Financial Independence / Early Retirement (FIRE)
Discussion
garyhun said:
Yipper said:
garyhun said:
Yipper said:
Early retirement = early death.
Be very careful about giving up work too soon.
The body shuts down and the mind subconsciously becomes worthless to society.
http://www.medicaldaily.com/early-retirement-work-...
Fill your time with more fulfilling activities such a charity work, learning new skills, travelling etc. No time for the body to shut down Be very careful about giving up work too soon.
The body shuts down and the mind subconsciously becomes worthless to society.
http://www.medicaldaily.com/early-retirement-work-...
He kept doing stuff until his death at 90, she is still going strong at 95 - the woman is sharp as a tack.
James_B said:
Me too, as the b
d government only let me and the wife out in £10k each a year.
bds.
Which means you both have incomes in excess of £210,000 pa. Good for you but you won't get much sympathy from the population.d government only let me and the wife out in £10k each a year.b
ds.The Gubberment are intending to reduce it to £4000 pa by the way.
I've been keeping my eye on this for a while now
However I'm struggling with it due to 3 children all under 6 and the Mrs being a Mum not earning a salary.
Not yet calculated the likely pot size of my current pension might be at set ages to enable the calc to work out what possible age I could retire if I wanted to.
That said I am really drilling into all our fixed costs and have made significant savings so far - biggest yet to tackle is the mortgage which might yield £300 ish a year saving vs status quo.
I'm very keen on running out and not re raising any debt (as in non mortgage). So even though the pull is very hard on changing /upgrading cars it might well be to simply run them far longer than we have done previously.
Working out how much you need to live on is tricky - especially as we might have to continue to support children for education/until they find their feet.
I'm always trying to make the best possible decision & occasionally splash out
However I'm struggling with it due to 3 children all under 6 and the Mrs being a Mum not earning a salary.
Not yet calculated the likely pot size of my current pension might be at set ages to enable the calc to work out what possible age I could retire if I wanted to.
That said I am really drilling into all our fixed costs and have made significant savings so far - biggest yet to tackle is the mortgage which might yield £300 ish a year saving vs status quo.
I'm very keen on running out and not re raising any debt (as in non mortgage). So even though the pull is very hard on changing /upgrading cars it might well be to simply run them far longer than we have done previously.
Working out how much you need to live on is tricky - especially as we might have to continue to support children for education/until they find their feet.
I'm always trying to make the best possible decision & occasionally splash out
Welshbeef said:
I'm very keen on running out and not re raising any debt (as in non mortgage). So even though the pull is very hard on changing /upgrading cars it might well be to simply run them far longer than we have done previously.
'run them for longer'
Excellent - that is what I have always done. Not to save money, but because I just don't want to waste considerable amounts on depreciation. Vehicle depreciation during a persons lifetime, must total a huge sum of money.
Why do so many people feel the need to always use a car that is less than 3 years old, and why (we are told) are 80% of new cars obtained using debt?
I doubt that people who fly in British Airways 747 jumbo jets ever say, I must not be seen in this, because it is 20 years old.
One of my cars was initially bought as a spare. It cost only £800 and since then has driven 60,000 trouble free miles !
[quote=Welshbeef
Working out how much you need to live on is tricky - especially as we might have to continue to support children for education/until they find their feet.
[/quote]
Children change the picture significantly. It is hard to see how one can be retired early with kids about to go to university....
Working out how much you need to live on is tricky - especially as we might have to continue to support children for education/until they find their feet.
[/quote]
Children change the picture significantly. It is hard to see how one can be retired early with kids about to go to university....
drainbrain said:
red_slr said:
OP, are you on Mr Money Mustache Forum?
My FIRE target is 45 ish.
Been living the MMM lifestyle (ish) for a few years, doing it very seriously for a year now I am getting closer to the FIRE date. (monthly tracking all spending, saving and what not)
Very rewarding but quite a bit of effort. A bit taboo in the UK, and I don't really share the plan with anyone other than the Mrs as friends / family don't understand. When we come to FIRE I will probably just tell people that we are taking a career break for a year as that is a bit more understood.
