Retirement is now more difficult than it was in the past, they say it’s all about balancing your risk tolerance with your long-term goals. I will consider speaking to an advisor to help in strengthening my portfolio.
I think the market is likely at its best now, but I still believe having a financial advisor is crucial to navigate the market and moderate your risk especially if you’re planning for retirement. Their expertise can really help you make informed decisions.
Agreed, I’ve always delegated my excesses to an advisor, since suffering major portfolio loss early 2022. I’m now semi-retired and only work 8 hours a week with barely 25% short of my $2M retirement goal after subsequent investments to date.
Thanks for sharing your experience! I’ve been managing my retirement portfolio myself, but it’s not working out. Can you recommend a standard advisor? I could really use some help.
My CFA, *Joseph Nick Cahill* is a renowned figure in his field. I recommend searching his name online; you’ll find all his credentials and everything you need to work with a reliable professional. With many years of experience, he is a valuable resource for anyone looking to navigate the financial market.
Thank you so much for the suggestion, I really needed it. I looked him up on Google and explored his website, he has an impressive background in finance. I’ve sent an email and I hope to hear back from him soon!
I believe the retirement crisis will get even worse. Many struggle to save due to low wages, rising prices, and exorbitant rents. With homeownership becoming unattainable for middle-class Americans, they may not have a home to rely on for retirement.
@rossie-m2t Safe to say not everybody has the skill to pursue investing. But it's always easy to follow the advice of someone who knows how to i.e. a financial advisor. You could anywhere between 10-40k with the right ones. Online businesses are a good bet too if you are savvy.
@@KarenDuncan-o5s Your advisor must be really good. How I can get in touch? My retirement portfolio's decline is a concern, and I could use some guidance.
@@BarbaraLouise-i3r MARGARET MOLLI ALVEY is the licensed advisor I use. Just research the name. You’ll find the necessary details to work with a correspondence to set up an appointment.
@@KarenDuncan-o5s Thank you so much for your helpful tip! I was able to verify the person. She seems very proficient and I'm grateful for your guidance.
Investing in a Roth IRA can be a good choice since they are funded with after-tax dollars, and your contributions can grow tax-free over time. When you withdraw money from your Roth IRA in retirement, you won’t have to pay tax on it, which will help you keep more of your hard-earned money. I retired with 2 million dollars.
If you’re new to investing or have a more complex financial situation, It can be helpful to work with a financial advisor who can provide personalized guidance and help you make informed investment decisions.
@@amolejoshua7452 On the contrary, even if you’re not skilled, it is still possible to hire one. I am a project manager and my portfolio of approximately $750k took a big hit in April due to the crash. I quickly got in touch with a financial planner who devised a defensive strategy to protect and profit from my portfolio this red season. I’ve made over $260k since then.
@@PatyRamírez-z9z Due to the market falls, I need advice on how to rebuild my portfolio and develop more successful tactics. Where can I find this teacher?
@@FolarinSodiq Victoria Carmen Santaella is the licensed advisor I use. Just research the name. You’ll find the necessary details to work with a correspondence to set up an appointment.
Biggest lesson i learnt in 2023 in the stock market is that nobody knows what is going to happen next, so practice some humility and low a strategy with a long term edge.
Most people don’t realise it, but the secret to retiring comfortably is finding a way to make returns while your money works for you. My dad, as I remember, started saving for retirement quite late, but I know he was making more than $10k returns from his investment monthly and it was completely passive.
Not really. Approximately four years before to my dad's retirement, our family was introduced to a financial advisor. That was the catalyst for the transformation. I believe my retirement income would be on the right track because I've been using the same advisor.
There are many independent advisors to choose from. But I work with Monica Shawn Marti and we've been working together for almost four years and she's fantastic. You could pursue her if she meets your requirements. I agree with her.
Thank you so much for your helpful tip! I was able to verify the person and book a call session with her. She seems very proficient and I'm really grateful for your guidance
Overall, 60% of traders think this year would favor stocks, mutual funds, and other equity-based investments, despite Treasury yields and other safer cash-like investments paying big. I’m looking for opportunities in the market that could fetch me $1m ahead of retirement by 2025.
Investing without proper guidance can lead to mistakes and losses. I've learned this from my own experience. If you're new to investing or don't have much time, it's best to get advice from an expert.
@RobertsArthurs How can one find a verifiable financial planner? I would not mind looking up the professional who helped you. I will be retiring in two years and I might need some management on my much larger portfolio. Don't want to take any chances.
I’m 36 and I have about ($190k) liquid in savings which I plan to put towards becoming a homeowner, but based on the current high prices on real estate, do you suggest I hold from buying and look at stocks instead?
Yes, housing crash is coming. If you're thinking about investments to earn huge income while maintaining the ability to access your money and safety, so you don't get caught in a market decline, a financial planner can come in handy
I completely agree; I have approximately $650k in external retirement funds. I am debt free and have very little money in retirement funds compared to the total value of my portfolio over the past three years. To be honest, the Fin-advisor can only be neglected, not rejected. Just do your due diligence to identify a fiduciary one.
For me, Sonya Lee Mitchell turned out to be better and smarter than all the advisors I ever worked with till date, I’ve never met anyone with as much conviction.
Early saving and investing money creates compound growth, It's a beautiful thing. But it takes focus and discipline. You need to be focused enough to commit to a plan and a process.
@@gloriamaddison9890 I think the key thing here is working with a professional. Yes people have devoted their lives to making profits in the market, but those of us who haven't but are interested in investing can simply work with them.
Am 58 retiring next year but the thought of retirement gives me weakness. My apologies to everyone who have retired and filing social security during this time after putting in all those years of work just to lose everything to a problem you never imagined to happen. It’s so difficult for people who are retired and have no savings or loved ones to fall back on.
True, It has never been easier to understand how to build your money after retirement than it is right now with the inflation, when you may study and experience a completely variegated market passively by employing a successful portfolio-advisor. The impacts of the U.S. dollar's gain or fall on investments, in my opinion, are complex.
Even if you’re not skilled, it is still possible to hire one. I was a project manager and my personal portfolio of approximately $850k of my retirement pension took a big hit in April due to the crash. I quickly got in touch with a financial-planner that devised a defensive strategy to protect my funds and make profit from my portfolio this red season. I’ve made over $250k since then.
Carol Vivian Constable is the licensed fiduciary I use. Just research the name. You’d find necessary details to work with a correspondence to set up an appointment..
Congratulations! I retired last year from the Air Force at age 45, took my military pension and moved to the Dominican Republic 🇩🇴. My pension goes a long way here.
The secret is to put money away every paycheck. He says 15% but I think you check out the budget for some extra. Put it into an SP index fund. Do not touch it. Just let it grow. If you are spending 10 hours a week worrying about it now,use that time for a hustle and tuck that away. Trying to work the market is a mugs game. It can be done by a few people but you don’t d sound like one. 10 years from now your index fund in your Roth IRA will be doing great. Or 401k.
Indeed, It has always been tougher to understand how to build your money after retirement and even more so right now with the inflation. You can experience a completely varietied market passively by employing a successful portfolio-advisor.
Even if you're not skilled, it is still possible to hire one. I was a project manager and my personal portfolio of approximately $850k of my retirement pension took a big hit in April last year due to the crash. I quickly got in touch with a financial-planner that devised a defensive strategy to protect my funds and make profit from my portfolio this red season. I've made over $250k since then.
I’ve been diligently working, saving and contributing towards early retirement and financial freedom, but since covid outbreak, the economy so far has caused my portfolio to underperform, do I keep contributing to my 401k or look at alternative sectors to meet my goals?
Agreed, having a good financial advisor is invaluable, my portfolio is well-matched for every season of the market and has just yielded 120% from early last year. I and my advisor are working on a 7 figure ballpark goal, tho this could take another year.
mind sharing info of this person guiding you please? truly appreciate the implementation of ideas and strategies that result to unmeasurable progress, thus the search for a reputable advisor
excellent share, just copied and pasted Nicole Ananstasia Plumlee on the internet, spotted her consulting page ranked top and was able to schedule a call session. Ive seen commentaries about advisors but not one looks this phenomenal
Can't blame you but higher income earners (80-140K) can do a lot of stuff in cheaper places. People who combine resources have more purchasing power so I don't consider this average income for that reason. Your quote: (More of this please. This = average incomes and no real estate investment.)
@@donaldlyons17 I gotcha. Yet, it's lower income per US metrics. Middle income includes 300k salaries. I'm neither (300k nor dual income household). *But long as my point isn't lost that they should continue to include folks bringing less than $100k per year for the total household.
@@07krutons Thanks for asking. *Show something else. Other possibilities. Not everyone has a portfolio with real estate so let’s learn/see various possibilities.* That’s all.
And then there's divorce. Very common in these cases. Enough money to retire together, but separately, with kids involved, huge risk especially for the man. Look at how the judge is going to see this. She's going to get the kids. She's not working so the judge is going to want that to continue. She will likely need almost all those assets to continue in her lifestyle. What will he be left with? People change in retirement. Compatible building a family and wealth but retirement is an entirely different lifestyle. Different choices. She's no dummy. She's going to know she's going to get most of the assets along with the kids. Almost no downside for her and a lot more control. Scary. People do this stuff with absolutely no planning for divorce yet divorce is common. And in this type of case divorce is extremely common because of the large amount of money involved.
Well said 💯......I'm 42,retired at 37 with a net worth of $2 million and currently travelling the world with my partner.I've loved the FIRE movement,planned for it and I did it!Anyone else can do that too.
Amazing video, A friend of mine referred me to a financial adviser sometime ago and we got to talking about investment and money. I started investing with $150k and in the first 2 months, my portfolio was reading $274,800. Crazy right!, I decided to reinvest my profit and get more interesting. For over a year we have been working together making consistent profit just bought my second home 2 weeks ago and care for my family.
Hi. I’ve been forced to find additional sources of income as I got retrenched. I barely have time to continue trading and watch my investments since I had my second child. Do you think I should take a break for a while from the market and focus on other things or return whenever I have free time or is it a continuous process? Thanks
@@MathewOliver486 However, if you do not have access to a professional like Clementina Abate Russo, quitting your job to focus on trading may not be the best approach. It is important to consider all options and seek guidance from reliable sources before making any major decisions. Consulting with an AI or using automated trading systems can also be helpful in managing investments while balancing other commitments.
The math on this makes no sense. They went from grossing about $90k combined to $140k. After taxes that's from about $70k to $105k. He then claims they were spending $30-40k on their expenses but also started saving 50-80% of their *gross* income, which is impossible given their stated expenses + taxes. The only way this is remotely possible as stated is if they immediately started earning $140k combined = ~$105k after taxes, lived on $30k, invested the other $70k, and experienced incredible returns to turn that $700k total invested over the span of a decade into $1.3 million. I feel like an inheritance or something else is missing.
I feel the CNBC channel is turning more and more like all of the other finance youtubers. They don't say the full story, they never talk about heritage, etc. You are right. The math doesn't make sense here. Me and my girlfriend are making around 140k a year (no kids and in Canada). We are saving a lot, not spending much but we are far from 1.3 millions.
Exactly. Anyone who bothered to run the numbers would immediately realize that something is off here. If your gross income is $90k-140k, there is absolutely no way you'd pay off your house AND accumulate $1.3m within 10 years, even with all the investing and stuff, especially for a family with 3 kids. Either this guy is just bluffing or is intentionally hiding part of the income.
They would not pay $35k in taxes on a $140k income. They have a lot of deductions with the 3 kids, plus they wouldn't pay taxes on 401k contributions or on any HSA savings (if applicable). They might actually take home more like $120k or $125k. If they netted $120k, and saved $70k (50% of gross of $140k)), that would leave $50k for expenses. Given that we were in a huge bull market over the last decade, that $700k total investment could have easily turned into $1.3 million.
