Hi all,
I would like to ask your opinion about how I am doing with my finances. I think overall I am making good choices but want to see if you have any additional thoughts on how much I am investing, saving, spending. Also, if someone could tell me where to invest the extra money I would like to - that would great. I am not knowledgable at all about how to invest beyond 401k, roth).
General info: 35yoF, doctor, single, no children, live in VHCOL area; just started making current level of income last year
Income:
-Gross annual: 240,000 base salary + 50,000 stock (vested over three years and just started this year so only getting 1/3 this year but will go up each year to full amount) + 50,000 yearly bonus
Debt:
- 216,500 – student loan debt (interest varies from 5.5 - 6.8%)
Savings
- Primary bank account: try to keep it at ~15,000 at all times as a buffer (and would use this buffer or vacations or a big expense)
- High yield savings account (@ 4.35% interest rate): 51,000 – this is for emergency [ideally, I would like to have 67,000 for one year of expenses)
[for now not adding anything anymore to this and just letting it grow via interest]
- High yield savings account (@ 4.35% interest rate): 7,000 – building this up for a house someday [I add 600/month to this]
Investments (all in Fidelity):
- 403b from my medical training program: currently holds 29,000
- 401k from my current employer: currently holds 51,000
- I am maxing this out every year
- I get a 4% company match every year
- Backdoor Roth IRA: currently holds 15,500
- I am maxing out every year
In total - I am investing about 40k/yr with my 401k including company match, and roth]
Monthly spending (this is only on cashflow of my base salary)
- In (after taxes, 401k, benefits): in pocket per month is 10,750
- Out
- Fixed expenses: 7,335
- Rent: 2,800
- Student loan monthly payments: 2,600
- Everything else (bills): 1955
- Savings
- I add to my high yield savings account: 600/mo
- I put aside 250/mo that stays in my primary banking account – a sort of treat yourself money I set aside to build up for vacations, etc
- Guilt free spending on anything I want: 1,500
- I have 1,000 left over if I stay within that budget I would ideally like to invest all or part of this – just don’t know how to do that – appreciate
advice on this
My plan for the stock and bonus (which is 100k gross but assume probably will get about <50% after taxes) is to put 30,000k a year into student loans to pay off faster. The remaining ~20k I would plan to invest/maybe enjoy some of it potentially. Again – if I do a lump sum to invest – how do I do this? Where do I invest? If you can all offer very specifically where I can invest that would be great.
If this matters, don’t like big risk. Given still single and going into my late 30’s in the future I may look into having children on my own – so definitely want to plan to put myself financially well prepared for that. I would not move from this VHCOL area as family is here and would lover their support if I make that decision. Adding in case this would change recommendations about how I am tackling my finances now.
I would like to ask your opinion about how I am doing with my finances. I think overall I am making good choices but want to see if you have any additional thoughts on how much I am investing, saving, spending. Also, if someone could tell me where to invest the extra money I would like to - that would great. I am not knowledgable at all about how to invest beyond 401k, roth).
General info: 35yoF, doctor, single, no children, live in VHCOL area; just started making current level of income last year
Income:
-Gross annual: 240,000 base salary + 50,000 stock (vested over three years and just started this year so only getting 1/3 this year but will go up each year to full amount) + 50,000 yearly bonus
Debt:
- 216,500 – student loan debt (interest varies from 5.5 - 6.8%)
Savings
- Primary bank account: try to keep it at ~15,000 at all times as a buffer (and would use this buffer or vacations or a big expense)
- High yield savings account (@ 4.35% interest rate): 51,000 – this is for emergency [ideally, I would like to have 67,000 for one year of expenses)
[for now not adding anything anymore to this and just letting it grow via interest]
- High yield savings account (@ 4.35% interest rate): 7,000 – building this up for a house someday [I add 600/month to this]
Investments (all in Fidelity):
- 403b from my medical training program: currently holds 29,000
- 401k from my current employer: currently holds 51,000
- I am maxing this out every year
- I get a 4% company match every year
- Backdoor Roth IRA: currently holds 15,500
- I am maxing out every year
In total - I am investing about 40k/yr with my 401k including company match, and roth]
Monthly spending (this is only on cashflow of my base salary)
- In (after taxes, 401k, benefits): in pocket per month is 10,750
- Out
- Fixed expenses: 7,335
- Rent: 2,800
- Student loan monthly payments: 2,600
- Everything else (bills): 1955
- Savings
- I add to my high yield savings account: 600/mo
- I put aside 250/mo that stays in my primary banking account – a sort of treat yourself money I set aside to build up for vacations, etc
- Guilt free spending on anything I want: 1,500
- I have 1,000 left over if I stay within that budget I would ideally like to invest all or part of this – just don’t know how to do that – appreciate
advice on this
My plan for the stock and bonus (which is 100k gross but assume probably will get about <50% after taxes) is to put 30,000k a year into student loans to pay off faster. The remaining ~20k I would plan to invest/maybe enjoy some of it potentially. Again – if I do a lump sum to invest – how do I do this? Where do I invest? If you can all offer very specifically where I can invest that would be great.
If this matters, don’t like big risk. Given still single and going into my late 30’s in the future I may look into having children on my own – so definitely want to plan to put myself financially well prepared for that. I would not move from this VHCOL area as family is here and would lover their support if I make that decision. Adding in case this would change recommendations about how I am tackling my finances now.
Statistics: Posted by bumblebee30 — Sat Apr 13, 2024 2:28 pm — Replies 4 — Views 205