Money Tips Network

In the last few months, I’ve received several specific questions on how exactly I envision my own retirement / financial independence and why I value it as a goal so much. I thought it might make sense to spell all of it out in a single article that I can link to going forward that addresses all of these things in one place.

So, let’s start with the basics.

How I View Retirement and Financial Independence

In my eyes, “retirement” simply refers to a situation where you’re financially able to walk away from your main career and/or job without having financial need to seek a replacement. You might choose to still work for money, but it’s not a choice that’s forced upon you. You might choose to do it because you enjoy the work or because you want some additional lifestyle perks, but you can live day to day life without the need to do so.

What’s inside? Here are the questions answered in today’s reader mailbag, boiled down to summaries of five or fewer words. Click on the number to jump straight down to the question.
1. Early withdrawal from 401(k)?
2. Relationship strain renting to children
3. Reclaiming frugality
4. How target retirement fund works
5. Food spending question
6. Buying rental houses as investments?
7. When to replace a car?
8. 529 and financial aid

Okay, enough with the navel gazing! I've been very introspective around here lately. While that was necessary (and cathartic), it's time to get back to work, to turn our attention to money once more.

Before we begin, though, let's talk about some changes to my workflow. Mainly, these will affect me, but they'll indirectly affect GRS readers too.

Refining Get Rich Slowly

As most of you have gathered by now, I'm going to shift how I approach my writing schedule. As in: I'm not going to stick to a schedule. I'm not going to feel pressured to publish. Instead, I'm going to write what I want, when I want. I think we'll all like the results.

As part of this change, I'm going to be less frenetic, less scattered about my writing. For instance:

I am a huge proponent of setting financial goals. A well-considered financial goal not only gives you direction toward some of the biggest things you want to achieve in life, but is easily broken down into steps that you can achieve today – and I do mean literally today.

The big problem with this kind of big goal setting is that the bigger and longer-term the goal, the more likely it is that your life will change in some significant way before you reach that goal.

Sometimes those changes are good changes. Those kinds of changes can accelerate you toward your current goal quickly (like a windfall) or even cause you to consider an even stronger goal (like a major career advancement or change).

Others are simply life changes that make your current goal seem irrelevant, like getting married or having children or simply reconsidering your life priorities.

“Who are you?” my cousin Duane asked me on Saturday afternoon. We'd spent the day playing nerd games together and were taking a break for pizza.

“What?” I said. I wasn't expecting a philosophical question over supper.

“I don't think you know who you are,” Duane said.

“What do you mean?” I asked.

“I don't think you know who you are,” he repeated. “You write about money and frugality, yet you spend $200 on dinner.” Duane was referring to the fancy meal we'd had in May at a Michelin-star restaurant in France. I knew it had been bugging him, but he hadn't said anything about it until now. (And that meal cost $267.41 for the two of us, not $200.)

Join our Tweetchat Thursday, 7/18 at 12pm PST/ 3pm EST for lively conversation and a chance to win a $200 gift card or one of two $50 gift cards! Use #WBChat and #SmartyChat to participate.

This week's topic: Saving on Summer Travel!

Northwestern Mutual recently reported what by many accounts appears to be good news on the financial front for average Americans.

The company’s 2019 Planning & Progress Study, which focuses on Americans’ attitudes about money and financial decision-making, as well as their opinions about the “attainability of the American dream,” found that 71% of Americans feel financially secure today versus 47% when the study was first conducted a decade ago.

Those figures represent a deep change in the attitudes and outlook of Americans since 2009 when the Great Recession ended, according to the study’s authors.

But what if you’re one of the people who still doesn’t feel financially secure and isn’t experiencing the current wave of optimism and prosperity?

MetLife is one of the largest global providers of insurance, annuities and employee benefits. On the consumer side, they are well-known for offering health insurance, dental insurance and life insurance along with homeowners insurance.

What many people don’t know is that MetLife also offers renters insurance, a type of insurance many renters purchase in order to protect their personal possessions (but not the building they live in). With renters insurance, consumers can make sure their furniture, electronics, jewelry and other prized possessions would be covered and swiftly replaced in the event of fire, vandalism or another disaster beyond their control.

Liberty Mutual was founded in 1912 as The Massachusetts Employees Insurance Association (MEIA). The company has grown to become the third largest property and casualty insurer in the United States.

While Liberty Mutual is well-known for offering homeowners insurance that can protect your residence and personal property, this insurer also offers robust auto insurance policies that can be tailored to meet your needs.

If you’re in the market for a new auto insurance policy, you should know what Liberty includes in their basic coverage as well as add-ons you can select. Keep reading to learn more about how this company handles auto insurance, perks you can expect as a customer and the company’s financial solvency.