The Truth About 401Ks and Homeownership
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- เผยแพร่เมื่อ 5 ก.ย. 2024
- In this episode, Rashad Bilal, Troy Millings, and Ian Dunlap discuss the misconceptions and truths about 401K investments and homeownership. Rashad, drawing from his experience as a former financial advisor, sheds light on the importance of responsible conversations about 401Ks and breaks down the myths surrounding their returns. He emphasizes the need for diversification and responsible investing to secure a financial future.
Rashad dismantles the idea that 401Ks are a scam, highlighting their potential for substantial gains and the benefits of lower tax liabilities. He explains the different investment options within 401Ks, debunking the notion that they provide only a meager 3% return. With insights into Roth 401Ks and the advantages of employer matches, he stresses the role of 401Ks as a valuable investment avenue.
The trio also tackles the topic of homeownership, exploring the statistics that single women own more homes than single men across all ethnicities. While delving into the societal and economic factors at play, they examine the complexities of financial obligations and the evolving landscape of homeownership. The conversation also touches on the challenges of becoming a homeowner in the current economic climate, posing the question of whether homeownership remains a worthwhile pursuit.
As the discussion unfolds, the team addresses the need for balanced and rational conversations around these topics, steering away from the divisive gender dynamics and striving for a holistic understanding of the financial landscape. Ian’s candid and sometimes humorous insights add depth to the conversation, ensuring that the dialogue resonates with a wide audience.
Join Market Mondays as they present a thought-provoking and educational discussion, providing clarity on 401K investments and challenging the traditional narrative surrounding homeownership. Gain valuable insights into responsible financial planning and the evolving dynamics of wealth-building in today’s economic environment. Don’t miss this episode packed with knowledge and actionable advice to bolster your financial literacy and long-term investment strategies.
#MarketMondays #401KInvestments #Homeownership #FinancialPlanning #InvestmentStrategies #WealthBuilding #PersonalFinance #Roth401K #RetirementSavings #FinancialEducation #Diversification #EconomicTrends #GenderDynamics #ResponsibleInvesting
I max out my 401k every year just to reduce my taxes. Idc about anything else. I get 100% match up to 5%. I also have Roth IRA, investment accounts, brokerage accounts, 529 for my son, and all sorts of things.
keep it going man!
How much a year would you estimate you give to all those accounts? Awesome man
@thesmartguyy between 50 to 70k a year, depending on my financial goals for that year. I also max my Roth IRA and HSA.
I feel ya. I have 2 401k. My 2nd job has a matching 401k so I participate in that with 6% biweekly contribution. Also I have a UPS discount stock program and I am a home owner since 2015. Im so glad I bought my townhouse when I did. I pay $800 mortgage for a 2 bed 2.5 bath townhouse in Fort Lauderdale.
@@Papermanflajust be careful not to go over those IRS limits
I have $175,000 in my 401k at age 34. My job does a 7% dollar for dollar match plus puts an additional 10% of your annual salary in for profit sharing. When I was younger I wanted the money on my salary, now I’m happy it’s in the 401k.
That's wonderful!
You rock, BsnsFunding, on the internet! My son showed me your page. I’ve never commented on any TH-cam video, but I appreciate what you do because I despise these people.
This was perfect! Just what I needed. I been running my trucking company for going on 4 years. I started out grossing 6 figures out the gate, but didn’t have no structure with allocations and the pandemic really shut down my business. Thanks BsnsFunding for getting me approved for a grants after several denials and with what you just taught me this is a true game changer that’s fixing to take my trucking company to the next level. Thank you!
I'm glad to see brothas talking about finance and investing instead of gender wars and chasing tail overseas.
