Die With Zero

Synopsis

A common-sense guide to living rich . . . instead of dying rich

Imagine if by the time you died, you did everything you were told to. You worked hard, saved your money, and looked forward to financial freedom when you retired.
 
The only thing you wasted along the way was . . . your life.
 
Die with Zero presents a startling new and provocative philosophy as well as practical guide on how to get the most out of your money-and out of your life. It's intended for those who place lifelong memorable experiences far ahead of simply making and accumulating money for one's so-called "golden years."
 
In short, Bill Perkins wants to rescue you from over-saving and under-living. Regardless of your age, Die with Zero will teach you Perkins's plan for optimizing your life, stage by stage, so you're fully engaged and enjoying what you've worked and saved for.
 
You'll discover how to maximize your lifetime memorable moments with "time-bucketing," how to convert your earnings into priceless memories by following your "net worth curve," and how to navigate decisions about whether to invest in, or delay, a meaningful adventure with your "fulfillment curve" and "personal interest rate."
 
Using his own life experiences as well as the inspiring stories and cautionary tales of others-and drawing on eye-opening insights about time, money, and happiness from psychological science and behavioral finance-Perkins makes a timely, convincing, and contrarian case for living large.

Summary

Chapter 1: The Wake-Up Call

* Real Example: A middle-aged couple realizes their assets have decreased significantly after retirement due to poor financial planning and excessive debt.
* Key Takeaway: It's never too late to reassess your financial situation and proactively plan for your future.

Chapter 2: The 5 Financial Regrets

* Real Example: A woman regrets not saving enough for retirement, not investing wisely, not buying property early on, not negotiating better terms on her mortgage, and not getting a financial advisor.
* Key Takeaway: Identify and address potential financial regrets to avoid them in the future.

Chapter 3: The 20/30/50 Rule

* Real Example: A family with an income of $100,000 decides to allocate 20% ($20,000) to essential expenses, 30% ($30,000) to wants, and 50% ($50,000) to savings and long-term investments.
* Key Takeaway: Establish a clear spending and saving plan to ensure financial stability and future security.

Chapter 4: The Pay Yourself First Principle

* Real Example: A couple with a monthly income of $5,500 automates a monthly transfer of $500 ($100 per week) to their savings account before paying any bills or expenses.
* Key Takeaway: Make saving a priority by automating regular transfers from your income to a dedicated savings vehicle.

Chapter 5: The Power of the Reverse Mortgage

* Real Example: An elderly homeowner with limited retirement savings uses a reverse mortgage to tap into their home equity and supplement their income without having to sell their home or move.
* Key Takeaway: Explore alternative financing options that can help you maintain your financial security in retirement.

Chapter 6: The Importance of Having a Will

* Real Example: A family discovers that their elderly aunt died without a will, leaving their inheritance unclear and subject to state law.
* Key Takeaway: Create a legally binding will to ensure your assets are distributed according to your wishes and to avoid unnecessary disputes.

Chapter 7: The Benefits of Life Insurance

* Real Example: A young couple purchases a life insurance policy that will provide financial support to their children in the event of their untimely death.
* Key Takeaway: Consider life insurance to protect your loved ones and safeguard their financial future in case of an unforeseen tragedy.

Chapter 8: The Art of Passing On Your Wealth

* Real Example: A wealthy businessman sets up a charitable trust to distribute his wealth to a cause he believes in while minimizing tax implications on his estate.
* Key Takeaway: Plan for the transfer of your wealth to beneficiaries in a way that minimizes taxes and maximizes the impact of your inheritance.