Thread regarding AT&T layoffs

Yeah I get financial advisors from other states trying to connect to me on linked in probably because they see I worked for att and know I got a pension and think I need somebody to tell me what to do with it.

OP, It sounds like you are on the right track and know what you are doing in terms of handling it yourself.

Yes, the Boglehead strategy is a boring yet effective method. You don’t have to rebalance often. Set up a timeframe or criteria that you are comfortable with (once an year, once a quarter, when your bands get out of whack/vary from your desired asset allocation by more than 5%...whatever makes you feel the most secure). And yes, the key is not panicking in a down market if you are investing for the long term.
My rule of thumb is not to have any $ in stock funds that I will be needing in the next 7-10 years.

You said you have your 10% in fun money. That is fine and can keep things interesting for you if you are interested in trading. You are aware of the risk. (I assume you also have an emergency fund and little to no debt.)

Trust in yourself and stay disciplined and calm, as you stated, and you will be just fine.

And for young people who are reading this and just starting out in your careers: Start saving early and save often. Take advantage of the 401k match and tax free savings options such as the Roth IRA. Direct deposit a % of your income into savings and put it on autopilot. When you get raises, increase your savings. You will not regret it, and then if AT&T, or any other company, decides to lay you off, you won’t care because you will already be in great financial shape. Slow and steady wins the race.

Best of luck to all.

"Bogle and Vanguard are ridiculously simple, almost disappointingly so. One-three funds, invest over time, and.....that's it. "

@1dsz+19VrtjwU here again.

It CAN be that simple. Many big endowments invest simply. I think the Yale endowment portfolio, run by none other than Robert Shiller, used 4-5 funds.

Individual stocks can be great, but there's a lot of work to keep up. At least trading fees have fallen, but you still have to follow a lot of info, and there is some you'll never be able to get.

Google "Lazy Portfolios" and check out the long term returns.

There's a lot of noise about what what's hot or coming. As an investor (NOT trader, know the difference) since 1986, turn it off...

OP here again. I managed to mangle one part earlier: I meant to say "For most people, a total market fund and a bond fund for the majority of their investments will produce satisfying results over time. Keep the time in, and the emotion out—e.g. don't act on your gut if you have a big correction or crazy buying in one day.

Good point up there about advisor keeping the investor on track. ON my own, I have to be both disciplined and calm: disciplined to keep everything in line, and calm to stave off panicky moves when the markets get emotional. I've been slow to rebalance, when a good advisor would be doing that on schedule. On the other hand, if you pare down the strategy to the "Buffet/Bogle" model of broad market holdings, there isn't much to a re-balance except long term (3-5 year) stock/fixed income ratio adjustments.

Bogle and Vanguard are ridiculously simple, almost disappointingly so. One-three funds, invest over time, and.....that's it. I have my "c-sino money" (about 10%) where I invest more exotic ETF or funds in precious metals, water resources, etc. and few plays for actual stock (as Frankenstein might say, "Netflix good. Fitbit bad.") Windfall/loss in that arena can be fun/disappointing, but the bulk of it is in plain old boring broad market funds.

I probably will attend one of the online seminars knowing full well that (a)

I've had excellent experiences with Edelmann Financial, as well as Financial Engines before they teamed up. I've always self-managed my retirement funds with touch bases with advisors over the years.

I'm dealing with a true fiduciary where I pay for his time. There is zero sales pressure or push to move money to different providers. My actual investments are all held at Vanguard and Fidelity.

Ric Edelmann has been on the public radio and TV for decades, and is now also a podcast, and his books are easily found on Amazon. His basic premise is there is no magic, there's no secret, and slow, steady, and low fees win the race. Before Ric, I read Bogle's stuff and listened to a guy named Bob Brinker on weekend radio.

Dave Ramsey has good advice about avoiding consumer debt and controlling spending habits, but his advice beyond that can cost you an awful lot of time-based returns.

One of the main jobs of an advisor is to keep you focused. Since 1986, the radio guys and occasional touch-ups with a local person have kept me on track, especially during difficult times. For example, as was properly allocated towards my goals, I sat tight and did nothing after Black Monday '87, the doldrums of the early 90's, y2k, 9/11, 2007-8 (and enjoyed quadrupling my balance over the next 10-11 years!), as well as last March... In the long run, those are the times where the money is made.

They all seem to insist I put more and more money into bonds so I end up as a slave having to save more and more

I agree that, if you have a little time and the desire to learn, you can manage you own successfully.

A lot (dare I say most) “financial advisors” are salespeople that want to sell you a whole (universal) life policy and/or an annuity for large commissions in their pocket.

You can do it on your own by having your accounts with a discount brokerage company such as Fidelity and/or Vangaurd. Both have very user friendly websites, low fees, and helpful customer service.

I agree with the recommendation to check out John Bogle. His book “The Boglehead Guide to Investing” is great and lays out a very uncomplicated investing strategy.

Also take time to listen to podcasts. Suze Orman has one and so does Dave Ramsey. While I don’t agree with all of their advice, you can definitely pick up on some things here and there from their shows. Suze has also written a recent book about retirement. (Haven’t read it yet, but have read most of her other books, and they are pretty good: easy read and easy to follow advice.) David Bach is also a good author.

Feel free to ask if you have any questions. I have done things on my own (mainly following the ”Boglehead” approach), and it has served me well. While I’m about 3 years from wanting to retire, if AT&T drops me before then, I don’t have to worry.

Best of luck!