The numbers don't seem outrageous to me. You are off on the taxes like Stacey said, and a big part of their expenses would be their mortgage which includes big % principal. The return on the S&P 500 over past10 years is ~16%. I did 14% with my 401k since 2008. 15 years ago they could easily buy a modest home for $200k and pay it off. I retired in '08 at 46. It was very scary in '09 but the market has been up ever since. My biggest caution to this family would be that they are not prepared for REAL market volatility. This guy almost plotzed from a short little 25% dip. He is not ready for the normal market action when the government stops handing out money and the Fed stops buying the bonds that finance that larges.
The Book of Truth When things were at their very worst: 2 Suns, Cross in the sky, 2 comets will collide = don`t be afraid - repent, accept Lord`s Hand of Mercy. Scientists will say it was a global illusion. Beware - Jesus will never walk in flesh again. After WW3 - rise of the “ man of peace“ from the East = Antichrist - the most powerful, popular, charismatic and influential leader of all time. Many miracles will be attributed to him. He will imitate Jesus in every conceivable way. Don`t trust „pope“ Francis = the False Prophet - will seem to rise from the dead - will unite all Christian Churches and all Religions as one. One World Religion = the seat of the Antichrist. Benedict XVI is the last true pope - will be accused of a crime of which he is totally innocent. "Many events, including ecological upheavals, wars, the schism in My Church on Earth, the dictatorships in each of your nations - bound as one, at its very core - will all take place at the same time." "Arab uprising will spark global unrest - Italy will trigger fall out"
More and more people might face a tough time in retirement. Low-paying jobs, inflation, and high rents make it hard to save. Now, middle-class Americans find it tough to own a home too, leaving them without a place to retire.
The increasing prices have impacted my plan to retire at 62, work part-time, and save for the future. I'm concerned about whether those who navigated the 2008 financial crisis had an easier time than I am currently experiencing. The combination of stock market volatility and a decrease in income is causing anxiety about whether I'll have sufficient funds for retirement.
This is precisely why I like having a portfolio coach guide my day-to-day market decisions: with their extensive knowledge of going long and short at the same time, using risk for its asymmetrical upside and laying it off as a hedge against the inevitable downward turns, their skillset makes it nearly impossible for them to underperform. I've been utilizing a portfolio coach for more than two years, and I've made over $800,000.
"Gertrude Margaret Quinto" is the licensed advisor I use. Just research the name. You’d find necessary details to work with a correspondence to set up an appointment
Insightful... I was curious about her, so I looked her up online. I discovered her website, and I must say that she seems knowledgeable. I sent her an email outlining my goals. I appreciate you sharing.
This is later. He retired in 2013. His posts his financials on his blog. Current net worth over $2.5 Million now. Bold moves, but possible for people who control their costs.
Wife and I started F.I.R.E in 2017, we're up to $450,000 with our retirement number being around $2.3M, hopefully we can do it sooner than that though.
@@brauliofernandesss We live in a somewhat rural lower cost of living area on the Texas Gulf, both wife and I work in power plants / chemical plants and make over $280,000 combined.
Retiring with only 1.3m is risky even if you are frugal. There is always the risk of divorce (which is unfortunately a very real possibility). Being single and left to live off 4% of 600k would be rough.
True. Most stories like this act as if divorce is not a possibility but unfortunately even for the happiness couple in the world it is. I have seen it many times.
Retired with a 7 figure portfolio and Receiving about $53k in dividends. I have been in the Stock market about 20 years. Am I worried? Am I selling? Absolutely not. I have purchased growth stocks too a little at a time over the past few weeks. I am going to sit back and observe how this all plays out, adding more at a time. my investment strategy actually calms me down. Eye on the prize, stay the course!
Dividend investing is great, just be patient. I went from making enough passively to pay for my netflix and hulu to now making enough to cover half of my mortgage. Not commenting this to brag, just to give hope to anyone who is discouraged by tiny gains in the beginning.
what route did you take? how can one invest more efficiently? help. sounds like you got something going for you. I am new at investing and really want in.
Recently I got into the financial niche, and I’ve taken a deep dive into investing, particularly dividend growth investment as it interests me. hoping to get to your level someday.
@@AyaanFarax223 i've been working with someone who changed my idea about the stock industry and how DGI works ..I invest with the guidance of Elizabeth Wilder Richardson, I came across her on an investment webinar, just search her name online to know more about her, you can reach her from there..cheers.
love it when i see my fellow individuals excelling. I'm also on my way to the millionaire's club from investing in stocks. It's exciting watching your wealth grow. Good luck to us both.
The key to making money in stocks is not to get scared out of them. An important key to investing is to remember that stocks are not lottery tickets. get a financial assistant
Yeah. 4 years Premed, 4 years med school, 3-4 years residency, (2-3 years fellowship which is optional)… When doctors start earning at 30, they are already in 400-500K in debt.
@@soksamnang2150 Most doctors make 200k+ a year... If you go into a specialty, even more (e.g. my local dermatologists made 500k mid-career). Just live like you make 50k and pay it off in 2 years, and you'll be set for life. If that's not a good pay and "needs a second job" idk what is. My local emergency room physicians said they'd take on an extra weekend shift and take a nice trip to Cabo out of the money they made just that shift lol.
How are they covering their health insurance? The only reason I can't achieve "FI" in FIRE is because of the health insurance coverage. Anyone, please? I am in my 50's and have enough money saved up, but if my wife, my kids or I get sick and hospitalized, then we will be in trouble without a decent medical coverage.
You leave the country. Look at youtube channel "our rich journey". They moved to Portugal. They live in a developed first world country. Their kids go to English speaking schools. Private health insurance is very cheap
I’m in my early 40s and met my goal for FIRE (but still with young kids) but I’m in the same boat as you, it’s mainly for the medical insurance. I have given my wife permission to quit her job and I have cut back my working hours to work on side hustles that I enjoy.
Health insurance cost you two how much per month? They quoted me at 500$ a month so I only need 100K at 5% to cover it for they year. With other people on the plan is it that expensive? However I love living on 15K-18K a year for me everything. Your quote: (How are they covering their health insurance? The only reason I can't achieve "FI" in FIRE is because of the health insurance coverage. Anyone, please? I am in my 50's and have enough money saved up, but if my wife, my kids or I get sick and hospitalized, then we will be in trouble without a decent medical coverage.)
They probably get ACA subsidies, which would be very good for a family of 5 with investment income of $40k a year. Their premiums would probably be under $100 a month with the subsidies.
I have a friend from grad school who is super frugal. Russian dude. Lives in Brooklyn. Super frugal and minimalist. But the dude still lived well: Took about 4 months of epic vacations every year. His job afforded him that flexibility in time schedule. But he absolutely hated it and, this year, he finally quit. He just realized that he'd been super frugal and made a ton of money investing in index funds. He even was frugal enough to buy his own place in Brooklyn. And he really did make a very just okay salary in New York.
$2 million for two people in their 30s is risky in my view. What if the stock market loses half it's value and does not rebound? If you think it can't happen look at the stock market from 1968 to 1982. Also, when they are older and may need nursing care or long term care, where does that money come from? A lot of these videos talk about expected expenses based on healthy people in their 30s and 40s. The reality is that health care and living care costs tend to rise significantly later in life. Does the 4% withdrawal rule then become the 40% withdrawal rule?
@@DeanBKK Buying medical insurance out of pocket (ie, not thru an employer and before Medicare age) can set a family back $18-24k for a s#*tty plan (eg, with a $10+k deductible) or ~$30k for a less s#*tty (but not great) plan in my state. It's a legit concern that really messes with my retirement calculations. That said, I feel like I'm overlooking something here, so I'm curious to hear how you're planning to manage/reduce the cost of pre-Medicare medical insurance, if you don't mind offering your perspective.
I realized that the secret to making a million is making better investment. I always tell myself you don't need that new Car or that vacation just yet and that mindset helps me make more money invest:ng. For example last year I invested 70k in blue chip stocks and crypt0 s (with the help of my advisor of course) and made about 380k, but guess what? I put it back and traded with her again and now I'm rounding up close to a million. Delayed gratification always pays off
My first experience with her gave me the assurance that has made me to invest without fear of loosing and I got four of my friends involved with her already
I have been retired for five years now. Although I've been adhering to the 4% rule, things are challenging as I did not anticipate. 30% of the $600K I invested in st0cks is lost to the market. How can I diversify my portfolio for retirement
Now you are retired and depend on your investment, it’s best you redistribute your capital. To simplify the process, you could allocate your resources with the help of a financial advisor.
I wholeheartedly concur. At 60 years old and newly retired, my external retirement funds total around One million two hundred fifty thousand dollars.. With no debt and minimal retirement fund allocation relative to my portfolio's value over the last three years, I recognize the importance of a financial advisor. Neglecting them isn't an option; however, thorough research is vital to find a trustworthy fiduciary advisor.
'Vivian Carol Gioia' covers things like investing, insurance, making sure retirement is well funded, going over tax benefits, ways to have a volatility buffer for investment risk. many things like that. Just take a look at her full name on the internet. She is well known so it shouldn't be hard to find he
There are many you could potentially find online. I personally work with Vivian Carol Gioia, and she's been spectacular. But there are also many others you could check out yourself.
SUCCESSFuL PEOPLE DON'T BECOME THAT WAY OVERNIGHT. WHAT MOST. PEOPLE SEE AT A GLANCE_ WEALTH A GREAT CAREER, PURPOSE IS THE RESULTS OF HARD WORK AND HUSTLE OVER TIME.
my cousin recommended her to me. He has been investing with her for some months now, but he earns just 60% of whatever he invests in a week which i think its too low,
Good for them! For me personally, $1.3m is not enough to "retire" in the traditional way when both are in early 30s. We are in the same boat as them, without kids, but we are planning to still work and grind for a few more years.
You don't actually "retire" in the sense that you just lay on a beach all day doing nothing. It means you're financially independent and can focus on doing what you want to do to make money (ie. hobbies). It could be something like coaching your kids soccer team, building furniture in your garage and then selling it, etc.
90% stock in retirement, has survived one bear market, and thought about selling.... hope his risk tolerance holds up if the next one is 60% down and lasts a decade
The stock market has never had 2 years in a down market. The 2008 crash had a few quarters down and came back up. Last yr it dropped only for a couple months. That’s why the saying is to add more when it takes it a dive because you’ll have more when it comes back up. Only a fool pulls their money out in a downturn.
That’s what I thought too, definitely too aggressive for someone without other income. Besides long bear market there are also other unexpected expensive life events.
@@edb484 the S&P500 (which many associate with the stock market) had down years in 2000 (-9.10%), 2001 (-11.89%), and 2002 (-22.10%). There was also a few more multi year down years in the 70s and the 30s and 40s. Also, the crash of 2008 took 5 and a half years to get back to where pre-2008 was. that being said, each person has their own level of risk tolerance. For me, I probably couldn't do 90/10 in retirement. I wouldn't be able to hand the stress. Personally, I'm trying to target a 60/40 allocation when I retire.
I wonder what his annual budget looks like and how he's able to spend so little, because that amount is for the entire family. My estimate of how much I need before I can retire is his original $2.5M, which will take many more years to reach than $1.3M.
The numbers don't add up in a lot of these videos. Maybe they don't have to pay housing because they inherited a house and some extra money too or something else that's left out of the equation. guy has 3 kids...
