# 401K .. **URL:** \ **Category:** NYSpeed Off Topic\ **Created:** [December 7, 2007, 7:49am UTC](https://forums.speedlife.net/t/401k/39907 "2007-12-07T07:49:07Z")\ **Posts on this page:** 20\ **Page:** 3
**Author:** ![Zer0DazE](https://yyz2.discourse-cdn.com/flex034/user_avatar/forums.speedlife.net/zer0daze/32/7624_2.png) [@Zer0DazE](https://forums.speedlife.net/u/Zer0DazE)\ **Post date:** [December 7, 2007, 9:11am UTC](https://forums.speedlife.net/t/401k/39907/41 "2007-12-07T09:11:38Z")
[quote=“Dr.Stevil,post:40,topic:39907"”] AFAIK, it’s tax free… but if you withdrawl early it’s taxed. Although, from what I understand, if you need the cash from a heardship or for buying a house or something, it’s not taxed, but you have to pay it back in? someone else could probably answer that better [/quote] usually if something goes in pre tax it gets taxed on the way out, and vise verse. you don’t think the feds are going to pass up their cut do you? ---
**Author:** ![RobHimself](https://avatars.discourse-cdn.com/v4/letter/r/e480ec/32.png) [@RobHimself](https://forums.speedlife.net/u/RobHimself)\ **Post date:** [December 7, 2007, 9:12am UTC](https://forums.speedlife.net/t/401k/39907/42 "2007-12-07T09:12:28Z")
[quote=“Dr.Stevil,post:40,topic:39907"”] AFAIK, it’s tax free… but if you withdrawl early it’s taxed. Although, from what I understand, if you need the cash from a heardship or for buying a house or something, it’s not taxed, but you have to pay it back in? someone else could probably answer that better [/quote] That sounds right, if you borrow it you have to replay it and the downside is obviously you cannot make any growth on it until you pay it back so its like a free loan. ---
**Author:** ![Zer0DazE](https://yyz2.discourse-cdn.com/flex034/user_avatar/forums.speedlife.net/zer0daze/32/7624_2.png) [@Zer0DazE](https://forums.speedlife.net/u/Zer0DazE)\ **Post date:** [December 7, 2007, 9:18am UTC](https://forums.speedlife.net/t/401k/39907/43 "2007-12-07T09:18:21Z")
[quote=“RobHimself,post:42,topic:39907"”] That sounds right, if you borrow it you have to replay it and the downside is obviously you cannot make any growth on it until you pay it back so its like a free loan. [/quote] not always true it depends on the plan. with ours you can borrow from it, and what you borrow doesn’t grow. its not really borrowing, its more like you withdrew the money. then the repayment including the interest is deposited back into your account. ---
**Author:** ![Blue\_Eyed\_Devil](https://yyz2.discourse-cdn.com/flex034/user_avatar/forums.speedlife.net/blue_eyed_devil/32/7292_2.png) [@Blue\_Eyed\_Devil](https://forums.speedlife.net/u/Blue_Eyed_Devil)\ **Post date:** [December 7, 2007, 9:27am UTC](https://forums.speedlife.net/t/401k/39907/44 "2007-12-07T09:27:43Z")
[quote=“AWDrifter,post:11,topic:39907"”] That is the biggest advantage to a company 401K. It is like free money, even if your funds don’t increase at least you got free, tax defered money.:tup: [/quote] To quote myself, defered means you pay later (when you take it out). ---
**Author:** ![Zer0DazE](https://yyz2.discourse-cdn.com/flex034/user_avatar/forums.speedlife.net/zer0daze/32/7624_2.png) [@Zer0DazE](https://forums.speedlife.net/u/Zer0DazE)\ **Post date:** [December 7, 2007, 9:31am UTC](https://forums.speedlife.net/t/401k/39907/45 "2007-12-07T09:31:39Z")
i am posting this example in hopes to inspire those who aren’t investing some of their money to start today lets say you are 18 and going to college. you toss $2000 into an ira making 12% returns. in 42 years (that makes you 60 incase you suck at math) that will be $291,807 not bad, but what happens if you can toss just $100 a month at it? it becomes $1,587,906 thats better than not bad for not a lot of money invested. most people here aren’t 18 though ☹ lets say you a 25, and maybe have 5k to start with. that 5k will end up at $263,998 in 35 years. now i assume you have a little more loot to spend, so lets say you toss 3000 a year at that (thats less than what i spend on beer every week). you will end up with $1,714,387. now take that and make a conservative 6% return per year, and you will have an income of $102,863. think about how much you would have if you tossed a little more in. maybe employer matching, or by taking advantage of a HSA. here is a compound interest calculator to play with [http://www.moneychimp.com/calculator/compound\_interest\_calculator.htm](http://www.moneychimp.com/calculator/compound_interest_calculator.htm) “The most powerful force in the universe is compound interest” -Albert Einstein ---
