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Roaming Returns
Most nomads just relocate their hustle—freelancing, content grinding, or trading time for money on the road.
We’re Tim & Carmela, the Income Investing Nomads.
On Roaming Returns, we break down how to build hybrid income streams—dividends, value investing, strategic flips, and tax-smart strategies—that decouple your time from your income.
So you can fund your freedom, travel full time (even in a van), and stop deferring your life.
No hype. No one-size-fits-all dogma. Just real numbers, tested strategies, and honest conversations about how to make work optional.
New episodes drop every Tuesday.
Roaming Returns
048 - Why You Shouldn't Wait Until Retirement To Start Living
A lot of people put off doing the things they dream of until retirement. But what happens if you don’t make it that long?
The Data shows a higher probability than you might think of people dying before 65.
No one really knows when you’ll go. That's why you should plan for the worst by investing so you can go tick off your bucket list items before it’s too late.
If you need a refresher on the stocks Tim thinks are good for 2024 based on macro trends, listen to these 3 episodes.
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Ticker metrics change as markets and companies change, so always do your own research. The content in this podcast is based on personal experience and is for educational purposes, not financial advice. See full disclaimer here.
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Welcome to Roaming Returns, a podcast about generating a passive income through investing so that you don't have to wait till retirement to live your passions.
Speaking of which, a lot of people put up doing the things they dream of until retirement. But what happens if you don't make it that long? We're going to talk about that in a minute. But first, we're going to talk about how you can make it that long.
The data shows a higher probability than you might think of people dying before 65. No one really knows when you'll go. Plan for the worst by investing so you can tick off those bucket list items before it's too late.
You guys were listen, you know, my grandpa died in February and he was like my mentor. He taught me most the important stuff. In March, my father passed away from an infection.
And in April, my mom passed away from I don't know what they don't know what yet. So after Grandpa passed away, I looked at because he lived to be 98, 98, 98 or 96. He was old.
He lived to be he was well beyond his retirement year. So I looked at the longevity, the longevity factor. And when it came to retiring.
And that's something that a lot of people overlook. They just don't think that they're going to live 20 or 30 years beyond 65, even though they kind of want to. So I find that oxymoronical.
And we looked at that and like insurance companies are actually doing stuff now where they take that longevity factor into account whenever they do like annuities and pensions and things like that. So I wanted to do the flip side of that because my my dad was 68 and my mom was 67 when they died. So they literally just reached retirement.
And I wanted to approach that for a couple of reasons. The first being so many people put their lives on hold. I wanted to look at like how many people actually make it to 60, you know, make it to retirement.
And then I wanted to look at how many people didn't. And then I also want to approach the topic as my parents both had things they wanted to do when they retired. And I'm fairly certain they didn't accomplish those because they were putting them off, putting them off.
And they got like that. They got sick. They got sick and they died like pretty much right after they retired.
So it's going to be a no bueno. One of those episodes. One of those.
But this is a really good thing to have as a perspective, because it's like when my cousin died at 29, it really, really. I mean, that's really young. And that is a prime example.
And one of the catalyzers for me to essentially say I need to quit working the job that I despise to start living more of the life that I want to live, because tomorrow is never promised. It's not like my parents. My dad wanted to work on the farm or he went to pill around and do some stuff that he may or may not have done that through the years.
I don't know. Like I haven't really spoke to them in like 20 years. So like I'm not at an emotional loss.
This is more of a existential, a reflective, reflecting exercise on myself. My mom, I know what she mentioned when she retired, she wanted to travel back to Pennsylvania, oddly enough, where we are and to revisit her roots because she was born in Waynesboro, Pennsylvania, down south. And rather than doing that throughout her life, she wanted to do it when she retired and she got sick.
And I don't think she ever made it back to Waynesboro. So the lesson learned from that is if you have stuff you want to do, just do it. Like you had to prioritize it sooner than later.
Nike had it right. Just do it. Just do it.
Because you never know. And when we get into the data, you'll see that like most people think that they're going to make 65, but there's a large percentage that don't. So if you're one of the percentage that doesn't make it to 65, would you rather live your life to the fullest before passing at 64 or 62 or whatever? Or would you want to be those that were pushing pushing everything back until they retired and they actually never actually retired, so they actually never really lived their life? I'm assuming I'd be pissed.
You're filled with regret when it comes to the time to go. And if you do the reincarnation thing, you're going to have to come back a second time to live the exact same life. Be my guess.
I mean, if you study that. Well, and even if not, you're going to be super disappointed on your deathbed because regrets are essentially the fact that you chose not to live. You chose obligation and all this other stuff or the things that really are important.
