BiggerPockets Money Podcast

The average American takes a long time to pay off debt, especially student loan debt. These amounts can vary, some people have a few thousand in student loan debt, others have tens of thousands, but what about $521,741 in student debt? Would you be able to pay off over half a million dollars in student loans, all while trying to buy a house and regularly invest? This is exactly what Ty from Debt Ascent did, and he did it quite successfully.Ty is an engineer and his wife is a dentist, so they both are in high-income careers with advanced degrees. Ty makes the argument that their degrees are a good investment, as they’ve been able to make $400,000+ as a couple, years after finishing school. This is a very high income, and with smart money management (as you’ll hear in the show), the high debt can be easily argued as being worth it.You’ll also hear from Ty on the importance of tracking your spending (something both Mindy and Scott have been fans of for a long, long time). Tracking the spending for Ty and his wife made it simple and easy for them to live off of one income alone, while dedicating the other income completely towards paying off debt and setting up other income streams.As of now, they are debt-free, with another $500,000+ in assets! Talk about financial efficiency! In This Episode We Cover When student debt is (and isn’t) worth it for a future career Why it’s harder for lower-income households to pay off debt The importance of tracking your spending (via YNAB or manual tracking) Paying for your future self, your current self, and your past self Staying away from the “two-income trap”  And So Much More! Links from the Show BiggerPockets Money Facebook Group BiggerPockets Forums Finance Review Guest Onboarding Scott's Instagram Mindy's Twitter Mr. Money Mustache YNAB BiggerPockets Money Podcast 106 with Megan Gorman BiggerPockets Money Podcast 20 with JL Collins Debt Ascent Net Worth  Check the full show notes here: https://www.biggerpockets.com/moneyshow199 Learn more about your ad choices. Visit megaphone.fm/adchoices

Many of you know that Mindy loves live-in-flips, and although she can definitely swing a hammer, she doesn’t have the skills of a finish carpenter, but today’s guests, Serafina & Darrin, do! Serafina and Darrin were both working at non-profits, but over the last year have transitioned to running their own business named Carlucci Woodworking. Serafina takes care of the bookkeeping while Darrin takes care of the carpentry. They’re a dynamic duo!All this is happening while they are trying to build their dream home out in the country. If you’ve ever custom-built a house you’ll know how time-intensive and (often) expensive it can be. Serafina & Darrin want to know whether or not Darrin’s high hourly rate would be better served doing jobs, as opposed to working on their own home.With dreams of sailing around the world with their children, hitting a not too far away FI number, and living in their countryside getaway, they’ll need to focus on optimizing their business, getting connections, and keeping up with their investing! In This Episode We Cover The pros and cons of leaving your job for self-employment How to optimize your business so you’re working billable hours whenever possible Roth IRAs, traditional IRAs, and pensions  Setting up your emergency reserve so you always feel financially secure Using your business in creative ways (to make more money!) Knowing the ARV of a new construction (even if it’s custom) And So Much More! Links from the Show BiggerPockets Money Facebook Group BiggerPockets Forums Finance Review Guest Onboarding Scott's Instagram Mindy's Twitter Mad Fientist Etsy Yelp HomeAdvisor HSA – The Ultimate Retirement Account Roth Conversion Ladders Check the full show notes here: https://www.biggerpockets.com/moneyshow198 Learn more about your ad choices. Visit megaphone.fm/adchoices

There are a lot of excuses we hear from people as to why they can’t reach financial independence. They needed that new car, they needed that nicer apartment, they needed the expensive vacations. Often, this is what we hear from people making a high income, unlike today’s guest, non-profit worker Nate Forbes.Nate knew that he liked working jobs that tended to pay less, and with the support of his wife, he stayed at them. When his wife was ready to be a stay-at-home mom, Nate took a job with more pay but was by no means a high-income position. Even with Nate being the only breadwinner for the family, he and his wife were able to max out their retirement accounts, buy rental properties, and start doing BRRRRs.Since Nate was raised with strong frugality and not much of a consumer mindset, he’s used to living below his means, but his story of wealth accumulation is truly inspiring. From selling vintage clothing to living in a collective household, to hunting down an early 90s Honda Civic to get 50mpg on long commutes, Nate has done almost everything he can to live a life he loves all while reaching “coast” FI!In This Episode We Cover The importance of early financial education for young children Living below your means and striving to invest every year you can Keeping the job you love and finding ways to make more money on the side Maxing out your Roth and other retirement accounts BRRRR investing and doing live-in flips Realizing that life isn’t about math, and leverage may not be necessary for success And So Much More! Links from the Show BiggerPockets Money Facebook Group BiggerPockets Forums Finance Review Guest Onboarding Scott's Instagram Mindy's Twitter Fuel Economy Dave Ramsey Mr. Money Mustache Mad Fientist Check the full show notes here: https://www.biggerpockets.com/moneyshow197 Learn more about your ad choices. Visit megaphone.fm/adchoices

