Rethinking earnings and consumption through life

In the United States, many people are re-evaluating the traditional model of working and saving through life. The traditional model is that you get an education and then work full-time until you exit the workforce entirely and live on a pension, Social Security, and/or savings. In recent years, the Financial Independence / Retire Early (FIRE) … Continue reading Rethinking earnings and consumption through life

Tallying the ultimate costs of debt

Carrying debt can have costs far beyond the interest paid, something that few people fully appreciate. Debt repayment has substantial opportunity costs, which means that there are decisions that are unavailable because you are repaying debts. A substantial component of these opportunity costs relates to tax benefits. Lost tax benefits The single most important opportunity … Continue reading Tallying the ultimate costs of debt

Thoughts on the Financial Independence / Retire Early (FIRE) movement

The Financial Independence / Retire Early (FIRE) movement is much in the news these days. You can hardly go to a financial website without seeing a headline about someone who "retired" in their 30's. There is, not surprisingly, plenty of debate about what distinguishes retirement from being a professional blogger who writes about FIRE. Much … Continue reading Thoughts on the Financial Independence / Retire Early (FIRE) movement