There's an excellent book that I read by Bronnie. Somebody's she's an Australian who worked as a hospice care person, and she summarized the five top regrets of the dying. I think that's the title of the book.
And it was very informative. So most people regretted working too much, working too much. Some people actually like working.
No, no, no. But I'm saying people works just the general. I think it was like working too much.
It was that they didn't nurture their relationships, that they didn't live the life that they wanted. They like for them. They live somebody else's life.
When I was researching the data for this, I think it was expressed in a podcast email. I came across similar findings that like most people's biggest regret is they didn't actually spend time with their loved ones. They didn't spend time doing what they wanted to do.
And they spent too much time living a life that they thought other people wanted them to live, whether that be houses, cars or style or trying to please everybody, losing themselves. So that's actually in a lot of different resources. You can actually find the data on that.
If you just research, regret the regrets of the dying or something like that. And so many people won't even face the mortality aspect. But I actually think there's a lot of wisdom and to prevent regret when you get to that point.
Well, that's like I was going to tie that into the investing portion, like what actually led me down the path that I'm on as I did. I wanted to live my life when I wanted to live my life, not wait until I was 65. And so I actually had to face death, face the fact that I'm going to die at some point.
Everybody, it's an inevitable. But I also had to like, how am I going to get what I to where I want to go? Like the most efficient, not the quickest, because quickest isn't solution, but the most efficient, the way that's like, I don't know, time tested data, data backed like dividends and invest in income. Investing seemed to be the the best way with lots of data supporting that.
If you just invest for income and growth with the dividend stocks that your investment portfolio will grow as rather than shrink through the years. And the biggest bitch was when I was looking at like all the different recommendations for the retired, like maybe one or two actually discussed like using live off your interest in dividends. The rest of them were doing some crazy shit like annuities or four percent rule or like a two and a half percent rule.
Like you literally take out money from your retirement account or you trade your retirement account for an annuity. So the annuity does the same exact thing that you could be doing with your own retirement account with. And that's the only if you get a good annuity, people are going to do an episode on them in a few weeks.
So it was very it was really interesting to see that. Like, that's why this started. And that's why we do this every week, because there is a big void here that people don't address that you can retire early if you set your portfolio up appropriately.
Would you actually generate income that you can withdraw and actually not touch your retirement? Yeah, that's the key. So that's how this all started. Actually, it's like I thought about this long before my parents have.
But now I have a real world example. But the reason that is so important is because you really never know when you're going to kick off. So you plan for the unknowable.
And the best way to do that from an investing perspective is the dividend approach, because you never have to touch the nest egg, which means you can live as short or as long as you're destined to. Well, I think it's more because of my personality. I'm more proactive than reactive and proactive to me is to actually set up a system that I can rely on and use in the future now, as opposed to reacting to, OK, I'm only getting sixteen hundred dollars in Social Security.
I only have like two hundred thousand in my retirement saved up. How am I going to live off this? That's a reactive approach to retirement. And that's seriously flawed, in my opinion, that like you're failing to plan is planning to fail.
Yeah, facts. I'm trying to educate people to be more proactive and you wait. So we got some bangers coming up.
Oh, man, the next couple episodes are going to be epic. Just like because like one of the biggest discussions amongst people is how do I save money up to actually put it in investments? And I found some shit that is going to blow your blow your socks off, man. Yeah, it's a couple concept you've heard about, but nobody's ever put them together in the way that Tim just put them together.
And it is phenomenal. So tune into the end. We might do a little bit more of a teaser, but definitely tune in next week.
OK, let's get back to this. Back to death. Back to the data.
OK, so when I was looking at this, according to the the most up to date census in 2023, newborns born in 2024 can expect to live on average to 79 for females and 74 for males. That's on average. Obviously, all this is all the all the information I'm going to provide is going to be on average.
But if you take that as average, women have obviously a longer lifespan. We've discussed that previously. But the part that struck me is that men like on general only live to 74 and then we retire like between 65 and 70.
So what very disproportional fuck is that about? Very disproportionate golden years. I love that WTAF because everyone uses WTAF. I love WTAF what the actual fuck.
I used to say WTF CB with the fucking crap bitch. And then I looked at a report from the United Nations Population Division, whatever the hell that is. And they showed they did.
They compiled a bunch of data for five years, and they found that 85% of women can expect to live to be 65 or older, whereas only 75% of men can expect to live to be 65 or older. That means one in four men die before they're 65. Well, obviously, women, again, live longer.
So they have a better, better lifespan and better data. But I was looking at this from my perspective because, you know, I'm a dude. So 25% of men won't make it to 65.
And then they broke it down further by income, like low income people. Like if you make less than $30,000, you only have a 55% chance of reaching 65 years old with the current environment. That's crazy.
