#586: If you are a complete beginner at finances, or if you know someone who is, this episode is for you.

The biggest hurdle for beginners? Money seems complex and intimidating. But Scott Yamamura, author of Financial Epiphany, explains personal finance doesn't have to be complicated. He breaks compound interest into three easy-to-grasp frameworks:

1. Money as a Multiplying Ability: Just like athletes have peak physical abilities in their 20s, your money has its greatest multiplying power when you're young. At age 22, every dollar invested can multiply 16 times by retirement (assuming a 40-year career and 7.2 percent returns).
2. The Doubling Framework: Money can double approximately every 10 years with average market returns. This explains why a dollar invested at 22 becomes $2 by 32, $4 by 42, $8 by 52, and $16 by 62.
3. The Halving Concept: With each decade that passes, your money's multiplying power gets cut in half. This is the inverse of the above idea.

Scott shares how these simple frameworks helped him front-load his son's college savings. "We can stop now because it's going to double," he said.

For beginners struggling with analysis paralysis, Scott offers a Rubik's Cube analogy: You don't need to understand all 43 quintillion possible combinations to solve it — you just need one simple method to get started.

Similarly, you don't need to master every financial concept to begin investing.

The most important step is just to get started. You can learn the complexities later, but starting early gives your money more time to grow.

Scott also emphasizes finding your "why" — a purpose bigger than just accumulating wealth. He shares a moving story about a man named Ernie who funded his mission trip to Sierra Leone, showing how money can be used to make a profound difference in people's lives.

Timestamps:

Note: Timestamps will vary on individual listening devices based on dynamic advertising run times. The provided timestamps are approximate and may be several minutes off due to changing ad lengths.

(0:00) Introduction 

(1:16) Scott discusses reframing compound interest as "money multiplying ability"

(3:47) Money multiplying power works like athletic ability - strongest when young

(7:02) Scott addresses challenges of saving when young and broke

(10:29) Explanation of the Rule of 72 for doubling money

(13:43) Every dollar invested at 22 multiplies 16x by retirement

(17:08) What to do if you're starting late with retirement savings

(20:44) Three core ideas of compound interest

(23:19) Using the concept of "halving" to create urgency to invest

(30:30) Finding your "why" to overcome financial temptations

(33:07) Scott shares personal story about Sierra Leone mission trip

(36:46) The joy of spontaneous giving as motivation for building wealth

(40:53) Balancing retirement savings with paying off debt

(43:38) Simplifying finance through the Rubik's Cube analogy

(52:50) Paula's wrap-up with actionable investing advice for beginners

For more information, visit the show notes at https://affordanything.com/episode586

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#585: Michael rebalances his portfolio every year. But he’s worried that triggering capital gains taxes on his brokerage account will cancel out the benefits of reallocation. Is there a better approach?

Sam has an opportunity to switch jobs, but she’s confused about how an Employee Stock Ownership Plan stacks against her current employer’s 401(k). Is she getting a good offer?

Carlos is excited about early retirement in Brazil, but he’s worried about the tax implications for his U.S.-based retirement accounts. How should he prepare for this move?

Former financial planner Joe Saul-Sehy and I tackle these questions in today’s episode.

Enjoy!

P.S. Got a question? Leave it https://affordanything.com/voicemail

For more information, visit the show notes at https://affordanything.com/episode585

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#584: Think about how you spend an average day. Would the 10-year-old version of yourself be impressed? What about the 90-year-old version?

These two powerful questions frame our conversation with Sahil Bloom, founder and managing partner of an early-stage venture fund with investments in over 60 startups and author of The Curiosity Chronicle, a newsletter that reaches more than a million readers worldwide.

Sahil shares the story of his own wake-up call. While living in California and earning massive money as a venture inventor, he had a drink with an old friend who asked how often he saw his parents. When Sahil answered "about once a year," his friend asked how old they were. Learning they were in their mid-60s, his friend calculated: "So you're going to see your parents 15 more times before they die," assuming they'd live to about 80.

That gut-punch realization led to massive change. Within 45 days, Sahil had left his job, sold his house, and moved across the country to be closer to family.

This shift represents the core of Sahil's philosophy about the five types of wealth:

1. Time wealth: Control over your calendar and priorities

2. Social wealth: Deep, meaningful connections with others

3. Mental wealth: Curiosity, purpose, and personal growth

4. Physical wealth: Health and vitality

5. Financial wealth: Traditional money and assets

Most of us focus exclusively on financial wealth because it's easily measurable. But Sahil argues that true wealth encompasses all five domains, and we should intentionally invest in each one.

