015R - Friday Roundup

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0 - 9 Jonathan Mendonsa All right guys you made it the weekend is almost here. This is your Friday roundup and to help me do this episode today I have my co-host Brad here with me in the studio. How are you doing Brad.
9 - 11 Brad Barrett You know I'm doing great Jonathan. How about you man.
11 - 21 Jonathan Mendonsa I'm doing fantastic. I am having the time of my life with this literally every single week. I get more excited about this podcast and it's 100 percent due to the engagement from our community.
podcaster, relationships
21 - 39 Brad Barrett Yeah I hear you. It's really very cool opening up for our e-mail inbox or you know going on Twitter or Facebook and just just seeing these comments and seeing and it's not just these short little pithy thing. It's people writing paragraphs. People writing pages telling us about their story and it's really really cool.
39 - 77 Jonathan Mendonsa And just the fact that the stuff that we're trying to get across to people we want to convey information that has the power to change lives that can be implemented that we've already thought out and distilled and we were trying to communicate it to you in a way that personally I would understand and I need things to be very clear I don't like things that are opaque. I need things that I can take that information and give me five steps and I can do it and I can visualize it. And I think people are appreciating that and so some of the e-mails we've gotten are people saying hey you know I've listened to every single one and I've implemented these five things and here's where I'm at and I'm loving it. That is so powerful to me.
77 - 117 Brad Barrett Yeah I totally totally hear you there. I think what's cool is that we're not holding ourselves out to be experts. We obviously have a pretty significant baseline of information here but we're doing research. We're getting guests on we're just trying to convey this in the simplest manner possible and I think that resonates with people and I think also frankly like the fact that you and I are similar in many regards but dramatically different than others. I think that's pretty cool. Like I think the different perspectives some people see themselves as the Jonathan's. You know sometimes some people see themselves as the Brad. I think that's cool. So yeah hopefully everybody out there is enjoying it and I can tell you for sure that we are.
117 - 156 Jonathan Mendonsa Couldn't agree more. And to our audience a huge a huge thank you for all of your support. So this past Monday we had the episode with Justin from root of good and I mean it really was incredible to take a look at financial independence. You know when you've actually done it and what does that look like for your kids how's that directly affect your relationship with them how you grow them and mentor them through this process. What does that framework actually look like. And Justin did a wonderful job unpacking it and he's obviously living it. So it was very easy for him but I enjoyed just talking to him about it. I've been reading some of his content and it was exciting for him to kind of bring it to life and turn it into a story with us.
156 - 187 Brad Barrett Yeah for sure. And you know I was struck by the fact that Justin is just like a really chill guy right. Like it just sounds like he has this nice relaxing happy life with his family down there and that's just really it just hit me that this is what life is all about is trying to find what you enjoy. And all of us are going to enjoy dramatically different things. You might have your golf membership Jonathan I might be playing soccer or doing jujitsu or something and we all just enjoy different things. Justin might have his feet up on the hammock like we joked about right it's basically for you.
187 - 192 Jonathan Mendonsa He's done to me at least twice more since since the episode was recorded.
192 - 196 Brad Barrett But right. Doesn't it just seem like he has that had that really just chill life.
196 - 263 Jonathan Mendonsa It really does. And he gets to spend a lot of time with his kids and with his family and you know when you think about it when you think about what that process actually looked like for him it was really just about a 10 year journey right. I mean he said he graduated at I think it was 20-23 and it was it was a 10 year process for him to get to financial independence and now he's three to six years into that and not that it's not inconceivable amount of time. So there are certainly people that are getting this information and they're in their teens and if they just take they grab onto this they're listening to the episodes reincorporate just a few of the things that we talk about they are going to be financially independent by the time they're 30. But there are some people that are hearing it that are just now you know hearing this stuff for the first time and they're in their 30s 35 45 and you know it's also totally fine, you know. Get yourself out of debt. once you get yourself out of debt. You're looking at you could probably do this within ten years without really making that many changes outside of just optimizing your life you could do this in 10 years. It's not it's not rocket science, the math works for you. And what we're just trying to show you is how the math works and how you can get ahead on this thing.
10yearstogo, debt, families
263 - 334 Brad Barrett Yeah and that is a key point that you know I don't want people out there listening who are in their 40s or 50s even and you know who maybe have some dead or have too big of a mortgage I don't want them to say oh this isn't for me because it is for you it's for everyone. I mean this is just about making simple life changes that when you add together five 10 20 of them are going to make a huge difference. And you know I agree with Jonathan exactly like the math just works. I would think 10 to 15 years realistically for most people you can become financially independent if you make those changes. And you know and honestly like maybe you can't make the 20 big changes or medium sized changes that that we'd love for you to make in a perfect world. Well you know what make two of them make five of them and put a couple of thousand bucks a year in your bank account. That is going to make a whole lot of difference to you psychologically over the course of years. Right. I mean you might not be truly financially independent after the 10 years in this perfect world scenario but you're going to be a lot more comfortable and that means something. So this information is for everyone it's not for 22 year old kids who haven't made any wrong choices and have the whole world ahead of them. It's for everyone.
334 - 380 Jonathan Mendonsa One of the things that I love about our community what we do we're always talking about changing your compass and instead of trying to keep up with the Joneses try to keep up with a person that's pursuing financial independence. Change your compass. And so if I wanted to be more like Justin I'm going to focus on I'm not going to focus on getting the brand new car I'm not going to focus on getting the brand new house that the Joneses are purchasing that that's the McMansion with the five or six bedrooms. I'm going to focus on increasing my savings rate. I'm going to focus on efficiency on cars. I want to focus on efficiency with kids and keeping all that budget in line. I'm not going to spend three hundred grand to raise one child. I'm going to try and do that in a more optimized efficient way. I know we both love that quote if you're going to be average it's going to cost you 300 grand to raise a child. It's not going to cost me that much I guarantee it.
380 - 400 Brad Barrett Yeah no doubt. And I actually wrote down that quote and it's people who live an average lifestyle. They just do dumb stuff. Sub-optimal things when it comes to spending. So if you want to be average it's going to cost you about 300 grand. But if you want to make cost effective choices it's going to cost a lot less than that. And that was just a brilliant quote by Justin.
