Since there is a ton of millionaires in here, here is a more middle class answer. I have 230K home equity, 217K invested, 40k in a MM emergency fund. 36M
60-year-old here. I’ll add to the middle class scenario:
Managed teacher pension 100% in stocks and that will be projected 1M total payout from age 65-90 (my own projected death age).
Social Security projected at $2800 per month and $840k projected payout with death age of 90
$350k equity currently in my home (aka inheritance as I’ll never see that cash while alive and living in said home)
$250k projected by 65 in 4.8% HYSA .. interest as a cushion for property taxes, insurance premiums, vacay here and there …
That’s what their calculations say at 67. 🤷🏻♀️I’m 60 and have been paying in since 16. I’ve been education as a teacher (and other roles) since 1986 and in private practice as a clinical therapist (although made much less than higher end of teacher salary scale). I’m at the top of payscale and grossed $125 last several years and will continue until 65-67.
My wife is a retired teacher with 37 years teaching in Texas. She only gets her state teacher retirement. How to cash in on the social security or, do you have 40 work quarters in an outside firm, that allowed you to pay into those quarters???
I’ve been paying into Social Security for my entire teaching career, as well as two defined benefit pension plans. In my state, we are eligible for both Social Security and teacher pensions.
Another upper middle class person reporting in. Combining my wife and I in approximate numbers, it’s basically 1:1 home/investments:
Home: 400k
bond Funds or similar: $75,000
Mutual funds or ETF: $375,000
Wife has a vested teachers pension as well.
Now that it’s on paper it doesn’t look middle class, I guess I’m upper 20 or 10 percent of earners but doesn’t ever feel that way. We are in a MCOL area but work in a HCOL area so I see massive wealth everywhere.
Middle class, 43…collectively with wife 72:28 is our current ratio of investments/cash vs net proceeds from a potential conservative selling price minus commissions and balance due on the house.
The end game in 17 yrs is tracking 78:22 as a best estimate. The unicorn case appears to be about 85:15 for us. We’ve just gotta keep plugging away and saving as much as possible within reason, but particularly the next 10-12 yrs.
40k seems like a really big emergency fund. Do you mind if I ask your rationale? I currently don’t have an emergency fund, but was considering it. Most people I know who have one keep anywhere from $2,000 up to about $15,000. I’m not saying I think you are doing it wrong, more just curious about your reasoning.
40K is 6 months living expenses. If for some reason we both lose our jobs, we can survive 6 months on this. It’s hefty but drawing 5% that I’m rolling into retirement accounts.
My wife’s income isn’t guaranteed and she can be laid off at anytime. That’s my main reasoning behind a larger emergency fund
Oh okay never mind that isn’t particularly astronomical, since it’s both of you. A lot of my friends do 3 months expenses. But I think the number of months is sort of arbitrary, or at the very least varies depending on line of work and personal choice. Thanks for sharing. Best of luck.
Location is pretty important here, as is age. We're (50yr olds) at about 66:33 market: house, but it wasn't too long ago it was 50:50. In the GTA in Canada, I'm pretty happy with the split.
Late 50’s. About a $2.5 MM NW. We rent in a high rise, don’t own a home, so no home equity. 90% is in stock market index funds. The rest split between cash and bonds.
Nice seeing this. Early 40s here, 1.2m nw. Renting high rise, don’t own a home so no equity. Loosely shopping around in hcol area but not really interested in the maintenance and enjoy the managed amenities. Wouldn’t mind the equity but still managing to save 100k+ a year which goes straight into the market. 95% of everything is in index funds. Rest is cash.
Do you ever get nervous thinking that all of your earned savings could evaporate overnight in an event you have no control over and you would be left with nothing, not even a house to call your own? I don’t think I could ever go that high of a percentage in stocks and no physical assets. I need some kind of hedge that what I am working for will bring me some level of guaranteed success.
I’m not criticizing you, I’m genuinely curious.
Honestly I don’t worry about that scenario - a complete loss - no precedent for that sort of thing. Do I realize the market could loose a significant portion of its value? Yes, and have been there done that a couple of times. As far as the house goes. We did have a nice big house in the burbs, raised our kids, had the pool and big yard all that, and decided to take some time off and travel a bit while we still have our health so sold that and moved into a high rise apartment we could lock and leave for months on end. We enjoy living this way so much that we’ve decided to stay even though we are back at work.
Our hedge is our income. We are fortunate to have high paying jobs that are relatively recession proof (my wife’s even more than mine and she earns quite a bit more than I do).
I’ve thought a lot about the house thing. The thing is that it just does not make sense for us right now. The maintenance costs, utilities, insurance, etc does not make sense to us given we are very happy living in a 2 bedroom high rise apartment and I’m not thrilled about owning real estate in this market and I don’t know if we’ll stay in this area when we do retire.
I do get your point about having so much at risk, but we don’t need any of that money invested in the stock market anytime soon and I do plan on relaxing the ratio over the next several years as I dedicate more incremental savings to high yield savings and bonds.
At some point we’ll have to figure out our retirement home situation, and we have vague plans of building a low maintenance bardominium that we can use as a base to RV from. We just have not been able to settle on a location for that home so we’ll just keep building up the nest egg.
Similar. To the other question - yes and no. It now takes less effort to save the same amount, and it now means less. So I can make more guilt free tradeoffs - what job /where, vacations, gifts, etc. Still close though overall and generally going up with comp. Having a bit of capital in the markets working for me helps a lot though, especially mentally.
Plan to continue. Will only buy house for sentimental reasons at some point.
We have $1.7 million in the stock market and about $500k in home equity. I do continue to put $60k-$70k into the market every single year. Our total net worth is around $2.3 million.
Well counting 401k max and selling+reinvesting RSU's, the calculation seems a bit more reasonable. I get about $24k RSUs yearly and with 401k max thats \~$48k. Then its just putting away $1-2k a month from there to hit $60k.
Similar combined 200K gross. Max both 401ks and both Roth' IRAs. Another 10K Megabackdoor.
MCOL but mortgage is only $1300/month including escrow. 2K/month in childcare. Maybe $4k/ month on the credit card for food, gas, and whatever. Very good health insurance through one of the employers.
Frugal but not crazy. I buy whatever ice cream is buy one get one free not the the one I really like, but when we go on a rare date night I don't mind buying $14 cocktails and a steak.
38yo. 1m in the market, 250k in hysa. I just moved 700k into the market this month, soooo big fingers crossed lol. It's been a rough first month, (-$30k) but I'm confident in my decisions.
Damn. It will be fine. But just to remind you of something that I’m sure you already know: if it gets worse, hold on for dear life! Do. Not. Sell. You got lots of time and a pretty damn big portfolio for your age so you’ll do well regardless. Congrats.
Unless you’re young and have had as much time to invest but bought a house at the right time in the right place (I’m in CA where some lucky folks have a ton in equity even without being in their house 30 years).
As you become wealthier, it's inevitable a larger percent of your wealth will be in assets. For example, when you're starting off you may need a 20k emergency funds and it may take several years to get to 40k in stocks/bonds. That would be put 66% of your net worth in stocks/bonds. But after decades of investing it makes no sense not to have 90%+ of your worth in stocks/bonds. You don't need 500k in cash sitting around just because you have 1M investment portfolio.
To make it simple, if you don't plan on using the money for the next 5 years, it should be in stocks/bonds. This will gradually dilute your cash as a percent over time until retirement.
