Post: #26

(06-10-2013 10:48 PM)TheCaptainPower Wrote:  I didn't feel like I was wasting my time away at age 21, I had a ton of energy (Still do).

I was working as a valet parker and it wasn't that bad, you get to drive fancy cars and look at hot girls all day, and when the shift ended around 12:30 at night we would all go drinking together.

At some point you need to build up a nest egg, and the longer you wait the harder its going to get.

But my main point is, if you are fresh out of College, just bank money at all costs. (and lift weights)

$20-30K in your pocket will put you ahead of 3 billion people...

Cool point, and I shoulda followed it more.

It's not like it's have fun OR bank money... as you say it's like lifting weights. You just fit it in, and sooner or later, you're a big muscly fucker. It's not like you need to completely sacrifice everything else, you just make it a priority for a while.

Post: #27

Dollar cost averaging is excellent. I buy $100 S&P500 index per week automatically.

Its important to have a good mix of bonds and REITS too.

Having a portfolio that boosts your monthly cashflow is key to being an international playboy

Post: #28

Earned money is 50 percent money. It's the highest taxed! Read Robert Kiyosaki's books "Unfair Advantage" and "Why A Students work for C Students and B Students Work for the Government."

Get reading, get earning. I'm finding 12 and 15 year olds renting out houses! One of my classmates from highschool became a millionaire ( and STILL is) from Real Estate. Rental properties. He wasn't the smartest guy in the class (grade wise), yet he was laser focused on becoming rich, and he did it! Wasn't from breaking his back for the sake of a pay check. Leverage is key. Working for money is poor thinking, having money work for you is rich thinking. Big difference.

http://www.youtube.com/watch?v=UCipFCddUN4

Post: #29

Quote:But my main point is, if you are fresh out of College, just bank money at all costs. (and lift weights)

My plan is to max out my Roth IRA and 401K (iwillteachyoutoberich.com) with the money I save from moving to a cheaper apartment with no air conditioning or laundry (still walking distance from the bars).

Post: #30

A pack of pasta and a tin of tomatoes costs about $1.80. I'd rather be broke and have my life to myself than be stuck in a shitty soul crushing job where I'll just get depressed as fuck. But not everyone is me..

Post: #31

I'd genuinely think about a way to invest that money and generate an even higher return. Don't put your money in the market unless you really know what to do with it and real estate is hardly the way to go in a major city like NYC.

I'm from London and lots of my friends have saved up between £20-50k and it isn't as much as you think and can easily be eroded with 1-2 accidents that life inevitably throws up.

Post: #32

the captain power which useful books would you recommend?

you will enjoy this one:

http://www.amazon.co.uk/Smart-Luck-Quali...0273681273

Post: #33

@Kristian Thanks for the info. I'm not a big fan of most of the finance books out there, when someone is starting from zero like I did after College, I think it's important to just WORK no matter what.

Now that I have significant savings I am starting to take some business risks....At least I know I have my safety net.

Post: #34

Some interesting insight here...

All of college, I was the brokest kid in my fraternity. At, 23 I returned to the U.S. from South America in debt. I always had shitty jobs (pizza delivery, server, cashier, caddie) and was broke as a joke.

After getting my first real job (I work in sales), I have earned 100k, 80k, and 100k during the 3 years I've been there. I would have made more than 80k the 2nd year if I didn't make fucking girls my #1 priority at that time.

If you work a shit job like I used too, get a real job...life will get so much better and easier.

Also, I'm not content with the money I make...I believe the way to make real money is get out of the monkey desk job world and create your own empire.

Post: #35

I read somewhere that only 8% of the world have any money in the bank.

So having 30k would rank you in the top 10% in western world alone, probably top 1% worldwide.

Still no credit debt means frugal living, no bottle service, no McMansion and no car... i.e. "loser" to the world. Compensate with Game, no other choice.

Post: #36

With a good credit rating....30k could be used as leverage to buy three apartments that could easily net 3 or 4k per month in rental income.
No wealthy person would leave 30k gathering dust in a bank account.

Post: #37

3 apartments making 3 to 4k with only 30k investment?? No way.....

Post: #38

(07-28-2013 10:59 AM)Lux Interior Wrote:  With a good credit rating....30k could be used as leverage to buy three apartments that could easily net 3 or 4k per month in rental income.
No wealthy person would leave 30k gathering dust in a bank account.

Lux would you mind sharing the places you think this is possible? I would so do that if that was possible.

Post: #39

(07-28-2013 06:54 PM)samsamsam Wrote:  

(07-28-2013 10:59 AM)Lux Interior Wrote:  With a good credit rating....30k could be used as leverage to buy three apartments that could easily net 3 or 4k per month in rental income.
No wealthy person would leave 30k gathering dust in a bank account.

Lux would you mind sharing the places you think this is possible? I would so do that if that was possible.

30k for 3/4k per month rental income. Please tell me where and I'm there!

Post: #40

Quote:30k for 3/4k per month rental income. Please tell me where and I'm there!

Here's a quick shortcut to figure out a rough fair-market price for real estate: multiply the monthly rent by 200.

In this example, the price of the property would be $600K-$800K (3K x 200 = $600K and 4K x 200 = $800K). If the price is much lower than that, you've either found an amazing deal or there's some kind of risk factor.

