The Middle-Class Trap That Could Keep You From FIRE (How To Escape It) BiggerPockets Money podcast

55:46

If there’s an issue that keeps aspiring early retirees up at night, it’s the dreaded middle-class trap . At just 28 years old , this financially savvy couple is already looking for ways to avoid this issue. Whether you’re just starting your FIRE journey or approaching early retirement , we’ll show you how to do the same in today’s episode! Welcome back to the BiggerPockets Money podcast ! So far, Leah and Zach Landis are doing everything right. They earn high incomes , they spend very little , and they invest the difference . Well on their way to retiring early , they plan to quit their jobs by age 45 or sooner! But will their current asset allocation get in the way of their big goal? What kind of bridge will they need to tide them over until traditional retirement age ? Will having children impact their financial freedom ? Fortunately, Leah and Zach have all kinds of options. Tune in as Scott and Mindy dive into the couple’s budget and discuss their best path forward. Along the way, we’ll debate whether they should pause their 401(k) contributions , double down on brokerage accounts , and deploy their cash savings on their “dream” home ! In This Episode We Cover Breaking down Leah and Zach’s best path to FIRE by 45 (or sooner!) The middle-class trap explained and how to avoid (or escape) it The BEST ways to invest your cash and make it work harder for you How much you should expect to pay in taxes once you reach retirement When to stop growing your 401(k) plan (and where to invest instead) And So Much More! Links from the Show Mindy on BiggerPockets Scott on BiggerPockets Listen to All Your Favorite BiggerPockets Podcasts in One Place Join BiggerPockets for FREE Email Mindy: Mindy@biggerpockets.com Email Scott: Scott@biggerpockets.com BiggerPockets Money Facebook Group Follow BiggerPockets Money on Instagram “Like” BiggerPockets Money on Facebook BiggerPockets Money YouTube Channel BiggerPockets Money 219 - Syndications: Everything You Need to Know BEFORE You Invest Maximize Your Real Estate Investing with a Self-Directed IRA from Equity Trust Get $100 Off Your Tickets to BPCON2025 in Las Vegas, Nevada Buy the Book “Rich Dad Poor Dad” Sign Up for the BiggerPockets Money Newsletter Find an Investor-Friendly Agent in Your Area BiggerPockets Money 456 - The Harsh Reality Real Estate Syndications (and Investors) Face in 2024 Connect with Leah Connect with Zach (00:00) Intro (01:05) Leah & Zach’s Money Journey (08:20) Money Snapshot (12:27) Buying the “Dream” Home (18:33) Best Ways to Invest Cash (26:51) Avoiding the Middle-Class Trap (36:28) Maxing Out the 401(k) & HSA (47:06) Don’t Get Trapped! Check out more resources from this show on BiggerPockets.com and https://www.biggerpockets.com/blog/money-613 Interested in learning more about today’s sponsors or becoming a BiggerPockets partner yourself? Email advertise@biggerpockets.com Learn more about your ad choices. Visit megaphone.fm/adchoices…

BiggerPockets Money Podcast

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The Tax-Free Retirement Strategy 95% of Americans Don’t Know About 1:06:10

6 days ago1:06:10

1:06:10

The wealthy are using one unique retirement account to build their fortunes tax-free. You may have never heard of it, but knowing about it can change the course of your retirement planning, allowing you to invest in much more than stocks, index funds , and bonds in your retirement accounts. We’re talking about making passive real estate income tax-deferred , flipping houses and sheltering the profits for when you retire, or having a rental property portfolio producing massive passive income , all with the tax benefits of your 401(k), IRA, or Roth IRA. We’re, of course, talking about the self-directed IRA (SDIRA) and the sizable benefits that come with it. To help, John Bowens (Certified IRA Services Professional) from Equity Trust is on the show to share the tax advantages most Americans have zero clue about . Scott starts the interview by coming in hot, throwing out his most significant objections to an SDIRA . We were even surprised by just how many benefits this single account has and how you can use it in ways most people would never assume of a retirement account. We’re talking about how to buy rental properties IN your retirement accounts (and profit from them tax-free/deferred), whether a self-directed IRA or 401(k) makes the most sense for you, the “material participation” rule that you CANNOT afford to break, and how much this account costs to set up. This is a game-changing account for retirees who want to live a rich life, so do not skip out on it! In This Episode We Cover Scott’s biggest objections to the self-directed IRA (is he wrong?) How to get tax-free/deferred passive income from real estate in your retirement accounts The one tax that you MUST know about before investing in an SDIRA Can you get a mortgage for a rental property in an SDIRA ? How much an SDIRA costs to set up and keep going (less than you’d think) And So Much More! Links from the Show Mindy on BiggerPockets Scott on BiggerPockets Listen to All Your Favorite BiggerPockets Podcasts in One Place Join BiggerPockets for FREE Email Mindy: Mindy@biggerpockets.com Email Scott: Scott@biggerpockets.com BiggerPockets Money Facebook Group Follow BiggerPockets Money on Instagram “Like” BiggerPockets Money on Facebook BiggerPockets Money YouTube Channel How to Access Retirement Funds Early Maximize Your Real Estate Investing with a Self-Directed IRA from Equity Trust Want More Smart Tax Strategies? Grab “The Book on Tax Strategies for the Savvy Real Estate Investor” Sign Up for the BiggerPockets Money Newsletter Find Investor-Friendly Lenders The Self-Directed IRA: What You Should Know About This Wealth-Building Tool Connect with John (00:00) Intro (08:26) Tax-Free Real Estate Gains (16:45) One Tax to Watch Out For (19:59) Self-Directed 401(k)s vs. IRAs (27:36) Making $34,000 Tax-Free! (30:42) The "Material Participation" Risk (35:41) Financing Rentals in an SDIRA (39:40) SDIRA Fees and Costs (50:05) Completely Passive Income (51:56) Active Investing in an SDIRA Check out more resources from this show on BiggerPockets.com and https://www.biggerpockets.com/blog/money-612 Interested in learning more about today’s sponsors or becoming a BiggerPockets partner yourself? Email advertise@biggerpockets.com Learn more about your ad choices. Visit megaphone.fm/adchoices…

