Afford Anything

#214: It’s September! If you’ve been listening to the show for the past few months, then you know that I’m on what I’ve dubbed my September Sabbatical, in which I’m taking a break from podcast production and traveling the globe. In light of that, we’re digging through the archives and airing some of my favorite interviews on the show, in between airing interviews I’ve done on other podcasts. I’m super excited to share an interview I did with Brad and Jonathan of ChooseFI back in December 2018. It was fun to have the tables turned, and Brad and Jonathan left no stone unturned in their interview with me. If you ever wanted to know my origin story, including where my love for travel comes from, where my desire for freedom came from, and how I combined both, then give this interview a listen. We talk about everything from: How travel wasn’t a big part of my life until college How I prefer to travel Why the idea of mini-retirements is so important Making the transition from freelancing to having my own business and giving up that business in favor of focusing on Afford Anything Dealing with imposter syndrome Overcoming and working with a scarcity mindset What financial independence means to me The importance of self-care Brad and Jonathan are two of the most thorough interviewers I’ve ever recorded with, and this interview was a lot of fun. If you want to learn more about them, I returned the favor by interviewing them on this show on this episode https://www.choosefi.com/105-you-can-afford-anything-but-not-everything-paula-pant Thanks to Brad and Jonathan and ChooseFI for giving us permission to air this interview! P.S. - We’ll return to our regular podcast production schedule in October! For more information, visit the show notes at https://affordanything.com/episode214 Learn more about your ad choices. Visit podcastchoices.com/adchoices

#213: It’s September! If you’ve been listening to the show for the past few months, then you know that I’m on what I’ve dubbed my September Sabbatical, in which I’m taking a break from podcast production and traveling the globe. In light of that, we’re digging through the archives and airing some of my favorite interviews on the show, in between airing interviews I’ve done on other podcasts. If you missed the last episode, you might want to listen to it before diving into this one, as Andrew and I go into the finer points of investing here. Seriously. This is one of the most in-the-weeds shows I’ve done to date. If you’re playing catch up: Andrew Hallam is a teacher who became a millionaire in his 30s and reached FIRE in his 40s. His starting salary was $28,000 - net. If you want to know how he did it, and what his first three rules of building wealth are, then listen to episode 212. Otherwise, tune into this episode, where we review his six other rules that can turn middle-class people into millionaires: Understand your inner psychology. Conquer the enemy in the mirror. Learn how to build a balanced, responsible portfolio. Create an indexed account, no matter where you live. Don’t resign yourself to taking this journey alone. Inoculate yourself against slick sales rhetoric. If it sounds too good to be true, it probably is.a While these rules sound simple on the surface, Andrew and I go way beyond that, talking about hedge funds, human psychology, and casinos. This was a favorite among listeners back in 2017 and it’s one of the most enjoyable interviews I did. I hope you enjoy! P.S. - We’ll return to our regular podcast production schedule in October! For more information, visit the show notes at http://affordanything.com/episode213  Learn more about your ad choices. Visit podcastchoices.com/adchoices

#212: It’s September!! If you’ve been listening to the show for the past few months, then you know that I’m on what I’ve dubbed my September Sabbatical, in which I’m taking a break from podcast production and traveling the globe. In light of that, we’re digging through the archives and airing some of my favorite interviews on the show, in between airing interviews I’ve done on other podcasts. First up is a two-part interview with Andrew Hallam, a teacher who became a millionaire in his 30s and reached FI in his 40s. How? Beyond investing small sums (we’re talking less than $100 per month) throughout college, he also saved half of his starting salary of $28,000. This episode is for anyone who thinks it’s impossible to reach FIRE on a low salary. I originally interviewed Andrew in January 2017, and we could not stop talking. Which is why our three-hour interview was divided into two parts. In this first part, Andrew shares his story - how he became a millionaire, and why he wanted to achieve FIRE in the first place. He also shares three principles from his book, Millionaire Teacher: Nine Rules of Wealth You Should Have Learned in School: Rule 1: Spend like you want to grow rich. (Don’t waste money on junk.) Rule 2: Use the greatest financial ally you have. (Time.) Rule 3: Small percentages pack big punches. (Avoid high-fee funds.) As for the other six, they’re coming up in Part 2. :) Enjoy! P.S. - We’ll return to our regular podcast production schedule in October!   For more information, visit the show notes at https://affordanything.com/episode212 Learn more about your ad choices. Visit podcastchoices.com/adchoices