As for those who think you will die early, the plan is not to sit on the couch watching TV.. most Mustachians tend to be fit, active and healthy. Some do stop work all together but do a lot more exercise as they have more spare time. Others do "side gigs" which often involves manual labour. Benefit of side gig is you get to earn some money plus stay active. Mr M himself does house building IIRC.
Forgive me for saying so, but what you're describing seems a bit bonkers. Especially the bit where you make a great effort to stop work and then take up .....work...... except instead of 'work' you call it a 'side gig'. My FIRE target is 45 ish.
Been living the MMM lifestyle (ish) for a few years, doing it very seriously for a year now I am getting closer to the FIRE date. (monthly tracking all spending, saving and what not)
Very rewarding but quite a bit of effort. A bit taboo in the UK, and I don't really share the plan with anyone other than the Mrs as friends / family don't understand. When we come to FIRE I will probably just tell people that we are taking a career break for a year as that is a bit more understood.
As for those who think you will die early, the plan is not to sit on the couch watching TV.. most Mustachians tend to be fit, active and healthy. Some do stop work all together but do a lot more exercise as they have more spare time. Others do "side gigs" which often involves manual labour. Benefit of side gig is you get to earn some money plus stay active. Mr M himself does house building IIRC.
Why don't you just call the work you do a "side gig"? It would save the painful sounding bit in the middle where you work towards 'side-gigging' instead of 'working'.
I would prefer not to work at all, however a few days a month doing something you enjoy can boost your "fun money" pot quite substantially. A lot of people FIRE with excellent post FIRE income, via investments, property etc and they don't need to work. Others will FIRE on a much tighter budget, still able to cover all their costs of course forever (that's the whole idea behind FIRE) but any luxuries like an unplanned holiday would not be affordable. So a few days work here and there can bring in a few thousand a year and suddenly their fun money goes from a few hundred to a few thousand..
I think the term gig comes into it from a) the gig economy but also b) people tend to only do stuff they enjoy. So for example someone might go from working 90 hours a week as a welder to working 8 hours a week as a dog walker. IYSWIM.
Its all on MMM... nothing new really.
PurpleMoonlight said:
What do you do with your time if you retire mid 50's?
I would be bored to death.
Personally if I could achieve this :-I would be bored to death.
1. I love to ski but scrape barely a week a year, I'd dramatically increase this hobby. We have a pad in a ski resort and know friends with pads in other resorts so could do it very reasonably.
2. Gardening currently it barely gets a grass cut a week. It would be immaculate with a good sized veg patch - or get a veg patch down the local allotment.
3. Id love to help out my parents and in laws a lot more (plus they would be a lot older by then).
4. My kids would still be young but approaching the age where they would start to potentially move out - I'd be wanting to help them out as much as possible.
5. I've always had a desire to help those less fortunate than myself so volunteering in food banks, soup kitchens and try to help those who have fallen into trouble get back on their feet.
Our plan is to cut down on work in our 50's rather than retire I'm thinking 2/3 days a week each addressing the WLB a bit more in the life rather than work. Can't see us being bored it will just free up more time for hobbies, grandkids (if there are any) excercise, travel etc...
Should be doable with a decent S&S ISA pot plus BTL income then pensions kicking in between 55 and 65 if there is still a state pension. Still a long way off yet and I'm not living a life of scrimping to achieve it any sooner.
Should be doable with a decent S&S ISA pot plus BTL income then pensions kicking in between 55 and 65 if there is still a state pension. Still a long way off yet and I'm not living a life of scrimping to achieve it any sooner.
Welshbeef said:
Personally if I could achieve this :-
1. I love to ski but scrape barely a week a year, I'd dramatically increase this hobby. We have a pad in a ski resort and know friends with pads in other resorts so could do it very reasonably.