BiggerPockets Money Podcast

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Scott and Virginia Trench Talk Goal Setting, Spending, Prenups, and Future Plans 43:59

10 days ago43:59

43:59

How has Scott achieved so much financial success already in his early 30s? He’s got a secret weapon nobody else has: Virginia Trench ! That’s right, the woman behind half of the puns you hear on this podcast is coming on the show! She's sharing her view on Scott’s early (and extreme) frugality, massively successful financial planning dates , goal setting as a couple , prenuptial agreements , and the Trenches’ recent decision to sell a solid chunk of their index fund portfolio . Virginia met Scott before he was CEO , before he had a sizable rental portfolio , and before he became one of the internet’s favorite money nerds. Together, they’ve worked hand-in-hand, building a FI lifestyle that fits their family while chasing their own individual dreams, including Virginia becoming a published author with her new book, Our Secrets Were Safe , coming out this summer! In this episode, we peel back the curtain and get a glimpse into how Scott and Virginia run the Trench household and its finances. What’s the one thing they have trouble not spending on? What is their repeatable process for achieving enormous financial goals ? And is Scott secretly the world’s worst/best baker? If you’re a long-time listener, this is an episode you can’t miss! In This Episode We Cover The repeatable money date that Scott and Virginia use to keep their family finances in shape Goal setting as a couple and how to reach seemingly impossible milestones Prenuptial agreements and why Scott and Virginia would recommend one for couples What Virginia thinks about Scott’s recent decision to sell off their index funds The one spending problem that Scott and Virginia both admit they struggle with And So Much More! Links from the Show Mindy on BiggerPockets Scott on BiggerPockets Listen to All Your Favorite BiggerPockets Podcasts in One Place Join BiggerPockets for FREE Email Mindy: Mindy@biggerpockets.com Email Scott: Scott@biggerpockets.com BiggerPockets Money Facebook Group Follow BiggerPockets Money on Instagram “Like” BiggerPockets Money on Facebook BiggerPockets Money YouTube Channel BiggerPockets Money 301 - Why You’re (Probably) Wrong About Prenups Preorder Virginia’s New Book, “Our Secrets Were Safe” Grab Scott and Mindy’s Book, “First-Time Home Buyer” Sign Up for the BiggerPockets Money Newsletter Find an Investor-Friendly Agent in Your Area BiggerPockets Money 607 - Has the FIRE Formula Changed? Why 100% Index Funds Isn’t the Answer (00:00) Intro (01:47) Super Frugality and FIRE Goals (04:57) Spending and Blind Spots (08:42) Getting a Prenup (12:08) Financial Planning Dates (17:08) Goal Setting 101 (24:57) Scott Goes Coconuts (321:05) Selling Index Funds (35:49) Grab Virginia’s Book! Check out more resources from this show on BiggerPockets.com and https://www.biggerpockets.com/blog/money-611 Interested in learning more about today’s sponsors or becoming a BiggerPockets partner yourself? Email advertise@biggerpockets.com Learn more about your ad choices. Visit megaphone.fm/adchoices…

BiggerPockets Money Podcast

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Teacher Retires Early at 45 Thanks to Strategic Living (FIRE in Paradise!) 1:00:09