Yeah. Well, it's crazy because like we're going to be living off of like 15. What is it? $18,000 here in a year or two.
Well, but I don't think that's the point they're making. I imagine if you dig deeper into that study, they'll say something about usually the lower income people are more stress oriented, which means their health declines. So they have to put more focus on obligations and other things.
So they lack in health. That would be my assumption that our lifestyle is not going to be like part of the part of the we're much healthier when we live nomadically. We're going to get to the health component here in a hot minute.
Sorry. So that's the data that I went with. And it's like, so if you look at like there's only a 75% chance that men will only like that men will live nine years longer, nine years more than 65.
So my grandpa was a huge outlier. My dad seems to be more of the median and I thought he died way too young. So that's crazy to me.
Like as a guy, you have to plan, not plan for death. It's like before 70, but like, it should be on your mind that, Hey, there's a possibility, a pretty good possibility. Like one in one in four is not anything to sneeze at. No, that's a quarter. And so you have to plan accordingly and so you should have your retirement account set up. You should have your investment portfolio set up already if you're a man.
If you don't, you're behind and you have to figure out something and the next couple of podcast episodes will actually help in that. If you're having problems now with like living paycheck to paycheck, well, there's actually ways that you can still invest and get a nice lump sum. Now when it came to my parents, my parents, I grew up in a farm, I don't know if I mentioned that, I grew up in a farm in the middle of Podunk, Colorado.
So we raised all of our own beef and chickens and turkeys and pigs and we raised our own fruits and vegetables. So like there, and we didn't use pesticides, we just used horse shit and cow shit for fertilizing the garden. So we never used pesticides.
All of our meat was hormone free, grass fed, there's no antibiotics, anything like that. Their diet was actually better than the majority of Americans diets in that regard that the food didn't have GMOs and it didn't have pesticides or hormones and they still died super young. Now caveat that though, Tim was taken away to foster care when he was like 11.
So he doesn't have any first hand experience between then and now when he's 48. My sister said they did the same thing. I talked to her.
Okay. So his sister did say that they've kept up with that. But Tim also did tell me that they did drugs.
My mom was, my mom did, she was, she got in auto accidents when I was younger. So she was doing a lot of pain relievers. I don't know if they're opiates or not, but pain relievers.
Oh, they're bad on the immune system. So she did a lot of that for like as long as I can remember and I'm assuming that continued. I didn't actually ask my sister about that.
My dad did marijuana and that from like the time he was like 14 on and I hit this, this craze is that marijuana is like the best thing ever and it's like I can tell you firsthand it's not. But what do I know? The cat's bringing a bird right now. So just to ignore her and they both smoke cigarettes.
I'm pretty sure until the day they died. So they're like, so that just shows that you can actually have, cause they live like living on a farm. They were outside every day with the sun, getting the vitamins and the nutrients on manual labor.
They got the fresh air and everything, but they're like one component of the health thing that they neglected was their lungs and drugs. I'm pretty sure their lungs was a contributing factor to their death, but whatever. So then I looked at the diet of the national, of the Americans and the National Cancer Institute reported in 20, I believe 2022 that three out of four Americans don't eat a single piece of fruit in a given day and nearly nine out of 10 don't reach the minimum recommended daily intake of vegetables.
That's 90%. That's crazy. I'm guilty of that sometimes, but unless corn's a vegetable, if corn's a vegetable, I'm golden.
I eat tons of corn, tortillas. And I think we talked about the blue zone, which is the higher populations of the centurions, the people who live to be over a hundred and one of the biggest factors or one of the main factors in their lifestyle was plant-based diets. Plant-based and I'll get to a tidbit here in a minute where there's a, there's a, seems like a subtle difference, but it's actually a huge difference.
On a weekly basis, 96% of Americans don't reach the minimum, minimum number of greens or beans, which is only three servings a week. Wow. That's really low.
98% don't reach the minimum for orange vegetables. I don't know what the hell an orange vegetable is. Those are the B vitamin ones, carrots.
That's only two servings a week and 99% don't reach the minimum for whole grains. So we're talking huge discrepancies in what actually a healthy diet is as opposed to an unhealthy diet. And it seems like 95% of Americans actually have an unhealthy diet.
Then I went to the Department of Ag, I don't know if you can believe it or not. I mean, it's a government entity, so whatever. 32% of our calories come from animal foods, 57% from processed plant foods and only 11% from whole grains, beans, fruits, vegetables, and nuts.
So 57% is coming from plant-based foods, but it's processed plant-based foods, which is not any better than just eating processed food crap. Whereas only 11% of our diet. So our diet needs to switch and the reason I went down the wormhole is because they had a really good diet.
