Blogger Interviews, Financial Freedom, Financial Independence

Get Rich Using The Tortoise And Not The Hare Method: An Interview With Get Rich Slowly

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There are some stories in life that truly move and inspire you. To be an inspiring storyteller, is a gift.

However, all talent must be continually used and worked on if you are to turn talent into something great.

That is when you become a professional. What is a professional? Someone who is paid to do a job.

God gives talent. Work turns talent into genius. Anna Pavlova, Russian Prima Ballerina (1882-1931)

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I’ll share with you over time some stories real and fictional that have inspired me on this blog such as Oprah and Jay Leno.

Just to name a few stories, you know off the top of my head, the following:

  • Hearing about strangers helping strangers.
  • People paying it forward by becoming part of an organization as Denzel Washington and Steve McQueen did with their efforts with the Boys and Girls Club.
  • *Just FYI: The actor Steve McQueen grew up poor. The Boys and Girls Club gave him a clean and safe place to be in his youth. He paid it forward after he become a famous actor by asking movie studios to give him thousands of white t-shirts, socks, and personal hygiene products as part of his compensation package for starring in their films. He secretly turned around and donated all this material to the Boys and Girls Club to give out to the young men there. Just melts your heart doesn’t it.
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Steve McQueen also known as “The King of Cool”
  • How the Teenage Mutant Ninja Turtles always looked out for the little guy.
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TMNT film circa 1990
  • The friendship between Shaggy and Scooby-Doo. Those two they just warm my heart.
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Some of my favorite singers that have turned their talent into success are Whitney Houston, Pat Benatar and Toni Braxton.

One of the things I remember Ms. Braxton saying, “music is not about you just saying what you think, but how you make people feel.” Her music and voice have always made me feel good.

Seeing her up on that stage performing recently at the American Music Awards, reminded me of all the reasons I liked her; she has a gift for making you feel good with the words she sings that transcends whatever hard times you are going through in that moment. She makes you feel happy.

Toni Braxton performs onstage during the 2019 American Music Awards at Microsoft Theater on November 24, 2019, in Los Angeles, California. (Kevin Winter/Getty Images for dcp)

And speaking of people that inspire you with their words, I would like to introduce you today to someone who has not only done that for me, but for millions of people around the world through his writing on personal finance. The one and only Mr. JD Roth.

He has turned his passion and talent into success as a successful writer and blogger. I had the pleasure of meeting him in person.

He was kind enough to agree to this interview on Greenbacks Magnet (GBM).

Here at GBM we are all about rejecting buying brand new fresh off the factory floor made cars in order to become Financially Independent (FI).

We pull back the curtains and blow the top off the math, and not the Mercedes, behind how not buying new cars can make you rich.

GBM is the place where we like to get down and dirty into the math behind building wealth, but we keep the jokes clean. Our jokes here are like a Hallmark card, GBM cares enough to send the very best! Even my tweets are called Lipstick Confessions!!! haha 💋Smooches

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Below is just a taste of what GBM has to offer. This blog ages like fine wine; it only gets better with time. No topic is off limits!!! Not even French Fries!!

I’m like Space Ghost Coast to Coast. Booking celebrity guests for my audiences reading and fiscally literate pleasure.

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Fun Fact: The original pilot of Space Ghost C2C was produced in a closet, and the guest was Denzel Washington (second mention in this post cause Denzel is just everywhere). It was green-lit as a series on the Cartoon Network in 1994 and went on to huge success.

Therefore, if you are looking to start a podcast, let this be inspiration to know it is okay to start it on a shoestring budget and in your closet.

Let’s get down to the interview.

Topic du jour: The tortoise wins the get rich race every time. Who is the man behind the tortoise shell?

Subject: Men who talk money. How to Get Rich Slow?

GRS JD Roth: YES, I would be happy to do your interview.

Ladies and Gentlemen, please put your hands together for Mister JD Roth!!! The founder of Get Rich Slowly.

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ALLOW ME TO INTRODUCE MYSELF

GBM Miriam: It was great meeting JD Roth of Get Rich Slowly at FinCon 18 in Orlando.  I had seen his picture on the blog-sphere so many times that I knew who he was on sight. I tried to keep a calm and cool composure, but on the inside I was screaming, “IT’S JD ROTH!!!!!” Over and over in my head.

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Imagine my surprise when I got to ride shotgun with him on our way to a restaurant for a fellow bloggers birthday.

Here I am a total stranger and he was as cool as a cucumber. Totally down-to-earth and fun too. Check out one of his tweets. Hilarious!!!

You can check out more of this story on my post about my very first FinCon called FinCon The Recap from your Friendly Neighborhood Greenbacks Magnet Part I and Part II.

We are in the car with Liz of Chief Mom Officer, Military Dollar, and Erin of Reaching for FI. In a car full of women, he was totally cool driving while listening to Taylor Swift. Yes, I found out that JD is a T. Swift fan. I am too. It’s like john jacob jingleheimer schmidt up in here!!!

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Here is proof here!! I just so happen to think Taylor Swift is pretty awesome too! 😉 Great minds think alike. I literally just posted tweets on Taylor Swift and Lizzo last week. 😂👍

Let’s dive into the interview.

MEET JD ROTH

This is how it feels to meet JD.

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Yes, he was just that friendly and down-to-earth.

This is how I felt getting to interview JD. Over the moon and on top of the world. After three years of blogging, I made it. I’m still here. Anything is possible if you work hard enough for it. 😉So Grateful.

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JD STARTS A BLOG ABOUT GETTING RICH

1. What prompted you to start a blog about money? How much makes you feel rich? Would you say $500k, $1M, $2M, or more? 

I started Get Rich Slowly for three reasons. First, I wanted to document my own journey out of debt. Second, I thought maybe I could help other people learn to manage money as I improved my own financial skills. Finally, I hoped maybe I could make a few hundred bucks per month to supplement my income.

I had NO idea that starting Get Rich Slowly would change the trajectory of my life, financial and otherwise. It wasn’t even something I could have conceived at the time. Yet it changed everything.

How much makes me feel rich? That’s a great question. It doesn’t take much. I grew up poor. My family lived in a run-down trailer house in rural Oregon. My father was often out of work. Sometimes we had to take assistance from our church in order to get by. Today, I have far more money than my parents ever did. I feel very rich. But I don’t know what dollar amount leads to that…

GBM Miriam: Well ok. Thank you for your honesty. It is always appreciated. I fell into learning about money by accident. I was at my boyfriend’s place when I saw a Kiplinger magazine lying around. I just so happened to pick it up…

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2. Any favorite finance books? How come?

