Building Wealth And Being Happy

A Practical Guide To Financial Independence

Tag: financial independence

How Much Money Do You Need To Be Financially Independent?

One Rule to Rule Them All You might have heard the rule of thumb that “you should aim to retire with 70% of your pre-retirement salary” or similar. Rules like that don’t take into account your spending and are too vague to be useful. What if you get a big salary bump in your final year, does that mean you need now need to work longer to meet that 70%? […]

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Interview: Tray, 28, On Living With Cancer, Family, and FI

Hi Tray. Thanks for taking the time to do this. Why don’t you go ahead and tell us a bit about yourself? I’m in my late 20’s and I live in Louisiana. Around Thanksgiving I started getting some headaches which I chalked up to seasonal allergy and sinus issues. When they persisted, I went to an ENT to see if I had a sinus infection. I did have a bad […]

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It’s Not Just New Cars That Are Killing Our Wallets, Health, and Happiness

North Americans buy a lot of new cars. Robb Engen over at Boomer & Echo recently posted about Canadians setting a fourth consecutive record year in new car purchases, snapping up almost 2 million new vehicles in 2016. Wow. For a country of only 36 million people including children and the elderly, that’s an incredible statistic. U.S. buyers also set a record, buying 17.5 million new cars. Robb went on […]

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What Is Financial Independence?

What Is Financial Independence? If you’re here, you probably already know that financial independence (“FI”) is achieved when your passive income (e.g. income from stocks, bonds, or real estate) can pay for your spending. You no longer have to rely on an active source of income, like a job, to pay for your expenses. The more important question is, how soon can we get there? The number one thing that […]

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The One Thing Everyone’s Missing About The Latte Factor

The latte factor

The Disagreement There’s been a little bit of drama in the personal finance blogosphere lately. Rachel Thompson recently wrote an article titled “I’m a millennial, and believe me, coffee is not the reason I’m broke.” Rachel raised some valid grievances such as rising education costs and difficult job markets, but she passed off those grievances as excuses for frivolous spending. One specific paragraph landed her in hot water among the […]

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Currency Risk And Home Country Bias

I’m getting a lot of questions about asset allocation and the percentage of your equities (stocks) you should allocate to your home country. This is a much bigger question for those of us who live outside of the world’s largest economy but still want to be heavily invested in it. With that in mind, I’m posting an excerpt on currency risk from my book. This is a controversial topic so […]

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