FIRE Archives - Page 5 of 5

November 12, 2018January 22, 2022

Part 2: The CC Family Investing Strategy

Investing Strategy: Where Exactly is Our Money?

This is Part 2 in a series. Check out Part 1 for our investing strategy and asset allocation.

Now you have a sense of our investing strategy in terms of asset allocation, but that’s not helping you get started. Let’s take a look at some common investment “buckets” and how we are dividing out our investments.

It’s easy to get lost in the details, so let’s break it down to the basics right up front. No more paralysis by analysis. Below are our top five pillars of a sound investing strategy.

November 5, 2018January 22, 2022

Part 1: The CC Family Investing Strategy:

Philosophy and Asset Allocation

We’ve spoken now in shades of vagueness about our investments and investing strategy. We’re focused first and foremost on simply getting folks to save more. Begin with allocating the majority of your effort to increasing the gap between money in and money out. Slowly chip away, with a goal of spending less than half of your income. If you can make step-changes in this area, you are light years ahead of most Americans, and frankly most humans. So yeah, start there.

…We’re focused first and foremost on simply getting folks to save more.

The next element of this game is getting your new-found savings to start making money for you. Your traditional savings and checking accounts are not your friend. With an average interest rate on a typical savings account at 0.08% APY (!), your money is losing value over time as your courageous dollar fights a valiant, but fruitless battle against the tyrant forces of inflation (current inflation rate is around 2%). Remember, goods and services today will cost more next year. You either need more income or higher interest rates on your savings, just to keep up!

October 22, 2018November 29, 2018

Holier Than Thou: Why It’s Hard to Talk About Money

Discussing finances in America is about as appealing as using a rotary tool to cut your over-thickened and rotted toenails. I’ve never done that and my toenails are blue ribbon winners, but it sounds unappealing.

We’ve struggled over the past few years with sharing this major shift in our lives and what it means for our futures. One of the primary reasons for starting this site was to provide a platform to more deeply explain our philosophy and financial strategy, because frankly nobody wants to talk about money.

October 15, 2018October 24, 2019

We Lost Thousands of Dollars in the Stock Market, and That’s Okay.

The middle of October has been a wild ride for investors, with a drop of over 5% in the S&P 500 over two days, October 10th and 11th. Friday’s rally (October 12) offered a bit of a bounce-back, but much uncertainty remains regarding the near future of the United States economy. Our net worth took a hefty ding in just two days, so why bother with this stuff?

This week we’re going to step away from all that soft touchy-feely philosophical stuff and take a more technical look at investing and the psychology of betting your future on the stock market. Sound scary? It can be.

September 29, 2018September 28, 2018

Playing with FIRE

First off, don’t get accustomed to this sort of posting frequency!

I wanted to quickly announce the release of the Playing with FIRE documentary trailer that was uploaded yesterday. Simply put, this project has the potential to take this movement to the mainstream.

September 28, 2018March 17, 2019

Having Your Cake and Eating it Too: The Millionaire Dirtbag, Part 3:

When Am I Financially Independent?

This is Part 3 in the series. Check out Part 1 and Part 2 first!

Does this all sound intriguing but overwhelming? Perhaps you feel you haven’t set up your life to now embark on this journey. Let’s take a quick look at defining financial independence and a few first steps to get you on your way. Most important of all, let’s highlight the shockingly abbreviated timeframe for putting away serious amounts of money.

September 20, 2018August 8, 2021

Having Your Cake and Eating it Too: The Millionaire Dirtbag, Part 2.

Changing Focus

This is Part 2 in this series. Check out Part 1 here.

No matter your age (but especially if you are young), specific measures can be taken to drastically increase net worth. Generally speaking, in 10 years or less, you could be putting a traditional career in the rearview mirror, in a situation where your money now makes money for you. Your input is virtually no longer needed. The FIRE (Financial Independence/Retire Early) community pursuing this movement is loaded with brilliant minds who have gamed this system. All you have to do is make some simple — yet profound — decisions on how you structure your life. For us, these are the basics:

September 8, 2018December 22, 2018

The Goal of Clipping Chains: Linking Up Personal Finance and the Climbing World

Two facets of my life that keep me fully engaged are rock climbing and personal finance. I’m guessing you’ve come to this site because you are more interested in one of these seemingly unrelated subjects than the other, but I’ll slowly, hopefully, make the case that there are valuable lessons to learn from my experiences in wading deep into either respective…pool?