400 - 589 Jonathan Mendonsa You know I actually was reading in a news article recently and who knows you never know these things if it's fake news or not but this article is saying that the Joneses were based on this family that had this massive mansion and it just popped up in the news recently that they actually had a foreclosure on that home. So even the Joneses of the Joneses go bankrupt trying to try to keep up with themselves. I don't know maybe you find that funny or encouraging but I saw that on the news recently and thought it was worth sharing. But I love that I'm trying to be more like Brad. I'm trying to be more like Justin I'm trying to be more like millionaire educator I'm trying to model my tax returns and my finances around these more optimize streamlined paths. And when these are your mentors these are the people you're getting ideas from. You cannot help but fall into wealth over time you know and it's like J.D. says it's not getting rich quickly. You know I don't have that strategy for you I'm never going to send you down to the 7-Eleven to go get the lottery ticket and then tell you that the real key is to play these certain numbers but get rich slowly you can do that every time and it actually doesn't take as long as you think. Once you understand the simple math of early retirement. So just I just love it these things resonate with me. We are what we're building here we're building a framework. And so one of the things that I'm super excited about we are starting the conversation on how to hack college. We know that college is inefficient. We know that it's this bloated model. And to be honest nobody has really put together a great set of resources for how to do college. The smart way and probably a lot of that is because most of the fire community is over the age of 30 and we're too young to have kids that are in college right now but we're too old to have to worry about it ourselves so it's kind of this maybe the self interest type thing that promotes a lot of the material that we produce but because we're talking about hacking college and because we're getting to a point we're having to start thinking about it for our kids. People are coming forward and telling us we have these really cool ideas. And one of them is is Edmund Tee who's now a contributor at Choose FIq. He's going to be helping us he's me writing a lot of content about different type of life hacks and how to hack college. And he is producing an article series right now that shows how he got his son through college in half the time for a fraction of the cost and that that's going to be a mind blowing article when he publishes that he's working on it right now. And also Sun woo hoo I've told you all about before he took that podcast that we just did and is using that as the inspiration for him to actually go back to the drawing board. He's going to completely show you how to hack the FAFSA. So if you have kids that are going to be going to college in the next several years Stay tuned. We're going to be getting that content out to you and then point you to it when it's produced. But the FI community has gotten really good at learning what the rules are and then learning how to channel them to their advantage. And all you have to do is know how to find that information and then incorporate it into your life. And we're going to try to take care of those first two steps for you by showing you exactly where that content is and then doing our best to distill it into information that you can absorb and actually use. And I think that's a power of what Brad and I are trying to do here every single Monday and Friday that we get on this podcast.
college, fafsa, families, lifeoptimization, tax
589 - 761 Brad Barrett Yeah I think that's awesome I cannot wait to see the information that Ed and son Woo put out. I know it's funny I'm such a long term thinker. My older daughter is in third grade now so she's 8 years old. And while it doesn't seem like it's right around the corner it's 10 years from now she's going to go to college and 10 years are going to go by in a blink of an eye. But if I can plan now and this is the beauty like you just alluded to of being in this fire community is we know the rules and we try to figure out how to make them work best for us. So if I can start now in March of 2017 planning for how can I hack the FAFSA 10 years from now. Well that might inform my financial decisions for the next 10 years if that can help save a couple of hundred thousand dollars potentially on college just by being smart. Right. That might mean paying off my mortgage. You know I don't know what the answer is but it might mean if if your home equity is excluded that might mean paying off my mortgage with cash that I have sitting in my normal taxable funds because it would count towards our college contribution if it was sitting in taxable funds but it won't count in in home equity. Well of course I'm going to pay it off. But you know that's just right off the top of my head but you know it's I'm so so endlessly fascinated by this because the dollar figures are just so enormous you know. And I just kind of wanted to pivot back real real quick to the keeping up with the Joneses there for a second and just kind of throw my two cents in which is that people who drive around looking like they're rich. In my estimation are generally poor and I don't consider if you're rich by how much money you make. It's to me it's how much money you save and what your net worth is and it doesn't matter if you make $30000 a year or $200000 a year. That that is not the line the market delineation for who's rich and who's not It's not the income it's how much they save. Because you know frankly like when my brother graduated college he was living at home. He hadn't got an. You know this was years ago of course but hadn't gone in a full time job yet and he was just waiting tables but he was saving essentially 90 percent of his income and he had at that point you know I don't know the exact number but let's say he was able to save 10 20 $30000 some some big number. Right. And like you know people would look at him as oh he's waiting tables. I don't even know where it was Ruby Tuesday is or something like that like he must be poor but he probably had more net worth than the executive driving around in a BMW 5 series with their you know stupid McMansion. Right. Because those bozos don't save any money. It's about making those right choices and saving money. So obviously I can't I can be a little harsh sometimes calling people bozos and things but it's not about income. That's what I want to stress here. It's about saving money and just being a little bit smarter than the next guy. So that's that's how I live my life. And I think I think it's important and I think it's valuable.
Brad_Catchphrases, college, fafsa, networth, savings
761 - 820 Jonathan Mendonsa And I've found the exact article and it says a dilapidated New York mansion believed to have inspired the phrase keeping up with the Joneses has sold at auction for one hundred twenty thousand dollars. Long Island based molts auction says that the 24 room when Cliff castles sold Wednesday was built in 1853 in Rhinebeck as the country house of a Manhattan socialite. Elizabeth. Sure Herman Warren Jones a member of a wealthy family an aunt of the American novelist Edith Wharton the properties elegancies said to a prompted the owners of the nearby Hudson Valley estates to build even bigger mansions. Giving birth to the idiom keeping up with the Joneses. When cliff fell into disrepair under various owners and was abandoned in the 1950s. So there's the original article will post in the show link. Yeah it's kind of just cool you know. Not cool. I'm sure it's sad for them but it's kind of cool for you to be able to visualize the fact that the Joneses can't keep up with the Joneses. And why try.
820 - 931 Brad Barrett Yup agree and agree and agree and yeah just going back to the Justin podcast real quick as we talked a lot about kids and are your kids going to be OK if they don't see you working hard at your work or are they going to be entitled to. Are they going to learn how money works. And I just find those questions so shortsighted. I know we kind of read them in a sarcastic manner of Justin set up these questions on on his post and continue to go on and refute them essentially. And I completely agree with him I just don't understand why people conflate working so many hours at your nine to five or eight to six or whatever it may be with working hard and especially with your kids seeing them your kids simply don't see it they have no idea if you're sitting there with your legs on the desk napping in your chair all day. Or if you're actually doing something productive with the world. Kids and I know I mentioned this in the episode. The only thing that kids care about is spending time with you and anything that keeps you away from them is a detriment to them. In my estimation you know obviously that the caveat is you need to make money right. You need to have the the minimum essentials taken care of and you know I'm very cognizant of that. I'm in a very fortunate position. I don't want to cast aspersions on people who have to work hard or work multiple jobs. Those aren't the people I'm talking about but your children just want to spend time with you. They don't need expensive presence they don't need expensive cars or houses. They just want to hang out with you with your phone away and you know you to be not distracted. That's that's what I've found is the secret to raising kids and I fall down on this all the time. I have my stupid phone with me sometimes and I catch myself and I put it away. But it's just about that time. So Jonathan I know you have a baby coming in about a month here so if you can take any value from that comment at all hopefully keep it in mind in the next couple of years.
