The primary purpose of blog reading should be to gain understanding. Reading without increasing understanding is essentially a waste of time. If you find yourself readily agreeing with the author, chances are that you are merely reading along to have the author stroking your ego or feeling less alone. If you find yourself readily understanding [...]A History of Interest Rates is the seminal work when it comes to trying to understand (find the principles) that guide interest rates. This is interesting (HA!) because early financial independence(*) relies on being a rentier for almost a century, which is actually quite a long run. This is especially important given the problems humanity [...]
Retirement jobs? Only if we want them. Studies show 50 percent of people who reach retirement age work. Which is the right job for you?…perhaps, being inspired by Bill Clinton, depends on what the definition of definition is The name of this blog is Early Retirement Extreme, but the question comes up again and again—at least often enough—whether I (or we) are really genuinely retired? According to the dictionary, being retired means having withdrawn from one’s professional occupation, which [...]This is a guest post from J_, a reader from the Netherlands. Despite the many comments that “I’m too old to retiree early”, ERE really is relevant for all ages and it’s never too late to start. (In fact ERE is particularly relevant for those who rely exclusively on diminishing payouts in real terms from [...]
Retiring to Arizona... What is not to like being able to play golf every day
Bonds are not the only method retirees can generate income; preferred shares are viable options as well to consider in your retirement financial planning. Preferred stock is a class of ownership inside a organization which generally has priority over typical stockholders on revenue and assets in the case of liquidation. Even though preferred stocks are [...]If words are corrupt, thinking is corrupted too. Hence, if you can change the meaning of an original word, you can change the way men think. I find this double-plus interesting. Recently, a new term has entered the field of personal finance: Sacrifice. Originally sacrifice means Giving something up to gain a better position. For [...]If you planned to retire in 5 years, but have hit hard times, you may be tempted to dip into one of your retirement plan accounts. Don’t unduly damage your retirement plan by randomly grabbing a distribution. Qualified retirement plans such as the 401(k), 403(b), 457, and an IRAs offer tax-deferred compounding of your savings [...]By: Clay Wyatt If you plan to leave your IRA to your beneficiaries (or if you die before it is empty), the IRS has specific rules for IRA distributions for your beneficiaries. Depending on each beneficiary’s relation to you and how you go about listing your primary and contingent beneficiaries, the rules on IRA distributions [...]This is what you should keep next to your bed (if you live in earthquake territory—the suggestions are good for fire as well though) Crowbar or wrecking bar Bath robe or similar “suit” that can be put on in two seconds. Sturdy work gloves Boots that can be put on in two seconds. As a [...]Most retirement financial planning advisers will advise you to invest your pension money in a varied selection of shares, because over a long period of time, this kind of portfolio could possibly outperform a varied collection of bonds. That could be great guidance, if you have time and energy to ride out stock exchange volatility. [...]I have mostly seen this within the context of backpacking, which in this modern age is known as “incredibly awesome minimalist traveling” or something, and institutionalized education. It is a surmountable problem which comes from the fact that most people treat these lifestyles, the traveling lifestyle and the student lifestyle as phases. Anyone who repeats [...]The “spousal problem” in this context refers to the problem of finding a partner who is as frugal as yourself, preferably not too frugal (crazy frugal) but also not not frugal enough (relatively wasteful). Many have expressed frustration over this in the forums. Fact 1: The majority of readers on this site are women. Fact [...]Three books will be given away. Three ways to participate. One catch: You have to demonstrate actual effort Rules are given in the linked post. Also read How I pulled in my early retirement by 20 years.The podcast covers and expands on a lot of what I talked about in the most recent post about peak oil, Kondratiev cycles, and generational turnings. We cover how different generations see retirement. We talk about the breakdown and rebuilding of societies, and how the economy and generations are influenced by this. How systems thinking [...]Can a Wife or Husband draw from the other’s Social Security benefits? Yes. Let’s look at a few different situations. Note that we have no intent to be sexist but to make these examples clear, we have assumed that the husband has earned more than the wife. Wife has never worked with example Your current [...]
Just which is the best home based business opportunity to support your retirement? Which factors matter most to you as you start a new enterprise? Consider this list.
Living cheap...do not let living cheap scare youTraditionally, about 50% of people eligible to collect Social Security at 62 do so. But if you do, you’ll receive about 25% less income (i.e. Social Security benefits) than waiting until your full retirement age – between 65 and 67 depending on your birthday. What implication does your early retirement have on your spouse? Everyone [...]
This post is about the taxes that retirees pay on their social security income and how to reduce it. Prior to 1984, all social security income was tax free. But the government decided it needed revenue and assessed a social security tax. The social security tax does not apply to the majority of social [...]