How to build your three bucket strategy.

It's Brian Preston, the money guy, restoring order to your financial chaos, retirement,

investing, taxes.

You've got financial questions, he's got financial answers.

It's Brian Preston, the money guy.

Yeah, Brian, I am super excited about this show because one of the questions we get all the times

is guys, can you talk me more about this three bucket strategy? These three bucket,

some are supposed to build as I'm building up towards financial independence.

What does that mean? How do I do it? Why does it matter? So we thought, okay, today we'll do a deep dive.

Yeah, the three buckets, I gotta tell you, this is foundational knowledge to your wealth building

journey. When I mention three buckets, let's just go ahead and there's no mystery here. We'll go

ahead and tell you what they are. We're talking about your tax deferred bucket. This is like your

qualified retirement plans, your 401k, your 43b, your IRAs and so forth. They're all growing

tax deferred. We also have your tax free. We all get excited about tax free. That's your Roth

accounts, your Roth IRA, your Roth 401k, your Roth 43b and so forth. And then the last of the

three bucket strategy is of course your aftertax. That's your liquid, meaning liquid investments that

I've already aftertaxed you paid taxes on them, you've earned the income, you paid the taxes,

now you get to spend them how you see fit. And here's the real reason why we like to focus on them.

All three of the tax buckets are treated differently. So when you get to financial independence,

if you've built all three of them adequately, you can pick and choose your circumstance. But

you don't want to just think about this on the day before you retire. It's one of the reasons why

on our brand new net worth template that we just released on our dashboard, we actually have shown

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