If you are doing it right, investing should be very simple.
This blog series aims to help you tackle the fear of investing, move past it, and take action to start your FIRE journey in as little as two weeks!
Welcome back! Apologies for the delay. I had intended to post one step per week at the end of every week. But, now I’m a week behind with this post. We have justed moved into a new apartment and don’t yet have wifi set up… but, let’s get to your FIRE journey!
In the first post of this series, the Introduction, we defined FIRE, discussed key FIRE concepts, as well as why a FIRE lifestyle can be challenging, why it can be difficult to get started investing, and why you need to start investing now.
Speaking of Introductions to the FIRE movement…
*** LIMITED TIME BONUS: You can stream the ‘Playing With FIRE‘ documentary film in full-length, online, FREE until Dec 11, 2019 courtesy of Ally Bank. This film is an excellent introduction to the concepts of FIRE. It shares the personal FIRE journey of Scott Rieckens and his family and interviews many of the founders of the movement.
In the second post of this series, Step 1: Think, we challenged you to identify your personal money challenges and set a few high-level goals. Take time to stop and think about your Why… having a purpose in pursuing FI is critical for when, not if, things get rough.
If you have not yet read these posts, I highly suggest you take a moment to read them both now. Then come back here and we will continue.
Don’t worry, we will wait for you!
Okay, you’re back. So, you know what FIRE is, you know you need to invest, and you need to get started now. And you’ve ideally identified your purpose and maybe some challenges you might face along your journey.
For absolute beginners to investing, this 3rd post in the series will cover Step 2 of the 4 Steps to Start Your FIRE Journey…
Step 2: Learn
- Objective: Learn just enough about investing to get started… not more
- Time: This step should take only a few days
Why Learn About Investing?
You need to learn the basics of investing before getting started. This includes setting realistic expectations.
If you don’t, you risk disappointment and [perceived] failure before you really get going. This can turn you off to investing and potentially scare you off. Before you begin, you need to understand the risks of investing in the stock market… and be okay with them.
How to Learn the Basics of Investing
The best introduction to investing is The Simple Path to Wealth by JL Collins.
At just 288 pages, this book is concise and easy to read. No big words here. In fact, he wrote it for his daughter and for people who don’t know the first thing about money and investing! The average reader should be able to complete the book in just a few days. Read the story behind the book here.
If you are new to investing, consider the purchase price of this book as your first investment in yourself!
Don’t Let This Become a Rabbit Hole!
Please, please, please do not get stuck at this step!
You could spend a lifetime trying to learn about money and investing, but then you might not get to steps 3 and 4 and it will all be for naught.
You will never learn everything about money and investing. It is impossible. It is unnecessary. Reading this book will teach you everything you need to know. Trust me.
- Continue Reading this blog series with the next post titled, Start Your FIRE Journey – Step 3: Track
Tracking will help you understand where you are now, what your true expenses are and track your progress into the future… to keep you motivated.
Make sure to follow Travel Inspire Connect so you won’t miss any of the posts in this series.
Summary of FI Resources:
- Think: Your Money or Your Life, Vicki Robin
- Debt: How to Get Out of Debt, Get Rich Slowly
- Budgeting/Spending/Emergency Fund:
- Podcasts & Blogs:
Questions, Comments, Feedback…
- Leave your questions and comments in the Comments section
- Let us know how we can best support your journey around:
- Getting Started Investing
- Financial Independence
- Retire Early, or
- Living Abroad
- 100% response policy; I always respond personally to every comment on my blog
- I would love to have you Follow the Travel Inspire Connect blog and join our community of supportive enthusiasts
If you haven’t already done so, commit to an investment strategy today! And please reach out if you need any help.