931 - 1002 Jonathan Mendonsa No no I actually really am. So for instance so I don't have any kids right now have this one that's going to be born in the next month and so I don't necessarily feel a pressing obligation to have my phone off at certain times. But you hold me accountable and that it's actually hilarious and awesome. And I know like wow I need to channel that because I know there's value there. And so I'll text Brad on like a weekend you know to talk about something that we want to do on Monday or I'll say regular schedule call and you know Brad will say actually say actually I set aside this time for my kids and I can't do it today. And it's amazing. It's awesome. I mean it's to me that would be I would find that so challenging but at the same time I find it inspiring that you have reserved this time for your kids and for your family and you just you check out and you don't think about work for that period of time. And that's powerful. I'm one of these people that probably always has trouble finding balance in life. I get so 100 percent committed to something that everything else falls away. And I love that you maintain that as you take on a new thing and you find new passions that are going to absorb your time. You still try to carve out that time so that it doesn't eat into you know the obviously the most important thing which is being there for your family.
1002 - 1078 Brad Barrett Yeah. Thank you. That definitely brought a smile to my face when you're saying that it's it's something that I work hard at. And I think it's important and I think people out there listening can take some value from this and you know listen I'm not perfect I'm not perfect in anything I screw up at this all the time but I do make a concerted effort when it's the weekend. I don't have my phone on. I try. Like my big goal on a Saturday is to literally not turn on my computer because I know I know what I'll do every time I walk past the bedroom I'll just zip in. Check my e-mail. I don't know. Check some stats on my web site or something that's just so inane and doesn't add any value to my life but I know I will do it. So what I do is I just don't turn it on. Or every night at 8:00 o'clock is when I try to do this I shut my phone off literally shut the phone off I shut my computer down and if I get an e-mail after eight o'clock Well I'm not going to check it you know because I know what'll happen I'll get something that'll be oh I have to answer it real quickly. Oh something went wrong or somebody left a nasty comment on my Facebook page or something that you know just something stupid and like it can wait until the morning. It just can. And like I get to spend that extra hour with my daughter Anna and not be distracted and not be worried about what's going on because you know and I don't care what's going on on my computer. I really don't. And yeah hopefully people can get some value from them.
1078 - 1091 Jonathan Mendonsa I guarantee you my wife is going to listen to this podcast and just are shaking her finger. Yes Preach it brother. Preacher I hope you hear this. Jonathan did you hear him. Yes. Yes we are. I heard it. That's awesome. Get on it. I'm going to do that.
1091 - 1096 Brad Barrett Nice. Tell her I'll try to help you. If you e-mail me at 7:45.
1096 - 1100 Jonathan Mendonsa He does not. He does not answer. And now I know why.
1100 - 1102 Brad Barrett Nice. That's awesome.
1102 - 1188 Jonathan Mendonsa So we always like to spend some time just talking about the content. And I loved it. I love this idea of second generation fire we're going to be committed over the next several years to delivering content that is transformative for middle class America that wants to build wealth one life hack at a time. And part of that has to be the focus on the second generation. So we open that conversation we've opened the college hacking conversation. We're incredibly excited about both content. Brad and I don't just stop like we don't just interview somebody and then that's it. You never hear about it again we just move on. We're always building and growing and so when we miss something when you want to correct something if you want to add something to the conversation. This is a community driven show. And so when you give us extra content that completes that picture we then come back and we address it and we talk about it and we use it to get these ideas out there. And then what we're trying to do is just over time as more and more ideas come in from us from contributors from bloggers from other podcasters and from our audience. We try to put this together into a story that builds and gives you actionable content that you can take with you. So you know I hope you appreciate that I hope it's one of those things where you literally want to hear every single episode starting from the first one because you can see how each additional episode is giving you new information that you can fit into your own journey.
blogger, college, lifeoptimization, podcaster
1188 - 1397 Brad Barrett In that same vein. It's important to know that this is a journey and we want and need you guys to be there with us along this journey because we are not ultra experts on every single topic. We are not infallable by any means we talk about things as we see it and as we know it. So these comments that we're getting from you guys they're really crucial. We actually received one from Keith from Singapore in response to our roundup last week and where we talked about investing in a bubble and moving all your money into Vanguard potentially. And he said with regards to the reader's worry about deploying capital in a quote bubble I think this is where the answers can be more refined by bringing on some guests to talk about the nuances of this. I believe those folks that are closer to fi or building and accumulating would face different challenges. When you're near the end it is better not to have a massive draw down research for a lot of the 4 percent rule is done on a model portfolio of 60 40 or 50 50 stock and bond allocation. If there is a massive draw down in the first five years your plan will be severely affected. Not my words but from the folks researching this. And this is a really insightful comment. And you know I think A like the one caveat is of course we're talking about this stuff very much in passing and it is hard to get down to dive down into the nuance. So I completely agree with that. And you know you don't want to give short shrift to anything obviously especially when we're talking really technical stuff. But so I greatly appreciate the comment and I think we will get people on to talk about the nuance of this because it is important. You know that's touching on the people who have essentially reached FI or who are close and that's a significant and important segment of our audience so yeah without question that's something we'll talk about. But I also did want to kind of take a step back and just talk about how I approach life which is generally through simplicity and that doesn't mean I don't deal with nuance or the technical aspects of things but I don't want to let the perfect be the enemy of the good here. So in that sense I don't want people saying OK I'm going to leave my funds at this crappy investment company that is charging me loads on commission loads and multiple percent expense ratios just because there is a bubble whereas they're invested anyway and if they can move the money to Vanguard and still be invested but at no point oh 5 percent expense ratio that's a dramatically better situation than where they are currently. So that's kind of where we are. I approach the question and you know I do appreciate the point of view certainly that there is nuance there unquestionably is but sometimes in life like a lot of people get hung up and know they should make decisions and they know where they should take action but they just don't do it. So to me it's about how can I get people to take action. And sometimes that just means getting the ball rolling and taking the right choice and that might even mean for that person who's scared of the bubble that might mean moving their funds out of that expensive investment advisor and just moving them to Vanguard in a cash account and then investing. Like you said Jonathan on a dollar cost averaging basis over six weeks six months two years whatever it is whatever they're comfortable with at the end of the day I don't care about that. I just care that they take action. That is the crucial part. So again great comment and thank you and hopefully my point of view makes sense as well.
