Tesla motors[TSLA] . I've heard alot of good things and I've been told it has a good future. Any intel?
If you are going to be around long enough to get the match, invest first in the 401K. Companies usually match something like at 50% for the first 6% you put in (6% is 6% of your salary). After getting the full match, invest in a Roth IRA. There are some income limitations to qualify: $105,000 if you are single. (There is a shell game you can play if you make too much money to eventually get the money into a Roth. You first make a *non-deductible* IRA contribution with post-tax monies. You next convert the *non-deductible* IRA into a Roth IRA.) If you are not long for your present employer, max out your Roth first and then make 401K contributions (if you wish). For novice investors, I strongly suggest with your 401K/IRA monies investing in a target date retirement fund.
The problem with companies like Tesla is that like you, many many other people have heard similarly good things about it, which bloats up the price. Not saying you shouldn't invest in Tesla or any other company, but keep that in mind as you evaluate each company. I'd suggest you starting with an industry that you care about and understand, which will probably pique your interest in following the companies and doing research in those sectors. Also nothing wrong with putting your money in an low cost index fund (like VFINX) and earn the market average.
Wow. There is some really wrong information on here. First off a Roth IRA is simply a place to put your investment. It isn't an investment itself. An IRA is the same. The difference between the two is when you pay your taxes. And you can also transfer a traditional into a Roth IRA, provided your income fits a certain criteria (although this year there was no income limit.) A 401k is always inferior to either IRA or Simple, or SEP plan, as it limits what a person can invest in. I've been seeing a lot of battles these days on workers wanting "In service non-hardship withdrawals" on their 401k plans. This will happen in a matter of time. Companies always have different 401k plans, so you have to look at what your company contributes, vesting times, etc.
I like the word always, because it's so easy to prove it wrong. If you are expecting your current tax bracket to be higher than your retirement tax bracket, 401k is better.
The tax consequences are exactly the same. Where did you read there was a difference? Read up. http://www.finweb.com/retirement/401k-vs-ira-which-is-better.html EDIT: And just to make sure someone doesn't come back arguing about the Roth differences, I mean a 401k vs. a traditional IRA It is stuff like this that proves why Financial experts are still needed. So much bad information out there.
Companies are not legally required to have a vesting schedule for their Profit Sharing/401K plane, but most companies do. The monies that the participant loses when exiting the Plan before being 100% vested goes back to the Plan and is used in the next round of Profit Sharing for the employees that remain. Thus, the Company has an economic incentive to have a vesting schedule. For the PS/401K Plan to be *qualified*, the Company must pick a legal vesting schedule (among other things). There are two typical vesting schedule types. The first is a 2 year 100% vesting schedule. The second is a graduated schedule, like I mentioned above, that can not go longer than 5 years.
So then, how is a 401k better than a traditional? (And I'm talking about after employment. Contributions by employers are the only reason to open one in the first place. And also why people feel that just because their employer contributes, they shouldn't be stuck with the handcuffs 401k's almost always have.)
with the Fed pulling the strings we could see spx 1350 or 1500 if we could just break 1300 - close above it I mean. Im thinking through march next year.
I never said anything about traditional IRA. My comparison was between 401k (pre-tax) and Roth IRA (post tax). I don't think traditional IRA is worth mentioning unless 1) you maxed out your 401k contribution and 2) in the tax scenario I stated previously. As someone mentioned before, if your company offers it, Roth 401k is also a better option over a regular 401k for most people out there. Everybody has a different financial situation, and it's ill-advised to say X is always better than Y.
What about the effect of the dollar strengthening as QE3 probably won't be needed anymore? http://www.marketwatch.com/story/tax-deal-makes-qe3-less-likely-fed-watchers-say-2010-12-08
Actually, once you've left a job, it is always in your best interest to rollover into an IRA. That is why people are fighting companies to get an in service non-hardship withdrawal. With an IRA, you can invest in just about anything. With a 401k there are many limitations as to what you can invest in. Look into it.
There was a respectable Dip today, but not as big as I expected when I posted on Wednesday. <hr> I follow neither of those, so somebody else will need to step forward and respond. This does bring up a few related questions. There are many posts in this thread about individual stocks or sectors that members are following, but very little discussion on the direction and dynamics of the overall Market on various time frames. Now to the questions....... Members are buying and selling individual stocks or sectors independent of the overall Market activity - direction? Is <i>Momentum</i> the dominant theme for most that are trading?
I have always really wanted to get into the stock market or futures but I never had the money or quite frankly...the knowledge. I am getting a good chunk of cash back on my income tax. With that said, does anyone have a good idea on what I should start looking at first?
Bought some FTK (Flotek Industries) from Houston recently, anyone has any input on this company? Is quite a speculative play, but do like the upside. All educated comments are welcome. Thanks.