Crazy not to invest in your 401k.
yea we need to lock that money away so we cant waste in most cases lol I learned after I bought a lemon car cash
we don't quite understand when we're young. Soon as you get a job in McDonalds or whatever you should invest 2-4% of your pay in that. we can't think beyond things we want to buy
Especially when it's matched & lower taxes
Your dedication, enthusiasm, and insight are shown in your work. Keep on doing great works like this, and there’s no looking back for you! The way you gracefully pulled off the work - I am so proud of you. BsnsFunding , Thanks for going through all the hassle and making them worth it. Congrats and best wishes for a promising future.
My 401k has matching contributions from my employer up to 7% plus I get quarterly profit share deposited. That’s been an extra $12k per year. I’m in a great position at 35. I feel confident for the future thanks in part to my 401k.
My Roth401k with 8% match from employer but I also invest outside that
8% WOW! Most companies only go up to 5%
Build up our emergency funds....Then Max out 401k if we can....Max out Roth IRA if we can, Max out HSA if you have it and if you can. Then auto invest into our taxable brokerage accounts into 1 to 3 low cost broadly diversified etfs or index funds. Then sit bike and enjoy life. If we cannot Max out on our tax advantage accounts...then we should find an appropriate allocation that works.
@@Reem.Digitalwhile talking about maxing out all of these financial vehicles, what do you have in place that can grow when the market does well but not lose when the market doesn’t do well? What account do you have set up with principal protection??
@@TheOpinionSports High yielding savings accounts have great rates right now. So your emergency fund and any additional savings can be getting you 5%.
@@tmc4471yes and earning more than $10 in interest in a savings account and you will pay taxes on that interest earned.
Bottom line you don't want to be 65, trying to retire,paying rent every month. You gotta buckle down and buy a home at some point in your life. Property taxes are generally cheaper than rent. I know it sucks to be a first time home buyer today, but you can't rent forever.
Yep
Houses cost more than 15 years ago. It’s not as easy to buy a home with one income.
@isweatglitter5809 That is why men want women who will invest in a home with them. Too many people think they can lay up on another person and not contribute to the home financially.
I love my 401k. It has literally saved me.
Thank you for this. That post and the comments killed me. The level of misinformation is staggering. 401(k) is a great vehicle. 👏🏽👏🏽
Wq😊@@josephapollon79
I'm up over 120k in my 401k and over 40k in my house
If people are disappointed with the rate of return in their 401K it’s their own fault. You invested your money in the wrong thing inside your 401K or you are not putting enough in to get a big return. I been putting the max in mine for around 10yrs. I just turned 50 and now I am putting the catch-up (additional $7500). So far this year I have made nearly $30K.
One thing about Target date funds is that they may have high fees. I’ve seen fees at 0.49% vs 0.05% in index funds. So that’s one thing to watch out for.
Some 401k's truly do suck and have no or very limited options. However, if those 401k's still provide an employer match... then you NEED to contribute enough to at least get that match. That's FREE money.
Most 401k's are not that restricted. You will get to choose from a variety of investment options within the 401k.
The thing that most people really don't understand is that the 401k is just a bucket that holds investments. The 401k is just the defined money bucket with certain tax regulations in place. The 401k itself is not the investment, just the holding account.
The 401k bucket holds your chosen investments.
If your returns are low it's because of the investments you have chosen in your 401k, not the fault of the 401k bucket your chosen investment is being held in.
The reality is that if you take the same specific investment item and place it within 3 different types of accounts... regular brokage, traditional IRA/401k, or roth ira/roth 401k... the investment returns will be exactly the same in all 3 buckets.
The bucket doesn't change the investment returns, the bucket only really changes the tax treatment of those returns.
This conversation was so needed. Thank you for opening the door to this discussion.
GREAT information. Let’s payoff our houses, & invest that old mortgage payment. 🤔🙉🙌🏿
Snowball method: pay yourself & mortgage + 5%. When paid off, snowball that to yourself.
*Thanks for this video! I feel sympathy and empathy for our country's low income, people are suffering to survive. I appreciate Mylah Evander you've helped my family with your advice! Imagine investing $2,500 and receiving $8,000 in 4days*
No doubt!! I never knew Mylah had gone viral. I decided to back up my assets and property with her when we met at a conference in New Jersey for the first time.
