It seems like there are a lot of blogs out there that talk about their experience getting out-of-debt. They share where they start with their debt, allow you to share their victories as they pay off each card or put their student loans to rest. Finally, they reach the point where they’re out of debt entirely, maybe including their home. At that point their site usually becomes a set of guest posts and paid advertisements.
I’d like to know the rest of the story. What next? Do they fall back into old habits and run up the cards again? Do they just tread water the rest of their lives? Or do they keep up the intensity that they had when they were getting out of debt start to grow wealth? Getting out of debt is really just getting back to the starting line of the race. The real finish line is financial independence – the point where you have enough wealth to generate the income you need to live, even without a job. Sadly, probably less than 3% of people ever attain this level, and probably less than 1% of the people who earn less than $200,000 per year.
Well, if you see a need that no one is filling, sometimes it is up to you to step up to the plate. I’m therefore starting a new series I’ll call the “Countdown to Freedom(TM).” I am going to start putting away a least $200 each month into a money market account sectioned off from my portfolio as if I were just starting a first job (or having just gotten out-of-debt,) and putting money away. Once I have enough to invest, I’ll start a portfolio, one stock at a time. I’ll record my progress periodically.
Feel free to do the same. Of course, you’ll need to make your own stock picks. I guarantee some of mine won’t work out, so you would be wise to make your own choices. If you aren’t into stock picking, you may also just want to put some money away into a mutual fund. Well, here we go….
Your investing questions are wanted. Please send to [email protected] or leave in a comment.
Follow on Twitter to get news about new articles. @SmallIvy_SI
Disclaimer: This blog is not meant to give financial planning or tax advice. It gives general information on investment strategy, picking stocks, and generally managing money to build wealth. It is not a solicitation to buy or sell stocks or any security. Financial planning advice should be sought from a certified financial planner, which the author is not. Tax advice should be sought from a CPA. All investments involve risk and the reader as urged to consider risks carefully and seek the advice of experts if needed before investing.
About these ads
