Tax Declaration and Returns

Two weeks ago (when this article comes out) I did my taxes for 2018. I found out, the government owes me a nice chunk of money! On my tax declaration, I get to receive almost 2,000 euros back. Earlier I wrote about taxes here in The Netherlands. We are a country that likes to tax individuals and still is a tax haven for multinationals. Something about that doesn’t feel right, especially since I know that every additional euro I earn over my current salary is taxed at 49% and will be taxed at over 50%+ soon. So we basically tax individuals…

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Guest Post: Why I Still Live in a Shared Apartment

This guest post today is written by M @ Radical FIRE. She’s a 24-year-old financial consultant who’s passionate about financial independence and retiring early. She wants to take you with her on her journey to become financially. Please give a warm welcome to M! Since I graduated in September 2017, I’ve moved out of my shared student apartment and back to my parents. Because I went travelling September – December 2017, I didn’t want to have the extra costs of paying my rent. When I came back from travelling, I searched for a job not selecting any specific area, so I…

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What are Stocks and Index Funds, ETFs, Mutual Funds?

Stocks, or shares, always have a strange vibe around them if you talk about them. People don’t understand them. They might joke a bit about it and then leave. Even when stocks and index funds are such powerful tools to become financially free. Stocks are simply ownership certificates of a company. It’s simple. Let’s say that you start a company yourself. If you are the only owner, you own 100% of the shares in that company. Now let’s assume you start the same company with a business partner. You can decide to split the shares in your company 50/50, maybe…

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Peter Principle in Practice

It’s a long time ago I posted something in my Thoughts on Tuesday category. Here’s one for you, the Peter Principle. I first heard of this in a management podcast and since am seeing it all around me. Here’s something to think about on your Tuesday. The Peter Principle goes on the assumption that people are either too competent for their job level, or slightly incompetent. This is a direct result from promotions; when you promote employees who are doing a great job, they find themselves in more difficult jobs after every promotion. With every promotion, your level of competence…

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Start Work At a Young Age

I started working at age 13. Well, work… I guess you can call it work. Back then I was delivering advertisements and flyers (you know, these little newspaper like things in which retailers advertise their products). In The Netherlands it’s pretty common that children of age 13-14 have a job like this. It takes about 2-4 hours per week, usually on a Saturday or Sunday. It must have been funny to watch me have a go at it. I was a skinny (178 cm, 55 kg) kid, trying to wrestle my bicycle through town with 50 kilograms of paper strapped…

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Intentionality is Combining Spending with Purpose

I like spending money on shiny gadgets. I don’t live like a hermit. But intentionality in spending is what brings me closer to financial independence. I don’t like throwing money away. Lots of people seem to think that reaching financial independence is about never doing anything fun. About living in a dump, only eating shitty foods, and never going on holiday. To me, this couldn’t be farther from the truth. Becoming financially free to me is living life and spending intentionally. I don’t want to throw money away, but I also like to live the good life. And living a…

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February 2019 Overview

The shortest month of the year has passed and I’m a year older now. Bye bye February 2019! February most likely is the most expensive month for me this year, due to the city and property taxes that are paid once a year. They took a big chunk out of my savings rate, but luckily I still managed to stay cash flow positive. Read the full article here.

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Comparing to the Average Net Worth in The Netherlands

Comparisons with others are always interesting. I’m very competitive. Usually, I see everything as a game and I want to win. What’s a better metric to track than your net worth against the nation’s average net worth?  Winning in the world of personal finance doesn’t really exist. Most likely I will not become the most wealthy person on the planet, not even the most wealthy in my little country. But it’s good to compare, to see where you stand. A comparison can be a reality check to see whether you have to step up your game, or you’re doing a…

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Volatile Markets – What Bitcoin Taught Me

Do you have the guts to invest? You will experience some very volatile markets. Last December the markets dropped by 15-20% before moving back up in January and February. This volatility is expected. If you invest in equities, you’ll experience large swings. It’s not an if, but a when. You will lose money investing in the stock market. There will be years when equities are down by 40%. You have to be able to stomach this. Now, of course, you can mitigate some of these risks by diversifying your portfolio into bonds, but that’s not the point here. The point is…

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Go Get Some, Work Harder to Get Ahead

Go get some a motto used a lot by Jocko Willink in his podcast about leadership and extreme ownership. In these contexts, go get some means to do something badass, to deliver results, to be awesome. The way I see it, working hard is the way to move forward in life. If you move faster than your competition, make more hours (when necessary of course), and reliably deliver results, you will come out ahead in life. Go get some.  People blame a lot of their failures on a lack of talent. But talent is optional. What really matters is work…

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