what next? - Ask Rich / Money 101

Kitten35 · 04-15-2009, 10:26 AM

DH and I are fairly financially stable. We have an emergency account, our credit cards are paid off (except for one) and we have two student loans and a car loan (paid off this summer) is the only other debt we have. We also have a fairly sizeable savings account for several months living expenses if we need it.

My question is, what now? We have not saved for retirement, have no savings designated specifically for our children's college (no kids yet, but not too early to think I don't think) and any of the other 'big' things. I think we are sitting well financially for our stage in life, but I have no idea how to do these bigger investments and what is wise to do next. He's allowed me to do the money since he's not too great at it, which is fine, but I don't have any idea what to do now that we have the 'basics' set up.

Ideas?

CCArmyWife · 04-15-2009, 10:33 AM

I'm obviously not rich, but wanted to say good job at being in such a great spot! DH an dI are working towards that too, so I

the finance threads for advice

Kitten35 · 04-15-2009, 10:34 AM

Oh, another question: does the military have a retirement plan or 401 K or anything? I don't have one at my job and Have no idea how to save for retirement but it's time to start or we will have to work a lot longer when we're older. How do mutual funds work?

gunsgirl · 04-15-2009, 10:38 AM

first make sure you have 6 months of income in savings; this you will use only incase of emergency.

then have another savings account for "fun" savings for vacay, christmas, to buy a big ticket item

then look at starting the TSP or a ROTH to start investing for retirement.
with the TSP it is taken pre tax- tho you will pay tax on it when you retire the jest is that you will have less income and will pay less tax then- you can do as little at 3% of the basic pay for the TSP-

with a ROTH you have limits of what you can put in it is Post tax ( you will not pay tax when you withdraw after you retire).

start small now and increase every yr until you are at 15% of the base pay going to just retirement stuff- start now and you will not miss it as he gets raises.

gunsgirl · 04-15-2009, 10:39 AM

the TSP is the military extra retirement savings-

www.TSP.org

04-15-2009, 10:26 AM	#1 (permalink)
Kitten35 Junior Member Join Date: Sep 2008 Location: Pennsylvania Posts: 1,096 Classifieds: (0) Activity: 25% Longevity: 20%	what next? DH and I are fairly financially stable. We have an emergency account, our credit cards are paid off (except for one) and we have two student loans and a car loan (paid off this summer) is the only other debt we have. We also have a fairly sizeable savings account for several months living expenses if we need it. My question is, what now? We have not saved for retirement, have no savings designated specifically for our children's college (no kids yet, but not too early to think I don't think) and any of the other 'big' things. I think we are sitting well financially for our stage in life, but I have no idea how to do these bigger investments and what is wise to do next. He's allowed me to do the money since he's not too great at it, which is fine, but I don't have any idea what to do now that we have the 'basics' set up. Ideas?

04-15-2009, 10:33 AM	#2 (permalink)
CCArmyWife Senior Member Join Date: Nov 2008 Posts: 3,385 Classifieds: (0) Activity: 75% Longevity: 17%	I'm obviously not rich, but wanted to say good job at being in such a great spot! DH an dI are working towards that too, so I the finance threads for advice __________________ maybe later ~

04-15-2009, 10:38 AM	#4 (permalink)
gunsgirl I love cats Join Date: Jul 2007 Location: kingsland GA/ HITRON JAX Posts: 4,387 Classifieds: (3) Activity: 59% Longevity: 39%	first make sure you have 6 months of income in savings; this you will use only incase of emergency. then have another savings account for "fun" savings for vacay, christmas, to buy a big ticket item then look at starting the TSP or a ROTH to start investing for retirement. with the TSP it is taken pre tax- tho you will pay tax on it when you retire the jest is that you will have less income and will pay less tax then- you can do as little at 3% of the basic pay for the TSP- with a ROTH you have limits of what you can put in it is Post tax ( you will not pay tax when you withdraw after you retire). start small now and increase every yr until you are at 15% of the base pay going to just retirement stuff- start now and you will not miss it as he gets raises. __________________ GA licensed Realtor Dawn

04-15-2009, 10:39 AM	#5 (permalink)
gunsgirl I love cats Join Date: Jul 2007 Location: kingsland GA/ HITRON JAX Posts: 4,387 Classifieds: (3) Activity: 59% Longevity: 39%	the TSP is the military extra retirement savings- www.TSP.org __________________ GA licensed Realtor Dawn

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04-15-2009, 10:34 AM	#3 (permalink)
Kitten35 Junior Member Join Date: Sep 2008 Location: Pennsylvania Posts: 1,096 Classifieds: (0) Activity: 25% Longevity: 20%	Oh, another question: does the military have a retirement plan or 401 K or anything? I don't have one at my job and Have no idea how to save for retirement but it's time to start or we will have to work a lot longer when we're older. How do mutual funds work?