13 days ago1:00:09

1:00:09

Teachers aren’t known for their high salaries , so how did this one reach early retirement and FIRE at just 45 years old ? Through “aggressive” saving and smart cost-of-living choices, Amy Minkley was able to quit her demanding international teaching job only three years after finding out about the FIRE movement . Now, she spends her days living in paradise and hosting “ FI Freedom Retreats ” once or twice a year for like-minded FIRE-chasers. To reach FIRE in your 40s , you must make some strategic moves like Amy. Thankfully, you don’t need to make six figures to retire early in 2025. Throughout Amy’s career, she never entered the “high income” threshold but could still save aggressively, thanks to the perks of teaching at international schools. We’re talking free rent, subsidized travel, and plenty of paid vacation. But it wasn’t always the dream life that it sounds like. Amy had constant stress and was routinely feeling burned out , forcing her to take multiple sabbaticals , change where she lived, and deal with some of the money trauma that had plagued her past. Now, she’s FIRE, thriving, and living entirely on her terms. You can (and should) do it, too! In This Episode We Cover How to reach FIRE in your 40s even if you feel like it’s too “late” for you Why teachers should look into teaching abroad to save a significant portion of their income Investing from abroad and what to do when you have little-to-no social security contributions How much cash you should keep on hand when you’re ready to retire early Living off the three percent rule (instead of the traditional four percent rule ) by moving to low-cost-of-living areas Why you must take a sabbatical at least once in your working career And So Much More! Links from the Show Mindy on BiggerPockets Scott on BiggerPockets Listen to All Your Favorite BiggerPockets Podcasts in One Place Join BiggerPockets for FREE Email Mindy: Mindy@biggerpockets.com Email Scott: Scott@biggerpockets.com BiggerPockets Money Facebook Group Follow BiggerPockets Money on Instagram “Like” BiggerPockets Money on Facebook BiggerPockets Money YouTube Channel Save $100 on Real Estate’s Biggest Event of the Year, BPCon2025 Reach FIRE Faster with "Set for Life" Sign Up for the BiggerPockets Money Newsletter Find an Investor-Friendly Agent in Your Area From Making $40K/Year as a Teacher to Reaching FI in 4 Years by Doing THIS Connect with Amy Check out more resources from this show on BiggerPockets.com and https://www.biggerpockets.com/blog/money-610 Interested in learning more about today’s sponsors or becoming a BiggerPockets partner yourself? Email advertise@biggerpockets.com Learn more about your ad choices. Visit megaphone.fm/adchoices…

BiggerPockets Money Podcast

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Finance Friday: Chasing FIRE by 35 WHILE Supporting Extra Family Members 1:07:27

17 days ago1:07:27

1:07:27

Is something stopping your FIRE ? Today’s guest wants to retire early at 35 , but with a shaky budget , extra expenses , and a problematic rental property , her path to early retirement isn’t clear. In today’s episode, we’ll break down her finances and help her get back on track ! Welcome back to the BiggerPockets Money podcast ! Sarah earns a great salary and diligently saves for retirement each month. You’d think she’s on pace to leave her W2 job in a few years, but there’s one problem—she has more expenses than the average person. Financially responsible for two extra family members, Sarah pays for their mortgage , food , and lifestyle , all while covering her own expenses! Does Sarah’s financial situation need a major shake-up? Tune in as Scott and Mindy debate whether it’s time for Sarah to part with a property that’s bleeding money , strategize about when to put it on the market , and discuss what to do with the money from the sale. We’ll also touch on the tough conversations Sarah needs to have with family members if she wants to achieve her retirement goal ! In This Episode We Cover The three things Sarah must do to achieve her goal of FIRE by 35 How to reach your financial goals despite extra expenses What to do with a rental property that has negative cash flow The BEST time to put an investment property on the market How to budget for future children ( family planning 101 !) And So Much More! Links from the Show Mindy on BiggerPockets Scott on BiggerPockets Listen to All Your Favorite BiggerPockets Podcasts in One Place Join BiggerPockets for FREE Email Mindy: Mindy@biggerpockets.com Email Scott: Scott@biggerpockets.com BiggerPockets Money Facebook Group Follow BiggerPockets Money on Instagram “Like” BiggerPockets Money on Facebook BiggerPockets Money YouTube Channel Find Investor-friendly Tax and Financial Experts Maximize Your Real Estate Investing with a Self-Directed IRA from Equity Trust Achieve FIRE with Scott’s Book, “Set for Life” Sign Up for the BiggerPockets Money Newsletter Find an Investor-Friendly Agent in Your Area BiggerPockets Money 12 – How to Become an “Overnight” Success in 10 Short Years with David Greene Check out more resources from this show on BiggerPockets.com and https://www.biggerpockets.com/blog/money-609 Interested in learning more about today’s sponsors or becoming a BiggerPockets partner yourself? Email advertise@biggerpockets.com Learn more about your ad choices. Visit megaphone.fm/adchoices…

BiggerPockets Money Podcast

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CPA Shares Tax Tips to Lower Your 2024 (Yes, 2024) Taxes 47:48

