The Simple Path to Wealth (Revised & Expanded 2025 Edition): Your Road Map to Financial Independence and a Rich, Free Life

by J.L. Collins

There are three key principles that have persisted from those letters, through the blog, and now in both editions of this book: 1. Spend less than you earn. 2. Invest the surplus. 3. Avoid debt.

VTSAX. No surprise here if you’ve been paying attention so far. This is the total stock market index fund

Now that I’m kinda, sorta retired and we are financially independent, me too. My wife and I hold some other stuff in our portfolio. But not much. Here it is: ~75% Stocks: VTSAX (Vanguard Total Stock Market Index Fund). Still our core holding for all the reasons we’ve discussed. ~20% Bonds: VBTLX (Vanguard Total Bond Market Index Fund). Bonds provide some income, tend to smooth out the rough ride of stocks, and are a deflation hedge. ~5% Cash: VMRXX (Vanguard Cash Reserves Federal Money Market Fund).

Throughout this book I’ve recommended two specific mutual funds: • VTSAX (Vanguard Total Stock Market Index Fund) • VBTLX (Vanguard Total Bond Market Index Fund)

Save and invest at least 50% of your income. Put this in VTSAX (Vanguard Total Stock Market Index Fund) or one of the other options we’ve discussed in this book.