2. Gardening currently it barely gets a grass cut a week. It would be immaculate with a good sized veg patch - or get a veg patch down the local allotment.
3. Id love to help out my parents and in laws a lot more (plus they would be a lot older by then).
4. My kids would still be young but approaching the age where they would start to potentially move out - I'd be wanting to help them out as much as possible.
5. I've always had a desire to help those less fortunate than myself so volunteering in food banks, soup kitchens and try to help those who have fallen into trouble get back on their feet.
Hmm, for me:1. I love to ski but scrape barely a week a year, I'd dramatically increase this hobby. We have a pad in a ski resort and know friends with pads in other resorts so could do it very reasonably.
2. Gardening currently it barely gets a grass cut a week. It would be immaculate with a good sized veg patch - or get a veg patch down the local allotment.
3. Id love to help out my parents and in laws a lot more (plus they would be a lot older by then).
4. My kids would still be young but approaching the age where they would start to potentially move out - I'd be wanting to help them out as much as possible.
5. I've always had a desire to help those less fortunate than myself so volunteering in food banks, soup kitchens and try to help those who have fallen into trouble get back on their feet.
1. To fat to ski.
2. No garden.
3. Parents dead.
4. No children (in effect).
5. I'm too lazy.
PurpleMoonlight said:
What do you do with your time if you retire mid 50's?
I would be bored to death.
Then FIRE is not for you.I would be bored to death.
But the reality is most people post FIRE don't know how they ever had time for work. Between kids, friends, travel, sports and gym and pets....
Its also worth remembering peoples work lives can be very different. Mine is flat out 6 days a week for 50-51 weeks of the year depending where Christmas lands. Will be 51 weeks worked this year.
red_slr said:
Then FIRE is not for you.
But the reality is most people post FIRE don't know how they ever had time for work. Between kids, friends, travel, sports and gym and pets....
Its also worth remembering peoples work lives can be very different. Mine is flat out 6 days a week for 50-51 weeks of the year depending where Christmas lands. Will be 51 weeks worked this year.
But the reality is most people post FIRE don't know how they ever had time for work. Between kids, friends, travel, sports and gym and pets....
Its also worth remembering peoples work lives can be very different. Mine is flat out 6 days a week for 50-51 weeks of the year depending where Christmas lands. Will be 51 weeks worked this year.
For my folks it wasn't early retirement as they were in their early 60s when they sold their business however since then they've been just as busy if not more so. But it's more fun for them as they're indulging in their many hobbies, travel and do a lot of fundraising for various charities. Nowadays it's more usual for my sister and I to phone each other and enquire if either knows where they are whereas in the past we knew that at least one would be contactable in the office. Now they have no ties and can take themselves off whenever they feel like it.
I can't wait for retirement
Jon39 said:
Welshbeef said:
I'm very keen on running out and not re raising any debt (as in non mortgage). So even though the pull is very hard on changing /upgrading cars it might well be to simply run them far longer than we have done previously.
'run them for longer'
Excellent - that is what I have always done. Not to save money, but because I just don't want to waste considerable amounts on depreciation. Vehicle depreciation during a persons lifetime, must total a huge sum of money.
Why do so many people feel the need to always use a car that is less than 3 years old, and why (we are told) are 80% of new cars obtained using debt?
I doubt that people who fly in British Airways 747 jumbo jets ever say, I must not be seen in this, because it is 20 years old.
One of my cars was initially bought as a spare. It cost only £800 and since then has driven 60,000 trouble free miles !
Current car is from 2011 and runs fine, however we need a bigger one
plan is to buy one a couple of years old and run it for about 8.A colleague just bought a very nice M4, I'd love one but I just can't get over the cost - especially if you take the Warren B snowball approach and calculate how much spending on a car like that is really costing you.
I'll stop before I go onto how the current generation are bending themselves over for the future and can't distinguish between affording something and being able to pay for it.
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