20 days ago47:48

47:48

2024 may be long gone, but it’s NOT too late to lower your taxes for the previous year. If you have real estate or retirement accounts , you already hold the key to minimizing your taxable income and owing less to Uncle Sam. But how do you do it? We’re sharing 2024 and 2025 top tax reduction strategies in today’s show with expert CPA and real estate investor Amanda Han ! Do you know about the real estate tax “loophole” that helps everyday investors cut their taxable income by tens of thousands? Got an employer-contributed retirement plan? You could STILL use it to lower your 2024 taxes ! And why should you NOT take the standard deduction if you’ve bought a home in the past few years? We’re answering all of these questions so you can keep more of your hard-earned money. Finally, what audit red flags is Amanda seeing with her clients? There’s one easily avoidable audit trap that MANY Americans are falling into that could take just minutes to circumvent. Should we even be talking about income taxes if President Trump plans to eliminate them? Amanda, Mindy, and Scott are sharing their opinions on whether this will reach fruition. In This Episode We Cover How to save on your 2024 tax bill and moves to make before Tax Day 2025 The easily avoidable audit red flag that Amanda has seen spike lately The real estate tax deduction that could save those earning $150K or less tens of thousands Most commonly missed tax write-offs that many Americans can take but forget about Will President Trump abolish income taxes during his second term? Whether to pay your estimated taxes OR invest instead and take the interest hit And So Much More! Links from the Show Mindy on BiggerPockets Scott on BiggerPockets Listen to All Your Favorite BiggerPockets Podcasts in One Place Join BiggerPockets for FREE Email Mindy: Mindy@biggerpockets.com Email Scott: Scott@biggerpockets.com BiggerPockets Money Facebook Group Follow BiggerPockets Money on Instagram “Like” BiggerPockets Money on Facebook BiggerPockets Money YouTube Channel Find Investor-friendly Tax and Financial Experts Buy Amanda’s Book, “The Book on Tax Strategies for the Savvy Real Estate Investor” Find Investor-Friendly Lenders Tax Audit Tips Connect with Amanda (00:00) Intro (00:56) You Can STILL Save on 2024 Taxes (05:54) Lowering Your Taxable Income (10:27) You Can STILL Contribute for 2024! (14:22) Estimating Your Taxes (16:22) Itemizing vs. Standard Deduction (18:21) Commonly Overlooked Write-offs (21:41) Audit Red Flags! (23:06) Will Tax Rates Rise or Fall? (28:03) Opportunity Zones Have Changed (31:08) How to Prepare for 2024/2025 (35:15) Connect with Amanda! Check out more resources from this show on BiggerPockets.com and https://www.biggerpockets.com/blog/money-608 Interested in learning more about today’s sponsors or becoming a BiggerPockets partner yourself? Email advertise@biggerpockets.com Learn more about your ad choices. Visit megaphone.fm/adchoices…

BiggerPockets Money Podcast

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Has the FIRE Formula Changed? Why 100% Index Funds Isn’t the Answer 39:15

24 days ago39:15

39:15

Is a 100% index fund portfolio no longer the FIRE formula? The market has changed, and maybe your portfolio allocation needs to change with it. With index funds at all-time-high prices and price-to-earnings ratios at an eye-watering 29 , you might be feeling a bit worried about whether your FIRE will last or you’ll even make it to FIRE in the first place. You’re not crazy; Scott is feeling the same way, too. Recently, Scott decided to make a move much of the FIRE community would protest— he sold 40% of his index fund portfolio to reallocate to real estate. Why did he do it now, even as a strong index fund believer? On the other hand, why is Mindy sticking with her stock and index fund portfolio, ready to ride out whatever potential market downturn could be coming our way? Scott explains, in detail, why real estate is a better choice for him at the moment , the reason prudent FIRE chasers should question the conventional wisdom of a 100% index fund portfolio , and why his new rental property could act as a hedge against a significant market downturn. If Scott is selling his index funds, should you? In This Episode We Cover The historical price-to-earnings ratios making index funds a riskier bet How holding 100% index funds could throw your FIRE off by a decade The optimal portfolio for retiring early on the four percent rule Is real estate a safer bet than stocks in 2025? Real estate cash flow vs. selling stocks for income and why one is much easier to actualize And So Much More! Links from the Show Mindy on BiggerPockets Scott on BiggerPockets Listen to All Your Favorite BiggerPockets Podcasts in One Place Join BiggerPockets for FREE Email Mindy: Mindy@biggerpockets.com Email Scott: Scott@biggerpockets.com BiggerPockets Money Facebook Group Follow BiggerPockets Money on Instagram “Like” BiggerPockets Money on Facebook BiggerPockets Money YouTube Channel Personal Finance Club Get Early Access to Real Estate’s Biggest Event of the Year, BPCON2025 Get to FIRE Faster with “Set for Life” Find an Investor-Friendly Agent in Your Area BiggerPockets Money 599 - The Macro Analysis is Clear: Why We Are Reallocating (Away From Stocks) to Real Estate in 2025 Check out more resources from this show on BiggerPockets.com and https://www.biggerpockets.com/blog/money-607 Interested in learning more about today’s sponsors or becoming a BiggerPockets partner yourself? Email advertise@biggerpockets.com Learn more about your ad choices. Visit megaphone.fm/adchoices…