1397 - 1515 Jonathan Mendonsa And you know how many times you hear something but because it sounds even though you know it will benefit your life because it sounds just a little bit too complicated or there's some part of it that you're not sure about you just don't do anything. And I think that's what we're about we're trying to lower the barrier to entry. We're trying to give you an idea about what that first step looks like and then that next step and then that next step and some of the feedback that we've gotten for people it seems to me that data is what we're communicating because I I have had probably three comments three or four comments come through where they've basically said since I've been listening to your show I've done X Y Z and I've listened to tons of other shows but I've never actually been able to commit and get started to something but it somehow seems more manageable the way you are putting it together. And I can relate to that. That's the exact way that it is in my life and I just I need to know what that first step is. And after you take the first step you can figure out you know how to get more sophisticated with it you can figure out all these allocation models as you get into your 50s and 60s and you and and you know I think we're going to try to explore a little bit more of that as we get farther down this journey. We have Jim Collins coming on. We're going to talk about some different allocation models but I think just getting started. Like Brad said it's so critical. And hopefully you know up till now we've done enough to give you the motivation to do that. OK Brad So we do have another question and this is from Paul. He wants to know where to put our savings. And I think this one is a good one for you just because you're struggling with the same thing. So when you mention saving money where should that go. Savings account money market mutual fund. IRA I wouldn't think a savings account would be beneficial with the low interest rate. A money market would be better but it's not ideal. Should I do a of all of these or maybe something else I'm ready to save. But just not sure where the savings should go. We have a few thousand dollars in savings but I really want it to work for us better than the less than 1 percent interest. I also don't want it to be too accessible because it would be too tempting. Thanks and I'm really enjoying the podcast.
ira, podcaster, savings
1515 - 1826 Brad Barrett Paul Yeah that's a great question by Paul. Jonathan I think you and I will have different answers to this right. When we talk about where our emergency funds are and you having one and are you not having one excuse me and me having one etc.. But I'll try to touch on this real quick. So where does savings go. I think the easiest place to just get started. And like we've been talking about just take action is open an online bank account. We think we have Capital One 360 and that kind of touches all the bases which is you know it has the best quote unquote interest story or thereabouts pretty close. Still a tiny under 1 percent but it's also fairly inaccessible and because you know you're linking it to your checking account and you are just sending it out to this other bank and Capital One is not the only one that has it. There's plenty and we'll link to a couple of them in the show. Certainly but the money is really out of reach. Then you have to physically go in and then initiate the transfer in order to get it back into your checking account. So just setting up that little bit of discomfort might prove to be like a decent psychological barrier too. Like Paul said a little too tempting to access it. So that's like a real simple thing. I think without knowing Paul's perfect situation is it's hard to know like these couple of thousand bucks that he has saved. Is that your entire emergency fund or you know if you've got a flat tire Paul or you know something like that where the air conditioner broke in your house. Like is this the money that you're talking about because that might inform the decision a little bit. What I probably would do is I would open up a vanguard account or like we talked about previously it could be Schwab it could be fidelity but my bias is towards Vanguard and I would open up an investment account. It's a regular what we call it a taxable account. That's just a regular savings account or investment account where it's not your pretax dollars it's not your 401k it's not an IRA it's just the money that you've saved and we want to invest. You'll hear us generally refer to that as your taxable savings because it's money that the investment dividends and capital gains would be taxable. But that's just known as a taxable account that's just your traditional savings and investments so. And I would get started. Probably the easiest way would be with a low cost ETF which is an extremely traded fund it's similar very similar to a mutual fund in the sense that it owns a potentially hundreds or thousands of underlying stocks just in that ETF. So the reason why I would start with an ETF is the expense ratios are tiny on them it's very comparable if not better than the mutual funds. But there is no minimum. So it's whatever the share price of that ETF is in there. They're generally under $100. And from what I've seen maybe the total stock market index fund is under $200 so you could buy shares in increments of 100 or 200 dollars whatever the the price is that day. Whereas some of the Vanguard mutual funds have a minimum of let's say $3000 to invest so just going back to that taking action. Right. If you have to save up $3000 to make that first purchase you might not do that. That might be an insurmountable hurdle right or it might just be that psychological hurdle that may shoot that stops you from taking action. So you know maybe go into Vanguard and just buy a share buy two shares of the Total Stock Market ETF. That's a pretty good starting point. And what Jonathan talks about is the dollar cost averaging which is just kind of buying on a regular basis. And what it essentially does is when the stock prices down you can buy a little bit more with that same amount let's say you can invest $200 a week or you know whatever it is $100 a week and you know you could buy a little bit more when the stock price is down a little bit less when the stock price is up but you're averaging yourself into it as opposed to dumping every dollar of your savings and life into the stock market on one day and then you know the next day the market goes down a couple of percent and you're freaking out. Right. Because that's the psychological hurdle of investing for people as is looking at. And that's why you know I mentioned in a prior episode and like I don't look at this stuff. I tried to avoid it because I know it will cause me psychological issues and I know it sucks when you see your money go down but you have to know this is a 20 to 40 year play. And this is as far as we know the best way to gain wealth over over decades so that's a very long winded way of saying you know what I would do is some combination of just an online bank if you need money that you can access in a fairly short order a couple of days. Or you know Vanguard and you know realistically you could do the same with Vanguard. You could sell those funds or those ETF and just transfer the money back to your bank account and it might take you an extra day. So it's actually pretty comparable to the savings. But I know for some people there is that hurdle of of actually selling and that might be like a slippery slope to doing that more often. You know I wouldn't suggest putting your money in investments and selling every time you needed to get new tires on your car or something that's just not a good way to go about it. So if it were me I would have some combination of just an emergency fund in a savings account and the rest of the money I would funnel into Vanguard.
401k, banking, emergencyfunds, indexfunds, ira, savings, stocks, traditional
1826 - 1944 Jonathan Mendonsa Yeah I think I'm very close to that I have a few other nuances and I'm just now getting to the place where I'm thinking about this a lot. So this is on my mind I'm a put it out there and I really you know if a listener audience member thinks that I'm missing something or wants to add something this picture I love your feedback but this is what I'm thinking. I'm going to probably shoot to get 3 to $6000 you know in the just the immediate present into a bank account as an emergency fund that's going to kind of be my baseline cash for some sort of emergency. And then anything above that I'm in this kind of unique position where I'm in well maybe not so unique maybe many of you are in this position but my income is too high for the traditional IRA. And so for me what I'm thinking because I save you know well over 50 percent of my income and up to this point that's been going to pay down student loans. So but I have really good cashflow is my point. I'm going to max out my Roth and my wife's Roth. And as you all are hearing from the previous episode we've talked about you can withdraw your contributions from the Roth penalty penalty free there's no penalty. So it's there for you at any time. So my thought is why not go ahead and let that get tax free growth. And so my emergency fund is really for an emergency. I'm thinking there's very little chance I will need this. I'm going to have some amount in cash. This is more just if something big were to happen over the next five years I would be able to draw from it but anything small you know anything less than 10 grand. Five grand. I'm just going to be able to cash flow that. So anything else just goes into the Roth Vanguard VTSAX fund and hopefully that just rides for five years and then you maybe I need it maybe I don't but if I do I can pull it out penalty free and tax free because I've already paid taxes on it. So I'm kind of like taking advantage of this of this tax free funnel. This after tax bucket that I've created that's growing in Vanguard if I needed it I can get access to it. But if I don't need it it's just doing its thing and I have this advantage bucket that I'm able to use. What do you think Brad.
