Thinking about religion things. Sorta complicated topic!
Unfortunately, money is an easier topic to make progress on. Some uncommon favorites of mine:
Your time to financial independence / retirement can be derived from only your savings rate!
Depending on the situation, not getting seemingly insignificant luxuries like a new car + collision insurance, cable tv, or the frequent latte could save you from years of working!
This leads to interesting questions like: “Do I really want to trade <X> weeks/years of my life for <Y>“?
Note: There are more optimizations/hazards to this. See other MMM posts for the high-level advice or for the complicated details, see ERN: https://earlyretirementnow.com/2017/11/01/shockingly-simple-complicated-random-math-behind-early-retirement/.
The process of opening credit card accounts for the sole purpose of getting the signup bonuses, and then moving onto the next credit card.
See https://www.choosefi.com/009-travel-rewards-travel-world-free-ultimate-guide/ for a great intro, summarized below:
The basic idea is that you tell your employer to not withhold money to pay your taxes, and instead you withhold and pay it yourself with a credit card.
It's not every quarter!” Spring is 2 months and winter is 4 months. Odd
Apparently some states don't let you do this? But Federal and Oregon are ok with it.
The federal income tax is a pay-as-you-go tax. You must pay the tax as you earn or receive income during the year. There are two ways to pay as you go. Withholding and Estimated tax.
Estimated tax payments aren’t a substitute for withholding.
The way you tell your employer to not withhold income taxes for you is through your W4 form.
You need to figure out how much to pay each quarter. While one could use the IRS Withholding Calculator or the above spreadsheet for figuring their 2018 taxes and pay 90% (Federal and Oregon) of it in quarterly installments, a shortcut is just to pay quarterly installments of 90% (Federal) or 100% (Oregon) of your 2017 tax liability. Since it involves less thinking, I'm fine with the latter. To summarize:
90% (Form 2210 https://www.irs.gov/pub/irs-pdf/f2210.pdf) or 100% (Pub 505 https://www.irs.gov/publications/p505#en_US_2018_publink1000194564) of previous year taxes, in 25% installments every “quarter”.
100% of previous year taxes, in 25% installments every “quarter”.
Interest on underpayment of estimated tax: You will have an underpayment if you pay less than: • 90 percent of the tax to be shown on your 2018 income tax return (at least one‑fourth on each payment due date); or • 100 percent of the tax shown on your 2017 income tax return (at least one‑fourth on each payment due date); or • 90 percent of the tax figured on your 2018 annualized income
Enter the smaller of line 13a <90% estimated 2018 tax> or 13b <100% 2017 tax liability>. This is your required annual payment to avoid interest on underpayment of estimated tax.
If you don't have a lot of taxes to pay, you can combine 2 quarters of tax payments into a 3-month credit card window as done in the cash flow spreadsheet. Pretty clever!
Otherwise just be sure that the payment goes through in time (I saw 2 weeks ahead of time for some Federal processors).
Should I do Traditional or Roth 401k/IRA? Since when you want to pull the money out of the account when you're retired and <not> working, most likely your tax bracket will be much lower! Traditional it is!
Pay with credit card now and then keep HSA money invested and growing! Very un-intuitive conclusion that I needed to make a spreadsheet for. I still don't believe it!
And you can time the market to some extent too! (although not totally sure on this) https://earlyretirementnow.com/2018/02/21/market-timing-and-risk-management-part-1-macroeconomics/
Feel free to ask me to clarify anything and give feedback! firstname.lastname@example.org