BiggerPockets Money Podcast

1
The Points Guy's Travel Hacking Tips to Fly for FREE in 2025 48:32

27 days ago48:32

48:32

Travel hacking allows you to fly and travel for free , often in luxury, without spending tens of thousands of dollars on flights or hotels. So, how do you do it without managing thirty different credit cards in your wallet? Brian Kelly, AKA The Points Guy , world-renowned travel hacking expert and author of the new book How to Win at Travel , is here to show you as we rapid-fire our top credit card rewards questions at him. In this show, you’ll learn how to fly to Europe, Asia, and beyond for FREE , even in business class, all by spending the same amount of money you typically would every month. These cards can turn your weekly grocery run into free flights, hotel stays, cashback , and more, plus give you huge perks like airport lounge access, travel protection, and even a credit to spend on your next trip. Love free money? This is how you get it. Plus, we’re asking The Points Guy what cards he has in HIS wallet , what he spends on which card, and why he does NOT recommend staying loyal to a specific airline, even if you travel often. These tips alone could save you thousands of dollars this year while turning your economy seat into a lie-flat first-class experience. Don’t let your money go to waste; start travel hacking! In This Episode We Cover How to travel for free by spending money on groceries , eating out, and business expenses The Points Guy’s three favorite credit cards that everyone should keep in their wallet Why you (probably) shouldn’t stay loyal to a specific airline, even if you have their credit card Why Chase points can get you even MORE free travel than American Express points Evaluating annual credit card fees and whether a $300+/year credit card is worth it Best credit cards for renters and those who live a frugal lifestyle (but still want to travel!) And So Much More! Links from the Show Mindy on BiggerPockets Scott on BiggerPockets Listen to All Your Favorite BiggerPockets Podcasts in One Place Join BiggerPockets for FREE Email Mindy: Mindy@biggerpockets.com Email Scott: Scott@biggerpockets.com BiggerPockets Money Facebook Group Follow BiggerPockets Money on Instagram “Like” BiggerPockets Money on Facebook Point.me Seats.aero Get Early Access to Real Estate’s Biggest Event of the Year, BPCON2025 Learn to Save and Spend the Right Way with “Set for Life” Find an Investor-Friendly Agent in Your Area How to Earn Free Vacations With Travel Rewards Credit Cards (00:00) Intro (01:39) Travel for FREE! (06:06) Best Credit Cards for Beginners (13:48) Annual Fees (17:56) Brian’s Favorite Credit Cards (20:51) Airline and Hotel Partner Cards (27:49) Keeping Track of Cards (29:34) Best First Card? (31:21) Cards for Low-Spenders (34:03) Inheriting Points? (36:52) WIN at Travel! (39:01) Get Your Points! Check out more resources from this show on BiggerPockets.com and https://www.biggerpockets.com/blog/money-606 Interested in learning more about today’s sponsors or becoming a BiggerPockets partner yourself? Email advertise@biggerpockets.com Learn more about your ad choices. Visit megaphone.fm/adchoices…

BiggerPockets Money Podcast

1
The 4% Rule Naysayers Are Wrong (We Retired at 47 Using It!) 48:17

4 weeks ago48:17

48:17

Does the four-percent rule actually work? On paper, yes. So why don’t more people put it to the test? Today’s guest retired at forty-seven years old and is living proof that the math really does check out. Stay tuned to find out how! Welcome back to the BiggerPockets Money podcast ! Bobby Beck has done what so many in the FIRE community are seemingly unable to do—he actually retired on the four-percent rule! What’s more? He did it while living in the Bay Area , one of the most expensive markets in the US. What gave him the confidence to leave his job and never look back? While “One More Year Syndrome” keeps many people from retiring early , Bobby’s mantra of “take a year” compelled him to take a leap of faith. Even though his retirement portfolio took a sixteen-percent hit right before he retired, he weathered the storm, and sure enough, the market rebounded! Now, Bobby lives the life people dream of when they discover FIRE. He has a comfy lifestyle , travels multiple times a year , and only checks his portfolio once a month. If you need the motivation to call time on your career and put your retirement date on the calendar, you don’t want to miss this episode! In This Episode We Cover How Bobby and his wife retired on the four-percent rule (at age 47!) Why the FIRE community overestimates how much they’ll owe in taxes How to beat “One More Year Syndrome” and actually retire early Growing your brokerage accounts and cash to avoid the middle-class trap The portfolio allocation that will give you the confidence to retire And So Much More! Links from the Show Mindy on BiggerPockets Scott on BiggerPockets Listen to All Your Favorite BiggerPockets Podcasts in One Place Join BiggerPockets for FREE Email Mindy: Mindy@biggerpockets.com Email Scott: Scott@biggerpockets.com BiggerPockets Money Facebook Group Follow BiggerPockets Money on Instagram “Like” BiggerPockets Money on Facebook Sign Up for BiggerPockets Momentum 2025 to Reach FIRE Faster Maximize Your Real Estate Investing with a Self-Directed IRA from Equity Trust Learn How to Retire Early with Scott’s Book “Set for Life” Find an Investor-Friendly Agent in Your Area How Much Do You Need for Early Retirement? (How to Calculate Your FI Number) (00:00) Intro (01:03) Retired at 47! (05:49) Bobby’s Portfolio (08:35) Real Estate Investments (17:05) Withdrawals & Tax Strategies (26:45) 100% Stock Portfolio (34:36) What Does Your Life Cost? (39:47) The 4% Rule Works! Check out more resources from this show on BiggerPockets.com and https://www.biggerpockets.com/blog/money-605 Interested in learning more about today’s sponsors or becoming a BiggerPockets partner yourself? Email advertise@biggerpockets.com Learn more about your ad choices. Visit megaphone.fm/adchoices…

