February 13, 2023

Reap the benefits of alternative retirement strategies

13 minutes

Summary notes:

Investors do not need to solely rely on traditional retirement funds to save for retirement. In fact, there are many other methods investors can take advantage of in order to build their wealth. Philip shares information on the various strategies and investments one can utilize to build their financial freedom.

Phillip discusses an analogy that explains a concept around how the universe and our understanding of the universe evolves. The idea is that our universe might exist inside a black hole, and how this theory is supported by scientific mathematics. The current facts we know about the universe will continue to evolve as our knowledge expands. Black holes are formed from an explosion of energy that was once an old universe and turns into a new universe. This process of creation is also seen throughout every aspect of creation, with the breakdown of the old and the expansion of the new.

This analogy parallels how all ideas in our world have a birth and death lifecycle as we expand into eternity our awareness of what’s possible…including around money and planning for financial freedom.

Retirement is a relatively new concept, and most people don't execute it properly. It puts too much pressure on people in Phillip’s opinion. Instead of saving for retirement, people should instead focus on Financial Freedom Planning. This involves having a certain level of assets that generate an income, but the assets don't have to be in a retirement plan. It could be saved in real estate, an investment brokerage account, or dividends from a business. Very few people have built wealth from saving in retirement plans.

In Phillip’s experience, wealthy people prefer to invest their money in brokerage accounts because it adds optionality and flexibility. Through Financial Freedom Planning, people can still achieve financial freedom without the pressure of retirement.

Retirement plans can be a great way to save for the future, but they are not the only option. There are other ways to plan for retirement that have the potential to be more effective and provide more financial freedom.

For example, someone who has a lot of money not shackled by the restrictions of a retirement plan is able to utilize that money to acquire rental properties, which could help them become financially free much sooner.

Ultimately, everyone should think about what works best for them and their goals.

Phillip Washington, Jr. is a registered investment adviser. Information presented is for educational purposes only and does not intend to make an offer or solicitation for the sale or purchase of any specific securities, investments, or investment strategies. Investments involve risk and, unless otherwise stated, are not guaranteed. Be sure to first consult with a qualified financial adviser and/or tax professional before implementing any strategy discussed herein. Past performance is not indicative of future performance.

Timestamps

0:01:22 Exploring the Possibility of Living in a Black Hole: A Discussion on the Expansion of Knowledge and the Process of Creation

0:03:37 Exploring Alternative Retirement Planning Strategies for Financial Freedom

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