Up In Smoke
Well-Known Member
The biggest problem was there was no where else to get returns for nearly 10 years. Buy and hold investors are the most vulnerable.
How will “8.6%” inflation affect Brown?
Treasure yours are getting more attractive, especially if you're later in your career
Thebrownblob
Well-Known Member
If that chart and my age or what I have in my 401(k), I would feel pretty bleak about the future I don’t even understand how those numbers are so low if most people have some sort of match and we don’t.
At least we have a pension
Up In Smoke
Well-Known Member
Median income is 35K. Six percent of that is 2100.00, plus the mirror match is 4200.00. Compounded over 15 years at a 6% annual return equals 103k. The same percentages over 30 years would net you 340k. Until 2013, the company match program was rarely offered, but now has become expected by employees (without pensions). So, if started your 401k and had no match your 30 year balance would be 170k. Right in line with what the chart shows.
Thebrownblob
Well-Known Member
You took the median income, and then act like someone’s going to make 35k their whole life. That’s just not true, and Company Matches have been common for way more than since 2013. Where do you pull these numbers out of? I’m going to guess someone who made $30,000 a year. His whole life doesn’t even save in a 401(k).
They cannot afford to have a 401k
Thebrownblob
Well-Known Member
What was the median individual income?
Median individual income in the United States was $46,001. It is up from $44,225in 2021.What was the average individual income?
Average individual income in 2022 in the United States was $66,755, up from$63,214 in 2021.I honestly have no idea where he gets his numbers from.
It does not matter what his is numbers from.
Lots of people cannot afford to put anything into retirement or into emergency fund
Thebrownblob
Well-Known Member
Very true but like you’ve also said, most people don’t know how to cut back on unnecessary things and sacrifice a little now to have a better tomorrow. They don’t teach it in school and most parents aren’t any better anymore.
My wife has a part-time job and they match her 401K at 5%
Probably 90% of the people that work there cannot afford it
Up In Smoke
Well-Known Member
The median income is from the US debt clock. The US median income has only increased 4k since 2000. The matching information was from an article from consumer reports dated November of 2013.
Thebrownblob
Well-Known Member
In 1994 I worked at a grocery store that had a 3% match. Their wages were so low very few participated, so they may as will not have had the match.
Thebrownblob
Well-Known Member
So pretty much like I thought you were using 10 year old data and extrapolating it through someone’s entire life. Again people do not make $35,000 They’re whole life unless they’re doing something wrong.
If I had depend on her income, she could afford the match
Up In Smoke
Well-Known Member
The median income is in realtime. 2021 median household income was 70k and the article from 10 years ago shows how companies are increasing or adding a match program instead of pay increases.
The company is increasing their match is a big savings to employe and to the employee
Thebrownblob
Well-Known Member
Sorry you’re wrong again. Companies are paying more. It’s not even a question that wages have gone up. I was even involved in three white paper contracts this year for the companies were giving between seven and 10% yearly raises in order to keep employees. One of the companies had almost to 12% raise and they voted it down because they wanted more time off. Revoted took a little less money and got some more time off.
The fact that wages are not going as far is a different story.
Up In Smoke
Well-Known Member
It's recorded as a loss on the balance sheet, which helps with tax liability, but reflects as a negative against a company's profitability. The fact that average wages (income) has greatly improved, but the median hasn't, only goes to show the rich are getting richer, while the poor fall further behind.
That's the plan for the great new America
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