A reader writes: "Hi Nords, I have some fears about a market crash that would derail early retirement. If I retire now in my late 40s, it would be near impossible to get my job back in my line of work. It's almost easier to retire even earlier... Because then one would not be too old to re-enter the workplace. You're right about extreme early … [Read more...] about How Do You Survive A Stock Market Crash?
A reader writes: "My spouse and I are in our late 60s and we've wanted to buy an investment property near our home for a long time. Our current home is almost paid for and we have no consumer debt. "I'm looking to make a move on the condo purchase with IRA funds, but have not done it yet. Looks like if I rent it fully for 12 months I would … [Read more...] about “Should I Invest In Real Estate? Or Buy Stocks?”
Way back in 2013, we posted an article with timeless relevance for military service members looking to establish new careers at home. The article was titled Keys To Saving When You Start Your Career, and it contained a number of vital tips that can help you toward financial independence. One of these tips was to take advantage of a savings account … [Read more...] about Tips For Investors Just Starting Out
[Nords note: if you're reading this then I'm still in Spain visiting my daughter. My e-mail and social media responses will be a day or two behind...] A reader writes: "Hey Nords! First, I just want to say thank you for your service and all the great things you do for the military community. I served a couple enlistments and I went on … [Read more...] about TSP Tax-exempt Rollovers and Withdrawals
A reader writes: How do you see the utility of annuities for folks of age 55+ who are financially independent? Especially if you're genetically and physically healthy, that seems a winner if we're talking about spending a few hundred thousand dollars to generate a baseline firewall of income. Especially I guess for folks less comfortable with " … [Read more...] about “Do I Need An Annuity?”
A reader writes: "Hey there, I’m reading your book and got a little frustrated, so I thought I’d send you an email. I’m on page 35 (and haven’t read further). Just so you know, I’m on track to financial independence and I've read all the typical blogs, MrMoneyMustache.com, Bogleheads Forum, etc… Well, you quote the Trinity Study, 25x net blah blah … [Read more...] about Funding The Gap: “I Need Money From My TSP!”
[Update: USAA has sold its investment business to Victory Capital and Schwab in 2019, with the deal being completed in May, 2020.] USAA's investment services will soon get even better: they're adding a new brokerage platform and expanding their product line. The company's core business is property and casualty insurance, but over the decades … [Read more...] about Coming Soon: New USAA Brokerage Services
Here's a great Twitter question from a servicemember: So how big should an emergency fund be for anyone in the military? I understand the concern. The conventional advice is to keep at least six month's expenses saved in an account that you can tap at a moment's notice, and invested in liquid assets that won't be hurt by stock-market … [Read more...] about Do Military Members Need An Emergency Fund?
Yes, you can start a Roth IRA for your child, even if they’re a baby! All they need is earned income— but the definition of earned income is tricky. Here’s how to navigate that minefield. A reader writes: I think you mentioned before that you set up an IRA for your daughter. How did you account for wages and a W-2? Did she work for you or … [Read more...] about Start a Roth IRA For Your Kid
Last month I posted about our evolving attitudes on spending money. My spouse and I have achieved financial independence, yet our spending still apparently needs a purpose. Even after a decade of military retirement we don't just fritter away our money-- we still apply our frugal tools to decide whether the spending has value. Occasionally we have … [Read more...] about The Frugal Effect