So if they had a really good diet, there had to be other factors. And if it's literally just the cigarettes, then nobody should smoke. Smoking should be outlawed.
But we keep investing in Moe. Well, because people are going to smoke. It's their choice.
This is true. But if you want to improve your longevity in life, there's some core components. One is fresh air.
Big time. Another is sunshine. As much as they bitch about you can't be in the sun because you might get sunburn, skin cancer, blah, blah, blah, blah, blah.
But sunshine gives you- You only need 10 minutes a day if you're white, if you have darker pigmented skin, 45. That's literally it. The third is exercise.
You have to do exercise every day of some sort. I know they say three to five times a week of 30 minutes, but if you exercise every day at some point, if you look at the blue zones, they all do something every day. According to the health thing I read, it was only 21 or 22 minutes a day of just moderate But it has to be every day.
150 minutes a week or 22 minutes a day. That's literally all it is. They're saying three to five times a week and that's not accurate.
It has to be every day. God, that cat's annoying. And then the fourth would be diet.
Diet's probably number one. I'm not doing these in the list of importance. I'm just breaking them up.
And another component would be mental and spiritual health. I was going to say lack of stress would be a big one. Those are the five core components to actually improve your odds of longevity.
And actually, when I was doing the research for this, because you're as old as I am, everything that you've been told is health problems, mental problems, diet problems, all this shit is reported to genetics. And that is simply not true. It is not true.
And I actually was just reading a book that was talking about how 50 percent of the population, when they hit the age of 18 and they can enlist in the military, are actually disqualified due to health reasons. That is huge. The numbers are getting worse and worse and skewed more and more towards the younger generations.
And they're speculating that it's because of the negative inputs over a long period of time and then the compound factor. So the reason the older people are living longer and the middle-aged people are living shorter is because they had a longer exposure to less ideal inputs, whereas the older people tended to have very good diets, less chemical exposure, less stress and all these other things back in the day. But the newer generations have more chronic stress, more toxin exposure, more poor diets, more lethargy, lack of sleep.
I mean, you just stack things on and on and on. And plus, I don't know if I mentioned this before, but when a person gives birth to a child, they pass on 50 percent of their toxic load to that child. So if you look at it from a compound exponential curve, like children just keep getting worse and worse for numerous reasons.
Yes, what I was saying. I know. It's not true.
It's genetics. But I was looking and like depending on what report that you trust, you're looking at anywhere between an eighth to only a quarter of your ailments and problems in life are based on genetics. Well, according to epigenetics, epigenetics is the inputs that you put in turn on and off your genes.
So if you have the crappiest genetic setup in the world, but you do all the right things, you have a better chance of those things not turning on than somebody who has a great genetic makeup and do all the wrong things. They're more likely to come down with cancer regardless. Well, I don't intend this to be a health thing, but like health is an actual huge.
We've discussed it in a podcast previously. Health is a huge component of why you're investing and whether I mean. Take this for whatever it is, but if you do these things and you do not choose to change any of these things, it probably will dictate that you should actually invest sooner than later and retire sooner than later.
Enjoy your life sooner than later because your chances of living longer are less likely. So if you want to just accept that for what it is, choose your own adventure. What I found super interesting is when I compared like the longevity quote unquote problem versus the dying before you're 65 quote unquote problem, it seems like there is an actual bell curve.
If you remember bell curves from statistics, like if you do 65 as the low part of the bell curve, then you bumble it up to like 78 is like the median and then you go down and it's like above 90 is the other flat part of the bell curve. It's just interesting that my grandpa lived to be in the one part of the high end of the bell curve. And my parents are on the other side.
That's very interesting. So Tim's got both that genetic makeup. So I got the context of both when I was doing the research and like I would much rather be in my grandpa's shoes aside from the dementia.
I think there's ways to actually combat dementia that we won't get into that. I would rather have a dementia problem than like a complete body health problem in my 60s. Yeah.
What my grandpa did was he ate pretty good. He walked to the bus stop every day. So he was walking half a mile to a mile every day.
He pretty much did all the good things. He did all the good things. He didn't drink.
He didn't smoke. Like he drank a lot of water. He drank milk.
I mean he did some things that were like this doctor said was bad like he ate bread and butter. But he did so many other good things. And then I look at the other end with his son and his son's wife.
They had a similar diet but they had other different health choices and they didn't. They lasted 30 years. I really got the impression from what you've told me though that they had a high stress.
And I think stress is one of the biggest. So they lived 30 years less than that. So it's just interesting that the same genetic tree could produce completely different ends in the spectrum.
Yep. Happens in every family. So I'm guessing, I'm hoping that I at least make the bell curve part at 78, 79 to be in between them.