He stated his starting budget was 4% X $1.3M=$52k The key is they know how to live an attractive lifestyle on that budget. How common is it for a $140k household to spend every penny? The were under 40k... I retired early in 2008 at 46. It was a very scary time. I look back and at the low in '09 I had about $750k Not the $1M+ I planned. The entire market was shell-shocked but despite fear I started buying financial assets. I am over your 2.5 number now but their 52k budget is close to my current spend. The point I would make is that spending increase is more a function of age than net worth. The market is silly high right now (pe >22) so if you need money to live on reliably for over 40 years be set for stocks to decline 30%. Bonds are negative real yield right now. For you I would recommend you take a serious look at what you really need to spend to enjoy (retired) life. It is NOT a multiple of your income -it is about what you want to do, what you value. That goes for career too. Does your employment provide a desirable use of your time? For an upper middle class household that is not frugal $2.5M is a very reasonable number.....but it's certainly not the only way.
@@skyak4493 Yes that's what I meant by budget, is what and how much they are spending money on. It's just hard to imagine cuz I think he said he is planning to pay for kids college, and with everything else that a 5 people household needs to spend on (house, car, food), cuz I'd love to lower my $2.5 like they did.
@@木木-t6p They paid off their house and spend only 40k a year to avoid paying high medical insurance. So essentially they spend most of that 40k for food and travel while also growing their portfolio. His portfolio now is over 2M.
@@木木-t6p The kids college seems questionable on the original $1.3M. Maybe it was just a goal then, more certain now. Tuition at many schools is "needs based" -you ask what it costs and they ask how much you have. If they simply plan to pay tuition for NC state it's no problem. My former neighbor was a prof. at a state school. His two daughters could have free tuition at his school -but they both went out of state at major expense. My one niece attended private high school that cost more than this families yearly budget. For your personal budget it is really a question of personal values and creating greater certainty by living it. If you make 100k and you save 40k and spend 60k, you might successfully retire early with 1.5M, because you know how to live on 60k. If you spend 85k and save15k your target is 2.5M and you might not get there by 65. The math is easy. The discipline is hard -seemingly impossible if you don't do the math.
@@oco987 understandable. The $40k/year is not permanent because as the investment grows (and it is) the available funds to live off of will grow as well. $2m = $80k/year $3m = $120k/year and so on.
@@oco987 I hear a lot of early retirees say that they keep their same level of living in retirement, but they end up spending less. My wife and I, with a child, can live pretty well on 40k per year, but I know it depends on where you are living.
Can anyone recommend a good book for someone that knows almost nothing about financial terms? I want to learn more and looking stuff up online isn’t working for me anymore
Hello. I'm actually looking for a good trader that can help me trade and make good profit, I've been seeing so many recommendations but i don't think they're trusted. Please do you have any recommendation?
Most time having knowledge or insight about a particular activity can as well be a pleasing exercise. I can boldly say that forex and crypto trading is one of the profitable money exchange services that elevates investors and their financial status.
@clever marry my cousin recommended her to me. He has been investing with her for some months now, but he earns just 60% of whatever he invests in a week which i think its too low, I've seen other traders who offer to give you 300% of whatever you invest
@@harrisondiamond2624 consistency is key, I've been investing with her for months now and I've made alot of profit from her. Most of those traders who offer to give you 300% of whatever you invest might scam you of your hard earned money. Forex ain't that easy you know
Wow you are one of the few business people I have ran across that admits that business is in part luck!!!! Good for you!!! Your quote: (I am 30 and I had incredible luck in business. Net worth is close to 5m but I am not sure what to do now other than work.)
Make even more money and donate to research that aims to reverse aging. That way you can buy more time and youth on this planet. Then you have time to try many things and find your new passion!
CNBC + Acorns sponsored “you can do it by invest in stock 90%” with financial analyst wife? Having three kids education and family healthcare, it’s for high risk tolerance.
How do people handle the cost of medical insurance after retirement but before Medicare age? A s#*tty family plan is ~$18-24k/yr. A less s#*tty plan (still awful) is ~$30k/yr. This is the main obstacle preventing me from retiring now.
interesting, I’m compiling and picking stocks that I’d love to hold on to for a few years before retirement, do you think these stocks would do better over the years? I’d love to retire with at least $3million savings. You might think that the govt gives a s*it about your financial but that's one of the biggest lies ever told. I don't hoard cash, I invest. What's the use of holding cash when i have made over $550k in raw profits from the last quarter in the market. invest wisely people
@Benjamin Gilbert My portfolio is very much diversified so it's not like i have a particular fund i invest in. plus i don't do that by myself. I copy trades from TINA RENEE ANGLIN. she's quite the genius in diversification and trading. just like you can copy trades at etoro. my portfolio has grown at a tremendous pace. unlike i can say for my IRA which has just been trudging along. my portfolio just mirrors what she trades and not just on some particular industries of my choosing.
@@yarboroughbrad3082 That's impressive. are you giving her your money or the money stays in your account? I have heard about copying trades but have not looked into it but i have an idea of what it is
@@figueroacamarillo98 exactly. I've been copying her trades for close to two years now. Started with a capital of $100k. My portfolio value has since skyrocketed beyond my wildest imaginations. Plus it's relatively much easier to set up and connect my accounts than creating a financial plan and drafting investment strategies myself
normal people buy in at high prices the stock market goes down,companies buy stocks back cheaper by introducing some "disaster" Stock rises after a disaster and the cycle repeats.. having a good entry and exit strategy, will make succeed in the stock market
46 and retired here. My investment of choice is hard money lending guatanteed by real estate. I have about 15k in passive income per month without stock fluctuations or having to manage rental properties.
Your Social Security payout will be about $900... Your Medicare supplement is paid from that benefit... which means while all your peers that put in a full 35 years will be getting $3000 to $4000 per month and better health care, you will NOT... Its difficult for a person in their 30's to have the fiscal maturity and foresight at how important it is to have this benefit. Get back in the workforce and get your full 35 years in... Every year less than 35 uses a big fat zero in your benefit calculation.
@@purebredhustlaz how does Medicare work? I'm a Police Officer and most departments don't put into social security because we have pensions. But, we put in to Medicare. Do you know the requirements to receive Medicare in retirement if a person retired earlier?
You don’t know what you’re talking about. Anybody that has saved adequately for retirement will have their social security completely taxed away once RMD’s force you to take money out of your retirement plan. Also it’s only a matter of when not if they means test Medicare. That means if you saved for retirement you’ll be punished for it by not getting Medicare. Get out of the system and stop paying SS and Medicare taxes as fast as you can. Don’t support parasites of society
Problem with the 4% rule is that the expense needs can rapidly escalate during old age with health issues. You could easily blow through $2M in a few years. Better to plan for at least $3-5M before calling in early retirement in your 30s.
@@Siddhartha040107 Well spending does impact outcome but seriously how many people are able to retire early who don't make 6 figure or really close (+ or - 20K)? The only other people I have hear that could retire with 500K-1 million making 20-40K were those who started young, invested their entire working years, and then partially retired in their 60's. My point is how can it be that early retirement and 6 figure income are not linked? First quote: (How to retire early: step 1: 6 figure income Step 2: see step 1) and Your quote: (how you spend it is the key though)
Health Care at $24,000 per year. College education for kids is $100,000 per kid. 90% stocks is a bold move for sure, but history says he'll be fine. There has to be a pension in place, health care provided. Something is missing from this equation. I've done the math for myself with no debt at 51 and twice as much in investments and 60 seems doable, but not 33.
I personally don't think you can retire and just live off of the profits of $1.3 million for a family of five. 4% is only $52k before taxes! If you factor in the cost of healthcare for the family and everyday living expenses, I don't believe it's feasible even if they do live in a cheaper part of the country.
Married filing joint, first $80,000 of long term capital gains is taxed at 0% if you have no other income. Also, with 52K for a family of 4, they are most likely qualifying for healthcare discounts with the affordable care act.
As a single person at age 32 with no kids and single I only require 31,800 dollars a year to live comfortably that number includes all expenses from rent down to the water bill and Wi-Fi. That also includes a 1,000 a month spending allowance for food clothes and what not. I plan on remaining single with no kids for ever so hopefully I get to retire very early as I do not need an extravagant life to be happy lol.
What Justin did well than many wont is not is not concede to lifestyle inflation pre and post FI. I've read his blog for years and he is ruthless on cutting expenses and using things such as Ebates and cash back reward credit cards to stretch the dollar. His food expense for a year is what most Americans spend in 3 months due to cooking at home and meal choices. They also don't mention he makes significant income from blogging online but hey they built a brand so good for them to monetize the content. 1. Spend less than you make 2. Invest the difference wisely 3. Your Financially Independent it's only a matter of time.
Retiring to these people is not defined as never working, it is defined as freedom to do what they want. Maybe work on their own ideas, work when they want, not everyday because their jobs require it.
@@flawaii-pines6858 you are only "free" if your investments, pension etc pay you more than what you spend. Heck 20K could be enough if you move to a cheaper country. It is all relative. My freedom number is different from yours.
I was an investment advisor. The advice in the video is excellent and true for the typical American. But for people who have a good portfolio of about $5m, if you look around, most people are still active at 70 (I live in LA) but by 80, not so much, so enjoy yourself at some point before it’s too late. That nice vacation will pay for your last week in the nursing home. There is a difference between wasting money and spending it. Be value-conscious.
Had the same experience. My spouse has retired, but we met with the financial advisor last year and she said "guys, you've already made it. Stop putting off things in life that you enjoy".
I completely agree. I'm 54 years old and recently retired with roughly $1.2m in outside retirement funds, no debt, and very little money in retirement funds relative to the total value of my portfolio over the past 3 years. To be honest, the Fin-advisor's role can only be downplayed, not dismissed. Simply try to identify a reliable one. Spending money on possibilities and things that might not exist much sooner than we realize is completely different from wasting it. As you said, being value-conscious is essential.
@@MarkFreeman-xi3rk This is exactly how i wish to get my finances coordinated ahead or retirement so i can attempt to do all i wish with the little time i have strength to do them while retired. Can you recommend the advisor you use?
I really don't like making such recommendations, because everybody's situation is unique. But there are many freelance advisors you could check out. I have been working with Margaret Johnson Arndt for about four years now, and she's really, really good. If she meets your discretion, then you could go ahead with her. I endorse her.
That does not seem like enough to retire with. My net worth is already over $3 million and I make more than double what they were earning. I still plan to work for another 17 years. Even then I worry about my retirement. I have a pension through my company as well.
The 4% rule is based on retiring at age 60-65. If you retire 30 years earlier, then you should use a 2% or 2.5% rule, because you face a much longer investment horizon.
@@IrishMexican Good question. First, Bengen (1994) and Cooley, Hubbard, and Walz (1998,1999) all conclude that a 4% withdrawal rate is unlikely to deplete a retirement savings account if you retire aged 60-65. Simple common sense says that if you retire 30-35 years earlier, with the same amount of money, then you had better withdraw at a lower rate if you want to be unlikely to deplete your funds. Second, Felix (2018) explains the mathematical details and concludes that 2% to 2.5% makes sense for someone retiring at age 30. Felix also has some nice UA-cam videos where he talks through the details. REFERENCES Bengen published 4-5 years before the "Trinity" studies (so called because the three authors were all professors at Trinity University, San Antonio, TX: Bengen, 1994, “Determining Withdrawal Rates Using Historical Data,” Journal of Financial Planning, Vol. 7 No. 1, (October), pp. 171-180. Cooley, Hubbard, and Walz, 1998, “Retirement Savings: Choosing a Withdrawal Rate That is Sustainable,” AAII Journal, Vol. 10 No. 3, (February), pp. 16-21. Cooley, Hubbard, and Walz, 1999, “Sustainable Withdrawal Rates from Your Retirement Portfolio,” Journal of Financial Counseling and Planning, Vol. 10 No. 1, pp. 40-50. Felix, Benjamin, 2018, “FIRE? Here’s Why The 4% Spending Rule Does Not Apply to You,” Available at: www.pwlcapital.com/fire-heres-why-the-4-spending-rule-does-not-apply-to-you/
So I have maybe a dumb question. How did they put that money in and have it grow that high and not get killed each year on capital gains taxes? Or are they only paying capital gains on the 4% they pull out of it each year?