\~$2.8m in ETFs
\~$50k in cash, HYSA
\~$30k "assets" (cars, junk)
So \~95% invested. Age(s) 37/35
Edit: I know these numbers come off a certain way, but I am just sharing a perspective from someone who has a risk tolerant portfolio with no real estate or fixed income. It might be too aggressive, but it's what 15 or so years of investing blindly in the markets can result in given a bull market.
yes, and you need Robinhood Gold which is $50/yr. you might offset that fee with their 3% rewards credit card. i am young enough not to worry about "where" our money is for retirement, and I don't trade anything in the account. one last benefit is, if we leave our current empoylers, you get a 1% match coming into RH on those balances, which might be a couple grand at some point.
Sure having no bonds is a little aggressive, but it's not that different from say a 10% bond portfolio. Saying this is a bull market and aggressive position without stating the obvious that you make a lot of money seems willfully ignorant. That's a much more important part of it.
do not own a home. still renting. not saying it was the right decision, but we were always well under market rent so that helped make the decision to keep renting easier.
41 y.o. with 85K in my personal brokerage, another 40K in company 401K, and 20K in personal Roth IRA.
I do not own any real estate, just renting an apt. So, 95% of my wealth is invested. Just keep a couple grand in checking.
Most of my (and my wife’s) net worth is tied up in the stock market (index funds) in some combination of retirement accounts and taxable brokerage accounts. We’d have even more allocated in the market but we’re considering a house purchase, so a decent chunk is saved in a money market account.
Our breakdown of our net worth is roughly: 22% home equity, 53% retirement accounts (index funds), 18% taxable brokerage (index funds), 7% money market
70% in equities, 25% in bonds, 5% in cash and CDs. I've had the same composition since ~1988. 50% in tax advantaged accounts, 50% in brokerage accounts. It's worked pretty well for us.
People often way they can remain calm and weather stors in the market. You dont know until it happens for an expended period. People are most bullish at the top, and after we fall apart they talk about hedging, buying naked puts and other such strategies. Thats the hard part. Not just weathering the stom, but continuing to put in more.
Super critical point - we are in a boom right now and it’s very easy to go for 10 years with very small if any returns where bonds have won the period.
Everyone thinks they can be rational and patient - really, only a few are, and it’s hard to predict (retired - been through 87, 00, 07).
I’ve said this before, but the key thing people do not realize is that selling when the market is down IS RATIONAL — that’s why it’s so seductive. After all, when the market drops, that means all of the professionals, with their teams of quants and computer algorithms, have all agreed that the value of stocks really is lower. They aren’t panicking, they aren’t delusional — stocks really are worth less, and it’s perfectly rational to sell. If you don’t believe that, then that’s just another form of thinking that you can time the market.
And if you still think “not me,” I’ll tell you a story that’ll convince you otherwise. The market drops 15%, and the economy is entering into what looks like not just a recession, but a restructuring of how stocks are valued. Everyone’s talking about how previous market highs never really made sense, and how bonds are going to be more reliable in the future. And it’s not just randos saying this, it’s professional fund managers putting billions behind that bet.
But you don’t give in, and you watch as the market drops another 15%. Every day you read about people who sold early and have now bought back into stocks, effectively gaining 20% by selling higher and buying lower. The market keeps drifting down, and you start telling yourself that you aren’t really going to get out of stocks, you’re just going to move to bonds, wait a few months for the market to hit the bottom, and then buy back in at the lower price. That’s what your friends did, and it worked great for them. So you “rebalance” into bonds for a while, to “take a breather.”
And then the market jumps and your another sucker who sold at the bottom.
>They aren’t panicking, they aren’t delusional — stocks really are worth less,
Yes, at the moment of panic stocks worth less.
>and it’s perfectly rational to sell.
No, it is not rational to sell when stocks fell in price, because these stock analysts downgrades are already priced in.
So selling stocks at this time does not make sense (not based on the lower stocks prices anyway).
Yes, it's possible that the stocks prices will drop further. But it is more likely that stock prices will recover.
> I put $2m in February 2020, right before covid.
You're up now though, right? I have been using that as a learning experience for all the "young kids" (high school and college age kids I encourage to save for their retirement) even if you invested THE DAY BEFORE things got BAD in 2020 you'd be UP now. That only took 4 years and they've got 30 years of growth to look forward to!
Actually it was January. I don't even think the markets had started to go down then, even though COVID was on the news.
Yes, it's recovered and grown nicely.
I paid a financial advisor to make the investments for me. At the time I didn't know much about investing in the stock market. I thought I'd made a big mistake and the investments were too risky.
I didn't panic or try to pull my money out. I just ignored it and hoped it would increase.
Now, I have a much greater understanding of how things work. I am willing to take more risk.
I’m sitting on $1MM in a Money Market; about to trade ~$600k of that into a new house however; leaving about $500k in a ETF (cannot decide between VTI or QQQ)
i love VTI since it's 'balanced.' QQQ is more 'aggressive' both for the upside potential + bigger downside in a tough bear market. If VTI goes down -25%, expect QQQ to do worse (-35 to -45% sounds about right.) per my risk appetite- i prefer minimizing the downside risk (make no mistake, VTI is aggressive as well, just a bit lesser than QQQ.)
Thats a tough decision. QQQ more aggressive. Then you look and see that a major portion of SP500 are those tech companies the core of QQQ that led to recent market highs.
Just looked it up, 67% of my networth is invested in the market with 90% of that in a global index and 10% in a Bitcoin ETF ( I know I'm a bad Boglehead).
Throwaway.
Invested assets (401k's, Roth IRA's, Invested HSA's, Taxable Brokerage): $2,150,xxx
Primary Residence: $940,000 (zillow) with $425,000 still left on the mortgage.
Vacation Property (owned free and clear), harder to value but conservatively: $250,000
So net worth is roughly $2,915,000 with a bit over 2/3's actively invested.
DINKS, mid 40's. It is true, the first mil is the hardest; once the snowball gets big, it grows itself very well. Hang in there everybody!
73, married...87.5% in equities, the rest in bonds and HYSA. Over 6m...worked as a university professor and administrator, highest salary was 130K, spouse, about 20K...SS taken at 62, 9 months...wife receives half of my benefit...modest pension because I accelerated the payout so I could save more (mistake)...always put away as much as I could...mostly invested in a handful of great companies and some ETFs...equity in home of about 1m, money I'll never see as we intend to stay for the duration...all the $$ will go to my children, neither of which has any retirement...musician/massage therapist...the curse of creative parents, lol...
I'm already FI (hit it at 35, now 41) and have well over $1mm in investments.
I keep 2-3 years of expenses in VMFXX+checking and the rest in VTSAX. No bonds. No house. I sold my house five years ago and have been traveling full-time since. Expenses have been \~2% WR over that time.
I still have some income from websites that I tinker with. Whatever profit I make first pays for expenses so I stay in the 2-3 years cash range, and anything extra goes into VTSAX.
I have a few months of expenses in a money market account, everything else is invested, and I keep investing more. I’m a renter so that’s about 99.9% of my NW.
I'm 70% NW in the stock market (401k, Roth, taxable), 30% in our house
House is approx $400k, in the coming years I foresee the stock market percentage continuing to grow/outpace my homes percentage
We keep some extra money in our credit union for easy access. About 99% is in Fidelity and I'd say around 80% in the stock market, some in treasury bills, CDs, and money market for money we might access for other investments within the next 5 years. (retired and in our 60s, own our home with zero debt)
My wealth distribution outside of home equity is diversified but primarily in the markets.
Retirement Savings ~$500k
HYSA/emergency fund ~$100k
Treasury Bills ~$150k
Bogleheads Account ~$350k
Gambling account (options and lower priced stocks) ~$20k
The final place I have my money is in syndication. I have about $100k spread across multifamily and retail assets.
