akmco14 t1_iy87lu6 wrote on November 29, 2022 at 2:07 PM

You should be following the flow chart in the wiki if you're trying to max out your net worth long term. Everything in the market is on sale right now and you don't need to take anything out of retirement for 30 years so this year's losses are, frankly, irrelevant.

The 20k you didn't put in your 401k this year cost you $94,869.82 in 30 years assuming a 6% return annually which is lower than what many calculators assume.

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NoMoneyAnywhere OP t1_iy8l2ld wrote on November 29, 2022 at 3:47 PM

> The 20k you didn't put in your 401k this year cost you $94,869.82 in 30 years assuming a 6% return annually which is lower than what many calculators assume.

This would be true if I never put 20k in. But if I would have invested 20k this time last year in a fund like FLCEX @ $24.05/share, I would now have $15.5k. After 30 years that is 89k (the calculator I used says 20k would be $115k not 95k like yours said).

Now lets say I put the 20k in right now. Again, after 30 years I would have 115k which > 89k. But I waited a year, so that 89k would now be 94k. So I will "make" more by waiting for this past year versus if I would have invested at the same time.