I’ve read and enjoyed many finance books, but my favorite books about money usually aren’t actually books about money. What I mean is that often the books that I believe will most help people with their finances aren’t financial books. They’re only tangentially related to finances.

For instance, I think The Seven Habits of Highly Successful People is probably one of the most helpful book anyone can read if they’re struggling to improve their finances. The ideas and philosophy it conveys are so valuable in developing a successful financial mindset.

GBM Miriam: One of my top favorites is The Millionaire Next Door. That and the one you named are some good reading. 👍

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3. What are you reading right now? What’s on your night stand?

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Haha. I always have several books going at once. Right now, I’m reading:

* Wake Up and Live! by Dorothea Brande

* House of Suns by Alistair Reynolds

* Y: The Last Man by Brian K. Vaughan

* Deep Work by Cal Newport

This “many books at once” habit kind of goes against the whole Deep Work philosophy… 

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4. One thing people may not know about you?

When I left for college in 1987, I thought I was going to be a religion major. My aim was to get a religion degree, then become a Christian missionary. I thought I’d ultimately end up as a church pastor.

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GBM Miriam: I did see you mention something about that on your blog. I put a link to that story in your response for readers to be transported there faster than Marty hitting 88 mph by clicking on college in 1987.

5. What’s in your wallet? How did you start building wealth?

These two questions don’t seem related.

I carry a minimalist wallet: https://www.tombihn.com/products/minimalist-wallets?variant=13762302378047

It contains my debit card, my business credit card, my personal credit card, my Apple card, maybe $40 cash, and my insurance info (health and vehicle). That’s it.

I started building wealth through a two-pronged attack. First, I reduced how much I was spending. Second, I worked to build my income. Basically, I did my best to work both sides of the wealth equation (income and spending) in an attempt to grow my saving rate as high as possible.

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GBM Miriam: Awesome. I started by saving $1 a day. Then gradually started increasing my savings and investing rates from 5% to over 40% of my income over like 10 years. I cut out buying crap and clothes to bank that money for my future baby!!

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Well said. So that’s what I did. Unlike that episode of King Meets Queens, when Carrie buys thousands of dollars worth of expensive clothes, keeps the tags on them to return them for a refund (get this because she could afford them *ahem* $2,000 Chanel suits) and said this to her husband…

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If this sounds like you, please stop reading THIS and go read the Get Rich Slowly archives right now! If you want to get rich, cut the excuses and get fiscally educated!!!

If you are truly fiscally clumsy, then try the lazy method of investing. I would use Swensen’s model that he crafted for Yale University. With over $27 billion dollars under management, the Yale endowment is the second largest college endowment in the world (Harvard is #1). Just watch the video. Now you and Rory Gilmore will have something in common.

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And if this is too much, just park your investments into a total stock market fund like the Vanguard Total Stock Market Index Fund Admiral Shares (VTSAX) or Vanguard Total Stock Market ETF (VTI).

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BONUS ROUND

Bonus Questions (pick any of the questions from the top or below that you want to answer) 

6. Any life or money lessons from a favorite movie or TV show you would like to share?

I’m partial to Mr. Roger’s philosophy of loving others and encouraging others to love. He believed in accepting people for who they were, regardless of who they were. I subscribe to that ideal too.

GBM Miriam: Good stuff. I ❤ Mr. Rogers I wanted to take a ride on that train soooo bad! It looked like so much fun.

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7. If you found a lottery ticket that ends up winning $1.5 million. What would you do?

I would buy new cars for me and my girlfriend. I’d get her a Tesla Model 3. I’d buy myself a Mini Cooper — the electric model, if it ever gets released. I’d stick the rest of the money in the bank.

GBM Miriam: A mini Cooper eh? I can dig it.

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But that Tesla looks sexy.

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And love those falcon wing doors.

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Car Magazine UK Tesla photo
Tesla Model X doors


8. Who is your favorite X-men,  Justice League, Avengers or comic book character? Why?

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I’ve always been partial to nerds from the Marvel universe, characters like Cyclops from the X-Men or Mr. Fantastic from the Fantastic Four.

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GBM Miriam: You are probably wondering why I asked this question. Beside being a huge cartoon and Mavel fan, I actually named this blog after a Marvel comic book character; Magneto. 😉

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Just FYI: We skipped a few numbers and moved on to question 11.

11. If both a taxi and a limo were priced the exact same, which one would you choose?

Neither. I would probably walk, if I could.

GBM Miriam: Yeah, that’s me. I love to walk. I’m like Elizabeth Bennett in Jane Austen’s Pride and Prejudice.

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12. What song or songs best describes your work ethic?

“Don’t Worry, Be Happy” 🙂

13. What would you do if you just inherited a pizzeria from your uncle?

I would sell it, if it were profitable. Hell, I’d sell it even if it weren’t profitable. That sounds like too much work!

GBM Miriam: You may be right. I know it’s just a cartoon but they worked the crap out of Doyle in that pizza place in Galaxy High!! 🤣

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14. What was your best MacGyver moment?

This question is so NOT me. I’m not a MacGyver type. That said, my best MacGyver moment was probably installing a new tape deck in the 1993 Toyota pickup I bought last January. Admittedly, I had instructions for this project, but it was still pretty MacGyver-y for me. Now I can listen to cassette tapes as my dog and I cruise around Portland. 😉

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15. If I gave you $40,000 to start a business, what would you start?

I know the answer to this! I’d start a blog. In fact, I’ve spent a similar amount to launch blogs in the past — and they’ve become businesses.

GBM Miriam: Why am I not surprised. 😆 I love blogging too.

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How I feel about blogging: “Tonight, darling, we are going to right a lot of wrongs. And we are going to wrong some rights. The first shall be last; the last shall be first; the meek shall do some earth-inheriting.” -Margo Roth Spiegelman, Paper Towns by John Green

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Cara Delevingne as Margo Roth Spiegelman in Paper Towns
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16. If you had $2,000, how would you double it in 24 hours?

Hm. I’m not sure. There’s no reliable way to do this, of course. My inclination would be to pick a game of pure chance, such as roulette, then to make a single bet that would either double the money or lose it in one go. Using that roulette example, if I bet all $2000 on, say, even numbers or odd numbers, I’d have about a 48% chance of doubling my money and a 52% chance of losing it all.

Really, though, there’s no sure way to do this.

GBM Miriam: That’s JD. He always gives it t you straight and keeps it 💯just how we like it.