BiggerPockets Money Podcast

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Sahil Bloom: The “X Factor” for Financial Freedom and Why FIRE Won’t Make You Happy 59:24

5 weeks ago59:24

59:24

Do we focus too much on just one type of wealth ? What if the key to a happy life isn’t retiring early , ascending the corporate ladder , or having more money than you know what to do with? Serial entrepreneur Sahil Bloom spent years chasing money, only to find that it didn’t provide happiness—it robbed him of it. Find yourself in the same boat? This episode is for you! Welcome back to the BiggerPockets Money podcast ! Today, Sahil joins the show to discuss the core concepts from his latest book, The 5 Types of Wealth . Many FIRE -focused folks believe that financial wealth unlocks time, social, mental, and physical wealth, but Sahil is living proof that this isn’t the case. In this episode, he shares about his own journey from financial illiteracy to financial independence , the different levers he pulled along the way, and how he was able to dig himself out of a rut that was slowly destroying his life. Whether you’re stuck on the happiness hamster wheel, burned out at your nine-to-five job , or lacking in any area beyond money, you’re not alone! Sahil will show you the “ x factor ” that leads to financial freedom , the best and most scalable side hustles to start, and how to transition from your W2 to entrepreneurship ! In This Episode We Cover The five types of wealth explained (and why you shouldn’t focus on just one!) The “ x factor ” that catapults you from a decent living to financial freedom Why increasing your income is more important than controlling your expenses The number one thing the FIRE community gets wrong about building wealth How anyone can start (and scale) their own online business in 2025 Steps every person must take to lay a strong financial foundation The “safety net” you need when moving from stable W2 income to entrepreneurship And So Much More! Links from the Show Mindy on BiggerPockets Scott on BiggerPockets Listen to All Your Favorite BiggerPockets Podcasts in One Place Join BiggerPockets for FREE Email Mindy: Mindy@biggerpockets.com Email Scott: Scott@biggerpockets.com BiggerPockets Money Facebook Group The 5 Types of Wealth Sahil’s Instagram Try REsimpli, The Only All-In-One Real Estate Investor CRM Software That Helps You Manage Data, Marketing, Sales, and Operations Buy the Book “Pillars of Wealth” Find an Investor-Friendly Agent in Your Area How to Build, Grow, Scale, & SELL Your Online Business (00:00) Intro (01:02) Sahil’s Money Journey (03:18) Building a Financial Foundation (13:29) Leaving the Fund & Moving Home (21:43) The “Scalability” of the Internet (28:09) Structuring His Company (33:18) The 3 Pillars of Financial Wealth (39:09) Riding Out the Market (43:40) The 5 Types of Wealth (46:08) Connect with Sahil! (47:03) Build “Well-Rounded” Wealth! Check out more resources from this show on BiggerPockets.com and https://www.biggerpockets.com/blog/money-604 Interested in learning more about today’s sponsors or becoming a BiggerPockets partner yourself? Email advertise@biggerpockets.com Learn more about your ad choices. Visit megaphone.fm/adchoices…

BiggerPockets Money Podcast

1
How to FIRE Faster with a Self-Directed IRA 55:45

5 weeks ago55:45

55:45

How can you use your retirement accounts to reach FIRE faster ? We’ve talked a lot about the “ middle-class trap ” —having too much of your net worth trapped in your retirement accounts and home equity—and we may have the secret weapon to help you escape it . Not only that, this strategy allows you to keep more of what you earn, take control of your investments, and build a (relatively) passive real estate portfolio while you get closer and closer to FIRE. Of course, we’re talking about self-directed IRAs and Kaaren Hall ’s new book, Self-Directed IRA Investing: A BiggerPockets Guide (use code “SDIRA10” for 10% off)! Never heard of them? Self-directed IRAs (SDIRAs) are retirement accounts that give you more control over what you invest in . So, instead of just stocks and bonds, you can use your retirement funds to buy rental properties , become a passive private money lender, and invest in real estate syndications. These investments can often get higher returns than stock market averages, helping you reach your retirement goals faster! So, how do you use it to escape the middle-class trap? Today, Kaaren shares some of the often overlooked strategies to withdraw early from your self-directed IRA so you can FIRE in your forties or fifties instead of waiting until your sixties! In This Episode We Cover Self-directed IRAs explained, plus why they’re a “secret weapon” for retirement Self-directed IRAs vs. traditional IRAs and what you can invest in with each Escaping the “middle-class trap” with early withdrawal strategies for retirement accounts Completely passive real estate investments you can put inside your self-directed IRA How to turn your old employer-sponsored retirement account into a self-directed IRA And So Much More! Links from the Show Mindy on BiggerPockets Scott on BiggerPockets Listen to All Your Favorite BiggerPockets Podcasts in One Place Join BiggerPockets for FREE Email Mindy: Mindy@biggerpockets.com Email Scott: Scott@biggerpockets.com BiggerPockets Money Facebook Group uDirect IRA Get fast, affordable landlord insurance with Steadily BiggerPockets Money Listeners Get 10% Off the Book with Code “SDIRA10” Property Manager Finder Finance Friday: How the “Middle-Class Trap” Stops Your Early Retirement Connect with Kaaren (00:00) Intro (01:23) Self-Directed IRAs Explained (05:49) Buy Real Estate with Retirement Accounts! (10:37) Opening a Self-Directed IRA (13:55) Escaping the Middle-Class Trap (17:41) Real Estate IRA Rules (20:52) Best Alternative Investments (23:56) 401(k) vs. IRA and Minimum Distributions (27:57) Withdraw from Your IRA for FIRE! (34:49) Self-Directed HSAs! (Timestamp) (36:59) When to Use a Self-Directed IRA (41:48) 403(b)s and TSPs (43:20) BIG Changes! (48:20) Grab the Book! Check out more resources from this show on BiggerPockets.com and https://www.biggerpockets.com/blog/money-603 Interested in learning more about today’s sponsors or becoming a BiggerPockets partner yourself? Email advertise@biggerpockets.com Learn more about your ad choices. Visit megaphone.fm/adchoices…

