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/biz/ - Business & Finance

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10476593 No.10476593 [Reply] [Original]

Hullo /biz

I am 23, just graduated last year poli sci/history double major, headed to law school this august.

Over the last year I worked and managed to save just over $20,000, what is the best thing to do with this money. Do I keep it in the bank? Are bonds an option? I just wanna make sure they are there in case of a rainy day.

>> No.10476612

invest in crypto unironically

>> No.10476613

Tesla puts, all of it

>> No.10476619

>>10476593
Yes bonds are an option as well as mutual funds
You should leave a few months' worth of expenses as well as a small emergency fund
But outside of that you are free to invest

>> No.10476632

>>10476593
>headed to law school this august

You're off to a bad start, kiddo.

>> No.10476693

>>10476612
A little risky for an emergency fund, no? especially since I won't be dedicating all of my time to it.

>>10476613
you sure?

>>10476619
I am a total /biz noob but that sounds like very reasonable advice. I will head over to investopedia to read on mutual funds. Thanks!

>>10476632
Why do you think so? It's a top 5 school and I got a nice little scholarship going (all of my tuition is covered). Should I back out now?

>> No.10476705
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10476705

Go travel for a year.

Depending on which country you're from, you have different options for working holiday visas while you're under 30. You have a year and the ability to work.

You will not regret it.

t. did it in Japan and Australia

>> No.10476783

talk to a financial advisor. no joke. investments vary by liquidity.

>> No.10476819

>>10476783
Does that cost a lot?

>> No.10476843

>>10476693
Getting in to a T5 school improves your chances of landing a lucrative billable-hours slave job in big law.

But those chances still aren't great. What you need to have your eyes wide open to is that even in a T5 school a sizeable portion of your class is going to be fighting tooth and nail to land $40-$60K jobs. For a lot of them, they will never find a full time position that requires a JD.

If you're in the top 20% of your class, or at least in the top 50% + are a basketball American who can "offer diversity", you might make it. But be aware that we aren't on Lake Wobegon, and not everybody can be above average.

If you at all lack faith that you can be in the top 1/3rd of your class, I'd cut losses, take two years of pre-reqs, and apply for medical school. If you don't think that your GPA is high enough for that, you would have never made it with a law degree anyway.

>> No.10476859

>>10476593

https://theoutline.com/post/2943/this-is-where-all-the-unemployed-lawyers-go-to-cry

Don't go to law school, unless it's a top 15-ranked school.

>> No.10476993

>>10476593
You're a polisci/history grad with no debt and 20k saved up? Congrats your already better off than probably 95% of your peers. Not sure how law school works, but if it's like my friends in med school, I'd take your tests but delay your acceptances so you can take a gap year. your sanity will thank you and be become much more well rounded than most of the neets here. Assume 5k for your travels, maybe keep 5k extra in a semi liquid money market to gain some interest plus have it sort of available for the year. Then put most of the remaining 10k in index funds, plus maybe 1k to 2k into crypto or individual stocks based on your risk preference. Good luck anon.

>> No.10477006
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10477006

>>10476593
https://www.bogleheads.org/wiki/Getting_started
>>10476819
a few hundred for a full financial plan. but it's up to you to execute on it.
>>10476693
95% of this board are shills and trolls

>> No.10477010

>>10476783

i'd kill for 20k to invest at 20. i'm 29 soon and i didn't have that opportunity. look up how compound interest works. you'll want a financial advisor so you get yourself set for longterm instead of memes on /biz/

>> No.10477020

>>10477010
>>10476819

>> No.10477104

>>10476843
>>10477006

you are bunch of devilish suckers
> go to med school
> max IRA / whatever k*ke fund

He would kill himself in 10-15 years span
Do not go to med school if you value your life anon

>> No.10477225

>>10477104
Lol behave. Dentists make bank and work on average a 38.5 hour week

>> No.10477275

>>10477006
>This is extremely helpful thank you!

>>10477010
You're right! At least right now, it seems like I should get someone who knows these things well to help me out at first, and who better than a financial advisor.

>>10476993
I am taking a break for a month right now, relaxing on a beach. Been working a wageslave consultancy job the past year, but I did actually learn a lot from it.

>> No.10477371

>>10477225
We are talking general medicine now
There have been threads with anons from the fields elaborating
Pharmacist > Dentist > PA >>> MD (absolutely the worst)

>> No.10477476

>>10477104
In final year med school. Can confirm i already wanna kms.

>> No.10477524

>>10477476
I hate to say this to fellow anon.
The worst and the very definition of slavery (residency) is only ahead of you.
Would never do it again. And I regret every moment of it.