You don't pay capital gains until you sell. You would pay taxes on any dividends, but index funds don't usually have high dividends. Plus, they were investing a lot in tax deferred retirement accounts.
I don't understand why people retire at 33 only to live about 40 years of their remaining life as a miser. They are retired but they need to maintain a frugal lifestyle to be able to afford it for the next 40 years.
When you grow up poor you want a nice life, nice clothes, car, dining out, however when you start working 40+ hours a week, get tremendous pressure from work to deliver and realize you can’t do it for the rest of your life, you come to the realization that all you ever wanted was freedom. Living frugal>having to work for 40 years in a job you don’t like.
Plenty of people don't care about luxury. Fine dining and 5 stars hotels, fancy cars are honestly a waste of time. I'd rather drive a 20k car than work all those extra hours to drive a 60k car. And I'm someone who has stayed at 5 star hotels and has been to the fine restaurants and honestly I'd rather just work less and stay at 3 star hotels and cook at home.
@@dominick6131 that's your personal opinion. I'd just get bored living the frugal retired life at 33. I'd rather keep working and take time off to relax in style. Ofcourse, while maintaining a work life balance.
@@adeebniyazi I agree with you with people retiring sooo early, like in their 30's. But, at the same time, I've known people who worked their entire lives, retired, and died pretty soon after retiring... Everyone is replaceable. What do you think about early retiring like in your 40's??? Or, instead of "retiring", maybe doing free-lance work, part-time work and stuff like that. I'd imagine these early retiree's don't just sit around and do nothing. They probably travel, do community service, part-time jobs for a little extra cash in which they probably don't need.
I pray whoever reads this should become successful. keep l for success. the rich stay rich by spending like the poor and investing why the poor stay poor and be spending like the rich yet not investing. Roar! Invest earn and be successful.
So we are at 1.5 NW. why do I feel like we still have a long ways to go lol. Just turned 40 last Thursday and hubby turned 43 back in June. We may retire at 55, if we hate our jobs, lol.
@@rickzheng2457 old thinking, pensions are far inferior to playing the market with a 401k. It's way easier today than it's ever been you just won't make the required sacrifices.
wow, having 90/10 allocation in retirement is very gutsy, I don't think I would be able to handle that kind of risk and stress lol, but great for them!
$1.3 million is peanuts in today's world. It costs $1 million just to send 3 kids to college. That's also only $650K per person in net worth. Most marriages end in divorce these days. Even with an average 7% return, that's only 45K per person per year pre-tax. After tax that's $2,600/month. That doesn't even cover the average rent for a 1 bedroom apartment in any major or minor US city not to mention health insurance, gas, children's college, food, vacations, going out to dinners, etc. Given these expenses, inflation and what things cost today you need minimum $3 million per person invested or $6 million per couple. This guy is not even close. Also, who wants to live a frugal lifestyle? That sucks. I would never want to be at a restaurant worrying about what the cheapest item is. If you have to live like that for the rest of your life, why bother retiring?
NOBODY BECOMES A MILLIONAIRE OR A......BILLIONAIRE BY WORKING FOR OTHERS AND DEPENDING ON THEM, GOOD INVESTMENT BRING MILLIONS OF DOLLARS, AND CONSISTENCY BRING BILLIONS, THE MARKET IS ALL ABOUT BTC AT THE MOMENT NOW..............
33? Wow, that's amazing! I'm 24 currently and am hoping to get started investing soon so that I can do the same. Def not earning anywhere close to your income a little over a year post-grad, but overtime the money will increase and so will my investments.
The real issue is what future returns are likely for financial assets. Fixed income returns are negative after inflation - that means your purchasing power is evaporating every year. Looking at the S&P 500 CAPE, the future real return on US equities is likely to be very low over the next 10 years. So basically you will be lucky if you are able to maintain the purchasing power of your savings, much less grow it. Not a recipe for your capital lasting a long time. Folks extrapolating their experiences since 2009 will be in for a rude surprise.
ETFs, REITS, BONDS, the key is diversify. Put 15% of your pay into these every pay cycle. Don’t ever sell by trying to time the market. Stay the course. When the market dove in March of 2020 I dumped a ton of cash in the market. It’s up almost 150% in 11/2 yrs. wish I put more in.
What's their plan when the market goes flat/negative for 10+ years? Like happened 1968-1982, and 2000-2012? Are they projecting an endless bull market for the next 40 years?
No, the 4% withdrawal rate accounts for some market downturns and for stagnant returns as well. After all, the average real inflation adjusted return over the last few decades is 8%, and they would only be taking out 4%. Plus, their portfolio is over $2 million now, so if they are only spending $40k a year, that is a 2% withdrawal rate.
52k minus 15-20k for family health insurance. This family’s salary is right at the poverty line of 30k for a family of five. Also no college funds for the kids.
Same in Toronto, Canada. You'd only get a (renovated) 1200sq feet semi detached house (maybe with parking in a private drive/yard). But they're already retired and already own a house (which is probably worth $500K where they live). Why would anyone want to move to Canada or Los Angeles when they can't afford to live there?
Retirement is now more difficult than it was in the past, they say it’s all about balancing your risk tolerance with your long-term goals. I will consider speaking to an advisor to help in strengthening my portfolio.
I think the market is likely at its best now, but I still believe having a financial advisor is crucial to navigate the market and moderate your risk especially if you’re planning for retirement. Their expertise can really help you make informed decisions.
Agreed, I’ve always delegated my excesses to an advisor, since suffering major portfolio loss early 2022. I’m now semi-retired and only work 8 hours a week with barely 25% short of my $2M retirement goal after subsequent investments to date.
Thanks for sharing your experience! I’ve been managing my retirement portfolio myself, but it’s not working out. Can you recommend a standard advisor? I could really use some help.
My CFA, *Joseph Nick Cahill* is a renowned figure in his field. I recommend searching his name online; you’ll find all his credentials and everything you need to work with a reliable professional. With many years of experience, he is a valuable resource for anyone looking to navigate the financial market.
Thank you so much for the suggestion, I really needed it. I looked him up on Google and explored his website, he has an impressive background in finance. I’ve sent an email and I hope to hear back from him soon!
I believe the retirement crisis will get even worse. Many struggle to save due to low wages, rising prices, and exorbitant rents. With homeownership becoming unattainable for middle-class Americans, they may not have a home to rely on for retirement.
@rossie-m2t Safe to say not everybody has the skill to pursue investing. But it's always easy to follow the advice of someone who knows how to i.e. a financial advisor. You could anywhere between 10-40k with the right ones. Online businesses are a good bet too if you are savvy.
@@KarenDuncan-o5s Your advisor must be really good. How I can get in touch? My retirement portfolio's decline is a concern, and I could use some guidance.
@@BarbaraLouise-i3r MARGARET MOLLI ALVEY is the licensed advisor I use. Just research the name. You’ll find the necessary details to work with a correspondence to set up an appointment.
@@KarenDuncan-o5s Thank you so much for your helpful tip! I was able to verify the person. She seems very proficient and I'm grateful for your guidance.
and that is why stock market and crypto are now a gamble market
Investing in a Roth IRA can be a good choice since they are funded with after-tax dollars, and your contributions can grow tax-free over time. When you withdraw money from your Roth IRA in retirement, you won’t have to pay tax on it, which will help you keep more of your hard-earned money. I retired with 2 million dollars.
If you’re new to investing or have a more complex financial situation, It can be helpful to work with a financial advisor who can provide personalized guidance and help you make informed investment decisions.
@@amolejoshua7452 On the contrary, even if you’re not skilled, it is still possible to hire one. I am a project manager and my portfolio of approximately $750k took a big hit in April due to the crash. I quickly got in touch with a financial planner who devised a defensive strategy to protect and profit from my portfolio this red season. I’ve made over $260k since then.
@@PatyRamírez-z9z Due to the market falls, I need advice on how to rebuild my portfolio and develop more successful tactics. Where can I find this teacher?
@@FolarinSodiq Victoria Carmen Santaella is the licensed advisor I use. Just research the name. You’ll find the necessary details to work with a correspondence to set up an appointment.
@@PatyRamírez-z9z I looked her up, and I have sent her an email. I hope she gets back to me soon. Thank you.
Biggest lesson i learnt in 2023 in the stock market is that nobody knows what is going to happen next, so practice some humility and low a strategy with a long term edge.
Could you kindly elaborate on the advisor's background and qualifications?
Just ran an online search on her name and came across her websiite; pretty well educated. thank you for sharing.
Sonya Lee Mitchell is the manager I use. Just research the name. You'd find necessary details to set up an appointment.
Most people don’t realise it, but the secret to retiring comfortably is finding a way to make returns while your money works for you. My dad, as I remember, started saving for retirement quite late, but I know he was making more than $10k returns from his investment monthly and it was completely passive.
This is really amazing though. I'm curious as to how he did it. Was it real estate? Or he was a market enthusiast?
Not really. Approximately four years before to my dad's retirement, our family was introduced to a financial advisor. That was the catalyst for the transformation. I believe my retirement income would be on the right track because I've been using the same advisor.
Your advisor must be really good. How I can get in touch? My retirement portfolio's decline is a concern, and I could use some guidance.
There are many independent advisors to choose from. But I work with Monica Shawn Marti and we've been working together for almost four years and she's fantastic. You could pursue her if she meets your requirements. I agree with her.
Thank you so much for your helpful tip! I was able to verify the person and book a call session with her. She seems very proficient and I'm really grateful for your guidance
Overall, 60% of traders think this year would favor stocks, mutual funds, and other equity-based investments, despite Treasury yields and other safer cash-like investments paying big. I’m looking for opportunities in the market that could fetch me $1m ahead of retirement by 2025.
Investing without proper guidance can lead to mistakes and losses. I've learned this from my own experience. If you're new to investing or don't have much time, it's best to get advice from an expert.
@RobertsArthurs How can one find a verifiable financial planner? I would not mind looking up the professional who helped you. I will be retiring in two years and I might need some management on my much larger portfolio. Don't want to take any chances.
@RobertsArthurs Thank you for this tip. it was easy to find your coach. She seems proficient considering her résumé.
I’m 36 and I have about ($190k) liquid in savings which I plan to put towards becoming a homeowner, but based on the current high prices on real estate, do you suggest I hold from buying and look at stocks instead?
Yes, housing crash is coming. If you're thinking about investments to earn huge income while maintaining the ability to access your money and safety, so you don't get caught in a market decline, a financial planner can come in handy
I completely agree; I have approximately $650k in external retirement funds. I am debt free and have very little money in retirement funds compared to the total value of my portfolio over the past three years. To be honest, the Fin-advisor can only be neglected, not rejected. Just do your due diligence to identify a fiduciary one.
This is exactly how i wish to get my finances coordinated ahead or retirement. Can I get access to your advisor?
For me, Sonya Lee Mitchell turned out to be better and smarter than all the advisors I ever worked with till date, I’ve never met anyone with as much conviction.
I just checked her out and I have sent her an email. I hope she gets back to me soon
Early saving and investing money creates compound growth, It's a beautiful thing. But it takes focus and discipline. You need to be focused enough to commit to a plan and a process.
Yes that's right. I think the best approach is to invest with an expert, at least it saves the relief of too much losses
Investing might be a good idea but if one invests wrongly then they'll have a lot of years filled with regrets
What matters is getting yourself a good investment company that knows how to make profits
@@gloriamaddison9890 I think the key thing here is working with a professional. Yes people have devoted their lives to making profits in the market, but those of us who haven't but are interested in investing can simply work with them.