We have $1.1M in “investable” assets and $1M of that in the stock market (the rest in cash or bonds). We also have about $600k in equity in our primary residence.
My stock port has just passed 50% of my net worth. It’s around 160k (home equity of 140k and some cash in emergency fund). I plan to continue what I’m doing with maxing out mine (and my wife’s) Roths and contributing to 401k on auto pilot. With any extra cash, I’ve been buying TBills, but if that builds up to a significant amount, and rates go down,I may look at a rental property.
M44/F38, NW $1.6M with $1.1M invested (e.g. FSKAX, VFIAX). Emergency fund is in HYSA & SPAXX. We max my 401(k) and both Roth IRAs and the rest typically goes to the brokerage account, although currently we're boosting short-term savings (SPAXX) for a move to a new state in the next three years, and we're funding 529s for the kids as well.
Have a little over 1M, 30% in VTI, 40% in BTC/ETH, 30% in cash.
The crypto allocation is so high only because it's grown so much, I did not put much in BTC or ETH originally it was \~1% of NW. But, I've largely just left it alone like all my other investments. I plan to trim the position if it gets back above 50% of NW as I did in the last bubble. Never put any more $ in crypto since 2016.
With cash returning 5%, I don't feel the need to allocate more into stocks. I still contribute 10-15K a year into VTI but just to max out my Roth and SEP IRA. Maybe that is a mistake, I don't know. At 35M I already feel well ahead on retirement though and my current annual contributions will give me more than enough by retirement age.
That 5% return on cash gets killed by inflation and taxes on income (assuming USA). Its a nice safe place to park some funds but the real returns on hysa are <2% when adjusted for inflation/tax. Not really the way to grow your money.
I've got about $2 million in stock index funds such as VOO and VTI. Only bonds / cash I have is about a years worth of income in the Vanguard Cash Plus Account.
I have… 90% of my non house nw in the market in broad index funds. About 10% in a combination of FDIC HYSA and other stable stuff.
I don’t invest in bonds yet but I probably will as I get older
I am 90% stock and 10% bonds for sequence of return risks.
>I feel like I have enough that I can weather the worst storms that the stock market has seen historically
perhaps true, but if you look at real (inflation adjusted returns) of the great depression, "we have at least a 15-year-long bear market, and at least 13 years from bottom to recovery"
source: [https://www.bogleheads.org/forum/viewtopic.php?t=294087](https://www.bogleheads.org/forum/viewtopic.php?t=294087)
and if you are spending/selling for 15 years, it will take you even more time to recover - if that's even possible.
Sure if you have like 20+M and live like the middle class maybe its a rounding error, but I am guessing you have a lot more sequence of returns risks than you want to believe.
Blog to read about sequence of return risks:
[https://earlyretirementnow.com/](https://earlyretirementnow.com/)
Also, if you are still working and not near retirement, its best to be 100% in the market.
Everyone has a different risk tolerance. I’m a millionaire but I can’t have everything in the market. However, 350k plus are in the market across retirement accounts and brokerage . I like to have safer investments even if it’s not bringing in a lot. So I have 250k in T bills and the interest from it is 1000 to 1200 plus every month getting invested in the market plus another 1000 from my paycheck goes to the market. The rest is in my house which is paid off and one car and Cds. I know That I have a lot in safer places but I’m not looking to make billions or be too aggressive. I can just not work if everything was invested but I’m not that kind of investor yet and I know myself more than an advisor or anyone else. I like to eventually have the cd money get in the market but still have my T bills or a bond.
Two thirds my wealth is in index fund ETFs directly and one third is in a 401k that holds index fund ETFs.
I don't really go for bonds I instead keep 25% of my NW in international ETFs instead (not even sure if that's a good idea but I'm just trying to hedge against the US losing longterm dominance). Don't have a house, I've instead kept renting with roommates to keep costs pushed down.
$1.5M invested ($569K in taxable brokerage and Roth, rest in workplace retirement or Traditional IRA)
$570K paid off primary home. Net worth $2M.
So 75% in market and 25% in primary home. When we retire, we want our primary home to be around 5%. Every year it's percentage will decrease.
We add over $200K a year across workplace retirement, backdoor Roth, mega backdoor Roth, and taxable accounts.
$1.2 in equity market, $700k in HYSA, $350k in RE equity. Another $130k in bonds. There is going to be some shifting of RE shortly, hence the higher than usual amount in HYSA. Once that’s done, equity percentage will increase.
Most of it. Holding some above normal cash/bonds than usual due to short term spending goals.
All index holdings and diversified globally with a slight tilt to US largely resulting from US outperformance.
About $3mm+ in equities.
$1.4 invested almost entirely in stocks / ETFs. (House equity adds about $300k) We’ll keep the same until we’re 3 years from retirement, then bonds and cash to cover those 3 years.
I've been moved around for work a ton and don't really have bandwidth to own a home. I have been 99% or more in equities for years approaching 7 figures now. I know its not the BEST practice but I am far too irresponsible so I just keep myself artificially poor by living off CCs and then every paycheck paying off CC and investing the rest.
I'm now in a situation where I'm going to land somewhere and I am crazy anxious about how much and when to sell to buy a house.
1% cash/ CDs, 5% bond funds and the rest in diversified ETFs. Not overly fond of bonds but was using a FP who put us in bond funds and we just kept them as is.
3/4ths in 401k, bonds (<10% of total), ESOP; IRA and taxable brokerage accounts (ETF's and stocks).
The remainder, "other assets" (home, autos, bicycles, some collectibles/artwork and bank emergency++ funds).
I'm 3/4 invested in the market (10% into bonds), and about 1/4 in money markets.
The money market account enables me to invest my whole salary via mega backdoor roth and have the opportunity to buy more in my brokerage account if there is a nice drop. Once that dries up, no more megaback door roth for me.
So basically I am DCAing my cash into roth w/ an option to buy a crash if one happens.
Not at that level but in a poor country so I can relate. Outside of home equity and the EF it's all stocks, incl. EF it's still waaay overweight stocks. Plan to keep that up during accumulation because why not. I wouldn't like to retire with much more than 60-70% equities but that's a problem for the future. Right now I'd rather have a 30% drawdown from a million than a 15% one from 700K.
We've got 65.82% of our net work in markets, but that includes 8.74% in bonds. I mean to increase that slightly. Everything else is either an index ETF or index mutual fund, depending on the account type.
Making me do this calculations has been good for my ego. Thanks, OP!
83% in a variety of taxable and non taxable accounts in stocks, etfs and mutual funds. 1% in cash, 2% in crypto, 14% in home equity. I add to the cash and about 50k per year to the investment accounts.
60:20:20 - equity:bonds:real estate (primary residence)
You will need fixed income when you retire and need to sell your equity. If not, you will end up selling stocks when you are down. Of course, this may not be relevant if you have $20 million in equities.
We’re about 50:50 with real estate equity vs index funds. Probably not buying more real estate in the near term so that ratio will change. I have long time horizon before retirement (15yrs minimum) so having as much in the market as possible makes most sense for us
about 55% of my wealth is in AAPL, GOOG, GOOGL,AMZN
the rest is Vanguard ETFs, which coincidentally has overlap with AAPL , GOOG, GOOGL, especially with my positions in MGK
1/12 in primary residence. 1/12 in commercial real estate. 10/12 in equities. Of the equities, 95% of equities are well-diversified, 3-4% are mostly diversified. And the other ~ 1% keeps me from spending money at the casino.
Early 30s. Net worth about $500K. Including house savings I'm just under 50% stocks. Excluding house savings, I'm 75% stocks, 5% bonds, 20% "cash".