banking, college-loans, emergencyfunds, indexfunds, ira, roth, tax, traditional
1944 - 2061 Brad Barrett Yeah I think that's cool. I think that's really a great strategy especially because you can pull out the the Roth contributions tax and penalty free at any time. Yeah it's a nice nice little store for for an emergency fund potentially. So yeah I mean I think certainly all things being equal that's a real cool way to go about it. Yeah for sure. And you know also we've talked previously Jonathan I'm kind of over invested in cash and because of whatever reason you know just being conservative with our money or lazy your inertia or whatever it may be and I'm proud to say one of my my little wins of the week here was I actually took action and moved a pretty sizable amount of money out of our like quote unquote emergency fund and moved it to Vanguard to add to our positions in VTSAX VTSAX thanks. Yeah. It was cool. You know it's just one of those things like I was looking at our financial spreadsheets our net worth spreadsheets and I'm like come on like you know you're you're giving advice to people out out in the world then you're over invested in cash. And I know that it's stupid. I know that it is but like there's some part there must be some like genetic part of me that like just needs like squirrel away this money and I have it for like just some catastrophe even though I know intellectually like if there's a catastrophe I could just sell my VTX X and get access to it then. Right. But like. I know obviously intellectually that over the course of years and decades that money is going to be essentially losing losing value sitting in a checking account or a savings account because of even minor inflation whereas it's a way to grow wealth when you have an investment in the stock market. So that's hopefully that's kind of a cool thing for the audience is that like I'm taking action based on this stuff that we're talking about because it's so easy to be lazy it's so easy to be complacent with this and you just have to take action. So yeah that was that was my little win of the week.
emergencyfunds, indexfunds, networth, roth, savings, stocks, tax
2061 - 2188 Jonathan Mendonsa Nice. Yeah we do try to take our own advice with when we can. OK. Brad so since you were challenged on that I have another challenge for you. And this was from one of our readers and I thought this is really good because we did not hit on this. This is from Kevin. And he says my wife and I are Dave Ramsey graduates. We were able to take his baby steps and walk ourselves out of debt after being so focused on getting out of debt for two years. I felt there was a little emptiness after it was done. I was searching for the next thing and that's when I found the world of FI. The majority of what Dave Ramsey says I agree with but I've lightened my stance on no credit cards. He said I did hear you say that Dave suggests that you can get an 18 percent return in the market. But I know he's never said that he does say that you can get 18 percent if you stop using credit cards that have a balance. The APR is 18 percent. Now I don't exactly agree with Dave's assumption on 12 percent but JL Collins does say in his book The simple path the wealth that from 1975 to 2015 the market average was eleven point nine percent. JL Collins does a. He does say that he's not suggesting that you can get that but he does use eleven point nine percent as assumptions. I think that Dave knows that that's a big number to hit. But he uses that number as a learning tool and he has some facts to support that number. And he said when when we were getting out of debt we did stop all retirement contributions but I don't have a 401k. So I didn't have to worry about getting that free money after listening to your podcast. I tried to break down the numbers for myself if I did have a 401k and it would be a tough decision if I would have contributed to it. I think knowing what I know now I would have stopped all contributions. It just feels great not to be a slave to my debt. And after two years of fighting no amount of money would be worth staying a slave for any more amount of time. And I think that leads into paying off my home. I know a lot of people go into the math on this one but I'll ask you what Dave ask his callers if you had a paid for home would you go out and borrow money at 3 percent in order to invest it. Because it's the same thing as having a mortgage and not paying it off. So Brad that's what I want to ask you if you had a paid for home would you go out and borrow money at 3 percent in order to invest it.
401k, debt, podcaster, ramsey
2188 - 2197 Brad Barrett Would I. Probably not. Would some people in the FI community some real smart people in the community. I think they would.
2197 - 2211 Jonathan Mendonsa I do think some in the FI community would. But I'm asking I'm asking you I'm going to challenge you at this point because that is what I've heard him say before and it's such a valid point. And I know how conservative you are and I know you hadn't heard anybody pose that question to you.
2211 - 2222 Brad Barrett It's a cool way of looking at it. No I wouldn't you know. I really wouldn't. You know I the the brain side of me knows.
2222 - 2226 Jonathan Mendonsa I know you want to pay off your home. I know it's like on your mind. You're looking for an Excuse.
2226 - 2243 Brad Barrett My voice hopefully you know I am I'm fumbling over my words here because I don't know the answer. Honestly like I struggle with this on a on a weekly basis where part of me wants to pay off our mortgage as quickly as we possibly can. And the other rational part of me knows that that it's really not smart.
2243 - 2247 Jonathan Mendonsa Your cost of living without a mortgage would be like 18 grand a year.
2247 - 2324 Brad Barrett Oh my God. I know. I know it's crazy. I mean that is you know it's funny because I actually had this conversation with my wife Flora was that I was wanting to set up like like a big goal almost like how you paid off your 168 K of of student loans which you know as opposed to you know I'm saving a decent amount of money. Obviously you know I make a decent income and we save 60 or 70 percent of our income. It's a decent dollar figure. But on some level it doesn't feel real because the money just gets dumped into an account and there's no like on it for me there's no satisfaction to it. Whereas like paying down a mortgage that's something that I can like wrap my arms around and I know it's silly and I know you'll have people out there like saying there's no difference with what you're saying but like for some reason for me there is a difference. And like I think it would be cool to say like we had $4000 extra this month or $1300 actually this month let's pay it off on the mortgage right. And then you see like every subsequent payment because it makes every subsequent payment more valuable. In essence because less is going to interest it changes the amortization schedule a bit. So even if you made one bigger extra payment it would make every subsequent payment more valuable which is kind of cool. So to me there is a deep satisfaction that so.
2324 - 2329 Jonathan Mendonsa I don't expect you to say yes we've paid off this but I knew that that would challenge you.
