$27 Trillion National Debt and Counting, How It Gets Paid and Who Pays It

The debt of the US government recently crossed $27 trillion. Additionally, there are talks for another $2 trillion of stimulus (which the stock market is loving by the way). So, if passed, that would put the US national debt at around $29 trillion!

We should note that the US National Debt was about $20 trillion at this time in 2016. So, the debt was doubled to $20 trillion from $10 trillion (2008-2016) during President Obama’s two terms and looks to be on pace to double again over the subsequent two terms based on the increase thus far in President Trump’s first term.

A $29 trillion debt represents almost $90,000 per US citizen. That means a household with four people has about $360,000 as their share of the national debt in addition to their own private debt and their state and local government debt. Consider that total US household debt is about $14 trillion so that’s another $42,000 per citizen, or $170,000 for that same household of four on average.

Let’s consider what this really means. Continue reading “$27 Trillion National Debt and Counting, How It Gets Paid and Who Pays It”

Benefits of Working Longer

This morning I came across an interesting study produced by researchers from The Wharton School, “Working Longer Solves (Almost) Everything: The Correlation Between Employment, Social Engagement and Longevity.”

I’ve always believed that folks who retire should continue to do something productive well into retirement.

Based on my own experiences with retiring clients and family over the years, I’ve long believed continuing some sort of meaningful work into retirement would have a positive impact on retirees’ physical and mental health and longevity. Well, this study confirms that and more!

The study found that working longer produces three primary benefits for older adults:

  1. Financial security
  2. Physical health
  3. Mental health

Continue reading “Benefits of Working Longer”

Success and Happiness

Please pardon this brief departure from markets and economics, but it’s too interesting and important not to share!

Recently, a client shared the late Jack Bogle’s book, Enough, with me. (Jack Bogle was the legendary founder of Vanguard). It was recommended I start with the last chapter first, which I did dutifully. In that short chapter, Mr. Bogle shares something quite valuable that’s worth sharing here.

Mr. Bogle begins this chapter by quoting Albert Schweitzer, “Success is not the key to happiness. Happiness is the key to success.”

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The Most Satisfying Financial Achievements

I came across this over the weekend and just wanted to quickly share with you.

In my experience, which includes advising on over $1 billion of total client net worth ranging from $100,000 to over $200,000,000 per household throughout my career, I find this list to be pretty accurate. Share this with the young people in your life or anyone else who needs a little motivation to keep climbing the hierarchy towards financial independence!

As a reminder, my primary objective when working with clients to help my clients become and remain financially independent for the rest of their lives. Everything I do and all my advice is aimed at that goal.

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Continue reading “The Most Satisfying Financial Achievements”