WOW... amazing you know Mylah. Her method last week was amazing and the strategies were mind blowing...
Man. I turnt 41 yesterday. That shit goes by fast.
401K was never meant to be a retirement fund it was meant to be a savings fund that employers match then the y found a way to weasel out of it
It was really meant to add more liquidity to the market once pensions got thrown out
ill take it over a pension and social security though....the roth factor is a game changer...
@@jayman3575a pension was better though. That was free money. Now we have 401k’s that we pay a yearly fee for some company to manage. Also you don’t get to pick the stocks you really want. It’s lumped into some mutual type fund. When the housing markets crashes I don’t want to be holding onto housing stocks.
@@jayman3575over a pension? How so?
@@jayman3575 to bad there are no pensions unless you old
My employer’s 2023 contribution to my 401k was $12k. That’s what my company deposited on top of what I contributed. I max out annually on the 401k and the catch up contribution. Don’t leave money on the table, especially when it’s free!
Exactly 💯. Employers love it because they get a tax write off
“No free lunch.” 👏🏽👏🏽👏🏽 Thank you! Keep up the good work 👍🏽.
What they reports aren’t telling is how many newly single women through divorce gained that status of home ownership through divorce and if those same men that may have lost that status💯
Exactly 💯
Home ownership is key for several reasons! Specifically, if you make over a certain amount. I am not talking huge money! It’s the only taxable item that can dramatically impact your taxes. The more distance you put between your reported income and your taxable income, the higher likelihood of you not paying taxes or getting a tax return! This is how some people make really BIG money and pay little to no tax - particularly if they are heavy into real estate!
At least put in up to the employer match to get the free money.
I don’t get a match from my employer because we got pensions but I still max out my 401K and Roth every year. Those people must be doing something hella wrong if they’re only getting 3%. Those who think everything is a scam will be the same ones who can never retire because they think they’re smarter than what they really are.
I agree with you. They probably make too many trades within their portfolio. You can mess up a self-directed 401k if you're stupid.
The best money i have is money that is untouchable until 54.5 years old. Hopefully i can continue to take care of myself and get to see another 15 years. Health and financial security is the goal. Let’s hope that God allows it.
On homeownership, I'm deep into it. Own five houses now. Looking to purchase my 6th this summer if things go right for me. If you do not own a home yet assess your financial situation and make moves from there. I rather pay a $3000 mortgage than a $3000 in rent.
Boom! 🏆
Dude, you are knocking it down. Keep up the great work!
The incompetence and corruption that runs through this administration are getting more ridiculous. I feel for people with disabilities not getting the help they deserved. Anyone who is not investing now is missing a tremendous opportunity. Imagine investing $1000 and receiving $7,300 in 3days.
Thanks for sharing. Young folks follow you more than even their parents. Wise advice, really appreciate your advice and guidance to our young people.
With fidelity, you can create a brokerage link from the 401k and use 401k money to buy apple etc
The reason I didn’t invest much in my twenties is because I WAS BROKE. Not enough talk about how wages haven’t kept pace with life and how that prohibits the average person from saving for the future.
true! our pay rates and hours was low and hell, plus student loans. Still, we should have had 1-3% coming out of our check
I save 20% of my into my 401K (part is Traditional which is matched by the employer and remaining is in a 401kRoth ) I saving outside work in a brokerage account and IRA and regular saving accounts for home related stuff. It is important to diversify and don’t put all your eggs in one basket ❤❤❤❤ 1:43
Smart!
If you are self employed you can get a self directed 401k. I have one with fidelity and I have Apple and Nvidia stock in mine. Thank you for educating people on 401ks!
But does it match ?🤷🏽♂️
@@arieszonaThis is the biggest thing. Just my opinion, but if you're younger than 35 & self employed. Hit the IRA hard. 401s are great, but the reason they are is bc we get an employer match and reduces you're tax bracket in the process. If youre self employed and young? I think the IRA is the way to go and not worry about taxes later.
