Episode 30: How to optimize your savings, spending, and Investments for your dream life

Jun 14

Welcome to today's episode! I'll be addressing a common question I frequently receive: How much money should I be spending, and how much should I be making based on the lifestyle I desire? Many of you seek guidance on whether you're managing your finances to align with your long-term goals and if you’re actually making enough money to achieve it. In this episode, I am going to help you find the answer for yourself, enabling you to have confidence in your financial decisions and ensuring they contribute to the life you envision.

I'll provide straightforward formulas that you can use to calculate these figures, granting you a greater sense of awareness and helping you determine whether your current financial approach will lead to the desired outcomes. Enjoy!

Key highlights

[00:00:00] Holistic Money Podcast intro

[00:01:00] Introduction to today’s topic

[00:02:04] Personal desires and money

[00:03:42] How much money do you want to be spending?

[00:04:58] Calculation: What your lifestyle should consist of

[00:09:20] Factors that determine savings

[00:11:14] Creative ways to retire

[00:13:29] Holistic Money Podcast outro

Notable Quotes

Before we dive into calculating your numbers, I will first offer you that there are no shoulds with your money. One of my favorite mentors always used to say, “Stop shooting all over yourself because there's not a magic formula, or one way to live your life, or one amount of money you should be spending, or one amount of money you should be earning, it all comes down to your desires.”
Adjusting your lifestyle to get closer to the ideal numbers isn’t perfect; your personal finances are simply about getting more and more intentional with your money over time.
Look at your number and compare it to what you're doing. If you are far off from your number, realizing you’re spending a lot more than the recommended percentage so that you can save and invest, start to think about some adjustments you can make in your lifestyle to get closer to the ideal numbers.
You can retire well in several ways without having enough money in your savings and investment accounts to support your life. And I'm not saying this to suggest it's not something that you don't want to prioritize now. Still, I'm saying this because most people don't have enough money saved and invested in feeling comfortable in their retirement years, and they spend so many years of their life worrying about this time when they don't have to. There are many options and solutions for your retirement years that don't always depend on you having the amount of money in your savings and investment accounts.