@@michaelbradley5043 Alright, so you know anyone?
Am 58 retiring next year but the thought of retirement gives me weakness. My apologies to everyone who have retired and filing social security during this time after putting in all those years of work just to lose everything to a problem you never imagined to happen. It’s so difficult for people who are retired and have no savings or loved ones to fall back on.
True, It has never been easier to understand how to build your money after retirement than it is right now with the inflation, when you may study and experience a completely variegated market passively by employing a successful portfolio-advisor. The impacts of the U.S. dollar's gain or fall on investments, in my opinion, are complex.
Even if you’re not skilled, it is still possible to hire one. I was a project manager and my personal portfolio of approximately $850k of my retirement pension took a big hit in April due to the crash. I quickly got in touch with a financial-planner that devised a defensive strategy to protect my funds and make profit from my portfolio this red season. I’ve made over $250k since then.
That's fascinating. How can I contact your Asset-coach as my portfolio is dwindling?
Carol Vivian Constable is the licensed fiduciary I use. Just research the name. You’d find necessary details to work with a correspondence to set up an appointment..
She appears to be well-educated and well-read. I ran an online search on her name and came across her website; thank you for sharing.
Congratulations! I retired last year from the Air Force at age 45, took my military pension and moved to the Dominican Republic 🇩🇴. My pension goes a long way here.
U get a lot of booty man 😂
@@ZaneT531 moved here with my wife, happily married and we are exploring and sightseeing this awesome country.
That’s living the life, I’m aiming for 45-48 to be retired, before 50 for sure
@@edb484 it's possible.
You’ve been to punta Cana?
The secret is to put money away every paycheck. He says 15% but I think you check out the budget for some extra. Put it into an SP index fund. Do not touch it. Just let it grow. If you are spending 10 hours a week worrying about it now,use that time for a hustle and tuck that away. Trying to work the market is a mugs game. It can be done by a few people but you don’t d sound like one. 10 years from now your index fund in your Roth IRA will be doing great. Or 401k.
Indeed, It has always been tougher to understand how to build your money after retirement and even more so right now with the inflation. You can experience a completely varietied market passively by employing a successful portfolio-advisor.
Even if you're not skilled, it is still possible to hire one. I was a project manager and my personal portfolio of approximately $850k of my retirement pension took a big hit in April last year due to the crash. I quickly got in touch with a financial-planner that devised a defensive strategy to protect my funds and make profit from my portfolio this red season. I've made over $250k since then.
Mind if I ask you to recommend this particular manager?
Google Sonya Lee Mitchell and do your own research. She has portfolio management down to a science
Just ran an online search on her name and came across her websiite; pretty well educated. thank you for sharing.
I’ve been diligently working, saving and contributing towards early retirement and financial freedom, but since covid outbreak, the economy so far has caused my portfolio to underperform, do I keep contributing to my 401k or look at alternative sectors to meet my goals?
Agreed, having a good financial advisor is invaluable, my portfolio is well-matched
for every season of the market and has just yielded 120% from early last year. I and my
advisor are working on a 7 figure ballpark goal, tho this could take another year.
mind sharing info of this person guiding you please? truly appreciate the implementation of ideas and strategies that result to unmeasurable progress, thus the search for a reputable advisor
Her name is. 'NICOLE ANASTASIA PLUMLEE’. Just research the name. You’d find necessary details to work with a correspondence to set up an appointment.
excellent share, just copied and pasted Nicole Ananstasia Plumlee on the internet, spotted her consulting page ranked top and was able to schedule a call session. Ive seen commentaries about advisors but not one looks this phenomenal
I just curiously searched her up, and I have sent her an email. I hope she gets back to me soon. Thank you
*More of this please. This = average incomes and no real estate investment.*
Can't blame you but higher income earners (80-140K) can do a lot of stuff in cheaper places. People who combine resources have more purchasing power so I don't consider this average income for that reason. Your quote: (More of this please. This = average incomes and no real estate investment.)
@@donaldlyons17 I gotcha. Yet, it's lower income per US metrics. Middle income includes 300k salaries. I'm neither (300k nor dual income household). *But long as my point isn't lost that they should continue to include folks bringing less than $100k per year for the total household.
Why no real estate? You can always use a reit or syndication, don’t have to be a landlord
@@07krutons Thanks for asking. *Show something else. Other possibilities. Not everyone has a portfolio with real estate so let’s learn/see various possibilities.* That’s all.
@@justicejoycetv well I guess I hear that (I’m not a fan of precious metals) but RE is so dang good! But to each his own.
Wow, retiring on $1.3M. definitely achievable for the average person, but doing it by 30 is incredibly impressive.
This is motivating! And, I agree with you that 30 is super early. But, 40 is doable for a lot of people.
And then there's divorce. Very common in these cases. Enough money to retire together, but separately, with kids involved, huge risk especially for the man. Look at how the judge is going to see this. She's going to get the kids. She's not working so the judge is going to want that to continue. She will likely need almost all those assets to continue in her lifestyle. What will he be left with?
People change in retirement. Compatible building a family and wealth but retirement is an entirely different lifestyle. Different choices. She's no dummy. She's going to know she's going to get most of the assets along with the kids. Almost no downside for her and a lot more control. Scary.
People do this stuff with absolutely no planning for divorce yet divorce is common. And in this type of case divorce is extremely common because of the large amount of money involved.
@@MrWaterbugdesign interesting take
@@MrWaterbugdesign very interesting... and true.
Well said 💯......I'm 42,retired at 37 with a net worth of $2 million and currently travelling the world with my partner.I've loved the FIRE movement,planned for it and I did it!Anyone else can do that too.
Money goes a lot further in another country. There's no way I'm gonna retire in the U.S. Things are too expensive here.
Same. Looking at Costa Rica, or Bali
Amazing video, A friend of mine referred me to a financial adviser sometime ago and we got to talking about investment and money. I started investing with $150k and in the first 2 months, my portfolio was reading $274,800. Crazy right!, I decided to reinvest my profit and get more interesting. For over a year we have been working together making consistent profit just bought my second home 2 weeks ago and care for my family.
Hi. I’ve been forced to find additional sources of income as I got retrenched. I barely have time to continue trading and watch my investments since I had my second child. Do you think I should take a break for a while from the market and focus on other things or return whenever I have free time or is it a continuous process? Thanks
@@MathewOliver486 However, if you do not have access to a professional like Clementina Abate Russo, quitting your job to focus on trading may not be the best approach. It is important to consider all options and seek guidance from reliable sources before making any major decisions. Consulting with an AI or using automated trading systems can also be helpful in managing investments while balancing other commitments.
@@Lourd-Bab Oh please I’d love that. Thanks!.
@@MathewOliver486 Clementina Abate Russo is her name.
Lookup with her name on the webpage.
I’m 65 years old and saved 1 million dollars successfully. Retirement is great!
Congratulations!
The math on this makes no sense. They went from grossing about $90k combined to $140k. After taxes that's from about $70k to $105k. He then claims they were spending $30-40k on their expenses but also started saving 50-80% of their *gross* income, which is impossible given their stated expenses + taxes. The only way this is remotely possible as stated is if they immediately started earning $140k combined = ~$105k after taxes, lived on $30k, invested the other $70k, and experienced incredible returns to turn that $700k total invested over the span of a decade into $1.3 million. I feel like an inheritance or something else is missing.
I feel the CNBC channel is turning more and more like all of the other finance youtubers. They don't say the full story, they never talk about heritage, etc.
You are right. The math doesn't make sense here. Me and my girlfriend are making around 140k a year (no kids and in Canada). We are saving a lot, not spending much but we are far from 1.3 millions.
Exactly. Anyone who bothered to run the numbers would immediately realize that something is off here. If your gross income is $90k-140k, there is absolutely no way you'd pay off your house AND accumulate $1.3m within 10 years, even with all the investing and stuff, especially for a family with 3 kids. Either this guy is just bluffing or is intentionally hiding part of the income.
They would not pay $35k in taxes on a $140k income. They have a lot of deductions with the 3 kids, plus they wouldn't pay taxes on 401k contributions or on any HSA savings (if applicable). They might actually take home more like $120k or $125k. If they netted $120k, and saved $70k (50% of gross of $140k)), that would leave $50k for expenses. Given that we were in a huge bull market over the last decade, that $700k total investment could have easily turned into $1.3 million.
The numbers don't seem outrageous to me. You are off on the taxes like Stacey said, and a big part of their expenses would be their mortgage which includes big % principal. The return on the S&P 500 over past10 years is ~16%. I did 14% with my 401k since 2008. 15 years ago they could easily buy a modest home for $200k and pay it off.
I retired in '08 at 46. It was very scary in '09 but the market has been up ever since.
My biggest caution to this family would be that they are not prepared for REAL market volatility. This guy almost plotzed from a short little 25% dip. He is not ready for the normal market action when the government stops handing out money and the Fed stops buying the bonds that finance that larges.
@@skyak4493 sir any tips on how to retire early at 46? And how will you prepare for market volatility in your portfolio?
I'm surprised they didn't make a lot more with those traditionally high paying jobs.
Right, that's what I was thinking.
Probably because they didn’t work long enough for their careers to gain traction and earn promotions, raises, etc.
They probably live in a part of the country where living expenses were low and pay was also low
He did say he had paid for his children’s college
The Book of Truth
When things were at their very worst:
2 Suns, Cross in the sky, 2 comets will collide = don`t be afraid - repent, accept Lord`s Hand of Mercy.
Scientists will say it was a global illusion.
Beware - Jesus will never walk in flesh again.
After WW3 - rise of the “ man of peace“ from the East = Antichrist - the most powerful, popular, charismatic and influential leader of all time. Many miracles will be attributed to him. He will imitate Jesus in every conceivable way.
Don`t trust „pope“ Francis = the False Prophet
- will seem to rise from the dead
- will unite all Christian Churches and all Religions as one.
One World Religion = the seat of the Antichrist.
Benedict XVI is the last true pope - will be accused of a crime of which he is totally innocent.
"Many events, including ecological upheavals, wars, the schism in My Church on Earth, the dictatorships in each of your nations - bound as one, at its very core - will all take place at the same time."
"Arab uprising will spark global unrest - Italy will trigger fall out"
More and more people might face a tough time in retirement. Low-paying jobs, inflation, and high rents make it hard to save. Now, middle-class Americans find it tough to own a home too, leaving them without a place to retire.
The increasing prices have impacted my plan to retire at 62, work part-time, and save for the future. I'm concerned about whether those who navigated the 2008 financial crisis had an easier time than I am currently experiencing. The combination of stock market volatility and a decrease in income is causing anxiety about whether I'll have sufficient funds for retirement.
This is precisely why I like having a portfolio coach guide my day-to-day market decisions: with their extensive knowledge of going long and short at the same time, using risk for its asymmetrical upside and laying it off as a hedge against the inevitable downward turns, their skillset makes it nearly impossible for them to underperform. I've been utilizing a portfolio coach for more than two years, and I've made over $800,000.
@@mellon-wrigley3 That does make a lot of sense, unlike us, you seem to have the Market figured out. Who is this consultant?
"Gertrude Margaret Quinto" is the licensed advisor I use. Just research the name. You’d find necessary details to work with a correspondence to set up an appointment
Insightful... I was curious about her, so I looked her up online. I discovered her website, and I must say that she seems knowledgeable. I sent her an email outlining my goals. I appreciate you sharing.
Would love to see a follow up in 5 or 10 years... These are some bold moves...
