My wife and I just turned 30 and here is a look at our finances:
My wife and I make roughly $150K annually (not including any bonuses that we might get). We have no debt (paid off her car last December when we got our Christmas bonuses).
We save roughly $2800 a month. We max out her 401K (my company doesn’t offer one, I’ll get to that later), my Roth and the rest is in a brokerage account. I invest in Vanguard’s Total Stock Market index funds and Bond funds (90% and 10% respectively). Our savings rate is around 22.5% (gross income), not sure if we should try and up that a little bit.
My company offers my union benefits, which in addition to the free health/dental/vision insurance that I get, I also get around $2500 a month in annuity (in addition to the $2800 that we save separately) and around $10/hr in a pension fund. The annuity acts very similar to a 401K (can take loans up to 50% or $50K, whichever is less). The pension I can’t touch until retirement no matter what. I don’t count on the union benefits, because I might not have that if I leave or get fired from the company I’m with, so it is a “bonus”.
We have around $100K in the annuity and $100K between the 401K, Roth and brokerage accounts. We’d like to buy a house soon (within a year). We haven’t put aside money specifically for that because I feel it’s a waste of money to just have that sitting (even in a high-yield savings account) so invest all that money. I can always take whatever I contributed from the Roth or brokerage, or I can take a loan from annuity, because the annuity earns around 1-2%, so taking a loan from the annuity would be the wiser option than taking the money and losing the compound interest from my retirement accounts. The loan from annuity has very low interest as well.
I don’t have specific questions per se, but I never had anybody look at my finances before and give advice. I try to read as much as I can and try to make the best decisions.
If anybody has any advice on the amount we save, how the money is divided across the accounts, big vs small down payment on a house etc.
I’ll provide more info if needed.
Submitted July 22, 2020 at 08:45PM by pfguy90 https://ift.tt/2CCijbO