For example, he just put this out there for our fiscal viewing. Check out his post on Our first annual family meeting. Bringing people and finances together. As a financial blogger, that just melts my heart ❤right there.

Notes for family meeting

THE END

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GBM Miriam: Thank you JD!!! It was an absolute dream come true and a pleasure to have you stop by Greenbacks Magnet.

It was my honor to be your host this evening. See you at FinCon 2020. The year of perfect vision!!! Until we meet again!!! I bid you farewell.

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Want more fiscal nuggets of wisdom, from the JD Roth?

Find him on his website and connect with him on Twitter at @getrichslowly.

Automobiles, Financial Freedom, Financial Independence, Investing, Retirement, Saving, Wealth

Expensive Cars Are Masquerading Around As Signs Of Wealth

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Venice, Mask, Red, Carnival, Italy

You ever drive by a neighborhood that ends in Estates or Hills and look in the driveway?

There are usually enough European cars around for these folks to start a dealership down the street and give Audi a run for their money.

You figure places like Beverly Hills, Miami Beach, and New York are places that can afford these types of cars, but what about places you would think those people may not make the type of money it requires to have those vehicles?

Unfortunately, in my few decades on this earth, I have seen things that you would not believe.

Since, many of you out there know my absolute fiscal pet peeve is new car ownership, you understand my ire as I write this.

I can teach you to get rich without having to sign a car loan document or sell your soul. I’m not Ursula. I will give you back your voice.

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I rejected that notion that I must own a luxury car to feel good about myself and feel important. I paid off over $50,000 worth of debt so I could start investing more money in Mr. Market.

The goal was to try to always be increasing my investment portfolio by $20,000-$25,000 or more per year. It took me a decade, but I hit that goal. It’s raining dividends right now. All from just rejecting new car ownership.

I am going to share with you a few car buying horror stories that may very well give you nightmares. So hide the wife. Hide the kids. This is the part in the movie theater where you turn your heads, close you eyes and take a deep breath.

I am about to lift up the hood on the numbers behind what buying new cars will be in opportunity costs in this series of posts on rejecting new car ownership. So buckle up, sit back, and enjoy the ride.

Drip so hard or broke so much

First let me explain what drip is.

It is a slang term many rappers use and there are more or less elaborate definitions of “drip.” Offset and Cardi B use the term to refer to their diamonds and wealth, while Atlanta rapper Gunna told Billboard that “drip” refers to fashion: Drip is your attire, the clothes you wear.

But as rapper 50 Cent has shown us with his bankruptcy filing, looks can be deceiving. Fifty says money in Instagram photos are fake.

For instance, he doesn’t own like 50 Rolex watches or chains, but only rotated the same like three on Instagram because on the world of gram it’s all about appearances.

He also has stated he had $8 million in Bitcoin, but really he owns $0. He just made up $8 million out of thin air! Why put on this show? For likes of course, what else?

Bitcoin, Cryptocurrency, Digital, Money

This is nothing new. People inflate their salaries, income, accomplishments, and credentials all the time. What makes this case so sad is that he is telling the world, not just a few friends having a round of drinks while playing a poker game down at the local watering hole.

I have noticed that once you actually stop looking and start listening to what people have to say about their finances, that is when you uncover the truth. Behind all the expensive cars, clothes, and homes most people are stressed and broke.

What is wealth

I gave my definition of wealth in a previous post. Really it means you can meet all your basic needs and have some left over to last you several decades without you sweating whether or not the bills get paid.

For regular folks, a good week looks like this – there’s milk in the fridge, none of the kids got into a car accident or ran over any mailboxes this week, and all the bills got paid on time.

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For the wealthy, a good week looks like this – enough food in the cupboards to feed an army, you taking the Rolls to work this week cause the Jag is in the shop being detailed, and you earned more in dividends than you spent last month.

Wealth is every bit as good as it sounds. Let us see the other side of the coin and how the lack of having enough coins can cause despair.

Dream cars are only for those with money in the bank

Here is where the horror stories are about to begin folks.

Brace yourselves.

I knew a guy who loved his dream car so much that it was keeping his bank account in the red. Let’s call him Edgar. Edgar grew up without a father. At one point, he was living in a shelter. After years of toiling in the salt mines, he was able to get an apartment and get on better financial footing.

At the ripe old age of 28, he decided to “treat himself” because he “deserved it” to a $30,000 BMW convertible and eventually he got a girlfriend to ride in that car beside him.

He felt that he had paid his dues so he should have a nice car.

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I don’t know about all of you out there, but I look at paid dues as 10, 20, 30, or 40 years of busting your hump to build a security and a solid foundation for your future self and family. Buying a luxury car that costs $500 a month is not the way to having a life of abundance.

How else could he have spent that money?

Let’s say he saved up the $30,000 ($6,000 a year over five years) by taking public transportation to work and invested that money instead of trying t impress people with his wealth…er uh I mean debt that is masquerading as wealth in the form of a nice financed luxury vehicle. He could have also saved up a few tax returns and got a beater to get back and forth to work.

If you save $100.00 per month your savings may grow to $731,411.74 after 30 years. This includes a starting balance of $30,000.00 and a 10% annual rate of return.

Starting amount$30,000.00
Years30 years.
Additional contributions$100.00 per month
Rate of return10% compounded annually
Total amount you will have contributed$66,000.00
Total interest$665,411.74
Total at end of investment$731,411.74
YearAdditionsInterestBalance
Start$30,000.00 $30,000.00
1$1,200.00$3,064.06$34,264.06
2$1,200.00$3,490.46$38,954.52
3$1,200.00$3,959.52$44,114.04
4$1,200.00$4,475.46$49,789.50
5$1,200.00$5,043.01$56,032.51
6$1,200.00$5,667.32$62,899.83
7$1,200.00$6,354.01$70,453.84
8$1,200.00$7,109.45$78,763.29
9$1,200.00$7,940.38$87,903.67
10$1,200.00$8,854.41$97,958.08
11$1,200.00$9,859.87$109,017.95
12$1,200.00$10,965.86$121,183.81
13$1,200.00$12,182.43$134,566.24
14$1,200.00$13,520.67$149,286.91
15$1,200.00$14,992.74$165,479.65
16$1,200.00$16,612.02$183,291.67
17$1,200.00$18,393.24$202,884.91
18$1,200.00$20,352.54$224,437.45
19$1,200.00$22,507.80$248,145.25
20$1,200.00$24,878.59$274,223.84
21$1,200.00$27,486.45$302,910.29
22$1,200.00$30,355.08$334,465.37
23$1,200.00$33,510.59$369,175.96
24$1,200.00$36,981.65$407,357.61
25$1,200.00$40,799.79$449,357.40
26$1,200.00$44,999.79$495,557.19
27$1,200.00$49,619.76$546,376.95
28$1,200.00$54,701.76$602,278.71
29$1,200.00$60,291.92$663,770.63
30$1,200.00$66,441.11$731,411.74

Back to Edgar’s story.

