FIRE by 45 or Middle-Class Trap? The “Runway” to Early Retirement

Episode #613 Maximize Your Real Estate Investing with a Self-Directed IRA from Equity Trust: https://eqtytrst.co/bp Get $100 Off Your Tickets to BPCON2025 in Las Vegas, Nevada: https://get.biggerpockets.com/confere... Episode Show Notes: https://lnk.to/biggerpocketsmoneyYT Join BiggerPockets for FREE 👇 https://www.biggerpockets.com/signup?... Buy the Book “Rich Dad Poor Dad”: https://store.biggerpockets.com/produ... Sign Up for the BiggerPockets Money Newsletter: https://www.biggerpockets.com/email-s... Find an Investor-Friendly Agent in Your Area: http://biggerpockets.com/agentmatch BiggerPockets Money 456 - The Harsh Reality Real Estate Syndications (and Investors) Face in 2024: https://www.biggerpockets.com/blog/mo... Connect with Leah: https://www.biggerpockets.com/users/l... Connect with Zach: https://www.biggerpockets.com/users/z... Connect with Scott and Mindy: Scott: https://www.biggerpockets.com/users/s... Mindy: https://www.biggerpockets.com/users/m... If there’s an issue that keeps aspiring early retirees up at night, it’s the dreaded middle-class trap. At just 28 years old, this financially savvy couple is already looking for ways to avoid this issue. Whether you’re just starting your FIRE journey or approaching early retirement, we’ll show you how to do the same in today’s episode! Welcome back to the “BiggerPockets Money” podcast! So far, Leah and Zach Landis are doing everything right. They earn high incomes, they spend very little, and they invest the difference. Well on their way to retiring early, they plan to quit their jobs by age 45 or sooner! But will their current asset allocation get in the way of their big goal? What kind of bridge will they need to tide them over until traditional retirement age? Will having children impact their financial freedom? Fortunately, Leah and Zach have all kinds of options. Tune in as Scott and Mindy dive into the couple’s budget and discuss their best path forward. Along the way, we’ll debate whether they should pause their 401(k) contributions, double down on brokerage accounts, and deploy their cash savings on their “dream” home! 00:00: Intro 00:01:05: Leah & Zach’s Money Journey 00:08:20 Money Snapshot 00:12:27 Buying the “Dream” Home 00:18:33 Best Ways to Invest Cash 00:26:51 Avoiding the Middle-Class Trap 00:36:28 Maxing Out the 401(k) & HSA 00:47:06: Don’t Get Trapped!