r/TheMoneyGuy

Just a cool milestone I can't really share with anyone I know. Married, household income of ~160k, 1 kid. We got incredibly lucky and bought our house in early 2020, refinanced late 2020 for a sub-3% rate on a 15yr.

We have no intention of paying our house off early (maybe when we're closer to the end of the loan, we'll be tempted to do so) and obviously the market could tank at the opening bell Monday and render this post completely inaccurate, but it's just exciting to see the progression toward having F-U money.

Keep going, that is all.

My goal in life was to reduce work related stress. When I was younger, I would hyper focus and overwork myself to the point of burn out.

Nowadays, I work just enough for some retirement savings and to have all my bills paid off with an emergency fund. Luckily I live pretty frugally and have flexibility with my job. I have a roommate that covers most of my housing expenses. I also have a good amount in retirement and am coasting to FIRE.

But I'm concerned that if she learns about my income, she will run for the hills.

What would you recommend?

I’m 36 years old and have 11k in a 457B plan that I started about 3 years ago. I plan to retire in about 4 and a half years at 41. I’ll receive an annual pension of 55k. I will have to pay federal taxes only on that and monthly health insurance of about $500.

I hope to get around 50k in that plan prior to retirement so I will be increasing my contributions soon.

I have about 180k equity in my house in the North East.

The goal is to sell and go South and buy in the price range of 280-300k. I hope to get a 15 year note and pull my 403b in a tax free state to pay down the house and have the smallest mortgage possible.

I also receive about 1300 in veteran benefits.

I’m looking for feedback at where I’m at regardless of it being positive or negative.

Hi all,

My husband and I have profited $17,300 from our current home (seller proceeds total is $42,309).

We have lived in an area where it is halfway point between my husbands work and my work. I have done my 1 hour to 1.5 hour commute for 4 years now!! I can’t do it anymore. Especially with a 1 year old.

My husband likes to drive and has a better drive (traffic wise), so we are moving closer to my work.

The new house we are looking at, we can only put down about 17% on the down payment, and mortgage will be a little over 25% of our take home pay. Is this an AWFUL idea?

We are not looking at a crazy expensive home, very normal house, safe area, and not THE BEST school district, but good enough.

We put it an offer, but haven’t heard back yet. If they counter, we can back out.

My husband and I have access to both a 457 and a 403b for our work, along with a pension. I'm trying to decide how to prioritize and balance savings in these buckets.

For those who don't know, a 403b is essentially a 401k for non profits. A 457 is a fund you can withdraw from after leaving an employer.

Details: we are in our 40s with multiple kids and at step 8 of the FOO. 14 percent into pension fund matched by employer, (but no social security contributions). We then always max out two Roth IRAs. We can get to 25 percent savings rate before maxing out one 403 or 457. We would get to max out one (403b or 457) if we aim for 32 percent savings rate (accounting for no social security). Both the 403b and the 457 have good investment options. We would struggle to do more than 32 percent savings rate, though I'm always trying to put in as much as possible.

Status - we are just about where we should be for regular retirement at age 65 (looking at various suggested multiplies of income by age). We had a late start saving for retirement and have just caught up.

On the one hand, the flexibility offered by the 457 sounds great. If we can't work anymore for whatever reason, it may be nice to have a choice. Maybe we would appreciate the option to retire early if things work out. But should we force ourselves to have some of it in a fund that has to grow until we are older?

Specific question- max out just the 457? Split it between the two funds? Do more towards one fund vs the other?

Edited to add- both plans are offered by a state government.

[supprimé]

This episode was GREAT! Really loved it, although no way was her background blue collar given her dad was a consultant in CT and her family cpuld afford 3 kids. However over all I appreciated her transparency and what a pull for the MG! I hope more YouTubers / celebrities are open to sharing their finances

Trying to put together a plan for funding expenses in 2027.