This is later. He retired in 2013. His posts his financials on his blog. Current net worth over $2.5 Million now. Bold moves, but possible for people who control their costs.
Seems like u just hating that they made moves you wish to make
his wafe was a financial analyst so they have some understanding about investing.
Not bold if you calculate all your budgets and account for everything
They were smart and got a college degrees that gives them the opportunity to jump back into the world of work at anytime in their life.
Wife and I started F.I.R.E in 2017, we're up to $450,000 with our retirement number being around $2.3M, hopefully we can do it sooner than that though.
Nice job - a great start :)
We are also trying the same here, but our expenses are a bit high. May I ask, where do you live? Is it expensive?
@@brauliofernandesss We live in a somewhat rural lower cost of living area on the Texas Gulf, both wife and I work in power plants / chemical plants and make over $280,000 combined.
@@Denny_Dust Oh. So it only took the 2 of you 1.5 years to save $450K, then?
Great job! All the best wishes to you both!
Retiring with only 1.3m is risky even if you are frugal. There is always the risk of divorce (which is unfortunately a very real possibility). Being single and left to live off 4% of 600k would be rough.
I agree, but they can always go back to work and generate the supplemental income they might need.
@@robertj9 if he only made $70k at the height of his engineering career I don’t know if he’s gonna make the right decisions to grow his income
True. Most stories like this act as if divorce is not a possibility but unfortunately even for the happiness couple in the world it is. I have seen it many times.
Never get married problem solved
No divorce if you stay single
Retired with a 7 figure portfolio and Receiving about $53k in dividends. I have been in the Stock market about 20 years. Am I worried? Am I selling? Absolutely not. I have purchased growth stocks too a little at a time over the past few weeks. I am going to sit back and observe how this all plays out, adding more at a time. my investment strategy actually calms me down. Eye on the prize, stay the course!
Dividend investing is great, just be patient. I went from making enough passively to pay for my netflix and hulu to now making enough to cover half of my mortgage. Not commenting this to brag, just to give hope to anyone who is discouraged by tiny gains in the beginning.
what route did you take? how can one invest more efficiently? help. sounds like you got something going for you. I am new at investing and really want in.
Recently I got into the financial niche, and I’ve taken a deep dive into investing, particularly dividend growth investment as it interests me. hoping to get to your level someday.
@@AyaanFarax223 i've been working with someone who changed my idea about the stock industry and how DGI works ..I invest with the guidance of Elizabeth Wilder Richardson, I came across her on an investment webinar, just search her name online to know more about her, you can reach her from there..cheers.
love it when i see my fellow individuals excelling. I'm also on my way to the millionaire's club from investing in stocks. It's exciting watching your wealth grow. Good luck to us both.
Retirement is wonderful if you have two essentials - much to live on and much to live for. Invest wisely and get good returns.
thank you, can you give a pointer the best investment now ? i am thinking of getting stocks or cryto
The key to making money in stocks is not to get scared out of them. An important key to investing is to remember that stocks are not lottery tickets. get a financial assistant
I currently work with VIVIAN KLAINE MORGAN a financial expert i met in a seminar
I recently watched VIVIAN KLAINE MORGAN on TV , such a great speaker . but have you made any profit whatsoever working with her ?
I have been able to make maximum profits off my trade with $40,000 and I have amassed about $190,000 in net profit In 4 weeks
Wow! Before some doctors even start working, these guys are already millionaires
Yeah. 4 years Premed, 4 years med school, 3-4 years residency, (2-3 years fellowship which is optional)… When doctors start earning at 30, they are already in 400-500K in debt.
@@RickM23 doctors can pay the debt of easily
@@techwerido3625 LOL "Easily"
@@MontageHustle yes easy if they work two jobs
@@soksamnang2150 Most doctors make 200k+ a year... If you go into a specialty, even more (e.g. my local dermatologists made 500k mid-career).
Just live like you make 50k and pay it off in 2 years, and you'll be set for life. If that's not a good pay and "needs a second job" idk what is.
My local emergency room physicians said they'd take on an extra weekend shift and take a nice trip to Cabo out of the money they made just that shift lol.
How are they covering their health insurance? The only reason I can't achieve "FI" in FIRE is because of the health insurance coverage. Anyone, please? I am in my 50's and have enough money saved up, but if my wife, my kids or I get sick and hospitalized, then we will be in trouble without a decent medical coverage.
You leave the country. Look at youtube channel "our rich journey". They moved to Portugal. They live in a developed first world country. Their kids go to English speaking schools. Private health insurance is very cheap
I’m in my early 40s and met my goal for FIRE (but still with young kids) but I’m in the same boat as you, it’s mainly for the medical insurance. I have given my wife permission to quit her job and I have cut back my working hours to work on side hustles that I enjoy.
Health insurance cost you two how much per month? They quoted me at 500$ a month so I only need 100K at 5% to cover it for they year. With other people on the plan is it that expensive? However I love living on 15K-18K a year for me everything. Your quote: (How are they covering their health insurance? The only reason I can't achieve "FI" in FIRE is because of the health insurance coverage. Anyone, please? I am in my 50's and have enough money saved up, but if my wife, my kids or I get sick and hospitalized, then we will be in trouble without a decent medical coverage.)
They probably get ACA subsidies, which would be very good for a family of 5 with investment income of $40k a year. Their premiums would probably be under $100 a month with the subsidies.
Go to other country with low living cost but gigh quality health care. There are a lot of places like that
I have a friend from grad school who is super frugal. Russian dude. Lives in Brooklyn. Super frugal and minimalist. But the dude still lived well: Took about 4 months of epic vacations every year. His job afforded him that flexibility in time schedule. But he absolutely hated it and, this year, he finally quit. He just realized that he'd been super frugal and made a ton of money investing in index funds. He even was frugal enough to buy his own place in Brooklyn. And he really did make a very just okay salary in New York.
Great job, most people just hope to reach 1.3 million by 65.
Problem is normally it takes a while to stumble upon investing.
$2 million for two people in their 30s is risky in my view. What if the stock market loses half it's value and does not rebound? If you think it can't happen look at the stock market from 1968 to 1982. Also, when they are older and may need nursing care or long term care, where does that money come from? A lot of these videos talk about expected expenses based on healthy people in their 30s and 40s. The reality is that health care and living care costs tend to rise significantly later in life. Does the 4% withdrawal rule then become the 40% withdrawal rule?
And this is why real estate > stocks
You never heard of health insurance or HSA savings accounts?
@@DeanBKK Buying medical insurance out of pocket (ie, not thru an employer and before Medicare age) can set a family back $18-24k for a s#*tty plan (eg, with a $10+k deductible) or ~$30k for a less s#*tty (but not great) plan in my state.
It's a legit concern that really messes with my retirement calculations.
That said, I feel like I'm overlooking something here, so I'm curious to hear how you're planning to manage/reduce the cost of pre-Medicare medical insurance, if you don't mind offering your perspective.
@@llkg9 Me personally, I live in Thailand. World class medical facilities and health care costs maybe 1/4th of what it costs in the US.
I realized that the secret to making a million is making better investment. I always tell myself you don't need that new Car or that vacation just yet and that mindset helps me make more money invest:ng. For example last year I invested 70k in blue chip stocks and crypt0 s (with the help of my advisor of course) and made about 380k, but guess what? I put it back and traded with her again and now I'm rounding up close to a million. Delayed gratification always pays off
@Jasmine Adams I found her on a CNBC market interview, so I looked her up and we begun our awesome partnership.
@Jasmine Adams . .You can connect with her on what'saap
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My first experience with her gave me the assurance that has made me to invest without fear of loosing and I got four of my friends involved with her already
Personally with $15000 i have been able to earn well $41,000 in my last three weeks of trading with her
I have been retired for five years now. Although I've been adhering to the 4% rule, things are challenging as I did not anticipate. 30% of the $600K I invested in st0cks is lost to the market. How can I diversify my portfolio for retirement
Now you are retired and depend on your investment, it’s best you redistribute your capital. To simplify the process, you could allocate your resources with the help of a financial advisor.
I wholeheartedly concur. At 60 years old and newly retired, my external retirement funds total around One million two hundred fifty thousand dollars.. With no debt and minimal retirement fund allocation relative to my portfolio's value over the last three years, I recognize the importance of a financial advisor. Neglecting them isn't an option; however, thorough research is vital to find a trustworthy fiduciary advisor.
This aligns perfectly with my desire to organize my finances prior to retirement. Could you provide me with access to your advisor?
'Vivian Carol Gioia' covers things like investing, insurance, making sure retirement is well funded, going over tax benefits, ways to have a volatility buffer for investment risk. many things like that. Just take a look at her full name on the internet. She is well known so it shouldn't be hard to find he
There are many you could potentially find online. I personally work with Vivian Carol Gioia, and she's been spectacular. But there are also many others you could check out yourself.
SUCCESSFuL PEOPLE DON'T BECOME THAT WAY OVERNIGHT. WHAT MOST. PEOPLE SEE AT A GLANCE_ WEALTH A GREAT CAREER, PURPOSE IS THE RESULTS OF HARD WORK AND HUSTLE OVER TIME.
Yeah! I agree with you sir
That's true most people today have been having a lot of failures in forex and crypto sector because of poor orientation and bad experts
I did invest with her and I made huge profits
I saw the recommendation but I didn't bother chatting her up I keep loosing teally i still don't understand how the forex market works tho
my cousin recommended her to me. He has been investing with her for some months now, but he earns just 60% of whatever he invests in a week which i think its too low,
Good for them! For me personally, $1.3m is not enough to "retire" in the traditional way when both are in early 30s. We are in the same boat as them, without kids, but we are planning to still work and grind for a few more years.
You don't actually "retire" in the sense that you just lay on a beach all day doing nothing. It means you're financially independent and can focus on doing what you want to do to make money (ie. hobbies). It could be something like coaching your kids soccer team, building furniture in your garage and then selling it, etc.
90% stock in retirement, has survived one bear market, and thought about selling.... hope his risk tolerance holds up if the next one is 60% down and lasts a decade
Bonds have a negative real return
The stock market has never had 2 years in a down market. The 2008 crash had a few quarters down and came back up.
Last yr it dropped only for a couple months. That’s why the saying is to add more when it takes it a dive because you’ll have more when it comes back up.
Only a fool pulls their money out in a downturn.
That’s what I thought too, definitely too aggressive for someone without other income. Besides long bear market there are also other unexpected expensive life events.
@@edb484 the S&P500 (which many associate with the stock market) had down years in 2000 (-9.10%), 2001 (-11.89%), and 2002 (-22.10%). There was also a few more multi year down years in the 70s and the 30s and 40s.
Also, the crash of 2008 took 5 and a half years to get back to where pre-2008 was.
that being said, each person has their own level of risk tolerance. For me, I probably couldn't do 90/10 in retirement. I wouldn't be able to hand the stress. Personally, I'm trying to target a 60/40 allocation when I retire.
@@alanyoung159 Just a nit-pick - if you include dividend returns, it took less than 5.5 years for the S&P500 to return to its pre-2008 cost.
Love hearing success stories like this, congratulations! Hopefully everyone watching this video will be joining you soon in retirement ;)
I wonder what his annual budget looks like and how he's able to spend so little, because that amount is for the entire family. My estimate of how much I need before I can retire is his original $2.5M, which will take many more years to reach than $1.3M.
The numbers don't add up in a lot of these videos. Maybe they don't have to pay housing because they inherited a house and some extra money too or something else that's left out of the equation. guy has 3 kids...
He stated his starting budget was 4% X $1.3M=$52k
The key is they know how to live an attractive lifestyle on that budget. How common is it for a $140k household to spend every penny? The were under 40k...
