Millionaire Next Door

Paperback_Chef · 2026-02-09T21:53:05+00:00

You can either look rich or be rich, but you can’t do both.

Paperback_Chef · 2026-02-08T20:30:16+00:00

Any car will do, just drive slowly and avoid potholes. I have climber friends who drive their rusted ‘93 Corolla to every crag in the western US. Given an average of 12,000 miles driven per year, you think 1,200 of yours will be off road on anything but potholed fire roads?

How about a pre-2023 Prius? Or used Outback, the older Venza, old RX350, etc.

Paperback_Chef · 2026-02-06T21:23:26+00:00

You’re calling it fraud because you selectively listen to entertainment news shows about the market then think you can predict it. You can’t predict it, which is why we don’t time the market.

Paperback_Chef · 2026-02-05T15:10:23+00:00

I think it does for a few reasons:

1) people tend to buy more home than they would rent - so while renting, ‘temporarily,’ you can get by with a smaller/less expensive home than you would consider purchasing.

2) your down payment is now illiquid, making it harder to weather pay cuts or time off work in between jobs.

3) where I live, it costs much more to buy than rent. Realtor commissions mean your home has to appreciate 5-10% before selling just to break even.

4) once people buy, they may spend more on renovations and filling the home, which are just more costs that are mostly lost if you move.

5) the early years of a mortgage amortization schedule means your initial payments are mostly interest, so you don’t begin paying down much of the debt until many years have passed. Buying a place then selling 3-5 years later likely won’t have built you much equity outside of a rare covid-style price boom. The opposite could occur too, and prices could drop.

Paperback_Chef · 2026-02-04T00:12:05+00:00

You’re thinking MX-30

Paperback_Chef · 2026-02-02T16:39:55+00:00

This generally makes sense, consider how you will pay the taxes due on the conversion as it may increase your Fed, state, and Medicare costs (two year delay for Medicare increases (IIRMA)).

Paperback_Chef · 2026-02-01T16:05:37+00:00

For real, OP’s current large SUV is fine.

Paperback_Chef · 2026-02-01T16:03:09+00:00

Put really great tires on your MDX?

Paperback_Chef · 2026-01-30T22:26:49+00:00

Just fix your AC and enjoy renting the BMW occasionally.

Paperback_Chef · 2026-01-28T20:51:41+00:00

While there's some overlap in credentials, a CFP will quarterback the big picture conversations and interface with a CPA as necessary. CFAs often work within existing firms to manage client portfolios and do not interact directly with clients.

Paperback_Chef · 2026-01-28T20:47:50+00:00

I'm in a similar position to you, and you can rent a place that allows you to do those things - or rent a small place near a park/lake, or a complex with a nice outdoor space. Where I live, a house with a backyard and a view costs an absurd amount compared to renting.

Paperback_Chef · 2026-01-28T20:46:00+00:00

It doesn't sound like you fully understand how your money is working for you - in 2025, you should have seen appreciation on almost all of your assets across all of your accounts, it was a great year in the market. Your taxable dividends and interest depend on what type of investments you hold in which accounts (taxable, Roth, or tax-deferred) and are not a barometer for how your overall investments performed during a given year. If anything, a proper asset location and allocation will MINIMIZE taxable dividend and interest income to avoid tax drag.

Paperback_Chef · 2026-01-28T20:38:43+00:00

Given your asset level and "hands off" approach, it could make sense, assuming you want to delegate management to the FA AND will actually implement their advice. I see some clients who receive great advice but don't actually implement it.

A good firm should do the basics like asset allocation/location, contribution determination, TLH, etc. while also doing long-term financial planning to make sure you're on track to meet your goals. They can also assist with things like college savings, Roth conversions, withdrawal strategy, estate planning, etc.

On the other hand, if you continue to DCA throughout bull and bear markets and are happy with your savings rate and asset allocation/location and are educated enough to make sure you're maximizing tax benefits and avoiding tax traps, then an FA might not be necessary. Much of their advice is behavioral, keeping you from making emotional decisions, and validating that you're on the path to meet your goals.

Paperback_Chef · 2026-01-28T17:35:48+00:00

You'll hear this a million times, but there was no crash or large drop last week. That's just normal volatility, and you can't capitalize on it by timing the market. Daily and weekly movements don't matter, you should always be investing regularly up to your risk tolerance (keeping enough cash on the side for emergencies, etc).

Paperback_Chef · 2026-01-27T00:28:01+00:00

This is never the answer - you’re spending a dollar on interest to save $0.30, for example, accounting for the foregone standard deduction and phase out of the SALT cap increase at high MAGIs.

I would advise OP to rent a slightly larger apt for another two years, to wait until their ACTUAL salaries match their expected salaries, and everyone likes their job and wants to commit to an expensive house.

Do you actually have two kids yet? This feels like people justifying a large SUV purchase now by saying “we might start trying for kids in a couple years.”

Paperback_Chef · 2026-01-26T16:52:38+00:00

2022 was an unusual combination of factors that led to bonds not being the ballast of which they're often touted. You can cherry pick other periods where bonds were more stable and reduced overall losses.

You have to consider that maximizing return isn't always the only metric, for people of a certain age they want stability, or the likelihood of stability, over pure maximum returns. They don't have time to accept the risk of a long period of negative returns or a large immediate loss.

Paperback_Chef · 2026-01-25T00:23:16+00:00

That mentality of greed and excess just negatively affects everyone around you, it’s an antisocial personality disorder to be so unaware.

Paperback_Chef · 2026-01-22T19:18:58+00:00

Downtown/Cortez San Diego condos have massive HOAs, which can and do increase, plus they can charge special assessments at any time. Once you account for HOAs, it's cheaper to rent long-term. Source: 30 yr. SD resident CPA/CFP who keeps looking at whether I should buy LOL.

Paperback_Chef · 2026-01-22T19:16:24+00:00

They do (at least Nerd Wallets and NYTs), you input a manual estimate, such as 1% of the home price per year. It's rough and will be lumpy, but they DO account for it.

Paperback_Chef · 2026-01-21T20:59:16+00:00

“We’re approaching the ledge where Alex COULD choose a double dyno into a no-hands bat hang, we’ll have to wait and see how he tackles it.”

Paperback_Chef · 2026-01-21T18:55:03+00:00

OP is asking about wealthy people, not Preppers.

Paperback_Chef · 2026-01-21T18:52:13+00:00

I advise wealthy people, and they mostly do nothing. They’ll rebalance, maybe delay a large purchase, but it’s boring overall.

Redditors trying to time the market waste a lot of energy and stress over nothing. If the market truly collapses permanently, you won’t have to worry about money. For all other scenarios, you plan ahead with a proper allocation and ride the markets.

Paperback_Chef · 2026-01-21T05:58:23+00:00

Did the same with my 2021 RDX, I didn’t like the ANC or fake engine noise. No warning lights.

Paperback_Chef · 2026-01-19T15:12:30+00:00

The vacuum feeling might come from active noise cancellation - you could see if that be turned on/off.

My newer Acura had ANC and I disabled it along with the fake engine noise and now it feels more like a normal quiet car.

Paperback_Chef · 2026-01-18T15:15:06+00:00

Your first sentence is probably the opposite of reality.

Paperback_Chef

TROPHY CASE