Welly Wu
Headphoneus Supremus
- Joined
- May 16, 2003
- Posts
- 5,165
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I need (free) expert financial guidance especially from stock traders, bankers, and certified financial planners from our members in such professions. Please don't mistake this as bragging as I really have nothing financially compared to others, but I am seeking expert opinions. The reason why I decided to create this thread is because I did some shopping around for a certified financial planner and the expenses and fees scared me away. I am not in a financial position to have a definitive and true need for such services at this point in my life until I secure a higher paying career outside of BN. So, here I am...and you too.
First, I am single and 28 years old. Currently, I earn $8.75 USD per hour multiplied by 40 hours per week. I am in the 10.6% Federal & NJ State tax bracket and I recently joined the Fidelity Investments 401(k) retirement & savings program by electing for automated 15% payroll deductions on a weekly basis. I get direct deposits at midnight every Friday. So, here are the numbers and questions:
50% is going to the Fidelity Growth & Income large cap mutual fund,
25% is going to the Fidelity Diversified International Fund,
15% is going to the Fidelity Freedom 2030 Blended Fund,
10% is going to the Fidelity US Bond Index
BN offers corporate matching funds through its company stock BKS:
$1 : $1 for the first 3% I contribute to my FI 401(k)
0.50 cents for the second 2% I contribute to my FI 401(k)
I read in Kiplinger's Safe Investing magazine that investing in my company's stock, Barnes & Noble, should be classified as a high risk and I should not hold more than 5% of BKS in my total asset allocation strategy. SO, I elect to exchange 95% of BN company matching funds back into the FI funds by following above asset allocation strategy weekly.
I maintain 10% of my total assets in US Savings series EE 3.5% and I Bonds 4.8%. I still need to purchase more this December 2005 to maintain that equilibrium. I also automatically invest 15% of each BN weekly paycheck into my ING Orange Savings MMA @ 3.4% which is FDIC insured and a liquid asset; I do this because if something horrible happens such as becoming very ill or unemployed (BN employment is at will), then I will have at least a 3 month supply of funds to cover my fixed monthly expenses which are very low. I also have a ING Orange Savings CD fixed at 3.8% APY that will mature next summer 2006. Last, but certainly least, I tithe 15% of my gross montly income to the Christian Broadcasting Network due to my religious beliefs. All of this is automated electronically.
Here are my major goals in my life. I simply do not feel comfortable investing all of my money into the FI 401(k) because I do not desire to work at BN next year once I secure my career at the US Postal Service as a letter carrier (they provide both a 401(k) and Federal pension fund) and I expect to be admitted to a Masters of Fine Arts in English Creative Writing graduate program for September 2006.
I have no credit card debt, no consumer debt, and no collection agency is looking to collect from me. I also have no credit history either. The only debt that I own is my US Direct Student Loan which has been consolidated at 3.0% fixed APY and I am on the standard 10 year repayment plan which is in good standing because payments are deducted automatically from my checking account.
Questions:
What am I doing right?
What am I doing wrong?
Am I being too conservative with my money?
Should I consider shopping around for a secured credit card to build my credit history?
Should I consider adding the Fidelity Small Cap Stock to my equities portfolio?
Should I open up stock trading account (such as Ameritrade, Schwab, HarrisDirect, TD Waterhouse, etc.) and begin researching safe stock picks to invest in?
Thanks for reading. I will be watching this thread. I look forward to constructive and useful replies so I hope this thread will stay sharp and focused.
First, I am single and 28 years old. Currently, I earn $8.75 USD per hour multiplied by 40 hours per week. I am in the 10.6% Federal & NJ State tax bracket and I recently joined the Fidelity Investments 401(k) retirement & savings program by electing for automated 15% payroll deductions on a weekly basis. I get direct deposits at midnight every Friday. So, here are the numbers and questions:
50% is going to the Fidelity Growth & Income large cap mutual fund,
25% is going to the Fidelity Diversified International Fund,
15% is going to the Fidelity Freedom 2030 Blended Fund,
10% is going to the Fidelity US Bond Index
BN offers corporate matching funds through its company stock BKS:
$1 : $1 for the first 3% I contribute to my FI 401(k)
0.50 cents for the second 2% I contribute to my FI 401(k)
I read in Kiplinger's Safe Investing magazine that investing in my company's stock, Barnes & Noble, should be classified as a high risk and I should not hold more than 5% of BKS in my total asset allocation strategy. SO, I elect to exchange 95% of BN company matching funds back into the FI funds by following above asset allocation strategy weekly.
I maintain 10% of my total assets in US Savings series EE 3.5% and I Bonds 4.8%. I still need to purchase more this December 2005 to maintain that equilibrium. I also automatically invest 15% of each BN weekly paycheck into my ING Orange Savings MMA @ 3.4% which is FDIC insured and a liquid asset; I do this because if something horrible happens such as becoming very ill or unemployed (BN employment is at will), then I will have at least a 3 month supply of funds to cover my fixed monthly expenses which are very low. I also have a ING Orange Savings CD fixed at 3.8% APY that will mature next summer 2006. Last, but certainly least, I tithe 15% of my gross montly income to the Christian Broadcasting Network due to my religious beliefs. All of this is automated electronically.
Here are my major goals in my life. I simply do not feel comfortable investing all of my money into the FI 401(k) because I do not desire to work at BN next year once I secure my career at the US Postal Service as a letter carrier (they provide both a 401(k) and Federal pension fund) and I expect to be admitted to a Masters of Fine Arts in English Creative Writing graduate program for September 2006.
I have no credit card debt, no consumer debt, and no collection agency is looking to collect from me. I also have no credit history either. The only debt that I own is my US Direct Student Loan which has been consolidated at 3.0% fixed APY and I am on the standard 10 year repayment plan which is in good standing because payments are deducted automatically from my checking account.
Questions:
What am I doing right?
What am I doing wrong?
Am I being too conservative with my money?
Should I consider shopping around for a secured credit card to build my credit history?
Should I consider adding the Fidelity Small Cap Stock to my equities portfolio?
Should I open up stock trading account (such as Ameritrade, Schwab, HarrisDirect, TD Waterhouse, etc.) and begin researching safe stock picks to invest in?
Thanks for reading. I will be watching this thread. I look forward to constructive and useful replies so I hope this thread will stay sharp and focused.