Afford Anything

Category: Episodes

By Erin @ Team Afford Anything

#323: What’s in Store for the Economy and the Future of Work?, with ChooseFI hosts Brad Barrett and Jonathan Mendonsa

What did you learn from 2020? 

That question carries a lot of weight, doesn’t it? 

Collectively, all of us experienced an unprecedented year. In March 2020, the world changed overnight. 

Working from home became the norm. The market shot up and down and up again. Bitcoin skyrocketed. Housing prices held at unfathomable highs. We saw a global reckoning around social justice. 

Needless to say, our internal and external worlds experienced rapid shifts. We may still feel ungrounded.

And now we’re dealing with the aftermath, asking questions such as, “What do I really want out of life? How can I form a plan when there’s still so much uncertainty?”

The answer: become nimble. Embrace flexibility. 

At least, that’s the conclusion Brad Barrett and Jonathan Mendonsa reach during this interview.

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By Paula Pant

#322: Ask Paula – I Want to Retire at 50; How Do I Bridge the Gap?

Jess wants to reach financial independence by the time she’s 50. But she’s worried that she doesn’t have enough money in cash or taxable brokerage accounts to bridge the gap in her first few years of retirement. What moves should she make, if any?

Yisell wants to invest money now. Should she cash out her $70,000 pension in hopes to generate more than the $1,000 per month she’s guaranteed from it?

Abbey is 22 and she would like to go back to graduate school for nurse anesthesia. Should she save up and pay for it in cash, or invest her money and take out federal loans?

Eliana enjoyed our interview with Paul Merriman on the two-fund portfolio. She’s curious about what growth stocks and value stocks are, and how they fit into a passive index fund investing strategy.

Finally, Sneezy wants to know: why aren’t stocks a good hedge against inflation?

My friend and former financial planner, Joe Saul-Sehy, joins me to answer these questions on today’s episode. Enjoy!

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By Erin @ Team Afford Anything

#321: How to Transition to Your Dream Career, with Ashley Stahl

Picture this:

You’re searching for jobs, but you’re not stressed.

You know exactly what you want from a career. You’ve built strong, solid connections.

You’ve spent long stretches of time thinking about your values and traits. You know which companies you’re excited to work for, and which ones make you say “ughh, never.”

You’re confident in your skills and your ability to communicate those skills in an interview. You know whom to network with and what questions to ask.

Thanks to your laser-focus and self-assuredness, your job hunt takes only a few weeks. You land an awesome offer and you’re excited about the possibilities of where your career might lead.

Sound like a pipe dream?

If your brain is saying, “In what world does this actually happen?!”, today’s episode is for you.

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By Paula Pant

#320: Ask Paula – Thinking about Money from First Principles

Rob hopes to retire at age 60, but he has a pesky mortgage balance he wants to eliminate beforehand. He and his wife expect to inherit $300,000. Should they use this money to pay off their mortgage or should they bulk up their retirement accounts?

“Billy” has two questions. One is about the tax efficiencies of ETFs vs. mutual funds, while the other is about Ginny Mae funds and whether there are bond funds that have an inverse relationship with equities.

Priya is looking for information on home equity loans: where can you get the best terms, and what are the disadvantages? Additionally, she’d like to know which city is best for rental investing: Atlanta, Dallas, or Raleigh?

My friend and former financial planner, Joe Saul-Sehy, joins me on the show to answer your questions. Let’s dive in!

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By Erin @ Team Afford Anything

#319: The Scout Mindset, with Julia Galef

Do you tend to see things as they are?

Or do you tend to see what you want to see?

To cut to the chase: how important is it to seek truth and honesty? Especially if it means the possibility of compromising your existing beliefs and ideas about the world?

If you’re unsure, or if these questions have you thinking, “Whoa, I need more caffeine before going down a philosophical rabbit hole…”, today’s episode has you covered. (Just grab your beverage of choice beforehand.)

Julia Galef, author of The Scout Mindset and host of the long-running Rationally Speaking podcast, explains the difference between the soldier mindset (see what you want to see) and the scout mindset (seeing things as they are).

She explains why we often default to the soldier mindset of defending ideas we desperately want to believe, and reviews several thought exercises that we can use to instead train our brains to scout for the truth.

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By Paula Pant

#318: Ask Paula – How to Think About Finances at the 30,000-Foot Level

Kim is newly divorced and celebrating the freedom to make her own financial decisions. She’s struggling to make a living — also as a new realtor — and wants to get started with real estate…but how can she do that on limited funds?

Kim also wants to know: should she move her funds from an actively managed Fidelity IRA to a Vanguard Roth IRA?

Chaz is 22 and has $2,100 – $2,500 left each month to put toward savings. Where should he keep this money if he’d like to move out-of-state in the near future?