IRA … put 400.00 a month into buying FXAIX only, an index fund with exposure to the 2 stock you mentioned. I’m earning 20% right now on this account. It’s a Fidelity Index Fund
or FBGRX… which I’m getting 30% right now
@NoNo-ng9sl the issue is that IRAs have a $7000 limit. You can contribute an extra $1k if you are over 50. With a 401k, you can contribute $23k with a catch up of $7.5k extra if you are over 50. This makes the 401k a better option if you work for a company with an available plan.
S&P 500 and 23k contributions (in 2024) are a great mix!
I'm 9% a wk in 401k. With a match of weak 3%. But hey better to have it and never use it,then too need it and don't have it.
Do your research on the funds in a 401(k). Look at the returns since inception which you can easily do on sites like CNBC. Also look at the fees. Choose funds with higher returns and lower fees. The fees can really add up with higher fees. I have always rolled over into my new employer's 401(k) since compounding can add up. Also, don't take loans out, or cash out your 401(k).
I love this. Thank you brotha’s just made my family conversation on this subject about 401K a little easier to have with my sons and explain to better help understand. 💪🏾✊🏾
This reminds me of the student loan debt that is carried by women. Owning a home is more beneficial when two (husband and wife) are involved. It is way more harder to build wealth when one person is financially responsible for the whole load. Buying a home that will cost you almost four times the purchase price is not a flex when there is no future wealth plan involved. This can easily rob you of your future!
This! Unfortunately I did things so backwards. 35 not married have one son and I'm realizing home ownership seems so far out of my scope. The best thing to do is marry before you carry and obtain home ownership in your early 20s to avoid paying for a home until you're 70+ that's definitely not a flex. I've managed to save and start investing but doing things backwards makes it counterproductive.
@@joy2come119 You just have to do the best you can while in the position you are currently in. You can get where you want to be but you may have to work twice as hard. Its up to you!
Fidelity 401k will allow you to trade regular stocks / etfs / options if your employer allows it. Game changer
But an IUL’s cash value can take 10 years to build up, and there are risks to treating it like a savings account, she says. Those tax-free withdrawals? That only applies to the premium portion of an IUL’s cash value, since those dollars were paid after tax. Anything more than that - for example, if you dip into any earnings - would be subject to income tax.
If you’re withdrawing from your cash value and the market has declined, it could potentially subtract from your death benefit, Yu says. You might also be required to pay more into your policy to cover any market losses and keep it active.
And if paying more to keep your policy active coincides with a moment where you’re having cash flow issues, you could face a hard choice. Fernandez warns that if your policy lapses, you could lose your entire investment.
Acquiring a stock is easy, but buying the right stock without a time-tested strategy is incredibly hard. Hence what are the best stocks to buy now or put on a watchlist? I’ve been trying to grow my portfolio of $160K for some time now, but my major challenge is not knowing the best entry and exit strategies. I would greatly appreciate any suggestions.
Check out stock up with Larry Jones, Chris Sain ,Kenan Gace, Stocks with Josh and Stock Moe. They'll help point you in the right direction.
*My greatest concern is how to recover from all these economic and global troubles and stay afloat especially with the political power tussle going on in US. The government has really called things more difficult for its citizens and we can't sit back and bear all the consequences of the bad governance. We need to take our financial life serious.....I recommend stock market investment and digital currencies*
The first step to successful investing is figuring out your goals and risk tolerance either on your own or with the help of a financial professional but is very advisable you make use of a professional
So much pains in my heart due to so many debts.
How can I go about it! I would really appreciate if you show me how to go about it. Please what crypto should I buy, how can I do it?
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I was owing a loan of $32,000 to my bank for my son's brain surgery, now I'm longer in debt after I invested $10,000 and got my payout several times for the past two months.