Current scenario:

• 66 y/o, Single filer, retired two years ago

• Trad IRA: $600k (80/20 - S&P 500 index fund/Fixed Income)

• Roth IRA: $30k (100% S&P 500 index fund)

• Taxable brokerage: $80k (100% S&P 500 index fund) (Lump sum investment of $77k, purchased May 2026)

• Annual expenses: $60k

• Annual Social Security at FRA (age 67): $41k

• Delaying Social Security until 70: Estimated annual benefit $50k

Plan for 2027:

• Delay Social Security until 2030 (Age 70)

• Pay expenses by drawing from Taxable brokerage and Trad IRA

2027 Estimated Tax Breakdown (using this tax calculator):

• Long term capital gains: $5k (Taxable brokerage withdrawal of ~$40k )

• Taxable IRA distributions: $30k (Trad IRA distributions of $20k & Roth conversions of $10k)

• Total income: $35k

• AGI: $35k

• Total tax owed after deductions and credits: $588

2027 Plan Goals:

• Minimize taxes by utilizing LTCG from brokerage (once lump sum investment is a year old, in May 2027).

• By keeping taxes under $1,000, avoid underpayment penalty and having to make any quarterly estimated payments. (Safe Harbor)

• Minimize RMDs (which begin in 2035 at age 75) with Roth conversions and drawdown of Trad IRA.

Notes:

• Will keep Roth conversions small each year going forward; to avoid the downside of a corresponding big tax hit, and towards keeping total taxes under $1,000 for the year.

• Would like to minimize RMDs as much as possible – as they will most likely exceed what I need to draw from Trad IRA for expenses.

• Not planning on any future QCDs or legacy considerations to factor into the equation.

• If 2027 plan is solid, I'll repeat it in 2028 and 2029.

Prior to retiring two years ago I had little to no knowledge of investing, optimizing taxes, retirement, etc. etc. So I've spent the last two years being like a sponge and trying to ramp up as much as possible. Using everything I've learned the last couple years – I put this plan together by the seat of my pants. So any critiques are appreciated.

How solid is the plan?

-Paid off all vehicles we own (3) -DINKS (although my wife has not worked in 2 years) + 1 cat 🐈 -Own a home together plus 2 rental properties -Made a handshake deal last night to sell my business (this is what finally put us over threshold) -cash is inaccurate as it will be invested in January. So investments will actually grow by $200,000 totaling about $420k -42M, 40F, married, not planning on having children.

Same as most, can’t celebrate or share (except privately). Hard time spending time with friends and family due to schedules. We are planning on gifting some money as part of our celebration to some of our family members though so that makes us proud.

Hi guys

I'm 19. My parents have migrated to Australia. And I want to retire them. I have just completed my highschool and have been working for the past year (gap year) I want to get a uni degree at all costs aswell. My parents are starting to hit their early 50's and are getting physically tired. Their jobs (they work in security) are also very mentally and physically demanding. I know I'm young and not making enough by far to be thinking of such a thing but I feel like if I start now I might be able to achieve it by the next couple of years. I would like any and all recommendations/advice. What steps should I take to maximise my chance of retiring my parents as soon as possible.

Thanks sm.

I feel like I am all over the place with the FOO. I was wondering if anyone is in the similar boat as me or was at one point and if they had any advice from their personal experiences.

Am I doing anything wrong? I feel super behind compared to my friends that are around my age and in my social circle. Also all of them are dual income now, so I just can't accumulate wealth like them.

I am skipping step 5 because I am not maxing out 401k, but I am doing step 6 & 8. Skipping 7 bc no kid.

About me:

• 28 Male, single, no kids living in Chicago
• Full time W2, Sr. Systems Arch @ a tech startup
• Condo+1 parking spot Owner, 20% down (300k loan 6.375%) purchased April of 2026 (~$79k equity)
• No debt (credit card, car, student loans, or medical) other than mortgage

How my $ is spread:

Account	Amount rounded down to closest k
Checking	$5k
HYSA	$68k (6month emergency, other big expenses)
Roth	$75k (maxed out every year since college)
401k	$94k (currently doing 11% with 3% match)
Brokerage	$17k
HSA	$9k
RSU	$20k ** (company is not public, this hasn't vested)

My monthly expenses are about $5,250 (I can share a breakdown if needed)

My goals for 2027:

1. increase 401k contribution 1-2%
2. max out roth again
3. max out HSA again
4. extra $100-200/month payment toward my principle (1-1.5 extra payment/year)

Big things I want to do

the next 1-2 years:

1. Re-model the bathroom and kitchen and re-carpet my bedroom
2. Travel more especially for a couple world majors and Iron Mans

the next 5-6 years:

1. Get a second property (hopefully with my wife) and rent out this one
2. Get a car (if needed, currently relying on public transportation)
3. Give my parents the 35k of college tuition they paid since my job and loans didn't cover 100%
4. Get married (this is kind of out of my control)

I know the general consensus is that 401k loans are a bad idea but I have some questions about it and need convincing why it's a bad idea vs paying interest to a bank.