>> No.10477593

>>10477275
if you have the time I'd spend some of it getting comfortable with the stock market. and advisor will tell you where to put the money, but you still have to invest the money yourself.
at 20k the difference between strategies is negligible, just focus on making a plan and building saving habits
a robo-advisor or target date fund are probably some of the easier ways to get started without having to get your hands dirty with stuff like asset allocation

>> No.10477607

Be your own bank and put that 20k in gold and silver coins so the Jews can't confiscate your wealth through inflation.

Once the dollar implodes that 20k in gold will buy you a city block.

>> No.10477619

>>10477593
Don't listen to this asshole. The stock market has been going up for a decade because of criminally suppressed interest rates and all the cheap money monetary heroin these been injected into the system.

Stock market is the biggest bubble in human history right now. DO NOT put your money in the market.

Put 15k into gold and silver and put the last 5k into chainlink

>> No.10477631

Remember OP.... gold is real savings.

The dollar and all dollar denominated assets are going to implode in the mother of all deflationary collapses.

Go to a coin shop and transfer your wealth from worthless fiat to real money gold.

Now is the time for protecting wealth not investing.

>> No.10477674

>>10476693
Crypto is the future. So much effort is being poured into it. It is a wide and vastly diverse field. It's the future of a dispersed net protocol.

>> No.10477700

>>10477371
pharmacy is saturated as fuck bro, good luck getting a job. PA is alright but very competitive, better off just going med or dental. If you're in the US, I'd recommend med over dental just because dental is insanely costly. My friend was accepted into an elite 7 year BS/DMD program and was still looking at a potential 500k in loans, and yes, that's not a typo. In the end he opted for another elite school that offered him a full ride. The cost/benefit is better if you go for orthodontist though

>> No.10477724

>>10476693
>A little risky for an emergency fund, no?
It's complicated as fuck but if it's emergency money then yes it's probably too risky. If you want to drop it all in just one place then probably mutual funds.

>> No.10477960

>>10476593
>the best thing to do with this money
invest it

>Do I keep it in the bank?
Bad option since rates are waaay under real inflation level and you will lose value of your money even if you earn something nominally

>Are bonds an option?
Bad idea since bonds are being issued by countries and most of the western countries are getting more and more in debt, so it's huge risk

>I just wanna make sure they are there in case of a rainy day
it seems you don't want to invest them after all

>> No.10478010

>>10477371
>he ranked pharmacy as most desirable

Ask me how I know you have no idea what you're talking about. Unless your idea of "most desirable" is working 12 hour cuck shifts doing literal factory monkey tier repetitive tasks and being permalocked under 110K for your entire career. Independent ownership comes with its own challenges but has been a dying option for years as well. Solo guys just can't compete with big box stores. Add oversaturation and degree creep in to the mix and the deal keeps looking shittier.

Ideal moves in healthcare are CRNA/AA, MD in cushy specialty like derm or cosmetic surgery, dentistry, and possibly podiatry if you don't mind the low prestige of being a foot bitch for an ortho practice.

Fields to steer clear of include optometry, pharmacy, chiropractic (lmao), and family medicine/internal medicine as an MD.

>> No.10478121

>>10476593
Ignore the retards suggesting crypto. Yes it has the biggest upside but it also has the biggest downside. Extremely volatile. Your $20k could become $100k or it could go to $0 so you have to ask yourself "how much do I want to gamble with this money", because gambling is exactly what you'd be doing.

Personally I'd invest in a low-risk ETF that pays 6-8% annually and just reinvest the earnings. $20k would get you ~$1200-$1600 so for argument sake lets say 7% or $1400

year 1: 20k earns 1400
year 2: 21.4k earns 1498
year 3: 22.9k earns 1603
year 4: 24.5k earns 1715
year 5: 26.2k earns 1834
year 6: 28k earns 1960

on and on, and that's if you're just reinvesting the interest and not actually adding any other additional money. Ultimately you do this until you have say $400,000 saved up in 10-15 years and $400k would earn you $28k/year @ 7% that's about as much as a minimum wage job, and you'd earn it passively on the side.

>> No.10478192

>>10477700

Dentistry comes down to having the balls to go solo and picking a good area. The average salaries you see for dentists are associate salaries (meaning you're working for somebody else). And even those get to the $250K range depending on your area. At that pay, dental school starts to make more sense.

Solo practice, sky is the limit. My brother has only been at a few years in a partnership with another dentist, and he's been doing better than 450K for the last two years.

>> No.10478265

>>10478121

At his age he can be more aggressive and pick funds averaging 12+% over 5-10 year periods. Just make sure that they don't havea lot of overlap so that you get diversifaction benefits from picking multiple funds. If it were me I'd just pick a vanguard fund, make sure I'm maxing out my IRA contributions, and at age 45 or $1M, whichever comes later step down risk, then do another step down around 55.

