[UCGal]

[quote=earlyretirement][quote=EconProf]BearishGirl: Please reread and take to heart Ren’s comments about your posts. Your responses showed it had no impact on you. But it was constructive criticism and probably represents the feelings of many Piggs.
Anyone else agree?[/quote]

I’ve been posting on internet message forums since the Internet began. I’m very active on some and less on others.

My take is this…. you will ALWAYS have people that rub you the wrong way or that you disagree with or that disagree with you.

I’ve seen it all. The “know it alls”, “the crude and rude”, the “intelligent and polite and informative”, the “people that would write things they would never say to your face in person”, etc. All kinds and all types.

My philosophy is you can’t get too offended by ANYTHING someone writes. I don’t think some people care what others think of them while others do.

I’ve been on some message boards where people drive me absolutely crazy but typically I’ve never ignored anyone because it’s very rarely that I haven’t learned something or taken something positive out of posts from people. (Even if it was what NOT to do…).

I’m only speaking in generalities here but I think you have to take what anyone says with a grain of salt and not get too frazzled on these message boards.

My philosophy on internet message boards is anytime you get too frazzled or angry or stressed or worried from reading something, then it’s typically a time to take a step back and take some time off from it for at least a while.

You will always have people on the Internet that you disagree with or that annoy you. If it annoys you that much the ignore key is helpful.[/quote]
ITA. Well said, ER.

There are plenty of people on this board that annoy me regularly. But every now and then they post something that makes me think, or see an alternate perspective. I’m sure I annoy plenty of people, myself.

I wouldn’t come here to read/discuss if I felt I knew everything about everything, already.

[UCGal]

I didn’t watch the interview. (Youtube videos are frowned upon at work.) I’ve read some interviews by the FreeRangeKids mom. I find myself agreeing with her quite a bit.

When I look at what I was allowed to do growing up – it’s night and day to today. I walked to school from kindergarten on… in a group… but no parents. Most parents drive their kids. We chose to walk our kids – but did stay with them. And it’s an apples to apples comparison. I live in the house I grew up in, and my kids attended the same school I attended. We had other parents question why we’d make young kids walk so “far”. (It was about 0.5 mile.)

I rode the bus from UC to Clairemont starting in 7th grade. This was a public bus. That same year I started taking ballet classes through the park and rec’s department – in Balboa Park – took the bus, including a transfer at the PRE-MALL Horton Plaza. No one thought that was unusual for an 11 year old girl.

I’m considering having my son take public transit home from his middle school next year. It will involve a transfer downtown. Friends think I’m nuts. But he’s a responsible kid. My husband is not convinced yet.

We’ve tried to teach the kids basic skills – like cooking. I have friends who don’t let their kids use the stove… for fear of the house burning down. (I’m more worried about messes and food waste.)

For those that say it’s different, more dangerous now… I call BS. There were child predators then. There was a flasher that flashed a girl walking home from elementary school back in the day. (The police later caught him.). She reacted properly – she screamed, and ran home – drawing all the parents out as she ran by.

We can’t protect our kids – we can train them to make good choices… but that means actually let them out into the world.

[UCGal]

I’m seeing a lot more listings in my hood.
But the ones that aren’t grossly overpriced go pending very quickly.

Seriously – after no action in my hood for a very long time, except some houses that had issues (on busy streets) that were priced as if they didn’t have those issues… stuff is coming on the market and selling quickly. I think the activity is driving more activity.

In the last 60 days several homes in a few blocks of my house were listed and went pending. All listed for prices higher than I thought they were worth.

[UCGal]

I came to the conclusion several years back that I cannot predict an irrational market. So I set my asset allocation and periodically rebalance.

I was looking at it last night – I’m about 5% too high on domestic equities… time to rebalance.

If it corrects, I’ll have enough fixed income to buffer the downturn.

And I don’t see interest rates going up dramatically in the near term…

[UCGal]

I know early-retirement did this. I believe the issue he had to work was homeowners insurance… which he was able to solve. I’m not sure how financing works… I believe he paid all cash – so that wasn’t an issue for him.

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Now that we’ve figured out how the post got deleted….
Inquiring minds want to know what you posted in your update, ER.

[UCGal]

I have no idea. But wanted to say “Hi JP!!!!”

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Oops – forgot the link.

http://www.bloomberg.com/news/2013-01-18/retirement-savings-accounts-draw-u-s-consumer-bureau-attention.html

[UCGal]

[quote=Veritas]”The federal government seems to have noticed that a whole bunch of money, much of the almost $20 trillion currently held in retirement accounts in the US, is about to get moving as the baby boomers retire. They want a piece of the action and Dodd-Frank may offer the Feds a way to weasel into your 401k.”

http://cronychronicles.org/2013/02/15/the-government-wants-to-help-you-manage-your-401k/%5B/quote%5D

Here’s the link to the original article.
Note the lack of details or substance. I don’t think we have to worry yet. It’s talking about consumer protection… not a “piece of the action” or “weaseling” into your 401k.

Having had friends sold crappy retirement products like variable annuities (still underwater on them 5 years later), etc… perhaps this is needed.

Dodd Frank already added much needed transparency… now the full expense ratio’s are listed on your 401k funds. That’s a GOOD thing for consumers.

[UCGal]

[quote=David J]I believe this is the official California site for the future plans:

http://www.coveredca.com/

Here is a PDF with some more details:

http://www.healthexchange.ca.gov/Documents/CC%20Video%20Slides%20FINAL%20021313.pdf%5B/quote%5D
Thanks for the links.

The calculator at the first link is good. It matches what the kaiser family foundation calculator estimates.

