FundRobot » Pension Funds » how am i doing financially?

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Old   #1 (permalink)
 
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Default am i doing financially

I am 27 . I make 2400 a month after taxes and all insurances. I save 250 a month in liquid savings and 200 a month in Roth and 50 in an IRA. Currently have 8k in liquid, 3k in Roth and 1 k in IRA. I have no debt and my only asset is a car which I own. I do live in a condo, which is in my fiances namw
I still pay bills. Lots. We split everything 50 50 so its just in his name, he's not paying all ! I still split mortgage, taxes, association fees all utilities, cell phone, car insurance. There's not more I can save at ALL

PrettyHot88 is offline   Reply With Quote
Old   #2 (permalink)
 
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Default am i doing financially

Great, especially since your fiancee is paying for your housing.
NewTech0 is offline   Reply With Quote
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Old   #3 (permalink)
 
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Default am i doing financially

Wow you are doing really well and I have a doctorate in finances
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Default am i doing financially

You are on track to retire with an inflation adjusted balance of about $282,000. That will allow you to withdraw about $11,000 a year (inflation adjusted) beginning at age 67.

Put into perspective: If you were retired TODAY, could you live on $11,000 a year (plus any SS or pensions)? Probably not.

I would suggest aiming to save 15% of your GROSS for retirement. Keep the contributions at 15% as your income increases.

I would also suggest you convert the traditional IRA to a ROTH, and fund ONLY the ROTH. The tax benefit of the ROTH over 40 years of growth will grossly outweigh the measly IRA deduction you are getting now. If you have a workplace plan (like a 401K) with a match, you should be using it.

You really want to evaluate your finances as they will be after you are married (combined).

No debt is good. Especially no car debt. Auto loans are the fastest way to destroy personal wealth. Credit card debt is a close second.

You are saving $500 a month. Where is the other $1900 going?
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