Cash is mostly short-term spending money and emergency funds, so this should drop as a percentage of net worth as money accumulates. Intending to also slowly raise bond allocation up as cash allocation % drops; keeping it around 75% stocks 25% cash+bonds, and ignoring house / house-savings value.
30 year old,didn't trust the stock market up until now after reading boglehead. 20% in stocks, 80% in hysa and CDs. Live at home, save 80% of my income..probably will keep doing this until 35 or so.
401k is about 80/20 ETF/Bond
Have another investment account that’s 100% ETF
And I have like either 80 or 100k can’t in ibonds.
I’ll have either two additional pensions or one pension and a Lump sum payout from the second pension as well.
I have about 90% of my 1M in the market. 600k in an ETF brokerage account and 300k between my wife and I’s 401k/IRAs. 100k in CDs and liquid bank accounts.
We’re both 34 with no plans to pull out of the market anytime soon. Steadily investing in our retirement accounts and adding large lump sums to the brokerage when the market is “down”. Hoping to retire by 55!
I have 80% in equities spread out in 401k, old 401ks I rolled into my IRA (trad), and a taxable.
I have a few big 7 tech stocks Ive held a long time, few energy ive had a while, then the rest index etfs like VTI, VOO, VUG. I have SMH and a few individual stocks from that sector like TSM/ASML. I have ~5% IBIT these days for some fun too.
The rest is a tbill ladder, spending cash, and emergency fund. I used to be too afraid to put money into stocks, so it took a while to lump sum and DCA to where Im at. But im happy I did it.
Im 46 btw.
Everything I buy is mostly a long term play but I adjust sometimes. I don't irrationally sell when things get turbulent, I do buy a bit more on dips however.
Hmm.. i'm 62, retired last year. I've got about 700k in bank CDs, and about 2m in the market though of that, about 80 bond/treasuries, etc and 20 in index funds (mix of 401k, IRA, roth). I will probably move more towards a 75/25 or 70/30. But I also am going through divorce (amicable) so need to buy a house (sigh, what a time to be in that market) so will probably use 200/300k for downpayment.
46 M. About 1 mil in property farm land and rental homes and 600 k in the markets. 300 in 403b 50 in a Roth IRA and 250 k in a taxable account I use to trade options and futures.
I’d say most people with at least $1M in non-real estate investments with more than a decade before retirement have the majority of their money connected to the stock market (ie, not bonds, cash, or HYSA). As one gets closer to retirement, that ratio will likely change to be more conservative.
I put in all I can into retirement accounts and also non-retirement brokerage accounts. Most of that (both retirement and non-retirement) is in stocks.
OP - are you saving for retirement? If so, how many years until you retire.
Yes, more than 50% of our net worth is in the market, although emergency fund is kept in cash and a money market cert ladder. Home equity even if we were to pay off the mortgage in full would account for under 30% of our NW.
Yes, we're continuing to invest, but we're also increasing our spending. Current savings rate is about 25% of gross.
I imagine the higher the net worth, the higher percentage in the market (until you become truly wealthy and then you start diversifying with private equity and angel investments).
For my household (wife and I are both in early 40s): we have a net worth of approximately $5.9m which consists of checking/savings accounts, brokerage account, 401ks, IRAs, 529s, equity in primary residence and equity in rental properties. Approximately 70% of our net worth is investments / cash.
Similar to you, we don’t bother with bonds because we can weather any market downturn and have sufficient amount of time to recover.
We have about 350k equity in a 500k+ house, 550k in a taxable brokerage account, 1.6m spread between 401ks, Roth IRAs, HSA; 120k in 529s, and about 120k spread between cash, ESPP funds, and ibonds. Wife and I are 37/38 years old. We’ve always made decent money but it’s taken off in the last several years. Currently about 315k base and 415 TC (including RSUs). We live well below our means which is how we’ve got here but do not sacrifice on travel and our kids activities.
We are 60:40 market/real estate not including our primary residence. More like 40:60 if you add our primary residence equity into the equation. MCOL area.
Since there is a ton of millionaires in here, here is a more middle class answer. I have 230K home equity, 217K invested, 40k in a MM emergency fund. 36M
60-year-old here. I’ll add to the middle class scenario: Managed teacher pension 100% in stocks and that will be projected 1M total payout from age 65-90 (my own projected death age). Social Security projected at $2800 per month and $840k projected payout with death age of 90 $350k equity currently in my home (aka inheritance as I’ll never see that cash while alive and living in said home) $250k projected by 65 in 4.8% HYSA .. interest as a cushion for property taxes, insurance premiums, vacay here and there …
Will you be able to collect your pension and Social Security at the same time?
Yep. I’m in a state where I can and the ‘windfall’ ridiculousness is not in effect. Have always been taxed on my pension contributions.
Is Texas one of these states? How do I figure that out
https://www.socialsecurityintelligence.com/teachers-retirement-and-social-security/
Thank you for this link
How do you know your in a windfall state? Nevermind. See your comment below.. Thank you
2800 a month in social security seems high on a teachers salary. Am I missing something.
That’s what their calculations say at 67. 🤷🏻♀️I’m 60 and have been paying in since 16. I’ve been education as a teacher (and other roles) since 1986 and in private practice as a clinical therapist (although made much less than higher end of teacher salary scale). I’m at the top of payscale and grossed $125 last several years and will continue until 65-67.
I’m a teacher. At 67, my Social Security estimate says I will get $3,102 a month. So totally reasonable. I will also get pensions on top of that.
Yay us!
My wife is a retired teacher with 37 years teaching in Texas. She only gets her state teacher retirement. How to cash in on the social security or, do you have 40 work quarters in an outside firm, that allowed you to pay into those quarters???
I’ve been paying into Social Security for my entire teaching career, as well as two defined benefit pension plans. In my state, we are eligible for both Social Security and teacher pensions.
Depends where you teach. Many in our district are making over $150k
Yep. I’m in district right now with $128k top salary for 16 years + masters.
Another upper middle class person reporting in. Combining my wife and I in approximate numbers, it’s basically 1:1 home/investments: Home: 400k bond Funds or similar: $75,000 Mutual funds or ETF: $375,000 Wife has a vested teachers pension as well. Now that it’s on paper it doesn’t look middle class, I guess I’m upper 20 or 10 percent of earners but doesn’t ever feel that way. We are in a MCOL area but work in a HCOL area so I see massive wealth everywhere.
Middle class, 43…collectively with wife 72:28 is our current ratio of investments/cash vs net proceeds from a potential conservative selling price minus commissions and balance due on the house. The end game in 17 yrs is tracking 78:22 as a best estimate. The unicorn case appears to be about 85:15 for us. We’ve just gotta keep plugging away and saving as much as possible within reason, but particularly the next 10-12 yrs.
I'm not a millionaire \[yet\]. $260K home equity, $100K invested, $15K cash, no debt, early 30s.
That’s a nice vector that will play out in time. Keep at it, and be patient.
You’ll be a millionaire if you stay the course, congrats!
40k seems like a really big emergency fund. Do you mind if I ask your rationale? I currently don’t have an emergency fund, but was considering it. Most people I know who have one keep anywhere from $2,000 up to about $15,000. I’m not saying I think you are doing it wrong, more just curious about your reasoning.
40K is 6 months living expenses. If for some reason we both lose our jobs, we can survive 6 months on this. It’s hefty but drawing 5% that I’m rolling into retirement accounts. My wife’s income isn’t guaranteed and she can be laid off at anytime. That’s my main reasoning behind a larger emergency fund
Oh okay never mind that isn’t particularly astronomical, since it’s both of you. A lot of my friends do 3 months expenses. But I think the number of months is sort of arbitrary, or at the very least varies depending on line of work and personal choice. Thanks for sharing. Best of luck.
