Poll

Where are you in your FI Journey?

Working on that debt
5 (3.4%)
$0-100,000
20 (13.6%)
$100,000-250,000
30 (20.4%)
$250,000-500,000
30 (20.4%)
$500,000-750,000
17 (11.6%)
$750,000-1,000,000
13 (8.8%)
$1,000,000+
28 (19%)
Already FIREd - at whatever amount worked for you
4 (2.7%)

Total Members Voted: 147

Author Topic: Where are you in your FI journey?  (Read 832 times)

Jaayse

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Where are you in your FI journey?
« on: April 20, 2017, 07:01:22 AM »
I'm just curious where the majority of the forum falls along the scale. 

For clarity of the poll, just count investment amount and not house equity.  Feel free to explain if you are real estate investing or otherwise how you FIREd.
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Jaayse

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Re: Where are you in your FI journey?
« Reply #1 on: April 20, 2017, 10:07:38 PM »
http://www.investopedia.com/articles/personal-finance/011216/average-retirement-savings-age-2016.asp

After reading the above article it sums up to the following, the average savings of your age group in America is:

20s - $16,000
30s - $45,000
40s - $63,000
50s - $117,000
60s - $172,000

According to the article, you should be aiming for 6 times your salary by your 60s...  Sadly this is the advice that 'well informed' people can find.

Looking at the above results so far, it seems this forum's average age is somewhere upwards of 100.  So congratulations centenarians!
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Dicey

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Re: Where are you in your FI journey?
« Reply #2 on: April 21, 2017, 09:19:22 AM »
I always think those reports are bullshit, because they're snapshots, not the big picture.

I'll play. We're FI, I'm RE, DH still works. We have 800k in taxable and tax-deferred investments, including 401ks that we've rolled over from former employers. We have 300k in liquid capital, 'cause we like to flip and BRRR houses. Our home is paid for and Zillow thinks it's worth 1.3M, which is low, but who cares? We own multiple SFH rentals, all with cheap mortgages and strong equity.

DH has a great defined benefit pension plan coming. He also has a small 401k plan at work. It has about $80k in it. If you only look at his 401k balance, at age 55, OMG! The sky is falling! Big picture? We're in Fat City.

Reporting that more and more people are reaching their FIRE goals is simply not newsworthy. Being alarmist drives sheeple straight into the arms of "Financial Services" providers.
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And hell yes, I am still moving confidently in the direction of my dreams...

honeybbq

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Re: Where are you in your FI journey?
« Reply #3 on: April 21, 2017, 11:55:34 AM »
I'm more or less FI but I am not FIRE'd. My number is a lot more than is on this scale. :)

Wise Virgin

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Re: Where are you in your FI journey?
« Reply #4 on: April 21, 2017, 12:35:44 PM »
I am a new member to the Forum after lurking here several years. I was drawn to create an account by a post in the Off Topic section actually. I never registered before (even though this Forum is very valuable) because I am puzzled as to where I fit in to the Mustachian philosophy.

I'm 52 with a net worth just under $100,000, no debt, a gross income in the range of 54k (US), save 30% of my income, and I do not see myself achieving financial independence or early retirement. My planned retirement age is 70 when Social Security maxes out, my 'stache will perhaps amount to $400,000. I'm not like most of the people here: young, employed in tech, with prospects of ever-increasing wages or skills that are conducive to consulting and part-time gigs. I'm an administrative assistant.

There is a limited amount of time, realistically, for me to retire early. I paid off my debt and started saving at age 46. So many others I see my age haven't started saving at all. Geez.

bigalsmith101

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Re: Where are you in your FI journey?
« Reply #5 on: April 21, 2017, 05:23:23 PM »
I'm 52 with a net worth just under $100,000, no debt, a gross income in the range of 54k (US), save 30% of my income, and I do not see myself achieving financial independence or early retirement. My planned retirement age is 70 when Social Security maxes out, my 'stache will perhaps amount to $400,000.

If you started an investment account today, and started saving $1k/mo (as your post suggests you could), you'd reach $436k by age 70. If ANY of your current net worth of $100k is in investment accounts, that number could be significantly higher.

It doesn't matter how late you start, only that you find enjoyment from the freedom you are creating. Well done getting started!
I spent the first 6 years of "real" life in a self imposed semi retirement, to secure a lifetime of stories. Now it's time to secure the next lifetime through the badassity of FI.

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Wise Virgin

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Re: Where are you in your FI journey?
« Reply #6 on: April 21, 2017, 05:41:39 PM »
I'm 52 with a net worth just under $100,000, no debt, a gross income in the range of 54k (US), save 30% of my income, and I do not see myself achieving financial independence or early retirement. My planned retirement age is 70 when Social Security maxes out, my 'stache will perhaps amount to $400,000.

If you started an investment account today, and started saving $1k/mo (as your post suggests you could), you'd reach $436k by age 70. If ANY of your current net worth of $100k is in investment accounts, that number could be significantly higher.

It doesn't matter how late you start, only that you find enjoyment from the freedom you are creating. Well done getting started!
Thanks for the kind words bigalsmith101! Actually all of my net worth except for a couple thousand in savings & checking is in investment accounts. I contribute 12% to a 401(k) with 3% match (all in Vanguard Wellington), max a Health Savings Account (all except for a year's out-of-pocket max is invested in Vanguard Large Value), and max a Roth IRA for $6,500 (VGSLX REIT fund, Global Minimum Volatility, and some more Wellington) every year. I'm pretty happy with the returns so far. I just didn't start very early.

