Afford Anything

Tag: roth IRA

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#414: Ask Paula: I Think I Can Retire Early. Am I Delusional?!

Natasha thinks she and her husband have saved enough to retire early, but they’re scared. Are they ready or are they delusional?

Should Krista tap into the equity from one of her rentals to rebalance a portfolio that is weighted heavily in real estate?

Anonymous is a savvy investor who wants to retire early. She wonders if she should hire a financial advisor, or if she can manage her investments herself.

Amanda is worried that her recently diagnosed health condition might force her to stop working.  How should she financially prepare her family?

Former financial planner Joe Saul-Sehy and I tackle these four questions in today’s episode.

Enjoy!

P.S. Got a question? Leave it here.

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#409: Ask Paula: Should I Sell My Rentals to Buy More Stocks?

Liz and her husband are planning to retire in 5 to 10 years. They have rental income properties, but Liz is bored of managing these, and she’s intrigued by the idea of buying stocks at a discount when the market is low.  Should she sell her rental properties and use the money to buy stocks instead?

Rebecca is a high income earner and thinking about investing in a Roth 401k … but she’s scared of how much she’ll have to pay in taxes. Should she do it anyway?

Anonymous made big changes last year: she got a new career AND sold a house! Now she needs help figuring out capital gains and lowering how much she’ll have to pay in taxes … and she won’t have access to her company’s 401K for most of the year.

Kyle and his wife are moving into their dream home! What should they do with their current place?

Former financial planner Joe Saul-Sehy and I tackle these four questions in today’s episode.

Enjoy!

P.S. Got a question? Leave it here.

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#407: Ask Paula: The 5 Types of Accountants (and Who To Avoid!)

Ionnie wants to vet her tax professional as diligently as she assesses her financial advisor – how should she go about doing that?

Anonymous needs a career change, and she needs help figuring out how to approach the decision making process when choosing and preparing for her next field of employment

MM prefers the simple path to wealth and investing in real estate but is looking for more information on a more intentional and selective approach to investing.

Ingrid calls in to ask whether she should include her rental income when trying to figure out how much she can contribute to her Roth IRA.

Former financial planner Joe Saul-Sehy and I tackle these four questions in today’s episode.

Enjoy!

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#390: Ask Paula: Help! My Bills Are Too High

We start this episode with two anonymous callers who have opposite problems: one says her bills are too high, while the other is worried that she’s saving too much.

Anonymous (“Izzy”) saves A LOT. She wants to relax about her spending more, and start including more joy into her life. How should she approach the next 10 or 20 years, so that she can enjoy her financial security?

A different anonymous caller (“Starlight”) has the opposite problem: her expenses are mounting. Her bills make her uncomfortable. She wants to shake up her investments so that she can tap her assets in order to make her payments. Ideally, she’d also like to buy a house in Europe within the next 10 years. How should she do this?

John liked the episode with Bill Bengen, where we discussed the 4% rule.  However, he questions whether that rule should really be applied to the FIRE community.

Steve is a landlord who needs his property to cash flow, but doesn’t like to raise rents. What should he do?

Do you have a question on business, money, trade-offs, financial independence strategies, travel, or investing? Leave it here and we’ll answer them in a future episode.

Enjoy!

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#385: Ask Paula: How to Invest When You’re Unsure of the Goal

Anonymous (“Jennifer”) keeps hearing us say that you should “start with the end in mind” – that your investments should match your goals and timeline. But what if you don’t have any specific financial goal? What if your risk tolerance is different than you once thought?

Rachel’s new employer won’t let her contribute to retirement for more than a year – what should she do??

Carri’s parents are in poor health and can’t work much – what should they do about their life insurance policy and their health insurance?

Do you have a question on business, money, trade-offs, financial independence strategies, travel, or investing? Leave it here and we’ll answer them in a future episode.

Enjoy!

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#380: Ask Paula: How to Optimize Your Investments Along the Efficient Frontier (If You Dare!)

Anonymous and her spouse are both in the military and about to reach retirement. They have an expensive whole life insurance policy, costing $550 per month, and wonder if they should switch to term life insurance.

Ionnie just rolled over her Roth IRA and would like to understand how to withdraw her contributions without getting penalized

Matt wants to optimize his portfolio and wants to know if he should invest along the Efficient Frontier – despite the fact that the asset allocation it recommends is absolutely bonkers; it’s wild and risky and tilted like nothing he’s ever seen before.

Former financial planner Joe Saul-Sehy and I tackle these three questions in today’s episode.

Enjoy!

P.S. Also – we’re launching a book club!! Each month, we’ll read and discuss a book written by an Afford Anything podcast guest, starting with Morgan Housel, James Clear, Ken Honda, and Dr. Susan David.

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#376: Ask Paula: How Should My 64-Year-Old Mom Handle a Toxic Boss?

Meghan’s mom is 64 years old and suffering under a toxic boss. It’s tough to switch jobs at her age. How should she think through the next steps?

Ellen has a 20-year-old son with physical and developmental disabilities. Her other child, age 21, will need to look after him for the rest of their lives. How should she handle their inheritance? 

Joe wants to start working part-time in four years, and fully retire four years after that. He worries he’s investing too aggressively for his retirement date.

In today’s episode, former financial planner Joe Saul-Sehy and I tackle these tough situations.

Enjoy!

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#372: Ask Paula: I’m 33 and Want to Retire at 45 – What Should I Do?

Eve has been investing in her brokerage account and the tax liabilities are starting to add up.  She wants to retire in 12 years and is wondering if she should invest in after-tax contributions and plan on a Roth conversion.

Anonymous has rental properties and wants to start building his kids credit histories.  Is it a good idea to add them as co-borrowers on the mortgage?

Lily is really excited about investing in real estate, but househacking wasn’t the right fit.  She’s looking for advice on investing in opportunity zones through crowdfunding platforms.

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#370: Ask Paula: My Income Is Dropping From $190,000 to $40,000; What Should I Do?

Michelle makes $190,000 and is going to switch to a career that pays $40,000 on average. To prepare for this lower salary, she’s selling her current home and buying a different one. Should she pay off her new home with the proceeds from the old one? Or should she invest her profits?

Kristen is 32, and she and her husband want to retire in less than 20 years. They make too much to contribute to a Roth IRA. Should they use back door Roth conversions to speed along their path to early retirement?

Anonymous lives in a high cost-of-living area and is wondering where to keep her down payment and emergency funds. Should she use I-bonds, TIPS, or some combination of these two?

In today’s episode, former financial planner Joe Saul-Sehy and I tackle these tough situations.

Enjoy!

Do you have a question on business, money, trade-offs, financial independence strategies, travel, or investing? Leave it here and we’ll answer them in a future episode.

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#366: Ask Paula: How Do I Invest For My Parents’ Retirement?

Micheal’s parents just sold their home to pay off debt and fund their retirement. How should he invest the profits?

Ryker would like to understand what it would take for cryptocurrency to be considered as a good investment option for a diversified portfolio.

Megan has qualified for her employer’s 401k and needs help deciding between […]

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