2329 - 2406 Brad Barrett It does. It challenges me on a very very deep level because like you said if we could pay off our mortgages you know like I've mentioned before with my biggest mistake we have some investment in mortgages that we're still dealing with but it's not a massive number. But if we could get rid of our mortgages in general yeah our living expenses would be miniscule. They would be Mr. Money Mustache level of certainly below $30000. You know unfortunately we have to you know since we're self-employed we have to pay for health care and that's a big line item. So it won't be the 18K. But it won't be terribly far off from that and then that makes life just so much easier. Like you know if my web sites just imploded one day. Well when you only need $30000 to live like you know Laura does taxes during tax season you know she's a CPA and she makes more than that. Or somewhere in that vicinity and like that's pretty cool knowing that like even if the worst possible thing happened that we'd be fine like that. There is a lot of satisfaction to that so yeah as you can tell I can go on and on about this but I wouldn't take that mortgage to invest to actually answer his question. And I really am strongly thinking about paying down my mortgage I think Laura disagrees with that. I think she thinks it's it's not the smartest idea but we'll see.
healthcare, tax
2406 - 2426 Jonathan Mendonsa Well if you if you do end up choosing to do it. I think that would definitely be a frugal win of the week that we could talk about. So anyway yeah I just I read that he does say that and it is such a valid point it's so challenging. So and I just know how much you're already thinking about it. So just figure it out out out hit you with it today and see what the what the popped out.
2426 - 2428 Brad Barrett Yeah. No it's cool I appreciate it.
2428 - 2677 Jonathan Mendonsa OK so we did get a couple of iTunes reviews actually we got a lot of iTunes reviews this week. Thank you guys. I mean close to 47 of you have stopped by iTunes and left us reviews so far so that is amazing. Thank you so much. And if you are interested in leaving us a review you can just go to our Web page and click on the iTunes button on the sidebar and it will take you straight to our page if you want to leave us review. You can also just go to iTunes store and search for choose F-I one word and then you know just leave us a one you know one or two sentence review and it really really helps us out we're trying to get this message out there. We really think that if you at some point fell in love with Dave Ramsey and you got debt free or you got close but then you decided after that it just feels a little empty and you're looking for that next thing. This is the podcast for you. If you're a life hacker and you just want to do everything as optimized as possible this is the podcast for you if you want to basically hear all of the people all the articles that you've been reading all across the Internet from just creators over the last five or 10 years and you want to find a place where those get brought to life and get turned into a conversation. This is the podcast for you and I love it. I mean this is what I what I love to turn these articles which sometimes you know there's good information there but you have trouble figuring out how to put it in your life. I love turning that into a story and figuring out how can I actually use that information in my life. That's what we're trying to do for you. So Daniel wrote us an iTunes review and he said I started listening to this podcast after hearing them on a radical personal finance podcast episode. Since listening to them. I've doubled my 401K savings rate. I got to Chase Sapphire preferred credit card for travel rewards and I refinance my student loans to a lower rate nearly two points two percentage points. Keep up the fantastic work work gentlemen. And then Quincy R says so much to say about how fantastic this podcast is. Brad and Jonathan aren't amazing duo great conversation and concepts. I feel like I'm learning something despite knowing so much about this topic. Great guest. Please keep going. I look forward to new episodes every week so thank you both for leaving those comments and then I also told you that one of the things we're trying to do is we want your input about where the show goes. I mean we think we have ideas. We think we have ideas that will resonate with people but we're crowdsourcing this and so Matt suggested he wants us to do one at some point and he realizes that it's a little too soon for this but to do one add on effective altruism So the idea that at some point the fi community that's been doing this for 10 years has been implementing these ideas one at a time. They're going to be worth well over a million dollars and you don't need you know at some point your money keeps growing due to compound interest but you don't need all that money in order to provide for your family any more you have access to because you're very comfortable with this entry level middle class lifestyle. What do you do with the access and how can you use that to make the world a better place. I think it's a great idea and you know that's something we'll look out for down the road. And then you know we're also going to get to some conversations about maybe crowdfunding real estate. We have there's two fellows that we know that maybe Brad can talk about that are actually looking at doing a really cool project down in Georgia. And so I'll let Brad introduce that idea in a second. But also you know we're going to go and find some people that are doing kind of peer lending for real estate and looking at that as a potential vehicle. Also insurance for the fire community. You know what type of insurances do most people in the fire community think are essential and then tax optimization for the fire community. How can you take a couple that makes a hundred and seventy grand a year and then move them down to the point where they have less than 40 grand a taxable income so I mean these are just ideas but like people have figured it out. So all we have to do I don't have to come up with the information we just have to go find the people that have and then figure out how to take all of those really cool ideas and put them into one place that makes this story so that you can figure out that one or two or three ideas you can actually use for yourself. And then we get to hear how those ideas impacted your life. That's the podcast I want to listen to. That's a podcast that Brad and I want to make so we hope you get as excited about that as I am right now telling you about it.
401k, college-loans, debt, families, lifeoptimization, podcaster, ramsey, tax, testimonial
2677 - 2955 Brad Barrett Yeah I can hear the excitement in your voice Jonathan that's that's very cool. Yeah. I mean you know some of these topics are are things that interest me and you know dramatically interests me that I just know nothing about you know the real estate aspect of things you know that is incredibly intriguing to me and I learned a ton on the coach Carson house hacking episode. That'll Drop in a couple of days and yeah like Jonathan alluded to there's this real estate investment where we're both been made aware of and we're not trying to pitch by any means here to the audience but our friends who organize the camp mustache event down in Florida that we always talk about Stephen and David. Thay are actually two two brothers. They were when we were down there we heard a presentation on cohousing which is essentially having a community that shares many communal aspects and that makes it instead of just being these little islands unto ourselves that that is you know what most of suburbia is unfortunately. You know we have our big plots of land and you don't really see your neighbors all that much other than just you know waving hello to them as you know scream by and you're in your car. This is actually making a community where people rely on each other people get to know each other. And you know just all these positive aspects that we've talked about a lot about like on previous podcasts where I am at least in my life now. Community is important to me and finding friends and people that I can interact with on a on a regular basis like it just matters to me. Now more than it ever has. I think you know I'm fortunately in a position where you know I'm not as worried about you know my nine to five job and finances all the time and you know maybe that might afford me a position where I can think about some of you know a slightly higher level stuff. A little more regularly. But this concept appeals to me significantly and Anyway long story short is what these guys are trying to do is they found a community in where we're one of them lives in Georgia and it's this self-contained community of ninety nine existing homes and they are selling they sell for around $50000 which sounds crazy to most of us and the rest of the country. But you know in this in this part of town this part of the country and part of Georgia I guess it's not unrealistic and these are not dumps. You know I saw some pictures there. They're nice homes and you know but they're small they're not McMansion. They're you know a thousand square feet or thereabouts and you know what they're trying to do ultimately is get a fund of like minded people together investors from the FI community and actually purchase somewhere in the vicinity of 20 to 23 of these houses right off the bat. And then slowly as you know rent comes in and cashflow comes in actually buy up more of these houses so they go from owning you know 23 of them originally to eventually owning 99 of them and and turning this into a co-housing community where you know realistically these houses rent for like six hundred fifty dollars a month or thereabouts. And you know that's something that you never know if that turns into this mythical FI community that we've talked about with you know the likes of Carl from 1500 days. And people like that where you know where this is not going to work for everybody. But maybe 10 20 50 five member community members go down and rent houses there or you know eventually buy houses or whatever it may be and and lives in this community. And you know it would just be a really interesting experiment. And you know honestly I don't know if this if this is going to get off the the floor with you know what David and Stephen are trying to do. But it's a really cool concept and you know it might just wind up that they went up buying some houses as a real estate investment and it doesn't turn into this co-housing community. But but regardless like I'm very impressed with the initiative and it's something that I'm honoring I'm not I'm not sure if it's something that that I'm going to invest in. But we are considering it. But but it is a really neat concept and it's cool that people out there you know I know of our mutual friend Jonathan Marla and Pete Mr. Money Mustache you know people are thinking about about these communities and I suspect it'll happen eventually you know will it happen in Georgia maybe maybe not. But I suspect it will happen in the next five to 10 years where you start getting concentrations of people in the community actually getting together and wanting to live together. So it's an exciting thing for me.
