The Simple Path to Wealth

Your roadmap to a rich, free life — in just five minutes per week.

July 7, 2026

This week, JL flags an essay from Brad Barrett in the ChooseFI newsletter. "A similar point I make frequently," JL writes, "is that those of us on The Simple Path are unicorns." Check it out below!

A Secret Hidden in Plain Sight

I went to my 25th college reunion at the University of Richmond this past Saturday, and I came away with an observation I can't stop thinking about.

Over the course of the day, I had dozens of conversations with smart, successful people in their late 40s. These are people who graduated from one of the best universities in America. Many are doctors, lawyers, executives, business owners, and leaders in their fields.

And yet, a surprising number had never heard of financial independence. Many had never even heard of using credit card rewards points to travel for nearly free. Most couldn't quite wrap their heads around the fact that I had stopped working in my 30s.

It was a powerful reminder that what feels normal inside the ChooseFI community is anything but normal in the broader world.

When you're surrounded by people discussing index funds, tax optimization, Roth conversions, travel rewards, and intentional spending, it's easy to assume everyone knows this stuff.

They don't.

The ideas we talk about every week are still largely hidden from the vast majority of people.

That's why I want to encourage you not to underestimate what you're doing.

By learning about Financial Independence, you're gaining access to a set of principles that can completely change the trajectory of your life. You're learning how to buy back your time, create options, reduce stress, travel more, and build a life that aligns with your values.

In many ways, you've discovered one of the best-kept secrets not just in personal finance, but in life. I can confidently say this: you're operating with knowledge and tools that most people, even highly educated, highly successful people, have never encountered.

Don't take that for granted.

Keep learning. Keep taking action. The payoff can be extraordinary.

THE SIMPLE NUMBERS

The personal saving rate—what Americans put away as a percentage of their disposable income—sunk to 3% in April and May, according to the Bureau of Economic Analysis. That's down from 3.5% in March and 3.8% in February.

Of course, it's miles below what those following The Simple Path are aiming for. JL recommends you save 50% of your income. That's easier said than done in some American cities, but you definitely want to beat out 3%.

Becoming a unicorn isn't that complicated: Save all that you can and invest it.

A unicorn sign hangs on a building wall. — "The Unicorn" isn't just a bar in France.

SIMPLE PATH OF THE DAY

A slice of timeless wisdom from The Simple Path to Wealth:

"I love not having to keep regular hours. I can stay up till four a.m. and sleep till noon. Or I can get up at four thirty and watch the sun rise. I can hang around home or disappear for months at a time, far afield. I post on my blog when the spirit moves me, and I might even get another book or two written. Or I can just sit on the porch with a cup of coffee and read the books others have written …

It’s a big, beautiful world out there. Money is a small part of it. But F-You Money buys you the freedom, resources, and time to explore it on your own terms. Retired or not. Enjoy your journey."

ASK JL

Q: Hi JL, after listening to your podcasts I have a question about the international switch. You mentioned that your overall portfolio allocation is still about 85% U.S./15% international after the switch. I'm curious if your daughter has a similar allocation, or if she is closer to the market cap weight of 60% U.S./40% international.

I'm trying to decide if I want an international "tilt" now, or if I should hold the market cap weight. Switching my tax-advantaged accounts like you did would put me much more toward market cap weight than yours is. anks!

—Ally N.

Hi Ally...

You got me curious, so I just took a look.

Of her stock holdings, my daughter has ~85% in VTI and ~15% in VT. Since VT holds ~60% in the US, this means that she has ~6% in international stocks. Mine is much the same.

Like I've been saying, this is a small shift.

As I have also been saying, this is not something to obsess over. Both VTI & VT will serve you well over the decades. So will VOO for that matter.

Focus more on your savings rate and making sure you don't panic and sell when the next market storm happens. That is what determines whether the market makes you wealthy or leaves you bleeding by the side of the road.

—JL

Got a money question keeping you up at night? Reply to this email and we'll get it over to JL.

WHAT WE'RE READING

📚 Spotting bubbles and calling the top of the market is incredibly difficult, Ben Carlson explains over at A Wealth of Common Sense. Even legendary investors like Jeremy Grantham get it wrong.

📚 There's a new blog up at the Mad Fientist making the case that where you live (and your resulting cost of living) is more important than your savings rate.

📚 Can AI really help you become a better decision maker? Geoff Woods investigates with a new book, The AI-Driven Leader.

THE BIG QUESTION

Do you feel different from those around you when it comes to money? Are your friends and family interested in financial independence—and following the path to get there?

Reply to this email and we'll feature some of your responses in upcoming issues!

Last time, we asked whether you have concerns about companies like SpaceX entering index funds soon after their IPOs. Here are a few of your answers...

I have fewer concerns about those major stock IPOs entering index funds than I do about them entering the ecosystem of large retirement funds that are not index-based. —Whitney E.

SpaceX gives me the impression of a company which is incredibly successful thanks to government support. So yes, you can buy your way to success. The IPOs will lift the whole index, not just the directly affected companies.

The current valuation of the index, even at this moment, takes into account a very high expected growth rate, plus the absence of another credit crisis, or a totally new (in recent times) debt crisis. Or an employment crisis, if I may add.

To the moon, and beyond! Keep the lines to Houston open, please. And an adult or two in the situation room. —Bruno B.