I’m Moving On, But Not Going Away

Not sure if others have experienced this but hosting my blog on WordPress wasn’t the best idea. Their hosting plans are pretty cheap but though their digital eco-system you are limited to their boundaries.

For that reason, I’m out.

I will be starting a new blog with the same content moving forward but the name will change. I should have done better research up front on domains and social media accounts before pulling the trigger.

The good news? I’ve learned about a couple amazing tools through this process and I’ll share them with you:

Bluehost – This domain hosting tool allows you to integrate with your Google accounts and transfer a WordPress content.

Namechk – This tool allows you to type a name into the search and it will tell you if that domain is available AND if the associated social media accounts are available.

If you’re starting your own blog and you want to monetize it or add affiliate links, steer clear of purchasing a WordPress.com hosting account as they lock you into a very limited ecosystem. I believe that a recent change allowed people to add plugins to their WordPress.com blogs where you could script in some Adsense or similar account but the ability to add plugins is sealed away behind their “business” paywall.

If you’re willing to wait for more easy frugal finance rules, hiking reports, travel tips, and my investment journey, please be patient. I’m working on getting the next iteration of this thing online as quickly as possible.

Thank you for reading!

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The Mid-Life Crisis

I believe I have figured out what is, and what causes the Mid-Life Crisis (MLC).

Financial experts all around the world agree that at, or around, age 40 that people begin to wake up financially and realize that they need to start investing so that they can retire without having to resort to cat food.

The crisis part comes in when people realize they wasted their youth spending money unconsciously and now have nothing to show for it. But wait Amn Duffle, isn’t it okay for people to have different life paths? And if so, is this really a crisis?

Yes and no, let me explain…

It’s not truly a crisis YET because the average 40 year old probably has a decent-paying job that can support his or her family and afford to live a fairly-comfortable American lifestyle. By this point the 40 year old has probably had a few promotions and feels at the top of his or her game at their job.

But, you see, at age 40 when people really begin investing, what they’re actually facing is the reality that they MUST work for the next 20 – 30ish years in the same hellish job just to break even in their shiny new retirement accounts. Instead of being able to retire and play golf like the media portrays, they are stuck working with failing bodies in jobs that are looking to replace them with fresher faces who will work cheaper.

THAT’s the crisis!

I’d imagine, it’s not easy coming to terms with a lifetime of bad choices and it’s pretty ironic that the most stereotypical thing we associate with the MLC is the acquisition of more debt in the form of a sports car. Maybe the person feels compelled to double-down on their behavior since changing seems futile… AND, they’re going to have to keep working anyways, so… might as well enjoy the time.

Thoughts?

The Why of FI

Right now I’m reading I Will Teach You to Be Rich by Ramit Sethi. And shortly into the book, Ramit brings up one of the most important aspects of PF. Why? Why aim to be rich or independently wealthy, or financially independent? This lines up with my previous post about having a clear sight picture.

If you don’t know why you want something, you probably won’t want it very much. Everything is easier and more desirable with a clear picture of the end result.

Today, coincidentally, I was also binging posts on Choose FI and came across the Why of FI post written by Ms. MoneyPenny. It talks about evaluating your current life and making a conscious choice to determine what you’d like to change.

This is the hardest part for me. I know that I must improve my finances so that my later years improve or so I can retire early but both results don’t appear clear in my mind. This might be due to current financial stability but surviving isn’t thriving. I enjoy starting something and watching it improve even incrementally.

Case in point, I love RPG’s. I like seeing a digital character improve through small steps until it’s the best character it can be.

I wonder…

Can the path be the goal? I suppose, like the end of my previous post…. we’ll see.

Starting Late

Part of this blog’s existence is to offer advice and tips to folks who, like me, started down the road of PF and FIRE late in life. I will chronicle my progress and pitfalls here for the world to see in hopes of making other people smarter.

One of the oldest stories in PF is that of two people who walk the path of investing at different stages of life yet end up at VERY different destinations. The first person invests $100 per month for ten years starting at age 20 and stops investing additional money at age 30. The second person starts at age 40 and invests $100 every month for 30 years. The second person, with more money invested NEVER catches up to the 20 year old because of compounding.

