35 min
AIE 176: Millions Locked in Retirement Accounts… What to Do? Adulting Is Easy: Making Personal Finance & Real Estate Easy
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- Business
Lauren throws Andy a curveball right at the beginning by asking WHY he paid his house off. This is a very controversial topic in the personal finance world. Turns out, he had an OK reason, but the interest rate was pretty low…. Next, she asks how much money people need for retirement. Andy has a different take than she’s heard before. There’s a difference between wanting to retire after 59.5 and wanting to retire early. The planning is different, but a margin for error is important. Then, Andy and Lauren transition to discussing real estate, which Andy got into around age 40. Unfortunately, his desire to enter this space was predicated by a family tragedy. On the slightly bright side, his first deal was a win in a lot of ways. This leads to a conversation about net worth versus cash flow, and when in your lifetime you should focus on each. If you start with net worth, Lauren wonders how long it takes to transition to income, and Andy has an answer for how it went in his own life. It turns out, Andy potentially over contributed to his retirement accounts, locking up millions of dollars and causing him to take a hard pivot in his 40s. Lauren was on the path, but realized it and dialed down her retirement accounts in favor of a brokerage and real estate before it ballooned too much. Naturally, Lauren must ask Andy about his early retirement health insurance plans. In his final thoughts, Andy tells us about one regret he has: not taking advantage of Roth options once they came into existence. He also tells us about a great decision he made: getting life insurance for his wife.
If you liked this episode, you’ll also like episode 167 Wealth Blueprint: Using Your 9-5 To Buy Assets and Retire Early or 173 about passive income streams.
About Andy:
Andy began investing for the long haul in 1994 at age 23. He invested 25-40% of his income into growth mutual funds for over 20 years. Over time, he became a multi-millionaire, but his net worth was tied up in retirement investments which are not accessible until 59½. That’s when Andy began investing in income producing assets. He began acquiring rental properties, peaking at 4 in 2019. Andy added additional income streams by buying music rights and loaning money to friends and family. Next, he then added dividend ETFs in 2021. In 2022, he discovered selling options and now makes over $100k/year in this niche.
Andy formally retired from his Engineering job in corporate America at the end of 2023 after replacing his 9-5 income while having no debt including a paid off house. He has multiple sources of income in five different niches. Andy has also appeared on Dave Ramsey’s “Millionaire Hour” as well as The Millionaires Unveiled podcast.
Connect with Andy:
https://twitter.com/MillionaireDoor
Facebook: A Millionaire Next Door
www.eliteoptionsacademy.com
Web: www.MillionaireFinancialCoach.com
Connect with Lauren:
https://twitter.com/AdultingIsEasy
https://www.instagram.com/@adultingiseasyreal
https://www.housemoneymedia.com/
Lauren throws Andy a curveball right at the beginning by asking WHY he paid his house off. This is a very controversial topic in the personal finance world. Turns out, he had an OK reason, but the interest rate was pretty low…. Next, she asks how much money people need for retirement. Andy has a different take than she’s heard before. There’s a difference between wanting to retire after 59.5 and wanting to retire early. The planning is different, but a margin for error is important. Then, Andy and Lauren transition to discussing real estate, which Andy got into around age 40. Unfortunately, his desire to enter this space was predicated by a family tragedy. On the slightly bright side, his first deal was a win in a lot of ways. This leads to a conversation about net worth versus cash flow, and when in your lifetime you should focus on each. If you start with net worth, Lauren wonders how long it takes to transition to income, and Andy has an answer for how it went in his own life. It turns out, Andy potentially over contributed to his retirement accounts, locking up millions of dollars and causing him to take a hard pivot in his 40s. Lauren was on the path, but realized it and dialed down her retirement accounts in favor of a brokerage and real estate before it ballooned too much. Naturally, Lauren must ask Andy about his early retirement health insurance plans. In his final thoughts, Andy tells us about one regret he has: not taking advantage of Roth options once they came into existence. He also tells us about a great decision he made: getting life insurance for his wife.
If you liked this episode, you’ll also like episode 167 Wealth Blueprint: Using Your 9-5 To Buy Assets and Retire Early or 173 about passive income streams.
About Andy:
Andy began investing for the long haul in 1994 at age 23. He invested 25-40% of his income into growth mutual funds for over 20 years. Over time, he became a multi-millionaire, but his net worth was tied up in retirement investments which are not accessible until 59½. That’s when Andy began investing in income producing assets. He began acquiring rental properties, peaking at 4 in 2019. Andy added additional income streams by buying music rights and loaning money to friends and family. Next, he then added dividend ETFs in 2021. In 2022, he discovered selling options and now makes over $100k/year in this niche.
Andy formally retired from his Engineering job in corporate America at the end of 2023 after replacing his 9-5 income while having no debt including a paid off house. He has multiple sources of income in five different niches. Andy has also appeared on Dave Ramsey’s “Millionaire Hour” as well as The Millionaires Unveiled podcast.
Connect with Andy:
https://twitter.com/MillionaireDoor
Facebook: A Millionaire Next Door
www.eliteoptionsacademy.com
Web: www.MillionaireFinancialCoach.com
Connect with Lauren:
https://twitter.com/AdultingIsEasy
https://www.instagram.com/@adultingiseasyreal
https://www.housemoneymedia.com/
35 min