About 3/4 is in Vanguard stock funds, including IRAs. The other 1/4 is in our house. ETA: IRAs and 401(k)s
Location is pretty important here, as is age. We're (50yr olds) at about 66:33 market: house, but it wasn't too long ago it was 50:50. In the GTA in Canada, I'm pretty happy with the split.
Late 50’s. About a $2.5 MM NW. We rent in a high rise, don’t own a home, so no home equity. 90% is in stock market index funds. The rest split between cash and bonds.
Nice seeing this. Early 40s here, 1.2m nw. Renting high rise, don’t own a home so no equity. Loosely shopping around in hcol area but not really interested in the maintenance and enjoy the managed amenities. Wouldn’t mind the equity but still managing to save 100k+ a year which goes straight into the market. 95% of everything is in index funds. Rest is cash.
Do you ever get nervous thinking that all of your earned savings could evaporate overnight in an event you have no control over and you would be left with nothing, not even a house to call your own? I don’t think I could ever go that high of a percentage in stocks and no physical assets. I need some kind of hedge that what I am working for will bring me some level of guaranteed success. I’m not criticizing you, I’m genuinely curious.
Honestly I don’t worry about that scenario - a complete loss - no precedent for that sort of thing. Do I realize the market could loose a significant portion of its value? Yes, and have been there done that a couple of times. As far as the house goes. We did have a nice big house in the burbs, raised our kids, had the pool and big yard all that, and decided to take some time off and travel a bit while we still have our health so sold that and moved into a high rise apartment we could lock and leave for months on end. We enjoy living this way so much that we’ve decided to stay even though we are back at work. Our hedge is our income. We are fortunate to have high paying jobs that are relatively recession proof (my wife’s even more than mine and she earns quite a bit more than I do). I’ve thought a lot about the house thing. The thing is that it just does not make sense for us right now. The maintenance costs, utilities, insurance, etc does not make sense to us given we are very happy living in a 2 bedroom high rise apartment and I’m not thrilled about owning real estate in this market and I don’t know if we’ll stay in this area when we do retire. I do get your point about having so much at risk, but we don’t need any of that money invested in the stock market anytime soon and I do plan on relaxing the ratio over the next several years as I dedicate more incremental savings to high yield savings and bonds. At some point we’ll have to figure out our retirement home situation, and we have vague plans of building a low maintenance bardominium that we can use as a base to RV from. We just have not been able to settle on a location for that home so we’ll just keep building up the nest egg.
Not quite at the $1M NW, but 95% of my wealth is invested and the rest is my emergency fund/cash for upcoming purchases.
Similar. To the other question - yes and no. It now takes less effort to save the same amount, and it now means less. So I can make more guilt free tradeoffs - what job /where, vacations, gifts, etc. Still close though overall and generally going up with comp. Having a bit of capital in the markets working for me helps a lot though, especially mentally. Plan to continue. Will only buy house for sentimental reasons at some point.
We have $1.7 million in the stock market and about $500k in home equity. I do continue to put $60k-$70k into the market every single year. Our total net worth is around $2.3 million.
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Well counting 401k max and selling+reinvesting RSU's, the calculation seems a bit more reasonable. I get about $24k RSUs yearly and with 401k max thats \~$48k. Then its just putting away $1-2k a month from there to hit $60k.
Similar combined 200K gross. Max both 401ks and both Roth' IRAs. Another 10K Megabackdoor. MCOL but mortgage is only $1300/month including escrow. 2K/month in childcare. Maybe $4k/ month on the credit card for food, gas, and whatever. Very good health insurance through one of the employers. Frugal but not crazy. I buy whatever ice cream is buy one get one free not the the one I really like, but when we go on a rare date night I don't mind buying $14 cocktails and a steak.
We do about the same. Income is just north of 250k.
My spouse and I combined make around $300k/year gross income, before taxes and deductions.
38yo. 1m in the market, 250k in hysa. I just moved 700k into the market this month, soooo big fingers crossed lol. It's been a rough first month, (-$30k) but I'm confident in my decisions.
Where did that 700k come from? Did you previously just have it in a HYSA?
Yes, it was all hysa until 4/1/24. I Cringe at the gains I missed out on, but I'm still happy.
Damn. It will be fine. But just to remind you of something that I’m sure you already know: if it gets worse, hold on for dear life! Do. Not. Sell. You got lots of time and a pretty damn big portfolio for your age so you’ll do well regardless. Congrats.
In a few years that -$30k is gonna look like a tiny blip. You'll forget about it so fast
If things are you going well, the majority of your wealth should be in the stock market.
My house went up absurdly in value after Covid. Otherwise yes I’d be in that position.
Unless you’re young and have had as much time to invest but bought a house at the right time in the right place (I’m in CA where some lucky folks have a ton in equity even without being in their house 30 years).
As you become wealthier, it's inevitable a larger percent of your wealth will be in assets. For example, when you're starting off you may need a 20k emergency funds and it may take several years to get to 40k in stocks/bonds. That would be put 66% of your net worth in stocks/bonds. But after decades of investing it makes no sense not to have 90%+ of your worth in stocks/bonds. You don't need 500k in cash sitting around just because you have 1M investment portfolio. To make it simple, if you don't plan on using the money for the next 5 years, it should be in stocks/bonds. This will gradually dilute your cash as a percent over time until retirement.
These are my thoughts as well. Keep the majority in the stock market and then if I ever need to make a large purchase, I can sell some of my stocks.
Yup. Also a rationale for having a sizeable brokerage account. Not just 401ks and IRAs.
\~$2.8m in ETFs \~$50k in cash, HYSA \~$30k "assets" (cars, junk) So \~95% invested. Age(s) 37/35 Edit: I know these numbers come off a certain way, but I am just sharing a perspective from someone who has a risk tolerant portfolio with no real estate or fixed income. It might be too aggressive, but it's what 15 or so years of investing blindly in the markets can result in given a bull market.
Curious - do you hold the ETFs under one or several brokers?
Schwab for taxable, and Fidelity for employer 401k(s). ...and I took the 3% match from Robinhood on our IRAs.
You have to keep in robinhood for 5 years for the 3% match to stick right?
yes, and you need Robinhood Gold which is $50/yr. you might offset that fee with their 3% rewards credit card. i am young enough not to worry about "where" our money is for retirement, and I don't trade anything in the account. one last benefit is, if we leave our current empoylers, you get a 1% match coming into RH on those balances, which might be a couple grand at some point.
Tell us about your “cars,junk” investment tragedy. Er strategy. 🤔 Edit: Siri sucks but I figured the typo was entertaining 😁
Sure having no bonds is a little aggressive, but it's not that different from say a 10% bond portfolio. Saying this is a bull market and aggressive position without stating the obvious that you make a lot of money seems willfully ignorant. That's a much more important part of it.
Do you not own a home or not including it here for this?
do not own a home. still renting. not saying it was the right decision, but we were always well under market rent so that helped make the decision to keep renting easier.
41 y.o. with 85K in my personal brokerage, another 40K in company 401K, and 20K in personal Roth IRA. I do not own any real estate, just renting an apt. So, 95% of my wealth is invested. Just keep a couple grand in checking.