#211: Hey there! I’m writing this from Croatia, where I’m beginning five weeks of travel that I’m calling my September Sabbatical. From now through September 23rd, I’ll be exploring the globe and enjoying a one-month break. Today, I’m kicking things off with a community-based episode. Here’s the backstory behind today’s show: There’s an event called CampFI, which is a 3-4 day gathering for people who are interested in financial independence. CampFI holds around half a dozen events per year in various locations; I spoke at one in Colorado Springs this past July. While I was there, two other podcasters and I decided to interview the participants to find out their “why of FI.” What motivates them to build financial independence? These interviews and stories from the community are today’s episode. Enjoy! For more information, visit the show notes at http://affordanything.com/episode211 Learn more about your ad choices. Visit podcastchoices.com/adchoices

#210: We live in a fascinating era: huge sections of society are more prosperous, advanced and safe than at any other point in human history, yet depression and anxiety are at record highs. It’s a paradox of progress: the richer the nation, the more likely its citizens are to suffer from mental health issues and report feeling crushing isolation and unhappiness. What gives? At the individual level, pursuing financial independence and early retirement (FIRE) often fills people with enthusiasm, purpose and meaning. Yet once people reach FIRE, they often report feeling purposeless or rudderless. It’s a paradox of hope: nothing kills a dream like achieving it. And in the absence of anything else for which to hope, a person becomes, by definition, hopeless. Ouch. When we’ve taken care of the bottom of the Maslow Pyramid, how do we find hope and meaning? How can we create purpose in a vast world? This week, I invited one of my favorite writers, megabestselling author Mark Manson, to join me on the Afford Anything podcast to discuss these critical issues. Mark Manson is the author of The Subtle Art of Not Giving A F*ck, which sold six million copies and became the #1 bestseller in 13 countries. His latest book, Everything is F*cked: A Book About Hope, lays a framework for finding hope and happiness in a confusing world. For more information, visit the show notes at http://affordanything.com/episode210 Learn more about your ad choices. Visit podcastchoices.com/adchoices

#209: Anonymous wants to retire early and often. They’re going overseas, where they’ll make their annual salary within six months. Where should they put their extra income? Anonymous also wants to know: how can they find a financial advisor they can actually trust? Another anonymous listener wants to know - is it possible to spend more while minimizing taxes in early retirement? JuanCarlos asks: is $20,000 too little to invest with a financial advisor? Angela is wondering how to create a Roth IRA account for a teenager. Rose is thinking about switching from mutual funds to index funds because it means encountering less fees, but her and her husband are in their 60s. Does this make sense? Ari has $700,000 to invest in a taxable brokerage account. He wants to know if a 90 percent total stock market index and 10 percent bonds is a good asset allocation. Dave and his wife want to use their defined benefit plans as their primary income stream in retirement, and supplement with Roth and 457 incomes. Where else should they be saving? Myself and former financial planner Joe Saul-Sehy answer these questions on today’s episode. Enjoy! For more information, visit the show notes at https://affordanything.com/episode209 Learn more about your ad choices. Visit podcastchoices.com/adchoices

#208: Well, this could get awkward. Your parents and grandparents are aging. (Duh.) You want to have a few important financial conversations with them. It’s time to get the answers to questions like: “So … are you ready for retirement?” “You’ve been retired for 10 years … how’s that going? How are your finances looking?” “Do you have a will or legal trust? What’s your estate plan situation?” “Do you have an advance health care directive?” “To whom have you given your power of attorney?” “What types of accounts do you have, and how can I -- or someone whom you designate --  access the passwords if and when the appropriate time comes?” These financial conversations are important, but awkward. Most people would rather discuss the news, the weather, or the Kardashians.  How do you introduce these conversations to your family? What specific topics should you cover? What documents and other information should you gather? How do you manage these conversations when siblings, half-siblings and step-siblings are involved? What about step-parents? What if your parent lives outside of the U.S. and the laws are different; how should you plan? In today’s podcast episode, award-winning personal finance journalist Cameron Huddleston discusses these critical issues.  Huddleston has spent nearly two decades writing about money for Kiplinger Personal Finance, the Chicago Tribune, Fortune, USA Today, MSN and more. She’s the author of Mom and Dad, We Need to Talk: How to Have Essential Conversations with Your Parents About Their Finances.  She joins us to discuss how to navigate these tricky family conversations. For more information, visit the show notes at https://affordanything.com/208 Learn more about your ad choices. Visit podcastchoices.com/adchoices