BiggerPockets Money Podcast

1
The Middle-Class Trap That Could Keep You from FIRE (How to Escape It) 41:46

6 weeks ago41:46

41:46

Buying a house , maxing out your 401(k) , and leveraging real estate can help you achieve financial independence . But suppose your goal is to retire early . Could relying too heavily on these principles actually delay early retirement ? Today, we’re going to show you how to break free from the “ middle-class trap ” that stops so many from retiring early! Welcome back to the BiggerPockets Money podcast ! Is most of your net worth “stuck” in home equity and retirement accounts ? This is a widespread issue in the FIRE community. On one hand, you could sell your home or refinance your mortgage to tap into your equity, but interest rates are too high! Meanwhile, you can’t withdraw money from your 401(k)—not without incurring severe penalties. In theory, you could already be a millionaire but have little to no cash flow to fuel your retirement. So, what should you do? In this episode, you’re going to learn all about the middle-class trap, how to avoid it, and, if you’re in it, how to get out! Mindy and Scott will share the “ideal” portfolio for an early retiree and the bridge accounts you need to retire today. Finally, is the FIRE community wrong about the 100% index fund portfolio ? Stay tuned to find out! In This Episode We Cover The middle-class trap explained and how to avoid (or escape) it The “ideal” investment portfolio for the early retiree Tweaking your asset allocation to achieve financial freedom The power of owning a paid-off rental property in retirement Bridge accounts and investments that will allow you to retire today Why a 100% index fund portfolio could come back to bite you And So Much More! Links from the Show Mindy on BiggerPockets Scott on BiggerPockets Listen to All Your Favorite BiggerPockets Podcasts in One Place Join BiggerPockets for FREE Email Mindy: Mindy@biggerpockets.com Email Scott: Scott@biggerpockets.com BiggerPockets Money Facebook Group Land More Off-Market Deals with Crucial Property Owner Contact Information from DealMachine Achieve FIRE with Scott’s Book “Set for Life” Find Investor-Friendly Lenders BiggerPockets Money 554 - Should I Pay Off My Mortgage or Invest? (We Did the Math) (00:00) Intro (00:42) What Is the Middle-Class Trap? (03:42) The “Ideal” Retirement Portfolio (10:31) Scott’s Path to Financial Freedom (16:13) Mindy’s Early Retirement Roadmap (24:12) The Power of Paid-Off Property (29:18) Middle-Class Trap “Timeline” (33:55) Share YOUR Portfolio! Check out more resources from this show on BiggerPockets.com and https://www.biggerpockets.com/blog/money-602 Interested in learning more about today’s sponsors or becoming a BiggerPockets partner yourself? Email advertise@biggerpockets.com Learn more about your ad choices. Visit megaphone.fm/adchoices…

