White Coat Investor Podcast

WCI #253: What to Do with Extra Money and Life After Covid

Mar 10, 2022
Ask episode
AI Snips
Chapters
Transcript
Episode notes
ADVICE

Make A Written Financial Plan

  • Create a written financial plan by listing goals and working backward to determine annual savings needs.
  • Direct extra income to your plan; if fully funded, spend or give some away intentionally.
ADVICE

Use Tax-Advantaged Accounts First

  • Maximize employer tax-advantaged accounts first like 401(k)s and HSAs before using taxable accounts.
  • Use backdoor Roths or solo 401(k)s if self-employed, then invest excess in taxable accounts.
INSIGHT

High Earners Often Lack Written Plans

  • Only 48% of the audience had a written financial plan despite high incomes and net worths among listeners.
  • A written plan simplifies decisions and reduces monthly uncertainty over "extra" income.
Get the Snipd Podcast app to discover more snips from this episode
Get the app