@fpa

I am a big proponent of Dave Ramsey's teachings and have enjoyed his podcast for years now. He teaches what our grandparents knew, but somehow was lost over the last couple generations. Eliminate and avoid all consumer debt and live on less than what you make. Save 15% toward retirement. Have a rainy day or emergency fund of 3-6 months of expenses readily available. Strive to have your home paid off as you approach retirement. All good stuff. Though I don't agree with him that you should be striving for an "indeterminable" credit score, as you should never borrow a penny ever again. I think a great credit score can make life easier, and I believe he exaggerates the ease with which one can get through life without one, or without even one credit card. Perhaps it's easier when one has the income that he does. I also don't care for his ELP service, these are people that are simply paying for his endorsement/ advertisement to gain access to his vast audience...and I know he speaks to how thoroughly vetted they all are, but I have read and heard about too many cases where that does not seem to be the case. I also once made the mistake of trying to get term life insurance quotes through Zander (another Ramsey sponsor) and that was a bad experience where I was harassed (email and phone calls) to the point where I was disgusted. I used Selectquote instead (same service, provided multiple free quotes without all of the harassment).

Suggest researching fee-based financial advisors. They are not inexpensive but offer responsible recommendations...using fiduciary responsibility. Their fees usually include tax strategies, tax filing, etc. They are not paid on a commission base. Again, their fees are higher than the guys offering you a free dinner and ‘financial seminar’ at Ruth Chris. It’s your money and you get what you pay for... Whatever you decide, research and interview at least three and get a set of questions to ask each of them. You can find good questions to ask FA by googling ... just that. Good luck!

They vary in their approaches (marketing and operations), but all are out to s— your blood.

If you're the type who could benefit from a parasite attaching to your corporeal being , feel free to invite them to do so. They'll be glad you did.

Check out Heritage Wealth Planning on YouTube. Josh Scandlen is very helpful and offers an online self pace course for those that want to go it alone. He also offers software access for tracking where you are at. Another option is Ramsey solutions ELP providers,, they will give you a list of three in your area.. I am interviewing a couple and seeing what each have to offer in guidance.

I am in the same boat as you, age and tenure wise, still hanging on. We receive those targeted solicitations as these companies are aware of what's going on at AT&T (they're usually referencing the cutting of benefits and/ or layoffs) as it is public knowledge. They target you based on your Facebook and LinkedIn profiles. Join one of the AT&T retiree groups on Facebook. You will quickly see how downright lost so many folks are with regard to personal finance. It is plain scary. All of that said, I took it upon myself to educate myself on personal finance and retirement saving. The only outside "help" I have enlisted thus far was via Edeleman Financial Engines as they were offering 6 months free, no obligation, and I had long been on the fence about signing up. I was pleased when after I had entered my info and risk tolerance (high for my age) and had my initial meeting with them, very few adjustments to my portfolio were made and I was told I have been doing a great job and am more than on track to a nice income in retirement. The peace of mind is worth their small fee to me. I can see down the road where tax/ estate planning advice will be important (once I am of retirement age and starting to be able to access those funds).

: @oum+19VrtjwU OP here, thanks for those tips.

I have relatives who swear by their advisors, and I did use one who made solid choices, usually, but at a cost, always. I pulled out a couple years later when the annual fee exceeded the returns. Neither wants to worry about their investments. That's not me—I was often at loggerheads with mine over investments, especially "advisor grade" funds with much larger expense ratios. I've done better managing my own investments.

A total market fund and a bond fund for the majority of their investments. That strategy is personified by Warren Buffet and the late John Bogle. Buffet is a pricey choice for common folk but Bogle lives on in affordable pieces through the Vanguard fund family.

I'm just looking to avoid tax pitfalls and pension errors (though It increasingly appears that lump-sum is the only way to go). I have the investments where I want them and they're working. I'm mostly looking to avoid taking a company offer that is sub-standard (what, AT&T would do that?) or electing to make a change-in-life benefits decision at the wrong time (specific retirement dates/years should I have the choice voluntarily), or signing up the wrong options on my last day.

Be careful.
Be very careful as no one cares more about your money that YOU. Period.
Listening to companies, friends and family are OK. But I'd recommend you manage your money.
Talk to a Fidelity Advisor. I got a call from Ameritrade wanting to manage my money and they recommended someone who wanted to buy 5h1T stocks, trade them a lot and charge a big fee.
No Way!
3 examples.

1. There is a advisor in S.A. Let's call him... Mark and one of my friends went with him. That jerk could sell the Arabs sand. Sounded good, didn't know ch1T. He talked my buddy into keeping SBC stock and live off the dividends -(he also paid a huge commission). Stock went from $59 to current $30. His excuse for losing 100's of thousands was That's market forces.
2. There was a District Level in S.A. that moved to DLLS. Let's call him say....Ron who wanted to get into the finance bs. The guy was a cr@ppy District, dumb, greedy, abusive, awful. He took some on line courses and gave free seminars, always telling everyone how religious he was. He's known to have lost retirees real personal lifetime savings. His excuse for losing millions, God's will.
3. I know someone who won the lottery. She went with a company that advertises on Fox a lot. They do better because..... Yeah. Right. Not. I saw her 100 page investment portfolio after she claimed she continues losing 100's of thousands of dollars. They are buying foreign bonds, companies that I've never heard of and to me looks like JUNK PURCHASES of things they want to get rid of.

Talk to a lot of people. Read Investors Bs daily. Buy stocks that have a product, trades in millions of shares, makes money, have earnings, growth, dividends. Do your on research. Go to the library and read Value Line. If individual investing isn't your thing, then stick to Vanguard Funds. Pay close
attention to fees.
Respond here if I can help. Good Luck. BE CAREFUL