Drumroll… I still save plastic bags for reuse as emergency muddy shoe holders, but mostly for small trash can liners. It’s not that I can’t afford to buy small trashcan liners at the store, I can… So why do I do this? It’s because of the Great Pacific Garbage Patch, not to be confused with the pumpkin patch in “It’s the Great Pumpkin Charlie Brown”. (Halloween is on my mind…)

My overall plastic bag usage has decreased by about 90%, and instead I use reusable bags when I shop at Aldi’s. But I help others in my family that are older, and I do use a few shopping bags when I go shopping with them.

It’s amazing how much I’ve changed since the beginning of this blog.

MR

AI Prompt: what is the most generally accepted social class names and percentiles in the US?

The following is what was created (I asked GPT to add income, in a 2nd prompt):

U.S. Social Classes with 2024–2025 + Income Ranges

Personally, I’ve always like the Dennis Gilbert social class model because it feels more “real”. Perhaps the model above though, reflect the fact that things are more affordable at this point in time versus the past.

For example, in an older time period (let’s say the 1800s), international travel was limited to just the Elite (mostly just the top 1%), but today almost 50% of citizen have passports (48% in 2024). So almost half the country travels outside of the US.

The main reason is the flying is much cheaper than taking 2 to 6 weeks off from work to travel to Europe, etc.

I’m impressed how quickly Chat-GPT can adjust the table and update the number on the fly. It’s like candy for a financial numbers nerd like me!

Have fun with it,

MR

So what does “Ride” mean? Maybe international travelling and experiencing different cultures, or perhaps getting out and about before you hit walls that prevent your from doing so. Maybe you can make the magic happen, idk… but why not try?

All my life I’ve been saving and investing, but maybe it’s time to enjoy the riiiiiiiddee?

I’ve been a fan of twenty one pilots for a while now, but I haven’t heard this song before until tonight!

Anyway, it’s a great song and philosophy no matter what your age…

Merlin…

The SECURE 2.0 Act has introduced a game-changing provision for families with leftover 529 college savings: starting in 2024, beneficiaries can roll over up to $35,000 from a 529 plan into their Roth IRA—tax- and penalty-free. This offers a strategic way to repurpose unused education funds into long-term retirement savings.

What Is a 529-to-Roth IRA Rollover?

A 529 plan is a tax-advantaged account designed to save for education expenses. But what happens if the beneficiary doesn’t need all the funds—due to scholarships, choosing a less expensive school, or skipping college altogether?

Thanks to SECURE 2.0, families now have a way to convert those unused funds into retirement savings for the beneficiary, without triggering taxes or penalties.

Key Rules and Requirements

Example Scenario

Let’s say you opened a 529 plan for your child 18 years ago. They received a full scholarship and only used half the funds. The account has $30,000 remaining, and your child now has a part-time job earning $10,000/year.

You could:

• Roll over $7,000 in 2024 (assuming the child has $7,000+ in earned income)
• Repeat annually until the full $30,000 is transferred (subject to the $35,000 lifetime cap)

This turns unused education savings into a retirement nest egg—without triggering taxes or penalties.

Planning Tips

• Check contribution history: Only funds contributed more than 5 years ago (and their earnings) are eligible.
• Verify earned income: The beneficiary must have sufficient income to match the rollover amount.
• Coordinate with your state’s 529 plan: Some plans may have additional paperwork or restrictions.

Why It Matters

This provision adds flexibility to 529 plans and helps families avoid the dreaded “nonqualified withdrawal” penalty. It also gives young adults a head start on retirement—especially powerful given the compounding potential of Roth IRAs.

This was a AI prompt generated response. I didn’t “directly” know the rule “Earned Income Requirement“, but I did know it “indirectly” because of the rules around Roth IRAs require you to have earned income to contribute. Still, interesting…

Thanks,

MR.

So, since my portfolio didn’t match the performance of the typical S&P 500 index ETF, I actually slipped a bit compared to most of my peers. So even though my net worth increased over 2023, I still feel a bit behind, especially when considering the inflation increase that happened in 2023 and 2022. At least this year I broke even on my  Secret Wealth Goal versus the past few years.

Sadly, Lifestyle Creep is still creeping up for me, but not at a horrible pace. This year we all went on a short one week vacation to Iceland, which was amazing and certainly worth it. To right my financial boat, I’m not taking a big vacation in 2025 and I’m definitely staying in the US if I do go somewhere!

So in conclusion, I only slipped a little but I’m still in the lower half of UMC. In 2023, I said “This year, I’m a bit less than about 50% into the UMC that I was in 2021. It’s still nice to be in the light green area though, even if it’s just one toe in.”, and the same is true this year, but my toe is my “little” toe this year.

Hopefully, 2025 will be better!