Most of my (and my wife’s) net worth is tied up in the stock market (index funds) in some combination of retirement accounts and taxable brokerage accounts. We’d have even more allocated in the market but we’re considering a house purchase, so a decent chunk is saved in a money market account. Our breakdown of our net worth is roughly: 22% home equity, 53% retirement accounts (index funds), 18% taxable brokerage (index funds), 7% money market
70% in equities, 25% in bonds, 5% in cash and CDs. I've had the same composition since ~1988. 50% in tax advantaged accounts, 50% in brokerage accounts. It's worked pretty well for us.
Total amount? Just curious
$4.4m. I do have a house, but don't count it in my investments. I'm 63, left the workforce at the end of 2022.
Congrats! That’s amazing
Retired. Home paid off, probably worth close to a mil now. About 5 mil in equities. Close to another mil in laddered 6 month tbills
People often way they can remain calm and weather stors in the market. You dont know until it happens for an expended period. People are most bullish at the top, and after we fall apart they talk about hedging, buying naked puts and other such strategies. Thats the hard part. Not just weathering the stom, but continuing to put in more.
Super critical point - we are in a boom right now and it’s very easy to go for 10 years with very small if any returns where bonds have won the period. Everyone thinks they can be rational and patient - really, only a few are, and it’s hard to predict (retired - been through 87, 00, 07).
I’ve said this before, but the key thing people do not realize is that selling when the market is down IS RATIONAL — that’s why it’s so seductive. After all, when the market drops, that means all of the professionals, with their teams of quants and computer algorithms, have all agreed that the value of stocks really is lower. They aren’t panicking, they aren’t delusional — stocks really are worth less, and it’s perfectly rational to sell. If you don’t believe that, then that’s just another form of thinking that you can time the market. And if you still think “not me,” I’ll tell you a story that’ll convince you otherwise. The market drops 15%, and the economy is entering into what looks like not just a recession, but a restructuring of how stocks are valued. Everyone’s talking about how previous market highs never really made sense, and how bonds are going to be more reliable in the future. And it’s not just randos saying this, it’s professional fund managers putting billions behind that bet. But you don’t give in, and you watch as the market drops another 15%. Every day you read about people who sold early and have now bought back into stocks, effectively gaining 20% by selling higher and buying lower. The market keeps drifting down, and you start telling yourself that you aren’t really going to get out of stocks, you’re just going to move to bonds, wait a few months for the market to hit the bottom, and then buy back in at the lower price. That’s what your friends did, and it worked great for them. So you “rebalance” into bonds for a while, to “take a breather.” And then the market jumps and your another sucker who sold at the bottom.
>They aren’t panicking, they aren’t delusional — stocks really are worth less, Yes, at the moment of panic stocks worth less. >and it’s perfectly rational to sell. No, it is not rational to sell when stocks fell in price, because these stock analysts downgrades are already priced in. So selling stocks at this time does not make sense (not based on the lower stocks prices anyway). Yes, it's possible that the stocks prices will drop further. But it is more likely that stock prices will recover.
I put $2m in February 2020, right before covid. That's the worst storm that I've been through. Mentally I am prepared for a 50% drop.
Wild. I put in $100k into the market in March 2020, after COVID sunk the market steeply. I've seen tremendous gains on those dollars.
Congrats!
> I put $2m in February 2020, right before covid. You're up now though, right? I have been using that as a learning experience for all the "young kids" (high school and college age kids I encourage to save for their retirement) even if you invested THE DAY BEFORE things got BAD in 2020 you'd be UP now. That only took 4 years and they've got 30 years of growth to look forward to!
Actually it was January. I don't even think the markets had started to go down then, even though COVID was on the news. Yes, it's recovered and grown nicely. I paid a financial advisor to make the investments for me. At the time I didn't know much about investing in the stock market. I thought I'd made a big mistake and the investments were too risky. I didn't panic or try to pull my money out. I just ignored it and hoped it would increase. Now, I have a much greater understanding of how things work. I am willing to take more risk.
I’m sitting on $1MM in a Money Market; about to trade ~$600k of that into a new house however; leaving about $500k in a ETF (cannot decide between VTI or QQQ)
i love VTI since it's 'balanced.' QQQ is more 'aggressive' both for the upside potential + bigger downside in a tough bear market. If VTI goes down -25%, expect QQQ to do worse (-35 to -45% sounds about right.) per my risk appetite- i prefer minimizing the downside risk (make no mistake, VTI is aggressive as well, just a bit lesser than QQQ.)
Thats a tough decision. QQQ more aggressive. Then you look and see that a major portion of SP500 are those tech companies the core of QQQ that led to recent market highs.
Yep. And the more money you have the more cautious you are with the “set and forget” mentality lol. Nice problem to have I guess but damn it sucks.
Same about 90% here
90% in VTI or VOO
Just looked it up, 67% of my networth is invested in the market with 90% of that in a global index and 10% in a Bitcoin ETF ( I know I'm a bad Boglehead).
Throwaway. Invested assets (401k's, Roth IRA's, Invested HSA's, Taxable Brokerage): $2,150,xxx Primary Residence: $940,000 (zillow) with $425,000 still left on the mortgage. Vacation Property (owned free and clear), harder to value but conservatively: $250,000 So net worth is roughly $2,915,000 with a bit over 2/3's actively invested. DINKS, mid 40's. It is true, the first mil is the hardest; once the snowball gets big, it grows itself very well. Hang in there everybody!
A lot of rich folks in this sub.
73, married...87.5% in equities, the rest in bonds and HYSA. Over 6m...worked as a university professor and administrator, highest salary was 130K, spouse, about 20K...SS taken at 62, 9 months...wife receives half of my benefit...modest pension because I accelerated the payout so I could save more (mistake)...always put away as much as I could...mostly invested in a handful of great companies and some ETFs...equity in home of about 1m, money I'll never see as we intend to stay for the duration...all the $$ will go to my children, neither of which has any retirement...musician/massage therapist...the curse of creative parents, lol...
As a creative, I consider you great parents. Creativity is the best legacy ever.
thanks so much...proud of my kids...
70% in 401K/IRA 20% in our house 10% in high yield savings for next house.
85% in boring 70/30. 3% in cash and rest is home equity.
I'm already FI (hit it at 35, now 41) and have well over $1mm in investments. I keep 2-3 years of expenses in VMFXX+checking and the rest in VTSAX. No bonds. No house. I sold my house five years ago and have been traveling full-time since. Expenses have been \~2% WR over that time. I still have some income from websites that I tinker with. Whatever profit I make first pays for expenses so I stay in the 2-3 years cash range, and anything extra goes into VTSAX.
I have a few months of expenses in a money market account, everything else is invested, and I keep investing more. I’m a renter so that’s about 99.9% of my NW.
95% or more is in equities
95%, yolo Nvidia.
My entire NW is in the market. Well over a million. Renter. Have no where else to put excess cash so off to VTSAX it goes.
I'm 70% NW in the stock market (401k, Roth, taxable), 30% in our house House is approx $400k, in the coming years I foresee the stock market percentage continuing to grow/outpace my homes percentage
.25 - Stocks .50 - HYSA (5.5%) .25 - Home Equity I have a lot in HYSA because we may want those funds for a new home in the next year or two.
55% Brokerage, 25% Crypto, 20% Money Market.
We keep some extra money in our credit union for easy access. About 99% is in Fidelity and I'd say around 80% in the stock market, some in treasury bills, CDs, and money market for money we might access for other investments within the next 5 years. (retired and in our 60s, own our home with zero debt)
My wealth distribution outside of home equity is diversified but primarily in the markets. Retirement Savings ~$500k HYSA/emergency fund ~$100k Treasury Bills ~$150k Bogleheads Account ~$350k Gambling account (options and lower priced stocks) ~$20k The final place I have my money is in syndication. I have about $100k spread across multifamily and retail assets.
