February 17, 2023

Skimm Money will be off on Monday for Presidents Day. We’ll be back in your inbox next Friday.

You’ve got questions, the pros have answers. To get intel on FIRE, we chatted with Julien and Kiersten Saunders, authors of “Cashing Out” and founders of Rich & Regular, about retiring early.

Break it down. What is FIRE?

Julien: FIRE is an acronym for ‘financial independence, retire early.’

Kiersten: Some approaches allow you to stop working before the traditional retirement age (hint: 67), and others allow you to scale back and work part-time before you get there.

What are the biggest challenges people face on their FIRE journey?

K: People tend to make long-term financial decisions — like taking out student loans or getting a mortgage — that they feel they have to climb out of before investing for retirement. There's a fix for that: Grow your income while you reduce your expenses, so you can accelerate your payments.

J: Some people double or triple down on cutting back their expenses, and they do it to the detriment of their health, quality of life, and relationships. Often, it leads to a spiral of unfulfillment where they discard the FIRE lifestyle and all the good things that can come with it.

What are your top tips for FIRE beginners?

K: Build up a cash cushion or an emergency fund. You want to be prepared if your income is disrupted. Also, take mental health days or use your PTO. You’ll get a taste of what it's like to wake up and choose what you want to do — the reward if you continue to save.

J: Create more than one source of income. Whether it's from an investment portfolio, real estate investment, or an online-based business bringing in revenue, it’ll make it a lot easier for you to stay on track if you have an income disruption.

Answers have been edited for length and clarity.

Heard about credit card experts getting great deals on flights and five-star hotel stays and wanna get in on the action? A general rule of thumb is to think of every point as a penny. But curveball: The value depends on how you use them and which card you have. 

Take the Chase Aeroplan® Credit Card. With its new Pay Yourself Back® feature, cardmembers can redeem points to cover travel purchases like hotel stays, car rentals, ride-shares, and flights on any airline. Think: just 2,400 points can get you a $30 ride-share and 6,000 could get you a reward flight. But that’s not all. Cardmembers also get impressive travel benefits, like complimentary checked bags. Get allll the deets.

Mansplaining isn’t just annoying.

It could also be hurting your career. 

Layoffs are spreading…

And it might not be just because of the economy.

What’s the hottest new investment? 

Literal garbage.

It seems like new construction is everywhere…

So why are rent prices still so high?

It might not feel like it, but Tax Day is coming up. Enter: three tips to help you get your biggest possible refund.

1. Keep an eye out for credits. They reduce the amount of taxes you owe. And you can get them for things like having dependents, becoming a homeowner, or buying an electric car. 

2. Put money aside for future you. Contributing to a pre-tax retirement account can help reduce your taxable income. And set you up for financial success long-term.

3. Cash in on TaxAct’s maximum refund guarantee. TaxAct can help you file your return and get your maximum refund, guaranteed. No matter how simple or complex your tax sitch is. Rest easy knowing their calculations are correct and that they back it up with their $100k Accuracy Guarantee. Get started.*

You work hard for your money, and we’re here to help you spend it wisely. Each week, we ask an influential woman to tell us about a purchase they consider a worthy investment. Ahead, Kat Collings, editor-in-chief of Who What Wear, shares something she splurged on.

Tell us about a purchase that felt like an investment.

Several years ago, I purchased my first piece of fine jewelry, the Tetra Hoops I by J. Hannah. They are made of recycled gold, and the brand is founded by a young woman I'm friendly with.

How much did you spend? 

$940.

Why do you consider them a worthy investment? 

I find fine jewelry to be the best investment in the apparel space, along with certain bags that appreciate in value, especially if it's a style that has longevity. It will never tarnish, unlike costume jewelry, and since you don't have to replace it frequently, it can actually be more cost savvy in the long run.

Answers have been edited for length and clarity.

Because you’re on a budget…

1. Sweet dreams. Take up to $300 off mattresses at Tempur-Pedic through February 28. May we humbly suggest you go with the LuxeBreeze? Any mattress that keeps us 8 degrees cooler is an immediate yes. 

2. Brring, brring. Goes the Brooklinen alarm. Take 15% off when you level up to a thicker robe for the chilliest of days, or upgrade your current bath towels to super-plush ones.

3. Yes, please. Now through February 28, take up to 20% off an innovative clitoris-stimulating vibrator that’s completely waterproof and completely down for anything. Winky face.