Articles
One idea at a time, in plain English, with the numbers shown.
Life beyond money
Buy back your time
Research on money and happiness keeps finding the same thing. Spending on time and experiences does more for you than spending on things.
Research
The 4 percent rule, and what it really says
Multiply your yearly spending by 25 and you have a first estimate of your freedom number. Here is where the rule came from, and its limits.
Taxes
The HSA: the only triple tax break in the code
A health savings account is deductible going in, grows without tax and comes out tax free for medical costs. No other account does all three.
Money Path
Avalanche or snowball: paying off credit cards
Two methods, one goal. The avalanche saves the most interest. The snowball gives you a win sooner. Pick the one you will finish.
Research
Lump sum or a little each month?
You have a large sum to invest. History says put it all in now. Your nerves may say otherwise, and your nerves matter too.
Invest
The three fund portfolio
Three cheap index funds hold almost every public company and bond you could buy. For most people, that is the whole portfolio.
Taxes
Roth or traditional: pay the tax when it is lowest
The choice between a Roth and a traditional account comes down to one question. Is your tax rate higher now, or will it be higher when you take the money out?
Invest
The 401(k) match is the best return you will ever get
An employer match turns every dollar you put in into a dollar and a half, or two, on day one. No fund in the world beats that.
Money Path
Build your runway before you invest a dollar
Three to six months of expenses in plain cash sounds dull. It is the thing that lets every other part of your plan survive a bad year.