Sahil shares practical exercises for building each type of wealth:

- For time wealth, create an "energy calendar" by tracking which activities energize versus drain you

- For social wealth, map your relationships based on how healthy and frequent they are

- For purpose, ask yourself what your world (family, community, etc.) needs from you

- For physical wealth, focus on movement, nutrition, and recovery through simple practices

- For financial wealth, clearly define what "enough" looks like for you

These five domains aren't meant to be balanced perfectly every day. Instead, Sahil suggests thinking in seasons — some periods might emphasize financial growth while others prioritize family time.

Sahil also discusses powerful concepts like goals versus anti-goals (what you're unwilling to sacrifice to reach your goals) and "Memento Mori" — the ancient Roman practice of remembering one's mortality to inspire present action.

The conversation ends with a reminder that "your life has seasons" just like the weather — you don't expect to experience all four seasons in a single day, so don't expect perfect balance in every area of life simultaneously.

For more from Sahil Bloom, find him on major social platforms or visit fivetypesofwealth.com.

Timestamps:

Note: Timestamps will vary on individual listening devices based on dynamic advertising run times. The provided timestamps are approximate and may be several minutes off due to changing ad lengths.

# Episode Timestamps

(0:00) Would your 10-year-old self be impressed with your life?

(1:46) Sahil's wake-up call: seeing parents only 15 more times before they die

(4:19) The Tail End: visualizing how few books and moments remain in life

(6:56) Small changes that dramatically increase time with loved ones

(13:26) The tension between ambition and presence; why "later" becomes "never"

(17:42) Why we measure financial wealth but not other forms of wealth

(19:47) The five types of wealth: financial, time, social, mental, physical

(30:09) Creating an "energy calendar" to track what energizes vs drains you

(38:09) Relationship mapping: evaluating connections by health and frequency

(42:33) Goals vs anti-goals: what you're unwilling to sacrifice for success

(51:17) Why your purpose doesn't need to be your work

(54:46) The 30-day health challenge: movement, nutrition, recovery

(57:05) Vonnegut and Heller on having "enough" vs wanting more

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#583: Contrary to recent discussions, Jesse has concluded that a traditional IRA is the smarter way to go for most people once marginal tax rates are factored in. Is he missing something?  

An anonymous caller is four years away from early retirement but she’s unsure if her portfolio allocations are in the right place. How and when should she start converting equities to cash?

Luz is confused about how to handle company stock options. Is there an ideal spread between the exercise price and the stock price? And, what should she do once the stocks are exercised?

Former financial planner Joe Saul-Sehy and I tackle these three questions in today’s episode.

Enjoy!

P.S. Got a question? Leave it https://affordanything.com/voicemail

For more information, visit the show notes at https://affordanything.com/episode583

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#582: They had it all. Six thriving children. A 40-year marriage. A household income of $200,000.

Then in her 60s, she discovered a shocking truth: he had gambled away their entire retirement savings in penny stocks. 

She had no access to their financial accounts during the marriage. After divorcing, she was left with nearly nothing. Today, she relies on her adult kids for support.

Harvard-trained family law attorney Aaron Thomas joins us for a Valentine's Day discussion about prenuptial agreements — not just as divorce insurance, but as a framework for building stronger marriages.

Thomas is a three-time winner of Atlanta's Best Divorce Attorney and a leading expert in family law. He’s the founder of prenups.com and authored The Prenup Prescription.

Thomas explains that every married couple already has a prenup by default: their state's laws. In 41 states, judges have broad discretion in dividing assets "equitably" — which might mean a 70-30 split rather than 50-50. The remaining nine states are community property states, where assets are typically split equally.

But even in community property states, determining what qualifies as joint property can spark fierce debate. For example: if you entered marriage with $100,000 in a 401(k) and continued contributing during the marriage, how much belongs to you vs. the marriage? What about a home you owned before marriage, but your spouse helped pay the mortgage?

To prevent financial surprises, Thomas recommends couples hold "annual shareholder meetings" to review finances together. He suggests creating three buckets — yours, mine and ours — with clear agreements about spending. For example, his prenup requires both spouses to approve joint account purchases over $500.

Beyond asset division, prenups can include requirements like marriage counseling before filing for divorce, or mediation if custody disputes arise. While prenups can't determine child custody or support payments, they can establish frameworks for working through conflict.

The biggest benefit, Thomas argues, isn't protecting yourself in case of divorce — it's creating clarity and communication during marriage. By having difficult conversations upfront about money, expectations and conflict resolution, couples build stronger foundations for lasting partnerships.

Listen to this episode to hear our full conversation about how prenups can strengthen marriages, prevent costly court battles, and help couples align on money management from day one.

