User Panel
User Panel
User Panel
ND, USA
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Posted: 1/13/2024 9:35:41 PM EDT
Out of fear of the dollar going to absolute am garbage and the stock market following, how would I go a out pulling out of my 401K, taking the percentage that I would normally invest per paycheck, and invest it in precious metals?
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AZ, USA
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Posted: 1/13/2024 9:40:56 PM EDT
[#1]
No. It will cost you your normal income tax rate plus a 10% penalty. Invest in good stocks or stock based mutual funds and ride it out.
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Posted: 1/13/2024 9:41:48 PM EDT
[#2]
Dont bet against the USA, the very rich and powerful will not let the USA go down, because they will go down with it.
Stay the course ! |
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Posted: 1/13/2024 9:41:59 PM EDT
[Last Edit: juslearnin]
[#3]
I will be one of the first to say don’t even think about it. You will lose 10% plus whatever your tax percentage is right off the top. That is likely 34% loss of value of your investment in one day.
If you really think hyperinflation is coming, stocks are not really a bad place to be. They typically rise as the currency is devalued, although likely won’t keep up. |
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SC, USA
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Posted: 1/13/2024 9:43:22 PM EDT
[#4]
FPNI
If the market would drop, it’s the best time to buy. Investing is for the long term, not day to day. Time in the market always beats timing the market. |
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MO, USA
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Posted: 1/13/2024 9:51:20 PM EDT
[#5]
You will regret it. I'm old enough to remember people selling everything because y2k would be the end.
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ND, USA
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Posted: 1/13/2024 9:52:41 PM EDT
[#6]
All points noted.
Could I stop contributing but leave the balance in my 401k? |
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Posted: 1/13/2024 9:56:37 PM EDT
[#7]
Yes, you can stop contributing.
Does your employer do a match and if so, how much? |
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AZ, USA
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Posted: 1/13/2024 9:56:57 PM EDT
[#8]
Quote HistoryOriginally Posted By mudgunner91: All points noted. Could I stop contributing but leave the balance in my 401k? You could but you will lose any possibility of growth. Going to gold is a hold position, not a growth position. |
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Posted: 1/13/2024 10:04:25 PM EDT
[#9]
You should have an option on what you're invested in. One example mine has is expected retirement date. It manages the risk for you. If you're retiring in 2055 it's heavier in stocks. If you're retiring in 2025 it should be in some lower risk things.
Move it to less risk. If your employer matches, invest whatever it takes to get the full match. You aren't beating 100% increase on your investment on the same day anywhere but there. |
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MO, USA
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Posted: 1/13/2024 10:05:54 PM EDT
[Last Edit: Bladeswitcher]
[#10]
Originally Posted By mudgunner91: Out of fear of the dollar going to absolute am garbage and the stock market following, how would I go a out pulling out of my 401K, taking the percentage that I would normally invest per paycheck, and invest it in precious metals? You're kidding, right? |
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ND, USA
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Posted: 1/13/2024 10:06:10 PM EDT
[#11]
Company does not match.
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ND, USA
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Posted: 1/13/2024 10:06:44 PM EDT
[#12]
Quote HistoryOriginally Posted By Bladeswitcher: You're kidding, right? No, I'm not. |
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MO, USA
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Posted: 1/13/2024 10:09:32 PM EDT
[Last Edit: Bladeswitcher]
[#13]
Quote HistoryOriginally Posted By mudgunner91: No, I'm not. Wow. No, really. You're pulling our leg, right? ETA: Well, when you buy your gold, make sure you get it from those companies that advertise on Fox News and Youtube. |
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Posted: 1/13/2024 10:14:26 PM EDT
[Last Edit: juslearnin]
[#14]
If your company does not match, I would open a Roth IRA and contribute post tax to this. You can invest it anyway you want. I’m sure there’s an ETF for gold or silver that you could choose. However, as stated, above, precious metals are not an investment, they’re a hedge.
I have lots of physical silver that I’ve been sitting on for greater than 10 years. Do you know how much money it’s made me? Zero. It’s worth about what I initially paid for it. I have actually lost value because the value of the dollar has gone down but the value of silver has not gone up correspondingly. That’s OK for me because it’s a very small part of my portfolio. If it’s all of your portfolio, then you’ll end up with no retirement. Whatever money you put in precious metals needs to be money that you don’t need for retirement. Let’s say you bought $100,000 worth of silver 10 years ago. Today it would be worth $105,000 dollars. |
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Posted: 1/13/2024 10:18:46 PM EDT
[#15]
Originally Posted By mudgunner91: Out of fear of the dollar going to absolute am garbage and the stock market following, how would I go a out pulling out of my 401K, taking the percentage that I would normally invest per paycheck, and invest it in precious metals? I would check into some professional help. And not just financial. Living in fear is irrational. It does not help make good financial decisions. |
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ND, USA
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Posted: 1/13/2024 10:24:44 PM EDT
[#16]
Quote HistoryOriginally Posted By Bladeswitcher: Wow. No, really. You're pulling our leg, right? ETA: Well, when you buy your gold, make sure you get it from those companies that advertise on Fox News and Youtube. Save time and go be pretentious somewhere else. |
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ND, USA
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Posted: 1/13/2024 10:26:53 PM EDT
[Last Edit: mudgunner91]
[#17]
I should have stated in the OP, I have another investment company I make contributions to besides my 401k.
