Die Broke: A Radical Four-Part Financial Plan (Paperback)

~ Stephen Pollan (Author), Mark Levine (Author) "Die broke. Turn the phrase over in your mind..." (more)
Key Phrases: new economic world, new economic age, same insurer, Die Broker, American Express, New York City (more...)

Editorial Reviews

Amazon.com Review

Baby boomers, forget all you've learned from your parents about managing your money, your career, and your life. In Die Broke, Stephan Pollan challenges readers to rethink their notions of workplace, money, retirement, and inheritance. He believes that most of us are rooted in thinking that's out of sync with the realities of today's economy. For example, according to Pollan, the "job" is not what it used to be--there's no such thing as corporate loyalty. Making it in today's workplace means putting your own interests first, not your company's. Pollan argues that you should do your best at work, but make sure you're getting the best deal financially. If you're not, then get another job. After all, it's only a job.

Die Broke is organized into two sections: the first lays out the principles for dying broke. Pollan bases his whole argument on these four maxims: quit today and work for yourself, not your company; pay cash, melt your credit cards, and don't even think about using your ATM card; don't retire, retirement is a relatively new concept created during the Depression, instead plan to work all your life, and; die broke, after all, you can't take it with you.

The second part looks at specific instances of how to put this philosophy into action, covering everything from "Automated Teller Machines and Cards" and "Umbrella Liability Insurance" to "Mortgage Loans" and "Real Estate Investment Trusts." The book draws on Pollan's experience as a financial and legal consultant and includes many examples from his own practice.

Some may find Pollan's views extreme. However, if you're starting to think about retirement or are at all worried about your financial future, Die Broke is worth a look. Even if you think you've got it all figured out, this book could change your mind. --This text refers to an out of print or unavailable edition of this title.

Review

"If you don't read this book, you're going to Die Stupid!" -- -- Dr. Laura Schlessinger, author of Ten Stupid Things Men Do to Mess Up Their Lives and How Could You Do That?!

"If you're unhappy with conventional thinking about how we live and plan our lives, this book will speak to you." -- -- Scott Burns, Dallas Morning News

"If you're unhappy with conventional thinking about how we live and plan our lives, this book will speak to you." -- -- Scott Burns, Dallas Morning News

"Smoothly written...a treasure chest of financial advice." -- -- USA Today

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Product Details

• Paperback: 320 pages
• Publisher: Harper Paperbacks (September 23, 1998)
• Language: English
• ISBN-10: 0887309429
• ISBN-13: 978-0887309427
• Product Dimensions: 7.9 x 5.7 x 0.8 inches
• Shipping Weight: 8.8 ounces (View shipping rates and policies)
• Average Customer Review: 3.8 out of 5 stars  See all reviews (58 customer reviews)
• Amazon.com Sales Rank: #246,547 in Books (See Bestsellers in Books)

Customer Reviews

Most Helpful Customer Reviews

108 of 110 people found the following review helpful:

4.0 out of 5 stars Thought provoking, August 26, 2000

By	Michael Mendenhall "september17th" (Monterey, CA United States) - See all my reviews (REAL NAME)

Before reading this book, I had always harbored a great deal of suspicion for the generally accepted wisdom of "retirement." According to popular financial magazines, I will need somewhere around $2 - $3 million by the time I turn 65 to live a "comfortable" retirement. What a sick joke.

Retirement, as the author points out, is a myth. There is no such thing as retirement. Retirement at age 65 was arbitrarily made up years ago to get rid of the elderly so younger people could fill up those jobs. There is something else the author touches upon and that is America's obsession with accumulating large sums of money over years and years to one day get to that glorious point where we no longer have to work. Great, so what about now? What do we do during our working years? Do we sacrifice all the good years of our lives saving up ungodly sums of money just to get to the point where we can quit and do nothing but goof off all day? There's something wrong with this picture. As the author points out, and I have noticed this myself, we focus on retirement for the same reason we look forward to the weekend: we hate our jobs. Americans by and large just don't like to work. If we loved to work, we would have to change our national slogan to "Thank God it's Monday." I don't think so.

This book is basically divided into two parts. The first part is his radical and somewhat controversial plan to avoid retirement altogether. In other words, plan on not retiring at all. The author points out that this is done in several ways, most of which are not really new: (1) pay cash for everything except maybe a house (2) get rid of all your credit cards and ATM cards except maybe an American Express which you pay off every month (3) mentally quit your job. This is done by accepting the fact that there is no job security, so you might as well keep your eyes and ears open for other opportunities. Part of his plan reminded me of "The E Myth" by Michael Gerber. Gerber asserted that small business owners have turned their lives over to their business. We business owners revolve our lives around our businesses, or in other words, our business becomes our life. Been there done that. Many career oriented workers do the same. We proclaim that we are satisfied with our work, but in reality, it's because the work becomes an end in itself. A business or a job both have the same objective: to supply you with the money you need to live and enjoy life. That's it.