I retired early in 2008 at 46. It was a very scary time. I look back and at the low in '09 I had about $750k Not the $1M+ I planned. The entire market was shell-shocked but despite fear I started buying financial assets. I am over your 2.5 number now but their 52k budget is close to my current spend. The point I would make is that spending increase is more a function of age than net worth. The market is silly high right now (pe >22) so if you need money to live on reliably for over 40 years be set for stocks to decline 30%. Bonds are negative real yield right now.
For you I would recommend you take a serious look at what you really need to spend to enjoy (retired) life. It is NOT a multiple of your income -it is about what you want to do, what you value. That goes for career too. Does your employment provide a desirable use of your time? For an upper middle class household that is not frugal $2.5M is a very reasonable number.....but it's certainly not the only way.
@@skyak4493 Yes that's what I meant by budget, is what and how much they are spending money on. It's just hard to imagine cuz I think he said he is planning to pay for kids college, and with everything else that a 5 people household needs to spend on (house, car, food), cuz I'd love to lower my $2.5 like they did.
@@木木-t6p They paid off their house and spend only 40k a year to avoid paying high medical insurance. So essentially they spend most of that 40k for food and travel while also growing their portfolio. His portfolio now is over 2M.
@@木木-t6p The kids college seems questionable on the original $1.3M. Maybe it was just a goal then, more certain now. Tuition at many schools is "needs based" -you ask what it costs and they ask how much you have. If they simply plan to pay tuition for NC state it's no problem. My former neighbor was a prof. at a state school. His two daughters could have free tuition at his school -but they both went out of state at major expense. My one niece attended private high school that cost more than this families yearly budget.
For your personal budget it is really a question of personal values and creating greater certainty by living it. If you make 100k and you save 40k and spend 60k, you might successfully retire early with 1.5M, because you know how to live on 60k. If you spend 85k and save15k your target is 2.5M and you might not get there by 65. The math is easy. The discipline is hard -seemingly impossible if you don't do the math.
Saving 50-80% of gross income ?! What the heck
It can be done!
@@HRruizman87 yeah but who wants to live on 40K indefinitely. I’d rather continue working and live on 100K indefinitely
@@oco987 understandable. The $40k/year is not permanent because as the investment grows (and it is) the available funds to live off of will grow as well. $2m = $80k/year $3m = $120k/year and so on.
@@HRruizman87 $2mil only gives you 80k a year??
should've put it in index funds
avg return of 7% 2mil would bring you 140k a year
@@oco987 I hear a lot of early retirees say that they keep their same level of living in retirement, but they end up spending less. My wife and I, with a child, can live pretty well on 40k per year, but I know it depends on where you are living.
Can anyone recommend a good book for someone that knows almost nothing about financial terms? I want to learn more and looking stuff up online isn’t working for me anymore
start with youtube, there are many useful informations on youtube. the most important thing is probably doing your due diligence to make decisions
I heard good things about The Millionaire Teacher
The wealthy barber
Quit Like a Millionaire by Kristy Shen and Bryce Leung
not a book, but this youtube channel "Two Cents" is great!
ua-cam.com/channels/L8w_A8p8P1HWI3k6PR5Z6w.html
My girl and I made combined 350-400… aiming for 10m in assets and retire by 35, we’re car people so having a supercars is a must in retire
Hello. I'm actually looking for a good trader that can help me trade and make good profit, I've been seeing so many recommendations but i don't think they're trusted. Please do you have any recommendation?
Most time having knowledge or insight about a particular activity can as well be a pleasing exercise. I can boldly say that forex and crypto trading is one of the profitable money exchange services that elevates investors and their financial status.
That's true most people today have been having a lot of failures in forex and crypto sector because of poor orientation and bad experts
@clever marry I did invest with her and I made huge profits
@clever marry my cousin recommended her to me. He has been investing with her for some months now, but he earns just 60% of whatever he invests in a week which i think its too low, I've seen other traders who offer to give you 300% of whatever you invest
@@harrisondiamond2624 consistency is key, I've been investing with her for months now and I've made alot of profit from her. Most of those traders who offer to give you 300% of whatever you invest might scam you of your hard earned money. Forex ain't that easy you know
I am 30 and I had incredible luck in business. Net worth is close to 5m but I am not sure what to do now other than work.
Wow you are one of the few business people I have ran across that admits that business is in part luck!!!! Good for you!!! Your quote: (I am 30 and I had incredible luck in business. Net worth is close to 5m but I am not sure what to do now other than work.)
Yeah no need to stop working
Make even more money and donate to research that aims to reverse aging. That way you can buy more time and youth on this planet. Then you have time to try many things and find your new passion!
Send some my way and we’ll figure something out together traveling the world amigo
you can cry after I've robbed you, that's something to do. it's very productive.
Honestly I can't believe he's 33 he looks a lot older?
Bald
He's 40 or 41. He retired at 33 in 2013. 7 to 8 years ago.
@@TiffTiffy Still looks older than he actually is.
Start early, stay focused.
Ayyyy, Casey!!
I swear man, I see you everywhere, and not just on the finance videos lol!
Ok casey
Disingenuous fake non-millionaire alert, no one wants to read your unsolicited spam
@@ProPimpProductions - He is the biggest spammer!
CNBC + Acorns sponsored “you can do it by invest in stock 90%” with financial analyst wife? Having three kids education and family healthcare, it’s for high risk tolerance.
I have 700K at age 28. Going to retire at age 40
You are good
not if I rob you
@@laur-unstagenameactuallyca1587 how are you going to take money fron my investment accounts 😂
@@jameshusentoff2953 just watch your back b
@@laur-unstagenameactuallyca1587 this isn’t even ny real name lol
Good thing he didn’t pull out when the dip happened last year, seeing as the market went right back up
So much of long term investing is doing absolutely nothing when the market slaps you in the face.
@@hypothalapotamus5293 Ahh, the hard work of passive investing....
@@skyak4493 The hard work of passive investing is keeping your day job.
How do people handle the cost of medical insurance after retirement but before Medicare age? A s#*tty family plan is ~$18-24k/yr. A less s#*tty plan (still awful) is ~$30k/yr. This is the main obstacle preventing me from retiring now.
interesting, I’m compiling and picking stocks that I’d love to hold on to for a few years before retirement, do you think these stocks would do better over the years? I’d love to retire with at least $3million savings. You might think that the govt gives a s*it about your financial but that's one of the biggest lies ever told. I don't hoard
cash, I invest. What's the use of holding cash when i have made over $550k in raw profits from the last quarter in the market. invest wisely people
@Benjamin Gilbert My portfolio is very much diversified so it's not like i have a particular fund i invest in. plus i don't do that by myself. I copy trades from TINA RENEE ANGLIN. she's quite the genius in diversification and trading. just like you can copy trades at etoro. my portfolio has grown at a tremendous pace. unlike i can say for my IRA which has just been trudging along. my portfolio just mirrors what she trades and not just on some particular industries of my choosing.
@@yarboroughbrad3082 That's impressive. are you giving her your money or the money stays in your account? I have heard about copying trades but have not looked into it but i have an idea of what it is
@@figueroacamarillo98 exactly. I've been copying her trades for close to two years now. Started with a capital of $100k. My portfolio value has since skyrocketed beyond my wildest imaginations. Plus it's relatively much easier to set up and connect my accounts than creating a financial plan and drafting investment strategies myself
normal people buy in at high prices the stock
market goes down,companies buy stocks back cheaper by introducing some "disaster" Stock rises after a disaster and the cycle repeats.. having a good entry and exit strategy, will make succeed in the stock market
@Kristin James look her up on the internet and leave her message she's quite popular for her service she was recently featured on
Bloomberg
46 and retired here. My investment of choice is hard money lending guatanteed by real estate. I have about 15k in passive income per month without stock fluctuations or having to manage rental properties.
how much do you usually loan out?
@@beatricerights 100-300 generally.
Will Graham get on this? I wonder
Thank you this was very helpful.
This is so awesome! I’m literally doing the same thing right now!
Can't time the market Justin. Glad he realized that!
Your Social Security payout will be about $900... Your Medicare supplement is paid from that benefit... which means while all your peers that put in a full 35 years will be getting $3000 to $4000 per month and better health care, you will NOT...
Its difficult for a person in their 30's to have the fiscal maturity and foresight at how important it is to have this benefit.
Get back in the workforce and get your full 35 years in... Every year less than 35 uses a big fat zero in your benefit calculation.
This is interesting... Would a person be able to work part-time, or pay into social security and Medicare in early retirement?
As along as they've met 40 credits of social security they can reap the full benefits as well. No need to work 35 years to get them
@@purebredhustlaz how does Medicare work? I'm a Police Officer and most departments don't put into social security because we have pensions. But, we put in to Medicare.
Do you know the requirements to receive Medicare in retirement if a person retired earlier?
You don’t know what you’re talking about. Anybody that has saved adequately for retirement will have their social security completely taxed away once RMD’s force you to take money out of your retirement plan. Also it’s only a matter of when not if they means test Medicare. That means if you saved for retirement you’ll be punished for it by not getting Medicare. Get out of the system and stop paying SS and Medicare taxes as fast as you can. Don’t support parasites of society
Problem with the 4% rule is that the expense needs can rapidly escalate during old age with health issues. You could easily blow through $2M in a few years. Better to plan for at least $3-5M before calling in early retirement in your 30s.
How to retire early:
step 1: 6 figure income
Step 2: see step 1
how you spend it is the key though
Step 3: Profit
@@Siddhartha040107 Well spending does impact outcome but seriously how many people are able to retire early who don't make 6 figure or really close (+ or - 20K)? The only other people I have hear that could retire with 500K-1 million making 20-40K were those who started young, invested their entire working years, and then partially retired in their 60's. My point is how can it be that early retirement and 6 figure income are not linked? First quote: (How to retire early:
step 1: 6 figure income
Step 2: see step 1) and Your quote: (how you spend it is the key though)
Its more "how much you spend" than "how much you make", but it def helps. 6 fig for a household in their 30s isn't unreasonable though.
He said he made $70k per year,same with his wife
Health Care at $24,000 per year. College education for kids is $100,000 per kid. 90% stocks is a bold move for sure, but history says he'll be fine. There has to be a pension in place, health care provided. Something is missing from this equation. I've done the math for myself with no debt at 51 and twice as much in investments and 60 seems doable, but not 33.
Imma have it one day.. one day 😭
I personally don't think you can retire and just live off of the profits of $1.3 million for a family of five. 4% is only $52k before taxes! If you factor in the cost of healthcare for the family and everyday living expenses, I don't believe it's feasible even if they do live in a cheaper part of the country.
Married filing joint, first $80,000 of long term capital gains is taxed at 0% if you have no other income. Also, with 52K for a family of 4, they are most likely qualifying for healthcare discounts with the affordable care act.
They've been doing it for a decade already lol. Who are you?
Did he budget for health insurance costs?
As a single person at age 32 with no kids and single I only require 31,800 dollars a year to live comfortably that number includes all expenses from rent down to the water bill and Wi-Fi. That also includes a 1,000 a month spending allowance for food clothes and what not. I plan on remaining single with no kids for ever so hopefully I get to retire very early as I do not need an extravagant life to be happy lol.
How did he save 50 to 80% of his income on only $140,000 a year? With three kids?
100% possible some people can live off 30k per year. and thats not even including his partner's salary.
@@minismalls3096 How?
What Justin did well than many wont is not is not concede to lifestyle inflation pre and post FI. I've read his blog for years and he is ruthless on cutting expenses and using things such as Ebates and cash back reward credit cards to stretch the dollar. His food expense for a year is what most Americans spend in 3 months due to cooking at home and meal choices. They also don't mention he makes significant income from blogging online but hey they built a brand so good for them to monetize the content.
