12 countries in 12 years

Wednesday, March 18, 2020

WHY YOU SHOULD DIVERSIFY YOUR FIRE PLANS. FINANCIAL INDEPENDENCE RETIRE EARLY

The market is going to provide your retirement, ready get set, go. 

A woman in my circles recently was concerned about her target early retirement date 12 years away. 

She figured she would retire on 700k in the market because according to established folklore a 4% withdrawal rate would give her the $28k per year she is currently spending. 

But wait, she said. Wouldn't my purchasing power be eroded by 2% inflation and 12 years from now, wouldn't I need like 2% of 700k or $14k times 12 years, or almost another $170k in additional savings. 

I could hear her exasperation in her words. 

Here's another thought. Take the above scenario and then add this picture. (pic below)

 It's your target date, and it's the year 2000. Now the market takes another 12 years to break even after a two consecutive multi year drops. 

Is it wise to put your life off for a future that is completely out of your control. 

Regardless of how many cheerleaders there are during a bull market. 
 Sooner or later some of you will hit the lottery of the above scenario. Will it be you.

How much better to have the skills to help you cope survive and prosper in any scenario. Reach out if that resonates.

ARE YOU CLUTTERING YOUR MIND WITH TOO MUCH INFORMATION ABOUT FIRE. FINANCIAL INDEPENDENCE RETIRE EARLY

You may have heard the story of the successful industrialist Henry Ford. 

 He was called an ignorant in print by the newspaper, to which he promptly sued for libel. 

On the witness stand the lawyer for the paper tried to prove how ignorant Ford was by asking him questions to which Ford replied...

“If I should really WANT to answer the foolish question you have just asked, or any of the other questions you have been asking me, 

let me remind you that I have a row of electric push-buttons on my desk, and by pushing the right button, 

I can summon to my aid men who can answer ANY question I desire concerning the business to which I am devoting most of my efforts. 

Now, will you kindly tell me, WHY I should clutter up my mind with general knowledge,

 for the purpose of being able to answer questions, when I have men around me who can supply any knowledge I require?”

And so it is, that why should you clutter up your brain with all the knowledge of the world when you can summon up a coach to help you? 

 Reach out for a chat, you won't know until you try.