I'm definitely going to live longer than both my parents just out of spite. I was going to say Tim's very competitive and very starved. I was talking to my sister and my sister, she has some health problems starting.
She's my age, right? She's born in 84. So yeah, she just turned 40 this year. So she's already developing health problems whereas the biggest problems with my body are like it's breaking down.
I have like a trigger finger and I have like some knee pain and stuff like that. That would be because you would lack vegetables in your diet. Yeah.
So I'm just as guilty as the people who's reading like my vegetable intakes, I'm better than the average apparently, but not much. Like I do corn. It's only because I hide vegetables in the other stuff that I make.
So like I'll rice vegetables or I'll make stuff and I'll stick vegetables in the other stuff that he likes. And I actually do this. He's like, I'll eat vegetables.
That's what I'm saying. If you cut rice, if you cut the vegetables, if you dice them up into like, so they look like rice, mix it in with rice, I'll eat vegetables every day. Tell them about the goulash.
goulash. Then like, so one of the best recipes that I make is goulash. It's like a chili.
Slash goulash. Slash goulash type of thing where I put like tomato sauce and we chop up a bunch of vegetables and I put beans in it. And I put some.
It's kind of like stuffed peppers, but unstuffed and in a pot. And then we put extra vegetables, mushrooms, peppers, onions, whatever with rice and beans. It's going to be a staple in the van whenever we get in the van here.
And then he'll eat it with like tortillas and burrito wraps and. Oh, definitely chips. Tortilla chips are corn.
So like I said, I get a shit ton of corn in a week. Yeah, but it's processed corn. It's still corn-ish.
Ish. It's yellowish. Weren't you just saying processed plant food is not as great? It's not as good.
That's processed plant food. But I don't like corn on the cob. It's disgusting.
Just saying. Just pointing that out. I like frozen corn.
I'm just pointing that out. And frozen peas are my fave. Oh my god, I love frozen peas.
Hypocrite. Sometimes. So the point is, I would assume if you're a dude that you're going to live to be 74, but there's a possibility that you're going to live to be only like 64.
So you should plan accordingly. So take an objective view of your habits. And I think the biggest point of this is you literally, I know it's very difficult for humans to do it because our whole evolutionary process is to survive as long as possible.
But you literally should focus on the fact that you're going to die one day. I know we joked about it last week, but we all are going to die. So you should plan your life according to I'm going to die.
There's a possibility I could die like five years from now. I could die at what am I, 52, five years from now. I actually think the movie Bucket List was a great example where he's like sick, Morgan Friedman's sick, and Jack Nicholson or whatever his name is is sick too.
And they just basically decide to go out with a bang. And they just start doing all this stuff that they were planning to do for their life. But your bucket list should be done long before you're old and sick.
Well, there's also this amazing video of this chick who has a vase and she has big rocks and sand. And if you dump the sand in first, which is supposed to represent all the little stuff that you do without really thought, and you put off the big things you really want to do, you can't fit the big rocks in after you dump the sand in. But if you put the big rocks in first, the sand moves around into all the little nooks crevices and there's room for both.
So the whole point is don't put your bucket list stuff off until you retire. Try to pick one or two of them off a year or more if you can because, again, tomorrow really is never promised. I was just working on my bucket list today.
We've actually illustrated a perfect way to basically double your money every seven years in your portfolios. So obviously if you start with more, you're going to double more. If you start with less, you're going to double less.
It's going to double, but it's going to be less. But then the beauty of what we've got going on is if you say you only start with $50,000 or $30,000, it takes you 14 years to double that to $80,000 or $160,000 or whatever. You can totally retire on $160,000 to $200,000.
If you recall the episode we did, if you have $230,000, you can totally retire on that living on dividends. Well, you don't even necessarily need to retire if you don't want to retire. You can just take an extra week of vacation and go do those bucket list items.
So it's like you can create a hybridized strategy if you have less to retire on. I think most people's objective is to get through the shit part of life so they can do the enjoyable part. And I think that's flawed and I thought that was flawed since the first time I ever heard it when I was in high school and definitely in college.
You should be doing the important stuff alongside the shit stuff or you should just cut the shit stuff out as soon as possible so you have longer duration to do all the important stuff. To me, the important stuff is the stuff that you want to do or wish to do like the fact that my mom wished that she could come back to Pennsylvania to revisit her roots but she never did it. To me, that seems like that was an important thing.
She worked at a lumber company as a secretary. Going to work at a lumber company as a secretary, that seems not important. And I do this exercise where I basically project to my deathbed and I think about the thing.
