Thanks, Geoff. This is gold. Most people never hear this and end up either under funded in retirement or just barely getting by. Nothing good happens by chance. Plan ahead and save.
I retired early in 2019 at 59 1/2 and took money out of my smallish retirement account until I turned 62 and took SS., I do not have a mortgage or debt, and I live off of SS alone now. I do not buy into consumerism anymore and have no-buy months (since last Nov) whereas I pay fixed expenses and prop/school/local taxes.
Two most common mistakes 1) not saving, and 2) not understanding what savings is. Savings can be stocks, bonds, real estate, business investment, farm investment, etc. Saving should not be cash or money in a bank.
Before any of these techniques you need to not use credit cards. Putting $2000 into your 401k while putting $2000 on a credit card is not the greatest plan. When younger I made sure my credit cards were all zero once per year. Now I make sure they are all zero once or twice a month.
@@Steve-gx9ot We always did direct deposit into our savings account. Then pulled it out to pay our monthly expenses. We saved every dollar we could. When you have to make a withdrawal to spend money it makes you think twice or even three times about whether you really want/need to spend that money.
"Don't pay anything extra towards the mortgage until the IRA or the preferred Roth IRA (if allowed) maximum contribution amount for the year has been funded" ?
I have never followed a budget. Instead I look at my spending every month. And decide if I can reduce the spending in a certain area without increasing spending anywhere else. So I’m analyzing reality instead of writing down a dream I will not work towards.
Thanks, Geoff. This is gold. Most people never hear this and end up either under funded in retirement or just barely getting by. Nothing good happens by chance. Plan ahead and save.
Great advice with a calm reasoned demeanor. More of that is needed today.
Geoff I'm So Happy with your simple explanation I'm going to share with my children. I budgeted like your video. I'm So Happy I did!
Thank you for all your work for Us!
Thank you Geoffrey!
As always, outstanding and very informative video.
I retired early in 2019 at 59 1/2 and took money out of my smallish retirement account until I turned 62 and took SS., I do not have a mortgage or debt, and I live off of SS alone now. I do not buy into consumerism anymore and have no-buy months (since last Nov) whereas I pay fixed expenses and prop/school/local taxes.
Two most common mistakes 1) not saving, and 2) not understanding what savings is. Savings can be stocks, bonds, real estate, business investment, farm investment, etc. Saving should not be cash or money in a bank.
Thanks Jeff
Before any of these techniques you need to not use credit cards. Putting $2000 into your 401k while putting $2000 on a credit card is not the greatest plan.
When younger I made sure my credit cards were all zero once per year. Now I make sure they are all zero once or twice a month.
The first thing you need to do with your paycheck is to deposit it.
Use Direct Deposit
@@Steve-gx9ot We always did direct deposit into our savings account. Then pulled it out to pay our monthly expenses. We saved every dollar we could. When you have to make a withdrawal to spend money it makes you think twice or even three times about whether you really want/need to spend that money.
"Don't pay anything extra towards the mortgage until the IRA or the preferred Roth IRA (if allowed) maximum contribution amount for the year has been funded" ?
People hate budgeting because they perceive it as handcuffs.
Many, including myself, were never taught how to do a budget. It’s easier to learn now with so many social media sites.
I actually feel less anxious if I know what I have to work with and where it’s going.
I have never followed a budget. Instead I look at my spending every month. And decide if I can reduce the spending in a certain area without increasing spending anywhere else.
So I’m analyzing reality instead of writing down a dream I will not work towards.
My rule is SIMPLEST AND BEST.
YOU Need 2 life = food and shelter, PERIOD!
Save ALL the rest and use sparingly
Yes. I would add.
Food, shelter, transportation, medical.
Then education that can increase your future income.
Save everything else.
Save for the rainy days…we all have them unless your a billionaire
Same info as prior
It's not A.S.A.P., it should be pronounced ay-sap.
Either genius
I think A S A P is more descriptive. That is why I use it.
Um you do know it's an acronym for As Soon As Possible (A.S A.P.) right?
Do you say N.A.S.A., or do you say NASA?