1. Spend less than you make
2. Invest the difference wisely
3. Your Financially Independent it's only a matter of time.
Why retire? I'd just live and work as i feel
I thought the same thing. I plan on working at a golf course pro shop, easy and free golf...
@Tahir Idle hands are the devils tools.
Retiring to these people is not defined as never working, it is defined as freedom to do what they want. Maybe work on their own ideas, work when they want, not everyday because their jobs require it.
@@colombiantom You are only "free" if $50k pays for everything you need and want.
@@flawaii-pines6858 you are only "free" if your investments, pension etc pay you more than what you spend. Heck 20K could be enough if you move to a cheaper country. It is all relative. My freedom number is different from yours.
I was an investment advisor. The advice in the video is excellent and true for the typical American. But for people who have a good portfolio of about $5m, if you look around, most people are still active at 70 (I live in LA) but by 80, not so much, so enjoy yourself at some point before it’s too late. That nice vacation will pay for your last week in the nursing home. There is a difference between wasting money and spending it. Be value-conscious.
Had the same experience. My spouse has retired, but we met with the financial advisor last year and she said "guys, you've already made it. Stop putting off things in life that you enjoy".
I completely agree. I'm 54 years old and recently retired with roughly $1.2m in outside retirement funds, no debt, and very little money in retirement funds relative to the total value of my portfolio over the past 3 years. To be honest, the Fin-advisor's role can only be downplayed, not dismissed. Simply try to identify a reliable one. Spending money on possibilities and things that might not exist much sooner than we realize is completely different from wasting it. As you said, being value-conscious is essential.
@@MarkFreeman-xi3rk This is exactly how i wish to get my finances coordinated ahead or retirement so i can attempt to do all i wish with the little time i have strength to do them while retired. Can you recommend the advisor you use?
I really don't like making such recommendations, because everybody's situation is unique. But there are many freelance advisors you could check out. I have been working with Margaret Johnson Arndt for about four years now, and she's really, really good. If she meets your discretion, then you could go ahead with her. I endorse her.
I just checked her out on google and I have sent her an email. I hope she gets back to me soon.
thank you CNBC team for this great video
That does not seem like enough to retire with. My net worth is already over $3 million and I make more than double what they were earning. I still plan to work for another 17 years. Even then I worry about my retirement. I have a pension through my company as well.
How to get retired by 33: Be born rich.
The 4% rule is based on retiring at age 60-65. If you retire 30 years earlier, then you should use a 2% or 2.5% rule, because you face a much longer investment horizon.
Source?
@@IrishMexican
Good question.
First, Bengen (1994) and Cooley, Hubbard, and Walz (1998,1999) all conclude that a 4% withdrawal rate is unlikely to deplete a retirement savings account if you retire aged 60-65. Simple common sense says that if you retire 30-35 years earlier, with the same amount of money, then you had better withdraw at a lower rate if you want to be unlikely to deplete your funds.
Second, Felix (2018) explains the mathematical details and concludes that 2% to 2.5% makes sense for someone retiring at age 30. Felix also has some nice UA-cam videos where he talks through the details.
REFERENCES
Bengen published 4-5 years before the "Trinity" studies (so called because the three authors were all professors at Trinity University, San Antonio, TX:
Bengen, 1994, “Determining Withdrawal Rates Using Historical Data,” Journal of Financial Planning, Vol. 7 No. 1, (October), pp. 171-180.
Cooley, Hubbard, and Walz, 1998, “Retirement Savings: Choosing a Withdrawal Rate That is Sustainable,” AAII Journal, Vol. 10 No. 3, (February), pp. 16-21.
Cooley, Hubbard, and Walz, 1999, “Sustainable Withdrawal Rates from Your Retirement Portfolio,” Journal of Financial Counseling and Planning, Vol. 10 No. 1, pp. 40-50.
Felix, Benjamin, 2018, “FIRE? Here’s Why The 4% Spending Rule Does Not Apply to You,” Available at: www.pwlcapital.com/fire-heres-why-the-4-spending-rule-does-not-apply-to-you/
I gotta find me a financial analyst wife as well. Obviously that helped him as well..
Thats the trick
4% is a lie that keeps getting perpetuated, 3% is max you can reasonably withdraw, if that.
If they saved 50 - 80% of gross income then you take out taxes they basically went the whole year without spending any money
Exactly, something doesn't add up.
Yup....and obviously it assumes no kids (but that's besides the point)
They saved 50-80% POST tax
Take home pay not gross
So I have maybe a dumb question. How did they put that money in and have it grow that high and not get killed each year on capital gains taxes? Or are they only paying capital gains on the 4% they pull out of it each year?
You don't pay capital gains until you sell. You would pay taxes on any dividends, but index funds don't usually have high dividends. Plus, they were investing a lot in tax deferred retirement accounts.
I don't understand why people retire at 33 only to live about 40 years of their remaining life as a miser. They are retired but they need to maintain a frugal lifestyle to be able to afford it for the next 40 years.
When you grow up poor you want a nice life, nice clothes, car, dining out, however when you start working 40+ hours a week, get tremendous pressure from work to deliver and realize you can’t do it for the rest of your life, you come to the realization that all you ever wanted was freedom. Living frugal>having to work for 40 years in a job you don’t like.
Plenty of people don't care about luxury. Fine dining and 5 stars hotels, fancy cars are honestly a waste of time. I'd rather drive a 20k car than work all those extra hours to drive a 60k car. And I'm someone who has stayed at 5 star hotels and has been to the fine restaurants and honestly I'd rather just work less and stay at 3 star hotels and cook at home.
@@dominick6131 that's your personal opinion. I'd just get bored living the frugal retired life at 33. I'd rather keep working and take time off to relax in style. Ofcourse, while maintaining a work life balance.
@@adeebniyazi I agree with you with people retiring sooo early, like in their 30's. But, at the same time, I've known people who worked their entire lives, retired, and died pretty soon after retiring... Everyone is replaceable.
What do you think about early retiring like in your 40's??? Or, instead of "retiring", maybe doing free-lance work, part-time work and stuff like that.
I'd imagine these early retiree's don't just sit around and do nothing. They probably travel, do community service, part-time jobs for a little extra cash in which they probably don't need.
@@adeebniyazi Some people come to the freeing realization that you don't need a lot to be happy
That's the life. I would love to retire from full time work by 45 but i would need to have accumulated $1m by then.
Success is about focusing Your energy on what creates results and using what you already know
I pray whoever reads this should become successful. keep l for success. the rich stay rich by spending like the poor and investing why the poor stay poor and be spending like the rich yet not investing. Roar! Invest earn and be successful.
Assets that can make you rich!
I.Crypto
2.Stocks
3.Shores
So we are at 1.5 NW. why do I feel like we still have a long ways to go lol. Just turned 40 last Thursday and hubby turned 43 back in June. We may retire at 55, if we hate our jobs, lol.
Times are changing, becoming a millionaire is becoming more attainable. 👍
Bruh, its getting harder? Shrinking pensions and too large inflation much?
Largely due to the devaluation of the dollar, but yes.
Inflation yes
@@rickzheng2457 old thinking, pensions are far inferior to playing the market with a 401k. It's way easier today than it's ever been you just won't make the required sacrifices.
Becoming a millionaire is much easier, but a million dollars isn’t nearly what it used to be
1.3 Million is great! But in the last two years U.S printed out 3+ trillion dollars. Dont think the value is the same as before.
1.3 million doesn't even buy a decent home in a safe place.
wow, having 90/10 allocation in retirement is very gutsy, I don't think I would be able to handle that kind of risk and stress lol, but great for them!
All of these so-called retired couples are making a living via social media. That is how CNBC finds them :)
The key is spending way less than what he was earning (in salary/investments). Then you'll realize you don't need as much as you thought.
$1.3 million is peanuts in today's world. It costs $1 million just to send 3 kids to college. That's also only $650K per person in net worth. Most marriages end in divorce these days. Even with an average 7% return, that's only 45K per person per year pre-tax. After tax that's $2,600/month. That doesn't even cover the average rent for a 1 bedroom apartment in any major or minor US city not to mention health insurance, gas, children's college, food, vacations, going out to dinners, etc. Given these expenses, inflation and what things cost today you need minimum $3 million per person invested or $6 million per couple. This guy is not even close. Also, who wants to live a frugal lifestyle? That sucks. I would never want to be at a restaurant worrying about what the cheapest item is. If you have to live like that for the rest of your life, why bother retiring?
Rent in most areas is under $1,200 a month but those areas probably aren’t good enough for you. College also does not cost anywhere near that.
Talk about FIRE power! 🔥🔥🔥
It’s insane that everyone here, everyone that wants money, anyone that wants to retire.. is doing so for the pursuit of freedom.
NOBODY BECOMES A MILLIONAIRE OR A......BILLIONAIRE BY WORKING FOR OTHERS AND DEPENDING ON THEM, GOOD INVESTMENT BRING MILLIONS OF DOLLARS, AND CONSISTENCY BRING BILLIONS, THE MARKET IS ALL ABOUT BTC AT THE MOMENT NOW..............
I invested $7,000 and he made profit of $53,000 for me just in 7days..
how do I reach him?,
I really need to c o n t ac t h i m..
+➀➁⓪➀⑧⑨⓪➐➃➀➏
@ Expert_jacksonFX
If you are frugal enough like these folks, retiring early is pretty easy.
33? Wow, that's amazing! I'm 24 currently and am hoping to get started investing soon so that I can do the same. Def not earning anywhere close to your income a little over a year post-grad, but overtime the money will increase and so will my investments.
i wonder if these early retirees stay retired?
Congrats. I would luv to retire early in my b4 I reach 30
The real issue is what future returns are likely for financial assets. Fixed income returns are negative after inflation - that means your purchasing power is evaporating every year. Looking at the S&P 500 CAPE, the future real return on US equities is likely to be very low over the next 10 years. So basically you will be lucky if you are able to maintain the purchasing power of your savings, much less grow it. Not a recipe for your capital lasting a long time. Folks extrapolating their experiences since 2009 will be in for a rude surprise.
1.3M at that age with that size of family is not enough money to retire for another 50 years
Lol wrong
ETFs, REITS, BONDS, the key is diversify. Put 15% of your pay into these every pay cycle. Don’t ever sell by trying to time the market. Stay the course. When the market dove in March of 2020 I dumped a ton of cash in the market. It’s up almost 150% in 11/2 yrs. wish I put more in.
Louis CK is lookin good in retirement
They were smart and got a college degrees that gives them the opportunity to jump back into the world of work at anytime in their life.
"The couple invested between $50,000 and $100,000 per year" So they were already in the top 5% before they retired? How inspirational!
What's their plan when the market goes flat/negative for 10+ years? Like happened 1968-1982, and 2000-2012? Are they projecting an endless bull market for the next 40 years?
No, the 4% withdrawal rate accounts for some market downturns and for stagnant returns as well. After all, the average real inflation adjusted return over the last few decades is 8%, and they would only be taking out 4%. Plus, their portfolio is over $2 million now, so if they are only spending $40k a year, that is a 2% withdrawal rate.
At 4% , they live on 52k/year plus 3 kids. I don’t care about their net worth if their cashflow doesn’t grow with it.
$52K goes a long way when you have a paid off house and no mortgage
52k minus 15-20k for family health insurance. This family’s salary is right at the poverty line of 30k for a family of five. Also no college funds for the kids.
@@primehelper1 they doubled their net worth now...
Come here to los angeles and that price won't even buy a house
Same in Toronto, Canada. You'd only get a (renovated) 1200sq feet semi detached house (maybe with parking in a private drive/yard). But they're already retired and already own a house (which is probably worth $500K where they live). Why would anyone want to move to Canada or Los Angeles when they can't afford to live there?