And if it's something that I'm going to regret, I prioritize doing it. If it's something that isn't going to matter in that grand scheme of things, I deprioritize that thing because it just puts things in perspective and clarity and it kind of is a morbid exercise. But when you actually do that, you start getting clarity of perspective.
I think it's actually healthy to do that. But that's my opinion. I'm obviously not a psychologist or psychiatrist.
I think it's very healthy. I think it's healthy to actually project to your demise because it actually part of human life is there's an end and the end makes it so that you have to do everything that you want to do. The end reminds you to live.
And that's how I look at every time I go to a funeral. There's a lot of sci-fi stuff out there where you see all the old farts that actually keep living until they're 200, 300, 400 years old, they live indefinitely. That to me sounds awesome.
But if you think about it in the context, that's not. Well, it's still a problem if you continue to work and work and work and work and work and put off the enjoyment of life. You're not fixing the problem.
If you live to be 1,000. But you put it off until you're 957. If you live to be 1,000, what's the point of time at that point? Yeah, it kind of makes time is time creates meaning and create lots of meaning.
So like that's why when every time so like and I'm going to deal with it more, I'm pretty sure 2024 is not done yet. I'm pretty sure my grandma's going to go at some point this year and have four of his like my entire family will literally cry before people that raised me and like molded me and all died a few months. They all died.
It's pretty crazy when your period. So that's going to be like my grandpa was way more upset than my parents. My parents, I understand that sounds bad, but like there's a lot of factors that go into that.
If you listen to the first episode, you'll know like Tim grew up in an abusive family, went into foster care. So I mean, it makes sense that he's like, I'm not upset about the parents passing, but I like I do come from that genetic splice so that I have some things to think about. I understand genes are only like 10% to 25%, but they're still a part of part of what's going on.
And the fact that I totally could have helped them had they ever reached out at any point and said, Hey, you know, if you have your retirement accounts set up, we could invest it this way. So you actually have more and more income every month to live off of. And then it's going to be a really interesting exercise, even though they screwed his sister by not having a will set up.
Don't do that to your kids. People. Tim's going to actually sit down with her at some point to figure out what's actually left over debts versus what assets he's not going to take any of it because he, my sister did everything for him.
She deserves all of it. She deserves all of it. And I'm going to set her up and her, she just has, she has her second kid on the way.
So like her and her kids will be set up. So we're going to actually set that up and we'll probably actually talk about that on the podcast when we go through that. But that'll be once we get on the road and we actually traverse out to Colorado.
But like what I was getting at is these seven, like every seven years you're going to double your investment income. So like you in theory, it shouldn't even take you 20 years to get to a comfortable number. If you've been investing for 10 years, you've been, but you've been doing it wrong with gross stocks.
But if you've like, if you just started when we first started like doing the podcast, you just started, you're already a year into your 20 year journey. Speaking of gross stocks, didn't you just say something about utilities? Yeah. The utility stocks are one of the best.
If you look at the best performing sectors in 2024, one of the ones that we mentioned in the end of 2023 are actually banging off in 2024 and it's the utility sector. We made a special point in the beginning in January to talk about utilities. And it's not, they're not even doing the best part yet because the interest rates actually haven't been lowered yet, but they're still popping off.
If you got into utilities when you first heard that, kudos. If you didn't, there's still time cause there's a lot of undervalued utilities out there. Like I said before, utilities and BDCs and REITs, they all depend on interest rates for their borrowing.
And so they've, they're, they're borrowing higher and higher, so they're actually having less profits and less margins. So the, those lower rates is going to help them immensely. So like if they lower the rates at some point in 2024, the first or second quarter of 2025, all these BDCs, REITs and utility stocks are going to pop off because they're going to have more, more revenue.
And if you want a refresher on those stocks, go back and watch those episodes. Just a thought. Like, like it's like the macro trend is like, okay, these things have been repressed because of interest rates.
Well, interest rates aren't going to be high forever. And once they've turned around and those sectors are going to pop off. So you like, you want to be a value investor first, a contrarian investor second, and you want income as third.
Well, the value is they're all undervalued. Contrarian is no one will touch them with a five foot foot pool because they're all, oh, there's so much debt and they have high interest rates. And then third is income.
They are all popping off. Like the utilities are like four to five or 6% and the BDCs and REITs are all like 10, 12, 14%. If you can do a 10 or 12, 14% portfolio that'll actually take the number of years it takes to double your money down to like five years.
Yeah. 10% I think it's every seven. It'll be like five, five to six years.
You'd be doubling your income if you can get a good portfolio, good portfolio of high yielding stocks or closed ended funds. If you do that, like that's a whole other monster that, but you can totally have like a 20% portfolio that every five years you're just doubling your money and it's safe and it's actually growing. So like I don't, the objective is to make your work, to me anyways, I may be wrong.