It's not a tragedy, I think I'll be pretty comfortable. In fact, if I don't have to save any more, and don't have expenses of working any more, I might get a raise when I turn 70, haha.

I'm so different from most of the people here that it might be interesting to post a case study and see if you guys can increase my badassity.

chasesfish

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Re: Where are you in your FI journey?
« Reply #7 on: April 21, 2017, 07:11:57 PM »
Thanks for the poll, its nice to be in this minority!

lhamo

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Re: Where are you in your FI journey?
« Reply #8 on: April 21, 2017, 09:25:11 PM »
I'm 52 with a net worth just under $100,000, no debt, a gross income in the range of 54k (US), save 30% of my income, and I do not see myself achieving financial independence or early retirement. My planned retirement age is 70 when Social Security maxes out, my 'stache will perhaps amount to $400,000.

If you started an investment account today, and started saving $1k/mo (as your post suggests you could), you'd reach $436k by age 70. If ANY of your current net worth of $100k is in investment accounts, that number could be significantly higher.

It doesn't matter how late you start, only that you find enjoyment from the freedom you are creating. Well done getting started!
Thanks for the kind words bigalsmith101! Actually all of my net worth except for a couple thousand in savings & checking is in investment accounts. I contribute 12% to a 401(k) with 3% match (all in Vanguard Wellington), max a Health Savings Account (all except for a year's out-of-pocket max is invested in Vanguard Large Value), and max a Roth IRA for $6,500 (VGSLX REIT fund, Global Minimum Volatility, and some more Wellington) every year. I'm pretty happy with the returns so far. I just didn't start very early.

It's not a tragedy, I think I'll be pretty comfortable. In fact, if I don't have to save any more, and don't have expenses of working any more, I might get a raise when I turn 70, haha.

I'm so different from most of the people here that it might be interesting to post a case study and see if you guys can increase my badassity.

Have you read Jim Collins' Stock Series, or the book version (The Simple Guide to Wealth"?     Wellington is a great fund, and often recommended for those in the drawdown phase because it spins off decent dividends (I am considering it  for that reason),but it is pretty conservative for someone who is planning to work for another 20+ years.   You might want to consider putting at least part of your long-term savings into one of the broad stock market indices.   Even if there is a drop in the next 2-10 years, there is still time for a significant rebound.   

I know not everyone is comfortable with a higher level of risk, but if you are planning to be in the market for that long chances are extremely high that a broader index fund will net you significantly better returns.
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JoeBlow

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Re: Where are you in your FI journey?
« Reply #9 on: April 21, 2017, 11:23:36 PM »
Thanks for the poll, its nice to be in this minority!

Every group in the poll is a minority!

Zikoris

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Re: Where are you in your FI journey?
« Reply #10 on: April 21, 2017, 11:40:30 PM »
We're at $266,000, which is somewhere between 33% and 38% of our goal, depending when we decide to pull the plug. Hoping to be done within five years, by ages 35 and 33.
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Wise Virgin

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Re: Where are you in your FI journey?
« Reply #11 on: April 22, 2017, 05:24:13 PM »
I'm 52 with a net worth just under $100,000, no debt, a gross income in the range of 54k (US), save 30% of my income, and I do not see myself achieving financial independence or early retirement. My planned retirement age is 70 when Social Security maxes out, my 'stache will perhaps amount to $400,000.

If you started an investment account today, and started saving $1k/mo (as your post suggests you could), you'd reach $436k by age 70. If ANY of your current net worth of $100k is in investment accounts, that number could be significantly higher.

It doesn't matter how late you start, only that you find enjoyment from the freedom you are creating. Well done getting started!
Thanks for the kind words bigalsmith101! Actually all of my net worth except for a couple thousand in savings & checking is in investment accounts. I contribute 12% to a 401(k) with 3% match (all in Vanguard Wellington), max a Health Savings Account (all except for a year's out-of-pocket max is invested in Vanguard Large Value), and max a Roth IRA for $6,500 (VGSLX REIT fund, Global Minimum Volatility, and some more Wellington) every year. I'm pretty happy with the returns so far. I just didn't start very early.

It's not a tragedy, I think I'll be pretty comfortable. In fact, if I don't have to save any more, and don't have expenses of working any more, I might get a raise when I turn 70, haha.

I'm so different from most of the people here that it might be interesting to post a case study and see if you guys can increase my badassity.

Have you read Jim Collins' Stock Series, or the book version (The Simple Guide to Wealth"?     Wellington is a great fund, and often recommended for those in the drawdown phase because it spins off decent dividends (I am considering it  for that reason),but it is pretty conservative for someone who is planning to work for another 20+ years.   You might want to consider putting at least part of your long-term savings into one of the broad stock market indices.   Even if there is a drop in the next 2-10 years, there is still time for a significant rebound.   

I know not everyone is comfortable with a higher level of risk, but if you are planning to be in the market for that long chances are extremely high that a broader index fund will net you significantly better returns.
I have indeed read some of Mr. Collins' writing and liked it. He writes well and clearly. I don't agree though that broad stock market index funds are a better bet than Wellington. I dislike the functional concept of index funds and do not consider them the inevitably better choice. I own some (e.g. Large Value) because it was the best choice available in the investment vehicle.

I do own some risky investments like REITs because I believe they justify the risk. VGSLX jumps around like a tennis ball. It was down for 11 straight months after I bought it, if I were going to panic and sell I think I probably already would've. It's my most profitable investment so far.

The women in my family are long-lived and healthy, so I need to accept risk for the desired return.