This tale shook me as a 20 year old but not enough to action. Here I am today, nearly 40, and I’m no different than person #2. My investments will never catch up to the smart whipper-snapper.

My blog is dedicated to #2 people. People who, either through fear or analysis paralysis didn’t invest early and want to start today.

There really is NO better time than NOW to start planning for the future. Whether your future is not working or having a smooth retirement or both, at whatever age. This blog is to help the #2 people from becoming #3 people… the people who never sorted their finances and never invested.

According to this CNBC article, 34% of Americans have NO SAVINGS!

That’s nuts!

I know that’s an extreme example and there are plenty of people who live a successful life that fall everywhere on that spectrum. But it’s still a shock!

So keep reading this and other PF, FIRE, and investment blogs. Read the popular books. Gain wisdom and grow rich.

Weekly Links

Youtube Channel:

Matt D’Avella

https://www.youtube.com/user/blackboxfilmcompany

I like this channel because the videos are well-lit and appropriately short (here’s a tip, if you’re watching an informational Youtube video and you can’t STAND how slow the person talks, click the gear icon on the video and change the speed to 1.5x, problem solved!). You may not be a fan of the minimalism movement but many of the tenets fall in line with those of the FIRE community. Some of the videos have very thought-provoking concepts. Give his short video series a look.

Individual Video:

Yosemite Backpacking Trip: How to Backpack Yosemite National Park

https://www.youtube.com/watch?v=dqMmziKT6uA

If you like to go backpacking, hiking, or camping, this video checks off all those items. My family loves this stuff and I believe our ideal future includes a LOT of outdoors activity whether FIRE’d or not.

PF Blog:

Millennial Revolution

https://www.millennial-revolution.com/

I don’t agree with everything on their website but I love the attitude in their posts, the stories, and the travel advice. Their backgrounds gave these guys a leg up on the average person for reaching FIRE but the information there is still great!

Enjoy!

Having a Clear Sight Picture

No goal is possible without being able to clearly visualize it in your mind.

I’ve been spending a lot of time with that idea, these past few weeks. Since I learned about FIRE and Personal Finance I’ve been attracted to the idea of having money work for my family and spending more time experiencing life. Honestly, who hasn’t? Most wild dreams include large sums of money. It’s no surprise that FIRE is catching on.

One thing I’m struggling with is why am I working towards FIRE. I’d like to think that I would spend my days traveling the world with my wife in areas where cost of living is low and the dollar is strong. Or perhaps RV’ing around the U.S. exploring everything the country has to offer. Perhaps I would go to work at jobs that do nothing but make me happy.

But none of those ideas fill my head with a clear picture.

It’s kinda hard to imagine a future where a daily job isn’t required. Perhaps it’s because the idea of not having to actively work to earn money is such a foreign concept to most people. We preach working hard your whole life and showing up on time. We preach that you can either work for someone else or you can struggle to get a business off the ground and be rewarded with decent pay but in exchange for all of your time.

Moving forward I hope it becomes clear so I can have a purpose behind the action. For now I’ll settle for putting the money in the right places until the fog settles.

The Added-Investment Value Rule

Here’s another tip that I’ve put into practice with the tenacity of a hungry raccoon.

Choose a value that’s comfortable to you to add to every purchase.

For us, it’s $5.00.

Now, go shopping, and save your receipts.

At the end of each week (if you feel okay with that frequency) add the number of receipts you’ve collected, multiply that by your value and then invest that value in whatever form of savings account or investment vehicle you use.

For us, it’s Betterment.

Example:

You spent money at stores 7 times this week, so…

7 x $5.00 = $35.00

So we would make a deposit of $35.00 to our Betterment account.

It’s a simple way to save more money and add pressure to your impulse purchases. Do I really want that Coke from the gas station knowing it’s going to cost me $7.50ish?

Be careful that your fervor for investing doesn’t have you buying more just as an excuse to invest. You can always just invest the money without the purchases.

Give it a try.