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Financial Order of Operations for Homebuyers
- Prioritize the first three steps of the Financial Order of Operations: cash reserves, employer 401k match, and high-interest debt.
- Consider a 3-5% down payment on a house if the market is outpacing your savings, but ensure housing costs stay below 25% of gross income.
Postponing Savings for Business
- Brian Preston shares his experience of postponing savings to start a company in 2002.
- He emphasizes the importance of understanding opportunity cost and returning to the Financial Order of Operations.
Credit Card Use
- Credit cards are a privilege, not a requirement, for financial health.
- Use them strategically for rewards and convenience if you can avoid debt, but it's okay to skip them entirely.