Wasn't sure of what the term for what I want to do is but apparently it is "Hedge". |
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Posted: 1/13/2024 10:34:14 PM EDT
[#18]
Nothing wrong with adding precious metals to a portfolio because you believe it is some sort of hedge. People advised to do this in 2020, 2009, 2000, 1991, 1987, 1982, etc.
Of course, it never really worked out for any of those times. Investing in the market always brought higher returns long term. But if you believe "this time will be different" as they did in all those other times posted above.... buy some gold. But don't take a 10% penalty plus taxes to do it, while wrecking your actual chance at a real retirement someday. |
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Posted: 1/13/2024 10:41:26 PM EDT
[#19]
If you really think this will happen, crypto is your best bet.
When you are a gazilloinaire you will think back to this thread and say “some anonymous stranger on ARFCOM told me to do this.” You don’t want to say “I wish I had listened.” |
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ND, USA
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Posted: 1/13/2024 10:50:07 PM EDT
[#20]
It's a matter of holding what is real and not what may be.
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Posted: 1/13/2024 10:59:43 PM EDT
[#21]
Quote HistoryOriginally Posted By mudgunner91: It's a matter of holding what is real and not what may be. |
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AZ, USA
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Posted: 1/13/2024 11:12:38 PM EDT
[#22]
Quote HistoryOriginally Posted By KILLERB6: If things get that bad, nothing but guns and ammo will be “real”. I was going to say something similar. The US basically collapses and he wants a pile of gold. He won’t have anything to spend it on and will probably be shot for it by some looter. A minor cold shut down the US and stores ran out of everything but the economy is going to collapse and he thinks gold will be great. Water, food, ammo, toilet paper…..but really, just stick with the 401k |
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Posted: 1/14/2024 12:31:06 AM EDT
[Last Edit: Felsen]
[#23]
I heard a Tom Woods podcast a while ago about how we conservatives / libertarians are predisposed to be pessimistic / doomsday and end up fucking ourselves by being too cautious and conservative financially. I learned this lesson firsthand by going to cash when Obummer got elected and missed out on market gains for two years before I pulled my head out of my ass.
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Posted: 1/14/2024 1:14:00 AM EDT
[#24]
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USA
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Posted: 1/14/2024 1:25:06 AM EDT
[#25]
Originally Posted By mudgunner91: Out of fear of the dollar going to absolute am garbage and the stock market following, how would I go a out pulling out of my 401K, taking the percentage that I would normally invest per paycheck, and invest it in precious metals? Alright, listen up: When the dollar loses value, the Stock market goes up, because it’s priced in current value dollars. The Market will fluctuate, but it’s your best bet for keeping your present wealth, as the dollar goes to “absolute garbage”. If you feel you absolutely must buy PM’s do it with current earnings. Providentmetals is good. |
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USA
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Posted: 1/14/2024 1:29:27 AM EDT
[#26]
Quote HistoryOriginally Posted By KILLERB6: If things get that bad, nothing but guns and ammo will be “real”. Quote HistoryOriginally Posted By KILLERB6: Originally Posted By mudgunner91: It's a matter of holding what is real and not what may be. Historically speaking, that is flat out wrong. Gold/Silver have Always held value. As you can see, I agree that he should keep the 401k. OP, get some rental property, if you want “tangible”. |
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Posted: 1/14/2024 10:19:46 AM EDT
[Last Edit: bgenlvtex]
[#27]
I'm just going to say that I don't remember how many times the world was going to end and financial markets were going to crash while building my portfolio,but it was many.
Ride it out, ignore it, look the other way,check back in 5 years. Yes you can quit your employer 401k and either leave it there provided it meets minimum value requirements, or if I doesn't you can roll it into a self directed IRA (including PM's) provided it is a recognized fund. Yes you can do it, no you shouldn't it is ill advised. |
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Posted: 1/14/2024 12:12:18 PM EDT
[#28]
Quote HistoryOriginally Posted By BillofRights: Historically speaking, that is flat out wrong. Gold/Silver have Always held value. As you can see, I agree that he should keep the 401k. OP, get some rental property, if you want “tangible”. During a normal investment horizon game old’s price rarely tracks “inflation” (CPI) and has only equaled or beat inflation for very brief periods, namely the 70s. Since its price fluctuates more than inflation, it is a poor hedge against inflation as what it is going to do this time is unknown. Gold Since then…not so much. Examples: in the 80s inflation averaged 6.5% and gold prices fell 10% on average each year and also underperformed every other asset class. Basically, the only reason gold might do well versus inflation is because people believe it will and therefore drive demand (and price) up during periods of perceived inflation; there is no intrinsic link between inflation and gold prices. Additionally, storing and transacting with physical gold in useful amounts is challenging to say the least. That’s why I (seriously) suggested crypto if you’re going to gamble: it’s the new gold. |
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Posted: 1/14/2024 12:14:50 PM EDT
[#29]
Quote HistoryOriginally Posted By cb69: You will regret it. I'm old enough to remember people selling everything because y2k would be the end. |
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Posted: 1/14/2024 12:21:37 PM EDT
[#30]
Quote HistoryOriginally Posted By KILLERB6: That’s why I (seriously) suggested crypto if you’re going to gamble: it’s the new gold. Do you think ultimately crypto will have an impact on the price of Gold? |
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Posted: 1/14/2024 6:12:03 PM EDT
[#31]
Quote HistoryOriginally Posted By FALARAK: Do you think ultimately crypto will have an impact on the price of Gold? Gold is (erroneously) seen as a store of wealth; so is crypto, especially by younger people. Not to incite the usual gen warfare that seemingly every thread decays into, but as silent, greatest and boomers die off, the demand for gold will probably wane accordingly since they are predominantly the ones who believe in it. Crypto is the new (millenial) gold. 
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Posted: 1/14/2024 8:01:26 PM EDT
[#32]
Think about shifting your 401K holdings to something conservative, with a high bond fund mix. Just get out of the bond funds if interest rates start creeping up. If stocks go to hell with interest rates drooping, there will be money in Bonds
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GA, USA
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Posted: 1/14/2024 8:31:15 PM EDT
[Last Edit: giantpune]
[#33]
Yep, spend some time looking at what investment options are inside your 401K.
There are some with mutual funds that invest in foreign and global companies. There are also the less risky options like bonds and CDs. Drag the slider all the way over from "risky" to "sissy"  It may be that you do not have many options. My mom's company 401k and 403b were like that. I had her roll them over to an IRA at a different investment firm with more better options. You dont take any of the aforementioned penalties with a rollover to another tax advantage account. |
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Posted: 1/14/2024 11:59:33 PM EDT
[#34]
huge mistake.
choose better funds or transfer into another brokerage if you can. I know some company 401K's are stuck. what are your options. |
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Posted: 1/15/2024 12:00:16 AM EDT
[#35]
Quote HistoryOriginally Posted By giantpune: Yep, spend some time looking at what investment options are inside your 401K. There are some with mutual funds that invest in foreign and global companies. There are also the less risky options like bonds and CDs. Drag the slider all the way over from "risky" to "sissy" It may be that you do not have many options. My mom's company 401k and 403b were like that. I had her roll them over to an IRA at a different investment firm with more better options. You dont take any of the aforementioned penalties with a rollover to another tax advantage account. listen to this man. its all about options. |
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Posted: 1/15/2024 12:09:54 PM EDT
[#36]
You should be able to pull out of your stock investments (mutual funds) within your 401k and put them in a cash account (also w/in 401k), without pulling them out of the 401k and incurring fees and taxes.
ANd if your company isn't matching, I'd be maxing out an external IRA first before I put money in a non matched 401k. |
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HI, USA
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Posted: 1/16/2024 4:22:49 AM EDT
[#37]
Quote HistoryOriginally Posted By KILLERB6: I think it already has. At least some of the $1.7T currently in crypto would be in gold if crypto didn’t exist. Gold is (erroneously) seen as a store of wealth; so is crypto, especially by younger people. Not to incite the usual gen warfare that seemingly every thread decays into, but as silent, greatest and boomers die off, the demand for gold will probably wane accordingly since they are predominantly the ones who believe in it. Crypto is the new (millenial) gold. https://www.ar15.com/media/mediaFiles/18716/IMG_9706-2789132.jpg Gold and silver have been valued by cultures across the world for thousands of years. A number of those cultures still exist today, are far larger than the US and still very much value gold and to a lesser extent silver. A trackable sequence of 0s and 1s, not so much. Both metals have industrial uses as well, but you're probably ignorant about that too. Not saying I'm bullish and that people should buy precious metals to protect against inflation, but it's hard to ignore the poor arguments from crypto bros. It seems entire generations derive all of their "knowledge" from fellow travelers on tik tok and Reddit, which helps to explain the cultish vibes surrounding this latest fad of digital beanie babies. |
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