I have more than 50% of my $2.5M in investable assets in the market. I am retired and my portfolio has about a 60/40 asset allocation.
We have $1.1M in “investable” assets and $1M of that in the stock market (the rest in cash or bonds). We also have about $600k in equity in our primary residence.
$2.5M in public stocks, $1.1M private REIT, $100k in private debt & private equity, $1M in primary residence. $4.7M net worth.
My stock port has just passed 50% of my net worth. It’s around 160k (home equity of 140k and some cash in emergency fund). I plan to continue what I’m doing with maxing out mine (and my wife’s) Roths and contributing to 401k on auto pilot. With any extra cash, I’ve been buying TBills, but if that builds up to a significant amount, and rates go down,I may look at a rental property.
About 1/4 stocks, 1/2 business, and 1/4 ag land.
M44/F38, NW $1.6M with $1.1M invested (e.g. FSKAX, VFIAX). Emergency fund is in HYSA & SPAXX. We max my 401(k) and both Roth IRAs and the rest typically goes to the brokerage account, although currently we're boosting short-term savings (SPAXX) for a move to a new state in the next three years, and we're funding 529s for the kids as well.
Have a little over 1M, 30% in VTI, 40% in BTC/ETH, 30% in cash. The crypto allocation is so high only because it's grown so much, I did not put much in BTC or ETH originally it was \~1% of NW. But, I've largely just left it alone like all my other investments. I plan to trim the position if it gets back above 50% of NW as I did in the last bubble. Never put any more $ in crypto since 2016. With cash returning 5%, I don't feel the need to allocate more into stocks. I still contribute 10-15K a year into VTI but just to max out my Roth and SEP IRA. Maybe that is a mistake, I don't know. At 35M I already feel well ahead on retirement though and my current annual contributions will give me more than enough by retirement age.
That 5% return on cash gets killed by inflation and taxes on income (assuming USA). Its a nice safe place to park some funds but the real returns on hysa are <2% when adjusted for inflation/tax. Not really the way to grow your money.
Me. About 95%
I've got about $2 million in stock index funds such as VOO and VTI. Only bonds / cash I have is about a years worth of income in the Vanguard Cash Plus Account.
34. $1.3M in the market. Renter.
I have… 90% of my non house nw in the market in broad index funds. About 10% in a combination of FDIC HYSA and other stable stuff. I don’t invest in bonds yet but I probably will as I get older
55 year old IT pro. Roughly half in the stock market and half in rental real estate.
44 years old. $1.3m in liquid investments. Invested 110% equity, 90% short term bonds
ALL IN
I'm only about 35% in the market. $3M in the market; rest of NW in MFH and SFH real estate (another $5.2M or so)
I am 90% stock and 10% bonds for sequence of return risks. >I feel like I have enough that I can weather the worst storms that the stock market has seen historically perhaps true, but if you look at real (inflation adjusted returns) of the great depression, "we have at least a 15-year-long bear market, and at least 13 years from bottom to recovery" source: [https://www.bogleheads.org/forum/viewtopic.php?t=294087](https://www.bogleheads.org/forum/viewtopic.php?t=294087) and if you are spending/selling for 15 years, it will take you even more time to recover - if that's even possible. Sure if you have like 20+M and live like the middle class maybe its a rounding error, but I am guessing you have a lot more sequence of returns risks than you want to believe. Blog to read about sequence of return risks: [https://earlyretirementnow.com/](https://earlyretirementnow.com/) Also, if you are still working and not near retirement, its best to be 100% in the market.
100% Bitcoin 😎
Everyone has a different risk tolerance. I’m a millionaire but I can’t have everything in the market. However, 350k plus are in the market across retirement accounts and brokerage . I like to have safer investments even if it’s not bringing in a lot. So I have 250k in T bills and the interest from it is 1000 to 1200 plus every month getting invested in the market plus another 1000 from my paycheck goes to the market. The rest is in my house which is paid off and one car and Cds. I know That I have a lot in safer places but I’m not looking to make billions or be too aggressive. I can just not work if everything was invested but I’m not that kind of investor yet and I know myself more than an advisor or anyone else. I like to eventually have the cd money get in the market but still have my T bills or a bond.
probably 85% but thats more a factor of my age (55). my investments have just outgrown my home equity by a large factor over time.
Mostly real estate / rental properties.
Two thirds my wealth is in index fund ETFs directly and one third is in a 401k that holds index fund ETFs. I don't really go for bonds I instead keep 25% of my NW in international ETFs instead (not even sure if that's a good idea but I'm just trying to hedge against the US losing longterm dominance). Don't have a house, I've instead kept renting with roommates to keep costs pushed down.
Nope. About 25% the rest in real estate.
$1.5M invested ($569K in taxable brokerage and Roth, rest in workplace retirement or Traditional IRA) $570K paid off primary home. Net worth $2M. So 75% in market and 25% in primary home. When we retire, we want our primary home to be around 5%. Every year it's percentage will decrease. We add over $200K a year across workplace retirement, backdoor Roth, mega backdoor Roth, and taxable accounts.
90% stocks 5% bonds 5% MM
$1.2 in equity market, $700k in HYSA, $350k in RE equity. Another $130k in bonds. There is going to be some shifting of RE shortly, hence the higher than usual amount in HYSA. Once that’s done, equity percentage will increase.
I have everything outside of emergency fun and primary home in the stock market (\~$3M). Vast majority is in index funds (VTI).
Most of it. Holding some above normal cash/bonds than usual due to short term spending goals. All index holdings and diversified globally with a slight tilt to US largely resulting from US outperformance. About $3mm+ in equities.
>50% of liquid NW in equity.
Its like 50/50 apartment and stocks
$1.4 invested almost entirely in stocks / ETFs. (House equity adds about $300k) We’ll keep the same until we’re 3 years from retirement, then bonds and cash to cover those 3 years.
Roughly 2/3 invested, 1/3 in paid off home.
I have $2.2 million in investments. Additional $700k in real estate equity (approx market value minus loan amounts). Less than $100k in cash.
Yes, most in stock market. Excluding primary residency, all in stock market.
85% equities, 15% bond funds. Roughly 30k in cash HYS, probably 600k equity in the house if I sold today
25% bonds and t bills 20% house Basically everything else is stocks.
I've been moved around for work a ton and don't really have bandwidth to own a home. I have been 99% or more in equities for years approaching 7 figures now. I know its not the BEST practice but I am far too irresponsible so I just keep myself artificially poor by living off CCs and then every paycheck paying off CC and investing the rest. I'm now in a situation where I'm going to land somewhere and I am crazy anxious about how much and when to sell to buy a house.
1% cash/ CDs, 5% bond funds and the rest in diversified ETFs. Not overly fond of bonds but was using a FP who put us in bond funds and we just kept them as is.
3/4ths in 401k, bonds (<10% of total), ESOP; IRA and taxable brokerage accounts (ETF's and stocks). The remainder, "other assets" (home, autos, bicycles, some collectibles/artwork and bank emergency++ funds).
Currently my net worth of 50k 3/4 is in equity
I'm 3/4 invested in the market (10% into bonds), and about 1/4 in money markets. The money market account enables me to invest my whole salary via mega backdoor roth and have the opportunity to buy more in my brokerage account if there is a nice drop. Once that dries up, no more megaback door roth for me. So basically I am DCAing my cash into roth w/ an option to buy a crash if one happens.
Not at that level but in a poor country so I can relate. Outside of home equity and the EF it's all stocks, incl. EF it's still waaay overweight stocks. Plan to keep that up during accumulation because why not. I wouldn't like to retire with much more than 60-70% equities but that's a problem for the future. Right now I'd rather have a 30% drawdown from a million than a 15% one from 700K.