One night while going to see his soon-to-be ex-girlfriend, he was so tired (he would get tired doing like two sit-ups) that he fell asleep at the wheel. He got into a major accident, the car was in the repair shop for months, BMW lent him a loaner, him and the girlfriend broke up (she may have been with him for the car) and he got to drive that DREAM car for all of like 8 months!

He did eventually get it back, but I noticed that every couple of months or so the car would have an issue and need to go in the shop.

He bragged how he was so smart to get an extended warranty or the repair bills would be like $2,000 or more. However, what he is failing to realize is that when that warranty runs out, you will be the one paying those expensive repair bills because luxury comes at a price. A very expensive one.

Last time I laid eyes on him; he still had that car, was still single, and had moved into a more expensive apartment. Instead of investing money, he spent every dime and his bank account stayed on empty.

If he would have been willing to give up the car, he could have saved a small fortune. I tried to run the numbers with him, but he wasn’t really interested. Little did he know that his dream car was turning his life into a nightmare.

After he lost his job, he couldn’t afford to make the payments. His mother had to step in and help him. Maybe if he put the money he spent on those expensive Xbox video games in the bank instead, he might have had the money to pay his bills himself. He needs to keep that devil-may-care attitude in the video games where it belongs.

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Dante in Devil May Cry for Xbox

And his motto was “live for the day.”

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If living for the day means being broke for a lifetime, I’ll pass. He may have had a great car that made him feel like he had arrived and look like he had money, but he was really BROKE.

Do cars really equal freedom or are they a debtor’s prison on four wheels

I have owned only two cars in my entire life.

They are expensive money-pits with all-wheel drive.

I have seen people spend so much money on car repairs that it makes me want to cry. I have also seen people own three, five, or even seven cars by the age of 25!

Many people never even go on to pay the car off. They just roll over negative equity onto the latest new car purchase. Putting them in a never ending spiral of debt payments.

And do not even think about not purchasing gap insurance.

Gap insurance is an optional, add-on car insurance coverage that can help certain drivers cover the “gap” between the amount they owe on their car and the car’s actual cash value (ACV) in the event of an accident.

Even this can be something only the well-heeled can afford.

Gap can cost hundreds or thousands of dollars additional on top of what you are paying to purchase your vehicle. It must be paid for up front at the time of vehicle purchase. If you cannot pay out of pocket, they will add it to your loan. You are now paying interest on this insurance coverage.

Why do you need gap? I have a friend. Let’s call her Pam. Pam likes nice cars. However, Pam is in-between jobs right now, is several months behind on mortgage payments, and has been in two car accidents in two years.

At one time, she owed an Audi. When a maintenance issue arrived and the repair bill came in at $3,000, she couldn’t afford it so she sold it.

Speaking of repair bills, I have heard stories of people leaving the Jiffy Lube or car dealership after getting the repair quote, which they cannot afford, then go on to say, “I know someone that will do it for cheaper” or “I’ll fix it later” or “I’ll take it to my mechanic.” All just mean the same thing: Broke.

When you cannot pay the repair bills on your car, then how can you possibly afford to save for retirement?

Getting back to Pam, she ended up with gap insurance from a third party. Therefore, she was going back and forth trying to get the money for the car for over four months!

I don’t know many folks that can go without a car for this long. Her quality of life immediately went down. You could feel it with every passing month when you were around her.

One word. I will give you one guess. You give up? It rhymes with repair. Of course I mean despair.

She also has no cash savings and no retirement.

She was very young at the time. Maybe 22. This is what she could have done if she saved up that money and invested it instead.

If you save $100.00 per month your savings may grow to $1,464,646.73 after 40 years. This includes a starting balance of $20,000.00 and a 10% annual rate of return.

Starting amount$20,000.00
Years40 years.
Additional contributions$100.00 per month
Rate of return10% compounded annually
Total amount you will have contributed$68,000.00
Total interest$1,396,646.73
Total at end of investment$1,464,646.73
YearAdditionsInterestBalance
Start$20,000.00 $20,000.00
1$1,200.00$2,064.06$23,264.06
2$1,200.00$2,390.46$26,854.52
3$1,200.00$2,749.50$30,804.02
4$1,200.00$3,144.46$35,148.48
5$1,200.00$3,578.92$39,927.40
6$1,200.00$4,056.80$45,184.20
7$1,200.00$4,582.47$50,966.67
8$1,200.00$5,160.72$57,327.39
9$1,200.00$5,796.80$64,324.19
10$1,200.00$6,496.47$72,020.66
11$1,200.00$7,266.12$80,486.78
12$1,200.00$8,112.74$89,799.52
13$1,200.00$9,044.00$100,043.52
14$1,200.00$10,068.42$111,311.94
15$1,200.00$11,195.25$123,707.19
16$1,200.00$12,434.76$137,341.95
17$1,200.00$13,798.25$152,340.20
18$1,200.00$15,298.06$168,838.26
19$1,200.00$16,947.87$186,986.13
20$1,200.00$18,762.67$206,948.80
21$1,200.00$20,758.93$228,907.73
22$1,200.00$22,954.83$253,062.56
23$1,200.00$25,370.31$279,632.87
24$1,200.00$28,027.34$308,860.21
25$1,200.00$30,950.07$341,010.28
26$1,200.00$34,165.09$376,375.37
27$1,200.00$37,701.60$415,276.97
28$1,200.00$41,591.74$458,068.71
29$1,200.00$45,870.92$505,139.63
30$1,200.00$50,578.02$556,917.65
31$1,200.00$55,755.83$613,873.48
32$1,200.00$61,451.41$676,524.89
33$1,200.00$67,716.54$745,441.43
34$1,200.00$74,608.19$821,249.62
35$1,200.00$82,189.02$904,638.64
36$1,200.00$90,527.91$996,366.55
37$1,200.00$99,700.71$1,097,267.26
38$1,200.00$109,790.79$1,208,258.05
39$1,200.00$120,889.85$1,330,347.90
40$1,200.00$133,098.83$1,464,646.73

I have actually seen people own multiple cars even though they can only drive one at a time. However, you have to maintain and insure all of them. Just give up the ones you are not using and fund your retirement with that money.

