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I'm a 19 year old web developer and I'll be making

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I'm a 19 year old web developer and I'll be making 70k annually starting December.

My goal is to learn how to turn this money into more money before I have any real responsibilities and to have enough saved by 21 so that I can support myself while pursuing entrepreneurial ventures.

My only expense is my phone bill, and I'll probably finance a 10-15k car for my 20th birthday (March 29th)

I started at 44k in May and I get raped on taxes (2k biweekly check comes down to 1500~). I'd really like for my income to start generating income, but I dropped out in the 9th grade and I only have very basic knowledge on micro-economics.. I grew up in the inner city and I never seen money like that before (1k is laughable now that I see how fast it burns).

/biz/, what is this money thing and how do I manage it??
Help a negro out.
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>>959241
Your first shitty life lesson is that you can't do the fun stuff unless your parents handed you money. Before investing in real estate/stocks/business partnerships you're going to need:

>6 months expenses saved up, including the average rent in your area (this is for emergencies)
>No debt.

Look at the interest rate on your debt and remember that to balance it out, you need an equal amount of money earning an equal amount each year. Simply pay off the debt for effectively guaranteed returns.

Once you have those two things, you can start saving up for investment ventures.
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>inner city
fuck i went to a poor ass highschool and ive seen tons of burnouts
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>>959261
I have no debt
everything I make is spent on food / liquor / family / friends
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where did you learn how to program in the inner city? did gangsters allow you time to learn to program in between gang wars?
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>>959241
Just start cracking open some college textbooks on finances. It's pretty clear you're at least DECENT at self-study and you're at the age where if you took the beaten path you'de be in college anyway. That'll help you way more than anyone here probably can (especially in the long run).
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>>959241
Congrats! You made it!(for a brown person from the inner city)

How to make money?
>don't have kids for the next 10-15 years
>have an emergency fund.
>realize early that most of the things you "need" are just toys and you don't really need them.
>realize there are no get rich quick schemes and no one can promise anything above a 3-5% annualized return
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>>959332
I don't think expensive, usually fluffed up textbooks with 90% trivial information are worth it at all. Most can be learned through reddit (r/personalfinance), YouTube, and browsing /biz/ tbqh. You just need to get an eye for what's bullshit/shill and what's worthwhile advice.

Grats on getting a good job at a young age. Most people on /biz/ are probably baffled that you're being paid $70k without a degree or kneepads.

The most important thing is to get a sense for your own personal finances. Make a spreadsheet, and budget out food, liquor/entertainment, and phone bill. Make sure you're saving as much of your paycheck as you can while living at whatever standard you chose. Don't spend money on friends/family. Go ahead and pay for lunch every once in a while, but you'll become their bitch if you provide for them often.

If you don't spend $200 on malt liquor and swisher blunts for your senpai every weekend you could buy the car by march flat out and not get raped on interest.

Good luck!
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What approximately is required in order that someone be considered a web dev nowadays? Just curious how much study would be required that I'd qualify for the kind of wage you state.
I've built porn sites and outright bought property with the affiliate ad revenue, but all I know is html, very basic server admin, and how to steal code. Zero programming experience. Seems odd that I made so much doing this stuff but am presumably woefully underqualifued for any kind of pro pursuit of this line of work. Might a year learning basic php and mysql be sufficient that I'd stand a chance in hell of anyone paying me anything like the money you're getting? I mean it's like five times less than I was getting when I did this alone, and html aside the shit I know could be learned in an afternoon.
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Okay bra, first off, the absolute key to wealth generation is saving. You got a good offence (70k income) now you need a defence. Spend about half of what you were gonna on that car. Read Mr. Money Mustache's blog for more on this (Also Read The Millionaire next door, or The Richest Man in Babylon).

Once you're saving, you need to put the money to work for you. You're young, so the stock market is the best option (assuming you don't need the money for a few years while you're saving for your biz). DO NOT go to the Robin Hood thread and engage in speculation. You're self admittedly new and know nothing about the market. Rather than trying to pick stocks and lose money, you're gonna invest in low fee Index ETFs (Google and watch YouTube videos till you understand - never invest in something you don't understand). You're guaranteed the market average return (which will put your above the vast majority of individual traders) and then minimal fees. Vanguard ETFs will achieve this.

For more on this, look up Bogleheads or Defensive investing.

Shit man, 2 years isn't a long time to save though. If you want a decent return, you'll need to invest in something volatile (stocks) which could go into the negative (NEVER, EVER sell at a loss) which you'll have to wait out. Your best option will probably just be to save your ass off.
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>>959350
Need to know your way around UNIX, git, etc. and have a decent portfolio of sites that show off strong Javascript knowledge or very good design skills with HTML + CSS. That's for front end. If you want back end you need to know at least one back end language well as well as SQL or whatever edgy database the company you want to work for uses.