God bless Gloria Chamoun
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If you are only making $20,000 or less a 401K along is not going to get you to where you need to be. 401 K benefits people with higher tax brackets. Our community needs information how low income people can grow their money outside of a 401K plan. Let’s keep it real fellas. You guys are blessed with high incomes and knowledge and information.
Lies!! You can make 20k or less (especially at a young age) and your money will quadruple in 20/30 years in a 401k.
@@ToOpen6seven it’s not a lie. This scenario you just described is extremely contingent on having the circumstances, wherewithal, and money available to put aside in your 401(k) after already making so little with a 20k a year income. In fact, this entire conversation is contingent on those factors. That’s why the number of people who are not invested in 401(k)s has ballooned up to 48%. People are making less and less money in a world that is becoming more expensive by the year, It’s been a long time since I’ve made 20k or less but one thing I do remember is that after bills and student loans, I barely had enough money for any type of leisure or saving, and It’s even worse now. Most Americans are one missed paycheck or unexpected major bill away from homelessness. The last thing those people are thinking about is a 401(k).
Would make more if you invested in stocks than 401k with them fees.
@ ToOpen6seven that’s also a lie.
Lower income people more likely will dip into their retirement leading to early withdrawal penalty and taxes.
If you don’t know you will keep it for 30 years why base your calculation on 30 years?!
Be realistic and calculate how much return you will get in 2, 5 or 10 years.
I agree. I'm located in Ms so not alot of high paying jobs unless you have a degree in a high demand industry. When I was in my 20s I made less than 20k but had no thoughts of investing. Now im 35 and began to make more I'm saving and investing but the time horizon has reduced. Its best to teach investing regardless of the amount you make because starting those habits at 18-21 will set you up to be disciplined in your latter years and that time in the market will make all the difference even while having a low income starting out
Who's only getting 3% in a 401k!?
Conservative fund
Air Treasons is so appropriate! lol
Shoutout to South Carolina for having the highest number black homeowners in the nation. Also, most people don't own their homes they have a mortgage. So very few ppl can do what Ian said which is provide a deed. My job doesn't match.
Actually when you have a mortgage, you do own the home. The title to the home is literally in your name, and you can obtain a copy of it by going to the local courthouse where your property is located, or sometimes the mortgage banker has a copy of it as well. The mortgage doesn’t mean the bank owns the home, the homeowner does. The mortgage is nothing more than a collateralized loan in which the home itself is the collateral. If anything other than that were true, you wouldn’t be able to sell the home since you have to be the owner in order to sell an asset. As far as 401ks, if your company doesn’t match, then it may not be worth it although you do get tax benefits right now since a 401K is tax deferred.
@@blongshanks77Thank you for your comment. So many people are confused about this topic. If you didn't own your home, you couldn't sell it. The bank would have to do that.
My TSP Account was up 23% last year.
Which fund(s) did you have your money allocated to in your TSP? Just curious
@@canguskahn I started with the L2050 but switched to the L2055 . I try to max out my contributions each year and let it ride.
The fees are far too high on most 401k’s.
RESEARCH the history of these employee retirement funds to learn that they were created for the owners and the upper managers of the companies.
Yeah it's called Golden Handcuffs.
Depends on what you invest in. SPY has lower fees
@@dakarihayes3351thats not what she is referring to. She is talking about the management fees
Odd because I'm only paying 3 basis points for my funds in my 401k. That's extremely low cost.
@@Reem.Digitalyou dont see the fee until cashout time. Read Money master the game and go to the 401k section yall see what im talking about
I always tell people this too... depends on YOUR plan but mines have been good so far... i worked at a bank and had 1/3 allocated to Large Cap Index, Small Cap Index, and Company Stock with the bank... THEN, i worked at Amazon and they allow the company match to be allocated to Amazon stock! Did this and now i have 25 shares of Amazon and the rest is SP500 Index 📈 401k plans are NOT a scam people...
Key word, diversify
I know a lot of retirees and many of them are living off NYC pensions. But I don’t know anybody living off of 401k savings.
