WorthLife Balance

Sometimes, it's better to miss your goal...⁠
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At the start of 2022, we saw $120,000 as a money goal we could easily reach. But, as the year played out, we felt it was better to let the Worth-Life Balance seesaw tilt toward life a little more.⁠ ⚖️
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We spent more money on things like house additions, travel, eating out, etc. But, these are also things that let us spend more time together as a family.⁠ ❤️
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After going to Hawaii, our kids talk about them having a mansion there that we can come live in and won't have to clean or cook. Because my kids say that "we will have service".
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If a few extra thousand dollars in Hawaii was the investment toward that mansion, then I'll take it!⁠ 🔥
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We fell $17k short of our goal this year. But we’re healthy and happy, and doing great financially. And I’m cool with that.

Here's how we did it...⁠👀
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🔸In January: We maxed out our Roth IRAs. This account lets us put in money that has already been taxed, and we won't have to pay taxes on the money when we withdraw it after age 59 1/2.⁠
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You can put money directly into a Roth IRA if your income is under $138k for single or $218k for married tax filers. Since our income is higher, to get money into our Roth’s we have to do what's called a Roth Conversion or Backdoor Roth.
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🔹In March: I got a bonus and used some of that money to max out my 401k. As it turned out, I could've waited. At the time the market was down about 10%, but by October it was down 20%.⁠
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I don't try to time the market too much. For the most part, I just get the money out of my hands and into investments as soon as possible.⁠
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🔸The rest of the year was literally on autopilot. We have automatic contributions set up to invest money in our Health Savings Account (HSA) and 401k. So, we had a good amount of money getting invested when the market was lower.⁠

🔑You don’t have to max out accounts. Just focus on what you can control, get started and keep going.
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Having goals is good. Having a plan is better. Having a system that consistently executes on your plan, so you can enjoy other things in life is best.⁠ ⚖️ 📈
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Merry Christmas! Some investments can’t be automated. Having a thriving family takes work. But, it’s worth it.

30 years of vacations, including inflation. Here's how it works...⁠
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When you invest in stocks, you make money two ways:⁠
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1️⃣ When the price of stocks goes up⁠
2️⃣ When companies pay cash dividends⁠
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The price return + dividend = total return.⁠
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Well, for the last 50 years, the US stock market averaged an 11% annual total return, if you reinvested the dividends.⁠
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🔸Liam and Olivia invest $20k in a US stock fund, like the Vanguard Total US Stock Index (VTSAX), and do nothing else. They just let time and compounding interest work magic.⁠
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Will the next 50 years of the stock market look like the last 50? No one knows. It could be better or worse. ⁠
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But, what we do know is that so far, the US stock market has always gone up over the long-term and investing in something that increases in value is the best way to meet your future goals.⁠
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The best time to invest was 20 years ago. The second best time is today.⁠
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Do you feel prepared for a major setback?

The National Financial Educators Council reports that many people are not ready in great shape for a recession.

Save / Share. Here's advice that doesn't go out of style...⁠
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How long you invest matters. Starting early lets one of your biggest assets go to work for you.⁠ Time.⁠
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Even though Kaylah invests 40% less money, she still has almost 25% more money than Lilian, simply because she started earlier. 🤯⁠
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Everyone wishes they started earlier. What you don't want to do is look back in another 10 years and still be saying the same thing.⁠
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⚡️Some ideas to get started are to use Target Date Funds, index funds that track the S&P 500 or the entire US Stock market.⁠
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You'll see these funds in your 401(k), and IRA, or regular brokerage account. Vanguard and Fidelity are great places to open accounts.⁠
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Worried about a recession? Me too. I was also worried in 2008, 2020 and other times in between. 📈⁠
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But, sticking with a simple plan of investing every paycheck in index funds and living below your means (that part!) can have you on track for an early retirement.⁠ 💰⁠
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Recessions don't last forever. Keep putting money to work!

Save & Share this post for 2023...⁠
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When it comes to investing, it's common to wonder...What type of account can I use to invest my money?⁠
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Except for the Dependent Care Flexible Savings Account (FSA), the amounts listed are per adult.⁠
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There is an asterisk * on the 401(k) amount because if your job allows after-tax contributions, you may be able to contribute up to $61,000 in each year, if you're under under 50 years old.⁠
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Make your future self happy and start investing.⁠
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📈 The best time to invest was 20 years ago. The second best time is now.⁠
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This is my story too.⁠
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Ramsey Solutions reports that 3 out of 4 millionaires didn't get rich overnight. I started making $30,000 after college.
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Investing in yourself, growing your skills and taking a few risks is great. But, if you aren't investing money along the way...you're losing.⁠
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It's hard to beat time. Start making time work for you and do what's worked for many millionaires. Keep moving forward...⁠
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Save / Shared. It's giving Thanksgiving...⁠
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It can be awkward to ask people about money. So just say, “I saw this post that made me think of you” and ask the questions here. 👍🏿

With recession on everyone’s lips, millions of us will spend hours with family this week. Don't miss out on some real talk. It just might help someone you love.⁠
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Besides, it's better to make them talk about this, than having them ask you questions about your love life, or lack thereof. 🤣⁠
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Save & Share. But wait, there's more...⁠
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Here’s how today's money moves can make a generational impact.⁠ 📈⁠
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Let’s get the obvious out of the way. $120,000 probably isn't going to pay for 100% of college in 18 years. At the rate college costs have increased, it may be only enough to cover 50% at an in-state school. But, don't you wish you didn't have 50% of your student loans? ✅⁠
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Since, Brice got a full scholarship, his dad didn't have to use the money he'd been saving for him. By leaving the money invested, compound interest continued to grow the money he left in the account.⁠ 🤯⁠
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The $120k grew to over $1.3M for Deion's grandchild's college. This is like having $300k today. That’s magic. 🪄⁠
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So, don't worry about not being able to pay for all of college like you wished. Just control what you can, start the momentum and keep moving forward. 💰⁠
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Share / Save this for comparison.
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Personal savings rate is the percentage of your income that’s left over after your bills, expenses and taxes.

This rate is tracked to do a check-up on Americans' financial health and to help predict how much you'll keep spending and how much the economy will grow.⁠

How much should you savings rate be? It’ll depend on the person. Someone wanting to be able to retire in their 40s may invest 50%+ of their income. Someone else may do 20%. But, doing 5% probably will leave most people a short of their goals.
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The goal isn’t to save 100% of your income and have your life suck. The goal should be to live within your means and find happiness, while still giving you financial room to reach your money goals on time.

That’s Worth-Life Balance.

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A stank attitude needs life insurance.

Go on policygenius.com and get set up with some Term Life insurance. You’ll sleep better and won’t have the person you love, cussing at you in the grave. 💯

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