Date: Tue, 16 Dec 2003 11:24:57 CST
From: mhnsp@yahoo.com (Steve)
Newsgroups: misc.invest.financial-plan
Subject:  Re: Inflation/DJIA historical rates
Message-ID:  
References:  
	iQBVAwUAP98/6fl/I4+O31e5AQHVWQIA0qxw6MWTwwxO7g9hLol2MBOmku7CNzQO
	bXh6z/h61zgFoK5KOYViMtyRnDnHhxi4HaY7VbXS1asiI0cLiZzxjQ==
	=7YXW

mhnsp@yahoo.com (Steve) wrote in message news:...
> Does anyone know where I may be able to find the following data:
> 
> 1. Dow Jones Industrial Average rate or return for each of the past 25-30 years.
> 
> 2. Inflation rate for each of the past 25-30 years.
> 
> Thanks,
> Steve

First of all, thanks to everyone who posted.  I publicly admit that I
am a novice when it comes to all this financial stuff.  I guess what I
should have explained initially was the why to my question.  I have
contemplated seeking the services of a financial adisor to iron-out a
concrete plan for me and my family.  I'm almost 40 years old, and
started in on the game a little late.  Now I am trying to get things
straightened out for retirement.  My big question is how much should I
put away to be comfortable when I retire (65-70?).  I had hoped by
understanding previous trends in the financial world (mainly
inflation, bond and stock rates), I could get a guage on how to
realize my goal.  I understand that past results have no bearing on
future results, but thought it a better guage than nothing.

Basically, I am married and almost 40 and have about $65K currently
locked into a company 401(k) account (~$50K) and my wife's traditional
IRA account (~$15K).  We recently had our first child, and want to
start saving for her college eduaction, also.  We have some bills to
pay off in the short term, but hope to be clear of everything but a
mortgage and a car payment in a few months.  I currently put away
~$400/month in my 401(k) with an employer match of 50% (making it
~$600/month).  I also get a pension of ~$300/month.  My wife does not
work, and we haven't contributed anything to her IRA in well over a
year.

My goals are to ...

1. Start an education plan for my child immediately, so that she will
ave enough money for college when she reaches that age.  This requires
knowledge about college savings plans, which I have started
investigating.  One problem I have is trying to figure out how much
will be enough.  Education expenses are skyrocketing and am trying to
understand how much she'll require in ~18 years.

2. Put more money into retirement.  I figured if I continue my current
course, we will have <$500K for retirement.  This isn't a whole lot by
today's standards, and even less when inflation is factored in over
the next 25+ years.  So, I am guaging how much to put away without
over-doing it.  I'd hate to lock all that money into retirement, and
then I lose my job or something and cannot get hold of any of it.

3. Start an emergency fund.  This is actually my first priority.  I
want to put as much money as is needed into an emergency fund in case
I lose my job or something.  I've heard various amounts like 2x, 3x,
6x and even 12x your monthly income.  I figure 3x is probably enough,
but the recent economic times, I've heard people looking for jobs for
over a year, too.

Any suggestions (short of talking to a qualified financial advisor)?

Regards,
Steve