My favorite quote from the book was this little gem: "Forget about the pursuit of a holistic work life. You cannot successfully integrate your work and the rest of your life. Your work is not your life. Your work is what you do so you can have a life."

The second part of this book was okay. It's basically an alphabetical listing of various financial topics. There's not a whole lot of new information in here, but as an avid reader of financial books, newspapers and magazines, I like to get as much information as possible. Every book has something worthwhile in it. This section helped explain some topics that I had not understood before, particulary about annuities.

My overall impression of this book was very good. Although there is not a lot of new information in here, his plan for dying broke is wonderful. In particular, the death of "retirement" as we know it was particularly eye opening. There really is no such thing as "retirement," and people shouldn't even bother planning on it. What's even worse is that children nowadays look forward to inheriting their parents' estates. Now, you're supposed to save huge amounts of money to retire on, but additionally, you have to keep a large chunk of that to pass onto your heirs. My advice: go out and buy that bumper sticker which says "We're spending our children's inheritance."

I'm giving this book 4 stars because I appreciate the originality of his thinking. So much of our society is focused on retirement and the future, we forget to live our lives from day to day. There's nothing wrong with saving for retirement, but when we save large sums of money, we end up sacrificing our working years for something later on that may never happen. It's an industry based entirely on fear. The more you accumulate for "later," the less you can enjoy yourself now. What really touched me was when the author wondered why it is that the biggest legacy we leave to our children is an inheritance. That only happens after you're gone. What about while you're still here? Now that's something to ponder.

39 of 39 people found the following review helpful:

4.0 out of 5 stars Makes you rethink conventional wisdom, March 28, 2000

By	Eric R Lewis (Silicon Valley, CA) - See all my reviews

This review is from: Die Broke : A Radical 4-Part Personal Finance Plan (Hardcover)

The main point of the book is that it is silly to aim to leave a large estate to your heirs. Instead of that, spend your money, or give it to the people and causes that you care about while you are alive and able to enjoy seeing the gifts put to use. Since this type of plan raises the spectre of running out of money (i.e. "outliving your assets"), Pollan and Levine's work is full of practical advice on how to insure a sufficient life-long income, using annuities, insurance, etc.

Those reviewers who criticize the book as a case against retirement planning miss the point. Whether or not you plan to "die broke", you'll need substantial assets to provide a comfortable income in your seventies, eighties, and beyond, God willing. Die Broke is about how to accumulate those assets, and how to make the best use of them, not at all an excuse for not saving.

Regarding their views on retirement, Pollan and Levine are preaching the not-so-heretical idea that many of us will find both fulfillment and income working past the standard retirement age, and should take that into account as we plan for that time. Indeed, social scientists are starting to find that people who keep working (often part-time, or as volunteers) are happier and live longer than those who "retire".

I highly recommend this book to people thinking about their careers and finances. Even if you disagree with its conclusions, it will stimulate your own thinking and planning. Be sure however to check with a qualified advisor before undertaking any of the detailed strategies mentioned, as tax and other rules are constantly changing.

59 of 62 people found the following review helpful:

5.0 out of 5 stars Read this book first! (and give a copy to your kids), June 13, 2000

By	Quaker Annie "reader" - See all my reviews (TOP 1000 REVIEWER)

This is my personal favorite in a long list of books on financial planning, although I think it caused the hairs on the back of my financial planners neck to stand up. Actually, that might be a good sign. The advice in this book goes against everything a sensible planner says to do. The traditional advise is to protect, nurture and grow your 'estate.'

You know the bumper stickers you see that say "We're Spending Our Children's Inheritance"? This book is based on that theory, although with a kinder philosophy behind it. The authors recommend you

1) Quit Your Job. (virtually,not actually)Rather than leaving your job, start thinking of yourself as an independent contractor - and make sure you do what you like, get what you want) The work world has changed, employers complain about lack of employee loyalty, but will 'right size' you tomorrow

2) Pay Cash - Get rid of credit card thinking and credit card debt. This is not your father's credit card system anymore!

3) Don't Retire - The idea of putting yourself out to pasture at a given age is as dated as the concept of thinking you have to grow your inheritance to leave to your kids.

4) Die Broke. Spend your money wisely now, use legal ways you can take care of your parents and your kids while you are still alive.

The idea is not to live poor or foolishly, but to rethink entirely why you are struggling so hard now for a tomorrow that may or may not come. Use your money today, to take care of yourself and your loved ones. This book is easy to read without talking down to the reader, is full of good advice with possible to practice wisdom. A good investment!