Note that the income is MAGI not AGI. (Includes some extra, normally tax excluded stuff)

[UCGal]

[quote=paramount]This thread once again reminds me of the extreme greed found in San Diego, not to mention how out of touch and ruthless you 1%ers really are.[/quote]
I’m sorry you feel that way.
You’ve made similar comments in the past. I don’t consider myself a 1%er (probably safely in the 10% according to the census, though). But I am close to having a paid for house, and am hoping for an early retirement. But this was done the old fashioned way – spending less than I earn… driving old beater (paid for long ago) cars… bringing my lunch to work instead of eating out… having the same home furnishings I had 20 years ago… And tossing everything else in savings/investments.

It’s not about being greedy or ruthless. It’s about prioritizing what your goals are and making them happen.

You talk about greedy one percenters… and on the surface, you’d appear to be one… You drive a BMW, you own two houses… you have decent income…

It’s all about choices. If saving for the future is being greedy and ruthless… I guess I am greedy and ruthless.

[UCGal]

[quote=CA renter][quote=patb]

seems like time to clean up the house and get it for sale.

Hundreds of bids on property for offer, Things going over asking,
Interest rates in the sewer?

Seems like it’s time to start renting again.[/quote]

Bingo, patb! Even Jim the Realtor just sent out e-mails this past week telling everyone that, “it’s a great time to sell your house!” I could not agree more.[/quote]

Looking at my hood – stuff is going pending in a week – at close to peak bubble prices. These aren’t new houses… but it’s a decent/desired neighborhood.

I was just commenting to my hubby that the bubble is back in full force.

[UCGal]

[quote=The-Shoveler][quote=flyer]Since inquiring minds want to know–without going into specific detail–the homes that many in the family still live in or have handed down to family members are in Point Loma, Sunset Cliffs, La Jolla, Del Mar–etc.–all with bay or ocean views. I grew up in a home in LJCC, and family members still live in that home as well.

My wife and I purchased homes in CV and RSF in the late 80’s and 90’s, and, by today’s standards, those prices would also be considered “steals,” and, actually, I was able to afford homes over $70K in my “prime” working years, which (as an airline pilot, among other things), are not over yet.

My point was, that I realize many of the younger people (I’m in my mid 50’s), have not yet had the opportunity to realize the tremendous appreciation on property as those who purchased in San Diego many years ago, and it will be interesting to see if that level of appreciation can ever be repeated.[/quote]

Watch Japan, were next but not quite as extreme, see Israel in similar example from 1980-1985.[/quote]
I’m confused. Are you saying that homes flyer purchased for $70k, in Carmel Valley will go back to those prices?

Even with decades of no growth, that’s not going to happen.

flyer was fortunate to be born in a time, and to purchase in a time, before the long trend upward in prices. It’s hard for folks who bought in the 90’s or later to realize just how much lower prices were back in the 80’s and earlier.

[UCGal]

[quote=The-Shoveler]Inflation will make your 401K feel like a 10K and your pension a pittance,[/quote]
So you should do nothing? Save nothing?

[UCGal]

[quote=paramount][quote=ninaprincess]

If there is a young person here my advice is to max out on 401K and spread out your investments.[/quote]

This is bad advice IMO.

As mentioned, Wall Street will harvest a lot of money off of your 401k.

I’d guess 99% of employees who auto “invests” in 401k’s don’t have a clue what fees are being charged to your account.

For most it’s a way to dollar cost average, a really poor investment strategy.

It’s also hard to be nimble with a 401k. When the inevitable market shocks manifest you’ll probably lose a lot of value – think 2008.

Also, it’s very likely that 401k’s will be taxed at a much higher rate than they are today (think Jerry Brown).

I could see maybe contributing up to your company’s matching in a roth 401k and that’s it.

Why not take that extra money and buy whole life insurance (more flexible), or pay down your mortgage?

Also, the income whole like insurance can be tax free.[/quote]

Wow.
Very few people are able to time the market successfully over the long haul. Yet that is what you advocate with the being nimble comment. People who panicked and pulled their money out in 2008, missed out on the run up of the last few years. Those that kept their money in, recovered fully.
I learned this the hard way – I pulled some of my money out. And left it on the sidelines until about a year ago. My returns are FAR lower than if I’d just let it ride. Dollar cost averaging, would have let me purchase during the lows… as the market was rising.

Many (if not most) people are pretty clueless about the market – the 401k provides a vehicle where they can defer taxes, save for retirement, and possibly pick up a company match. It can be a set it or forget it retirement savings plan.

As far as whole life. Again.. Wow. That’s a great way to make your insurance agent rich. There may be a limited place for whole life in a diversified portfolio… but not for everyone. Term life is a better value. Mixing insurance and investment is mixing cross purposed vehicles.

Next you’re going to tell me about variable annuities and what a great deal they are. (Again, a great deal for the person selling them.)

I’m not an investment guru… but I’ll stick with low cost (low expense ratio) index funds, some real estate, and dollar cost averaging. It’s worked well for me.

I agree that there are some craptastic 401k plans out there. My husband’s plan has these very large front loads. But it still made sense to participate to get the company match and the tax deferment. (I did the spreadsheet calcs to make sure, compared to a self invested IRA.) I feel fortunate that my employer’s plan has very low expense ratios.

FWIW – one of the benefits of the laws that came about after the collapse is transparency on plan fees, expense ratio’s etc. That is a good thing for the employee.

I’m not disagreeing with paying down your mortgage. I’ve been criticized for doing just that. (Don’t remember who yelled at me for that – but it stung at the time.) The advantage to having a smaller/paid off mortgage is that your cash flow improves in retirement… You can live the same on a smaller nest egg if you don’t have to pay a mortgage.

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