UnThreaded | Threaded | Whole Thread (3) | Ignore Thread Prev | Next
Author: memarcit Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: of 75381  
Subject: Another ESPP Question (long) Date: 6/26/2000 1:53 PM
Post New | Post Reply | Reply Later | Create Poll . Report this Post | Recommend it!
Recommendations: 0
Hi all:

I've worked for almost three years for a major business news publisher and just now am eligible for the ESPP. It's a typical plan, 15% deduction off fair market value. I can't afford lump sum payment now, I'd do payroll deduction.

I'm just wondering if I should do it - i'd just be able to afford about 36 shares or $50+/wk - for the following reasons:

1. Am contributing 5% of salary to 401K - more than enough to get total employer match, but obviously not maxing it out. I get 5% each week from employer.

2. Fully funding Roth IRA each year in hopes of using $10,000 to help purchase home in min. of 3 years.

3.Looking to save more $$ in relatively liquid instruments for emergency savings. Looking to save more in taxable (equity, i guess) investments for home downpayment.

4. No high-interest debts, car payments, etc. Just $3,000+ low-interest student loan left to finish up.

Employer is solid, has been around for 100+ years.

Any thoughts? Should I forgo ESPP and increase 401K witholding? Increase emergency savings? If I did the ESPP I'd hold the stock for at least the two-years necessary to avoid the tax hit and then probably sell to raise cash for home purchase.


Any thoughts?

Thanks in advance,

MM
Post New | Post Reply | Reply Later | Create Poll . Report this Post | Recommend it!
Print the post  
UnThreaded | Threaded | Whole Thread (3) | Ignore Thread Prev | Next

Announcements

The Retire Early Home Page
Discussion on accelerating retirement day.
Post of the Day:
Value Hounds

Mylan Transitioning from Generics
What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Community Home
Speak Your Mind, Start Your Blog, Rate Your Stocks

Community Team Fools - who are those TMF's?
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and "#1 Media Company to Work For" (BusinessInsider 2011)! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.
Advertisement