Joining a Cult: The Financial Independence Counterculture

When you hear the word counterculture, you may think of famous philosophical movements – like the Enlightenment, Romanticism, or even the Hippies of the 1960s.

Regardless of the images that pop into your head, the idea remains the same. These were times and groups of people who acted differently than the current norm.

Are you a part of the counterculture of money? Read on to find out!

Joining a Cult: The Financial Independence Counterculture

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It’s hard to “buck the trend” if we don’t know what the current trend looks like. To help us, here are some baseline statistics that describe the typical American household.

 Defining the Norm: The Current American Financial Picture

– The average American household earns a little more than $70,000 annually. – ~80% of Americans have not retired by aged 60 (1% of Americans retire by age 50.  ~5% retire by age 55.  And only 18% retire by age 60).

– As of 2013, those aged 56-61 (who would now – 5 years later – be retiring) had an average retirement account balance of $17,000. – 44% of Americans could not cover a $400 emergency expense. – 28% have zero retirement savings

Is there an explanation? Maybe Americans really love their jobs and simply stay in the work force until they get kicked out between the age of 61-65? Or maybe being dependent on part-time work seems like a great way to provide the retirement of our dreams?

The Ugly Truth

The truth is that, as a people, the current financial norm consists of having no financial plan and being financially enslaved well into our 60s.

While poor financial planning may seem as common as catching the cold, there is a movement sweeping across the country that is just as viral – but a lot better for us.

Does it have to be this way?

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