Tips for Selling Items on OfferUp for Extra Income
Episode 163: Kevin is sharing helpful tips for selling unused items on OfferUp to get some extra cash. Sean is recounting his experience talking to his kids about money after […]
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Episode 164: Here’s what you need to know about tax-qualified investment options, how your behavior impacts your investments, and how to navigate tax deferment decisions with Don Eschbach of KISC.
Don Eschbach is an Accredited Investment Fiduciary (AIF), Chartered Retirement Plan Specialist (CRPS), Accredited Portfolio Management Advisor (APMA), but most importantly, a Behavioral Financial Adviser (BFA) creating FIRE through qualified retirement plan options.
Not a lot of people know that 87% of their success with investments is based on their behavior. Only 13% is based on the market. This is known as the 87% Phenomenon.
What does that mean for people interested in investing?
Save more.
87% of Your Portfolio Returns are Based on Behavior
The easiest way to save is going to be in a qualified account— employer-sponsored plans, 401ks, 457, 403B, etc. This is because you’re making a pre-tax contribution without seeing the money hit your account first, similar to setting up automatic payments to take place on payday.
By following this approach, your returns are also tax-free.
Believe it or not, your tax bracket doesn’t tend to change if you are in the middle class. Take a look back, accounting for variables like changes in wages.
Saving into a pre-tax account is the best way to maximize your returns. Maximize your 401k before you go into other methods of investing and take advantage of the tax relief.
Make every financial decision as though you’re making a decision from five years from now (FYFN). Using your future self as your main consultant for decision-making will help you practice financial mindfulness. It will help you take the emotion out of your purchase decision and curb impulses.
Music: https://www.bensound.com/royalty-free-music
Disclaimer: Kevin and Sean are not professional financial advisors. Do not take any advice they give without first speaking with a professional and performing your own due diligence. This post may include affiliate links.
Tagged as: tax deduction, investing, investing for beginners, investment hacks, investment funds.
2 Frugal Dudes March 11, 2020
Episode 163: Kevin is sharing helpful tips for selling unused items on OfferUp to get some extra cash. Sean is recounting his experience talking to his kids about money after […]
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