Above Average Dollar

JV Jones and YourPalSal discuss the effects liabilities have on your risk taking. Anybody who has gone through the process of getting a loan knows the first thing they want to know is what your assets are, and then after that, what your liabilities are. If you have no liabilities, they then ask about risks you may have. The reason they do this is because you can only take on risk as long as you have enough assets to absorb the negative outcome of that risk.  

JV Jones and YourPalSal discuss the extensive cost of being particular in your purchases and in life. Debt free or not, being too picky can cost you money and time that could be spent doing financial planning or making more money in a side hustle.  Ease up your pickiness and make your life much simpler by not being so particular, at least when it matters the least.

JV Jones and YourPalSal Learn The Magic Of Compound Interest Interested in earning higher returns than just 5% to 6%? Well, compound interest is the secret. In fact, compound interest is the magic that makes it possible. Learn what compound interest is and how it works in this podcast.

JV Jones and YourPalSal discuss credit score, how its determined and when you should and should not worry about it. The credit score has become a big deal in the US. But it's not the only factor in determining how easy, cheap or difficult it is to get things done in life. It's one of many factors and often not even the most important one.

I don't know about you, but JV Jones and YourPalSal feel pretty overwhelmed! They don't know who to listen to. A lot of people claim they have the key to financial success and freedom, but that’s just confusing and makes your head spin. The financial advice industry is filled to the brim with products and services that promise financial independence. The problem is that most of these are just sales pitches with little substance. In this episode, we’ll look at some of the most popular gurus in the industry and look at their actionable advice. Robert Kiyosaki -> https://www.richdad.com/ Dave Ramsey -> https://www.daveramsey.com/ Ramit Sethi -> https://www.iwillteachyoutoberich.com/ Pete -> https://www.mrmoneymustache.com/ Brad & Jonathon -> https://www.choosefi.com/   Trent Hamm -> https://www.thesimpledollar.com/author/admin/ Thomas J Stanley -> https://www.themillionairenextdoor.com/ David Bach -> https://davidbach.com/ Suze Orman -> https://www.suzeorman.com/

JVJones and YourPalSal discuss how they form and keep habits.   Here is a good article from Trent on different 30 day habits   https://www.thesimpledollar.com/save-money/the-power-of-the-30-day-challenge-ten-challenges-that-can-improve-your-finances-this-month/

JV Jones and YourPalSal discuss why you should be focused on not just taxes that the government takes, but you should also be taxing yourself to get out of debt and have financial independence quicker. Show Links   https://www.valuepenguin.com/average-household-budget    From website   $63,784.00       Monthly Fed $7,654.08 12.00%     $637.84 FICA $5,102.72 8.00% 20.00%   $425.23 Housing $10,205.44 16.00% 36.00%   $850.45 Util $7,016.24 11.00% 47.00%   $584.69 Trans $8,929.76 14.00% 61.00%   $744.15 Food $6,378.40 10.00% 71.00%   $531.53 Debt $5,102.72 8.00% 79.00%   $425.23 Healthcare $3,827.04 6.00% 85.00%   $318.92 Clothes/shoes $1,913.52 3.00% 88.00%   $159.46 Entertainment $2,551.36 4.00% 92.00%   $212.61 Education $1,275.68 2.00% 94.00%   $106.31 Vices,Misc,PersonalCare $1,913.52 3.00% 97.00%   $159.46 Savings $1,913.52 3.00% 100.00%   $159.46   $0.00           $63,784.00       $5,315.33 After making radical changes   $63,784.00       Monthly Fed $7,654.08 12.00%     $637.84 FICA $5,102.72 8.00% 20.00%   $425.23 Housing $5,102.72 8.00% 28.00%   $425.23 Util $1,913.52 3.00% 31.00%   $159.46 Trans $3,189.20 5.00% 36.00%   $265.77 Food $5,102.72 8.00% 44.00%   $425.23 Debt $0.00 0.00% 44.00%   $0.00 Healthcare $3,827.04 6.00% 50.00%   $318.92 Clothes/shoes $637.84 1.00% 51.00%   $53.15 Entertainment $3,827.04 6.00% 57.00%   $318.92 Education $637.84 1.00% 58.00%   $53.15 Vices,Misc,PersonalCare $1,275.68 2.00% 60.00%   $106.31 Savings $25,513.60 40.00% 100.00%   $2,126.13   $0.00           $63,784.00       $5,315.33 https://www.census.gov/library/stories/2019/09/us-median-household-income-up-in-2018-from-2017.html

JVJones and YourPalSal discuss giving and how it relates to your debt free process.  