Timestamps:

Note: Timestamps will vary on individual listening devices based on dynamic advertising run times. The provided timestamps are approximate and may be several minutes off due to changing ad lengths.

(0:00) The hidden marriage contract

(3:01) Legal definition of marriage and financial rights

(12:42) Historical view: marriage as duty vs love

(19:38) Prenups defined: financial rules for marriage

(24:20) Annual money meetings between spouses

(27:26) Why "everything is 50/50" is a myth

(35:21) How separate property becomes marital property

(39:26) Real examples: retirement accounts and homes

(44:44) State prenup vs your own prenup

(48:04) Using prenups for counseling and mediation

(55:07) Pets in divorce: property not custody

(57:30) Family loans and spending limits

(1:01:57) Financial transparency prevents disasters

(1:07:21) Community property vs equitable division

(1:10:34) Why every couple needs money agreements

(1:14:51) Postnups and no-nups explained

Resources Mentioned:

• Home - Prenups | Website
• Prenups.com (@prenupguy) | Instagram
• Book Your 30-Minute Consultation Today - Afford Anything - Prenups | Website
• The Prenup Prescription | Book

For more information, visit the show notes at https://affordanything.com/episode582

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#581: Today's question is different.

There's something special about it — and you'll understand why in a moment.

An 84-year-old listener left us a voicemail about his struggle to break free from mortgage debt. He and his 83-year-old wife need to move from their two-story townhouse because they can’t climb the stairs any longer.

They found a single-story ranch house that fits their needs perfectly — except for one detail: it carries a crushing $4,200 monthly mortgage payment.

They do have one potential escape route from this debt: selling their Florida condo, a vacation retreat that they haven't visited in years due to mounting chronic health challenges.

But Hurricanes Milton and Helene ravaged their building last year. The storms spared their unit but destroyed the lobby and submerged their car in floodwater. The devastation slashed $100,000 from their property's value overnight.

Now they face an agonizing decision: Should they accept this massive loss and sell the condo to free themselves from debt? Or would selling now, after such a steep drop in value, mean locking in their losses?

Joe and I have answered hundreds of questions from our listeners over the years. But this question is special. It comes from my Dad.

__________________________

Here’s the transcript of my father’s full question:

Hi Paula and Joe, 

My name is Prahlad. I am 84 years old, and my wife is 83. We live in a two-storied townhouse in Atlanta and also own a two-bedroom condo on the beach as a second home in Clearwater, Florida. 

Recently, we purchased a one-storied ranch home in Atlanta so that we don’t have to go up and down the staircase at this old age. 

Our condo in Clearwater is on the 9th floor of the 14 storied building. We love the condo with views of the Gulf of Mexico and the Bay. However, we have not been able to visit it for a long time due to our underlying health conditions. 

We purchased the condo for $400,000 in 2015 and it was estimated to have appreciated to $800,000 in 2022. Since then, the price was estimated to come down to $775,000 in the Spring 0f 2024.  

As you know, this area was hit by two major hurricanes Helene and Milton in September and October last year. The lobby of the building was flooded with extensive damage and it is still under construction. The parking area under the roof was also flooded and our car was totaled. Fortunately, our condo did not suffer any damage. 

There has not been any significant real estate buy and sell activities in this neighborhood since it was hit by the hurricanes last year. My real estate agent estimates that the current value of the condo is $700,000. 

This building has been preparing for a major renovation of the plaza deck for the past few years, and we or the future owner anticipate to be assessed a large amount – maybe $30,000 – for the renovation. 

We were hoping that we could sell the condo and pay off the mortgage for the ranch home we recently purchased in Atlanta, and be debt free. 

What do you think – should we sell it now or wait until some later time – maybe until next year? 

Your advice would be highly appreciated. Thank you both for what you do. 



For more information, visit the show notes at https://affordanything.com/episode581

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#580: "If you want to understand what's happening in the economy, look at bonds," begins today's episode, where we explore how the bond market acts as a crystal ball for economic trends.

The bond market has been sending some clear signals lately. Interest rates remain elevated, with 10-year Treasury yields about 1 percent higher than their September 2024 low. After a challenging 2024 where bond returns flattened to just 1.18 percent, both the U.S. and U.K. are seeing historically high yields.

We break down what's driving these changes and explain key concepts like term premium — the extra return investors demand for holding longer-term bonds.

The Federal Reserve's recent moves are shaping this landscape. After cutting rates by 1 percentage point between September and December 2024, Fed officials are now signaling a more cautious approach, wanting to see further inflation decline before considering additional cuts.