Back end and even Javascript is significantly harder than using htttrack and editing colours though. I started affiliate marketing when I was like 14 but am getting into web development because reliability + more fun for me.
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>>959322
>I have no debt
>I'll probably finance a 10-15k car for my 20th birthday (March 29th)

That is debt. Save up and pay off the car.
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>>959241
Obligatory nigger post.

Step it up, /pol/
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>>959241
>affirmative action

how does it feel that you were chosen primarily due to your race?
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>>959241
Good for you

Max out your 401k contribution every year, invest it in the S&P 500 ETF. In the long run, it averages 7% returns after inflation.

Next, look up what a Roth IRA is. The max you can contribute every year is 5,500. If you qualified to contribute to it every year (can't make more than 120k), and invest it in an S&P 500 ETF, you'll have over $3 million in that one account by the time you're 65.

But the key is to NEVER withdraw money from these accounts before retirement, there will be crazy fees
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Congrats bro
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Nahh nigga don't listen to these cracka ass hoes. U need to get u some new kicks and a brand new tricked out slab to get dem thick white girls on yo dick.

Then just show up turnt up at work everyday and if yo boss act up, sock that faggot in lmao. Livin da dream homie, don't listen to these racist weak ass niggas talkin bout savings and investment and shit. That's some bullshit to keep you down. You need to be keepin it reaaal, don't be a sellout house nigga bitch.
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You need to bury all of your money

in your sixth wheel.
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>>959863
Keksimus maximus
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>>959850
>it averages 7% returns after inflation
mon sides
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>>959850
Nah that's before inflation. Fed aims for 2-3% inflation so don't count on anything more than 4-5%.
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>>959241
Welcome to the earning (and the paying) class. As others have said, don't get caught up in generating income just yet. First thing to do is remove risk and maximize your earnings from your only income source (your job).

>Realize that most of the stuff you buy in life is a 'want', not a 'need'. You NEED food, shelter, transportation, basic communication, and a cheap hobby. A hobby is important because it gives you something to do besides spend money.
>Pay off your current debts as fast as possible. Make a plan to eliminate student and/or credit card debt, if you have any, within months, not years. Car payments are okay to stretch out but you should put them on an aggressive pace too.
>Avoid new debt. Pay off credit cards immediately. NEVER carry a balance from month to month. Avoid buying a house or a fancy car at this point. If you can't put down at least half the price of either of those things you really shouldn't even be thinking about buying them.
>Contribute to your 401k if you have one and open an IRA (whether you have a 401k or not). You can contribute up to $18000 a year to a 401k and $5500 to an IRA. If saved until retirement age these accounts can give you absurdly powerful tax advantages. You are literally a moron if you do not take advantage of them.
>Contribute to an HSA if available. It's the same thing as a 401k essentially but useful for medical expenses instead of retirement.
>Save six months of money in an emergency fund. Make a budget and figure out how much money you spend in six months (including rent) and keep that much in the bank at all times.
>Don't get involved with women. They are expensive and will steal your money if you aren't careful, particularly if you have children with them. If you must involve yourself with women choose them carefully and consciously value money skills and income over looks.
>Once you've done all of the above start putting some money into a brokerage account and just play with it. Learn by doing.
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>>959893
>>959897
http://www.investopedia.com/ask/answers/042415/what-average-annual-return-sp-500.asp

except you're wrong
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>>959989
jesus dude, have you ever picked up a book? That's the HISTORICAL rate. Which means average in case you didn't know. Please look at the current returns on DJIA and S&P and tell me if they even come close to 7%
fuckin keks faggot
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>>959989
>past results are not necessarily an indicator of future performance
>not including taxes
This is why I think you NEET BUX fags are so funny. You're banking on the fact that it will return 7% after inflation going forwards. Why the fuck do you think that would be the case? You do know that the S&P500 is THE MOST SUCCESSFUL index of the past century and you're pretty much basking in hindsight bias here?

Growth is anaemic and nothing looks sunny at the moment for the USA. You'd have to be crazy to bank on 7% after inflation and being completely concentrated in US equities.

Also, from your own source;
>"Adjusted for inflation, the historical average annual return is only around 7%. There is an additional problem posed by the question of whether that inflation-adjusted average is accurate since the adjustment is done using the inflation figures from the Consumer Price Index (CPI), whose numbers many analysts believe vastly understate the true inflation rate."
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Damn guys, just got off work. Didn't think anyone would actually post in this thread.
Gonna start reading replies.. Btw I got my official offer letter today.
Some advice on health insurance / benefits would be great too.. And also I feel like my taxes are unfair / incorrect..

