Eek! Stock market mess hits home

[Ravi]

My daughter's college fund lost $2,600 in September.

 

[MasTequila]

My daughter's college fund lost $2,600 in September.

My 401k is off 26%, I just upped my input to the max.

 

[Ravi]

My 401k is off 26%, I just upped my input to the max.

I upped my long terms, but the college fund isn't something that I'm in for the long term.

 

[Valerie]

My 401k is off 26%, I just upped my input to the max.

Thank God I sold every holding in my retirement account a year ago and I am holding all cash right now. The writing has been on the wall for a while.

Ravi, depending on your daughter's age, at this point I would just hold on!

 

[manifold]

College isn't worth the money anymore anyway. Do the math, for most it's a negative IRR investment. Oh wait, you can't do the math. Nevermind.

 

[Ravi]

Thank God I sold every holding in my retirement account a year ago and I am holding all cash right now. The writing has been on the wall for a while.

Ravi, depending on your daughter's age, at this point I would just hold on!

I know, not much else I can do. I'm certainly not going to cash it in at a loss and pay taxes on it at this point.

Maybe I can encourage her to wait an extra twenty years to go to college and by then it will have bounced back.

 

[Valerie]

College isn't worth the money anymore anyway. Do the math, for most it's a negative IRR investment. Oh wait, you can't do the math. Nevermind.

No doubt the cost of a college education is outrageous, but that degree is the ticket to a higher paying job as well as an otherwise more worthwhile career.

 

[KMAN]

My daughter's college fund lost $2,600 in September.

I'm sorry to get political but if you think it's bad now look at the survey I posted a few minutes ago... When the corporations get taxed more I can't see how that's going to help the market/people's 401k.

 

[AllieBaba]

Encourage her to go into welding.

Those ppl make mega $$, and if we ever start our industries up again, she'll never want for jobs, anywhere.

 

[manifold]

No doubt the cost of a college education is outrageous, but that degree is the ticket to a higher paying job as well as an otherwise more worthwhile career.

That's the perception, but if you do the math, it's really not as true as you think. How much incremental pay and for how long does it take to generate a positive return on ~ $200K invested and 4 years of lost wages?

 

[AllieBaba]

I'm sorry to get political but if you think it's bad now look at the survey I posted a few minutes ago... When the corporations get taxed more I can't see how that's going to help the market/people's 401k.

Of course it won't.
The only thing that will help is to let the market fall, stop this global bullshit and re-start our own industries.

 

[Andrew2382]

I know a bunch of girls that work at a club paying their way through college.

There is always hope

 

[Valerie]

Encourage her to go into welding.

Those ppl make mega $$, and if we ever start our industries up again, she'll never want for jobs, anywhere.

Right! Or maybe an electrician or a plumber. They all make out like bandits these days!

 

[Ravi]

I'm sorry to get political but if you think it's bad now look at the survey I posted a few minutes ago... When the corporations get taxed more I can't see how that's going to help the market/people's 401k.

Sure, why not cut taxes for the corporations and the rich once again, it has been working out so well.

 

[DavidS]

My daughter's college fund lost $2,600 in September.

How old is she? When is she going to college? You might want to think about getting out of the market if you need your money in the next 2-3 years and putting the money in an FDIC insured money market with low interest rates.

 

[Ravi]

That's the perception, but if you do the math, it's really not as true as you think. How much incremental pay and for how long does it take to generate a positive return on ~ $200K invested and 4 years of lost wages?

There are cheaper schools, but you have a bit of a point.

 

[KMAN]

Sure, why not cut taxes for the corporations and the rich once again, it has been working out so well.

Hey, it's your money not mine... Like it or not lowering taxes on businesses will help companies expand and bring jobs back to the states... Just the facts...

 

[Ravi]

Hey, it's your money not mine... Like it or not lowering taxes on businesses will help companies expand and bring jobs back to the states... Just the facts...

I'm sorry, I must point out that you seem to be delusional. That's what Bush did when he got into office and it hasn't worked out that way at all.

 

[Valerie]

How old is she? When is she going to college? You might want to think about getting out of the market if you need your money in the next 2-3 years and putting the money in an FDIC insured money market with low interest rates.

You know what's really confusing me is the fact that there are no decent CD rates out there right now. You would think if the banks need more cash that they would start offering a decent rate on a long term CD. I for one would deposit a nice chunk of cash for ten years if there was some decent return. In this environment the rates should be higher.

As far as education being "worth it"? Manifold, I simply disagree with your assessment that it's not. I know how to do math, thanks. I agree the cost is outrageous, but how do you quantify the lack of education, experience, and opportunity, once you get beyond the monetary payback point?

 

[Paulie]

How old is she? When is she going to college? You might want to think about getting out of the market if you need your money in the next 2-3 years and putting the money in an FDIC insured money market with low interest rates.

With low interest rates, huh? Yeah, you don't want those high yield accounts Rav, that's probably more money than you need

Rav, why not contact your account manager and see if you can move your money into Treasuries? That would be a safe place for it right now.