Instead of that money going into a 401k, the lender and insurance company was getting rich off these never ending payments they receive. Put that money to work for yourself by investing it.

Tow truck companies are winning

Image result for parking wars

Have you ever seen that show on A&E called Parking Wars? Some of the saddest things I have ever seen to do with cars was on that show.

The struggle is real in the city of brotherly love. So many people in Philadelphia were getting their cars towed and booted for failure to pay parking tickets it was crazy.

Those meter maids were making like $20,000-$30,000 a year and they were on a mission! Giving out those tickets like gumdrops! And making revenue for the city in the process.

I have seen and heard some stories so heartbreaking it made my eyes start watering. I have seen or heard people lose their jobs, then their homes, and finally get their car repossessed with all their belongings in it.

One guy came out running to his car while they were lifting it on the tow truck. He had almost every valuable possession he owed in that car including the photo albums of his deceased family members.

All he asked is if he could go in the trunk and get his stuff (clothing, personal hygiene, photos, credentials). The tow driver said no.

Unfortunately, once the car is on the lift, it can’t be stopped unless you pay or have already paid and can PROVE IT!

Image result for prove it gif

And that guy went from being homeless and living in his car, to being homeless on the street.

I have seen people give up their cars due to debt, gambling, substance abuse, you name it.

I know someone who saved up $8,000 and sink every penny into a new car just to have a $100 lower monthly payment. Never mind that she was still living with her parents at the age of 42.

I have also seen people have to choose between paying the gas, electric, or phone bill on-time or pay the car note.

I even had an ex-coworker get her car repossessed twice! She just had to have an SUV. She was making like $12 bucks an hour at time and was only 20. She destroyed her credit and the possibility of home ownership for at least a few years just for the sake of looking rich instead of actually saving towards becoming rich.

She was broke. She had no wealth whatsoever! The little she had, she mailed in monthly installments to Chevrolet.

Society would like you to believe that owning a nice brand new luxury car will make you look like you have achieved success.

It really only means someone has allowed you to borrow money from them and pay them back with interest for the privilege of loaning you their money.

Real wealth cannot just been seen by the naked eye in the form of fancy condos, clothes, jewelry, furs and luxury cars. It is usually shielded from prying eyes in the form of investments and inside bank accounts.

For most folks, a luxury car does not mean you have wealth; it means you have debt. Reject new cars like I have and I promise you will actually start to build wealth.

Scouts honor.

Automobiles, Financial Freedom, Financial Independence, Investing, Wealth

Rejecting Buying New Cars Has Made Me Richer

Gallery 10 Comments
Car, Sedan, Luxury, Vehicle, Automobile

The other day I overheard people talking about being 90 days late and past due…blah blah blah I couldn’t make out the rest, but I heard enough to fill in the blanks. Debt, debt, and more debt.

Two of the biggest culprits are house and car loans. Some may disagree with me, but cars are wealth killers! At least Dave Ramsey agrees with me.

Then it hit me.

After three years of blogging, I found my niche.

This blog is really all about rejecting new car ownership to become financially independent (FI). That’s right. I refuse to buy new cars so I can become FI.

Previously I have spoken on the topic of why I can’t stand buying new cars and instead put that money in stocks thereby earning myself $100k in Mr. Market by ending my car payments.

When I hear people complain about having no money but paying $600 a month for their car, all I hear is the same sound Charlie Brown’s teacher makes. Cut the excuses!!!

Image result for charlie brown wah wah gif

Obviously, reminding people why they should reject buying a NEW CAR bears repeating.

Do BMW’s really equal happiness

To drive a brand spanking new car out on these streets today, it will cost you about $554 a month; as that is the average car payment in the U.S. according to Experian.

However, you and I both know that those are small potatoes compared to what some folks are shelling out. We gotta Keep Up With The Joneses’ today or life just plain sucks!

There are now new luxury vehicles coming off the assembly line with an MSRP of $80k! MSRP stands for the Manufacturer Suggested Retail Price — also known as “sticker” price — which is a recommended selling price that automakers give a new car. A dealer uses the MSRP as a price to sell each vehicle; it’s different from invoice price on a car, which can stand thousands below the sale price.

Vehicles have become so expensive that dealerships are offering 84 month car loans! I have no intention of owing the man that type of moola.

Especially, considering that the REPO Man is out there lurking in the shadows, ready to take my car if I miss even one single car payment.

Image result for cruella driving by gif

And BTW the REPO Man tends to show up at the worst possible times; such as when you are already 20 minutes late picking up your kids from soccer practice, while the Walgreen’s pharmacy is texting you that this is the last day to pick up your $600 EpiPen or else it goes back on the market.

I actually have a friend that was unable to continue making payments on her BMW. Before, we get into this story here is a little background. She owns a home with an ARM and payments can fluctuate wildly from $1500 to $2400, is finishing her bankruptcy payments, and calls herself a Glam Ma and not Grand Ma.

She used to use dating apps after her divorce, but stopped after one guy told her he was looking for a place to stay. Hard pass. No more Bumble Bee for her! She likes her independence. Always has, always will.

For instance, her son recently asked if his mother would be willing to watch his newborn infant after she is born to save on daycare costs, which is astronomical in America and can cost people one whole paycheck, to which she replied, “not unless she got ID to sit with me at the bar on Friday’s, then no I can’t watch her.”

Getting back to the car situation, she decided to stop all car payments due to financial constraints.

Therefore, she stopped paying for two years.

Two whole years!!!

Since she knew she could no longer afford it; she just strategically stopped paying and put that money towards other obligations. The same way a squatter strategically walks away from an underwater mortgage. No reason to raid the retirement accounts and then end up completely broke now is there.

Anyhoo, she kept the car clean and left nothing in it in case the repo man ever showed up to take it. Well that day finally came and they took it right out of her driveway.

She then decided to hail cabs, and take Lyft and Uber rides until she got her tax refund and then she bought her next car with cold, hard cash baby! Lesson learned. If you own it, no one can take it.

Setting money on fire

Image result for setting money on fire gif

Cars are making people go broke. SUV’s are some of the priciest on the market.

And Americans LOVE their SUV’s.

They are willing to SHELL out the big bucks here and dealers know it. Why do you think they stopped making Mitsubishi’s, GM stooped making Pontiac’s, and Ford stopped making compact cars? It is because they are not making money on moderately priced vehicles.

According to Business Insider, Ford made a game-changing decision in April when the company announced it would dissolve its entire line of sedans and compact cars that includes Focus, Fusion, Fiesta, and Taurus by 2020. Other cars that will be discontinued this year and beyond include the Alfa Romeo 4C Coupe, Chevrolet Sonic, and Cadillac ATS.

