Ever had a dream just disintegrate before your very eyes? Options

[mitchntx]

401K ....
January 08 - $650K+ across fixed, US and International funds.
As of October 3rd - $480K across the same funds

When all my stock was purchased after the buy-out 2 years ago, I placed 40% in a fixed fund and spread the remainder across domestic and international funds.
3% return looks pretty damn good now.

Rayman, I already have a bad knee, so with my luck, they would call it a pre-existing condition and give me nothing.

[sgarnett]

Ouch. The amount of wealth that is simply evaporating is staggering.

I'll be 58 when my daughter starts college.

[Jeff94TA]

401K ....
January 08 - $650K+ across fixed, US and International funds.
As of October 3rd - $480K across the same funds

Percentage wise you and I are about the same year to date. I just looked and as of yesterday I'm down 27% for the year, yippie! I know it's going to come back but the question of the century is when and how much. I'm 45 years old and running the numbers I know that I will not be able to retire until at least my mid 60's.

[NJSPEEDER]

The market is in a natural cycle, this time it is just a bit more dramatic than in the past.

I give it a year of everything being down, then the banks will be the first to come back. Really the only thing that he economy will be lacking in the 2 months or so until all of the bail out money is done flying around, is some investor confidence.

The problem with that is that people in America, is that there is little to no education of how to handle money and live with in ones means. Look at our educational system, it teaches people that good enough will get you by, but then bombards our young people with images of extravagance and bling. Most school districts do not even require home economics in this country!!! How the F can I expect people to know how not to over spend themselves when they can't even balance a check book?

Sorry, education is a massive rant of mine, I see the current US educational system as one of the biggest problems at the root of damn near every problem the country faces, economics, crime, politics, all of it is rooted in the problem this nation has applying the massive amount of information that we all have at our fingertips.


-Tim

[sgarnett]

I think there's a bigger problem than that. The US and global economies depend on deficit spending by Americans. How often have you heard on the news in the last year that we need to get people spending again, and then that those same people need to get out of debt (and I'm not even talking about housing)? That house of cards is collapsing.

This post has been edited by sgarnett: Oct 7 2008, 06:14 PM

[mitchntx]

Any one read or watch Richard Fuld being grilled over his "severance" from Lehman?

"It is reported you took in excess of $500M when you left."

"That isn't correct, sir. My salary was $60M and my stock option package was $250M. A big number, but not $500M."

Later on Fuld got a little "testy" ...

"Where was the government's bailout when my company needed it?"

The arrogance of these CEOs ...

[matt f]

I know of people who were literally only months from retiring, but had their eggs in the wrong basket (Lucent). went from 2M to almost zero in no time. Enron was the same deal.

This is why the financial planners tell you to move from growth and income to more fixed and safe. We all get greedy until the bottom falls out.

At least your 40% fixed should stay level... give it a few years and the rest will come back too.

[sgarnett]

Fixed income hasn't proven to be very safe either. I'll admit that I'm a lot less worried about the portion of my savings that's managed by Bill Gross, though.

This post has been edited by sgarnett: Oct 7 2008, 07:04 PM

[ledfoot2]

I would use a coffee can burried in the back yard.

At least you won't lose any money.

[AllZWay]

401K ....
January 08 - $650K+ across fixed, US and International funds.
As of October 3rd - $480K across the same funds

Percentage wise you and I are about the same year to date. I just looked and as of yesterday I'm down 27% for the year, yippie! I know it's going to come back but the question of the century is when and how much. I'm 45 years old and running the numbers I know that I will not be able to retire until at least my mid 60's.

Yep... I am in the 20-25% down. I am 41, so I have a minimum of 15 years left and realistically about 20 years left to work.

[pknowles]

I would use a coffee can burried in the back yard.

At least you won't lose any money.

Not until inflation takes off and that $100 you put in the coffee can that could have bought food for the week can now only buy food for 2 days.

[NJSPEEDER]

Any one read or watch Richard Fuld being grilled over his "severance" from Lehman?

"It is reported you took in excess of $500M when you left."

"That isn't correct, sir. My salary was $60M and my stock option package was $250M. A big number, but not $500M."

Later on Fuld got a little "testy" ...

"Where was the government's bailout when my company needed it?"

The arrogance of these CEOs ...

That is exactly the problem. People, CEO's included are taught to buy buy buy and live right now, never thinking about the long term. CEO's and sales people live for bonus' without regard for what the future holds. Hell, if you were a CEO and you got 20+ million in bonus' a year AND if you did mess up enough to get fire you had to walk away with "only" his $250mill, what would your plan be?

99.9999% of us would take the money and run.

It is the financial version of the run and shoot offense. Get it moving, get what you can, get out.

-Tim

[Jeff97FST/A]

Funny you mention the coffee can. We went to a party recently and were talking with some of our neighbors, The were telling me a story about the old guy who just left the party. He got into his little motor boat and headed off into the darkness across the lake toward home. As he left, one of the neighbors told me he did some work for the old guy, who tried to pay him for the work - with a handful of 1930's hundred dollar bills. When and where would someone get a handful of 1930's hundred dollar bills? In the 1930's, of course!!!!!

The guy told the old man that if his house ever caught fire, he'd better throw that mattress out the window before he did anything else!

(True Story....)

[matt f]

Of course, you could be like a friend of the family who died today from pancreatic cancer.

he was 54.

So, buck up men! it could be worse.

[sgarnett]

Another day, another month's pay gone (IMG:http://www.frrax.com/rrforum/style_emoticons/default/sad.gif)

This post has been edited by sgarnett: Oct 7 2008, 09:38 PM

[mitchntx]

Another day, another month's pay gone (IMG:http://www.frrax.com/rrforum/style_emoticons/default/sad.gif)

OK ... now THAT'S funny, I don't care what income bracket yer in.

[CMC #37]

Of course, you could be like a friend of the family who died today from pancreatic cancer.

he was 54.

So, buck up men! it could be worse.

There's always someone in a worse boat!

[jensend]

Of course, you could be like a friend of the family who died today from pancreatic cancer.

he was 54.

So, buck up men! it could be worse."

I am retired, with a kid in college, living on a pension and investment savings. My investments are worth 40% less today than a month ago. That being said, Matt's point is very well taken. If you have your health intact and your family and/or children are safe and happy you have things of greater value than most CEOs dare dream of. For better or worse, most of us share the same economic liabilities living in this current circumstance. However, having survived stage IV cancer, I know the difference between losing some wealth and losing more concrete assets. Preserving wealth is one thing. Preserving the fabric of one's family is something else entirely. As a society we need to keep what really matters most in sight.

[BigEnos]

Yeah my 401K is down about 25% or so on the year, bummer because it had just hit 6-figures (IMG:http://www.frrax.com/rrforum/style_emoticons/default/mad.gif) . I try not to look at it that much, though. I did just increase my contribution, I figure if everything is that far down I want to buy more. Luckily I have plenty of time for it to grow (I'm 34). I really do think that perception will settle down and improve after we get the damn election over with, whoever wins.

[MikeP-99Z]

Mitch:

Wait for some good heavy rains, climb up onto the roof of the shop, and take the plunge straight through the land surface and into the septic tank... (IMG:http://www.frrax.com/rrforum/style_emoticons/default/ph34r.gif)

We're all in the same shitter 401k fund-wise at the moment =(.