MR guy

1. Mindset Shift:
   • The wealthy understand that it’s not just about how much money you make; it’s about how you spend it. They prioritize investing in income-producing assets over immediate consumption.
   • While the middle class tends to spend any financial windfall on lifestyle upgrades (such as vacations or luxury items), the wealthy focus on building wealth through strategic investments¹.
2. Income-Producing Assets:
   • When the wealthy experience a financial increase (whether from a raise, bonus, or inheritance), they don’t rush to buy toys or liabilities. Instead, they invest in assets that generate income.
   • These assets can include real estate properties, dividend-paying stocks, businesses, or other ventures that provide a steady stream of revenue.
   • Only after establishing this second income stream do they indulge in luxury purchases¹.
3. Diversification:
   • Wealthy individuals diversify their investments across various asset classes. They allocate resources to stocks, bonds, real estate, private equity, alternative investments, and even start-ups.
   • By spreading risk and seizing growth opportunities, they create a robust financial portfolio².
4. Real Estate Investments:
   • The wealthy often invest in real estate properties. Owning multiple properties allows them to benefit from rental income and property appreciation.
   • In contrast, those with fewer financial means struggle to buy even a primary residence, let alone additional properties³.
5. Tax Planning Strategies:
   • The rich leverage tax-efficient strategies to minimize their tax burden. They understand the tax implications of their investments and structure their holdings accordingly.
   • This includes utilizing tax-advantaged accounts, deductions, and credits to their advantage.
6. Professional Financial Advice:
   • Wealthy individuals seek guidance from experienced mentors, financially savvy relatives or friends, financial advisors, accountants, and estate planners. They make informed decisions based on expert insights.
   • Other less wealthy classes individuals may lack access to financial advice, which can impact their financial choices.
7. Retirement Planning:
   • The wealthy prioritize retirement planning early on. They contribute to retirement accounts, build pension funds, and create a safety net for their golden years.
   • Middle-class individuals often delay retirement planning or rely solely on employer-sponsored plans.

In summary, moving from the middle class to a wealthier class involves having a paycheck and a multiple income streams. The key lies in buying income-producing assets first and indulging in luxury items later. It’s a mindset shift that can transform financial outcomes. 

It’s okay to start small, the key is to just start.

MR

I recapped my losses from 2022, so that now I’m higher then my previous highest account balance set in 2021. So there is that, but from a Secret Wealth Goal, I’m still down 7 percent from the 2021 percentage position..

Thinking about it now, I did experience a certain about of Lifestyle Creep too. Perhaps the trip to Maui should have set off alarm bells in my head, but I justified it as a “one off”. Unfortunately, I have a desire to travel more lately, so I’m suddenly realizing I might have quite a few “One offs” in the future.

So what is my grade for 2023… B- I’m still in good shape, but I dropped in certain areas. Especially the piece I wrote last year:

This year, I’m a bit less than about 50% into the UMC that I was in 2021. It’s still nice to be in the light green area though, even if it’s just one toe in.

Hopefully in 2024 I’m make up for lost ground, but who knows… Starting the year feeling financially numb…

Thanks,

MR guy

Mid-summer, I did go to Maui for the first time ever, but after coming back from that vacation (which was great), I got hit with very bad family issues that I’m not going to talk about. In fact, from a net worth perspective, I slipped down quite a bit.

My family issues caused me to become unfocused (totally neglected finances in fact), and my portfolio showed it.

Looks like some rough years ahead…

Most of us who have investments and own real estate had an extraordinary year in 2021 because of market gains. Surprisingly, my 401k portfolio blew my individual stocks out of the water in 2021. So my regular brokerage account and Roth IRA just did okay. I’ve been sick lately, so I wasn’t functioning at my peak level.

My Financial Pyramid results

With an increase in pay, investment returns, house value appreciation, and efforts to save money using extreme frugality, mowing my own lawn, selling stuff, killing unnecessary expenses, and working from home full-time, I doubled the yearly gain that I made last year. I’m still driving my 2010 car because the prices of used cars jumped dramatically, and new cars were hard to find, literally, so my lifestyle hardly change this year versus last year.

Grading My Performance

I was shocked when I touched My Secret Wealth Goal! I was in this state only briefly, but it was still an exciting moment. I don’t expect to really hit that goal again for at least 2 or so years (fingers crossed). So given that I hit my wealth goal, I would say that my performance this year was a low A (barely over A-), which is still amazing for me!

Last year I complained about my lack of dabbling in investment strategies, so I bought some crypto and stock options, both of which went poorly for me, but I only “dipped my toe” in these unfamiliar investments, so I only experienced small losses in them.

I feel comfortable saying that in 2021 I was about 50% into the upper-middle-class (UMC) level at the end of 2021 in the pyramid below, at least from a net worth perspective. Sadly, today (4/20/2022) I’m only a third of the way (from the bottom) in that same upper-middle-class tier. I’m only in the UMC tier based on a net worth perspective. I’m from the working or middle class so being in the UMC is new territory for me.