>> No.10478409

>>10478265
I woudln't be so fast to suggest aggressive funds. even if they know how volatility works in theory, people who haven't invested through a recession are prone to panic selling when it's their money on the line.

>> No.10478423

>>10476593
>Headed to law school
Do not fucking do this. Unless you're going to some Ivy League school you will have no shot of getting an internship or job. There's a huge surplus pf unemployed, young lawyers right now but no one is talking about it

>> No.10478431

The lawyers oath is an oath to sell your soul

Just to learn that all last is contract and that there's no real money in circulation

Can't wait till you finish law school.

>> No.10478439

>>10478265
>wagecucking to 55

ishygddt

>> No.10478444

>>10478431
That all law*

You won't believe me though

>T. Attractive guy in rural NC who's been asked by a judge to go to HIS chambers to resolve a traffic ticket debt

>> No.10478463

>>10476593
Buy a lot of Chainlink, unironically.

>> No.10478500

Law is the masterful use of language.

Whenever you get a lawyer you become a ward off the State. The State looks at you like an incompetent, an imbecil. Its stuff every person should know, but they're too stupid and lazy to study Law in their spare time. As if governing yourself and being in control of your property isn't important

>> No.10478509

>>10478409

Being able to understand that the big picture is what matters is a fundamental aspect of investing. I get that seeing a bad year where 30% of your nest egg evaporate will trigger your serious shit senses, but if you want to maximize growth you've got to think with data instead of fear. The fact is that if you look at basically any of the popular growth funds, you arent going to find one where you won't grow your money long term.

>> No.10478523

>>10476705
This is how you stay poor

>> No.10478525

>>10478439

>wagecucking at all instead of starting your own business and creating passive revenue streams on the side to fund your investment accounts.

Never going to make it.

>> No.10478685

>>10478500
Lol no. Law is reading through shitloads of caselaw to find arguments that have already happened that support your case and stretching out as many billable hours (read as: jewing your clients) as possible. And most of the shit you'll be drafting isn't at all masterful. It's boilerplate shit.

Also, all that other glamorous shit you think you'll be doing like courting big money clients or representing huge corporations in court? Yeah, you arent going to be doing that. Even if you're at some bigboi firm, the shekel lord partners aren't going to put some associate anywhere near their money faucets. Instead, you get to do 80 hours + a week of bitchwork for years until the partners tell you that you arent on a partnership track and should consider a lateral move.

The TV lawyer making passionate, jury persuading arguments is a meme that doesn't reflect reality for 99.9% of practicing attorneys. Most cases are never litigated, and the ones that are tend to be very dry affairs.

>> No.10478753

>>10478685
Hey look, I know everything

Go to law school and come back to me.

>> No.10478785

All law is contract you faggots. Read the Constitution in the proper syntax of English.

>> No.10478843

>>10478509
there's a gap between what's mathematically ideal and how some random person on the internet is likely to act in the real world. a sense of the big picture is something people obtain through study and experience and not something you automatically expect someone has.

>> No.10478898

>>10478753

No need to come back to you. I've been to law school and worked as a lawyer. In fact, I come from a long line of lawyers. You know what I do now? Rent apartments and buy foreclosures because being a lawyer fucking sucks.

Forget law school, you clearly haven't even bothered shadowing a lawyer and have zero concept of what a lawyer's average workday is like.

>> No.10478908

what the fuck is everyone's problem? Put 10k in a Barclays savings bank with 1.8% APY and the rest in VTSAX

>> No.10478988

>>10478898
FYI: When I did work as an attorney, I spent my time doing endless plea bargains (most criminal cases never go to trial) and wills. I made about $65K a year doing it.

>> No.10480009

>>10478988
Post BAR card

Attorneys aren't lawyers you aren't fooling me.

Its only biz though and I don't feel like continuing on. I've given legal counsel in the past and have asked for remedy, cure and maintenance, and proclaimed that nothing stands before me and God in court.

How does it feel? Why bother buying foreclosures when you can do a novation

>> No.10480259

>>10476693
As a former biglaw associate I can absolutely assure you you will be a slave. A fucking slave. You better LOVE doing the most mundane legal tasks because this is literally the only skill you will develop as an attorney.

It is the most soul sucking career in the fucking world and I literally cannot comprehend why attornies get paid as well as they do.

Protip, this means that the legal profession is in for a technological disruption HARD AND SOON

Probably within 5 years of your graduation.

If you want to know, I went in house to an interesting research institute. The only part of my job I enjoy is when I get to take off my lawyer hat. I get paid somewhere near biglaw still, and I don't want to commit suicide everyday.

That's the closest thing to job satisfaction you'll ever get as an attorney.