BiggerPockets Money Podcast

1
The One Thing Most FIRE Chasers Get Wrong (and Later Regret in Retirement) 46:59

6 weeks ago46:59

46:59

Why do so many in early retirement struggle with happiness ? We know you’ve told yourself, “ Once I hit FIRE, I’ll be living the dream! Every day will be like a vacation.” This is what Mindy was telling herself for years before becoming financially independent, and once she hit her goal, she realized life’s same problems still exist. If you’re FI already, this may sound familiar. So, how do you enjoy the path to early retirement so that when you reach your financial goal , the party doesn’t stop? Jordan Grumet , AKA Doc G , practiced full-time medicine for years but wasn’t completely satisfied, even with financial success. After reflecting on his “purpose,” he found that hospice medicine brought him true fulfillment. Through conversations with patients on their deathbeds , Jordan uncovered a common thread: most regrets stemmed from not living a purposeful life , regardless of financial achievement. In his new book, The Purpose Code , Jordan walks you through exercises that uncover your view on purpose, success, financial freedom, and what it means to truly “win” in life . His goal? Make sure you enjoy every day on the path to financial freedom so that when you get there, you know exactly how to live the life you love. If you want to reach FIRE happy, less stressed, and full of energy to live your early retirement life, we’ve got what the doctor ordered. In This Episode We Cover Why even the wealthiest people in the world are still so unhappy (and what they’re missing) Why money is NOT the only tool you can use to find lifelong happiness The four “anchors” you can use to find your life’s purpose before it’s too late How to enjoy the path to financial freedom without burning out or pushing through unhappiness The number one thing in life that leads to humans being happy (it’s completely free) And So Much More! Links from the Show Mindy on BiggerPockets Scott on BiggerPockets Listen to All Your Favorite BiggerPockets Podcasts in One Place Join BiggerPockets for FREE Email Mindy: Mindy@biggerpockets.com Email Scott: Scott@biggerpockets.com BiggerPockets Money Facebook Group Jordan’s Website Land More Off-Market Deals with Crucial Property Owner Contact Information from DealMachine Buy “The Purpose Code” Find an Investor-Friendly Agent in Your Area The “Deathbed Toolkit” That Makes Building Wealth Much More Enjoyable w/Doc G (00:00) Intro (04:39) The Comparison Trap (06:38) You're Getting "Purpose" Wrong (10:16) How to Start Enjoying Life (14:07) The Reason So Many Aren't Happy (23:30) The Huge Impact of "Little" Purpose (29:10) Purpose Exercises (30:52) Finding Your Community (33:54) Connect with Jordan! (34:27) Find Purpose BEFORE FI! Check out more resources from this show on BiggerPockets.com and https://www.biggerpockets.com/blog/money-601 Interested in learning more about today’s sponsors or becoming a BiggerPockets partner yourself? Email advertise@biggerpockets.com Learn more about your ad choices. Visit megaphone.fm/adchoices…

BiggerPockets Money Podcast

1
7 Maxed Out Credit Cards to Money Expert by Making a BIG Mental Shift 46:31

7 weeks ago46:31

46:31

Are you building wealth but feel like you can never enjoy it? Do you struggle with money, fearing you carry the same poor financial habits as your parents ? Whether you’ve got a lot of money or a little, many of us face the same mental financial challenges —anxiety, shame, and stress—but it doesn’t have to stay this way. Today’s guest is living proof that change is possible. After completely turning his financial life around , from maxed-out credit cards , a rock-bottom credit score , repossessions, and empty bank accounts, to achieving financial success , he now teaches others how to do the same. Steven Hughes , a money therapist, focuses on uncovering the financial beliefs shaped during childhood. Steven recognized that the negative money mindset affecting him in his youth also impacted countless others. To address this, he founded the non-profit “ Know Money ” to help people cultivate a stress-free, anxiety-free, and guilt-free perspective on money, empowering them to achieve true wealth—both mentally and financially. Do you feel like, even though you’ve got money, you’re constantly worrying or unable to keep a cent in your bank account? Steven provides practical tools to help you finally break free from an unhealthy money mindset. In This Episode We Cover How to find the “root” of your money fears and address it once identified Why some people with extraordinary incomes struggle to save money Healthy vs. unhealthy financial emotions and ways to stop feeling guilty about success Tools to manage your emotions around money so you can truly enjoy your wealth The “family fund” that empowers you to give generously without being taken advantage of And So Much More! Links from the Show Mindy on BiggerPockets Scott on BiggerPockets Listen to All Your Favorite BiggerPockets Podcasts in One Place Join BiggerPockets for FREE Email Mindy: Mindy@biggerpockets.com Email Scott: Scott@biggerpockets.com BiggerPockets Money Facebook Group Steven’s Website Steven’s Affirmations Groove Money Land More Off-Market Deals with Crucial Property Owner Contact Information from DealMachine Grab Your Copy of “The Richest Man in Babylon (BiggerPockets Edition)" Find an Investor-Friendly Agent in Your Area How to Use Your Financial Fears to Build Wealth Better (00:00) Intro (01:13) 7 Maxed Out Credit Cards?! (05:56) Teaching Others to Avoid His Mistakes (07:34) Identifying Your Money "Root" (10:08) Getting Out of Debt (11:55) Financial Therapy (16:28) Mental Money Challenges (18:53) Healthy vs. Unhealthy Money Emotions (22:24) What to Do AFTER FIRE (25:46) Tools to Manage Money Emotions (32:34) Family Asking for Money? (38:34) Connect with Steven! Check out more resources from this show on BiggerPockets.com and https://www.biggerpockets.com/blog/money-600 Interested in learning more about today’s sponsors or becoming a BiggerPockets partner yourself? Email advertise@biggerpockets.com Learn more about your ad choices. Visit megaphone.fm/adchoices…

BiggerPockets Money Podcast

1
The Macro Analysis is Clear: Why We Are Reallocating (Away From Stocks) to Real Estate in 2025 53:32

7 weeks ago53:32