You can afford anything, but not everything. We make daily decisions about how to spend money, time, energy, focus and attention – and ultimately, our life.
How...
Q&A: The Scary Shift from Saving to — Gulp! — Actually Spending Your Money
#595: Eva is finally closing in on her financial independence goals, but she’s grappling with how to make a smooth transition from accumulation to decumulation. What should she consider?
John has noticed a game-changing omission from recent discussions about traditional versus Roth IRAs. Is this as big of a deal as he thinks it is?
An anonymous caller is excited to convert his primary residence into a rental property. But he’ll only make a profit if he first sells some equities to pay down the mortgage. Is this a good idea?
Former financial planner Joe Saul-Sehy and I tackle these questions in today’s episode.
Enjoy!
P.S. Got a question? Leave it at https://affordanything.com/voicemail
For more information, visit the show notes at https://affordanything.com/podcast/binge
Learn more about your ad choices. Visit podcastchoices.com/adchoices
--------
1:05:06
How to Travel on $75 Per Day, with Nomadic Matt Kepnes
#594: Ever wonder if you could afford to travel for months at a time? According to Nomadic Matt, who's visited more than 100 countries over the last 19 years, you can see the world on just $75 a day. That's about $27,375 per year, less than many people's current cost of living.
Matt Kepnes, better known as Nomadic Matt, joins us to challenge common assumptions about travel costs. He explains that long-term travel can actually be cheaper than staying home.
When you're traveling, you shed many regular expenses that eat into your budget back home, like car payments, home insurance, and utility bills.
The key is to "travel like you live," as Nomadic Matt puts it. This means using public transportation instead of taxis, shopping at local markets, and seeking out free activities — just like you might do in your hometown.
It's not about staying at five-star resorts, but experiencing destinations authentically while keeping costs reasonable.
Nomadic Matt also breaks down several travel myths. The old advice about booking flights on Tuesdays? Outdated in today's algorithmic pricing world. Using incognito mode to get better flight prices? No evidence supports this idea.
He does confirm that booking round-trip flights often costs less than one-way tickets, even if you don't use the return portion.
For those interested in credit card points, Nomadic Matt recommends choosing cards based on your specific travel goals rather than chasing the most popular options. Consider which airlines you use most and what perks you'll actually take advantage of.
The pandemic has transformed travel in significant ways. While prices have increased and some budget travel services have disappeared, new opportunities have emerged — especially for remote workers who can now take advantage of digital nomad visas to live abroad while maintaining their income.
Whether you're planning a two-week vacation or dreaming of becoming location-independent, Nomadic Matt's practical advice shows how international travel is more accessible than you might have thought.
Timestamps:
Note: Timestamps will vary on individual listening devices based on dynamic advertising run times. The provided timestamps are approximate and may be several minutes off due to changing ad lengths.
(0:00) Intro to Nomadic Matt and $75/day budget
(1:00) Modern hostels aren't grungy anymore
(3:00) Origins of the $75/day travel budget
(5:00) "Travel like you live" approach saves money
(8:50) Mix accommodations based on trip needs
(9:40) Choose travel cards matching your specific goals
(16:40) Use points before devaluation happens
(20:00) Best booking times for flights
(37:00) Social media's impact on global travel
(42:00) Overcoming language barriers easily
(48:30) Post-COVID travel costs and changes
(56:20) Remote work visas for long-term travelers
(1:02:40) Why travel costs less than staying home
(1:05:50) How location independence evolved from unusual to mainstream
Learn more about your ad choices. Visit podcastchoices.com/adchoices
--------
1:19:29
Q&A: You Made a Money Mistake. Now What?
#593: An anonymous caller is brooding over a mistake he made in 2023 when he decided to contribute to his Roth instead of a pre-tax account. How does he get over this?
June is annoyed that she triggered short-term capital gains and wash sales when she sold assets in her taxable brokerage last year. How does she avoid these issues in the future?
Zerai wants to add mid and small-cap exposure, but his 457 plan has a limited selection of mutual funds. What’s the proper way to select the best fund among the available options?
Former financial planner Joe Saul-Sehy and I tackle these questions in today’s episode.
Enjoy!
P.S. Got a question? Leave it https://affordanything.com/voicemail
For more information, visit the show notes at https://affordanything.com/episode593
Learn more about your ad choices. Visit podcastchoices.com/adchoices
--------
1:01:27
Why Your Brain Rewards You for Avoiding Your Boss, with Dr. Joel Salinas
#592: Ever wonder what's happening in your brain right before you knock on your boss's door to ask for a raise? Dr. Joel Salinas, neurologist and brain health expert, joins us to explain the neurology of negotiation.
When you avoid difficult conversations, your brain actually rewards you with a small dopamine hit. That temporary relief feels good, reinforcing the avoidance behavior.
But Dr. Salinas explains this creates a problematic loop: the more you avoid conflict, the more uncomfortable it becomes when you face it.
Breaking this cycle starts with a simple but powerful step: taking a breath. A long, slow exhale activates the more deliberative parts of your brain, helping you move beyond knee-jerk reactions.
Dr. Salinas suggests focusing on what he calls the "Bigger Better Offer" — the meaningful reward that comes from pushing through discomfort. Thinking about what happens if you don't ask for that raise (struggling to pay bills, missing career advancement) can motivate you to overcome avoidance tendencies.