Joe is a new real estate agent and he’s looking for ways to save. Is opening a SEP IRA a good account when you’re no longer a W2 employee?

Grace has a similar concern: she’s a tutor, but she’s paid as a contractor. Should she forget about her Vanguard brokerage account and open a SEP IRA or Solo 401k?

Anonymous just got a raise, and while awesome, it might push her income to a level that prohibits her from making full Roth IRA contributions. Should she make a partial contribution this year, or start adding money to a Traditional IRA to do a backdoor conversion?

My friend and former financial planner, Joe Saul-Sehy, joins me to tackle these questions. Let’s dive in!

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By Erin @ Team Afford Anything

#317: How to Win at Work & Succeed at Life, with Michael Hyatt & Megan Hyatt Miller

Does work/life balance sound like a mythical wonderland that only a select few ever achieve?

Do you make it a goal to enter this mythical wonderland each year, only to end up completely disappointed a month or two later?

Or have you completely written off this mythical land to double-down on work in hopes that you’ll achieve financial independence sooner?

Neither of these has to be the reality you settle for.

Work and life can coexist together. Without enormous trade-offs.

But you need to ruthlessly prioritize both areas of your life to make it happen.

“Yeah, okay. Please indulge me. Tell me how I can achieve this so-called work/life balance.” 

We’ll leave that to our guests, best-selling author Michael Hyatt, and his daughter and CEO of Michael Hyatt & Co, Megan Miller Hyatt.

They both practice what they preach in their new book, Win at Work & Succeed at Life, and they’re here to share concrete examples and actionable steps you can take today to make work/life balance achievable.

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By Paula Pant

#316: Ask Paula – I Doubled My Investments During the Pandemic. What Should I Do Next?

Michele wants to reach financial independence (FI), and her grandparents are leaving her their house. She already owns a home, and she’s torn between six potential options that will propel her toward FI. What should she do?

Fred doesn’t have access to a workplace retirement plan. Besides opening a Roth IRA, what else can Fred do to juice up his retirement savings?

Pauly from Portland doubled the inheritance money he received from $50,000 to $100,000 during the pandemic. Now he’s wondering if it’s okay to use this $100,000 as a downpayment on a home in Portland. Is that a wise use of the money?

Preethi accidentally withdrew funds from her Roth IRA as an excess distribution, and she’s already filed her taxes. What should she know for tax time next year?

Casey is in the market for a second rental property and wants to know: would we recommend purchasing a rental in a complex where she already owns a condo? Or should she diversify into a different complex in a different, nearby, more stable town?

My friend and former financial planner, Joe Saul-Sehy, joins me to answer these questions on today’s show. Enjoy!

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By Erin @ Team Afford Anything

#315: The Science of Behavioral Change, with Katy Milkman

Do you ever grapple with the differences between your present self and your ideal self? 

Your ideal self might eat healthy meals 80 percent of the time, save 50 percent of their income with ease, set boundaries without apology, or exercise and meditate four out of seven days a week. 

Yet, your present self might struggle to ward off temptation when it comes to food and spending. Your present self may struggle to set boundaries, period. And your present self much prefers sleeping in and watching Netflix over going to the gym. 

You desperately want to bridge the gap between your present self and your ideal self, but no matter what you do, construction stops halfway. 

If that resonates with you, today’s guest, Katy Milkman, is here to share the science of getting from where you are now to where you want to be. 

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By Paula Pant

#314: Ask Paula – I’m Worried About My Parent’s Retirement. What Should I Do?

Briale opened a Variable Annuity inside a 403b at work when she was 23. She has 17 years to go before retirement. As an elementary school teacher, her pension will be $6,000 per month. Should she stop contributing to the annuity and contribute to a Roth IRA instead?

Debi has an extra $1,000 each month and isn’t sure where to save it. She also has $10,000 in a CD which will reach maturity in August 2021. Her goal is to buy a residence in the next five years. Should she save this all for a downpayment?

Dominique is concerned about her parents retirement portfolio. Their advisor charges a fee of 1.5 percent assets under management. Her parents are frugal and they don’t realize how much they’re paying. Should she talk to them, or drop the issue?

Sarah isn’t sure whether she should put more of her savings towards a Roth 401k or a 529 fund for her future kids. Which option is best if she wants financial flexibility?

Hunter put a credit freeze on his two children’s credit, which required sending each credit union documentation via mail. Experian and TransUnion confirmed the credit freeze, but Equifax didn’t. Upon calling, the representative gave Hunter a different mailing address for the documents. What should he do?

My friend and former financial planner Joe Saul-Sehy joins me once again to tackle these questions. Enjoy!

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