Future Goal Climbing my Financial Pyramid

I’m looking around, seeing what new options I have. I always have grand ambitions around wanting to do amazing things, but something always blocks me. So this time I’m going to let fate take me where she takes me while keeping last year’s thoughts about a middle-class wealth club in the back of my mind.

We’ll see…

It’s very fast, and if I had a 5G phone, there would be no extra cost for 5G usage on Mint Mobile!

My former phone carrier was Cricket Wireless, which is not bad, and which will serve as my base for comparison in this article as of 10/2021.

Cricket uses AT&T as the backend to their system (AT&T owns Cricket, by the way…) and that’s great for coverage, but unfortunately, AT&T caps the Cricket download speeds to 8 Mbps). With Mint Mobile, the backend provider is T-Mobile, but Mint Mobile is, for the most part, uncapped (at least so far in my area, not sure about megacities…), so this means that my speeds increased from 8 MBps to an average of 40 to 60 Mbps in my city. That’s blazingly fast compared to Cricket (wish I had a 5G phone…)

Mint Mobile Owner and Celebrity Influencer…

Oh, Ryan Reynolds kind of makes it cool too. I wonder if Blake Lively will chime in sometime in the future (Ryan’s so lucky!)?

In my house, Mint Mobil provides around 20 MBps to 50 MBps for download data speeds (again, wish I had a 5G phone…). If I had a 5G phone, there would be no comparison because Mint Mobile would be at an entirely superior level of performance (thanks to T-Mobile).

I chose a similar plan (10G month data download, unlimited texting, calls…) to what I had previously, but with an important exception… I CAN NOW USE MY PHONE AS A HOTSPOT ACCESS POINT!!! Since the huge number of people are working from home now, this is critical because it provides an emergency way to connect workstations/laptops to work so that we call can still be productive, even what your primary ISP is down!

Last summer, I had an emergency outage where I was in the middle of running a script when a thunderstorm took out my city ISP. I literally drove to the library (which uses a different ISP) to remote back into work and inspect the logs from my still running critical and too new PowerShell script. With my new Mint Mobile hotspot, now I can just connect to it from my workstation (really laptop) so that I have access to work in such emergencies in less than 2 minutes. Whew!!! My next purchase (maybe next year) will be a backup battery for my monitors to my laptop, that way I could have total power loss at my house and still remote into work via the Mint Mobile hotspot… or maybe I’ll get a Tesla Powerwall battery (nice dream huh…).

Being a financial blogger with the title being “Money Reasons”, obviously I’m a frugal guy so money savings is important to me. This is where it gets interesting… not only do I at lest quadruple my data speeds, get 5G for free connectivity and speeds (did I mention that I wish I had a 5 G phone), have hotspot capabilities for free (your phone also has to be able to enable this option in its settings) but also (drumrollllll) it’s half the cost! Yes, crazy huh.

So Mint Mobile is charging $60 for the first three months (so $20 per month), but if you click on a referral link (yes, mine is: http://fbuy.me/sOjQr ), you get an extra $15 off the $60 price (sweet, right…). And if you pay 1 year in advance, you’ll keep the $20/Month rate (this is what I did). If you decide to go with a shorter ($25/month for 6 months, or $35/month for prepaying for three months), those are still cheaper than my previous provider, and probably yours too!

So if you click on my link: http://fbuy.me/sOjQr, then click “shop plans” on their website, you can see their current plans. Once you do get “onboarded” to Mint, check out their referral program, you can reduce your cost even more via that problem.

Oh, one last thing… If you are a heavy consumer of data, you can go with the unlimited plan for $30/month if you prepay for a year. You do that that $30/month rate for the first 3 months as part of your promotion, after your first 3 months of the promotion, you can get the next 12 months at a low $30/month rate if you prepay for an entire year too

Okay, I always like to see an example on stuff like this, so this is what I did:

• I signed up for the 3 months plan at the promotion rate of $20/month for 3 months on 10/5/2022. This was amazingly great, right!
• On date: 1/5/2022, the introduction rate is over and I can either prepay for 3 months @ $35, 6 months @ $25/month price, or 12 months @ $25/month price (<-I chose this, for now). I say I chose the 12 months plan because I set it up the autorenewal so I don’t have to remember in January in 2020 (although I’m sure mint mobile would text me before that date).
• Since the 12 month plan is not active yet, I might change it… I’m honestly thinking of going with the unlimited for $30/months if I pre-pay for 12 months. The $30 price is still cheaper than my old provider. I have until 1/4/2022 of next year to change my mind…

I usually don’t get this excited about phone carriers, but this one is a win-win-win combination. I don’t see that much anymore, but it’s my favorite type!

Thanks,

MR (aka Money Reasons)…

More Mint Mobile stuff:

5G coverage (and your area checker option) map with Mint Mobile: https://www.mintmobile.com/coverage/

“I need to transfer my number to Mint Mobile”, instructional video: