able to do fine and my grades are decent, but I am on a regional campus and have yet to dive into the degree-relevant and challenging courses.\n\nI have consulted a couple of friends of mine who have already obtained their CS degrees and they warn me that the degree program is quite difficult, and my spending so much time working could have some serious negative implications on my schoolwork (both of them did not work while going to school). They tell me to find a way to leave my job and spend my summers working paid internships. I would really like to make this happen, but it would be difficult with my wife's and my income level.\n\nMy wife is currently working part time, but plans on looking for full-time positions or picking up another job. We have no kids and rent from my father at a reduced cost. We are both early 20's, have no debts, 2 cars, and about $30k in liquid assets (mostly in the bank and some stocks). We don't make a lot of money, though (just about enough to come up slightly in the green currently) and are paying tuition out of pocket, which will go up once I transfer from the regional campus to the main campus starting sometime my junior year. I would like to avoid loans if at all possible as we am lucky enough to have money in the bank. I am hoping once I get my degree I will be able to jump right into a good paying job and start making up for the lost work hours (although I know you cannot rely on money you haven't made).\n\n \n\nAre there any steps I can take to make this possible?" Self: "I was kind of in the same position as you were while I was getting my CS degree. What I did was paid-internships. Most CS internships are paid, so you wouldn't have to worry about that. They pay a good $15-24/ hr, which is probably equivalent (or more) than what you'd make at Domino's (I think).\n\nAlso internships know you are a student, so when you have an exam and stuff, they are lenient on letting you take the day off and stuff. Plus, it gives you experience for when you graduate :) its a win-win situation.\n\nI also want to point out that taking out loans for a CS degree is not the worse option. My first job right after I graduated was $65k/yr, got promoted a couple of months later to $78k and then switched jobs to $95k. My point is that if you take out $15k of loans, it wouldn't even take you a year to pay it back. So I wouldn't worry too much about taking out loans. " User (lofzfreak): "How did you find your internship if I may ask?" Self: "Honestly, for me I applied to so many places for my first internship online. I got my first internship that way. For my other internships, I went through the school's career fairs and job search places. They have the interviews on campus and you can find jobs/internships easily. "

User (throwawaybae69): "Hello personalfinance!\n\nI just finished a tattoo apprenticeship and have become a licensed tattoo artist. I've gotten my first full-time job at a shop, set to start in January. Until now I've always worked at jobs that gave me W2 forms and I'd go to HR Block to file taxes. \n\nAs a tattooer I am considered a private contractor and must pay everything on my own. I looked into CPA's and they seem very expensive, especially considering it seems like I'll be paying twice as much in taxes and not making much more than I was at restaurants until I get more experience/clients.\n\nI am totally lost as to how I keep track of my money (the shop is cash-only, I plan on keeping a notebook of what I make), record expenses (supplies, machines, etc.), and if I should save receipts for things like donating to Planned Parenthood for a tax write-off. I've seen that I am supposed to pay quarterly estimated taxes as a private contractor as opposed to filing once a year.\n\nIf anybody has any tips for organizing these things, can point me in the direction of free tax software or forms I will need, or basically any basic plan for switching from having my taxes paid for me to having to do it all on my own, I would appreciate it greatly!" Self: "You may find these links helpful:\n\n- [Tax Software Megathread](http://redd.it/41dew6)\n- [Taxes wiki page](https://www.reddit.com/r/personalfinance/wiki/taxes)\n- [Understanding tax brackets](https://www.reddit.com/r/personalfinance/wiki/taxes#wiki_eli5.3A_taxable_income.2C_tax_brackets.2C_marginal_tax_rates)\n- [W-4 IRS Withholding Calculator](http://www.irs.gov/Individuals/IRS-Withholding-Calculator)\n\n*I am a bot, and this action was performed automatically. Please [contact the moderators of this subreddit](/message/compose/?to=/r/personalfinance) if you have any questions or concerns.*"

User (throwawaybae69): "Hello personalfinance!\n\nI just finished a tattoo apprenticeship and have become a licensed tattoo artist. I've gotten my first full-time job at a shop, set to start in January. Until now I've always worked at jobs that gave me W2 forms and I'd go to HR Block to file taxes. \n\nAs a tattooer I am considered a private contractor and must pay everything on my own. I looked into CPA's and they seem very expensive, especially considering it seems like I'll be paying twice as much in taxes and not making much more than I was at restaurants until I get more experience/clients.\n\nI am totally lost as to how I keep track of my money (the shop is cash-only, I plan on keeping a notebook of what I make), record expenses (supplies, machines, etc.), and if I should save receipts for things like donating to Planned Parenthood for a tax write-off. I've seen that I am supposed to pay quarterly estimated taxes as a private contractor as opposed to filing once a year.\n\nIf anybody has any tips for organizing these things, can point me in the direction of free tax software or forms I will need, or basically any basic plan for switching from having my taxes paid for me to having to do it all on my own, I would appreciate it greatly!" Self: "You've pretty much got it down. You should set aside about 30% of your income for taxes as a contractor. "

User (throwawaybae69): "Hello personalfinance!\n\nI just finished a tattoo apprenticeship and have become a licensed tattoo artist. I've gotten my first full-time job at a shop, set to start in January. Until now I've always worked at jobs that gave me W2 forms and I'd go to HR Block to file taxes. \n\nAs a tattooer I am considered a private contractor and must pay everything on my own. I looked into CPA's and they seem very expensive, especially considering it seems like I'll be paying twice as much in taxes and not making much more than I was at restaurants until I get more experience/clients.\n\nI am totally lost as to how I keep track of my money (the shop is cash-only, I plan on keeping a notebook of what I make), record expenses (supplies, machines, etc.), and if I should save receipts for things like donating to Planned Parenthood for a tax write-off. I've seen that I am supposed to pay quarterly estimated taxes as a private contractor as opposed to filing once a year.\n\nIf anybody has any tips for organizing these things, can point me in the direction of free tax software or forms I will need, or basically any basic plan for switching from having my taxes paid for me to having to do it all on my own, I would appreciate it greatly!" Self: "You'll have to register with EFTPS and with your state to make estimated tax payments. The sooner you register, the easier will be later. Estimated taxes are due on the 15th of January, April, June, and September.\n\nI use TurboTax, they make filing taxes in February/March very easy and ask you all the right questions. Good for you for keeping good records, that will make your life easier when it's time to file!\n\nOne other thing to note is that when you donate to charities, you only get a tax deduction if you itemize your taxes. You will likely take a standard deduction, so won't get any financial advantage for donating to charity, but that makes your donations even more praiseworthy."

User (throwawaybae69): "Hello personalfinance!\n\nI just finished a tattoo apprenticeship and have become a licensed tattoo artist. I've gotten my first full-time job at a shop, set to start in January. Until now I've always worked at jobs that gave me W2 forms and I'd go to HR Block to file taxes. \n\nAs a tattooer I am considered a private contractor and must pay everything on my own. I looked into CPA's and they seem very expensive, especially considering it seems like I'll be paying twice as much in taxes and not making much more than I was at restaurants until I get more experience/clients.\n\nI am totally lost as to how I keep track of my money (the shop is cash-only, I plan on keeping a notebook of what I make), record expenses (supplies, machines, etc.), and if I should save receipts for things like donating to Planned Parenthood for a tax write-off. I've seen that I am supposed to pay quarterly estimated taxes as a private contractor as opposed to filing once a year.\n\nIf anybody has any tips for organizing these things, can point me in the direction of free tax software or forms I will need, or basically any basic plan for switching from having my taxes paid for me to having to do it all on my own, I would appreciate it greatly!" Self: "There is commercial software for small businesses you could try, such as Quickbooks. \n\nAnother approach would be for you to look at Schedule C and Publication 535 to see the categories of the types of expenses that are considered deductible business expenses. (For example, tools, supplies, shop rent, professional license.)\n\nAs far as keeping track of revenue, if it's cash only you'll need to keep records.\n\nSchedule C or C-EZ can be used to report your revenue and deductible expenses. The result of subtracting those is your business profit, and that goes on Form 1040 line 12. (Wages from W-2 jobs goes on a different line, 1040 line 7.)\n\nBesides filling out Schedule C-EZ, you'll also need to fill out Schedule SE, which calculates just the Social Security tax and Medicare tax on your profit. It starts with your Schedule C or C-EZ profit result, so you have to do that first. The result goes on 1040 line 57.\n\nAfter you calculate those taxes, note that 1/2 the SE taxes amount can be deducted on 1040 line 27, so that reduces your AGI and reduces your taxable income. Thus, figuring out your income tax on 1040 line 44 can really happen only after you've first determined your self-employment business profit (Schedule C) and your self-employment taxes (Schedule SE).\n\nOf note also is that lines 28 and 29 on Form 1040 are other deductions possibly available to you if you set up a retirement plan or if you have health insurance premiums to deduct.\n\nFor your tax filing, you'll need to use Form 1040, not 1040A or 1040EZ, and Schedule C and Schedule SE.\n\n---\n\nIn terms of paying as you earn, IRS wants you to make estimated tax payments and has 4 deadlines to do them. This is instead of withholding. There is a worksheet in booklet 1040-ES that helps you to project what your tax situation will be in the upcoming year, and you can use that to determine the size of payments. It's actually okay to send estimated tax payments of different sizes, based on how your cash flow really goes during the year. For more info, see Publication 505, chapter 2. \n\nJust to make things extra exciting, the 4 estimated tax deadlines are not spaced evenly through the year. They are mid-April, mid June, mid-Sept, and mid-Jan. You just send those payments in (or set them up electronically), but you still file in April with the usual tax deadline.\n\nOne minor thing to know about estimated taxes is that your "required annual payment" of tax is determined by looking at 100% of last year's total tax and 90% of this year's total tax, and using whichever is lesser. So if you didn't have a large tax this year, the amount of estimated tax you'd be required to pay next year isn't so large. Of course, that just affects the size of the estimated tax paymet you make to not get hit with underpayment penalty. You still pay whatever remains to be paid at tax time in April.\n\nYou won't be paying twice as much in taxes. You do pay both halves of the Soc Sec and Medicare taxes (actually you end up paying 15.3% but only on 92.35% of your profit), but your income tax is calculated the same as usual, after you deduct the 1/2 SE tax deduction. " User (throwawaybae69): "I have one question--when estimating my quarterly taxes, would I go off of taxes I previously paid at normal jobs? From what I understand those are much lower and I don't want to get slammed with the difference at the end of the year. Or do I base it off of on what I made that quarter as a self-employed filer?\n" Self: "What 1040-ES has you do is project what your tax situation will be for the year. Indeed, the first line of the worksheet in 1040-ES requires you to estimate your AGI. You anticipate what your year's revenue and expenses will be, figure out your profit, find your taxes, then determine what 90% of that is and compare it to 100% of previous year's tax. Whichever is smaller is what you're going to pay in via 4 payments. Once you know which figure is your required annual payment, you divide that by 4 and that's what you pay in.\n\nNow during the year, you may find you are earning more or less than you expected. At any time, you can go through the exercise again, figure out your new estimated taxes, and there's a worksheet 2-14 in Pub 505 for figuring out what your next estimated tax payment should be to get you on track. \n\nAt tax time the following year, you'll get credit for having made estimated payments by listing them on 1040 line 65. At that time, you'll see how much you still have to pay. For example, if your estimated payments add up to 90% of your tax, then in April you'll pay the remaining 10% of your tax then. On the other hand, if you ended up having more expenses than you thought, or less revenue, you might find that your estimated payments exceed what your actual tax is. So in that case, in April you would learn that you have a refund.\n\nIf you do make payments of different sizes, to reflect your cash flow, you can use Form 2210 Schedule AI page (Annualized Income) to give the IRS info about what your actual revenue was in various periods of time, and you can use that info to determine whether you have an underpayment penalty.\n\nIf you're asking about year 2016: You're only required to make estimated payments during periods where you have profit. So for this year your profit is likely to be small. You could make an estimated payment for 2016 last period in January, but you might not have to. It would depend on what income and withholding you had at other work during 2016. Note also that you don't get an underpayment penalty if your tax minus withholding from W-2 jobs is under $1000. [Edit: I just saw you are not starting until January, so ignore last paragraph.]"

User (doodiddledee): "Hi r/personalfinance\n\nMy brother got a college loan in my name between his second and third year of college. The family couldn't afford to pay for college anymore so after he got denied using his name, my dad's name and my mom's name he received the loan under my name.\n\nIs there anything I can do other than pay it or report her? Can someone get a debt consolidation loan for someone else's debt?" Self: "You may find these links helpful:\n\n- [Student Loans wiki page](http://www.reddit.com/r/personalfinance/wiki/studentloans)\n- ["How to handle $"](http://www.reddit.com/r/personalfinance/wiki/commontopics)\n- [What's the best way to pay down my debt?](http://www.reddit.com/r/personalfinance/wiki/debt#wiki_what.27s_the_best_way_to_pay_down_my_debt.3F)\n\n*I am a bot, and this action was performed automatically. Please [contact the moderators of this subreddit](/message/compose/?to=/r/personalfinance) if you have any questions or concerns.*"

User (doodiddledee): "Hi r/personalfinance\n\nMy brother got a college loan in my name between his second and third year of college. The family couldn't afford to pay for college anymore so after he got denied using his name, my dad's name and my mom's name he received the loan under my name.\n\nIs there anything I can do other than pay it or report her? Can someone get a debt consolidation loan for someone else's debt?" Self: "Your options are to either pay it or report it as fraud. There's no third option here."

User (doodiddledee): "Hi r/personalfinance\n\nMy brother got a college loan in my name between his second and third year of college. The family couldn't afford to pay for college anymore so after he got denied using his name, my dad's name and my mom's name he received the loan under my name.\n\nIs there anything I can do other than pay it or report her? Can someone get a debt consolidation loan for someone else's debt?" Self: "Report it as fraud"

User (doodiddledee): "Hi r/personalfinance\n\nMy brother got a college loan in my name between his second and third year of college. The family couldn't afford to pay for college anymore so after he got denied using his name, my dad's name and my mom's name he received the loan under my name.\n\nIs there anything I can do other than pay it or report her? Can someone get a debt consolidation loan for someone else's debt?" Self: "Jeez, to do this to a family member..."

User (friend-fiction): "I've looked at some other threads about getting a raise, but I wanted some advice specific to my situation.\n\n1. I'm a marketing associate/social media manager at a very small travel agency (10 employees) in Chicago that caters to the luxury market. I make $14/hour. I'm the only person here who isn't a travel agent, so everyone else gets a salary (not sure how much) and commission. Also, I'm technically an "independent contractor" so even though I'm full time, I don't get benefits and can't work overtime.\n2. I JUST graduated college (edit: but have 3 years of paid writing and editing experience, plus related internships) and have been working here less than a year. I'm not planning to ask for a raise until I have been working here a year, but am trying to prepare early.\n3. My daily duties include social media management—strategizing, writing, designing all of the content—as well as designing digital ads, creating fliers for events, and website content management. I've also undertaken some very large projects, basically editing every single travel package on the website, which is close to 200 packages, because the grammar on them is HORRENDOUS and much of this content needs a complete overhaul.\n4. Though I've worked here a short time, the numbers already indicate that I've significantly increased website traffic from social media outlets.\n5. I don't want to leave this job. I love the office culture and the work itself. But, I need more money.\n\nTo start with, I'm not sure whether I should negotiate for higher hourly pay or negotiate for a salary. According to a few sources, the median salary for this job is $35-40k (although I'm not sure if that accounts for company size) and I'm making more like $20k, which in Chicago is pretty damn low. If I can get a pay raise without benefits, I'd be willing to stick around and negotiate for more down the road." Self: "From what you write, they probably see you as the "hired help", relatively disposable as a commodity, so a cost to be minimized.\n\nYou'd want to show how your work brought in more money to the company. Not just website traffic, but conversion to incremental sales. And how the next entry-level worker-bee wouldn't be expected to do that.\n\nRealistically speaking, your best alternative is to polish your resume and then find a gig where you make double that, also with a nice work culture and work itself. " SiberianGnome (SiberianGnome): "This. Except I doubt you'll be able to change their mind no matter how much you show you made them. Look for another job. \n\n"

User (friend-fiction): "I've looked at some other threads about getting a raise, but I wanted some advice specific to my situation.\n\n1. I'm a marketing associate/social media manager at a very small travel agency (10 employees) in Chicago that caters to the luxury market. I make $14/hour. I'm the only person here who isn't a travel agent, so everyone else gets a salary (not sure how much) and commission. Also, I'm technically an "independent contractor" so even though I'm full time, I don't get benefits and can't work overtime.\n2. I JUST graduated college (edit: but have 3 years of paid writing and editing experience, plus related internships) and have been working here less than a year. I'm not planning to ask for a raise until I have been working here a year, but am trying to prepare early.\n3. My daily duties include social media management—strategizing, writing, designing all of the content—as well as designing digital ads, creating fliers for events, and website content management. I've also undertaken some very large projects, basically editing every single travel package on the website, which is close to 200 packages, because the grammar on them is HORRENDOUS and much of this content needs a complete overhaul.\n4. Though I've worked here a short time, the numbers already indicate that I've significantly increased website traffic from social media outlets.\n5. I don't want to leave this job. I love the office culture and the work itself. But, I need more money.\n\nTo start with, I'm not sure whether I should negotiate for higher hourly pay or negotiate for a salary. According to a few sources, the median salary for this job is $35-40k (although I'm not sure if that accounts for company size) and I'm making more like $20k, which in Chicago is pretty damn low. If I can get a pay raise without benefits, I'd be willing to stick around and negotiate for more down the road." Self: "From what you write, they probably see you as the "hired help", relatively disposable as a commodity, so a cost to be minimized.\n\nYou'd want to show how your work brought in more money to the company. Not just website traffic, but conversion to incremental sales. And how the next entry-level worker-bee wouldn't be expected to do that.\n\nRealistically speaking, your best alternative is to polish your resume and then find a gig where you make double that, also with a nice work culture and work itself. " User (friend-fiction): "I feel like they saw this job as "oh, posting on Twitter—not that hard" and are paying accordingly, when it's actually much more complicated. They understand the value of social media for business, but don't really know how it works.\n\nI don't see this as a heartless company. The office has a real family vibe and the owner is genuinely sweet. I don't feel like going into full detail to justify why this job is a good fit, but hopefully people in this thread will take my word for it. I think they just don't realize how much my job entails. \n\nThe thing is, it's hard to trace social traffic to actual sales. " Self: "Well, good luck.\n\nYou are maybe not thinking of this the way the owners do. You haven't shown that you generate revenue to cover the extra money you are asking for. \n\nAnything extra they pay you comes directly from their wallet. If you're full-time and want to get a $5/hour raise, think of yourself going to up the owner every week and asking for $200 in cash, since you're worth it. That's how they'll see this. " User (friend-fiction): "Yeah. I guess it's probably a must to look for higher paying jobs elsewhere first. " User (friend-fiction): "The reason I asked for advice specific to my situation is that my company isn't the same as most. I tried to explain it but I don't think it's getting through." Self: "> my company isn't the same as most\n\n> I JUST graduated college and have been working here less than a year.\n\nHow do you know?\n\nIt doesn't really matter how it compares to most companies. It only matters if it is the best opportunity available to you." User (friend-fiction): "Employee satisfaction seems to be a top priority. They replaced the conference room with a bar. Employees bring their dogs to the office. We regularly socialize at the owner's house. During my job interview, I told them I had already committed to a full week of volunteering in the following month and they said that was great and they encourage all their employees to volunteer." Self: "So you're saying they bought a bar with the money they saved by paying you below-market rates?\n\nI don't think your satisfaction will be as high of a priority as their satisfaction, but you'll get a chance to find that out soon enough. " User (friend-fiction): "I'm not saying that, and I don't expect them to hand me money just because. \n\nBasically, I tried to make it clear that I didn't come here for people to tell me to quit my job. I was specifically asking for advice about whether it would be better to ask for an hourly raise or try to get a salary.\n\n(Also, I just edited my original post to reflect the fact that I have 3 years of paid writing and editing experience. I realize my original post gave the impression that I had no experience.)" Self: "> I don't expect them to hand me money just because.\n\nYou haven't given any reason why they should give you a raise, and until you do, you're expecting them to give you money just because. People starting out sometimes assume they deserve more money because they are doing a great job, or they think the job should pay more, or <fill in the blanks here>...and that's just not how it works. They'll pay you more only because they think it is in their best interest to do so. Why is that the case?\n\nYou'll have an easier time getting $2/hour more as a contractor, than going W2. "

User (friend-fiction): "I've looked at some other threads about getting a raise, but I wanted some advice specific to my situation.\n\n1. I'm a marketing associate/social media manager at a very small travel agency (10 employees) in Chicago that caters to the luxury market. I make $14/hour. I'm the only person here who isn't a travel agent, so everyone else gets a salary (not sure how much) and commission. Also, I'm technically an "independent contractor" so even though I'm full time, I don't get benefits and can't work overtime.\n2. I JUST graduated college (edit: but have 3 years of paid writing and editing experience, plus related internships) and have been working here less than a year. I'm not planning to ask for a raise until I have been working here a year, but am trying to prepare early.\n3. My daily duties include social media management—strategizing, writing, designing all of the content—as well as designing digital ads, creating fliers for events, and website content management. I've also undertaken some very large projects, basically editing every single travel package on the website, which is close to 200 packages, because the grammar on them is HORRENDOUS and much of this content needs a complete overhaul.\n4. Though I've worked here a short time, the numbers already indicate that I've significantly increased website traffic from social media outlets.\n5. I don't want to leave this job. I love the office culture and the work itself. But, I need more money.\n\nTo start with, I'm not sure whether I should negotiate for higher hourly pay or negotiate for a salary. According to a few sources, the median salary for this job is $35-40k (although I'm not sure if that accounts for company size) and I'm making more like $20k, which in Chicago is pretty damn low. If I can get a pay raise without benefits, I'd be willing to stick around and negotiate for more down the road." Self: "$20K? $14/hr is $28K. Also, I can't tell from your post -- you've worked here less than a year, but how long? More like 1 month or 11 months?\n\n2 options:\n\n* Ask for 1-year performance feedback, pull out your achievements over the last year, tell them you think your work now has improved enough to be worth more hourly.\n* Ask to be reclassified as a salaried employee vs an hourly contractor. Find out what the difference is and explain why your role has become more like a staff role than a contract role. (Based on your description, it's highly likely that your classification as a contractor is incorrect; there's no guarantee that your employer cares, but it's worth bringing up eventually.) " User (friend-fiction): "I didn't do the math super hard, but I calculated that with taxes and expected (unpaid) time off. I've worked here for about half a year.\n\nThe contractor thing I probably wouldn't have agreed to if I had known more about it at the time. Basically, I think that's a way to have a full-time employee without having to offer benefits. The fact that I can't work more than 40 hours a week is a bummer. /: \n\nSo I don't know if they'd be willing to do a salary. Maybe after a longer period of time. I think some of my travel agent coworkers started out hourly, so maybe I can ask them for more details, although the work and pay is very different."

User (sawihsiwi): "Here are the details:\nI have a 30 yr fixed mortgage at 3.625% with an initial balance of $376,000 (80% of home value). For the past year I have added extra payment to the principal to reduce overall interest but I am also interested in saving to buy a second house, and renting out one of the two. Current balance on the principal is a little below $350k. Currently saved up about $30k, and adding $500 a month extra payment towards the principal. My monthly savings range from $200-$500 as is. Should I continue with this strategy, or take those $500 towards savings for a new house?" Self: "Unless you have some special skill or insight to assist with landlording, you might want to reconsider it.\n\nIf you like working with your hands and you don't mind getting calls at midnight to come fix stuff because it's broken, that would be something that might make it worthwhile.\n\nI wouldn't just do it under the assumption that it's going to be all roses and happiness in any event."

User (sawihsiwi): "Here are the details:\nI have a 30 yr fixed mortgage at 3.625% with an initial balance of $376,000 (80% of home value). For the past year I have added extra payment to the principal to reduce overall interest but I am also interested in saving to buy a second house, and renting out one of the two. Current balance on the principal is a little below $350k. Currently saved up about $30k, and adding $500 a month extra payment towards the principal. My monthly savings range from $200-$500 as is. Should I continue with this strategy, or take those $500 towards savings for a new house?" Self: "I suggest you meet with a lender to determine how much you can have tied up in mortgages. When I looked at purchasing a second home so that I could turn my first house into a rental, my lender straight up informed me that with my current $200,000 in mortgage debt, I wouldn't be able to qualify for an additional $400,000, even putting 25% down.\n\nMy sense on what to do with money is a little different than what's generally accepted on this sub. I put away 30% for cash savings and retirement, but I love having a fat savings account, even if it isn't making me all the interest. It gives me peace of mind, and I don't stress when my interest bearing investments take a hit. \n\nWe refinanced our first home to a 15-year term at 3% even. I'm still paying a little extra every month, and we will own our house outright in less than 15 years. I'd love to have a new home for us while renting our current place, but that just isn't in the cards for us."

User (sawihsiwi): "Here are the details:\nI have a 30 yr fixed mortgage at 3.625% with an initial balance of $376,000 (80% of home value). For the past year I have added extra payment to the principal to reduce overall interest but I am also interested in saving to buy a second house, and renting out one of the two. Current balance on the principal is a little below $350k. Currently saved up about $30k, and adding $500 a month extra payment towards the principal. My monthly savings range from $200-$500 as is. Should I continue with this strategy, or take those $500 towards savings for a new house?" Self: "Ignoring whether you should be a landlord or not.\n\nSince you are buying another house for rental, you are not selling your current one. Paying your current mortgage gives you a higher return (3.625% vs 1%). In order to access that money, you have to do a cashout refi or HELOC. The hidden cost such as:\n\n1. Refinance cost. Can be 1% of your new loan with possibly increased interest rate.\n2. HELOC is low cost, but much higher interest.\n\nIn both cases, you are basically paying the bank to access your money. So savings account might be a better deal."

User (sawihsiwi): "Here are the details:\nI have a 30 yr fixed mortgage at 3.625% with an initial balance of $376,000 (80% of home value). For the past year I have added extra payment to the principal to reduce overall interest but I am also interested in saving to buy a second house, and renting out one of the two. Current balance on the principal is a little below $350k. Currently saved up about $30k, and adding $500 a month extra payment towards the principal. My monthly savings range from $200-$500 as is. Should I continue with this strategy, or take those $500 towards savings for a new house?" Self: "It really depends on how much you expect to make on your investment; that is, the second house. You also need to keep in mind that houses are expensive to carry and maintain. If you understand what you are getting into, and believe your longer term gain will exceed your mortgage rate, then go ahead.\n\nIn general, if you expect to outperform your mortgage interest over whatever time horizon your investing, and are OK with the risk of a loss, then investing is the way to go. However, paying the mtg guarantees you a nontax adjusted return of 3.625"

User (sawihsiwi): "Here are the details:\nI have a 30 yr fixed mortgage at 3.625% with an initial balance of $376,000 (80% of home value). For the past year I have added extra payment to the principal to reduce overall interest but I am also interested in saving to buy a second house, and renting out one of the two. Current balance on the principal is a little below $350k. Currently saved up about $30k, and adding $500 a month extra payment towards the principal. My monthly savings range from $200-$500 as is. Should I continue with this strategy, or take those $500 towards savings for a new house?" Self: "You are probably going to have to refinance when you move out of the home anyways (it is most likely a condition of your mortgage that the home be your primary residence). The more equity you have in the home, the more you can pull out. The difference is that you are paying off debt that costs 3.65% interest instead of parking money that earns 0% interest." TyMotor (TyMotor): "This is (generally) not true. The vast majority of mortgage contracts only require that you stay in the house for a minimum of 12 months. You are free to move after that and rent it out without refinancing."

User (sawihsiwi): "Here are the details:\nI have a 30 yr fixed mortgage at 3.625% with an initial balance of $376,000 (80% of home value). For the past year I have added extra payment to the principal to reduce overall interest but I am also interested in saving to buy a second house, and renting out one of the two. Current balance on the principal is a little below $350k. Currently saved up about $30k, and adding $500 a month extra payment towards the principal. My monthly savings range from $200-$500 as is. Should I continue with this strategy, or take those $500 towards savings for a new house?" Self: "Unless your savings account is earning more interest than the interest on your loan, you're essentially throwing away money. \n\nEspecially considering that you can use ~~the proceeds from the sale of~~ your equity stake in you current house to finance the future house, there's really no point in saving for a home, since whatever money you put toward the balance on your home now is acting as "savings" of sorts. \n\n*edit - misunderstood op's situation. crossed-out text is self-explanatory. OP should use a HELOC or another option as opposed to a low-interest savings account. " TyMotor (TyMotor): "> and renting out one of the two\n\nOP is not selling current house to finance the future house." Self: "My mistake. Advice remains the same with slight tweaks. \n\nThere are cheaper ways to finance than throwing money into savings. OP should look into a HELOC to cover his 20% down payment, and ensure that his debt-service coverage ratio (where NOI is income from investment property) is in the 1.2-1.5 range. "

User (Zibbe): "I have tried researching this and haven't found a definitive answer. If I pay the minimum payment on parent plus loans (to focus on paying off other debts), does that have any negative impact on my mom whose name the loan is in? Does it have any affect on her credit rating? And besides paying more total in the end, what are the cons of minimum payments?\n\nThank you." Self: "The loan will be used as part of your mother's credit score calculation. The faster you repay it, the faster it will go down. It really depends on how large the loan is, how much debt your mom has, and how much credit she has available to determine how it affects her credit. \n\nSome people with very little debt would actually benefit from the existence of that loan. \n\nOthers with way too much debt would benefit by reducing the total debt reported." User (Zibbe): "Thanks for the reply. I unfortunately have a lot on those parent plus loans, like $60k total between the two. I've been very good on payments but am considering making only the minimum payment to pay off a small credit card debt I have and also build up my emergency fund. "

User (Zibbe): "I have tried researching this and haven't found a definitive answer. If I pay the minimum payment on parent plus loans (to focus on paying off other debts), does that have any negative impact on my mom whose name the loan is in? Does it have any affect on her credit rating? And besides paying more total in the end, what are the cons of minimum payments?\n\nThank you." Self: "No, if you pay the minimum payments that's all that is required. So her credit will remain in good standing. " User (Zibbe): "Thank you for the reply! That's all I needed to know. "

User (FullMetul): "Hey Everyone,\n\nMy girlfriend and I just signed for a new apartment lease within the last two weeks. However yesterday we received a strange email from our Realtor. The email was a phishing scam but we've both been too busy to even talk about it (we both work 12 hour days).\n\nMy girlfriend fell for it and today she had an unauthorized access on her gmail from an IP based out of Madison, WI. I quickly did a backtrace on the phishing URL and I can see it was registered in Brampton, ON. The phishing attempt was really well done too... no broken english and very official Google-y looking forms. So I'm worried that this goes beyond a simple Indian scam-center hack, especially with the logins coming from the USA.\n\nSo if the hackers were smart enough to go through the email correspondences I can see that they have full access to both our credit and leasing agreements through DotLoop.com... they don't require any authorization on the URLs shared through email so by clicking the link the hackers had access to everything from my SSN, past living history (literally everywhere I've lived in my life), drivers license number, license plate, make and model of car, bank account numbers... literally almost everything.\n\nI already have Identity Theft insurance but with this hack I'm not worried about being reimbursed... I'm worried about the headache of dealing with Identity theft for the rest of my life.\n\nI've heard some horror stories from LifeLock so I don't think I'll use them but is there anything else I can do in this situation? I called the realtor company but they didn't think this was too big a deal. They say it was only a simple phishing attempt and no information was compromised. \n\nAny advice would be greatly appreciated.\n\nTL:DR: Realtor was hacked, SSN, bank accounts, living history, nearly everything may be compromised. What can I do moving forward? \n\n" Self: "You may find these links helpful:\n\n- [Identity Theft Guide](http://www.reddit.com/r/personalfinance/wiki/identity_theft)\n- [Credit-related wiki pages](http://www.reddit.com/r/personalfinance/wiki/index#wiki_credit)\n\n*I am a bot, and this action was performed automatically. Please [contact the moderators of this subreddit](/message/compose/?to=/r/personalfinance) if you have any questions or concerns.*"