Then we explore why President William McKinley is suddenly relevant again. McKinley, whose term began in 1897, was known for his imperialist expansion and love of tariffs.

His presidency came towards the end of what historians call "the long 19th century" — a period from the French Revolution in 1789 to the start of World War I in 1914.

This era was marked by massive social upheaval, major technological advancement, the First Industrial Revolution, and huge migration into cities. It also included the California and Klondike Gold Rushes.

The episode then turns to what some are calling the "Cold Rush" — the race to claim influence in the rapidly changing Arctic.

With ice melting four times faster than global averages and the potential for ice-free Arctic days by 2030, nations are competing for new shipping routes and access to resources.

We examine three emerging paths: the Northern Sea Route along Russia's coast, the North-West Passage along North America, and the Transpolar Sea Route across the North Pole.

Finally, we dive into an overlooked story: the global tax war. In 2021, 136 countries agreed to establish a 15 percent minimum corporate tax rate to prevent profit-shifting to tax havens. While the U.S. already exceeds this minimum with its 21 percent domestic rate, implementation faces challenges due to different methodologies for calculating tax bases and recent political developments that could affect its future.

Resources mentioned:

https://www.federalreserve.gov/econres/notes/feds-notes/the-treasury-tantrum-of-2023-20240903.html

https://www.pimco.com/us/en/insights/will-the-true-treasury-term-premium-please-stand-up

https://www.bls.gov/news.release/pdf/empsit.pdf

https://youtu.be/gQqcKepuQdA?feature=shared

https://www.morningstar.com/bonds/how-largest-bond-funds-did-2024

https://www.npr.org/2025/02/05/1229167003/mckinley-trump-tin-tariffs

https://www.economist.com/finance-and-economics/2025/01/23/the-arctic-climate-changes-great-economic-opportunity

https://www.clingendael.org/pub/2020/presence-before-power/4-greenland-what-is-china-doing-there-and-why/

https://www.clingendael.org/pub/2020/presence-before-power/

For more information, visit the show notes at https://affordanything.com/episode580

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#579: Todd is in a real estate bind. He found out six days before closing on a new home that it wasn’t legally sellable. And renters are moving into his current home in two weeks. What should he do?

Anonymous is excited about expanding her real estate portfolio. Should she sell her $2.5 million rental property in the Bay Area to do this, or can she keep it and leverage the equity instead?

Former financial planner Joe Saul-Sehy and I tackle these two questions in today’s episode.

Enjoy!

P.S. Got a question? Leave it at https://affordanything.com/voicemail

For more information, visit the show notes at https://affordanything.com/episode579

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#578: Fear blocks smart money moves. Ask Harvard Business Review advisor Dr. Margie Warrell, who guides Fortune 500 companies through strategic risk-taking. Her client roster includes NASA, Morgan Stanley, and Google.

Her understanding of courage started at home. Her 13-year-old daughter landed an Australian TV role. She flew to LA for acting classes. There, she learned the hard truth: Success meant waiting tables for 20 years.

The daughter's verdict was clear: "Mum, I don't want it enough."

This reveals what Dr. Warrell calls the courage gap. It's the space between your current life and the life you could create through brave action.

For investors, this gap appears daily. It's the distance between dreaming of financial independence and taking concrete steps toward building wealth.

Drawing on her doctoral research and Fortune 500 consulting experience, Dr. Warrell outlines five critical steps to bridge this gap:

1. Focus on what you want, not what you fear. 

Our brains have a negativity bias — we're twice as sensitive to potential losses as potential gains. This explains why market downturns feel more intense than upswings. 

2. Rewrite your story. 

The narratives we tell ourselves shape our actions. Perhaps you see yourself as "too risk-averse" to start a business or "not smart enough" to understand investing. Reframe these stories so you can take smart financial risks.

3. Embody courage physically. 

Fear lives in our bodies — whether it's anxiety about making your first investment or launching a side business. Try simple practices like deep breathing when facing big financial decisions.

4. Step into discomfort. 

Growth and comfort can't coexist. Every successful investor and entrepreneur started as a beginner. Financial literacy and business acumen develops through consistent practice.

5. Find the treasure when you trip. 

Market corrections, failed business ventures, and investment mistakes are learning opportunities. 

Dr. Warrell emphasizes that courage isn't about waiting until you feel confident — it's about acting despite your fears. 

This applies whether you're making your first stock purchase, buying your first rental property, or quitting your job to start a business.

The takeaway: While you can't control market conditions or business outcomes, you can control your response to financial fears. 

Timestamps:

Note: Timestamps will vary on individual listening devices based on dynamic advertising run times. The provided timestamps are approximate.

