A good video Utsav. However your video caters to the US folks. I have not seen an average median salary of 178K (which you showed right in the beginning) for IT professionals in Canada. Everything here is so f$%^&# expensive here that people are tired of our moron (PM) and a lot of them have moved out of Canada too. Not sure which company in Canada pays this kind of salary 🙂 Overall a very detailed video.
Minor detail regarding 10:48 - for backdoor Roth, your ability to convert your traditional IRA to a Roth IRA is independent of your employer, so there's no need to check with them. Also, limit for 2024 is $7000 if you're younger than 50, and $8000 otherwise Minor detail regarding 11:29 - the employer match also needs to be deducted from the $69K limit, not just the $23K individual limit. So, the after tax contribution limit is really $69K - (23K + employer match). Moreover, if we're being super precise, while not a financially sound move, one can technically contribute $0 to trad and Roth 401K, get $0 employer match, and contribute all $69K to after-tax 401K. The point here is that the real contribution limit for after-tax 401K is 69K - [min(23K, trad 401K + Roth 401K) + employer match]
This video came at just the right time thank you! I have about 100K in a HYSA and am debating whether to put into ETFs or Index funds. I agree that the traditional 3-6 month emergency fund is not applicable to lots of us software engineers at this time. I quit during the pandemic and it took me almost a year to find another job. I'm also junior and suck at leetcode though, so I think having experience and if you are good at leet code, you don't need as much in emergency fund. It's also important to consider economic downturns though, so all that coupled together is why I like to keep about 1 -2 years worth of expenses in emergency fund.
My view on the Porsche vs Ioniq is that f you daily drive your 911, chances are you may see similar depreciation to your Ioniq. Depreciation and overall cost of ownership on cars is difficult to determine as there are so many variables such as maintenance (expensive on the 911 vs cheap on EVs), fuel costs, accidents, condition, miles, location, used car market, etc, etc.
All valid points. That was just a napkin example on doing a bit more diligence before splurging into the next shiny thing. In reality, no one is cross shopping an Ionic 5 and a Porsche 911.
Moving to the US in the future and also going to graduate as a software engineer... what would you say are the best areas in the US when it comes to tech jobs and high salaries? And what do you suggest in terms of accommodation? Many tech hubs (like Seattle) are WAY too expensive to live in.
A fantastic breakdown.
This should be included in company orientation seminars too 😊
A good video Utsav. However your video caters to the US folks. I have not seen an average median salary of 178K (which you showed right in the beginning) for IT professionals in Canada. Everything here is so f$%^&# expensive here that people are tired of our moron (PM) and a lot of them have moved out of Canada too. Not sure which company in Canada pays this kind of salary 🙂
Overall a very detailed video.
Minor detail regarding 10:48 - for backdoor Roth, your ability to convert your traditional IRA to a Roth IRA is independent of your employer, so there's no need to check with them. Also, limit for 2024 is $7000 if you're younger than 50, and $8000 otherwise
Minor detail regarding 11:29 - the employer match also needs to be deducted from the $69K limit, not just the $23K individual limit. So, the after tax contribution limit is really $69K - (23K + employer match). Moreover, if we're being super precise, while not a financially sound move, one can technically contribute $0 to trad and Roth 401K, get $0 employer match, and contribute all $69K to after-tax 401K. The point here is that the real contribution limit for after-tax 401K is 69K - [min(23K, trad 401K + Roth 401K) + employer match]
Invest in Bob and Vegene
Great video! Please make one about how to do the Mega Backdoor Roth IRA 😀
This video came at just the right time thank you! I have about 100K in a HYSA and am debating whether to put into ETFs or Index funds. I agree that the traditional 3-6 month emergency fund is not applicable to lots of us software engineers at this time. I quit during the pandemic and it took me almost a year to find another job. I'm also junior and suck at leetcode though, so I think having experience and if you are good at leet code, you don't need as much in emergency fund. It's also important to consider economic downturns though, so all that coupled together is why I like to keep about 1 -2 years worth of expenses in emergency fund.
Your eyes on Porsche lol
Thanks for sharing your way! There is some like video but for Europe/Germany?
My view on the Porsche vs Ioniq is that f you daily drive your 911, chances are you may see similar depreciation to your Ioniq. Depreciation and overall cost of ownership on cars is difficult to determine as there are so many variables such as maintenance (expensive on the 911 vs cheap on EVs), fuel costs, accidents, condition, miles, location, used car market, etc, etc.
All valid points. That was just a napkin example on doing a bit more diligence before splurging into the next shiny thing. In reality, no one is cross shopping an Ionic 5 and a Porsche 911.
Moving to the US in the future and also going to graduate as a software engineer... what would you say are the best areas in the US when it comes to tech jobs and high salaries? And what do you suggest in terms of accommodation? Many tech hubs (like Seattle) are WAY too expensive to live in.
Juniors in USA earn more than seniors in London, UK.
UK is doomed bruh
My money is sitting in some 401k IRA, didn't know I need backdoor. Thank you for the video, this helps me save some $$ during withdrawal!
Hey Utsav, really nice video! I was wondering if i can help you edit your videos and also make highly engaging shorts out of them.
not the first sentence😭
Hmm 🤔
How much do you recommended contributing to ESPP?
fifrst
D E S I G N A T E D
Very succinct breakdown. Great video! Thanks!
Amazing, thank you for this!!
Great video
Dollar-cost averaging is a _betting_ that the market will go down, important to understand for the context
Not necessarily. It could have an average upwards trajectory but be a wavy line instead of a straight line.
@@JohnFarrellDev OP means to say: youll be better off DCAing if the market drifts down. If it drifts up, you are better off buying in at once.