I’m glad Michael Kitces tweeted this article he wrote in 2010: Is “Save For Decades, Then Quickly Double Your Money And Retire” Your (Unintentional) Retirement Advice!?
It highlights a very important issue. Whether you are able to hit your retirement goal heavily depends on what happens in the last 10 years before retirement. If the market cooperates, you are golden. If it doesn’t you keep on working.
That can’t be a strategy. We have to reduce the heavy reliance on the last 10 years. I think that means being more aggressive early on in terms of earning, saving, and investing.
I also read these good articles this week:
REITs And Your Portfolio by Rick Ferri at RickFerri.com
I have been out of REITs since early 2013. REITs’ valuation and correlation to the general stock market have become too high in my opinion.
2013 In Review by Leigh by Leigh at Leigh’s Financial Journey
Leigh is my model for earning and saving money. I think often too much emphasis is placed on “what do I do with my money?” than on “how do I earn more money?” or “how do I save more money?” When you earn and save enough money, what to do with it becomes secondary. As far as I can tell Leigh didn’t distract herself with a side hustle. Just doing a good job works.
Greatest Hits by Wade Pfau at Wade Pfau’s Retirement Researcher Blog
Not tunes, but stock market crashes in different countries. The US has been very good at recovery.
Take the plunge, or drip by drip? by Larry Swedroe at CBS MoneyWatch
Take the plunge if the market is going up. Drip by drip if the market is going down. Don’t know which way it’s going? Maybe split?
Asset Protection – Debunking the Myths by Douglas Segan at The White Coat Investor
Hmm, besides an umbrella policy and naturally having money in 401k and IRAs, I’m not doing anything special about asset protection. Should I worry?
Why Many Widows Lose Nothing from Taking Survivor Benefits Early by Larry Kotlikoff at The Business Desk
My head hurts after reading this one. This is proof positive we should reform Social Security and let each worker stand on his or her own. Split the earnings history at the time of divorce or benefits application.
Social Security for Married People: At Least One Spouse Should Usually Claim at 62 or 70 by Mike Piper at Oblivious Investor
This one is much easier to understand.
Where To Open Your Solo 401K by Jim at The White Coat Investor
I have mine at Fidelity. I recommend it unless you want Roth 401k, which Fidelity doesn’t offer.
Think You Don’t Need Extra Insurance While Traveling? Think Again by Matthew Amster-Burton at MintLife
I thought you have to buy trip cancelation together with medical evacuation. Inexpensive coverage for medical-evacuation-only sounds good.
[Photo credit: Flickr user Chris Warren]