Getting out of debt can be very empowering, which is exactly how Azar and Jeffrey felt when they paid off $83,000 of debt in under 3 years! They thought it may be the best time to start investing in real estate, but with a surprise baby on the way, they need to be sure they’re prioritizing stability over growth. Since they’re in such a great position, they should be able to do both!Azar works as a school nurse bringing in a respectable salary, while Jeffrey gets disability payments. Both have pensions and retirement accounts, but they want something more than just those retirement options. For them, real estate seems like the next step. They’ve taken out a HELOC (home equity line of credit) in order to buy their next property, but need advice on whether or not it’s a smart move to stockpile cash for the new baby or go ahead with the real estate purchase.In This Episode We Cover Getting yourself out of high consumer debt  Refinancing so you can take advantage of far lower interest rates How much should you have in an emergency fund for a family of five? The potential benefits of paying off your primary residence before buying rentals Why HELOCs should be used for short term debt only And So Much More! Links from the Show BiggerPockets Money Facebook Group BiggerPockets Forums Finance Review Guest Onboarding Scott's Instagram Mindy's Twitter Check the full show notes here: https://www.biggerpockets.com/moneyshow196 Learn more about your ad choices. Visit megaphone.fm/adchoices

Student loans can often drag people into debt, especially when chasing more than one degree. But here’s an unusual story: Brenda Olmost, PhD student, nurse practitioner, and member of the FIRE community is graduating with NO debt. Amazing right? Brenda has worked her tail off over the past decade getting scholarships, living below her means, and working whenever she can so she graduates her program with no debt.Not only has Brenda done a fantastic job making extra income, she’s been investing on the side! She has a growing 401(k), a maxed out Roth IRA, and 2 rental properties. At 31, she’s in a phenomenal position to reach financial independence. Lucky for her, she loves her career, so even if she does hit her FI number, she’ll still be bringing in the dough to pursue more and more investment opportunities.If you want to hear more from Brenda, you can check out her podcast, Minority Millennial Money where she talks about budgeting, investing, saving, career, and relationships!In This Episode We Cover Staying off the hedonic treadmill and living below your means Pursuing high demand, high-income careers Getting scholarships and working on the side to pay for school Why you SHOULDN’T buy that new car you want Hitting “Coast FI” in your early 30s Using your extra income to invest, buy rental properties, and save And So Much More! Links from the Show BiggerPockets Money Facebook Group BiggerPockets Forums Finance Review Guest Onboarding Scott's Instagram Mindy's Twitter BiggerPockets Money Podcast 169 BiggerPockets Money Podcast 81 BiggerPockets Money Podcast 24 Check the full show notes here: https://www.biggerpockets.com/moneyshow195 Learn more about your ad choices. Visit megaphone.fm/adchoices

It’s a common concern among many Americans on whether or not they can retire on a timeline they feel comfortable with. In this episode, we talk to Deb, who’s having some of those same concerns. She has over $100,000 in assets (not including the house) and wants to be sure that she can provide a great life for her children all while saving more and more for retirement.Deb has read so many money and financial independence forums about mid twenty year olds with six-figure incomes and five-figure savings per month. Many people read about these stories and feel like they can’t compare, but if you’re in Deb’s situation, you’re already doing well with retirement savings! It can be dangerous to compare your journey to others who’s backstory you don’t know. That’s why we encourage everyone to save, invest, and spend at a rate that works for their goals!In This Episode We Cover Finding side-income sources and business that will help you with retirement savings Keeping an expense tracker and budget so you know exactly what you’re spending Having a sizeable emergency fund so you’re never in a bad position Giving every dollar a purpose in your budget Setting up your children with Roth IRAs so they can start investing sooner And So Much More! Learn more about your ad choices. Visit megaphone.fm/adchoices

