Daily Links: Interviews and Investing Edition Print
Thursday, 12th June 2008 (by J.D.)This article is about Spare Change
It’s been a crazy week. The electrical contractor has been here every day. I’ve had appointments every day. And so I’ve been behind every day, struggling to provide new posts. Things should return to normal next week.
One of my appointments was with a television crew. I was interviewed yesterday for a segment on the local evening news. It was a fun experience, especially behind the scenes. Both the reporter and the cameraman seemed to be into the whole frugality thing. They were genuinely interested in exchanging ideas about saving money.
On a related note, Canadian personal finance author A. Dawn recently asked me to share my internet habits. I dashed out a short piece about a day in the life of a blogger.
Enough about me. How about some articles on investing?
First up, a pair of posts about the product of prudent money management. At Minyanville, Scott Reeves shares a story of two people who retired (very) early — at age 38. Their advice? “The formula is basic: Start saving and investing early and don’t go into debt.”
On a similar note, Hazzard wrote that simple financial concepts helped his friends retire early. “By following some pretty simple concepts of living below their means, watching what they spend, and obviously saving all the extra, they have been able to take control of their futures and do what they want each day for the rest of their lives.”
How do you get to that place? You might start by reading The Mighty Bargain Hunter’s reminder that if your employer matches 401(k) contributions but you don’t invest, you’re throwing away free money. It’s difficult to find a better deal than employer-matched retirement contributions. If you have one available to you, try to at least contribute enough to it to get the full match from your company.
Finally, Tim Ferriss recently made the trek to Omaha to attend the Berkshire Hathaway annual shareholder meeting. Through clever planning he was able to pick Warren Buffett’s brain. Here’s the question he asked:
If you were 30 years old and had no dependents but a full-time job that precluded full-time investing, how would you invest your first million dollars, assuming that you can cover 18 months of expenses with other savings? Thank you in advance for being as specific as possible with asset classes and allocation percentage.
Buffett’s answer? No surprise: “I’d put it all in a low-cost index fund that tracks the S&P 500 and get back to work.” (I’d also like to point out that in the past, Buffett has offered two other pieces of advice for young people: stay away from credit cards and invest in yourself.)

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June 12th, 2008 at 8:13 pm
Thanks for the mention JD!!
Oh, and it was sunny up here in Seattle today too (read your twitter). I wasn’t quite sure what to do with myself. I laid out in the backyard like a beached whale for at least 20 minutes until the clouds rolled back in.
Hazzard
June 12th, 2008 at 8:26 pm
Heh. In hindsight Buffett’s advice to Ferriss is kind of a “duh Barbie” but even 3-4 years ago it would have been gobsmacking. not now, now that I’ve come about 180 degrees on spending and such, but if only someone would have grabbed me by the collar around 1982 and shook some sense into me, maybe I’d have a million over which to worry about investing!
June 12th, 2008 at 8:50 pm
Enjoyed the “day in the life” piece. And some people still don’t believe blogging is hard work! They should read that article.
I also enjoyed the news segment - nice to put a face and voice with a blogger. I’m envious of your office setup there as I still haven’t manage to claim any spot other than a folding table in our master bedroom (much to the dissatisfaction of my wife’s decorating philosophy, I might add).
June 12th, 2008 at 9:02 pm
If the local news interview is posted online, you’ll have to post a link to the video.
June 12th, 2008 at 9:24 pm
I admire your hard work and undying commitment to your blog. I’ve slowed down this week without half as much on my plate from the sound of it. I’ve definitely got to kick it up a notch. You’re an inspiration!
June 13th, 2008 at 3:15 am
I think it’s funny that Buffett still said to get back to work; I’m not so sure I’d be able to if I had that Mil in the bank.
June 13th, 2008 at 5:49 am
“Buffett has offered two other pieces of advice for young people: stay away from credit cards…”
Interesting. In a society where one’s existence is tethered to their ‘credit worthiness’, I have yet to meet _anyone_ who established credit without credit cards.
Talk about a Catch-22.
June 13th, 2008 at 6:02 am
We definitely want you to post your local news interview online so we can see it!!
June 13th, 2008 at 6:33 am
I can’t embed the news interview, but if you click the link that says “segment on the local evening news”, you should be able to see it…
June 13th, 2008 at 7:11 am
Thanks for mentioning my site. Much appreciated. Communication fosters a connection between readers and author and you are very good at it. No wonder your site is the king of the kings. Keep up the good work. A. Dawn at http://www.adawnjournal.com
June 13th, 2008 at 7:40 am
What a wonderful article … you really are doing a wonderful job J.D
June 13th, 2008 at 11:35 am
J.D. - I saw your tweet a few days back about the interview with the news crew and was hoping we’d get to see the results soon.
It was FANTASTIC! I’m really enjoying watching your blog grow and your message of frugality spread like wildfire. Awesome job brother! I couldn’t be more excited for you if I tried.
June 13th, 2008 at 1:38 pm
So cool. In my head you weren’t quite as American sounding. Yes, I know I’m dumb.
June 13th, 2008 at 1:40 pm
I loved the article. I think its real important for everyone to think critically about their retirement outlook. I’ve started a blog to talk about these topics, especially how to do asset allocation using ETFs and the research out there to beat the market. Hope you all give me some feedback as well!
June 23rd, 2008 at 9:45 am
Hey,
Look into some excel shortcuts or hire someone Tim Ferriss-style to enter your numbers every day and/or triage your e-mail! More time with the fam and/or more time to do more money producing activities.