Retirement Resources


These are some of my favorite books and other resources that I have used to plan for retirement financially and psychologically:

Here is my take on the process:

  • Financial
    • Figure out what you spend over a year and make it really accurate.
    • Model what inflation will do to your expenses over time and split expenses into ones that are affected and those that are not.
    • Get 25x your annual expenses (or close to it) in overall assets in liquid assets.
    • Diversify across growth, income, fixed, real estate, and VC/PE.
    • Get 1 year of expenses in highly liquid assets making at least 5%. I used bonds ( and treasury).
    • Build a dividend cushion of 2x your annual expenses in order to live off of payments instead of selling principal during down markets.
      • Note on this, dividends can become a value trap and will go down in times of rising interest rates. You have to be patient and hold for the dividends, buying more when the price goes down, increasing your revenues.
      • Beware high dividend-paying stocks. I like 5-12% as the highest I trust.
  • Psychological
    • Read as many books as you can about this.
    • Talk to as many people that have done this successfully.
    • Start investing in your community, friendships, and hobbies outside of work, well before you quit your job.
    • Spend a lot of time on the mat working through any fears or anxieties.
    • Shore up your weak spots with backup plans. Your backup plan should have a backup plan.
    • Do the work while you are in it.
  • Trading
    • Buy great companies for the long term.
    • Buy incrementally.
    • Sell when you have a profit that is reasonable to you. Let some ride if you want.
    • Always put a stop-loss limit order in.
    • Do your homework on the market and individual stocks if you are a trader.
    • Don’t panic while everyone else is.
    • Never use market orders, always use limit orders.
    • Don’t own too many stocks – I have less than 10 in my trading portfolio and only swap in if I sell another.



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