**Author:** ![drvnkd](https://yyz2.discourse-cdn.com/flex034/user_avatar/forums.speedlife.net/drvnkd/32/109615_2.png) [@drvnkd](https://forums.speedlife.net/u/drvnkd)\ **Post date:** [December 7, 2007, 9:32am UTC](https://forums.speedlife.net/t/401k/39907/46 "2007-12-07T09:32:15Z")
[quote=“Fry,post:32,topic:39907"”] 100% match of up to 5% of your salary at Praxair. And really big breakfasts on Friday. [/quote] next time, i’ll schedule a screening for AM fridays… i get 50% match up to 5% of and i’m @ 6% allegedly, you should up the % at raise time, so you can contribuet more w/o “feeling” it. ---
**Author:** ![JustinH](https://avatars.discourse-cdn.com/v4/letter/j/9fc29f/32.png) [@JustinH](https://forums.speedlife.net/u/JustinH)\ **Post date:** [December 7, 2007, 9:32am UTC](https://forums.speedlife.net/t/401k/39907/47 "2007-12-07T09:32:35Z")
Roll your 401k into a self directed IRA and buy real estate with it. My employer matches up to 6%, and I maxed it day one I got hired. ---
**Author:** ![Blue\_Eyed\_Devil](https://yyz2.discourse-cdn.com/flex034/user_avatar/forums.speedlife.net/blue_eyed_devil/32/7292_2.png) [@Blue\_Eyed\_Devil](https://forums.speedlife.net/u/Blue_Eyed_Devil)\ **Post date:** [December 7, 2007, 9:36am UTC](https://forums.speedlife.net/t/401k/39907/48 "2007-12-07T09:36:19Z")
I wish I could put 10% in but the limit is $15,500 per year.:pimp: Once again, the rich get screwed. j/k.😃 ---
**Author:** ![greenbull](https://avatars.discourse-cdn.com/v4/letter/g/bc8723/32.png) [@greenbull](https://forums.speedlife.net/u/greenbull)\ **Post date:** [December 7, 2007, 10:02am UTC](https://forums.speedlife.net/t/401k/39907/49 "2007-12-07T10:02:50Z")
[quote=“drvnkd,post:46,topic:39907"”] allegedly, you should up the % at raise time, so you can contribuet more w/o “feeling” it. [/quote] i tried that…i felt it lol ---
**Author:** ![RobHimself](https://avatars.discourse-cdn.com/v4/letter/r/e480ec/32.png) [@RobHimself](https://forums.speedlife.net/u/RobHimself)\ **Post date:** [December 7, 2007, 10:15am UTC](https://forums.speedlife.net/t/401k/39907/50 "2007-12-07T10:15:45Z")
[quote=“Zer0DazE,post:43,topic:39907"”] not always true it depends on the plan. with ours you can borrow from it, and what you borrow doesn’t grow. its not really borrowing, its more like you withdrew the money. then the repayment including the interest is deposited back into your account. [/quote] dont second guess me you dick hole! \<3 ---
**Author:** ![theblue](https://yyz2.discourse-cdn.com/flex034/user_avatar/forums.speedlife.net/theblue/32/5074_2.png) [@theblue](https://forums.speedlife.net/u/theblue)\ **Post date:** [December 7, 2007, 10:22am UTC](https://forums.speedlife.net/t/401k/39907/51 "2007-12-07T10:22:56Z")
[quote=“Maksim2000,post:34,topic:39907"”] Standard order to follow until you haven no more money to invest: Meet the requirements for the out the company match 401k (i.e if there is no match - put nothing here) Max out RothIRA If you still have money left over - max out the 401k If you still have money left over - you’re doing much better than me and know better - don’t listen to me. [/quote] this was exactly what I was about to post… the reason (for those who don’t understand it) is because you have a very limited selection in your company 401K, in your IRA/ROTH IRA you can do just about anything including trade options and the gains are essentially tax free 😃 ---
**Author:** ![Oroc](https://avatars.discourse-cdn.com/v4/letter/o/c68b51/32.png) [@Oroc](https://forums.speedlife.net/u/Oroc)\ **Post date:** [December 7, 2007, 10:24am UTC](https://forums.speedlife.net/t/401k/39907/52 "2007-12-07T10:24:49Z")
My place of work matches up to 20% so i do the full sha-bang. I dont have many bills, paid cash for school by myself, own my cars, no debt, so i max that out + other investments :tup: IRAs. The camaro is my worst investment haha :pimp: ---
