CNN Money Fear and Greed Index

[DrHenley]

The index currently registers "Extreme Fear"
http://money.cnn.com/data/fear-and-greed/?iid=SF_INV_FG

 

[tntboy13]

I guess what's concerning to me is the last month number and the current number... That's quite a drop. I guess i dont know what's changed the feelings in the market so much

 

[Brent S]

The Argentina default is spreading fear fast. After over a 300 point drop I think the market will come back up some today. Hope so for my 401 anyways! Honestly, I look at my 401 as I do with all my prepping. It's just 1 of the many things I do to cover many possible scenarios. Aka redundancy. I honestly don't have much faith that the dollar is going to be worth much in the minimum of twelve years I have before I can get to my 401. But, just in case I'm wrong, it's part of a safety net I'm trying to make. I still feel in my gut though that tangible things, like guns, tools, books and things are going to be worth more than money in the not so far off future.

 

[Graynomad]

At what age can you take your 401?

I too think tangibles are better and I took my super (Oz version of 401) as soon as I could, but just how many shovels do you need? If you get $100k and you are already set up pretty well (not saying that I am, just an example) what do you buy next?

 

[DrHenley]

If you have all the necessities, then maybe it's time to start buying land.

 

[Brent S]

At what age can you take your 401?

I too think tangibles are better and I took my super (Oz version of 401) as soon as I could, but just how many shovels do you need? If you get $100k and you are already set up pretty well (not saying that I am, just an example) what do you buy next?

I can start taking it at 62, with the idea being when retired with no other income you are taxed less. Here it's saved and grows tax free, but is taxed when you start drawing it. If you take any of it before being 62, you not only get taxed on it but they add a 10% penalty as well. I agree with the 'what tangibles' make the most sense. That can only be answered by each individual. I have loads of Ideas, but not enough money. I think an off grid solar system would be smart, as well as solar hot water. I've also thought about making air conditioning from the 60 degree creek water. Even with me doing all the design and labor, these will be reasonable investments, especially solar. Given five minutes I could probably come up with half a million dollars worth of ideas!



Lp

 

[Graynomad]

At 55 here you can take up to $145k tax free, we took the lot (we both has less than $145k) the day after we turned 55

These rules change every day though and it might be different now. Bottom line is you can't trust the bastards not to steal it or force you to take an annuity.

 

[Brent S]

At 55 here you can take up to $145k tax free, we took the lot (we both has less than $145k) the day after we turned 55

These rules change every day though and it might be different now. Bottom line is you can't trust the bastards not to steal it or force you to take an annuity.

I'm jealouse! I'd jump at the chance to take it at 55! Not to mention ours is never tax free. With twelve yrs to go I'd say that gives our broke ass govt. plenty of time to come up with ways to steal it. Sorry, didn't mean to sound so cynical! Seriously, I don't have a ton of money either, but I worked hard for every penny of it. The thought of our govt taking more of it is too realistic to be dismissed.

 

[DrHenley]

I have a Roth IRA. You pay taxes up front, and then it can grow tax free and you are not taxed on withdrawals.

 

[Brent S]

I have a Roth IRA. You pay taxes up front, and then it can grow tax free and you are not taxed on withdrawals.

I've known about the Roth, but never did it. I think it would be wise to have both probably. Are the penalties the same for early withdraw? Sounds like a Clark Howard question! I currently put away 6% in what I like to call 'paper' investments. Anything else is going towards more tangible stuff. I really hope to get a good start to the solar system next year. The majority of my tax return will go towards that. By the way, most don't think of taxes as an investment, but I do. I let the irs withhold the max amount each year. (Otherwise I would find something to spend it on each month). I usually get close to three grand back, which is a nice savings account for special projects.

 

[DrHenley]

I've known about the Roth, but never did it. I think it would be wise to have both probably. Are the penalties the same for early withdraw? .

The money you put in can be withdrawn without penalty since you paid taxes on that. Earnings are subject to early withdrawal penalties.