(0:00) Introduction

(3:54) Fear's impact on financial decisions

(6:13) Case study: Risk-reward in property investment decisions

(10:28) Psychology of wealth decisions

(14:21) How negativity bias affects investment choices

(18:09) Five steps to bolder money moves

(21:23) Navigating market uncertainty

(26:52) Physical techniques for managing investment anxiety

(31:28) Real example: Leading through market volatility

(37:42) Finding clarity in financial goals

(43:34) Why comfort zones limit wealth creation

(47:59) Small steps toward investment confidence

(53:11) Learning from market setbacks

(58:38) Balanced approach to investment failures

(1:02:51) Building long-term wealth resilience

Resources Mentioned in the Episode:

Website: Dr. Margie Warren

Book: The Courage Gap

Connect with Dr. Warrell on LinkedIn: Dr. Margie Warrell

Follow Dr. Warrell on Instagram: Dr. Margie Warrell

Interview with David Novak: Episode 534

For more information, visit the show notes at https://affordanything.com/episode578

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#577: Kelsey is excited about investing along the efficient frontier, but it feels impossible with the lack of fund options in her employer-sponsored 401k. What’s the best way to deal with this problem?

Molly discovered that her rollover from a 401k to a traditional IRA hadn’t been invested in mutual funds and was still in a money market fund. Manually calculating her net worth helped her identify this oversight, and she shares her experience with us.

Former financial planner Joe Saul-Sehy and I tackle this in today’s episode.

Enjoy!

P.S. Got a question? Leave it at https://affordanything.com/voicemail

For more information, visit the show notes at https://affordanything.com/episode577

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#576: The world's greatest investors have a secret: they're weird. 

When one young fund manager met Bill Miller for the first time, he refused to shake hands. Instead, he locked eyes and declared: "I'm going to beat you, man."

William Green joins us to share what he's learned from decades of conversations with investing legends — from the hyper-competitive to the deeply philosophical. 

These conversations reveal that success isn't just about strategy; it's about understanding yourself and playing to your strengths.

The best investors are mavericks who think differently. They're willing to look strange, be lonely, and diverge from the crowd.

Templeton demonstrated this during WWII. When Germany invaded France and markets crashed, he bought 104 stocks trading under $1 — including 37 bankrupt companies. His contrarian bet paid off 5x when markets recovered.

But Green emphasizes this isn't just about getting rich. 

His decades of interviews reveal deeper wisdom about building a good life:

• Great investors focus on what they can control. They can't predict markets, but they can manage their behavior and emotions.
• They embrace simplicity. Jack Bogle advocated owning low-cost index funds rather than chasing complex strategies.
• They understand odds and risk. Howard Marks asks "What's the consequence if I'm wrong?" before making decisions.
• They play to their strengths. Charlie Munger says if you're 5'3", don't try to be a pro basketball player.
• They live below their means. As investor Tom Gaynor notes, "If you're living within your means, you're already rich."

Green shares a practical framework called HALT PS — don't make important decisions when Hungry, Angry, Lonely, Tired, in Pain, or Stressed. This applies beyond investing to daily life.

The conversation explores how to build resilience before market crashes through healthy habits, self-awareness, and preparation. Green notes that many successful investors practice meditation and read widely across disciplines.

Even legends make mistakes. Bill Miller saw his assets drop from $77 billion to $800 million during the 2008 crisis. But he rebounded by staying true to his principles and learning from failure.

Green's key message? Focus less on getting rich and more on building an "anti-fragile" life aligned with your values and strengths. 

The best investors aren't just good at making money — they're skilled at creating lives of meaning and purpose.

Find more from William Green at williamgreenwrites.com or on his podcast Richer, Wiser, Happier, featured on the We Study Billionaires feed.

Timestamps:

Note: Timestamps will vary on individual listening devices based on dynamic advertising run times. The provided timestamps are approximate and may be several minutes off due to changing ad lengths.

(01:00) Meeting Sir John Templeton in the Bahamas

(04:02) Templeton's WWII stock strategy during market crash

(12:00) Wisdom vs survivorship bias in investing stories

(14:55) Why great investors recommend index funds

(23:34) Prioritizing freedom over wealth maximization

(39:27) Bogle's client-first philosophy

(51:32) Living below means for market volatility

(01:01:37) HALT PS conditions leading to poor choices

(01:06:45) Using data for better decision making

(01:11:13) Bogle's emphasis on simple investing

(01:14:30) Danoff's "stocks follow earnings" strategy

For more information, visit the show notes at https://affordanything.com/episode576

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