About this Video

• Video Title: Do This to Retire RICH in 5 years or Less!
• Channel: Investing Simplified - Professor G
• Speakers: Nolan Goa (Professor G)
• Duration: 00:14:20

Introduction

This video provides a strategy for early retirement within five years or less. Professor G, based on his experience with over 500 clients, outlines steps to determine retirement needs, investment strategies, and maximizing contributions to accelerate wealth building. He emphasizes increasing income and strategically utilizing retirement accounts like Roth IRAs to minimize tax burdens.

Key Takeaways

1. Determine Retirement Needs: Calculate annual expenses and use the 4% rule (annual expenses x 25) to estimate your retirement target. Consider location, healthcare costs, and other income sources (Social Security, pensions, passive income).
2. Strategic Investing: Employ a portfolio structure of 70-80% broad market ETFs (VTI, QQQM, SCHD, VU), 10-20% individual growth stocks/thematic sectors, and 5-10% alternatives (crypto, REITs, private equity). Prioritize broad market ETFs for stability.
3. Maximize Contributions: Utilize catch-up contributions for those age 50 and older to significantly increase retirement savings. Maximize 401(k) and IRA contributions.
4. Increase Income Aggressively: Focus on raising current income through salary increases, job changes, or side hustles to accelerate retirement savings.
5. Tax-Efficient Strategies: Prioritize Roth IRAs and consider Roth conversions from traditional IRAs or 401(k)s to minimize long-term tax liabilities. Begin shifting investments to less volatile options (bonds, short-term bonds, dividend ETFs) 12-18 months before retirement.