Decumulation is the technical term for spending down one’s assets. It’s the opposite of the accumulation phase of building up those assets. So typically it’s the point at which you transition from your job income that is both paying your living expenses and allowing you to save money, to where your savings now need to pay for your living expenses. Your net worth slowly declines as you spend the money you saved. It’s a stark transition and it’s psychologically difficult.
I don’t really like the idea Continue reading “Growing our wealth while paying expenses and not having a job.”
I cover a lot on investing here on SaveInvestBecomeFREE (IBFREE). There is a reason for this. Savings is the only way to build your wealth but once you have quite a bit saved and plan on using that money to fund your lifestyle for a long time (maybe 50 years for a very early retiree!), good investing becomes the main factor between financial success and failure.
Your post-job, lifetime financial success depends on how you manage the money you saved.
Continue reading “Why knowledge of investing is critical for financial independence”
The American Psychological Association has ranked money as the top stressor for Americans every year since they started their survey in 2007. 64% rated money as a somewhat to significant stressor in their lives. Studies on relationships also rank money as a top reason for stress in relationships and a leading cause for divorce. Continue reading “Stress and the Role of Money”
I thought I would write a bit about investing today, including an update on some personal stock investments. As I’ve shared before, I’m a big fan of passively owning businesses (i.e. investing in stocks). Over the long-term, businesses Continue reading “Mid-Year 2017 Investment Update”