▸▸▸Enroll in our 365 Days to F.I.R.E. Program! – Enrollment is now open for our class of 2024, 365 Days to F.I.R.E. program! As part of the program, you will get to attend our 2024 meetups in Portugal (with more than 500 people attending the meetups this year!), get assigned daily FIRE tasks to complete, participate in live monthly Q&A sessions with us, be broken into smaller accountability groups with other people in the program, attend quarterly book club meetings, get personal coaching from us (for those in the coaching plan) . . . and more!!! Enroll today!
▸▸▸Enroll in our Stock Market Investing Course for Financial Independence and Retiring Early: Enroll in our new 21 module, 4-plus hour stock market investing course with more than 30 handouts of summary notes, homework assignments, and resources. Learn how to research and select investments, how to determine your asset allocation, how to rebalance your portfolio, how to optimize your investments for tax purposes, how to automate your investments, and much more (including a 19-page Investment Plan to work on)!
▸▸▸Enroll in our FIRE Master Class: This FIRE Master Class is designed for people interested in pursuing financial independence and retiring early. In the Master Class, we explain how to live off of your investments during early retirement; how to withdraw money from your investment accounts to support your living expenses during retirement; how to calculate your FIRE number; new and creative ways that you can save money; new side hustles for making money; how to invest in the stock market and in real estate; we discuss healthcare options in retirement . . . and MORE!
▸▸▸Enroll in our How to Move to Portugal Course: A Step-By-Step Course to Relocating and Living in Portugal: This course is designed for people interested in moving to Portugal. In the course, we explain the visa process, the documents you need to submit for your application, and the step-by-step process that we took to obtain our visas; we explain the residency permit process and how we obtained our residence permit here in Portugal; we explain the process for buying and renting a house in Portugal; we discuss healthcare, school options, and setting up NIFs, we explain taxes here in Portugal, and MORE!
▸▸▸Follow us on Instagram:
Our Rich Journey – retirement account Investing | What NOT to Do to Retire Early: If you’re interested in financial independence and retiring early, you have to stay on top of your retirement investment accounts. If you invest in them properly, your retirement accounts can help accelerate your FIRE journey. BUT, if you make mistakes along the way when investing in your retirement accounts, well . . . the consequences aren’t as good. But, we made this video to help you avoid those negative consequences! In this video, we share the top 8 mistakes that you can make with your retirement accounts. That way, you can avoid those negative consequences and accelerate your FIRE journey!
▸▸▸Check out some of our other videos!
HOW WE RETIRED AT 39 | Financial Independence Retire Early (FIRE):
We Retired Early in Portugal | SEE OUR MINIMALIST HOME:
Vanguard’s VTSAX Index Fund: Our Number One Investment for Financial Independence Explained:
Accessing Retirement Accounts Early | Roth IRA Conversion Ladder Explained | Early Retirement Hack:
Music: bensound.com
▸▸▸PLEASE SUBSCRIBE:
If you like our video, please make sure to “like” the video and subscribe to our channel. We post two videos a week related to our journey towards financial independence, including making money, saving money, and investing money. Make sure to check out all our videos and . . . join the journey!
DISCLAIMER:
We are not financial advisors. Our videos are for educational purposes only and merely cite our own personal opinions. In order to make the best financial decision that suits your own needs, you must conduct your own research and seek the advice of a licensed financial advisor if necessary. Know that all investments involve some form of risk and there is no guarantee that you will be successful in making, saving, or investing money; nor is there any guarantee that you won’t experience any loss when investing. Always remember to make smart decisions and do your own research!
AFFILIATE DISCLOSURE: Some of the links on this channel are affiliate links, meaning, at no additional cost to you, we may earn a commission if you click through and make a purchase and/or subscribe. However, this does not impact our personal opinions.
#Investing #EarlyRetirement #FinancialIndependenceRetireEarly…(read more)
LEARN MORE ABOUT: IRA Accounts
INVESTING IN A GOLD IRA: Gold IRA Account
INVESTING IN A SILVER IRA: Silver IRA Account
REVEALED: Best Gold Backed IRA
retirement account Investing: What NOT to Do to Retire Early
Retirement is a dream for many individuals, and rightly so. It represents the culmination of years of hard work and dedication. To achieve an early retirement, careful planning is necessary, especially when it comes to investing in retirement accounts. While there are several practices that can help you retire early, it is equally important to be aware of what NOT to do. Here are some investing pitfalls to avoid if you want to retire early.
1. Neglecting to start early: One of the biggest mistakes individuals make is delaying their retirement savings until later in life. Compound interest is a powerful force that works best over an extended period. By starting early, you give your investments more time to grow, increasing your chances of retiring early. Therefore, it is crucial to begin investing in retirement accounts as soon as possible.
2. Failing to take advantage of employer matching: Many employers offer matching contributions to retirement accounts, such as 401(k)s or employer-sponsored pension plans. Failing to take advantage of this benefit is akin to leaving money on the table. Ensure you contribute enough to maximize the employer match, as it can significantly bolster your retirement savings.
