Mike Zaccardi

Comments:

• I am so sorry to hear this news, Jonathan. My prayers are with you, your family, and your friends. I look forward to reading about your bucket-list items. Personally, you have played a big role in my development as a writer, and for that I will always be grateful.

  Post: The C Word

  Link to comment from June 15, 2024

• While there is ample empirical evidence on major expense categories, my hunch is that many people fall victim to "keeping up with the Joneses." This mindset of trying to match or exceed the perceived lifestyle of others may not hurt much in the short run, but over the long haul, putting off saving and investing for another day denies the powerful compounding returns from working in your favor. I also think it's a challenge for a lot of people, including myself, to adequately gauge the right amount of insurance and what coverage to get. A bad health outcome, lawsuit, or parents who need expensive long-term care, all could cause an otherwise up-to-snuff savings strategy to go up in smoke. Failing to properly insure against such risks can derail even the best-laid financial plans. But big picture, keeping the major line-item expense categories in check is key. I'm talking about housing costs, your choice of vehicle, planning for the expense of having children, investing in your health (including mental health), and optimizing things like retirement savings and taxes. These areas often represent the largest expenditures over a lifetime and require careful planning.

  Post: Why do many folks fail to save enough for retirement?

  Link to comment from June 5, 2024

• I have consolidated my investment accounts extensively over the past two years. I've profiled my journey on Humble Dollar. For some reason, there's a high amount of peace of mind seeing all my financial assets in one place--even my checking account (which earns 5.3% APY right now). The latest move now in the books was selling shares of an old employer's stock and taking a full distribution from an Employee Stock Ownership Plan. I received the check, and then immediately deposited it into my Solo 401(k). That way, not only is the money invested in my primary retirement account, but I avoid taking taxable dividends each year. Unfortunately, I still have some money in Series I savings bonds (which I plan to sell on August 1 this year) and other cash tied up in 'fine art' and 'fine wine' through two once-popular alternative investment companies.

  Post: What steps have you taken to simplify your finances?

  Link to comment from June 5, 2024

• I don't think there's a number for me. Knock on wood, by the time I retire, I'll have saved enough to where an external income is not necessary. What will be important is filling my days with meaning--if some cash comes along with that, I'd be fine with that too. I suppose merely having enough income to match my expenses would provide the psychological benefit of not having to tap my savings.

  Post: What percentage of your salary do you need for a comfortable retirement?

  Link to comment from June 5, 2024

• My favorite restaurant is a Brazilian steakhouse. The joint often has promotions and discounted gift cards available, so I naturally seek to double-up on the deal when possible. I admit to occasionally asking the staff annoying questions about the offers when I should just enjoy the meal and hospitality, particularly when I dine with others. What's $10 give or take? Hardly anything. My problem is not the money, but rather treating getting good deals like it's a game. I end up, sometimes, taking the game too seriously.

  Post: When have you taken frugality too far?

  Link to comment from June 5, 2024

• BOXX ETF is interesting for cash in a taxable account, particularly for those in a high marginal tax bracket. A yield slightly above Vanguard Money Market (after fees) and you can defer taxation with 'income' taxed as a capital gain.

  Post: What’s the best place to stash money you’ll spend in the next few years?

  Link to comment from March 3, 2024

• I'm not too concerned about that. I don't want to be 70 years old and have investments spread across ~a dozen brokerage firms just because of the SIPC limit. Even in the event of a brokerage failure, the assets are simply moved to another firm. Per FINRA: “In virtually all cases, when a brokerage firm ceases to operate, customer assets are safe and typically are transferred in an orderly fashion to another registered brokerage firm."

  Post: Boring Is Better

  Link to comment from December 2, 2023

• Thanks, Evan. I suspect the challenges of tax/estate planning and happy spending will grow in the years ahead too!

  Post: Boring Is Better

  Link to comment from December 2, 2023

• Thanks, Rick. Yeah - I was literally stressed out a year ago about this time about the little 1099s I was due to receive. So so nice seeing it all nicely in like 4 accounts now.

  Post: Boring Is Better

  Link to comment from December 1, 2023

• Thanks, Linda! Make sure he fully funds a Roth IRA with that work income!

  Post: Boring Is Better

  Link to comment from December 1, 2023