**Author:** ![Fry](https://yyz2.discourse-cdn.com/flex034/user_avatar/forums.speedlife.net/fry/32/7284_2.png) [@Fry](https://forums.speedlife.net/u/Fry)\ **Post date:** [December 7, 2007, 10:25am UTC](https://forums.speedlife.net/t/401k/39907/53 "2007-12-07T10:25:57Z")
Matches 20%?!?! :jawdrop: ---
**Author:** ![RobHimself](https://avatars.discourse-cdn.com/v4/letter/r/e480ec/32.png) [@RobHimself](https://forums.speedlife.net/u/RobHimself)\ **Post date:** [December 7, 2007, 10:27am UTC](https://forums.speedlife.net/t/401k/39907/54 "2007-12-07T10:27:14Z")
[quote=“Oroc,post:52,topic:39907"”] My place of work matches up to 20% so i do the full sha-bang. I dont have many bills, paid cash for school by myself, own my cars, no debt, so i max that out + other investments :tup: IRAs. The camaro is my worst investment haha :pimp: [/quote] WAT!!??! ---
**Author:** ![sureshot](https://yyz2.discourse-cdn.com/flex034/user_avatar/forums.speedlife.net/sureshot/32/7578_2.png) [@sureshot](https://forums.speedlife.net/u/sureshot)\ **Post date:** [December 7, 2007, 10:28am UTC](https://forums.speedlife.net/t/401k/39907/55 "2007-12-07T10:28:19Z")
[quote=“Oroc,post:52,topic:39907"”] My place of work matches up to 20% so i do the full sha-bang. I dont have many bills, paid cash for school by myself, own my cars, no debt, so i max that out + other investments :tup: IRAs. The camaro is my worst investment haha :pimp: [/quote] Please send me the phone number of your HR director. I’m sure I could fill a role there. Thanks. ---
**Author:** ![Fry](https://yyz2.discourse-cdn.com/flex034/user_avatar/forums.speedlife.net/fry/32/7284_2.png) [@Fry](https://forums.speedlife.net/u/Fry)\ **Post date:** [December 7, 2007, 10:29am UTC](https://forums.speedlife.net/t/401k/39907/56 "2007-12-07T10:29:12Z")
I’m thinking union at an auto company? ---
**Author:** ![sureshot](https://yyz2.discourse-cdn.com/flex034/user_avatar/forums.speedlife.net/sureshot/32/7578_2.png) [@sureshot](https://forums.speedlife.net/u/sureshot)\ **Post date:** [December 7, 2007, 10:31am UTC](https://forums.speedlife.net/t/401k/39907/57 "2007-12-07T10:31:50Z")
[quote=“Fry,post:56,topic:39907"”] I’m thinking union at an auto company? [/quote] Oh if it’s Union… that’s good. Too bad the job won’t be around in a few years :ohnoes: ---
**Author:** ![cougarspeed](https://yyz2.discourse-cdn.com/flex034/user_avatar/forums.speedlife.net/cougarspeed/32/7468_2.png) [@cougarspeed](https://forums.speedlife.net/u/cougarspeed)\ **Post date:** [December 7, 2007, 10:39am UTC](https://forums.speedlife.net/t/401k/39907/58 "2007-12-07T10:39:29Z")
[quote=“AWDrifter,post:44,topic:39907"”] To quote myself, defered means you pay later (when you take it out). [/quote] Ok i read this and just wanted to be sure about it. You people need to get that straight it gets taxed on its way out lol Roth wont. There are positives and negatives to both. If your employer isnt matching you dont do it. It probably isnt changing your tax bracket and even if it is still probably not worth it. I would run the numbers and say what each would be worth given the same amount but i dont feel like it right now lol. Ok just so i can figure it later if i feel like it the 401k matches every time you put in right? Not monthly or quarterly or some shit right? Also what was said about being able to invest in whatever you want in an IRA is a big deal as well. ---
**Author:** ![Fry](https://yyz2.discourse-cdn.com/flex034/user_avatar/forums.speedlife.net/fry/32/7284_2.png) [@Fry](https://forums.speedlife.net/u/Fry)\ **Post date:** [December 7, 2007, 10:45am UTC](https://forums.speedlife.net/t/401k/39907/59 "2007-12-07T10:45:03Z")
[quote=“cougarspeed,post:58,topic:39907"”] Ok just so i can i i feel like it the 401k mathes per contributation correct? [/quote] :meh2: ---
**Author:** ![cougarspeed](https://yyz2.discourse-cdn.com/flex034/user_avatar/forums.speedlife.net/cougarspeed/32/7468_2.png) [@cougarspeed](https://forums.speedlife.net/u/cougarspeed)\ **Post date:** [December 7, 2007, 10:53am UTC](https://forums.speedlife.net/t/401k/39907/60 "2007-12-07T10:53:21Z")
Edited hahahaha that was so bad when i read it, it took me a solid minute to understand what i was trying to say. [Previous page](https://forums.speedlife.net/t/401k/39907.md?page=2) [Next page](https://forums.speedlife.net/t/401k/39907.md?page=4)