Maybe this is why Aston Martin has rolled out its latest car with a pricetag of this: New $189,000 SUV.

You could wind up spending $2500 a month just to own this luxury monster!

Let’s do a little math

I’m going to pull back the curtain on this and show you why you need to take off your BMW rose-colored glasses.

Buying a 2020 BMW truck will cost you about $176,000 after all is said and done.

Item

2020 BMW X6 SAV M50I AWD

Interest:

Maintenance:

Gas:

Total Cost over 7 years:

Cost

$104,095

$104,095 x 3% = 31,228 BMW of Alexandria website

$3,122.85 x 7 = $21,859.95 Setting aside 3% of purchase price

$50 x 52 = $2,704 x 7 = $18,928

$176,110.95

You get to basically drive to work, the grocery store, gym, and Pottery Barn for the low, low price of almost the cost of a house in Georgia.

20 Marietta St NW Unit 6B Atlanta, GA 30303

$179,000 Price 2 Beds 2Baths 1,156 Sq. Ft.$155 / Sq. Ft. Redfin Estimate: $175,558 On Redfin: 70 days Status:  Active

20 Marietta St NW Unit 6B
Redfin Listing

That is also more than three times the median salary of an American adult making $56,000. Even Rappers are buying into this crap before the ink is even dry on that million-dollar deal they just signed!

This is a clip from way back in 2003 from Dame Dash (who has his own money issues; he can’t afford and is too cash poor to pay $2400 in a lawsuit due to his paychecks being garnished by creditors to pay off debt).

That video came out the same year I bought my car.

Maybe if I had seen this, I would have done something different.

Hopefully seeing this here will help all of you out there.

Put that money into Mr. Market

I know this is the part where your eyes glaze over but please bear with me.

Related image
Image result for charlie brown wah wah gif

Here’s my story. In 2003, I decided I needed a new car. BIG MISTAKE! I previously had an Nissan Altima that cost about $8k and I was paying $229 per month for it. Then it started having problems so I decided to trade it in for a new Ford Explorer.

Original MSRP was $30k, but I got it on sale for $24,000. Stupid. I had a negative equity balance on the Altima so I rolled it over onto the new loan. I went from owing $6k to $32k in the span of 5 hours at a car dealership from the time I walked in until I signed the papers.

The payment on the Explorer was $448.65 a month for about 5-6 years. Therefore, from 2003-2009 I was paying on this car instead of investing that money in Mr. Market. DUMB!!!! For 6 whole years, I could not do much of anything because the car payment was always due.

Want to go on that trip to Dominican Republic? Sorry guys, can’t do it. The gas guzzler has got to get paid.

Want to buy new socks and clothes because yours are worn out and have holes in them? Sorry, no can do. The car note is due on the first, which is same time as the rent. Sucker! They got me good.

I was even paying over the phone for faster processing at the tune of $5 a pop!

All that changed once I paid it off. I got down to $1500 and just paid it off. I was free b#tche$!! Can’t nobody hold me down…oh no…I got to keep on moving!!!

I haven’t had a car payment in over 10 years! Not since Steph Curry was selected as a draft pick in the NBA.

I took that money and started investing in stocks. Before I know it, I had like a couple hundred grand in Mr. Market just from rejecting new car ownership.

How would you feel having $200,000 working for you everyday 365/24/7 in the market paying you just for having a pulse?

Financial Freedom, Financial Independence, Investing

Why Investing Is Like Owning Park Place With A Hotel

Gallery 1 Comment
Image result for monopoly park place with a hotel
PHOTO: ISTOCKPHOTO

It was a typical day.

The birds were chirping. Car horns are honking. The sun is shining.

Nothing extraordinary.

Then I decide to look at one of my retirement accounts, when lo and behold, I saw $466 in capital gains I earned the end of December last year. This was a surprise because I wasn’t expecting to earn much on the account as I was in the early stages of still building this one up.

Looking at some other accounts, I learned I gained over $25k! Not too shabby.

Let me illustrate how investing can turn you into a millionaire.

A millionaire is built by attracting $1 dollar at a time

If you save $24,000.00 per year your savings may grow to $1,070,380.15 after 17 years. This includes a starting balance of $0.00 and a 10% annual rate of return.

Starting amount$0.00
Years17 years.
Additional contributions$24,000.00 per year
Rate of return10% compounded annually
Total amount you will have contributed$408,000.00
Total interest$662,380.15
Total at end of investment$1,070,380.15

Therefore, if you start with nothing and decide to max out your 401k for 17 years, you are now part of the double comma club! You can see the numbers below.

YearAdditionsInterestBalance
Start$0.00 $0.00
1$24,000.00$2,400.00$26,400.00
2$24,000.00$5,040.00$55,440.00
3$24,000.00$7,944.00$87,384.00
4$24,000.00$11,138.40$122,522.40
5$24,000.00$14,652.24$161,174.64
6$24,000.00$18,517.46$203,692.10
7$24,000.00$22,769.21$250,461.31
8$24,000.00$27,446.13$301,907.44
9$24,000.00$32,590.74$358,498.18
10$24,000.00$38,249.82$420,748.00
11$24,000.00$44,474.80$489,222.80
12$24,000.00$51,322.28$564,545.08
13$24,000.00$58,854.51$647,399.59
14$24,000.00$67,139.96$738,539.55
15$24,000.00$76,253.96$838,793.51
16$24,000.00$86,279.35$949,072.86
17$24,000.00$97,307.29$1,070,380.15

Grow your net worth with Real estate and REIT’s

During the Great Recession, the subprime housing market destroyed property values all over the country.

Since most Americans net worth is tied to their homes, around 50% or more, this caused many people to delay retirement because their homes were now worth less than the mortgage owed on them.

Warren Buffet even said that homes were selling for so cheap in some markets that if he had the time and resources to manage them, he would buy hundreds of thousands of homes to collect the rent on them.

Might I suggest an alternative to active real estate investor, passive real estate investing with REIT’s; a real estate investment trust (“REIT”) is a company that owns, operates or finances income-producing real estate. 

Approximately 87 million Americans invest in REIT stocks through their 401(k) and other investment funds. REITs must pay out at least 90 % of their taxable income to shareholders—and most pay out 100 %. In turn, shareholders pay the income taxes on those dividends.

mREITs (or mortgage REITs) don’t own real estate directly, instead they finance real estate and earn income from the interest on these investments.

