The Money Mission, LLC

A simple financial independence formula anyone can follow 👍

There’s a simple formula for financial independence: "FI Number"="Annual Expenses" /0.04

In plain terms, if you spend $50K/year → you need about $1.25M invested. From there, you plan how much you invest, how long you invest, how much risk you take, and how consistent you are. 💵

Clarity changes everything. 💡

If you’ve never calculated your number before, it’s worth doing. This is a great starting point to achieving your financial goals. 💰

Have a great weekend and I'll talk to you again soon. 🔥

The Hidden Financial Gap Between Military and Civilian Life 🪖🧑‍🏫

There’s a financial gap no one talks about when leaving the military.

In the military, housing, benefits, and family assistance are structured and predictable. In civilian life, everything is on you. Decisions multiply and mistakes get expensive. 💵

That transition catches people off guard. It's not due to a lack of intelligence; it's an unfamiliar environment that creates this. If you don’t replace the structure, things fall apart. 🔥

That’s why so many veterans feel lost financially after getting out.

What was the biggest challenge you faced as a transitioning service member? ⚖️

The Best Way to Get a Cash Advance 💵👍

I'm not an advocate for consumer loans, especially credit card loans. I always encourage saving first instead of borrowing. This is especially true in an emergency. 🚨

As a reminder, this is my personal opinion. This is not individualized investment or personal finance advice for you.

Sometimes we find ourselves in a pinch. If you need cash quickly and you don't have an emergency fund, one of the best ways is a personal loan with a bank. For example, Navy Federal Credit Union offers personal loans with interest rates as low as 9%. If your application is approved, you can receive the cash in one to three days. 🏦🤝 I'm not affiliated with NFCU and don't receive any compensation for mentioning them.

Avoid credit card cash advances if possible. Credit card interest rates can be as high as 20%+. 🚫

Ideally, save enough money so you can take care of emergencies without needing to borrow. 💰

Have a great day and I'll talk to you again soon! 🔥

Bonds Are Not a Safe Haven 🛟

For decades, U.S. investment grade bonds (particularly U.S. government treasury bonds) were seen as the safest investments in the world. In fact, graduate school business textbooks still refer to interest rates on U.S. treasury bonds as the risk-free rate. 📊

This view of bonds as a safety net is paired with the belief in the 60/40 investment portfolio strategy. This strategy involves investing 60% of your savings in stocks and 40% in bonds. It was a widely used default position for many long-term investors because it allowed for growth in the stock allocation and a safety net in the bond allocation. 💵

However, a large number of articles in financial media are now acknowledging the 60/40 portfolio is flawed. Many of these articles are stating that at best the 60/40 model is incomplete and at worst it's a completely broken system. 🚫

In my personal view, treasury bonds should never be viewed as a safe haven. They are simply a promise to repay in a fiat currency. There is nothing safe about that at all. I-Series savings bonds may provide better protection, but even these are not ideal. 💵

Now that inflation is becoming a more entrenched problem, the bond market is reacting negatively. For example, the Vanguard Total Bond Market Index ETF (BND) is down nearly 14% over the last five years. 📉

However, there is still more downside risk. We are likely to see an increase in interest rates and inflation, both of which are bad for bonds. Having some inflation-adjusted savings bonds can help, but it's smarter to seek safety in hard assets and other tangible goods. We'll talk about some new options in our next post. 📅

Have a great day and I'll talk to you again soon! 🔥

Five obstacles to financial success ✋

Most people think building wealth is about earning more. 💵

In reality, it’s often about avoiding a few very expensive mistakes. 🚫

Here are five that quietly destroy long-term financial progress:

1. Lifestyle creep 🚗🏘️

Every raise turns into a bigger house, nicer car, or higher monthly spending.

2. Waiting to invest 📈

The biggest advantage in investing isn’t skill — it’s time.

3. Ignoring the emergency fund 💥

Without cash reserves, every unexpected expense becomes debt or costly sales.

4. Buying assets you don’t understand ❓❓

If you can’t explain how it makes money, you probably shouldn’t own it.

5. Underestimating small percentages 📅

A 1% fee difference over decades can cost hundreds of thousands of dollars.

Personal finance isn’t about perfection. It’s about getting the big decisions mostly right and avoiding the few mistakes that compound against you. Wealth tends to come from boring consistency, not financial genius. 💡

What are the costliest mistakes you've seen?

