Tag: retirement

You Won’t Regret Your Frugal 20s

Piggy 14 Comments

The topic of regret is a controversial one, especially in personal finance. Whole treatises have been written on the premise that if you live frugally during your twenties and make sound financial decisions for the future, you’ll regret wasting your youth as a joyless loner.

We reject this characterization of a frugal youth for a couple of reasons:

  1. It doesn’t take a lot of (or any) money to have fun with your friends. In fact, some of the best times I’ve had with friends involved spending zero dollars!
  2. You can (and should) pursue fun long past your twenties. A great woman once said that if you’re not getting happier as you grow older, you’re fucking up. And I whole-heartedly agree! Life has only gotten better after thirty for me.
  3. You’re at more risk of regretting not saving than you are at risk of regretting not going out to da clerb that one time. Saving for retirement in your twenties isn’t a ticket to Regretsville or Unfuntown. It’s a way of ensuring you’ll be able to have fun later in life instead of working forever.

And yet fear of this kind of regret persists.

FOMO

I get it! No one wants to constantly feel left out. FOMO is real! But I also firmly believe that no one wants to get to retirement age only to realize that all the money they could’ve lived on for another twenty to thirty years got puked out after a night of binge drinking. (It has been said that you’d have to drink a lot of alcohol to puke out your retirement savings. These naysayers underestimate both the power of compound interest and the alcohol tolerance of the average 23-year-old.)

Yet I don’t fear regretting my frugal twenties when I get to my twilight years. Now, depending on a single, barely funded income stream after retirement, one that could easily go up in a puff of smoke… that’s something worth regretting.

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Investing Deathmatch: Traditional IRA vs. Roth IRA

Investing Deathmatch: Traditional IRA vs. Roth IRA

Lauren Torres ("Kitty") 12 Comments

Two methods of investing in the stock market enter the ring.

Only one will leave victorious.

Welcome back to another installment of… INVESTING DEATHMATCH!!!!!!!!!

If you’re one of our Patreon supporters, there are four things I know for sure about you. One: you’re beautiful on the inside and out. Two: you’re powerful, also on the inside and out (like, you are spiritually intimidating and also extremely muscular). Three: You have excellent taste in blogs run by women who are emotionally in their mid-seventies but physically in their early thirties.

The fourth and most important thing I know about our Patreon supporters: Once a month, they get to choose a topic for an upcoming blog post. And this month they selected a battle royale between traditional IRAs and Roth IRAs.

So if you enjoy this week’s post, you have our gorgeous, strong, good-taste-having, democratically empowered Patreon supporters to thank for it. Please consider becoming one, or continue to aspire to grow up to be one.

So real.

Now let’s get down to the EXTREMELY ANALYTICAL CARNAGE.

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How To Save for Retirement When You Make Less Than $30,000 a Year

Lauren Torres ("Kitty") 28 Comments

Retirement is a difficult concept for young people to wrap their heads around. It’s hard enough figuring out how to be An Adult, let alone An Old.

We’ll be talking more broadly in the near future about the general concept of retirement. (Spoiler alert: it’s as outdated as an avocado-colored refrigerator.) But today I’d like to talk directly about the concept of saving for retirement while pretty legit poor.

For the purposes of this post, I’m going to define that as someone making $30,000 a year or less. Obviously there are lots of factors that can stretch this figure. A mom of three with a high school education in Washington, D.C. is going to have a much harder time than a single, highly-educated person making the same amount in Woodstock, Alabama. And actually, that number is still more than double the official so-called “poverty line,” which is just under $13,000.

But Piggy and I feel strongly that there isn’t enough realistic, valuable advice for people in this general bracket. So we’d like to talk to them.

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3 Badass, Sexy, Totally Metal Reasons To Save $1,000

Piggy 5 Comments

Here at Bitches Get Riches we soundly reject the notion that personal finance is a dry, boring, unsexy topic. In fact, nothing gets us metaphorically harder than a solid breakdown of modest, cautious techniques for growing personal wealth and how to save money. Day drinking? More like day trading, AMIRITE?

And this is why we’ve set about to change some preconceived notions about all the wild and wondrous things you can do with a large chunk of money—let’s say $1,000 for the purposes of this article. Not quite enough to drastically change the life of the average person, but definitely enough to have some fun.

With $1k saved you could go to Cuba for a few days (seriously y’all, flights are dirt cheap). You could revamp your wardrobe! Or you could buy a brand new PS5 and a flat screen on which to play it! You and your dog could have a spa day!*

But we’re here to urge you to take a different approach. Don’t waste that $1k on basic shit like a new wardrobe, a trip abroad, or canine mani pedis. At least not before you’ve cut your teeth on these badass, sexiful, metal af ways to really make $1k worth saving for.

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Dafuq Is a Retirement Plan and Why Do You Need One?

Piggy 1 Comment

For young’uns like us, old age and retirement couldn’t seem farther away. And yet the thing about retirement is it goes way smoother if you prep for it in advance. Which is why all of us—yes, even you fresh-faced recent graduates—need a retirement plan.

The term “retirement plan” itself is a bit misleading. It suggests there’s a singular, one-size-fits-all tool for preparing to live out your sunset years in the lap of luxury. In reality, not only is there no one single retirement savings tool that works for everyone. But most people use multiple “retirement plans.”

Join me, dear readers, as I guide you through an entirely-too-detailed tour of the most common forms of retirement plans. Keep your hands and arms inside the vehicle at all times and please don’t feed the wildlife.

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