househacking, podcaster
2955 - 2978 Jonathan Mendonsa And you know it's kind of interesting how that ties back if you remember earlier how we were talking about how expensive it is to live next to the Joneses. And also how powerful it is to live next to someone that's pursuing financial independence and it's just interesting how obviously you can see the connection there between what you're talking about and what they're considering building and just that idea that we kind of hashed out earlier.
2978 - 3046 Brad Barrett Yeah. And I think not only will it be the big things like you're talking about like not having expensive cars or you know not worrying about keeping up with the Joneses but even just little things right. Like you talk about living in a community. Well on my on my block here we have 10 houses and I'm sure every single person owns a lawnmower. Every single person owns a ladder. Every single person a tool kit and you know some people have exercise equipment. Well I mean if you lived in an actual community you wouldn't need to own that much stuff. There could be shared things there could be 10 lawnmowers for 100 houses or whatever it may be like. I know this sounds minor but think about not having to own all that nonsense that you have that just sits idle 99 percent of its useful life. My toolbox downstairs sits idle. Ninety nine percent of it's useful life. The lawnmower all this stuff. I mean you talked last time Jonathan about the stuff in your attic. I mean maybe some of that is useful like might actually have value right. Or baby toys. You know you're having you're having a kid in a month like you have to buy all this stuff the bouncer's the swings. Right like I mean that stuff adds up. Or you talk about like.
3046 - 3049 Jonathan Mendonsa I've got so much baby stuff now.
3049 - 3087 Brad Barrett It's crazy and it's just going to keep multiplying believe me and instead of buying a $100 bouncer or whatever it is like there might be the next door neighbor might have a bouncer and you know in normal suburban life you feel weird doing that stuff because it's not a conversation that ever comes up. It's just not like there might be a yard sale or somebody might sell something on Craigslist but there's so little actual sharing in life. And like we just waste so many resources buying redundant things. So I mean that's like my pie in the sky like just little things but just they add up. So anyway that's my little tangent but I think it's a cool concept. You know I don't know if it'll come to pass but I think it's cool.
3087 - 3219 Jonathan Mendonsa We could also do it. We could also do a whole show just about the benefits you know or the possible benefits of this idea especially for the F-I community just because if you think about it once your post fi working you know having your nine to five job is optional which means you are location independent you're not tied down anywhere so there's something about the idea that you're talking about. That really is powerful for the FI community. So anyway we'll leave it for another show it definitely is a full show. All the benefits and the cons. You know I don't think you can have one without the other. Could easily fill out a one hour segment and so maybe we'll kick that can down the road just a little bit. But you know it's all on our minds which means we share it with you guys so we're always looking for ways to engage you to get you information that's relevant. This is continuing to build is continuing to grow. We have we have three times as many people that are listening to us and that are engaging with us this month as we did last month. This is an exponential thing. If you think that this is helping you and you want to share it with your neighbors do that. I love to share the ideas that I have with my friends and my neighbors. I don't keep this stuff to myself I share it with everybody. So when you send me a comment saying that you shared it with everybody that listen I do the same thing. And so my neighbors know how excited I get about travel rewards and I've told them I want to take a trip. we are all going to go to Cape Town all six of us me and my wife and then our two sets of friends that are in our neighborhood and I am going to find out exactly what cards you need to open. I'm going to figure out the order for you and then we're all going to take a two week trip to Cape Town South Africa and it is going to be completely free and this is something that they can get excited about it has the power to make a difference in their life. So this is information that is relatable it affects everybody. Middle class America this stuff is for you. And this show is for you. So we also tend to get some questions every single week about travel rewards. We try to answer one or two of those each week just keep it as a small segment so that is my single idea I got that from Marla who's just awesome at redemptions and she's been in touch with us hopefully we'll get her on a short segment and talk about her or her vacations as she took this year. But for right now Brad I have a couple of travel rewards question for you. Are you ready for this.
travel, travelrewards, workfromanywhere
3219 - 3220 Brad Barrett Yeah let's do it.
3220 - 3227 Jonathan Mendonsa All right so Drew wants to know Does Southwest still accept ultimate rewards toward the 110000 points needed for the companion pass.
3228 - 3230 Brad Barrett No they do not. So.
3230 - 3232 Jonathan Mendonsa Did they ever was that something they did at one point.