People might love their job. To me it was to make the work, the work life much shorter and the play life much longer. I concur because then you can enjoy working.
And we are probably less than three months away from vacating the condo and going in the van. Yeah. It's not going as fast as I'd hoped, but I'm also not trying to stress myself out to the point where I have like health decline.
So it is what it is. I just bought a bike this week. So $3,000 chunk of change right there.
But I save for it in bullet shares and I let the bullet shares grow at 7% for like a many, many, many months. It's like 12, 14 months. And? So I'm paying for my new bike with all bullet shares.
Spoiler alert. We put it on credit cards. So I'm going to get cash back.
Yeah. When, like when we get into these, like don't, don't do it, don't do it, don't do it. Next week or one of the next.
So what I was going to say. Podcast is going to be credit card points and tax refund investing strategies. So what I was going to say is if you're worried about trying to find money to invest, you need to tune into the next two episodes because Tim's found a way, three different ways essentially to come up with a huge chunk of change.
If you combine all three of them and you do it for 13 years, it's like damn near $600,000 that's like invested. 13 years, $600,000 and that's not even taking anything out that you wouldn't already be And then if you let the 600,000 compound for the following 17 years, it would be 2.5 million just on like the 13 years of what I got in store. But if you're not going to live that long, but just saying, if you do, then you have holy crap balls.
It's pretty bang. Like I've never, I've seen people paint around the edges, but I've never seen people put it all together as same as it's similar to like this podcast and the email letter and the website. Like I've seen people paint around the edges of high yield investing and income investing, but I've never seen them combine the contrarian, the value and the income in a way that makes sense and that is actually really lucrative.
Like I named it sieve investing. Like her mom's account is up, I think 14% for 2024 whereas the S and P is only a 5% our accounts up like 9% for 2024. Her mom's account last year was actually, it actually lost, or I think it was equivalent to what the S and P did.
I don't remember. I have to look at the data. Ours was a little bit below it, but that was because of those big lost ones we had.
But then like even, but then the shit show that was, I think a 2022 and everything was down her mom's account vastly outperformed the S&P and ours was still better than the S&P. We still lost a lot less and that's including like our huge loss in Icahn, our huge loss in medical properties and our huge- Wasn't there a third one? Yeah, there was a third one. We had like some, Account Camping World's like a thousand. Yeah, yeah, yeah.
Okay. So we had three huge, huge losses and we still outperformed the markets using the strategy that I'm giving to you guys. So like if you guys get, if you guys are taking the email and you look at the 10 that I'm giving you and you like research and you just pick one of them and you put that into your portfolio, you are light years ahead of most individual investors.
And I'm going to reiterate this again and I know Tim said this, but I actually just saw it pop up in another book. The entire performance of the market really is only because of six to 10 stocks. So unless you think that you can actually pick growth stocks from the proportion, that's like a, what's like six in a thousand? I don't know, .06, .006, something like that.
That's a really small percent. Oh, but speaking of growth stocks, I have- And they do not give you the safety buffer of the dividend thing. Bang, two banger growth stocks I just put into her mom's portfolio.
I'm not talking crap on growth stocks here, Tim's going to drop a couple. First is SoFi. If you don't have SoFi, put a couple hundred dollars into SoFi, that shit is going to be at least double to triple in a couple of years.
That's a really, like they're vastly under, they're undervaluing SoFi. The second is PLTR. It just had an earnings where it smashed it and it's actually really profitable and it went down a lot.
That one's probably going to be two to three, maybe five times within a couple of years. Okay, those are both earnings report snafus, right? Yep, and they're going to be banger growth stocks. I have them in my IRA and I have them in her mom's retirement account, which I can't do anything about because she doesn't have an IRA, so she'll be taxed on them, but they're in my IRA, my Roth, and I'm holding those- For life.
... until they pop off. But then I was trying to think, like if you have Hercules Capital and Main Street Capital, you have two stocks for life of your portfolio. That's like 7% right there.
If you have any questions, revisit the starter portfolio and you can actually find, you can get like 10 to 11% just based on that and that's like not even 10 years double. That doesn't include price appreciation. That doesn't include dividend growth, but Hercules and Main Street, they grow their dividend every year.
So like your nine years is going to be seven years. If you can find the good companies that grow their dividends that have a high yield, your time spent to double your money is a lot less. And you don't have to sell your assets off to even cash in.
That's literally the key. I'm still dumbfounded that I still get emails. I've unsubscribed from a lot of them where they're still telling me like the best way to do this is if you have $2.5 million in your retirement account, you just do this here where you're only taking out this much and it's like, why would you take anything out? Yeah.
