Planes, Trains, & Automobiles
Planes, Trains, & Automobiles
How will you get there?
Good Wednesday morning,
Based on the subject of this email, you might expect me to reference the 1987 film with John Candy and Steve Martin. It’s a wonderful movie and you should check it out if you haven’t already.
But we’re not talking about a movie today.
Instead…
How will you get there?
Will it be:
Walking
Bicycle
Car
Boat
Plane
Train
Unicycle
Ice skates
Pogo Stick
Or some combination of the above?
Seriously, what’s it going to be?
Now, before you think I’ve got a screw loose, let me say that I’m guessing at this point you’re wondering exactly where “there” is.
In other words, where are you going?
Wouldn’t that be an important factor in deciding how best to get there?
You can’t exactly drive a car to Portugal. At least not from the U.S.
And it’s silly to buy a plane ticket when you could more easily drive 30 minutes to get to the other side of town.
But if your destination is 3 states away, that likely rules out a bicycle.
Of course, depending on where you live, maybe it does make sense to ice skate to work.
Forgive me for stating the obvious, but it’s kinda dumb to decide your mode of transportation until you know exactly where you’re going.
And perhaps just as important, how long you have to get there.
Yet, every day many folks - maybe even some of you - are doing essentially the same thing.
People spend their attention, their time, and even their money trying to figure out which investments they should put their money into (or get their money out of) right now.
Is it individual stocks, mutual funds, ETFs, bonds, CDs, cash value life insurance, or some combination of these tools?
And if you do narrow it down to ETFs, for example, well your work has only just begun.
According to this NYSE Arca article, there are currently over 3,000 ETFs listed in the U.S. as of September 30, 2022. Which of the 3,000 are best for you?
Despite all this, let’s say you’ve created your portfolio.
What next?
As soon as you face the inevitable headwinds of volatility and uncertainty, do you stick with you plan? Or do you bail out in search of another, better “vehicle” for your investment dollars?
All these decisions are at best simply guesses in the absence of your destination.
And you’ll also need a route that takes you from where you are currently to your ultimate goal in the safest, least risky manner possible.
That might be driving.
It might be flying.
It might be another mode of transportation.
When it comes to your retirement, you might need a more aggressive investment portfolio. Or a less risky approach might be sufficient.
Based on where you’re going.
But this isn’t just an issue around investing…
It might be working longer so you can save less today because you want - or maybe even need - more discretionary income today. Not 5 or 10 or more years from now.
Or it might be saving more so you can retire sooner.
What if you left your current work in pursuit of something that’s more fulfilling and doesn’t crush your soul on a daily basis?
What if…?
I hope you’ll agree these decisions - large or small - can only be made in the context of your personalized strategy, including where you’re headed.
This reminds me of a conversation between Alice and the Cheshire Cat in Lewis Carroll’s “Alice’s Adventures in Wonderland”
Alice: Would you tell me, please, which way I ought to go from here?
The Cheshire Cat: That depends a good deal on where you want to get to.
Alice: I don't much care where.
The Cheshire Cat: Then it doesn't much matter which way you go.
Alice: ...So long as I get somewhere.
The Cheshire Cat: Oh, you're sure to do that, if only you walk long enough.
Whether you’re approaching retirement or have been retired for years, be wary of getting caught up in how you’re going to get somewhere before you’ve achieved clarity on where it is you want to go.
Because you’re bound to get somewhere, but it might not be direction you want to go.
Links & things
2023 Tax “Cheat Sheet”
You might find this updated 2023 “Important Numbers” guide helpful as you think about your income, savings, Social Security, and more in 2023. If you’d like to discuss any of this, please get in touch.
A quick tour
You may have noticed things look a little different with the weekly newsletter these days.
A few weeks ago, I moved to Substack (again).
Since most of you receive and read this in your inbox each Wednesday morning, you don’t need to do anything different.
However, I did want to let you know that each weekly newsletter is now published and available online here where you can read, like, and/or comment.
In fact, with the help of the Substack platform, I’ve been able to consolidate much of my online writing for the past several years. For example, here’s something I shared way back in April, 2008. If you’re so inclined, you can go to the archive page and explore my writing over the past several years.
Finally, while I’m not currently publishing new episodes, you can find my full podcast archive also on Substack right here.
If you know anyone else that might enjoy or find value in my writing, feel welcome to point them right here. Or you can always forward one of my weekly emails to them 😉
College Choice
If you have kids or grandkids headed to college, which school to attend is a BIG decision. But perhaps BIGGER still is the decision on what to study. Sadly, there’s often a wide chasm between what someone majors in and their ability to start a career (and get off the family payroll).
With this in mind, I found this recent CNBC article to be an interesting read. Maybe you or someone you know will find it interesting as well:
Thank You!
I’m grateful to have you as a reader.
If you have any questions or an idea for a future newsletter, blog post, or YouTube video, I'd love your input.
Just hit reply - I read (and truly appreciate) every email you send.
Until next Wednesday,
Russ