I know a lot of folks who are living off of their pension and letting their 401k earn because they don't need the extra income at the moment. I also know a lot of people who are living off their 401k savings. I guess it all boils down to who you know.😅😅😅😅
I've known co-workers whom borrow from their 401K and purchase pick-up trucks and Hardly Davidson's motorcycle, and just repayed the loans.
Yep
Investing in a 401k if your employer matches is a 100% guaranteed return. Nothing else needs to be said. If there is no match than it’s not worth it unless you are on the fence in your Tax bracket.
I agree. 401k is not a scam. However, nowadays I don't know if the rules has changed.
It’s not a scam but there is no principal protection. The average 401k does 5-8% and the actual return is lower than that.
@TheOpinionSports My 10 year return has been 10.1%. My 5 year has been 11.3% and my one year has been 22.7%. I guess it depends on how you manage your portfolio.
It is a shame we have to be told that A 401-K is not scam.
If your company matches you in 401k, please don’t give away from money.
I love my 401k
My company puts money in for us based on how many years employed and also matches up to 5%.
You put yearly lets 6,000 and the company puts 3,000 thats 9,000 a year plus what you make in the stock market🤷🏽♂️ doing that for at leat 30 years thats a good amount of money...
Thank you for the responsible conversation.
I have an aggressive growth 401k. Just invest up to your employer match
Men earn more than women, but women get to spend men's money instead of their own. Therefore, women have more money to save to purchase real estate. 😂😂😂
Before you invest in a volatile and unfair stock market , you could easily use the money to start a middleman business and make money using your phone as opposed to always relying on a paycheck.
Yeah, and those businesses fail 68% of the time. Everything in the consumer world had a bit of volatility. Nothing is 100% safe.
@rm5282 Correct, nothing is a guarantee, but I prefer to have as much control as possible over my money, my investment, and my risk levels.
I agree, what is he bringing to the table ladies? I have raised 2 kids without child support. If you are bringing stuff to the table he can to
I have several 403b from different jobs and I’m maxing my contributions with my current job. The panda thing is a little corny to me. Here for the info but all the other stuff starts sounding a little extra.
My last company allowed me to invest part of my 401k in self brokerage. I invested it an Ron Baron mutual fund.
I wish all 401K’s were the same
I have a 403B that I no longer contribute to. I’m still at the same company. What can I do with it now? I am now investing in a 401(k) at the same company.
Well no, a 401K is not necessarily the best retirement option. A financial advisor once described a 401K as a joint savings account with the IRS. As soon as you withdraw here comes the IRS for thier 20%. The Roth is the better investment but a lot of employers don't offer the Roth. A 403B is better.
You should talk to the plan administrator, there are Roth 401k and regular 401k just like Roth IRA and traditional IRA.
The company still has to much the same amount regardless of 401k type.
The IRS comes for everything. No matter what you invest in, the IRS is coming for a share of your profits. Many investment managers want your money as assets under management (AUM) so they can get a cut of your money whether you win or loss on the investment.
A 401k is one of the better options a person has. 403b plans are not for everyone because only certain employers offer them. You could opt out and invest your money on your own.
I have principal as my 401k so what is the best way to invest since you said there is different way to invest in 401k
Ian knows what he’s talking about. Some men be pandering…
Some of those women are acquiring those houses through divorce and inheritance.
Get a 401k Roth!!!!!!l
My company offers self directed 401k and Roth 401k. Major Utility business.
People better invest in a 401k inn of the things cuz if Trump get in office and Republicans when the House and Senate or they going to try to cancel social security
Im selling my home I'm never there I stay on the road so what I can afford a home I'm just choosing to live out my semi truck stack more money!!! It'll be cheaper for me to get an Airbnb once a month in different cities than to pay a mortgage light bill and maintenance!! I can stay at an Airbnb for 500 a month that's equivalent to the AMT of time I be home so that'll save me like 800 a month that I can invest with plus with a nice nest egg for my house gaining 100% value! If I'm missing something please let me know!! To Airbnb my house doesn't make sense I'm not in a city where Airbnb is popular at all plus renting my house out I'll profit like 300 a months which to me is not worth it!!!
