10 Questions With IQ Calculators

Today’s 10 Questions comes from IQ Calculators. The site has a bunch of nifty financial calculators including one that illustrates one the power of compound interest. Who doesn’t love the Rule of 72? Enjoy!

Why Did I Start My Blog?

I originally began my website with the intention of creating more in depth, and easier to use financial calculators. I quickly discovered that without a blog, it is difficult to build a site that ranks well on Google. So I started my blog and I’m glad I did. It’s caused me to learn more about my subject from the research I do, and has given me new ideas. And writing is something that I never thought I would do, but has helped me get better as a writer, thinker, and communicator. 

Do You Rent Or Own?

I currently rent. I live with roommates in a house and the rent is super cheap. I know this is a controversial subject in terms of building wealth, but at this stage in my life, I’m not ready or willing to deal with the hassle of homeownership. This decision is purely a lifestyle choice and has nothing to do with the financial ramifications. I am in the process of creating a renting versus owning calculator but it is still in the creation process. When it comes time to make home ownership more of a financial and lifestyle decision combined (ie I get married and start a family) then my calculator will tell me which option is better. 

How Do You Stay Fit?

I do yoga and play sand volleyball. What I’ve found works really well for me is a combination of stretching exercises (yoga) and high-intensity exercise (volleyball).  I used to do CrossFit but I think it’s a little too intense for me. I do appreciate the competitive aspect of CrossFit but I guess I would rather let my competitive outlet be a sport where a ball is involved. Sand volleyball seems to be a great combination of sport and exercise. Not to mention I played college football for Texas Christian University and I need to make up for lost time and really take care of my joints right now. Volleyball on sand gives a little extra cushion to the impacts. I have a feeling football is already coming back to haunt me.

What Is Your Greatest Strength And/Or Weakness?

My greatest strength is my intellect and my analytical mind. It has allowed me to see certain things in life with clarity and objectivity. In this day and age, I believe that objectivity in individuals is rare and refreshing. And if a matter lacks objectivity, it can at the very least be handled with intellectual honesty which is also rare.   

My greatest weakness is that I learn from doing. If someone warns me against doing something I want to do, I will usually have to try it to verify. Obedience or lack thereof can be challenging for me. I would call this my greatest weakness.

What Is Your Investing Strategy?

My investing strategy is to stay diversified. I have several strategies within the larger strategy. Right now my investments are very conservative as I am waiting for and expecting a rather severe downturn in the economy. Let me assure you that this view has nothing to do with anything political or otherwise. In fact, my view on markets and finances are based purely on a historical and cyclical perspective. This obviously needs to be expounded on but it wouldn’t serve the purpose of answering the question so I’ll leave it at that. 

Just a few of the things that I am currently doing in my strategy is whole life insurance, certificate of deposits, 401k mostly allocated to a fixed interest account, and a small short position on the market.  Aside from that, I’m positioning myself to purchase real estate in the near future and of course working on my website. My plan is nothing fancy…save money.   

Is Your Goal Financial Independence?

The term financial independence is a term that is thrown around a lot. The term financial independence implies that there is something to have independence from. For most people, this independence probably means from the daily grind. For others, this could mean independence from work itself. In the decade that I’ve worked, I’ve tried to develop my worldview on work and retirement. Currently, my worldview on the subject is that I was made to work and so I don’t believe freedom from work will ever be my goal. Although I can see my goal being to work less. So in that sense, one could say my goal is financial independence in order to work less. However, I would categorize that as a secondary goal to the primary goal. If I’m able to fulfill the primary goal, then the secondary goal will take care of itself. 

So what is the primary goal? I would say that that it’s to create something that brings value to people’s lives and serves them well. If I’m able to accomplish this goal, then I believe all the secondary goals in the world will be accomplished.   

Here’s an extra tidbit. If we have any understanding of economics, then we should acknowledge that complete independence is unattainable and undesirable. In any economy, we are dependent on one another to provide us with the goods and services we want and need.     

What Is One Post That You’ve Written That You Wish Would Have Gone Viral?

I created a stellar rental property calculator that I think people would love to use if it were on the first page of Google. But it is not.  Therefore it doesn’t get a lot of traffic but when people do find it, they love it. And they keep coming back. 

It takes an investment property and factors in monthly rent, mortgage loan expenses, purchase price, vacancy rates, and operating expenses and calculates the rate of return over 30 years from the investment.  It’s pretty great and there’s lots of flexibility in how it can be used. 

What Is Your Splurge?

My splurge is food.  I’ve always told myself that I don’t care how much food costs. It has to be good food. This doesn’t mean I go out and spend $100 on a steak dinner. All this means is that I will buy quality food to cook at home with. I like to buy organic so it adds up but it pays for itself in the long run.

Elon Musk: Crazy megalomaniac or a brilliant guy who is changing the world?

Elon Musk is obviously a smart guy but I do think that people give him too much credit. I do not know Elon Musk’s biography but I believe he started PayPal and after that, he hasn’t created a business that wasn’t dependent on government subsidies in some form or fashion. And it looks like he continues to only focus on businesses where he can get government to fund the project.  ie the Boring Company. 

Your best friend tells you that he just got a raise at work and is going to buy a new car to celebrate. His current car is in perfect working order. How do you react?

I tell him congratulations and that I hope he enjoys it. I don’t meddle in other people’s money decisions. They have to live and learn on their own. If he asks for advice or why I don’t get a new car, then I can tell him why and perhaps share a little knowledge.  But for the most part, I’ll just keep my advice to myself.