Personal Update

[Jester]

I swore in yesterday!

6-year active enlistment, of course. I ship out Nov 3. Unfortunately my bonus was only $15k (&%$-ing changed last week, oh well). I'm going to spend this 8 months and change to get into peak shape, memorize every Navy creed, custom, and knot I can, and get all my affairs in order for when I'm in.

I want to thank you all for your information and support in this process; not just for myself, but for all the potential nukes on here. I'll continue to help new readers, and I hope I make you proud when I'm in!

[greenbean]

Don't sweat the money, just put $5k in a Roth IRA buy an index fund that follows the overall market and forget about it (add money each year). You'll do fine.

Thanks for your service.

[JustinHEMI05]

Congratulations, good luck and keep us posted!

[HydroDave63]

Don't sweat the money, just put $5k in a Roth IRA buy an index fund that follows the overall market and forget about it (add money each year). You'll do fine.

Thanks for your service.

I'd skip the index fund and go for the ETF  called " GLD " It has far outpaced the Dow since 2000.

[Preciousblue1965]

If I remember correctly, the only two knots you really need to know is the bowline and the square knot.  Both are easy to do.  The only other one that isn't required, but definitely desired is the ability to tie a real life tie, not the clip on type.  I alwasy preferred the full Windsor.

[greenbean]

Buy into Gold at its high point...  not really sure about that strategy. It kind of defeats the whole purpose of (buy low sell high). Gold is now traded on emotions, just like every other stock.

Following the market is not a bad thing. Whats bad is not being in the market at all over a long period of time 20-30 yrs and seeing inflation eat your dollar's value up. Whats even worse is trying to specialize in one field without knowing what you are doing and doing worse than the market.

I'd grant this 10% into GLD and 90% into an index, but even then I'd consider Silver as an alternate to Gold. Here we go again though, getting into specifics....

Warren BUffett says S&P 500. He seems to do all-right.

When a person knows more about the market, then they can take a little bit and see if they can beat the market based on  some educated investments.

The order:
1) Get a will, and decide who your power of attorney will be.
2) Review your Life, auto and renter's/homeowner's insurances. (Also Disablity(paycheck) insurance and health insurance if
you are outside of the Navy's benefits)
3) Make sure you have 3 months savings
4) Pay off all high interest credit cards/loans (a 29% credit card beats a 15% return in the market any day)
5) Save up to 6 months of money in a savings account for the real emergencies (health/auto/home/family emergencies)   
    (not the "I need a new TV" emergency)
6) Put away 10%-20% of your takehome pay for retirement (10% - "barely make it"  to 20% "living the good life" retirement)
7) pay off a house
pay for kids to go to school (if you are so inclined)

[UncaBuffalo]

Buy into Gold at its high point...  not really sure about that strategy. It kind of defeats the whole purpose of (buy low sell high). Gold is now traded on emotions, just like every other stock.

Following the market is not a bad thing. Whats bad is not being in the market at all over a long period of time 20-30 yrs and seeing inflation eat your dollar's value up. Whats even worse is trying to specialize in one field without knowing what you are doing and doing worse than the market.

I'd grant this 10% into GLD and 90% into an index, but even then I'd consider Silver as an alternate to Gold. Here we go again though, getting into specifics....

Warren BUffett says S&P 500. He seems to do all-right.

When a person knows more about the market, then they can take a little bit and see if they can beat the market based on  some educated investments.

The order:
1) Get a will, and decide who your power of attorney will be.
2) Review your Life, auto and renter's/homeowner's insurances. (Also Disablity(paycheck) insurance and health insurance if
you are outside of the Navy's benefits)
3) Make sure you have 3 months savings
4) Pay off all high interest credit cards/loans (a 29% credit card beats a 15% return in the market any day)
5) Save up to 6 months of money in a savings account for the real emergencies (health/auto/home/family emergencies)   
    (not the "I need a new TV" emergency)
6) Put away 10%-20% of your takehome pay for retirement (10% - "barely make it"  to 20% "living the good life" retirement)
7) pay off a house
pay for kids to go to school (if you are so inclined)

Spot on.  Thanks.

[Jester]

I've been spending a good amount of time planning out my financial goals, actually. After my 8 years (I'm planning on reenlisting), my goal is to have $30k in a Roth IRA, $50k in the TSP, and have a house at least MOSTLY paid for. That way I won't have to sweat making payments while I use the GI bill to get more education. Hopefully after that I'll be set.

About knots: that's good to know. I know those and a few more, though I want to learn how to tie a bow tie as well.

Thanks to you all for the information and well wishes! Feel free to continue talking finance, I'm always trying to review my plans.

[Higgins]

It's good to have goals, but it's tough to plan 8 years in advance in a career that you might hate.

My recommendation: follow your plan until you've spent a year on your ship/sub then decide if it's a good idea to re-enlist. With the economy the way it is and the Navy cutting the budget you might not be eligible to receive a re-enlistment bonus. Also, spend your time wisely. Qualify EWS, complete a military apprenticeship (easy-but not sure if it's useful), and earn some college credits or a degree. You might decide to try your luck at getting into the commercial industry as a 6-and-out.

Everyone says that the utilities are hiring to replace an aging workforce, but more people are also applying. From what I hear it's vital to stand out from the crowd, network, and stay flexible.

You can save tons while you're in, stick to that plan and remember an important rule: splurge occasionally. You'll need to unwind. Follow your goals, but understand that your priorities might change.