Wednesday 23 September 2015

Financial Independence Via Self-Employment: How Do We Do It? | Zero Hedge

Financial Independence Via Self-Employment: How Do We Do It? | Zero Hedge



Financial independence via self-employment is still possible, and there are a number of pathways to that goal.
The conventional financial industry touts gaining financial independence by playing Wall Street's game: working a conventional job for decades to accumulate a chunk of money in retirement funds that Wall Street wizards magically squeeze for hefty annual returns in a zero-yield world--in a completely risk-free manner that keeps your nest egg intact, of course.
This annual yield on the large sum squirreled away over the decades then (supposedly) enables a spacious retirement home on the golf course, luxury cruises, etc. (Uh, right. Unless stocks and bonds crater, Wall Street's hedges crumble and the global economy slides into recession--y'know, everything that's happening now.)
(And never mind many households can't possibly save enough to accumulate a big nest egg due to stagnating wages and soaring costs of big-ticket expenses like healthcare and college.)
The other pathway to high-income retirement is to manage your career to earn multiple government pensions: in areas with large Department of Defense (DoD) installations, (military and civilian), this often means 20 years in military or civil-service that comes with a pension and healthcare benefits, followed by a second career in another government agency that secures another pension and maybe Social Security, too: this is the classic Triple-Dipper retirement plan.
A similar pathway is to have two workers in the household each retire with a government pension and Social Security, so the household income includes four secure pensions.

No comments:

Post a Comment