Do I have time on my side?

Dec. 23, 2018

Introduction

It was the first personal finance in Nov. 2017. I had chance to review all my 401K and IRA distributions, and then I had chance to review my performance. It was so surprising that I did not take 19 years on my side very well.

It is time for me to write a case study

I have a few excuses to explain to myself I did not spend time to learn and I did not know how to evaluate myself honestly.

The reason I chose the topic since I watched the video Suze Orman at Google 10:00 - 17:00/57, she talked about 401 K and how to have time on your side.

I like to contribute the community how I do, what possible issues I have. What lessons I learn?

Facts to review

I worked Par Siva over a year from 2006 to 2007, I put salary $8000 into my 401 K, employer matched 10%. Total value is $8800, in 2008 the value lost 30%. I sell all funds I purchased, I chose all funds in the plan originally. And I chose the money market fund. The employer took away matching dollars. Now it is 2018, the value is $6100. I did not make any change at all, I should move to index fund once I move to Canada in 2010.

I need to push myself do research on stock, funds and get basic ideas how to invest. Another idea is not to be panic, let it be. Now I must have over $10,000 us dollar at least.

Here is my transaction in my personal finance github.

In January 2009, I noticed that my Canada skilled worker immigration application was denied. In order for me to focus on my immigration, I decided to sell all the funds in par siva 401 K, and purchased money market fund since 2009. Now it will never come back my original investment, after over 10 years, it is still $6100 dollars.

If I sell them and pay 10% penalty in 2009 since I had zero income, I can purchase a one bedroom condo in the city of Yichun. Now the value can go up to 4 or 5 times.

Actionable Items

Dec. 27, 2018, 10:50 AM

One of ideas is to purchase index fund like low cost vanguard index in 2010.

Another idea is to stay in the market, do not sell in 2008; wait it come back until 2018, and then sell some index fund.

Most of important is to catch up learning in theory, watch some youtube.com video; I need to learn something from the economist, Google talk, and understand the basics of personal finance.