User (FullMetul): "Hey Everyone,\n\nMy girlfriend and I just signed for a new apartment lease within the last two weeks. However yesterday we received a strange email from our Realtor. The email was a phishing scam but we've both been too busy to even talk about it (we both work 12 hour days).\n\nMy girlfriend fell for it and today she had an unauthorized access on her gmail from an IP based out of Madison, WI. I quickly did a backtrace on the phishing URL and I can see it was registered in Brampton, ON. The phishing attempt was really well done too... no broken english and very official Google-y looking forms. So I'm worried that this goes beyond a simple Indian scam-center hack, especially with the logins coming from the USA.\n\nSo if the hackers were smart enough to go through the email correspondences I can see that they have full access to both our credit and leasing agreements through DotLoop.com... they don't require any authorization on the URLs shared through email so by clicking the link the hackers had access to everything from my SSN, past living history (literally everywhere I've lived in my life), drivers license number, license plate, make and model of car, bank account numbers... literally almost everything.\n\nI already have Identity Theft insurance but with this hack I'm not worried about being reimbursed... I'm worried about the headache of dealing with Identity theft for the rest of my life.\n\nI've heard some horror stories from LifeLock so I don't think I'll use them but is there anything else I can do in this situation? I called the realtor company but they didn't think this was too big a deal. They say it was only a simple phishing attempt and no information was compromised. \n\nAny advice would be greatly appreciated.\n\nTL:DR: Realtor was hacked, SSN, bank accounts, living history, nearly everything may be compromised. What can I do moving forward? \n\n" Self: "Zander insurance offers great coverage for identity theft...where they do all the work. It's like 75 a year per person.\n\nHighly recommended."

User (FullMetul): "Hey Everyone,\n\nMy girlfriend and I just signed for a new apartment lease within the last two weeks. However yesterday we received a strange email from our Realtor. The email was a phishing scam but we've both been too busy to even talk about it (we both work 12 hour days).\n\nMy girlfriend fell for it and today she had an unauthorized access on her gmail from an IP based out of Madison, WI. I quickly did a backtrace on the phishing URL and I can see it was registered in Brampton, ON. The phishing attempt was really well done too... no broken english and very official Google-y looking forms. So I'm worried that this goes beyond a simple Indian scam-center hack, especially with the logins coming from the USA.\n\nSo if the hackers were smart enough to go through the email correspondences I can see that they have full access to both our credit and leasing agreements through DotLoop.com... they don't require any authorization on the URLs shared through email so by clicking the link the hackers had access to everything from my SSN, past living history (literally everywhere I've lived in my life), drivers license number, license plate, make and model of car, bank account numbers... literally almost everything.\n\nI already have Identity Theft insurance but with this hack I'm not worried about being reimbursed... I'm worried about the headache of dealing with Identity theft for the rest of my life.\n\nI've heard some horror stories from LifeLock so I don't think I'll use them but is there anything else I can do in this situation? I called the realtor company but they didn't think this was too big a deal. They say it was only a simple phishing attempt and no information was compromised. \n\nAny advice would be greatly appreciated.\n\nTL:DR: Realtor was hacked, SSN, bank accounts, living history, nearly everything may be compromised. What can I do moving forward? \n\n" Self: "Freeze your credit so no new accounts could be opened. It shows how in the FAQ."

User (FullMetul): "Hey Everyone,\n\nMy girlfriend and I just signed for a new apartment lease within the last two weeks. However yesterday we received a strange email from our Realtor. The email was a phishing scam but we've both been too busy to even talk about it (we both work 12 hour days).\n\nMy girlfriend fell for it and today she had an unauthorized access on her gmail from an IP based out of Madison, WI. I quickly did a backtrace on the phishing URL and I can see it was registered in Brampton, ON. The phishing attempt was really well done too... no broken english and very official Google-y looking forms. So I'm worried that this goes beyond a simple Indian scam-center hack, especially with the logins coming from the USA.\n\nSo if the hackers were smart enough to go through the email correspondences I can see that they have full access to both our credit and leasing agreements through DotLoop.com... they don't require any authorization on the URLs shared through email so by clicking the link the hackers had access to everything from my SSN, past living history (literally everywhere I've lived in my life), drivers license number, license plate, make and model of car, bank account numbers... literally almost everything.\n\nI already have Identity Theft insurance but with this hack I'm not worried about being reimbursed... I'm worried about the headache of dealing with Identity theft for the rest of my life.\n\nI've heard some horror stories from LifeLock so I don't think I'll use them but is there anything else I can do in this situation? I called the realtor company but they didn't think this was too big a deal. They say it was only a simple phishing attempt and no information was compromised. \n\nAny advice would be greatly appreciated.\n\nTL:DR: Realtor was hacked, SSN, bank accounts, living history, nearly everything may be compromised. What can I do moving forward? \n\n" Self: "Was it an actual account hack, or just a spoofed email from the realtor email addy with a different reply to address? \n\nIf the realtor's email was actually hacked, compromising any of your info, they may have some liability" User (FullMetul): "It was the realtors account, I called an confirmed and his email was compromised. " Self: "You might push them for some responsibility in covering identity theft protection, especially if they didn't secure the account well (2-factor auth, etc.)\n\nIt's worth a shot\n"

User (kerosenerobz): "I was a salaried employee making 40k a year. Three weeks ago I was told in a meeting that I would be paid an hourly rate equivalent to my salary and it would go in effect on today's pay period. My last salaried paycheck was on the 18th. I received my check today and it was only for one week, meaning that I'll lose a week's pay compared to what I would have gotten as a salaried employee. My question is whether or not this is legal and what do I do now?" Self: "You are due pay for all hours work. Ask your HR department about the lost wages for the middle week. "

User (kerosenerobz): "I was a salaried employee making 40k a year. Three weeks ago I was told in a meeting that I would be paid an hourly rate equivalent to my salary and it would go in effect on today's pay period. My last salaried paycheck was on the 18th. I received my check today and it was only for one week, meaning that I'll lose a week's pay compared to what I would have gotten as a salaried employee. My question is whether or not this is legal and what do I do now?" Self: "Did your employer change your pay period as a result of the change? It would be grossly illegal for them to simply not pay you for a week but I would be surprised if that was happening." User (kerosenerobz): "Yes. The change was made in anticipation of the law."

User (kerosenerobz): "I was a salaried employee making 40k a year. Three weeks ago I was told in a meeting that I would be paid an hourly rate equivalent to my salary and it would go in effect on today's pay period. My last salaried paycheck was on the 18th. I received my check today and it was only for one week, meaning that I'll lose a week's pay compared to what I would have gotten as a salaried employee. My question is whether or not this is legal and what do I do now?" Self: "You got paid for the work week that ended last Saturday. When you get your pay check in 2 weeks you'll have your pay for this current week and next week on it. "

User (kerosenerobz): "I was a salaried employee making 40k a year. Three weeks ago I was told in a meeting that I would be paid an hourly rate equivalent to my salary and it would go in effect on today's pay period. My last salaried paycheck was on the 18th. I received my check today and it was only for one week, meaning that I'll lose a week's pay compared to what I would have gotten as a salaried employee. My question is whether or not this is legal and what do I do now?" Self: "My guess is that your check on the 18th paid you for your work through the 18th. They could do that because as a salary employee your check is always the same. As an hourly employee, they can't do payroll midweek for hours that you haven't worked yet. There ends up being a one week lag and you pay check is for the previous two weeks. When you quit, they'll still owe you one more week.\n\nBut that's a guess. You should ask them."

User (kerosenerobz): "I was a salaried employee making 40k a year. Three weeks ago I was told in a meeting that I would be paid an hourly rate equivalent to my salary and it would go in effect on today's pay period. My last salaried paycheck was on the 18th. I received my check today and it was only for one week, meaning that I'll lose a week's pay compared to what I would have gotten as a salaried employee. My question is whether or not this is legal and what do I do now?" Self: "That overtime law change has been postponed, by the way."

