This is part two of a two part series on achieving retirement. As we already know from part one, there are two universal equations that govern our retirement progress. The savings equation and the nest egg equation. Universal Retirement Equations 1) Income – Spending = Savings 2) Savings x Growth X Effective After...
Four-Step Blueprint to Retirement: Part 2
Four-Step Blueprint to Retirement: Part 1
When you get right down to it, the pattern we all follow to reach retirement escape velocity is very much the same. Our nest eggs are all governed by the same two simple equations. Universal Retirement Equations I call these the savings equation and the nest egg equation. As you can...
How Overblown Details are Fleecing You of Cash
In grade school, you went through a period in English class where you were taught to “compare and contrast” different things. That technique is an excellent one for learning and we were unconsciously taught that you can never compare and contrast enough. It was a marker of intelligence. But unlimited comparison is not an effective...
What Should Your Savings Rate Be?
Standard financial advice will tell you that you should aim for 10% savings each year. And if you wanted an average outcome – stressed out about money, working till you’re 65+, and leaning your ladder on the rickety promise of social security – that would be perfectly fine advice to follow. I think you’re better...
Teardown: How Much Do You Need To Retire?
What academic research suggests is a safe withdrawal rate to calculate your retirement needs and the three scenarios you should test to arrive at your target number. There are dozens of competing philosophies out there on how to calculate your required retirement nest egg. I have spent over a hundred hours reading about and testing...
The Four-Step Blueprint To Retirement: Master Post
When you get right down to it, the pattern we all follow to reach retirement escape velocity is very much the same. Our nest eggs are all governed by the same two simple equations. Universal Retirement Equations 1) Income – Spending = Savings 2) Savings x Growth X Effective After Tax Rate = Nest...