Business
Transitioning from the military can be a huge change for people who have served. Their whole life can be turned upside down, and they can even discover a loss of identity that was tied to their military life. David Pere says the solution for this is to have a purpose and a plan before you leave. David has been in the military since 2008, and he still serves. After reading Rich Dad Poor Dad, he started taking an active role with his finances and cut spending, started saving, and investing in real estate. David now owns 14 properties. One is a 10 unit commercial property and the rest are rentals. One of them is currently being renovated. David not only took an active role in controlling his finances and his future, but he helps other military members do the same. He runs From Military to Millionaire where he helps other service members build wealth through real estate investing, entrepreneurship, and personal finance. He’s also the host of The Military Millionaire Podcast. David and I talk about his story, how he feels about investing in real estate, and how to find the right property manager. We talk about benefits, opportunities, and retirement choices that apply to military members and how to get the most out of them. This episode is about making a plan, so that you can have options in or out of the military. Highlights from Episode 24 [00:45] David has been in the military since 2008. He's still an active duty Marine. He works in logistics and transportation. In 2015, he read the book Rich Dad Poor Dad. That changed his life. [01:13] He started real estate investing and got better with this finances. In the last 4 years he's bought and sold a lot of Real Estate. He has 13 rental properties and one that's being renovated. [01:29] He tripled or maybe quadrupled his net worth. [02:28] David was a finance specialist. He took a week-long course about finances. The class is very thorough, but there's a lot to learn in one week. [03:41] The program is used to help people already in trouble. David would prefer it was there to help people before they get into trouble. [05:19] Before talking about your finances, you need to have your basic information. [10:13] David has a 10 unit commercial property and he uses a property manager for it. [11:37] Always interview more than one property manager. Also look for hidden fees. Make sure they are licensed, insured, and you are a good fit for them. [15:00] To start investing. Fix your budget and save money. Then learn about investing and network. Then take action. [16:40] Buy and hold real estate investing is a long term strategy. There are also tax benefits. [18:28] David does his own bookkeeping. He also has someone who files his taxes for him. It's very important to get the first year with basis correct. [22:14] David took the blended retirement system. For him, it allows more flexibility with his career. [25:43] David joined in 2008, he lost money by contributing to the G fund compared to what he could have made in the market. [27:33] The life cycle fund is the fund you need to use. [29:06] The biggest success for transition is to have a plan. Losing identity is what hurts people transitioning from the military. Find a purpose now. [32:08] Income is rarely the problem. Expenses are. [34:59] It's a good idea to cut your expenses. [35:35] Don't get caught up trying to keep up with other people. Links and Resources From Military to Millionaire The Military Millionaire Podcast From Military to Millionaire on Facebook David Pere on Instagram David Pere on LinkedIn David Pere on Twitter Rich Dad Poor Dad