User (kerosenerobz): "I was a salaried employee making 40k a year. Three weeks ago I was told in a meeting that I would be paid an hourly rate equivalent to my salary and it would go in effect on today's pay period. My last salaried paycheck was on the 18th. I received my check today and it was only for one week, meaning that I'll lose a week's pay compared to what I would have gotten as a salaried employee. My question is whether or not this is legal and what do I do now?" Self: "Your check today was probably for last week, not this week, to cover the switch for pay periods. Usually hourly employees receive their paychecks a week or two weeks after the day worked. Your pay stub should show the pay period the check is for, what are the dates on it?"

User (DefNotSuspicous): "Whats up PF? Long time reader, first time poster. This is a throwaway for reasons that will become clear. Out of the blue I have been gifted a check for $10,000 from a previously unknown relative. At the moment, all of my research suggests the check is legitimate and not a scam. My question is what do I do next? What is the best way to maximize the use of this money? Do I simply pay off all of my student loans? Do I invest? Or a mixture of the two? So about me, I make $14.61/hr full time for a yearly income of $29,220 before tax. I have $10,500 left in student loans at a payment of $115.68/month. Rent is $500/month. Utilities are $100-120/month. Car payment is $156/month. I have an interest free credit card for 9 months with a balance of $1300 because I just built a computer, but I already had the money and plans to pay that off in time before this windfall. The rest of the money pays for food, clothing, and fun. I'm embarrassed to say I don't save any money. But I get by. So other than "Don't tell anyone" (which i haven't) what is your advice? Thank you." Self: "I would save the equivalent of 3 months living expenses in your bank and then dump the rest into the credit card and student loan debt."

User (DefNotSuspicous): "Whats up PF? Long time reader, first time poster. This is a throwaway for reasons that will become clear. Out of the blue I have been gifted a check for $10,000 from a previously unknown relative. At the moment, all of my research suggests the check is legitimate and not a scam. My question is what do I do next? What is the best way to maximize the use of this money? Do I simply pay off all of my student loans? Do I invest? Or a mixture of the two? So about me, I make $14.61/hr full time for a yearly income of $29,220 before tax. I have $10,500 left in student loans at a payment of $115.68/month. Rent is $500/month. Utilities are $100-120/month. Car payment is $156/month. I have an interest free credit card for 9 months with a balance of $1300 because I just built a computer, but I already had the money and plans to pay that off in time before this windfall. The rest of the money pays for food, clothing, and fun. I'm embarrassed to say I don't save any money. But I get by. So other than "Don't tell anyone" (which i haven't) what is your advice? Thank you." Self: "I'd like to know the interest rate on the student loan as well as the principal and interest on the car loan. \n\n" User (DefNotSuspicous): "Student loan 5.59% Fixed rate, Car $8,766 at 2.99%" Self: "Pay off the student loan. Hold on to the car loan. And for the love of god start saving. " aspiring1percenter (aspiring1percenter): "Commit to fully funding your Roth IRA this year with $5,500 of that money. Your future self will thank you!" User (DefNotSuspicous): "hey, now there's an idea"

User (movingToPittsburgh): "Hi All\n\nWe need advice and thought we would ask here. We are currently living in Alberta, Canada. My wife is a professional in a narrow field. She recently became unemployed. I am an IT professional, managing a team of 15. My wife is currently interviewing with a company near Pittsburgh, PA. We have two daughters, 5 and 2. I’m writing this to help us decide whether it makes sense to relocate to Pittsburgh area.\n\nFinancially, we expect her job will be worth about as much a mine is currently (after exchange rate) and I have been looking for new growth opportunities, which are tough in Alberta’s economy right now. Her company will cover relocation costs. \n\nNow to questions: \n\nWork opportunities for me: What is IT market like currently? I would probably need my own work visa, how much of a problem is that when applying for jobs? I have enough experience to either try to move up in management or drop down into a senior sysadmin or dba. \n\nHousing: We are planning to purchase a house in Pittsburgh, what are good neighbourhoods? Hoping to need only one vehicle, which my wife will need for her commute, so public transit for me. We’ve heard that property taxes can be very different depending on whether it is WA or Allegheny. \n\nSchools: We also heard that you are required to send kids to schools in your area (in my city there is a certain amount of movement possible). Are there any websites that can help us select a good area to buy a house (with all of these constraints?). We will be working with a realtor, but want to have a decent idea going into that conversation. What are the school taxes like?\n\nHealthcare costs: What are the average costs for healthcare for a family? The company provides health coverage, and we will be going into detail for that with the HR department, but we’re afraid we can miss questions just because healthcare in Canada is structured differently. We’re basically afraid of not knowing enough to ask the right questions.\n\nFood: We very rarely eat out. I enjoy cooking and I do not find it a chore. How much would a family spend on food and incidentals in that area?\n\nAnything else I should be asking?\n\nThanks,\n\nmovingToPittsburgh" Self: "Two things, don't let people know you're Canadian, and don't let them know you like Nickleback, or they'll know you're Canadian.\n\nHaha, in all seriousness, I can't really tell you much. I lived in Pittsburgh for a summer very good public transportation." User (movingToPittsburgh): "Thank you for replying. It's a good thing to know that public transportation is a viable option."

User (movingToPittsburgh): "Hi All\n\nWe need advice and thought we would ask here. We are currently living in Alberta, Canada. My wife is a professional in a narrow field. She recently became unemployed. I am an IT professional, managing a team of 15. My wife is currently interviewing with a company near Pittsburgh, PA. We have two daughters, 5 and 2. I’m writing this to help us decide whether it makes sense to relocate to Pittsburgh area.\n\nFinancially, we expect her job will be worth about as much a mine is currently (after exchange rate) and I have been looking for new growth opportunities, which are tough in Alberta’s economy right now. Her company will cover relocation costs. \n\nNow to questions: \n\nWork opportunities for me: What is IT market like currently? I would probably need my own work visa, how much of a problem is that when applying for jobs? I have enough experience to either try to move up in management or drop down into a senior sysadmin or dba. \n\nHousing: We are planning to purchase a house in Pittsburgh, what are good neighbourhoods? Hoping to need only one vehicle, which my wife will need for her commute, so public transit for me. We’ve heard that property taxes can be very different depending on whether it is WA or Allegheny. \n\nSchools: We also heard that you are required to send kids to schools in your area (in my city there is a certain amount of movement possible). Are there any websites that can help us select a good area to buy a house (with all of these constraints?). We will be working with a realtor, but want to have a decent idea going into that conversation. What are the school taxes like?\n\nHealthcare costs: What are the average costs for healthcare for a family? The company provides health coverage, and we will be going into detail for that with the HR department, but we’re afraid we can miss questions just because healthcare in Canada is structured differently. We’re basically afraid of not knowing enough to ask the right questions.\n\nFood: We very rarely eat out. I enjoy cooking and I do not find it a chore. How much would a family spend on food and incidentals in that area?\n\nAnything else I should be asking?\n\nThanks,\n\nmovingToPittsburgh" Self: "Health care is going to cost more than you think it should unless her company has amazing benefits. You've got your monthly costs, sometimes a deductible, copays, HMOs vs PPOs etc." User (movingToPittsburgh): "There is a deductible and yes, we will be looking at those terms very closely. I'm now reading about HMO and PPO plans on google. I've been a long time lurker so I've seen quite a few posts about hospital being in plan, but a specific doctor not. That type of situation is very scary to me." Self: "The big difference (but by no means the only) is that on an HMO you *have* to have a primary care physician and you *have* to get a referral form them to see a specialist (ex. physical therapy, gastroenterology, etc), whereas on a PPO you can go directly to a specialist without a referral. HMOs typically have lower copays than their PPO equivalents."

