brown metal coffin
Well-Known Member
Does anyone here purchase the UPS store through the payroll deduction. Why are why not?
UPS stock anyone?
- Thread starter brown metal coffin
- Start date
brownmonster
Man of Great Wisdom
brownmonster
Man of Great Wisdom
Yes. 50 bucks a week. My dividend check is almost enough to where the stock is buying itself.
kingOFchester
Well-Known Member
UPS stock is stagnant. Getting a 5% discount isn't enough to get me to buy. 10% probably.
brown metal coffin
Well-Known Member
I have been doing 22% a week out of my 401(k) and $115 a week on the stock. I like the UPS stock is because along with the 5% discount you get the 3% yield and it's growth is out so it seems like a pretty good deal so far. It used to be killer when you could get it 10% cheaper and they would purchase it for you when the stock was at its lowest point whether it was at the beginning of the quarter or the end of the quarter.
Jackburton
Gone Fish'n
No, there are much better dividend stocks out there if that's what you are looking for. The discount isn't worth the restrictions on requiring you to hold the stock for (correct me if I'm wrong) 1 year, or is it 2? Let's put it another way, say we strike, not only is your paycheck effected, so is the stock price, double whammy.
bluehdmc
Well-Known Member
I buy it, $25 a week, not really a bargain at 5% discount, and you also have to declare 5% of the selling price if and when you sell as ordinary income.
I really do it for the convienence of savings than anything else. I do have other investments. The stock hasn't done that badly, not really a mover and shaker but a 3% dividend is considered decent.
If there is a strike it may take a hit, but then it seems when ATT or some other company announces big layoffs the stocks seem to go up.
I really do it for the convienence of savings than anything else. I do have other investments. The stock hasn't done that badly, not really a mover and shaker but a 3% dividend is considered decent.
If there is a strike it may take a hit, but then it seems when ATT or some other company announces big layoffs the stocks seem to go up.
GameCockFan
Well-Known Member
$50 a week. Going to stop it soon. Think it would be better to up my 401k percentage. I will be more diversified. If your relying on a company pension (Central States), and buying stock in the same company too many eggs can be tied up in one basket.
Catatonic
Nine Lives
If you were not working at UPS and getting your pension (hopefully) through UPS and your medical coverage through UPS, I would agree with you.
If you go to a financial adviser and tell him all this, make sure he is not taking a drink of hot coffee at the same time.
Benben
Working on a new degree, Masters in BS Detecting!
5% discount + 3% Divi = 8% yield!!
Forced savings that add up fast with the divi's re-invested. I try to buy 1 share per week. Thats 52 shares a year or the way I look at it, every 2 years I can withdraw the price of a great vacation for the wife and I at the tune of less then 2 hours OT each week. Keeps her off my back when I roll in at 8:30 every night. We went to Jamica last year.
Look at it this way: Our checks fluctuate so much each week due to hours and bonus' that you will not notice 10% 401K deduction( before tax) and some dollars going into the DESPP. But at the end of 20+ years you will notice the 100's of thousands of dollars in the 401K. And all you had to do is get on-line and make a few simple clicks of the mouse.
Forced savings that add up fast with the divi's re-invested. I try to buy 1 share per week. Thats 52 shares a year or the way I look at it, every 2 years I can withdraw the price of a great vacation for the wife and I at the tune of less then 2 hours OT each week. Keeps her off my back when I roll in at 8:30 every night. We went to Jamica last year.
Look at it this way: Our checks fluctuate so much each week due to hours and bonus' that you will not notice 10% 401K deduction( before tax) and some dollars going into the DESPP. But at the end of 20+ years you will notice the 100's of thousands of dollars in the 401K. And all you had to do is get on-line and make a few simple clicks of the mouse.
brett636
Well-Known Member
I was doing $35 a week, but stopped as I wasn't sure it was wise to basically have all my single company stock holdings in one company. The dividend is great, and I am continuing to participate in the DRIP, but I'm not sure I will go back to buying it through payroll deductions.
728ups
All Trash No Trailer
Hoax i usually agree with most things you post but in this case I have to disagree: This week I took my figures from my stock and 401K holdings along with my wife's 401k holdings and her stock portfolio to a Financial Planner to see how we stand and long story short I spent a Consultation Fee to be told we are pretty much doing things right to achieve the goals we have . He liked my UPS holdings as well as the 5% discount and increased Quarterly Dividend.
UpstateNYUPSer(Ret)
Well-Known Member
Consultation fee? The first meeting with a financial planner is usually free.
Returntosender
Well-Known Member
I had part- time sup tell me he did the same thing. He lucked out cause he bought FDX right before the last split. He also owns property that he rents out.
Catatonic
Nine Lives
As long as you don't have more than 10% of your total investments in any one company (UPS) then OK.
I agree with the 5% discount. I participated in the DESPP program up until 2-3 years ago.
After two years of a DESPP purchase (actually when I accumulated enough to go over 100 shares) I always sold and bought other non-transportation industry stocks. DESPP was a lot better than it is now.
The UPS dividend yield at 3% is OK but nothing great.
Your pension should be treated like an investment and associated with UPS stock.
I assume you went to a Financial Adviser that does not recommend individual stocks or Funds and does not invest money for you.
That is a good thing.
A person that invests your money for you is not a Financial Adviser but is a sales person.
