Build FIRE

Anytime someone else pays you to use or occupy your property, that's rental income. And yes, we mean anytime. Unless you rent your property for less than 15 days in a given year, you'll need to include all of the following forms of passive rental income in your gross income and report it on IRS Form 1040 Schedule E to avoid running afoul of Uncle Sam.

1. Advance rent
Even if your tenant gives you an advance rent payment for a subsequent year, you must include it in your gross income in the year you receive it.

2. Service in lieu of rent
If you receive services, instead of money, as rent, you should include their fair market value in your rental income.

3. Property in lieu of rent
Sometimes a renter may offer you property in place of cash payments. If you accept this form of payment, you will need to include the fair market value of the property in your gross income.

4. Expenses paid by tenant
If your tenant pays any of your expenses for the repair or maintenance of the room or property, you'll either need to fully reimburse them for those costs, or include the payment for the expense in your gross income.

5. Security deposit
Requesting a security deposit is a pretty standard practice in the real estate industry, but IRS regulations oblige you to handle them with care.

Recessions
Where egos are reset, entrepreneurs become employees again, and real estate agents sell their Mercedes Benzes in a fire sale.

Investing
Do it every day. Invest money so money works for you. Or you’ll work hard for the rest of your life for no reason.

Salary
The lowest amount an employer has to pay so you’ll come to work. Start here. Don’t end your career here.
A salary is low risk. That makes it addictive. And that’s why a salary is financial crack. Automatically put a percentage of every paycheck into your investments.

Interest rates
Everyone wants them low so they pay the least amount possible. When interest rates go up debt becomes more expensive. The people who have too much debt can’t afford the higher rates — they get wrecked.

Savings accounts
Your bank’s free investment fund. A scam that pays you 0%.
A fake safe place to store money. If the bank goes down then your money goes with it. Yes, governments will do their best. But if 2008 happens again, your bank doesn’t have to give you squat.
Google the term bail-ins.

The biggest financial decision…
Who you’ll marry.
Stay away from the crazies or they’ll take your cash in a divorce.

With employer matching, employers match your contributions up to a certain percentage of your salary. For example, they may match up to 6%; in this case, if you make $50,000 per year, they will make matching contributions of up to $3,000. So if you contribute $3,000 into your 401(k), your employer will contribute $3,000 without any extra work or expense on your part.