Part of the mission of the BiggerPockets Money Show is to share journeys from all walks of life. Our guests show that no matter where you’re at, you can reach financial freedom and enjoy your life on your terms. Today’s guest, T Christopher Colton, is a shining example of pulling yourself out of the depths and into the light.Chris never liked school, and was spanked all throughout elementary and middle school for failing to pay attention in class. He was told he needed to go to college, but didn’t have the passion for higher learning that other classmates did. He ran away from home multiple times, ended up being homeless, and addicted to drugs. He had stints as a car salesman, before going into carpentry.With the help of his wife, Chris was able to get off the streets and live a stable life with his full time income. But, he wanted more. He became an electrician apprentice and started doing side work to help pay off the $100,000+ debt he had accumulated. Thankfully, he found out about financial independence through Dave Ramsey, putting him on a path to reject consumer debt, go hard on retirement accounts, and bring in more income.In This Episode We Cover The financial danger of buying a new car, and the costs that come with it Selling everything to get out of debt fast Moving states and reducing costs of living dramatically 401(k)s, IRAs, and Roth IRAs for retirement Starting a side business and having your W2 pay for your everyday expenses Getting your children on a path to success with early financial independence And So Much More! Links from the Show BiggerPockets Money Facebook Group BiggerPockets Forums Finance Review Guest Onboarding Scott's Instagram Mindy's Twitter WECA Apprenticeship CarMax The Ramsey Show Check the full show notes here: https://www.biggerpockets.com/moneyshow193 Learn more about your ad choices. Visit megaphone.fm/adchoices

In many of our lives, we make a decent salary, we try to save and invest, but we still feel bogged down by debt. How is it possible to feel “broke” while making a great salary? That is the question that Tiara, today’s guest, is asking. Tiara works as a park ranger in Texas, but wants to take a break in the next few years to go on a big travelling holiday.This is a great idea! She’s worked very hard, managed to get some assets under her name, and needs a break. But before she can go out and explore the world, she needs to take care of some high-interest credit card debt eating away at her bank account and her financial sanity. Tiara is also sitting on a rental property that has appreciated since she bought it. This rental property used to be her primary residence, so she still has some emotional ties to it, but with her current needs growing greater than her need to hang on to a negative cash-flowing rental, it may be time to sell the house.  Learn more about your ad choices. Visit megaphone.fm/adchoices

Many of us have had the benefit of growing up in households where our parents taught us about money, saving, and investing. Angela Rozmyn was raised in one of these households, and when she wanted something like a bunk bed, her parents got her to work so she could split the cost of it. Clearly this has helped her even to this day as she pursues financial independence and runs the Facebook Group “Women’s Personal Finance (Women On Fire)”.Before she was on her financially independent journey, she had to get rid of her student debt. She did so by working two jobs before getting into a full-time position and paying off small amounts of the loan as quickly as possible. She paid off $24,000 in student loans in less than 4 years, a huge accomplishment! One of the biggest factors that pushed her to pay off her loan so early was when she calculated how much she was paying in interest on a daily basis. This lit a fire under her to become debt-free.Now, Angela writes on her own blog Tread Lightly, Retire Early where she shares her money journey, mistakes, and tricks to hitting financial freedom. Angela prides herself on having such a strong community and blog position in a niche that tends to be led mostly by men.In This Episode We Cover Instilling a money mentality in children at a young age Paying off your student loans as fast as you can Having separate accounts when married/in a long-term relationship  Maxing out your IRAs and doing as much as you can for your future self House-hacking and finding a roommate that benefits your life And So Much More! Links from the Show BiggerPockets Money Facebook Group BiggerPockets Forums Finance Review Guest Onboarding Scott's Instagram Mindy's Twitter The Millionaire Educator One Frugal Girl Student Loan Calculator Retire by 40 BiggerPockets Money Podcast 161 with Mad Fientist BiggerPockets Money Podcast 187 with Tiffany Aliche BiggerPockets Money Podcast 124 with Millionaire Educator BiggerPockets Money Podcast 13 with Tanja Check the full show notes here: https://www.biggerpockets.com/moneyshow191 Learn more about your ad choices. Visit megaphone.fm/adchoices

Side businesses can be a fantastic way to boost your savings and investing rates, especially if you’re making a low salary! Rachael works in the insurance industry and is keen on getting a promotion soon, due to her recently acquired license. She loves her work and wants to stay with her company as long as she can, but she also wants to increase her income so she can save more for her retirement, her college funds, and pay off some student debt.Rachael has always been an artist and uses this talent to grow her small businesses. She hosts “painting parties” where she leads a group of people through painting a beautiful picture. She also has some designs that she sells over printing websites so people can buy them as mugs, mousepads, tee-shirts, and more.She does have a few things to cut out of her life, such as a very expensive mobile phone bill for her and her sons, as well as a love for eating out. Mindy and Scott’s advice is to start tracking expenses as soon as possible and get rid of her delivery app membership right away!In This Episode We Cover Why side-income streams are so important when building wealth Combining or keeping finances separate when in a marriage Why you shouldn’t liquidate your retirement savings before a divorce Cutting down eating out and making it easier to eat at home Saving on mobile service by going with a prepaid service And So Much More! Learn more about your ad choices. Visit megaphone.fm/adchoices