"How am I doing compared to everyone else?"

It's one of the most common financial questions people ask, and is a completely natural thing to wonder.

But as interesting as the answer might be, it's rarely useful.

Because once you get past the shared goal of "retirement," almost no two financial plans actually look alike.

In today's email:

• Why comparing yourself to other retirees tells you almost nothing
• A simple, one-sentence tool that can replace the comparison instinct
• How to let it guide your spending, not just your saving

As always, I'll wrap up with a few of the best retirement and investing articles I read in the past week.

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Before we dive in, did you catch this week's podcast? 👇

Same Goal, Very Different Plans

Retirement is the most common financial goal there is, so it's tempting to assume everyone's plan looks roughly the same.

But it doesn't.

Some want to fund their kids' or grandkids' college because their own was paid for. Others want their kids to work for it, the way they did.

Some want a summer or winter home in addition to their primary residence. Others plan to dramatically downsize.

Some plan to live on $5,000 a month in retirement. Others plan for $20,000.

Some have significant charitable or legacy goals. Many don't.

None of these choices is right or wrong. They're just different.

Which means knowing where you stand relative to someone else tells you almost nothing about how well you're actually doing.

The Question That Actually Matters

Instead of, "how am I doing compared to everyone else," try this instead:

"How am I doing compared to what I say matters most to me?"

That's the idea behind something author Carl Richards calls a Statement of Financial Purpose.

His own version is a single sentence:

No dollar figures or dates.

Just a plain statement of what matters most, and a filter for every money decision that follows.

Let Purpose Be the Filter

Once Richards has that filter, decisions get simpler.

An off-road truck or a cabin in the mountains might be exactly the right use of his money, because they support his purpose.

For someone else, they might be a waste.

Author Ramit Sethi put it well:

The value of a purchase depends on how well it aligns with your priorities.

A truck, a club membership, or an expensive trip can all make sense if they support the retirement you’ve intentionally planned for.

That becomes especially important when you shift from building a portfolio to spending from one.

A Statement of Financial Purpose can help you decide which expenses deserve your money and make it easier to spend confidently when they do.

If a purchase supports what matters most to you and fits within your plan, spending the money may be exactly what the plan was designed to support.

Bottom Line

Your financial plan should reflect your priorities, not how your neighbor, sibling, or fellow retiree chooses to use their money.

Try writing your own Statement of Financial Purpose in a single sentence.

It may not include a dollar amount or percentage, but it can provide a useful framework for deciding how you save, invest, and spend throughout retirement.

📚 What I've Been Reading

• What’s a Safe Withdrawal Rate After You’ve Already Retired? (Morningstar)
• Spending Your Nest Egg: 10 Truths About the Decumulation Phase
• AI Is Turbocharging Investment Scams and Draining Retirement Savings (Barron's)
• The Discipline Required To Create The Life You Want (Ryan Holiday)
• Everything In Life Is A Game (Darius Foroux)

Thank you for reading!

Please reply to this email with comments, questions, and/or feedback.

Stay wealthy,

Taylor Schulte, CFP®