Anyways, pre-thanks for the great advice
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>>959863
>things I hear everyday from friends
Nah bro I want to do this the right way. I realize this talent is a blessing. I don't care much for flashy shit.
>>959350
Well I've been coding since 14, but it was all object oriented stuff. I wanted to make games originally. At 18 I met this dude making a non profit for bringing code literacy to the inner city, and I transitioned into their lead dev role after 2 weeks of HTML / CSS ( JavaScript was like broken Java to me and php felt pretty similar)

You don't have to be a talented programmer to be a programmer. Just go to a boot camp for slightly less credibility than a comp sci degree would get you, and augment the lack of experience with meaningful projects on your github. Boom. 40k+ annually even in the south. Our non profit has the down pact. Look up resilientcoders.org, check me out on YouTube too - micah Martin. My story is a little affirmative - actiony, I will sadly admit. But my story overall is fucked and I deserve to be in the position I'm in.
>>959330
I'm really good at googling stuff, I guess?
>>959354
Great post, thanks man.
>>959668
Damn, guess you're right. But the fact remains that I lack any real responsibility, if there was ever a time to nigg out one payment wouldn't it be now?
Pls approve my irresponsible spending just for a car? Not that it matters but meh. That's gay. >>959921
>what the fuck is a 401k

Lol changing rungs on the socio-economic ladder is confusing. I currently make more than anyone in the family, but were first generation immigrants so that's expected. It just sucks that I can't ask my senpai these questions
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>>960181
>I'm really good at googling stuff, I guess
>what the fuck is a 401k
Come on dude, you're better than this
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>>960181
>what the fuck is a 401k
You really should google it. tl;dr the government lets employers set up retirement plans where employees can save money without paying taxes normally if they don't take it out until retirement.

>Traditional 401k
You put money in pre-tax, so if you make 100k and put 10k in the 401k then you only get taxed on 90k. This lets you buy more stocks and shit. When you retire you take the money out and pay taxes then.
>Roth 401k
You contribute money after paying taxes on it, but when you withdraw it at retirement you pay no tax at all.

>IRAs (Individual Retirement Account)
Comes in traditional and Roth just like a 401k. The difference is that your employer has to set up the 401k. The IRA is just there. You can have both a 401k and an IRA and should if possible.
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>>959850
>The max you can contribute every year is 5,500. If you qualified to contribute to it every year (can't make more than 120k), and invest it in an S&P 500 ETF, you'll have over $3 million in that one account by the time you're 65.

Where are you getting 3 mil from? I am getting like 1.8mil
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>>959241
Nice job!
I'm 24 with a useless community college degree making $120k/year selling solar door to door. I've increased my rate of savings to 70% of my income. I'll be a multi-millionaire in 10 years.
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>>960534
HOW the FUCK do you people get so much money and get so successful

WHAT is your FUCKING SECRET
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>>959265
I went to one... No excuses, that'll get you nowhere.
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>>960541
The secret sauce is to be better at your craft than you were yesterday and have the confidence that you can get any job done. If you can sell door to door you can sell anything to anyone. Best decision of my life. I almost transferred to a university and became a slave to debt.
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>>960181
To make your life easier I recommend buying a car outright. You'll get a way better ride from a 3rd party because you wont get shafted by a payment plan.

Also 401ks are good with employer match.
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>>960181
>Damn, guess you're right. But the fact remains that I lack any real responsibility, if there was ever a time to nigg out one payment wouldn't it be now?

Even if you want to nigg out for a $15k car, if you're not mentally fucked with your spending, you'll have enough to buy it flat out by the end of March. Remember to buy used also
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>>960181
>>960534
Fuck lads, really great to hear. You both sound like good people. Best of luck.
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>>960181

>nig out now

I want to be rational and say that you shouldn't, as the money you'll make in your youth is incredibly important and shouldn't be frittered. But on the other hand, I did the same thing myself at your age, while I was earning a lot less. How bout save up the money, and then think again about how much you want to spend on your car.
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>>960577
Or try building up a line of credit by setting the money aside and doing payments
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>>960599
"building up a line of credit" is a meme for stupid people that live paycheck to paycheck. If you have a 70k/year job you won't have any issue at all getting a mortgage.
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>>960534

Exactly what I do, Im loving this door to door sales. What state you selling in?
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$230k, 18 years old, university in september, living in Europe. What would you do in my boots?
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Put aside money each month. Push the spending into the ground.
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Buy a used car, as cheap as possible.
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>>960754
I'm in California right now. you?
My buddy is high up in the recruiting. He's going to post an add for sales jobs later this week with a link to send resumes so keep a look out guys.
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