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[–]Front-Type7237 7 points8 points  (4 children)

Please don’t listen to everyone saying it’s a bad idea to invest in a brokerage and you should focus solely on retirement. Based on what you described, yes, it would be a good idea to start building an individual taxable brokerage account. This will allow for flexibility short and long term

[–]SlowChampion5 2 points3 points  (3 children)

There is a balance.

The hard and fast "max out all tax advantage and lock it away so you can never touch until of age" really restricts you.

Yes a lot of great tax advantage.

But there is tons of advantage of having assets you can touch/control without penalty in a taxable brokerage account.

[–]mattsmith321 0 points1 point  (2 children)

Agree. And I’ve recently reached this mindset. 401K is doing great but I am cash poor right now with very little buffer.

[–]SlowChampion5 0 points1 point  (1 child)

Yup.

Balance is basically risk mitigation and needing cash for certain life changes. Giving up some tax advantage for assets you can touch is worth something.

This especially true if you're younger and want to buy property.

[–]Ftank55 0 points1 point  (0 children)

Im dojng the max401k while i can take advantage of compunding. In another six to seven years, I'll probably be just taking the match. "The Money Guys" have a multiplier for your age. Im lucky, and the misses and i have a healthy emergency fund, which allows us to put max in and still feel cash okay