Starting out too quickly in a marathon is a classic beginner’s error. The adrenaline rush of the starting line, a rested body, and watching others start off strong can conspire to accelerate your pace beyond the level that can be sustained for 26.2 miles. Exceeding your physical capacity at the start can have dire consequences toward the end of the race. Aspects of personal finance resemble marathon running as well. To go the distance, you must pace yourself.
The goal of financial independence is best viewed as a means to an end rather than an end in itself. Simply defined, financial independence is achieved when a person can generate a stream of cash flows from accumulated assets that exceeds his or her spending needs. No specific “magic number” translates into independence for everyone.
When can you give up the security of a regular paycheck? This is the fundamental question that everyone must eventually answer in the context of their own “retirement”. I put “retirement” in quotes because what we are really talking about is not necessarily
There are many aspects of life that seem to follow a general pattern: What we know is good for us in the long run seems contrary to what we think is pleasant or pleasurable in the short run. This is obviously one of the main
In a cash-based economy, people tend to negotiate when it comes to all sorts of purchases as they go through their daily routines. Part of this is obviously due to culture and a history of bartering, but it seems like