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Well said. Of course, the entire premise can be justified succinctly by recognizing that a portfolio consisting of the typical 23 year old tech grad's net wort
by mgraczyk 11y ago
Well said. Of course, the entire premise can be justified succinctly by recognizing that a portfolio consisting of the typical 23 year old tech grad's net worth ($25-$100k) plus the first round of grants from a large tech company ($10-$40) would consist of 9.1%-61.5% stock in a single tech company. Keeping the stock would put you anywhere from foolishly to comically over invested in the company.
- mifreewil 11y agoPretty sure the typical tech grad (or any grad) has a negative net worth.
- bitJericho 11y agoEven more reason to sell that stock and pay back the student loans. While student loans will more than likely have a lower interest rate than the interest you earn on a successful company's stock, student loans are forever and can't be forgiven except in rare circumstances (in the US). Pay that off and don't be so stupid as to take student loans again!!
- mattlutze 11y agoAre you referring to student debt vs starting salary with your net worth comment? Otherwise I'd love to know where the average student is graduating college with such healthy investment portfolios.
- mgraczyk 11y agoNot student. By "23 year old", I meant a CS grad one year out of school who has been working for a year at a large tech company. Even if the tech grad had the 2014 national average student loan debt of ~$29k for all majors (tech majors have less debt), after 1 year the student will have easily paid off the debt and saved $25k.
- deleted 11y ago[deleted]
- mattlutze 11y agoSuch a person won't be a "typical tech grad" as the typical tech grad is not going to end up at Google (there just aren't enough slots, if nothing else). But, in the parameters, gotcha.