Why would you take your bottom line unless you have an extenuating circumstance? I'm so confused that they do that and that there's actually experts out there saying that that's the way to do it. To me, it would be have your money, make money, use that money that your money is making to live off of. And then that way, because people are really concerned about their heirs and shit like that.
You have a legacy. You have money to give. You can pass.
I know you can. In most instances, you can pass your stocks on to your kids. And then they'll have the passive income set up, which then you'll have to worry about teaching them not to be spoiled little prick bags.
Teach them how to keep the method going. I'm hoping this continues for the next 20 years that we keep giving out awesome information. And this goes well beyond my time on here.
And people are like- We're going to be doing this as long as we're investing. So- And people like 30 years after I died are like, well, this guy knew what was up. That's the objective anyway.
They're like, who's this crusty old white dude? Yeah. But that's pretty much all the people invest there. Like Buffett's a crusty old white dude.
And just FYI, I know I gave out in the resources, I said Tim Fallon's a really good one. He just had a podcast episode this week about yield maxes, which we covered eons ago. Mm-hmm.
And they're like super high on yield maxes now. So- How far ahead are you? Months. Months ahead.
Months. And Brett Owens, this contrarian investor, he just brought up Triple M and Verizon. He normally does closing in funds, but he just discussed Triple M and Verizon like we did that months ago.
And like I'm just saying like I'm like, because I do so much shit that these people with huge audiences, they can't make recommendations until they're 100% sure where I can do it on a whim because it's like whatever. And I think you're just going to keep doing that. That's just going to be how we are.
Even if I had like the audience, they have like 300,000, 500,000 people, I'd be like, eh. But we're not trying to sell crazy packages. That's what they're trying to do.
Well, they're trying to. That's why they have to be 100% accurate. Yeah.
That way they can say, look at my accuracy. I've won. Like I've beat the market nine out of 10 years and I've won this many trades, so buy my shit.
I'm not selling anything. I'm just giving information out there so people can learn, so more people can live the life they want to live, so the world's better because everyone's happy. Agreed.
That's the objective. But this episode was about death, so. We tried to make it spicy.
Hopefully, you people are better off with your parents. Like if this happens to you, you'd be upset. Like all it was to me was like a look back in the mirror like, okay, what have I done in my life that's right and wrong and how long am I going to live because they died young? Well, to be honest, there's positives on both sides of it.
If you're real close to your parents and you lose them young, you really probably would introspect a lot more and be like, wow, okay, like that might hit them deeper than it did for you. I don't know. It could be possible.
But then I have a unique belief that we are all a spirit. Because I know when my parents die. Spirits go where they go, like you can believe in heaven and hell or whatever, but we all go on to something else.
Like personally, and I know this sounds morbid, I kind of hope my dad kicks off sooner than later because he's got a spending issue and there's no freaking way with him not having a retirement set up that he's going to be able to last remotely comfortably with the health decline and everything that's going to happen in his retirement situation. That's going to be, I am not looking forward to trying to figure that whole thing out. That's a prime example of not what not to do with your life when it comes to retirement saving.
Yeah. So that's going to be a big burden or stressor on me and my two brothers. Her dad's going to work until he dies because he has no choice but to work until he dies because he has no money set aside for retirement and he can't stop spending money.
So like everything you could possibly do wrong when it comes to. He's got goldfish syndrome. He literally absorbs to the size of the income because he takes on debt thinking he can work to make up the debt.
Like he does it in reverse where he takes on, he constantly takes on debt to have a reason to work. I'm like, what are you doing? The part that's interesting is like her mom's going to be worth a lot of money here by the time crypto gets done doing its doing in 2024 and 2025. Yeah, I'm not worried about her.
So thank God I don't have two of them. She's going to be worth a lot of money. And that's only because she's actually letting us manage her portfolio.
Not that we're tooting our horns, but. Yeah, she's actually a boomer that knows that she doesn't understand anything about investing. So here, take it over.
I basically just told her, I'm like, don't even worry about it. Just do what you're going to do. Next week, we're going to talk about some ways that you do not need to actually take any money out of your normal paycheck to invest.
You can find other ways that are going to make you crazy amounts of money at no suffering and withholding from yourself. It's going to be amazing. If you can do what I came up with.
You'll be set. And then save a little bit on top of that. Dude, you're golden.
Golden. Just fucking golden. All right.
So hopefully you enjoyed this episode. And it wasn't too morbid with the whole death talk. But you guys need the eye opener.
Everybody needs to do some introspection. So hopefully you got some some gold out of this one. We'll see you next week when I'm in a better mood.
Better mood? I'm joking. Oh. See you guys next week.
Bye. Bye.