You must be fairly young? No family?
Hey Joy I'm 38 I'm single I do have 3 kids well 1 adult and 2 teenagers!! I been driving this July 18years!! I'm only home once a month for a few days I'll grab my children get a nice Airbnb with a pool and we will have a blast!! I'm open to any better plans or opinions
Women may own more homes but the ratio for women to men is higher, thats why.
Some 401ks allow you to invest in individual stocks
How do you guys feel about life insurance
Term life is the way to go. All other forms are expensive and tie up money that you could leverage in the stock market. You have to fund too much before you can take loans off of a whole life policy. Either way, unless you die, the insurance company always wins.
♨️ I can always count on quality information in this space thank you.
I am so grateful that I have discovered this channel
Holding on hard to that 39.999 years old lol.
😂 I did the same last week..I’m a proud 40 year old now.
I’m not going to say 401k is a scam but you would be better buying the stocks you want your self instead of the mutual type funds that 401k only gives you little options with investments. Also you didn’t talk about the fees you pay to have a company manage your 401k yearly.
So what about the employer match?
@@JPitsmefam do your own research. For me the match is not worth it. I rather make my own investment. 401k was never a retirement plan. Nothing is really free.
Most people aren't disciplined enough to manage their own funds.
Good for the single women that are becoming homeowners. I just hope they can maintain the cost of being a homeowner.
As for the men, I remember some years back reading that men don't see the value of being a homeowner unless it was for investment purposes or starting a family. My homeboy owned three rental properties, but continued to rent until he recently got married and had a kid.
I never had a problem maintaining my home when I was single.
@@andreac1375 Same sis.
I dont have faith in the USD to put my money in money markets.
So what willyou put your money in?
I know it’s a tax penalty but should you invest in a investment property with funds from 401k?
Look at the potential growth from each before you make the move. If you are not going to earn at least 7% in rental payments and equity in your place, do not take money out of your 401k to purchase the property. You could take a loan on your 401k and put a down payment on the rental property. Then, any interest paid on the 401k loan goes back to your portfolio. The only thing you would be out of is the laon processing fee which is minimal on a 401k loan. Let your renters pay your mortgage, insurance and property taxes.
Boy this is some bad advice. Question for the former financial advisor there. What are the average annual returns for the 401k compared to the stock market. You mentioned you know people who made a lot of money in their 401k's, are there people who also make a lot of money in the stock markets? Or investing in Real Estate? How to the highest earners in 401k's compare to the highest earners in the stock markets? I'm sure Warren Buffett would like to know. Simply using the argument "Well some people make a lot of money in 401k's" doesn't mean that everyone, or even the majority do. The average 401k's are returning 5-8%, while the stock market is returning 10-12%. With the rates of 401k's, you're better off throwing your money in a high yield savings account. What about when you're ready to move on to the next stage of life and buy a house like you're talking. Your savings is tied up in your 401k and most people aren't going to be sitting on $100k in cash for a down payment on a house. How liquid are those 401k's? How much is the penalty for cashing it out before retirement age? Now compare the liquidity and withdraw penalties to those is say... a high float stock or even a high yield savings account. As far as your comments on the gender pay gap, you really need to update your research since the last pop culture study came out. That study was filled with poor data. They compared teachers being a female dominated field, to engineers being a male dominated field. Compared Social Workers being over 90% women to construction workers who are over 90% men. Future research into that study showed that men gravitate more toward higher paying jobs while women gravitate towards jobs that provide them more fulfillment. It also showed that men negotiate starting salaries 10x more often than women. Even in the same work environment, studies have shown women tend to be focus on having an enjoyable work experience and not rocking the boat, while men are more focused on promotion and pay raises as society still values them for how much they make, and most are the head of their household providing for their families and need the extra income. After factoring in the differences, the 'pay gap' should be considerably larger. Even based solely on negotiating starting salary would have a larger impact than the current difference. Studies since then have shown the push for 'equality' has led to women's pay being the same or higher without the added work, stress, or negotiating. In fact, there have been women's articles written complaining that it's sexist against women that women are having such a hard time finding men who make as much as they do now. That's adding to the fact that women have more government assistance programs than men, have more scholarships than men which is why there are so many more women getting degrees than men, get points toward government contracts, and of course this is all ignoring social benefits such as ladies night at clubs, or OF where women make insanely more money than men. It's also ignoring other factors, take a look at how many government agencies there are on women's health, now take a look at how many there are for men's health. Look at the suicide rates between men and women. Even female veterans get special programs just for them to help them succeed over men. So before making these statements, do your research.
