I recently listened to an interesting podcast with investor Peter Schiff of Euro-Pacific Capital. He’s the guy that earned the title ‘Dr. Doom’ when he correctly forecast the housing bubble that led to the Great Recession. He wrote a book about it two years before it happened. Schiff – a self-described libertarian capitalist – did a 3 hour interview with Joe Rogan recently. He raised … Continue reading Bubble Economy?
During the Democratic National Convention two weeks ago, news slipped out that Joe Biden was developing a new tax plan that would rollback benefits for 401K plans. He even had his Economic Advisor speak to it at a panel event at the convention. Like many ‘progressive’ initiatives, this one involves reducing or eliminating 401K tax benefits from higher income households and transferring that benefit to … Continue reading Keeping Up With Election Proposals – Taxing 401Ks
After seeing the details of Biden’s big tax increase proposal and reading that there is a legitimate chance that Democrats will win the White House and both houses of Congress this November, I figured it would be a good time to accelerate some MegaCorp stock option sales that I could otherwise stretch out to July 2022. I made my big stock move of the decade … Continue reading Cashing In Before The Election
This past Tuesday, my wife and I celebrated our 30th Anniversary with a getaway to Minnesota’s scenic North Shore on Lake Superior. Over dinner on the deck of a lakefront restaurant, we were sharing memories of our wedding rehearsal, ceremony, and reception. They are all distant memories now, but many stick with you from the time they happen. I recalled my Dad’s reaction to the … Continue reading Anniversary Memories
There it is … the S&P 500 is just 6 points short of record territory, despite the CV-19 pandemic. I was chatting about the amazing rebound in the market yesterday with an old MegaCorp colleague and we were both astounded that it could jump back so quickly. He asked what I thought about the stock market right now and what I would do in his … Continue reading Amazing Rebound
I’ve never been directly accused of being a show off by anyone, but I also don’t hide the fact that I’m a successful early retiree. This past week I had lunch with a MegaCorp friend and he commented on my cool, casual appearance – and what a relaxed existence I seemed to be enjoying. Sure, everyone is more casual these days as they work from … Continue reading Business Casual vs Living Casual
We are blessed to be able to live a comfortable lifestyle in early retirement, by almost anyone’s standards. Our son thinks we are sometimes too frugal, but we’ve enjoyed many vacations, entertainment experiences, and everyday luxuries over the last 4 years. In general, our spending is still in line or even slightly below what we planned for our FIRE escape. Still, like most people, we … Continue reading What Are You Wasting Money on?
When people talk about reaching retirement, they often talk about what their ‘number’ is. That is, how big their nest egg needs to be to make them fully financially independent and empowered to walk away from their job into early retirement. The “other number” that people don’t talk so much about is life expectancy or lifespan. Clearly saving for retirement is a function of both … Continue reading Your ‘Other Number’ – Lifespan
Our son signed up for his company 401k plan as quickly as he could after starting work last month. The company has a good match, but he wants to make sure he is saving as much as he can to really put himself ahead in the future. He wondered how much more he needed to save – beyond the 401k to really be on track … Continue reading Playing The Percentages For Savings
Inflation is one of the assumptions that our FIRE financial model is the most sensitive to. Even a half percent change in inflation over a 40 year retirement plan is hugely significant. We use an assumption that our spending inflation will be between 2.5-3.0% a year, which is slightly higher than what the official US Consumer Price Index (CPI) has averaged. I’ve read articles in … Continue reading How Fast Are Prices Really Rising?