I'm 39 and my only current debts are my mortgage @ 2.5% and a 0% loan on a tractor which will be paid off in a few months. My vehicle and my wife's vehicle are both paid off. I need to buy a new car so I'm considering a 35k loan to pay for it. I set a strict cap at 35k because I want something that will last a very long time but I don't need to overspend. The options I'm considering are 4.59 from my bank or 8% from my 401k.

I know that the biggest turn off for 401k loans is taking away money that could be gaining interest. I have a very steady job and have no worries about losing it. My employer matches 100% of 6% which I'm currently contributing 12%. I also have a pension plan through my employer. I max a Roth IRA every year, have an individual brokerage account and a HYSA. I also collect retirement from military service, so while withdrawing money from my 401k is a huge turn off (which I agree with, I'd rather not if it doesn't make sense), my finances in retirement will still be fine.

My questions about 401k loans... I understand that I will just be paying myself back with interest. If I withdraw 35k @ 8%, does that 35k + 8% go back into my 401k, or is the 8% interest more like a fee to where I will only be putting back 35k (without the 8% even though I'm paying it) into my account? It doesn't make any sense to me why the 8% wouldn't go into my 401k but just want to verify. I did confirm through vanguard that I can still make additional contributions to my 401k while I am paying off the loan. With this option I think the (only) positive side is that I'm paying interest to myself instead of a bank

Or the other option, go through my bank and get a 4.59% loan and be paying them the interest. With this option that 35k that I didn't withdraw from my 401k will continue to make ~12% (as of right now) growth.
As I'm typing this I think I answered my own question. It makes a lot more sense to pay interest to a bank at 4.59 and leave my 401k alone so that 35k continues to grow by ~12% instead of taking it out and paying back in small increments. ????

Since I know someone will chime in about buying a new vehicle, ive ran the numbers and made my mind especially considering the state of the used car/truck market for anything halfway decent.

How do I prove income for a child to open a Roth IRA. And when tax season comes do they have to do taxes on the income?

Went to log into my account via edward jones app (FYI did not want to go with them, but that's a different story) upon login it said account closed contact financial advisor...beyond contacting that person, what does that mean...where is the money? Should I say give me a check bye? Where does this leave me?

I’m 29 and looking for some feedback on my plan to open a taxable brokerage account at Fidelity.

I’m currently maxing out my 401K, Roth IRA, and HSA, all invested 100% in VT. I also have around $65k sitting in SPAXX in my Fidelity Cash Management Account. My plan is to keep $30k as an emergency fund and invest another $30k into a taxable brokerage, with an additional $2k in monthly contributions.

Here’s the allocation I’m considering:

• 60% VT – Total World Stock Market
• 20% BND – Total Bond Market
• 20% SGOV – Short-Term Treasury Bills

My goal is to use this brokerage for two purposes. First, as a bridge account for early retirement, ideally around age 45-50. Second, as a flexible investment account that I can occasionally withdraw from for larger life purchases, such as a vacation, home improvements, or potentially a down payment on another house.

The home purchase isn’t a definite plan, so I don’t think I want to keep all that money sitting in cash for something that may never happen.

I understand that withdrawing during a market downturn isn’t ideal, but that’s part of why I’m considering a 60/20/20 allocation rather than going 100% VT. My thinking is that BND and SGOV would provide some stability and allow me to avoid selling stocks during a downturn when possible.

Since my retirement accounts are already 100% equities, I figured something more conservative would work for me.

A few questions:

1. Does 60/20/20 make sense for these goals, or am I being too conservative with a 15+ year investment horizon?
2. Would you recommend 70/15/15 instead?
3. Is holding BND in a taxable brokerage worth the tax drag, or would you structure things differently?
4. Does using one taxable brokerage for both early retirement and occasional major purchases make sense, or should I separate those goals entirely?

I’m trying to find a balance between growing my investments for early retirement and actually being able to enjoy some of my money along the way.

Appreciate any thoughts or criticism of the strategy!