In this episode JV Jones and YourPalSal take on facing fears, and identifying worst case scenarios.  

YourPalSal and JVJones discuss what the F.U. money is all about.  We also enjoy a few special characters that wanted to share their insite on F.U. Status   Discussed Websites https://youtu.be/y6yCmdIkw_E https://www.fundable.com/learn/resources/guides/startup/funding-your-startup https://youtu.be/65GPcar5pqM  

JV Jones and YourPalSal have the hardest conversation yet.  We have a round table with our wives about finances and pursuing a different life for ourselves.

JV Jones and YourPalSal have the hardest conversation yet.  We have a round table with our wives about finances and pursuing a different life for ourselves.

JV Jones and YourPalSal discuss what leaving a legacy means to them, and things you should consider to have organized in your personal legacy box. 00-Executive Summary 01-Legacy Letters 02-Birth Certificates & Adoption 03-Social Security Cards 04-Passports & Driver Licenses 05-Marriage Certificate 06-Auto Insurance 07-Homeowner, Flood, Jewelry Insurance 08-Health Insurance 09-Long-Term Disability Insurance 10-Long-Term Care Insurance 11-ID Theft Protection & Credit Reports 12-Life Insurance 13-Umbrella Liability Insurance 14-Estate Plan 15-Power of Attorneys & Living Wills 16-Wills 17-Funeral Instructions 18-Financial Account Log 19-Safe Deposit Log 20-Monthly Budget 21-Tax Documents & Returns 22-Bank Statements 23-Credit Card Statements 24-Mutual Fund & HAS Statements 25-College Funds 26-Retirement Accounts 27-Rental Property Summary 28-Car Titles 29-Home Ownership Records 30-Degrees and Certificates 31-Passwords-Combinations 32-Misc-NotPrinted/Filed

JV Jones and YourPalSal discuss Producing vs Consuming.  The idea of making a mindset shift from a mostly consuming mindset to one that caters more towards releasing your inner creativity in producing. Learn about ways to turn off the distractions keeping you from producing. Choose how you spend your time and the type of inputs you allow. Produce Consume Recover

JV Jones and YourPalSal discuss how to be humble about being broke. What it takes to begin acknowledging you are broke and solutions to hurdles you may come across in doing so.

JV Jones and YourPalSal review what makes a good hobby or activity to have either individually or with your family and friends when under a strict budget.  Resources from Episode. Berkshire Annual Review   ChooseFI Meetups  

JV Jones and YourPalSal discuss best practices when grocery shopping on a budget.   Resources USDA Family Food Plant  

JV Jones and YourPalSal review the differences between systems and goals.  DIscussing important characteristics of each, and how having a system can set you up for success regardless of the goal being reached.  As for how this applies to being "debt free", breaking your system to bite sized achievable pieces which wont result in burnout is key. A few external references Scott Adams: Goals vs System https://www.scottadamssays.com/2013/11/18/goals-vs-systems/ Lifehacker: Get More Done By Focusing on Systems Instead of Goals https://lifehacker.com/get-more-done-by-focusing-on-systems-instead-of-goals-1786245764

JV Jones and YourPal Sal discuss consumer purchases and the thought process behind them.  They review some of their systems and rules they follow when making purchases, some of which were suprising.

JV Jones and YourPalSal Expose the 4% rule. Fears of the 4% rule. What is the 4% rule regarding early retirement and how much you need to save up to retire early. How much in assets are needed to have a safe withdrawal rate from your investments. What assets are not included in the 4% rule. YourPalSal learned a lesson regarding tracking expenses to figure out what is needed to ultimately make you happy with your 4% withdrawal from early retirement

JV Jones and YourPalSal discuss What does debt free mean for you? Freedom from time and demand from external variables. Mindset of freedom means different things at different points in your life. You cant be obsessed with the now, you have to be obsessed with the journey.

JV Jones and YourPalSal discuss their personal journey regarding debt and building an emergency fund.  They also gave ideas on transition jobs and gave personal experiences on how to build up that emergency fund.