Have a great day and I'll talk to you again soon. 🔥

Free Financial Counseling 👩‍🏫💵

If you have financial goals, you should consider finding a coach to help you. Contrary to popular belief, many coaches are available for free. Having an expert in your corner to assist with your long-term goals can be very effective. Here are a few examples. 🖐️

1. Unemployed 💰

The National Foundation for Credit Counseling offers some free personal financial coaching through their website. If you're currently unemployed or moving between jobs, you might consider their assistance in managing your budget. 📜

2. Large Corporations 🏦

Many Fortune 500 companies like United Health, Amazon, AT&T, and IBM offer employees free financial counseling as part of their benefits package. If you work for a large corporation, you should look into what financial services they provide. 💵

3. Veterans 🎖️

Former military can get free financial coaching through the Department of Veterans Affairs Veterans Benefits Banking Program. 💰

4. Active-duty military 🪖

Active military can get free financial counseling through Military One Source (MOS). 👍

Additionally, if you'd like guidance on how to save on health care costs, I'm launching my latest book "The Money Mission Guide to Healthcare Reform and Savings" in the next couple months. Comment below if you'd like to be on the pre-launch list. 📚👇

Have a great week and I'll talk to you again soon! 🔥

I-Bonds are still a good buy 💲👍📄

Today, the U.S. Treasury Department announced a new I-Bond composite interest rate of 3.11%. This includes a 1.2% fixed rate and a 1.9% inflation rate, good for the next six months. 📆

While this doesn't sound like a screaming deal, in reality I-Bonds are still a good buy. 💸

In May 2022, the I-Bond composite rate peaked at 9.62%. At the time, many investors poured money into them to capture a higher and safer yield. 📈

Today, a 3.11% rate doesn't look as attractive. But in reality it's actually even better today than in 2022.

I'll give an example. 💡

In 2022, the fixed rate was 0% and the inflation rate was 9.62%. The entire composite rate was made up of inflation rate interest. If an investor had a 1.2% fixed rate added in, they would have a composite rate of 10.82%. A higher fixed rate provides for a much better inflation hedge. 👍

Will inflation return to 2022 levels? We can't be sure. However, if it does by investing in I-Bonds now you will better protect your savings. Even if the inflation rate doesn't return to 9%, it will still be hedged against inflation at current levels and provide a safe investment.

Have a great day and I'll talk to you again soon. 🔥

Energy Value Investing ⛽

Oil is selling at a major discount when adjusted for inflation. As an example, the Energy Select SPDR ETF (XLE) is trading 10% below the nominal high set over six months ago. This is also the same price it was trading back in 2015. 📆

I do not receive any compensation for recommending XLE. I'm only using this ETF as an example. 💡

When you price XLE in gold, the discount is even more dramatic. Energy demand isn't going anywhere. With growing demand from an enlarged emerging markets middle class, an investment in energy today will serve an investor well for the long term. 💰

Have a great day and I'll talk to you again soon. 🔥

Cash in on Birthday Savings 🎁💰

Many businesses give birthday offers as a way to lure you into their store or restaurant.

For example, Benihana's offers a $30 birthday certificate if you register on their email list. P.F. Chang's offers a free appetizer during your birthday month. 📆

If you plan trips accordingly, you can take advantages of specials without spending a lot of money. 👇

Have a great day and I'll talk to you again soon. 🔥

Agribusiness Value Investing 🌽🥔

Analysts at Goldman Sachs now estimate the S&P 500 will produce an annual 3% rate of return over the next ten years. They also estimate that inflation will average 2% annually.

Assuming the actual inflation rate stays at 2%, is a 1% net annual return worth the risk? 💡

This is one of the reasons broad stock market index funds alone may not benefit investors today. You can certainly own S&P 500 index funds. However, due to their concentration in technology, they aren't as well diversified. 🚩

That's why balancing growth with value is very important. One area with great investment potential today is agriculture.

For example, the Van Eck Agribusiness ETF (MOO) holds companies Bunge SA, Ltd. (BG), Archer Daniels Midland (ADM), Tyson Foods (TSN), and Deere and Company (DE). MOO is down nearly 30% from its peak two years ago. When higher inflation returns, many of these companies will become much more valuable again. 💰

The reason inflation causes agricultural prices to rise is because food is a needs-based business. For example, consumers are more likely to pay higher prices for food than for entertainment. Many of them have no choice. This gives agribusinesses pricing power during inflationary times. It also results in the value of their companies rising proportionately. 📈

This is not a recommendation to buy MOO. Do your own research and consult with your financial advisor before making any investments. However, I do recommend having a balanced investment portfolio based on your own goals.

If you missed our value investing webinar, you can still watch it over the next couple days. Join our Money Mission Facebook group to learn more. 👇

Have a great week and I'll talk to you again soon! 🔥

Value Investing Webinar 🌎💵

As a reminder, at 6 pm Eastern Time this evening I'll host The Value Investing Webinar inside our Money Mission Facebook Group. We'll provide you some of the tools to reach your financial goals. 📅

If you'd like to join us, use the link below. 👇

Have a great day and I'll talk to you again soon! 🔥