3232 - 3450 Brad Barrett Drew might know something that I don't. At least for the last couple of years the those transfers so just just to take a step back and be really clear what Drew's saying is if you had Chase ultimate rewards points could you transfer them to Southwest. Southwest is one of the 11 transfer partners of Chase ultimate rewards. Could you transfer them to Southwest and those count towards the 110000 points you need to earn in one calendar year in order to trigger and earn the Southwest companion pass. And the answer is definitely as of today and certainly at least for the last couple of years the answer is no. So unfortunately so they would they would count still as Southwest miles so let's say for instance you did earn the companion pass separately and then you wanted to transfer in 100000 ultimate rewards points to Southwest where you could use those points and take advantage of your existing companion pass which would essentially double the value of those ultimate rewards points which is amazing. Right. But you cannot they do not count towards actually earning the companion pass there are you know at this point it's earning them through flights and it's earning them through the credit card sign up bonuses and the credit card ongoing points that you earn for your regular spend for a very short period of time through actually the end of this month through the end of March. There are some transfers that you can do from hotel rewards programs and the most notable is the marriott nights and flights package those transfers do count towards the companion pass. So if you're hearing this on Friday and you happen to have 270000 Marriott points which sounds like a crazy number but it's actually those are pretty easy to accumulate. And you want to get the companion pass. You can actually do something where you you buy this essentially buy you redeem this nights and flights package and you get a seven night voucher for a Marriott Category 1 through 5 hotel and you get I think it's 120000 Southwest miles which does trigger the companion pass so it's automatic. So this is amazing for 270000 Marriott points. You get 120000 Southwest Miles. You get the companion pass so that essentially makes that 240000 Southwest miles and you get a seven night stay in a category one through five Marriott So that is a really cool thing. That will only be applicable for the next week. So if you want that please do your research real quick and then. And yes so that will not be good in the future. And the other just last note in that since I did spend two minutes talking about that is if you have Starwood Preferred Guest points those do transfer one to three to Marriott. So let's say 30000 Starwood points is equal to 90000 Marriott points. So that could help you if that sounds intriguing to you. What I just mentioned about Marriott Starwood and Marriott points both count towards that. So this is something honestly that Laura and I are still contemplating we have enough Starwood points to make this happen. We just don't know where we would redeem that category 1 through 5 Marriott And what's funny is actually Marla who we've mentioned a couple of times she just told me that that she did this so it's very certainly on the minds of the top travel rewards people out there that this is an amazing deal. So if you can take advantage of it you really should.
3450 - 3471 Jonathan Mendonsa Very cool. So Ruth wants to know. She says I would like to start saving up points but I do not plan on traveling much at least by plane for about three years or so. So would you just skip the Southwest cards until January of the year you plan on flying more frequently then bounce back and forth between the ink and the sapphire. Well my kids get a little older we'd like to do Disney and then maybe Hawaii or Mexico.
3471 - 3549 Brad Barrett Yeah Ruth I think that makes sense. I think that's something you need to strongly consider when you're talking about you know what would your staying with the Southwest cards is to potentially like we had mentioned to get the companion passed just through a couple of Southwest sign up bonuses. Yeah I mean this again is actually something you know I didn't mention this a minute ago. But another aspect that we struggle with is getting the companion passed like and not being able to utilize it as much as you'd really want to to make it to make it worth its while. So yeah I mean it doesn't make sense to go through the effort to get the companion pass and then not use the thing you know especially when you. It sounds like you know for sure for the next three years you're not going to travel that much. So yeah I would definitely get in a points accumulation phase. And you know just going for the companion pass just like a vanity exercise doesn't make sense and that's certainly you know that based on on your comments so yeah I would I would shell the southwest for a little bit. You know other than you know Southwest points are pretty valuable in general. So you know if you want to start stockpiling them specifically you could I suppose but I would stick with the ultimate rewards points from Chase. I think they're just much more valuable. So yeah you know most succinctly I would I would start racking up ultimate rewards points so you have you know potentially a couple hundred thousand of them when when that 3 year time period is coming and you can start using them.
3549 - 3570 Jonathan Mendonsa And I think one thing we should do. Brad has actually pieced together a guide to traveling to Disney World for free it's actually what got Richmond savers on the map originally. And so I think what we're going to do at some point is actually turn that into a mini podcast where we kind of walk through the strategy of how you can get your family of what was it was a 4 6 people. how many people did you do.
familytravel, podcaster, travelrewards
3570 - 3580 Brad Barrett Yeah I mean we took we took our family of four but also my in-laws came and my parents came as well. So we we all did the awards thing for the eight of us.
3580 - 3586 Jonathan Mendonsa It would have cost you probably close to $4000. And you essentially did it for you know less than what a couple of hundred I think.
3586 - 3595 Brad Barrett Yeah yeah I mean I think all and it was like a hundred and fifty bucks and and yeah we could have done it essentially for free if we really really wanted to. But you know 150 wasn't too bad.
3595 - 3601 Jonathan Mendonsa But that would probably be worthy of a segment of a podcast where it's like probably about 20 or 30 minute conversation.
3601 - 3706 Brad Barrett Yeah. No I think that's a great idea. Yeah. You know the traveler awards strategy to Disney is actually really pretty straightforward. And you know for a lot of families out there you're going to Disney and whether you like it or not unfortunately. And it's big dollar figure. So it could be 4000 bucks plus for the airfare the park tickets and the hotel and. Yeah I mean there's a pretty straightforward strategy to to do it for nearly free and we are definitely going to talk about that on ChooseFI. I think that's an important topic. Yeah we are really excited for the next couple of weeks we have Coach Carson coming on then we have the mad Fientist which is just really a fantastic conversation. I listened to it a couple of times just just getting ready for the show notes and such you guys are really going to get a lot out of that. Just personalizes him a lot more. And yeah then we actually have some continue the amazing guests. We have J.D. Roth coming on Soon we have Jim Collins and Jeremy from go crackers so you know we have what we like to call it like the Mt. Rushmore of fire. And they're pretty much most of them are coming on and the next month so it's really really exciting month here at ChooseFI. And yeah just to kind of go back to what Jonathan was saying before about the iTunes reviews. I don't know that you know like every single day I get up and go to iTunes and check out reviews. It's it's like I get so much value out of out of reading them and I always kind of a joke slash poke fun at Jonathan for like checking stats and you know I'm like don't check the stats. Don't check the stats because it just kind of distracts from you know the important stuff. But I got to say I checked the stats when it comes to those iTunes reviews and I read every single one. And it really does mean a lot to us so yeah if you have 30 seconds just just head over to iTunes and leave us a review. So thanks again.
families, testimonial, travelrewards
3706 - 3769 Jonathan Mendonsa All right guys. Well this Monday check in it's going to be coach Carson. We're going to talk about house hacking. No tean should be allowed to make it to the age of 30 without hearing this particular episode especially if they are parents in the FI community. I tell you this episode. I have already told my brothers who are kind of in this place where they need to be considering it. You have to look into this. This needs to be something you need to consider when you're picking your first home. It's just you're leaving too much money on the table by not doing it. That's how powerful this Monday episode is. So listen get your kids to listen to it. Make sure they understand it. Have a conversation with them about it. If you never make any other decision if you do this one thing right this one choice you make this one choice house hacking. Between the age of 18 and 30 do that one thing your path to FI is almost guaranteed. It's that powerful. So listen to the episode and listen to it again. Brad and I are unbelievably excited about how this one came out so we cannot wait to share it with you and we look forward to seeing you next time. As we continue to go down the road less traveled.
Jonathan_Catchphrases, househacking

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