#207: Matt and his fiance earn $7,500 per month combined. They save more than half of their income. He’d like to take a different job that will decrease his income by $2,000 per month, but improve his quality of life. Should he? Suja wants to take out a loan for business growth. What red flags should she watch for? Anonymous and her husband are thinking about buying half-million-dollar home, purchasing a second car, and having a baby. They’ve saved an emergency fund and a 20 percent downpayment. Are they ready? Trayci wants to quit her 9-to-5 and start working as a 1099 self-employed lifestyle. How should she manage this transition? Daria is curious about the economics of a podcast. What do the income and expenses look like? Jared wants to retire early and then sell off his rental properties, but he’s worried about the depreciation recapture tax rate. How should he plan? Ali wants to set up a long-term giving plan, but most of the advice out there is geared towards wealthy donors. How should middle-class workers set up their charitable giving? Financial planner Sophia Bera (hailed by Investment News as one of the Top 40 Under 40) joins me on today’s episode to answer these seven questions. For more information, visit the show notes at https://affordanything.com/episode207  Learn more about your ad choices. Visit podcastchoices.com/adchoices

#206: We live in a society that values career specialization. You’re not a “doctor” -- you’re a pediatrician, an anesthesiologist, an oncologist. You’re not a “lawyer” -- you practice family law, or bankruptcy, or criminal law. You’re not an “engineer” -- you’re an electrical engineer who specializes in solar technologies, or a civil engineer who specializes in the application of artificial intelligence in highway traffic design. Specialization is beneficial and necessary, but specializing too early in life or too narrowly can also have drawbacks. According to today’s podcast guest, New York Times bestselling author David Epstein, overspecialization can stifle innovation if we’re all digging in parallel trenches. Sampling a broad range of subjects prior to specializing (e.g. at the undergraduate level, or as a hobby) allows people to make connections between far-flung domains and ideas. If you’re an athlete, spend your childhood playing a variety of sports before you commit to the one you’d like to develop. If you’re a musician, try learning different instruments before you pick your primary focus. If you’re bound for a graduate degree in a STEM field, consider a multidisciplinary undergraduate that pulls from chemistry, physics, biology and perhaps even art. Specialization can come later. We hear stories of people who specialized early in life. Tiger Woods won his first golf competition at age two, beating everyone in the age-10-and-under category. Many world chess champions started training in early childhood. The notion is that early specialization provides a headstart; if you haven’t started training at chess or golf by age 12, it might be too late. But chess and golf are limited in their scope. They’re contained games with fixed, predictable rules. In the wider world, in which challenges and assumptions fluctuate and problems are ill-defined, being a generalist is a lifehack. For more information, visit the show notes at https://affordanything.com/episode206 Learn more about your ad choices. Visit podcastchoices.com/adchoices

#205: Is it ever a good idea to use your 401(k) as an emergency fund? What's the best way to break up with your financial advisor so that you can move all of your funds to Vanguard? Should you put all of your Roth IRA money into index funds, or is there a better option for your money? A listener has a job offer working less hours for more money, but without a retirement plan. Is this a good move? When running a small business as a sole proprietor, are there tax advantages to incorporating or forming an LLC? If so, what should you consider? What's the best way to maximize the earnings on a large amount of savings while keeping the savings liquid? Can a robo-advisor help with this? Myself and former financial planner Joe Saul-Sehy tackle these six questions in today's episode. Enjoy! For more information, visit the show notes at https://affordanything.com/episode205 Learn more about your ad choices. Visit podcastchoices.com/adchoices