The reason I love Park Place so much

I know that everyone wants Boardwalk with a hotel because it makes you the most money in the game, but Park Place is the first stop on the tour.

You have to pass that to get to Boardwalk.

However, there are times when you roll the dice and land on Park Place and then hit a two and land on Boardwalk! Cha ching!

Park Place sets up the psychological warfare that I never could.

You land on my property and have to pay me $1500 for Park Place and $2000 for Boardwalk. That is $3500 bucks!

MONOPOLY BOARDWALK TITLE DEED POSTER - 12" X 18" - REALLY COOL!

You now see the reason why people own real estate. You can make some serious cash collecting rent and it seems to come around on the first of every month over and over and over again.

Once you put in the work to own the property and maintain it, it starts to spit off cash flow and feeds you.

If you look on the Monopoly Park Place deed, you will notice in the beginning you only collect $35 in rent with no houses or hotels. As you start owning more properties, you start collecting more in rent.

Related image

If you cannot stomach the thought of waking up at 3 am to a phone cal about a clogged sink or toilet, then you can hire a property manager or just stay passive and invest in REITs instead.

Why you should invest

It’s simple. You should invest because it can make you rich.

Consistent investing has proven to turn people into millionaires over time. You could do the following:

  • Collect teeny tiny amounts of interest from your checking account with your local bank
  • Put your money under a mattress where it earns $0
  • Invest in Mr. Market and let compound interest do its thing

No pressure.

Think of me as your fiscal Yoda.

Image result for yoda gifs

Here to guide, I am.

Much to learn about investing, you have.

May the fiscal force be with you.

Investing, Saving, Video Games Reviews, Wealth

How To Collect Dividends Like Pac-Man Collects Power Pellets

Gallery 5 Comments
Pacman, Pac-Man, Adventure, Funny, Game

The air is crisp, summer is now in our rear-view.

Like Aesop’s The Ants and the Grasshopper, we must prepare our bank accounts as winter is coming.

When I woke up this morning, it was 44 degrees. Sweater weather indeed my friends. You know what also needs shelter from being left out in the cold, your money! Affluence is your duty.

Affluence Defined

I will define an affluent person as any adult that is saving and investing more than 25% of their income; with more money coming in than going out.

When you have enough income to pay your bills, save, and invest the difference, then you are rich compared to the rest of the world as most are living check to check.

Once you are able to save and invest more than 50% of your income, have more than $2 million in assets and receiving dividend income of $100,000 or more you are fairly wealthy.

When you make more in capital gains than you would from W-2 wage work, then you can kiss the working world goodbye after hitting a goal of $50,000 or more in income.

A salaried adult makes on average $40,000-$50,000 annually. Getting your investment income to this level means, you have created a passive income source large enough to replace a paycheck.

Good for you.

The bigger the gap between income and expenses is the difference between being rich and poor

Recently, I read two books; Evicted and $2.00 a Day: Living on Almost Nothing in America.

The premise is that welfare is dead and families no longer have access to cash assistance.

Those that do eke out a meager existence on modicum amounts of cash, SSI benefits and food stamps.

Within the book it also discusses how landlords were making a mint off the dregs of society, “the poor,” with one making $447,000 a year after expenses meaning he is part of the 1%.

Another landlord had an estimated net worth of $2 million.

The differences in their lifestyles versus their tenants were stark.

The difference between eating everyday or going hungry was just one of many. If this doesn’t scare and motivate you to save more money, then like Poncho’s owner in 101 Dalmations said, “no evil thing will.”

Image result for cruella deville door gif

Evictions are on the rise all across America. Why? The reason is that there is no rent cap.

Rents are going up about as fast as a four-year college degree.

Having more than 50% of your income going out in rent leads to one word: Despair.

You must have cash in the bank.

I know that the price of everything feels like it has shot up overnight.

You are in the red and bleeding out money faster than a corpse does on The Walking Dead. However, you must save. The possibilities of something requiring your immediate cash assistance are endless!

All of the sudden Aunt Edna needs a new roof, the dog needs his shots, the basement flooded (for the third time this year) or junior needs braces.

I once had a Harvard educated orthodontist quote me almost $8,000 for treatment. And that was just for my teeth!

The human body has 206 bones and not any of them are receiving service from this guy. After, watching or hearing more stories of outrageous prices from car loans to purses (a Louis Vuitton handbag could set you back $400 or more), I knew that having liquid savings was the answer.

I’m as serious about saving money as Sarah Connor is about eliminating Terminators!

Related image

Cash. There is no substitute.

I refuse to lock up all my money in investments, but I know better than to just have all my cash sitting around earning no compound interest or dividends.

Pac-Man shows us how to get the job done

Related image

If you have ever played Pac-Man, then you know how the game is played. The player navigates Pac-Man through a maze with no dead ends.

Pac-Man’s favorite snack pellets — the tiny dots he munches as he moves around the video game board — were originally cookies. The “power cookies” are now the larger pellets he uses to eat the ghosts. The maze is filled with Pac-Dots, and includes four roving multi-colored ghosts: Blinky, Pinky, Inky, and Clyde.

Related image

The game was not designed with an ending.

You know what that tells me, that your money too should be looked upon as having no ending. You should save as if you are going to live forever.

I hope that last statements lights the fire you need to start saving this paper.

Using Pac-Man as an example, I want you to imagine the four ghosts are the following: debt, despair, denial and broke.

Your job is to eat as many power pellets “dividends” as you possibly can. The only way to do this is by investing your money.

You may be unsure where to start. I want you to start by opening up a brokerage account with a discount broker such as Vanguard, Fidelity, E-Trade or Charles Schwab.

Just FYI: Interactive Brokers (NASDAQ:IBKR) and Schwab (NYSE:SCHW) got rid of stock trading commissions, creating a major shake-up in the brokerage industry, and competitors TD Ameritrade (NASDAQ:AMTD) and E*Trade (NASDAQ:ETFC) quickly followed suit. Robinhood had already been offering this service, but now the big boys are getting in on the action.

Once you open up your account, you can purchase any 500 index or index fund that owns all shares in Mr. Market. If using Vanguard, that would be the VTSAX.

You put in enough money in Mr. Market and he starts to pay you for showing up in class everyday 365 days a year.

You earn money just for raising your hand and saying present.

How compound interest works

Compound interest is the difference between the cash you contribute to an investment and the actual future value of the investment.

In this case, by contributing just $8,000 per year with the annual contribution being increased by 1% per year (cumulative contributions of $278,779) you are able to accumulate $1,080,688 over 30 years. Compound interest makes up $801,908 of your future balance.