User (JPUT): "So I just got a job with the state of California and am now a member of CalPERS. I got my first check and I'm confused about something. Under everything else it lists employer contributions to retirement. But from what I understand the retirement benefits are calculated based on years of service and your pay at the time of retirement, and the amount you've contributed isn't a factor. So what's the point of having the state contribute to my retirement account if the balance of the account has no affect on anything?" Self: "You may find these links helpful:\n\n- [Retirement Accounts](https://www.reddit.com/r/personalfinance/wiki/index#wiki_retirement_accounts) (articles on 401(k) plans, IRAs, and more)\n- ["How to handle $"](http://www.reddit.com/r/personalfinance/wiki/commontopics)\n\n*I am a bot, and this action was performed automatically. Please [contact the moderators of this subreddit](/message/compose/?to=/r/personalfinance) if you have any questions or concerns.*"

User (JPUT): "So I just got a job with the state of California and am now a member of CalPERS. I got my first check and I'm confused about something. Under everything else it lists employer contributions to retirement. But from what I understand the retirement benefits are calculated based on years of service and your pay at the time of retirement, and the amount you've contributed isn't a factor. So what's the point of having the state contribute to my retirement account if the balance of the account has no affect on anything?" Self: "Such understand.\nMuch grammar.\nWow." User (JPUT): "I've always seen people making mistakes in post titles and wondered, "How is it that difficult to just proofread the damn thing before hitting submit?"\n\nApparently pretty difficult."

User (JPUT): "So I just got a job with the state of California and am now a member of CalPERS. I got my first check and I'm confused about something. Under everything else it lists employer contributions to retirement. But from what I understand the retirement benefits are calculated based on years of service and your pay at the time of retirement, and the amount you've contributed isn't a factor. So what's the point of having the state contribute to my retirement account if the balance of the account has no affect on anything?" Self: "Not in California myself but I think there are some things that need to be accounted for with any defined benefit plan, which seems like what you are describing.\n\n1) The money needs to be set aside. Otherwise, when employees retire the employer might not have enough cash flow to pay the benefits. \n\n2) Your benefit will certainly not be vested for many years. Keeping track of the money set aside for your benefit might be used to get you a one time pay out. Let's say it takes 15 years before you are eligible for the minimum level of pension. If you leave in year 14 you might get a one time payment that you can roll over into another retirement plan.\n\n" User (JPUT): ">The money needs to be set aside. Otherwise, when employees retire the employer might not have enough cash flow to pay the benefits. \n\nThat was my only theory, that it was just a basic bookkeeping thing to contribute a certain amount to keep the whole thing going. But then why is it listed on my check? It seems almost deceptive to say "Look how much we're contributing!" when the account balance isn't at all related to what you'll get back out.\n\n>Your benefit will certainly not be vested for many years. Keeping track of the money set aside for your benefit might be used to get you a one time pay out. Let's say it takes 15 years before you are eligible for the minimum level of pension. If you leave in year 14 you might get a one time payment that you can roll over into another retirement plan.\n\nThat makes sense for keeping track of *my* contributions, but doesn't explain them contributing. While you can get a refund on your own contributions if you leave state employment, you can't take out their contributions." Self: "> That makes sense for keeping track of my contributions, but doesn't explain them contributing. While you can get a refund on your own contributions if you leave state employment, you can't take out their contributions.\n\n\nTheir contributions are also for your benefit. My guess is you get to keep theirs too. There should be a handbook that you can download from their website.\n" User (JPUT): "According to [this](https://www.calpers.ca.gov/page/active-members/retirement-benefits/refunds-reciprocity) you don't get to keep their contributions in any instance other than retiring through their system. And when you retire through their system their contributions don't actually matter in any way.\n\nJust realized that you get the interest if you leave and choose a refund, which I'm assuming would be calculated from the whole pool, so I guess that's the only reason it would matter." Hruk34 (Hruk34): "It's a pension, the states contributions just get rolled into the pension if you leave before it vests. This is part of how pensions are funded." User (JPUT): "I understand that, what I didn't get is why their contributions go into my account and are listed on my check. Being able to withdraw the interest if you leave before retiring is the only reason I can think of that their contributions would matter to me, and I guess that's the answer to my question." Hruk34 (Hruk34): "Because its easier on accounting, and you may get taxed on it"

User (JPUT): "So I just got a job with the state of California and am now a member of CalPERS. I got my first check and I'm confused about something. Under everything else it lists employer contributions to retirement. But from what I understand the retirement benefits are calculated based on years of service and your pay at the time of retirement, and the amount you've contributed isn't a factor. So what's the point of having the state contribute to my retirement account if the balance of the account has no affect on anything?" Self: "Not in California myself but I think there are some things that need to be accounted for with any defined benefit plan, which seems like what you are describing.\n\n1) The money needs to be set aside. Otherwise, when employees retire the employer might not have enough cash flow to pay the benefits. \n\n2) Your benefit will certainly not be vested for many years. Keeping track of the money set aside for your benefit might be used to get you a one time pay out. Let's say it takes 15 years before you are eligible for the minimum level of pension. If you leave in year 14 you might get a one time payment that you can roll over into another retirement plan.\n\n" User (JPUT): ">The money needs to be set aside. Otherwise, when employees retire the employer might not have enough cash flow to pay the benefits. \n\nThat was my only theory, that it was just a basic bookkeeping thing to contribute a certain amount to keep the whole thing going. But then why is it listed on my check? It seems almost deceptive to say "Look how much we're contributing!" when the account balance isn't at all related to what you'll get back out.\n\n>Your benefit will certainly not be vested for many years. Keeping track of the money set aside for your benefit might be used to get you a one time pay out. Let's say it takes 15 years before you are eligible for the minimum level of pension. If you leave in year 14 you might get a one time payment that you can roll over into another retirement plan.\n\nThat makes sense for keeping track of *my* contributions, but doesn't explain them contributing. While you can get a refund on your own contributions if you leave state employment, you can't take out their contributions." CEdotGOV (CEdotGOV): "> That was my only theory, that it was just a basic bookkeeping thing to contribute a certain amount to keep the whole thing going. But then why is it listed on my check? It seems almost deceptive to say "Look how much we're contributing!" when the account balance isn't at all related to what you'll get back out.\n\nIt may just be a standard way for the state agency to report that it's paying into the pension fund on your check. For instance, the federal agency I work at also shows that they are paying their ~12% contribution into the pension on my paychecks too. In fact, they also report how much they are paying for health insurance, Social Security, Medicare, TSP matching, etc. as well."

User (JPUT): "So I just got a job with the state of California and am now a member of CalPERS. I got my first check and I'm confused about something. Under everything else it lists employer contributions to retirement. But from what I understand the retirement benefits are calculated based on years of service and your pay at the time of retirement, and the amount you've contributed isn't a factor. So what's the point of having the state contribute to my retirement account if the balance of the account has no affect on anything?" Self: "Not in California myself but I think there are some things that need to be accounted for with any defined benefit plan, which seems like what you are describing.\n\n1) The money needs to be set aside. Otherwise, when employees retire the employer might not have enough cash flow to pay the benefits. \n\n2) Your benefit will certainly not be vested for many years. Keeping track of the money set aside for your benefit might be used to get you a one time pay out. Let's say it takes 15 years before you are eligible for the minimum level of pension. If you leave in year 14 you might get a one time payment that you can roll over into another retirement plan.\n\n" User (JPUT): ">The money needs to be set aside. Otherwise, when employees retire the employer might not have enough cash flow to pay the benefits. \n\nThat was my only theory, that it was just a basic bookkeeping thing to contribute a certain amount to keep the whole thing going. But then why is it listed on my check? It seems almost deceptive to say "Look how much we're contributing!" when the account balance isn't at all related to what you'll get back out.\n\n>Your benefit will certainly not be vested for many years. Keeping track of the money set aside for your benefit might be used to get you a one time pay out. Let's say it takes 15 years before you are eligible for the minimum level of pension. If you leave in year 14 you might get a one time payment that you can roll over into another retirement plan.\n\nThat makes sense for keeping track of *my* contributions, but doesn't explain them contributing. While you can get a refund on your own contributions if you leave state employment, you can't take out their contributions." Self: "> That makes sense for keeping track of my contributions, but doesn't explain them contributing. While you can get a refund on your own contributions if you leave state employment, you can't take out their contributions.\n\n\nTheir contributions are also for your benefit. My guess is you get to keep theirs too. There should be a handbook that you can download from their website.\n" User (JPUT): "According to [this](https://www.calpers.ca.gov/page/active-members/retirement-benefits/refunds-reciprocity) you don't get to keep their contributions in any instance other than retiring through their system. And when you retire through their system their contributions don't actually matter in any way.\n\nJust realized that you get the interest if you leave and choose a refund, which I'm assuming would be calculated from the whole pool, so I guess that's the only reason it would matter." Hruk34 (Hruk34): "It's a pension, the states contributions just get rolled into the pension if you leave before it vests. This is part of how pensions are funded." User (JPUT): "I understand that, what I didn't get is why their contributions go into my account and are listed on my check. Being able to withdraw the interest if you leave before retiring is the only reason I can think of that their contributions would matter to me, and I guess that's the answer to my question." sentmusic (sentmusic): "Like Hruk34 said, its for a few reasons. Because its easier for accounting and HAS to be associated with you personally for accounting purposes (IE cost of benefits for specific employee). Also, its not just some nebulous made up amount. The amount the employer AND employee pay into the system is based upon how much PERS-able income YOU specifically make.\n\n"