Beyond workplace conflicts, we explore fascinating brain facts:
Your brain constructs reality like "one great big hallucination"
Neural pathways that fire together wire together
Conflict isn't a sign of failure — it's actually necessary for authentic connection
Want to boost your brain health? Dr. Salinas recommends regular exercise, brain-healthy foods like leafy greens and berries, quality sleep, supportive social connections, and challenging yourself with new skills.
The conversation meanders through various aspects of brain function — from why humans are visual creatures to how trauma impacts neural pathways — all explained in accessible, engaging terms.
Whether you're looking to have difficult conversations more effectively or simply curious about the remarkable three-pound organ controlling your reality, this episode offers practical insights into the science of your mind.
Timestamps:
Note: Timestamps will vary on individual listening devices based on dynamic advertising run times. The provided timestamps are approximate and may be several minutes off due to changing ad lengths.
(0:00) Intro
(3:00) What happens in your brain when asking for a raise
(6:30) How negativity bias shapes interactions with authority figures
(10:41) The "Bigger Better Offer" technique for breaking behavioral loops
(19:22) Why avoiding conflict creates reward pathways in the brain
(29:12) Training your brain to tolerate disagreement
(34:52) How salience and valence affect what we perceive as conflict
(40:42) The role of internal conflict in decision-making
(55:08) Understanding the structure and functions of different brain regions
(1:00:53) Why imagination of possibility matters for breaking rumination cycles
(1:06:45) How challenging our brain creates new neural pathways
(1:11:42) Five key behaviors that improve long-term brain health
(1:17:03) Brain plasticity and how it changes throughout our lifetime
(1:22:51) Resources for learning more about conflict resilience
For more information, visit the show notes at https://affordanything.com/episode592
Learn more about your ad choices. Visit podcastchoices.com/adchoices
--------
1:31:29
The Hidden Tax of Avoiding Tough Conversations, with Harvard Law Senior Fellow Bob Bordone
#591: Imagine you're about to ask your boss for a raise. Your stomach tightens. You've rehearsed what to say, but doubt creeps in. Should you be more assertive? More understanding of company constraints?
Bob Bordone, who has taught negotiation for 25 years including 21 years at Harvard Law School, joins us to explain why you don't have to choose between empathy and assertiveness. In fact, combining them is key to successful negotiations.
"It might feel like a tension, but it's not an actual one," Bordone explains. "I can fully appreciate what you're feeling without ever giving anything up in a negotiation."
Bordone breaks down his three-part preparation framework:
Mirror work: Identify the different sides of yourself in a negotiation — the empathic side that understands company constraints, the assertive side that knows you deserve recognition, and perhaps an anxious side worried about finances.
Chair work: Give each side a voice through role-playing exercises, literally sitting in different chairs to embody each perspective.
Table work: Bring these voices into the actual negotiation in an authentic way that doesn't make the other person feel attacked.
He also introduces fascinating concepts like "conflict recognition" — how quickly we perceive something as a conflict — and "conflict holding" — our comfort with leaving conflicts unresolved. These differences often cause relationship problems when we're unaware of them.
"My best friend and I might debate over Flaming Hot Cheetos for 25 minutes. For me, with high conflict recognition, it's completely fun. I go home and sleep like a baby," Bordone says. "For someone with low conflict recognition, they might think, 'That was horrible. Did I hurt the relationship?'"
When someone tries to shut down your request with policy ("that's just how we do things here"), Bordone recommends what he calls the "Wizard of Oz tactic" — asking a few more questions rather than immediately accepting defeat.
The skills you develop asking for a raise transfer to other challenging conversations — from family inheritance discussions to political disagreements with colleagues.
Bordone emphasizes that conflict isn't something to avoid but rather a normal part of relationships. The question isn't whether we'll have conflict, but how we handle it when it inevitably arrives.
Resources Mentioned
Book: Conflict Resilience
Web: BobBordone.com
Timestamps:
Note: Timestamps will vary on individual listening devices based on dynamic advertising run times. The provided timestamps are approximate and may be several minutes off due to changing ad lengths.
(00:00) Introduction to Bob Bordone
(02:35) Contentious times vs 25 years ago
(04:26) Negotiation vs facilitation vs conflict resolution
(05:56) Key negotiator skills
(08:35) Empathy meets assertiveness
(11:22) Mirror work explained
(15:58) Chair work technique
(19:58) Table work strategies
(24:10) Role-playing in preparation
(31:44) Rights, power, interests framework
(35:39) Conflict recognition vs conflict holding
(42:22) Handling power imbalances
(50:13) "Difficult people" reconsidered
For more information, visit the show notes at https://affordanything.com/episode591
Learn more about your ad choices. Visit podcastchoices.com/adchoices
You can afford anything, but not everything. We make daily decisions about how to spend money, time, energy, focus and attention – and ultimately, our life.
How do we make smarter decisions? How do we think from first principles?
On the surface, Afford Anything seems like a podcast about money and investing.
But under the hood, this is a show about how to think critically, recognize our behavioral blind spots, and make smarter choices. We’re into the psychology of money, and we love metacognition: thinking about how to think.
In some episodes, we interview world-class experts: professors, researchers, scientists, authors. In other episodes, we answer your questions, talking through decision-making frameworks and mental models.
Want to learn more? Download our free book, Escape, at http://affordanything.com/escape. Hosted by Paula Pant.
USA