So putting down $30K, you're making a downpayment of 3.75%-5% based on those property prices.

The other thing to keep in mind is that $3-4K per month is gross rental income before expenses, mortgage payments, etc. You'll cover your expenses and break even, but you won't be getting $3-4K per month to spend on travel and women.

Source: I've been a landlord for over 10 years.

Post: #41

(07-28-2013 10:59 AM)Lux Interior Wrote:  With a good credit rating....30k could be used as leverage to buy three apartments that could easily net 3 or 4k per month in rental income.
No wealthy person would leave 30k gathering dust in a bank account.

(07-31-2013 02:29 PM)edlefou Wrote:  The other thing to keep in mind is that $3-4K per month is gross rental income before expenses, mortgage payments, etc. You'll cover your expenses and break even, but you won't be getting $3-4K per month to spend on travel and women.

So which is it? Net or gross?

Post: #42

(07-31-2013 02:38 PM)bhawthorne Wrote:  So which is it? Net or gross?

If $3-4K per month is net rental income, then after adding $3K/month in mortgage payments ($770K mortgage at 3% amortized over 30 years is $3250/month) and $1K/month (very conservative estimate) in other costs like insurance, maintenance, utilities, taxes, etc., then the gross income would have to be $7-8K. You'd be looking at each of the 3 apartments renting for around $2600 per month. You could charge that kind of rent in New York, for example, but I don't think you could buy 3 apartments in NYC for $600-800K with a $30K downpayment.

(07-28-2013 10:59 AM)Lux Interior Wrote:  three apartments that could easily net 3 or 4k per month in rental income.

Post: #43

I saved about $40k in the past 12 months, for a total currents savings 0f $50k. I'm 34 years old, but I just got divorced less than 3 years ago and was broke while and right after marriage for reasons well known to men on this forum.
I make little over $80k a year as a software developer (in a cheap, non-coastal US city) and my monthly spending is less than $1000 while not denying myself anything. My recurring monthly bills:

- I'm in a LTR with a nice Eastern European girl and have been living with her rent free for the past year, in a really nice house owned by her parents and given to her to live in temporarily: $0/month
- Paid off my car completely 8 months ago $0/month
- Got a Master's degree in my Eastern European home country for free: school loan $0/month
- My car insurance is dirt cheap, I prepay in long-term periods for a discount: about $37/month
- Bought a un-subsidized smartphone (Nexus 4) so I can use any plan I want - 100 minutes (don't need more) and unlimited 4G internet (including wifi hotspot for my laptop and tablet) from T-Mobile: $30/month
- Gym for me and GF: $50/month
- Netflix: $8/month

That's it for all recurring expenses. I buy almost all the food for the 2 of us and generally pay when we go out for drinks/dinner due to me freeloading on the rent and utilities. I'm not really counting how much I spend but it's not that much. I do deny myself one thing though - chasing other girls - but I came to terms with that for now since I am in a truly good relationship with sex on tap. I'm saving about $3k - 4k in cash every month. Got too much cash so I started investing a month ago, invested only about $20k out of 50 as I'm being careful, but already up by more than $1000. Large and mid-cap stocks only for now. Might be beginners luck, but hopefully I can continue successful trend as I'm learning more and more about the market every day. My job makes it easy to watch my trades at all times as well.

Hope to continue this trend for the next few years to accumulate enough capital to be able to semi-retire by 40, probably outside of USA. Currently focusing on getting a better paying job and improving investing skills.

Post: #44

^^ what non coastal city and area?

Post: #45

(08-01-2013 06:06 PM)jimukr104 Wrote:  ^^ what non coastal city and area?

Phoenix, AZ

Post: #46

U cant get 3k rent in phoenix....

Post: #47

at the $3K per month on $30K investment strategy.

Come on guys.

$36K annual income on $30K investment.

120% return... Annual...

Even if you get 10x leverage... You're still not getting there.

Post: #48

Old guy here. I'm now 40 and pretty much retired. I still do C# and other geek stuff, but from the comfort of a Bangkok hotel room, not some shitty cubicle back in freezing cold England.

My secret was to get a good career then stop buying unnecessary shit and just bank as much as I could. And apart from buying a small apartment back home, I never went near debts or loans. Don't buy DVDs. Don't go to Starbucks. Those pennies saved really add up.

Investments wise I'm a big fan of covered call funds and bond funds. Both yield 6%+ although I bought much of my holdings when a few funds were yielding 10-12%.

Now my monthly investment income pays most of my rent.

Post: #49

I turned 19 last june and I have been stuck between $3500-4000 in my pocket since my birthday, I eat what I want, have fun like any college kid and my savings keep going up every couple of months,

I think it's because I use cash instead of credit cards, credit cards make you spend like a madman, the trick is to get more cash than you spend in a month until you have a nice stack of money, then maintain a monthly income that is higher than your expenses by at least 30-40%.

After that coumpound interest should work on its own, I'm not an expert yet, but maybe in 10 years I'll be wealthy.

Post: #50

Someone needs to start a thread called "Beginners Guide To Investing". I want to invest but at a total lost when it comes to this kinda stuff...