User (Fly_Molo_23): "Not sure if this is the best place to post this, please let me know if I should cross post anywhere, thank you.\n\nI am a facilities constitution manager for a major hospital in a major med center. At $73,000 I am aware that I am well underpaid. I have long time friends in the industry and we talk. Taking the job made sense for me two years ago because it allowed me to get into a management position.\n\nI have been looking for better opportunities and I had a very good first interview with a great company that I have direct experience with as a contractor years ago. The position is exactly what I'm doing now. I have been invited to a second interview next week to meet with upper management. I am not getting ahead of myself and assuming I have the job, but I do feel good about my chances so for the purpose of this post I'm going to pretend that I'all be getting an offer. My question is - how do I get the most out of that offer?\n\nFurther info - oil and gas. Fortune 100, massive company. I am very confident that they pay much better than my current organization. On the phone before my first interview, the recruiting lady asked me what I made and I told her. Perhaps I shouldn't have done that, please don't beat me up over that if that is the case. What's done is done.\n\nSo, since they know what I make, how do I handle it if I feel like they are trying to low ball me because of my current low pay?\n\nAlso, a friend of mine works for the company, different department. During the last phase of his interview, he says the recruiter more or less asked him "what do you want to be paid?" And the negotiation started there. Should I shoot high? If I come out of this with $85k I will be very happy. If asked, should I say $90k?\n\nHelp me out. Sorry for rambling. Thank you!" Self: "If you do give a salary range, they will often come in near or at the bottom of the range. Be sure any range you supply is AT LEAST as much as you want. " User (Fly_Molo_23): "I'll keep that in mind. Thank you!"

User (Fly_Molo_23): "Not sure if this is the best place to post this, please let me know if I should cross post anywhere, thank you.\n\nI am a facilities constitution manager for a major hospital in a major med center. At $73,000 I am aware that I am well underpaid. I have long time friends in the industry and we talk. Taking the job made sense for me two years ago because it allowed me to get into a management position.\n\nI have been looking for better opportunities and I had a very good first interview with a great company that I have direct experience with as a contractor years ago. The position is exactly what I'm doing now. I have been invited to a second interview next week to meet with upper management. I am not getting ahead of myself and assuming I have the job, but I do feel good about my chances so for the purpose of this post I'm going to pretend that I'all be getting an offer. My question is - how do I get the most out of that offer?\n\nFurther info - oil and gas. Fortune 100, massive company. I am very confident that they pay much better than my current organization. On the phone before my first interview, the recruiting lady asked me what I made and I told her. Perhaps I shouldn't have done that, please don't beat me up over that if that is the case. What's done is done.\n\nSo, since they know what I make, how do I handle it if I feel like they are trying to low ball me because of my current low pay?\n\nAlso, a friend of mine works for the company, different department. During the last phase of his interview, he says the recruiter more or less asked him "what do you want to be paid?" And the negotiation started there. Should I shoot high? If I come out of this with $85k I will be very happy. If asked, should I say $90k?\n\nHelp me out. Sorry for rambling. Thank you!" Self: "Is there a average salary on glassdoor or elsewhere available? If so I would say to combine that with your current experience in that position as tools for the amount you are aiming for." User (Fly_Molo_23): "Glassdoor says $82k average for my city. Is it safe to assume that includes the $73k type places like where I'm at, meaning shooting for upper 80's isn't unreasonable?" Self: "Combining this salary information with your experience (as well as referencing your previous work with this company, assuming it was quality) what you are asking for doesn't sound unreasonable." User (Fly_Molo_23): "Yes, they remember specifically the work I did for them and had good things to say. Thank you for your input!"

User (Fly_Molo_23): "Not sure if this is the best place to post this, please let me know if I should cross post anywhere, thank you.\n\nI am a facilities constitution manager for a major hospital in a major med center. At $73,000 I am aware that I am well underpaid. I have long time friends in the industry and we talk. Taking the job made sense for me two years ago because it allowed me to get into a management position.\n\nI have been looking for better opportunities and I had a very good first interview with a great company that I have direct experience with as a contractor years ago. The position is exactly what I'm doing now. I have been invited to a second interview next week to meet with upper management. I am not getting ahead of myself and assuming I have the job, but I do feel good about my chances so for the purpose of this post I'm going to pretend that I'all be getting an offer. My question is - how do I get the most out of that offer?\n\nFurther info - oil and gas. Fortune 100, massive company. I am very confident that they pay much better than my current organization. On the phone before my first interview, the recruiting lady asked me what I made and I told her. Perhaps I shouldn't have done that, please don't beat me up over that if that is the case. What's done is done.\n\nSo, since they know what I make, how do I handle it if I feel like they are trying to low ball me because of my current low pay?\n\nAlso, a friend of mine works for the company, different department. During the last phase of his interview, he says the recruiter more or less asked him "what do you want to be paid?" And the negotiation started there. Should I shoot high? If I come out of this with $85k I will be very happy. If asked, should I say $90k?\n\nHelp me out. Sorry for rambling. Thank you!" Self: "You have to consider what the company needs to pay to get someone, and what you are worth to them. Oil and gas has been in a funk for a while. They could well have an interest in you because of your perceived relatively lower salary expectation.\n\nThere's no real point in making this an issue until they decide they like you. If they get to that point, that's the time when you can say what it would take to get you to sign. Just think about what the number needs to be. If it's too high, they'll consider others if they have that option. " User (Fly_Molo_23): "Yes, I'll definitely have to wait until they decide they like me.\n\nAs I said, for the purposes of this post, I'd like to prepare in the event that I find myself in the situation. I'd say that is smarter than not talking about this first.\n\nYour points about the industry are valid, but they are mid-stream, which relies on demand, which won't be gone in our life times. I've done my research. They are doing very well, and have had zero layoffs.\n\nThank you for your input!"

User (Fly_Molo_23): "Not sure if this is the best place to post this, please let me know if I should cross post anywhere, thank you.\n\nI am a facilities constitution manager for a major hospital in a major med center. At $73,000 I am aware that I am well underpaid. I have long time friends in the industry and we talk. Taking the job made sense for me two years ago because it allowed me to get into a management position.\n\nI have been looking for better opportunities and I had a very good first interview with a great company that I have direct experience with as a contractor years ago. The position is exactly what I'm doing now. I have been invited to a second interview next week to meet with upper management. I am not getting ahead of myself and assuming I have the job, but I do feel good about my chances so for the purpose of this post I'm going to pretend that I'all be getting an offer. My question is - how do I get the most out of that offer?\n\nFurther info - oil and gas. Fortune 100, massive company. I am very confident that they pay much better than my current organization. On the phone before my first interview, the recruiting lady asked me what I made and I told her. Perhaps I shouldn't have done that, please don't beat me up over that if that is the case. What's done is done.\n\nSo, since they know what I make, how do I handle it if I feel like they are trying to low ball me because of my current low pay?\n\nAlso, a friend of mine works for the company, different department. During the last phase of his interview, he says the recruiter more or less asked him "what do you want to be paid?" And the negotiation started there. Should I shoot high? If I come out of this with $85k I will be very happy. If asked, should I say $90k?\n\nHelp me out. Sorry for rambling. Thank you!" Self: "I suggest saying $85-$95k, but that it depends on the entire package, not just salary. That way, if they come back at the low end, you can respond with a higher number, given that the benefits aren't as great as you would have hoped (or maybe ask for more vacation days rather than an increase in salary). This was you have some flexibility later and they still get what they want in a range from you." User (Fly_Molo_23): "Thank you for the input!"