If you start saving $8,000 a year and earn 8% on those earnings, look what happens. You will notice in the beginning you earn only $680 bucks, but by year 30 you are earning $80k a year!

You must chomp away at collecting money to invest it and start collecting dividends.

YearBeginning BalanceSavings @ 1%Interest @ 8%Ending Balance
1$500$8,000$680$9,180
29,1808,0801,38118,641
318,6418,1612,14428,946
428,9468,2422,97540,163
540,1638,3253,87952,367
652,3678,4084,86265,637
765,6378,4925,93080,060
880,0608,5777,09195,728
995,7288,6638,351112,742
10112,7428,7499,719131,211
11131,2118,83711,204151,251
12151,2518,92512,814172,991
13172,9919,01514,560196,566
14196,5669,10516,454222,124
15222,1249,19618,506249,826
16249,8269,28820,729279,842
17279,8429,38123,138312,361
18312,3619,47425,747347,582
19347,5829,56928,572385,724
20385,7249,66531,631427,019
21427,0199,76234,942471,723
23520,1099,95842,405572,472
24572,47210,05746,602629,132
25629,13210,15851,143690,433
26690,43310,25956,055756,748
27756,74810,36261,369828,479
28828,47910,46667,116906,060
29906,06010,57073,330989,961
30989,96110,67680,0511,080,688

Playing for keeps and dividends

Let’s say you start a Roth IRA at 20 and save $6000 annually, thereby maxing it out.

And please if you are going to max out anything, let it be a IRA and not a credit card.

Earning 10% interest, you would have $105,187.

Then you decide to stop investing and let it ride.

After about 23.5 years, you would have over $1M.

After 24 additional years of parking your money on the financial equivalent of Park Place with a hotel, you are sitting pretty on $1,036,063.83.

Investing your money for only 10 years would allow you to stop and not have to worry about your golden years.

Just some food, I mean power pellets, for thought.

Financial Independence, Investing, Saving, Self-Made Millionaires, Wealth

Beware Of Financial Vampires

Gallery 2 Comments
Nosferatu, Dracula, Moon, Moonlight

Well hello there boys and ghouls.

Happy Greenbacksween.

Hey if Geoico can have Geicoween, then surely so can we.

On today’s spooktacular blog post, we are talking about why you should avoid the black cat of investing: fees.

They come in all shapes and sizes. From front-load, back-load and even fees you pay to trade stocks.

However, one of the most overlooked of all fees come from commission based salesmen disguised as your friendly neighborhood financial advisors.

They wear the greatest costumes 365/24/7: a suit.

And we are not just talking any suits my friends, but the kind you drop a month’s wages on; think more John Wick and less death of a salesman, as to portray a sense of wealth that make you feel like you be anyone or can do anything and believing you want to run up and kick that football that Lucy is holding.

You are unstoppable.

Then it happens.

You get that investor statement in the mail. You are so excited that you rip the envelope open to see how well you are doing. The market is firing off dividends and capital gains the likes of which you have never seen before. You just know you are making a killing in Mr. Market, right?

Then you see that 2% of your portfolio goes to the fund managers and realize that you just got punked!

You look to your left, you look to your right, but Ashton is nowhere to be found.

Why you must be your own financial advisor

I hate to be the bearer of bad news, but I must confess that being a DYI investor is best.

While reading a plethora of books on the subject of personal finance, I have learned the following:

  • Don’t invest in anything you don’t understand. It is not enough to buy the product. You must research the company behind the brand.
  • Know if a company has a competitive edge. For example, once digital cameras came on the market Kodak fell off the face of the earth. The last time I had a Kodak moment was right before Apple unveiled the iphone.
  • Don’t time the market. If you have money to invest, then do it!
  • Don’t invest in anything you can’t draw with a crayon.
  • Invest in index funds instead of individual stocks.
  • Only invest in funds with an expense ratio of less than 1%.
  • You can do exchanges between index funds you already own without paying any fees. This is pretty sweet!
  • Most millionaires are worth between $1 million and $5 million dollars.
  • 90% of millionaires over the last 200 years achieved wealth by investing in real estate.
  • Forget buying the product and own the stock. Millionaires collect assets – stocks, bonds, real estate, and intellectual property – like monopoly pieces. The poor collect consumer liabilities like big houses, boats, and cars. An asset pays you. Collect assets.

No one cares about your money more than you do

Although self-explanatory let us dig deeper children.

Would you hand over all the passwords to your bank, credit card, and investment accounts over to strangers?

Of course not.

However, in an essence that is what we do when people hand over the financial reins to business partners, financial advisors, and handlers.

Instead of working through the struggles of figuring out how money works, many just give up the responsibility to someone else. Nothing screams “just take some” more than giving people free range access to your money. Nothing attracts grifters more.

Just pick up a few free library books on investing and get started right there.

Heck you can even search online for podcasts or website that talk about money! That is how I got started.

Why you want to have $100,000 in investments

It is simple. If Mr. Market does what he has over the last 90 years, then you can turn $100k into $1M in 30 years. Not bad for a kid that gets picked last to play dodge ball.

Once you hit this number, then the money starts finding you.

Depending on your rate of return you could double your money to $200k in less than 8 years. It took me about 2 to 3 additional years to get that next $50k after the first $100k.

Do you want chocolate Halloween candy or a rock?

If any of you out there have seen The Great Pumpkin Charlie Brown, then you know what I’m taking about.

The reason many of us invest is the same reason kids trick-or-treat because we want the treat, that is something that gives us great pleasure.

You go from house to house looking for a reward for putting together that perfect costume.

Investors buy investment after investment looking for the same thing.

Nobody wants a rock!

I remember a time in school that I sold so much for a fundraiser that I got a chance to go in the money machine (where you stuff money into your pockets for like 60 seconds). I wanted that reward!

But guess what? The night before the big event I stayed up late and overslept the next morning! I missed the whole thing. That could have been my seed money to start this blog! That could have helped me start a Roth IRA at 17! The funny thing about rewards is that you may earn them, but you still have to go and pick them up.

Now I write down everything in a journal so that I do not miss a thing!

I wanted to one day be able to have ‘F everyone’ money like Mark Cuban said: “‘F everyone’ money means you can have your favorite band in your backyard, not care how much it costs, and lend them your jet to get there.” You should invest for your future self to have that option.

If you take nothing else from this post, at least remember this: we like the kind of money that jingles, but we invest so that we can have the kind that folds.

Coins are wonderful but paper folds so nicely.

Financial Freedom built attracting one dollar at a time