It’s Not What You Earn, It’s What You Keep

Keep more money pay less taxes

You make money.  You spend money.  That’s the cycle.  Financial independence comes from doing the following 3 steps: Earning more Spending less, and Investing the difference It is really that simple. Today I want to focus on Step 2: Spending Less. Spending comes in all forms.  You buy things you need like food, clothes, shelter. You buy things you want like iPhones, high-end clothes, big-screen TVs, etc. And some things are skimmed off the top before your paycheck reaches your hand.  In other words…..taxes. A Brief History of The Income Tax Believe it or not, the United States didn’t always

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Our Emergency Fund Worked

Our emergency fund worked

My wife and I have stable jobs in the healthcare field.  We live off 1 income.  Theoretically, we don’t need an emergency fund because the chances that both of us will be out of jobs at the same time is very small.  That said, I am very cautious by nature, so we have an emergency fund. What Is An Emergency Fund An emergency fund is a stash of money set aside to cover the financial surprises life throws your way. These unexpected events can be stressful and costly. Some of the top emergencies people face primarily a job loss, but

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Creating the Most Time-Efficient Personal Finance Plan

Creating a time-efficient personal finance plan

In my early years, I used to focus A LOT on frugality.  When we got married in 2005, my wife was still in school and I was just starting my career.  My frugal efforts included clipping coupons.  I would spend hours online or driving around shopping for the best deals.  I would get at least 5-6 different quotes for service jobs/handywork.  I would spend hours a week grocery shopping.  My wife and I would spend a few hours a month cleaning our home.  I would spend 1 hour every week cutting my lawn.  I would drive miles for a deal

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My Experience With Angel Investing

My experience with angel investing

Before I get backlash for angel investing in start-ups, you should know that 99% of my invest-able assets are in low-cost, index funds or real-estate.  That said, I’ve always been intrigued with alternative investments. I watch a lot of shark tank. It’s nice to watch business owners present a good business model and get funded, but I’m more intrigued with the sharks. Wouldn’t it be nice to be the next Mark Cuban or Mr. Wonderful? Angel investing is a way to invest in small start up companies that have high growth potential.  It’s an area that I’m still experimenting. What

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FFtF Passive Income Report – May 2018

I hope you will enjoy this passive income report. If you want more details including my exclusive income and net worth report, please join below.  Enjoy the post! Welcome to the first monthly passive income report.  To be honest, I’m more focused on growing our net worth, so my passive income isn’t very high. A practical example of trading passive income for growth is buying growth stock (think Facebook or Netflix) versus buying a value stock (think Coke or GM).  Growth stock has the potential to grow my net worth while value stock dishes out a passive dividend every quarter.

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How I Saved $90,000 in a Roth IRA over 3 Years

The Mega Post on the Mega Backdoor IRA

You’ve heard of the Roth IRA.  Your income determines whether you qualify to contribute or not. If you make too much to contribute to a Roth, you’ve heard of the backdoor Roth IRA.  This is a perfectly legal way to contribute to a Roth IRA even if you make too much income.  However, the mechanics can get complicated if you have any money in a rollover IRA, traditional IRA, or SEP-IRA. Enter the mega-backdoor IRA.  This bypasses any income limits AND bypasses the issue of having money in pre-tax retirement accounts (rollover, traditional, SEP).  This technique has the potential to

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The Pros and Cons Of Front-Loading A 529 Plan

Pros and cons of front-loading a 529

Mrs. Financeforthefamily and I want to pay for our 4 children’s eduction.  Our parents helped pay for most of ours.  We have decent incomes so we feel that we should be able to help. We also think that our incomes and assets may pose challenges in getting loans in the future.  Our children are currently 9, 7, 3, and 1 so we have 9, 11, 15, and 17 years, respectively, to fund their college savings accounts. Will Our Children Even Go To College?   College is not for everyone.  However, we anticipate our children will likely go to college.  Our

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9 Simple Family Finance Rules

9 Simple Family Finance Rules

Remember the story of that dude who wrote 9 simple money rules all on 1 index card? If not, here’s a brief summary.  Harold Pollack, a University of Chicago social scientist, mentioned on his personal video blog that all the best personal finance advice can be found for free in the library and can fit on an index card.  Problem was, the index card didnt’ exist. He went home, wrote up 9 rules on an index card, and posted it online.  IT WENT VIRAL. I’ve read a lot of things in personal finance over the last 15-20 years.  His 9

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The First Post – Hello World

Welcome to Finance for the Family! My name is Jake.  I’m in my early 40’s and live in a suburb located in the Northeast part of the United States with my wife and four children ages 9, 7, 3, and 1.  My wife and I both have steady, high-income jobs in the healthcare field.  Mrs. Financeforthefamily is a practicing physician and I am a pharmacist working in the corporate setting. As a family, we’ve accomplished many financial goals.  Although we have a mortgage on our primary home, we have the ability to pay it off right now.  We keep it

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