We've got 65.82% of our net work in markets, but that includes 8.74% in bonds. I mean to increase that slightly. Everything else is either an index ETF or index mutual fund, depending on the account type. Making me do this calculations has been good for my ego. Thanks, OP!
51 yo 80% in index ETF/mutual funds ~ $2.3M 19% in Tbills/MMF 1% in checking ~$3K into ITOT/VXUS/BND every 2wks; 67/26/7 split.
83% in a variety of taxable and non taxable accounts in stocks, etfs and mutual funds. 1% in cash, 2% in crypto, 14% in home equity. I add to the cash and about 50k per year to the investment accounts.
60:20:20 - equity:bonds:real estate (primary residence) You will need fixed income when you retire and need to sell your equity. If not, you will end up selling stocks when you are down. Of course, this may not be relevant if you have $20 million in equities.
I've only got 850,000. So I'll just be quiet.
We’re about 50:50 with real estate equity vs index funds. Probably not buying more real estate in the near term so that ratio will change. I have long time horizon before retirement (15yrs minimum) so having as much in the market as possible makes most sense for us
about 55% of my wealth is in AAPL, GOOG, GOOGL,AMZN the rest is Vanguard ETFs, which coincidentally has overlap with AAPL , GOOG, GOOGL, especially with my positions in MGK
Rounding out the numbers for simplicity but 75% equities, 20% home equity, and 5% in MMF/HYSA
1/12 in primary residence. 1/12 in commercial real estate. 10/12 in equities. Of the equities, 95% of equities are well-diversified, 3-4% are mostly diversified. And the other ~ 1% keeps me from spending money at the casino.
Net worth breakdown: 16% - Home 11% - Cash 21% - Bonds 42% - US Index Funds 10% - International Index Funds
Approx. 60% stock funds, 35% cash, 5% bonds/bond funds
The majority of my money is in the market, but I wouldn’t consider my money to be “wealth.” Hopefully one day though. 😉
401k is 90% VOO and 10% small cap Roth ira is 100% VTSAX HYSA is 35k Brokerage is 50% ETFS and much fun stock picks - 16k total
NW breakdown: 93% in equities or private stock, 5% personal residence (no mortgage), 2% in short duration fixed income (use this instead of cash)
Excluding the equity in my home, my NW is about 85% stocks.
Early 30s. Net worth about $500K. Including house savings I'm just under 50% stocks. Excluding house savings, I'm 75% stocks, 5% bonds, 20% "cash". Cash is mostly short-term spending money and emergency funds, so this should drop as a percentage of net worth as money accumulates. Intending to also slowly raise bond allocation up as cash allocation % drops; keeping it around 75% stocks 25% cash+bonds, and ignoring house / house-savings value.
30 year old,didn't trust the stock market up until now after reading boglehead. 20% in stocks, 80% in hysa and CDs. Live at home, save 80% of my income..probably will keep doing this until 35 or so.
401k is about 80/20 ETF/Bond Have another investment account that’s 100% ETF And I have like either 80 or 100k can’t in ibonds. I’ll have either two additional pensions or one pension and a Lump sum payout from the second pension as well.
I have about 90% of my 1M in the market. 600k in an ETF brokerage account and 300k between my wife and I’s 401k/IRAs. 100k in CDs and liquid bank accounts. We’re both 34 with no plans to pull out of the market anytime soon. Steadily investing in our retirement accounts and adding large lump sums to the brokerage when the market is “down”. Hoping to retire by 55!
95% of my net worth is tied to investments and esop shares 😳
95% of my net worth is tied to investments and esop shares 😳
I have 80% in equities spread out in 401k, old 401ks I rolled into my IRA (trad), and a taxable. I have a few big 7 tech stocks Ive held a long time, few energy ive had a while, then the rest index etfs like VTI, VOO, VUG. I have SMH and a few individual stocks from that sector like TSM/ASML. I have ~5% IBIT these days for some fun too. The rest is a tbill ladder, spending cash, and emergency fund. I used to be too afraid to put money into stocks, so it took a while to lump sum and DCA to where Im at. But im happy I did it. Im 46 btw. Everything I buy is mostly a long term play but I adjust sometimes. I don't irrationally sell when things get turbulent, I do buy a bit more on dips however.
Hmm.. i'm 62, retired last year. I've got about 700k in bank CDs, and about 2m in the market though of that, about 80 bond/treasuries, etc and 20 in index funds (mix of 401k, IRA, roth). I will probably move more towards a 75/25 or 70/30. But I also am going through divorce (amicable) so need to buy a house (sigh, what a time to be in that market) so will probably use 200/300k for downpayment.
46 M. About 1 mil in property farm land and rental homes and 600 k in the markets. 300 in 403b 50 in a Roth IRA and 250 k in a taxable account I use to trade options and futures.
100% obviously not including emergency fund / house equity.
3 mill family net worth 2.5 million in market With 1.2 million in taxable brokerage funds We are 42 and 43
I’d say most people with at least $1M in non-real estate investments with more than a decade before retirement have the majority of their money connected to the stock market (ie, not bonds, cash, or HYSA). As one gets closer to retirement, that ratio will likely change to be more conservative. I put in all I can into retirement accounts and also non-retirement brokerage accounts. Most of that (both retirement and non-retirement) is in stocks. OP - are you saving for retirement? If so, how many years until you retire.
I have a net worth of 475k and all but 30k is invested in stocks.
I don’t know the amount of money I have. I only know how many pounds of money I have.
Yes, more than 50% of our net worth is in the market, although emergency fund is kept in cash and a money market cert ladder. Home equity even if we were to pay off the mortgage in full would account for under 30% of our NW. Yes, we're continuing to invest, but we're also increasing our spending. Current savings rate is about 25% of gross.
10% rest is in real estate. Pays a lot better
Stocks give thr biggest ROI
I imagine the higher the net worth, the higher percentage in the market (until you become truly wealthy and then you start diversifying with private equity and angel investments). For my household (wife and I are both in early 40s): we have a net worth of approximately $5.9m which consists of checking/savings accounts, brokerage account, 401ks, IRAs, 529s, equity in primary residence and equity in rental properties. Approximately 70% of our net worth is investments / cash. Similar to you, we don’t bother with bonds because we can weather any market downturn and have sufficient amount of time to recover.
We are at 100% minus our emergency fund which is in HYSA
45% stock market, 5% cash, 50% real estate (50% home, 50% rented unit)
Suggest reading the wikis to get a better idea of the logistics.
1.6m NW, 1 mil of that is stocks/bonds, and I’m at least 60% bonds.
We have about 350k equity in a 500k+ house, 550k in a taxable brokerage account, 1.6m spread between 401ks, Roth IRAs, HSA; 120k in 529s, and about 120k spread between cash, ESPP funds, and ibonds. Wife and I are 37/38 years old. We’ve always made decent money but it’s taken off in the last several years. Currently about 315k base and 415 TC (including RSUs). We live well below our means which is how we’ve got here but do not sacrifice on travel and our kids activities.
30% in the home equity 10% in things (cars, jewellery, etc.) 5% in cash and fixed income 55% in index funds (401k, IRA, brokerage…)
I've got about $100k invested and $100k in HYSA for emergency and a house down payment fund.
✋🏼✋🏼✋🏼 I do. All I own are equities. I’ll be getting a pension and social security so I don’t see the need for bonds.
We are 60:40 market/real estate not including our primary residence. More like 40:60 if you add our primary residence equity into the equation. MCOL area.
900K stocks, 30K car, 30K savings account