3. Overloading on risky investments: While investing in high-risk assets can generate substantial returns, it is crucial to maintain a balanced portfolio. Overloading on risky investments can expose you to unnecessary volatility and potential losses. Diversify your retirement portfolio across different asset classes to ensure resilience and mitigate risk.
4. Ignoring investment expenses: Expenses can eat into your investment returns over time. It is essential to pay attention to the fees associated with your retirement accounts, such as administrative charges, management fees, and expense ratios. Minimizing these costs can help optimize your investment performance and grow your retirement savings faster.
5. Timing the market: Trying to time the market by buying low and selling high is a risky strategy. Even seasoned investors struggle to predict market movements accurately. Instead, focus on a long-term investment strategy and resist the urge to make impulsive decisions based on short-term market trends.
6. Succumbing to emotions: Emotions can cloud judgment when it comes to investing. It is important to maintain a disciplined approach and not let fear or greed dictate your investment decisions. Avoid making knee-jerk reactions to market fluctuations, as this can harm your long-term financial goals.
7. Failing to reassess and adjust: retirement planning is not a one-time activity. Regularly reassess your retirement goals and adjust your investment strategy accordingly. As you approach retirement, it may be necessary to shift towards more conservative investments to protect your accumulated wealth.
8. Underestimating healthcare costs: Medical expenses can take a significant toll on retirement savings. It is imperative to factor in potential healthcare costs when planning for retirement. Consider obtaining adequate insurance coverage to protect yourself from unforeseen medical expenses.
In conclusion, early retirement requires careful consideration and smart investment choices. Avoiding certain pitfalls, such as neglecting to start early, failing to maximize employer matching, overloading on risky investments, and timing the market, can greatly increase your chances of retiring early. By adopting a disciplined approach to retirement account investing and avoiding common mistakes, you can work towards achieving the retirement of your dreams.
Do you have a video on what it is like living abroad and investing in the US market. How to still contribute and what the rules are ?
How do you draw on your retirement accounts prior to retirement age?
What do you think about 403b to lower your taxes each year??
that the one mistake I made was borrowing money from my 401k because you are right you're loosing time for that money to grow just because it there does nt mean you need to take it
Thanks for the video, so informative as always. I am learning a lot.
You guys are awesome, organized and to the point!!
Wish I found you guys 3 years ago but I am slowly learning. 26 now and finally trying to understand what the scoop is on retirement lol
Great stuff. Thanks!
Great video, I use fidelity and Vanguard is great as well.
I think the 401k with an employer even if it's matching is too much a risk. If they could just stop pensions whenever they want, they could cut the matching too along with the other potential problems these 2 mention. Il just stick to my very own controlled roth ira and il be happy with that.
Great advice!!!
What’s the freelancer version of this path?
You mentioned an employer doesn’t have to give you notice on changing the 401k..if they contributed, do they have to give you notice that they withdraw their contribution or that will not vest? I can’t remember if my last workplace did either of these things
I have my Roth IRA through primerica in mutual funds. Is it better to roll it over to index funds into vanguard or fidelity? Can you make a video on these companies like primerica or world financial who sell these products and your honest opinion on them?
Ok so I setup my roth ira and let's say 5 years from now my income goes from $100k to $150k(instantly), what happens to my roth ira account because I've exceeded the income limit?
Hello! Love your videos!!
Why does the thumbnail have Aman with his head in his hands and "Fidelity" above it? That made me super paranoid…Also, I never saw him put his head in his hands during the video..was that clickbait, I'm so confused.
Not sure I can handle this myself, are there ways to do this for others who don't have the skills or understanding?
Yea, I cashed out the 401k I had at Amazon because I didn't realize I could roll it over, I think I could have, it was about $700 before taxes and penalty. Working at Amazon was a very bad experience.
Thanks a lot
Interesting!
Did they renounce US citizenship yet?
Voya vs Vanguard?…and why?
So you think we should be contributing the max of $19k to our 401k's?
Since you retired early do you pay the 10% penalty to use your retirement accounts? I’m debating on whether I should finish maxing out my 401k or start contributing to an after tax account.
I appreciate you guys. So much good info.
Wont you be penalized from withdrawing early on a Roth IRA?
I am happy for you guys and jealous at the same time. When I was young there was not Y-Tube at 59 am trying to save and invest . It's better late than never…
Great content. For the $6000/yr limit on Roth IRA contributions, can I split that and contribute $3k into my Vanguard Roth (invested in VTSAX) and then the other $3k into Fidelity?
I'm 51 years old with no retirement plan yet,any suggestions on accumulating a million dollar portfolio within 12-18 months? I have currently saved a capital of $225k
People outside of the US don´t have Roth´s , 401k´s etc …So what else would you suggest here…
should you get debt free first, or start right away?