This is the comment i was looking for.
401k is outdated not a scam
I dont think you know what a 401k or the stock market is….
How much interest does a high yield savings account pay? I will tell you that most are in the 5.0% - 5.5% range. By your own comment, you will earn more in a 401k on average.
My Job offers an 403b
Never took up on it cuz I feel like I’m not gonna stay there long so I have a Roth IRA instead but now I’m regretting it bc I’ve been there for 5+ years
Should I still? Even tho I’m planning to still leave ??
Invest on the 403b. Do you get a matching contribution from your employer?
I appreciate the conversation but single men don't have more financial obligations than women. Often times its the women who are taking care of others. I think women are just better financial majors once they actually get income to manage.
😂😂😂😂😂😂😂😂😂😂😂 Binary talking points... Ya' just gotta LOVE 'EM!!!
Why are females having so many issue with debt?
Money is an illusion here to cause confusion 🧑🏾🌾
💖💛💚
401k has 75% hidden fees and management
Thatis an outright lie.
@@rm5282 read money master the game yall figure out that after the taxes and the the managment fee you will loss over 50%-70% in value.
What year were you born in order to retire at 59 1/2?
Having people think of the future when they can’t even provide for themselves right now. You know who your viewers are, be realistic.
You can get access to your IRA, 401k and 403b at 59-1/2 without a penalty for the withdrawal. If you retire early, you still have to wait until at least age 62 before you can draw Social Security benefits. Full retirement age for folks born after 1960 is 67-1/2 years.
401k PCRA I trade leaps🔮
Match is 100% amazon is 140000%
Its not a scam its outdated
Crypto
Real estate
Depends if you dont know how to invest and dont save do it
IRA if you know what you are doing
If the economy shuts down what do you invest in, what do you ig/when the bank system collapse?
Gonna have bigger problems than what to invest in if that system collapses.
@kennycherry7684 I just wanted to hear their feedback, cause that's what you hear invest invest invest, but don't tell you that the economy is about to break down for real
If the system collapses not even cash will matter ..he with the most water will be rich..that question doesn’t pertain to this topic
You should have already invested in land, guns, ammunition, seeds, and animals. That is the best way to survive if the financial markets completely crash. Learn to live off of the land. Anything else and you're just sheep being prepared for the slaughter.
@rm5282 I learned all that at 16. The question was really for the podcasters that keep telling us what to invest in, but never share the full truth about the other side of it.
The guy in the middle was ignorant for the table comment. Guys don't care about home ownership when it makes no sense to be one.
There are still male dominated physically demanding careers, that require expertise, not degrees… I would imagine thats what accounts for the educational, but not financial disparities between BM and BW… at least that’s what would make sense to me… sex work, OF, stripping jump out as low education, high earners from bodily performance for women and those aren’t THAT widespread.
Men are losing everything to divorce 😢 lol
It’s too bad they don’t offer insurance on 401k’s…during the 2008 Great Financial Crisis a lot of 401k’s got wiped out, and next one could be worse. I’m not against 401k’s completely but if you’re going to max out something…max out your investment into educating yourself on trading/investing assets.
S/O EYL I appreciate y’all brovas.