Let’s hear em. Time with company and balance. I just hit a million, little over 16 years. I missed the pre 2008 pensions so I know I’m missing out on a lot but still pleased.
26 replies (most recent on top)
- 5mm in 15 years
For the last 4 years? Sure, who hasn't. 2022 was a real blast. That canceled out one good year so you get 2 years returns for the cost of 4.
Sorry, guys. Play with the numbers all you want, if you aren't pre-2008, you won't even come close to all us 2020 retirees. Don't forget that we've also been reaping the benefits of the stock market rise the last 4 years.
About 10 yrs in
401k: $560k
Brokerage: $185k
Pension is meager $264k
Dang, I checked years ago with Vanguard on the Mega Backdoor Roth and they said it wasn't part of the plan. Should have checked with Fidelity when it switched...
Kudos to those of you who've been doing it!
And if you put it all in GOOG, your 20 year CAGR would be 21% giving you around $17.5 million today.
That is correct on the backdoor, baby. Those of us doing it for a while have done quite well. Market has returned about 10% CAGR since 2008. If you have done this for ten years at 10% return, you have $1.265 million today. 20 years at 7% would give you $3.2 million.
$200mm. Almost finished paying off the second fleet of jets. Only have 5 homes.
@1byb, you’re forgetting, as others have mentioned, the mega backdoor Roth. The most one can contribute on a before-tax and/or Roth option in their 401k is $23,000. The maximum of both personal contributions and the company match is $69,000. Let’s assume an employee is making $150,000/year and contribute $23,000 pre-tax. The 8% match from the company would be $12,000. $23,000 plus $12,000 is $35,000. $35,000 subtracted from the max of $69,000 is $34,000. One can therefore make $34,000 in after-tax contributions into their 401k in this scenario in 2024. If they are eligible for catch-up contributions, then add $7,500 overall.
The real trick is to open a traditional and Roth IRA with Fidelity, where the 401k is held. After each payday, when the after-tax 401k funds have settled. Call Fidelity and ask them to transfer the after-tax contributions to your Roth IRA. This does not count towards maximum IRA contributions as it is a rollover. Ensure your after-tax 401k contributions go into a money market fund so they will have no gains, which would require paying taxes on said gains during the rollover. Once the funds are in your Roth IRA, invest as you wish, and they grow tax-free. They would not grow tax-free should they stay in the after-tax portion of your 401k.
Now, in your traditional IRA, deposit $7,000, which is the max for 2024, unless you’re 50 or older, then toss in $8,000. Again, it needs to stay in a money market so it will not grow before the conversion. This will be considered an after-tax deposit since you are otherwise ineligible for the deduction due to having a retirement plan through work. Once the money has settled, simply log into your Fidelity account, move the money over to your Roth, and invest as you wish. Since the money did not grow in the traditional IRA, there will be no taxes owed. As with the 401k, if the money stayed in the traditional IRA and grew over time, taxes would be owed on the growth, but not the case with the Roth. This traditional IRA to Roth IRA is the backdoor Roth.
In conclusion, if someone is employed at Chevron, under 50, they can sock away $76,000 per year into their combined 401k & IRA accounts. If they’re over 50, then this total climbs to $84,500.
$342 million. Gambled on some tech stocks and got lucky a LOT. I just come to work for the free trail mix and cheese.
@1wsz- you need the refresher if you are paying high tax-bracket rates. you don't know who you are addressing or what their rate is.
$261.73, 100% CVX
@1gb. You need a refresher on the available options. You can make roth contributions and yes, if you did, the $1MM is tax free (or taxes on the base were paid already)
Remember that is pre-tax money. Before you can get your hands on it you have to pay the IRS. So if you have $1 million in your 401K, you really don't have a million $'s.
$1.9 after 27 years, 14 with another employer, 13 with Chevron (missed out on the good pension)
You can save $69000 per year with mega back door Roth.
https://www.fidelity.com/learning-center/personal-finance/mega-backdoor-roth
Tbh I just allocate all 401k to sp500 index fund because the pension cannot gain market exposure. And given the market bo-m in the past decade a million is not that farfetched even with just $23k per year and 8% match.
Congratulations to all who have been squirreling it away, particularly if you started young.
My 401(k) is about $1.7MM with CVX after 26 years (started at the bottom or close to bottom of PSGs; different numbering system back then so don’t know what it would correspond to today).
I wish I had been more knowledgeable about how to invest at a younger age.
I also wish I could have consistently gone full throttle on my contribution %, but cost of caregiving for parents stifled that.
If you are young, save the max. It absolutely will pay off for you.
On average if you had maxed out your 401k, for the past 10 years, your contribution is about 215k [every year it goes up by around 500$ and past year the max allowed contribution was $23,500], with company match and say 10% growth on a yearly basis you cannot go beyond 700k just from basics, now if you contributed extra (post tax) there is a possibility, people tend to exaggerate without thinking it through.
You can invest your 401k about any way you like. If you invested it in the right funds/stocks it can be huge. The stock market has been on a tear since 2009 or so and tech stocks are wild.
If you chose poorly, it can be pretty small. Just like anything else.
@1byb, you couldn't possibly being implying that folks posting anonymously on the layoff site are stretching the truth a bit and not being honest when asked about how much money they have would you?
Enough of the political bickering…it’s annoying.
Some of the posted balances don’t add up. The OP asked about 401k. You can only put $23,000 in a year (2024) + an extra 7500 if you’re over 50 + your 8% match. Not seeing how you can hit $2 mil in 10 years based on market returns.
- 5 -13y with CVX, 1. 0 -12y with XOM. CVX has been way better.
My 401k has 578k and I am a 14 year employee, I thought I was doing pretty well. I am also paying a house and car note and living my life as I like. No regrets, and Enjoy my job for the most part. cheers!
$2.4 mm at 10 years including 2 at previous employer
@jah+1uZgd7W2 Nice! Is that just from your 12 years here, or from prior employment?
@Op - Great job to you too!
- 6 M. 12 year employee.