Afford Anything Q&A: I Want to Retire Early Without Selling My Stocks in a Crash
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Jan 13, 2026 Mia explores using a securities-backed line of credit to avoid selling stocks during market crashes. Jean is contemplating the best way to save for her upcoming three-year sabbatical, weighing options between high-yield accounts and brokerage funds. Jared questions whether pensions truly beat 401(k)s or if nostalgia plays a role. The hosts delve into the trade-offs of these retirement tools, discussing risks, flexibility, and the changing landscape of benefits in today's workforce.
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Prioritize Safety For 3-Year Goals
- For a three-year sabbatical goal, prioritize safety and keep most funds in a high-yield savings account.
- Dollar-cost average small allocations to low-volatility bond options only if you can tolerate short-term swings.
Savings Rate Trumps Short-Term Market Bets
- Short-term goals (3–5 years) force a tradeoff between growth and sequence-of-returns risk.
- The single biggest driver of short-term success is saving more, not picking slightly higher-yield investments.
Be Careful With Bond Volatility
- Avoid broad bond funds for very short horizons because they can suffer double-digit drawdowns.
- If you use bonds, prefer small allocations to government-guaranteed options and know historical volatility.
