Simplified Cash Flow Engine
Financial Independence Modeling
This morning I was thinking about the Financial Independence Asset Allocation and Cash Flows Engine™ spreadsheet I created.
As it stands, it is an incredible tool for modeling your situation and deliberately thinking about:
Where your money to invest is coming from, and
Where you will invest the money to achieve your specific goals
But, if you’re looking at it for the first time, it can be overwhelming.
Simplify
So, I started thinking about how to simplify it. And, here’s a stab at simplification.
First, most folks have income from their job (the green box above). They consume (spend) that money via their lifestyle.
Nothing tricky so far.
Eventually, many folks will take some of their money from their job and invest it in something.
We’ll call the something a “Black Box of Investment Options”, but it could be one or more of the following:
