Author Topic: Target FIRE: 2017  (Read 171595 times)

Jim2001

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Re: Target FIRE: 2017
« Reply #50 on: December 23, 2015, 09:24:47 PM »
Hey folks, I've been lurking off an on for a few years and finally registered so I can post.  Count me in for class of 2017.  Shooting for December.
Cheers!

Jim

jack06

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Re: Target FIRE: 2017
« Reply #51 on: December 24, 2015, 06:20:58 AM »
Hey folks, I've been lurking off an on for a few years and finally registered so I can post.  Count me in for class of 2017.  Shooting for December.

Welcome to the club Jim! So the 2 year countdown is started!

zephyr911

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Re: Target FIRE: 2017
« Reply #52 on: December 24, 2015, 09:35:22 AM »
Welcome to the 2017 club, zephyr911. Is 2017 your earliest year under consideration, or is 2016 also in play?
Late 2016 was on the table for going ANG-only* - I make close to $20K and could push it higher through extra days if I had no FT job, and I also earn some real estate income from my LLC's ongoing acquisitions, so I could have lined things up to quit next summer/fall and stay cash-flow positive, now that I'm generally spending <$2K/mo. DW is also running a high surplus and won't quit anytime soon, which would add safety margin.
But 2016 is now looking less likely, simply because my sense of urgency has lessened - I'm having a lot more fun at work and my high SR has become addictive. This means I'm putting less emphasis on the financial streamlining that would accompany FIRE (final debt payoffs, optimizing cash flow) and allowing myself to focus almost entirely on maximizing returns. I'm taking more risks, looking at structured rental investments that'd be cash-flow negative for a year or more, but carry huge cap rates and set the stage for large wealth creation in the long run. I'm having fun, IOW, and I've ramped up charity giving to a nice feel-good level while still maintaining a 60-70% SR.

Between the middle of 2016 (my 38th birthday) and the end of 2016, there will be a major leadership change and other events that could affect my QOL. My current moves could reduce my ability to respond, but I'll retain the latitude to get back on track in months if need be. I feel OK about this. Really, at this point, a catastrophic decline in job satisfaction is about the only thing that'd even put me out in 2017... that or my finally developing a complete grand vision for the rest of my life and making a plan beyond "get rich and give myself a bunch of options". But I'm following because those are both very real possibilities. :D

*Typically ~39 days a year. I could FIRE without this side job in 2018 or so, but I'm going for 20 years (2022) for a lot of reasons. It's mostly personal and family-related, but the lifetime cost savings alone to a military retiree are potentially worth six figures, and holding it after I quit my FT gives me years of compounding before I have to live on investments.
Semi-FIREd December 2017, part-time entrepreneur, lover of puppies and saltwater.

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Re: Target FIRE: 2017
« Reply #53 on: December 27, 2015, 11:39:35 PM »
Sounds like you have your contingency tree well worked out. If working until 2022 is your goal, I hope nothing interferes.
FIRE'd on January 4, 2017

zephyr911

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Re: Target FIRE: 2017
« Reply #54 on: December 28, 2015, 09:19:23 AM »
Sounds like you have your contingency tree well worked out. If working until 2022 is your goal, I hope nothing interferes.
I plan on quitting all compulsory FT work long before 2022, but keeping the uniform on PT till then.

There's work I think I might want to do for my whole life, regardless of the check, as long as I live (or at least until near "normal" retirement age). I've just never had an opening to find out.
Semi-FIREd December 2017, part-time entrepreneur, lover of puppies and saltwater.

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Re: Target FIRE: 2017
« Reply #55 on: December 28, 2015, 10:50:53 PM »
Curiosity has got the best of me. What is it that if given the opportunity, you would do for no pay, forever?

FIRE'd on January 4, 2017

zephyr911

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Re: Target FIRE: 2017
« Reply #56 on: December 29, 2015, 06:34:46 AM »
Well, originally I wanted to be an exotic dancer, but I like beer too much. (sadface)

I would like to get back closer to my original degree (electrical engineering) in the form of renewable energy. I tend to find solar most interesting but wind and geo, etc. are also on the table. My ultimate fantasy is going back to HI (where I grew up) with enough of a Stash that wages are unimportant, and be part of their goal to go 100% renewable by 2050.

I don't really want to do it as a 9-to-5'er, but I'd consider it if the work is meaningful. Preferably I'd be self-employed or consulting once I've built my skillset enough.

As is, I'm supporting the growth of the industries by just investing in them as much as possible.
Semi-FIREd December 2017, part-time entrepreneur, lover of puppies and saltwater.

JoJo

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Re: Target FIRE: 2017
« Reply #57 on: December 30, 2015, 02:05:24 PM »
I'm shooting for 2017.  Was thinking about 2016 but an extra year would really grow my splurging money.

I love travel and I usually do it on the cheap but it's fun to splurge every once and awhile. 

My plan is to lease out my condo and travel extensively in the first few years post FIRE.  I think the rental income plus some deferred income (15 years, need to pay tax on this) will play for most of this.  Rest is out of savings.

zephyr911

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Re: Target FIRE: 2017
« Reply #58 on: December 30, 2015, 03:05:02 PM »
I just got a surprise raise effective this week. I don't know how this affects my plans. More to invest, of course, but... I'm dangerously close to wanting to keep this job even when I don't have to! LMAO
Semi-FIREd December 2017, part-time entrepreneur, lover of puppies and saltwater.

myhotrs

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Re: Target FIRE: 2017
« Reply #59 on: December 31, 2015, 10:31:50 PM »
Hi all, just did my year end counting and looks like I'm moving here from the 2018 Cohort!
I swear, by my life and my love of it, that I will never live for the sake of another man, nor ask another man to live for mine.

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Re: Target FIRE: 2017
« Reply #60 on: January 01, 2016, 10:06:30 AM »
Hi all, just did my year end counting and looks like I'm moving here from the 2018 Cohort!

Welcome!

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Re: Target FIRE: 2017
« Reply #61 on: January 01, 2016, 11:17:33 AM »
Hi all, just did my year end counting and looks like I'm moving here from the 2018 Cohort!

When people first start out they see really big changes in their financial well-being.  Then it seems to just drag for some years.

Then that compounding kicks in and progress comes really fast again!


AlwaysBeenASaver

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Re: Target FIRE: 2017
« Reply #62 on: January 01, 2016, 11:19:27 AM »
Hi all, just did my year end counting and looks like I'm moving here from the 2018 Cohort!
That's great news, congrats!

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Re: Target FIRE: 2017
« Reply #63 on: January 01, 2016, 12:30:51 PM »
Well, originally I wanted to be an exotic dancer, but I like beer too much. (sadface)

You might be able to make that work. The customers might pay you to skip your spot in the dancer rotation.

I would like to get back closer to my original degree (electrical engineering) in the form of renewable energy. I tend to find solar most interesting but wind and geo, etc. are also on the table. My ultimate fantasy is going back to HI (where I grew up) with enough of a Stash that wages are unimportant, and be part of their goal to go 100% renewable by 2050.

I don't really want to do it as a 9-to-5'er, but I'd consider it if the work is meaningful. Preferably I'd be self-employed or consulting once I've built my skillset enough.

As is, I'm supporting the growth of the industries by just investing in them as much as possible.

A worthy activity. If we can't wean ourselves off of fossil fuels, we might not have any future.

After FIRE, I'm considering offering to volunteer for my union one day per month. I could set up Linux work stations for them (saving them money on Microsoft licensing), or even something mindless like stuffing envelopes.

If I had a real skill at helping others, I could see myself working until I dropped, paid or not. Like this guy, who cures amazingly large numbers of third world blind people:

http://www.cnbc.com/2013/10/11/curing-the-blind-with-inexpensive-fast-surgery.html

warning: text article with video and sound auto play:
http://www.nytimes.com/2015/11/08/opinion/sunday/in-5-minutes-he-lets-the-blind-see.html
FIRE'd on January 4, 2017

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Re: Target FIRE: 2017
« Reply #64 on: January 01, 2016, 12:41:00 PM »
Hi all, just did my year end counting and looks like I'm moving here from the 2018 Cohort!

When people first start out they see really big changes in their financial well-being.  Then it seems to just drag for some years.

Then that compounding kicks in and progress comes really fast again!

When I saw the amount of my 2015 net worth increase, compared to my 2015 wages, I literally thought it  had to be a mistake. Between invest income, bank cash bonuses, 401k match and profit sharing, my net worth increased by $44,000 on a W2 (last pay stub) gross income of $53,000. 
FIRE'd on January 4, 2017

Cookie78

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Re: Target FIRE: 2017
« Reply #65 on: January 01, 2016, 02:00:09 PM »
I'm so happy today because I can finally say I retire NEXT year!! :D

Also this holiday season I had a big extended family gathering and it got out (from my mom, who retired this year) that I was 'retiring' next year. It's a word I try to avoid, but whatever. Everyone was so happy for me and wanted to know the details. What was I going to do, how I was going to do it, and how I made it possible. My extended family on that side is pretty used to unorthodox ideas about life and careers, but no one has quit working before 40 to my knowledge. It felt great to have such amazing support and encouragement all around.

Looking forward to being able to spend more quality time with them all.

jack06

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Re: Target FIRE: 2017
« Reply #66 on: January 02, 2016, 01:09:39 PM »

I'm so happy today because I can finally say I retire NEXT year!! :D

Also this holiday season I had a big extended family gathering and it got out (from my mom, who retired this year) that I was 'retiring' next year. It's a word I try to avoid, but whatever.

Wow, must have been something to do your coming out :) I haven't yet and keeps things vague. Friends and family know I will quit my current job, take a sabbatical to travel and to pursue personal projects (which is true). But they don't know I plan to never have a regular job again.

MandyM

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Re: Target FIRE: 2017
« Reply #67 on: January 05, 2016, 03:10:06 PM »
I'm in for 2017. Looking like July, although I may go earlier. I may even go PT in 2016, which may or may not effect my final quit date. I don't hate my job and PT could possibly provide the balance I'm looking for, at least for a bit. We will see. Like others above, its exciting to say its "next year"!
"Freedom lies in being bold." -Robert Frost

Freedom17

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Re: Target FIRE: 2017
« Reply #68 on: January 20, 2016, 01:08:49 PM »
Today I made a first step towards ER: I resigned from my current middle-management position. It was not dramatic at all, but after a discussion with my boss, who is a VP, I told him I'd like to go back to my former role and he accepted. I did not want to start at another company knowing I would quit in a year and a half, so I'm very glad he accepted.

I still target 2017 to leave completely the workforce though, but knowing that all the responsibilities of my current role will soon be a thing of the past will help me go through the next year and a half. It's great, because without my FIRE goal, I'm sure I would simply have continued with a career I never really wanted. After more than 10 years in a management role, it will be a great challenge to fill my old shoes, but the good news is that I don't really have anything to lose.

It's interesting to hear someone in a similar situation. I'm planning to FIRE in 2017 and just gave up my management position and am going back to being an individual contributor. Like you I'd considered moving to another company but a year and a half doesn't really justify it.

Best of luck in your journey!
« Last Edit: January 20, 2016, 01:23:48 PM by Freedom17 »



Fishindude

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Re: Target FIRE: 2017
« Reply #69 on: January 20, 2016, 01:23:42 PM »
I'm done with full time work at the end of this year, will be 57.
Going to hang around part time for a couple years at a minimal salary to keep health insurance and to keep contributing to 401K plan.

We owe nothing and have a large enough stache to continue our current lifestyle and spending without much fear of even touching the principal.
Really looking forward to being able to just take off and go hunting or fishing for a few days, pretty much anytime I want to :)

zephyr911

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Re: Target FIRE: 2017
« Reply #70 on: January 20, 2016, 02:30:36 PM »
How's everyone doing?

I've done my projections all the way through 2016, and it looks like, in addition to $22k toward TSP (contributions + repayments) plus about $4K matching, I can probably save $50K after taxes and spending. I'm also looking at a side-income milestone - it's lumpy and builds slowly in 2016, but should exceed monthly costs in Q3 and remain above that level indefinitely.

Result: I enter 2017 saving 75% of TH and 100% of FT pay, finger on the trigger. Then... I don't even know! I have to set a date, or wait for some proximate environmental trigger. I started this train when I was miserable, and I'm liking work now, but I've held the line based on the assumption that it won't last (given my experience here, I think it's a good assumption). So, either another leadership change and the atmosphere goes toxic (negative), I find that elusive dream job (positive), or I just decide it's time. Hmm.

So, here's my phased plan, latest version:
- 2016 (38), contribute final inputs to rental LLC; earn $10K in commissions on reinvested earnings (growing exponentially). Save $75K; NW $350+.
- 2017 (39), time TBD, go PT (Air National Guard + real estate) - work ~60 days a year, save at least $10K/yr; reinvest all earnings. Possible move to final FIRE location.
- 2022 (44), retire from ANG, NW $700K; final move(?); occasionally sell a house; rentals cover any remaining expenses; surplus to charity; IRA/TSP add safety margin.
- 2038 (60), Stash $1M, ANG retirement kicks in, probably needless (around $2k/mo), but adds safety margin, or more giving.
- 2040 (62), FERS deferred retirement kicks in, and... I guess I give more away, unless I've bungled things terribly. Definitely chilling from here on out.
- 2070 (92), die and leave $10M to the orphaned beluga whale foundation. Or, you know, whatever.

Unknowns: DW's employment (she's 32, barely out of grad school, and will work longer, but is in the 60-70% SR range and 100% supportive); my work (the above-mentioned "stuff I'd like to do regardless of pay"). However, most of the "maybes" are on the upside, and I think there is plenty of resiliency built in. Any thoughts?
Semi-FIREd December 2017, part-time entrepreneur, lover of puppies and saltwater.

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Re: Target FIRE: 2017
« Reply #71 on: January 20, 2016, 07:14:04 PM »
I'm on track, but am going to find it very hard not to plow every spare cent into VTSAX if the prices continue to drop. I was going to live off of cash savings for the first year or two, but I may re-think how to fund years 1-5. Thoughts of OMY come and go.

SwordGuy

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Re: Target FIRE: 2017
« Reply #72 on: January 20, 2016, 07:21:58 PM »
I'm on track, but am going to find it very hard not to plow every spare cent into VTSAX if the prices continue to drop. I was going to live off of cash savings for the first year or two, but I may re-think how to fund years 1-5. Thoughts of OMY come and go.

I understand that!  We're sitting on the fence about paying off our mortgage when our old house sells or investing it.   If prices keep dropping we'll be investing for sure!

MrsWhipple

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Re: Target FIRE: 2017
« Reply #73 on: January 20, 2016, 09:23:12 PM »
Hi all, just did my year end counting and looks like I'm moving here from the 2018 Cohort!
Hurray!

So the baby is on the way, and I'll probably be ready to do a retirement trial come September when it finally arrives (eek!). Plan for this year is to get my taxes done as soon as possible and max out the 401k accounts, IRAs, and HSAs before stashing the rest into taxable accounts. I've been sitting on a lot of cash since selling our house last year, and my procrastination has finally paid off in the form of a market dip, so woohoo for that :)

I'll be quitting my main source of income (writing) but will probably keep doing some publishing work for my other company, so we'll likely still have enough money coming in to cover expenses for the next couple of years. Husband has been retired already for two years now so he's going to have to help me adjust - I'm definitely the workaholic.

myhotrs

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Re: Target FIRE: 2017
« Reply #74 on: January 21, 2016, 02:27:04 PM »
Thanks everyone for the warm welcome!! Anyone coming to Camp Mustache with me? Would be nice to meet some fellows from the class of '17.

I actually liked work when I discovered MMM and got serious about RE about 3-4 years ago. Now, three management changes later, not so much. At this point, I need to make it this March (bonuses) and then wait around for layoffs (and severance). No way I'm going back to FT work at this point. Our NW is around $750k and my side-hustles bring in more than our living expenses AND my wife just went back to work after a few years home with the baby. The hard thing would be to ever willingly leave my super easy/super high paying job but I doubt they'll leave that up to me.

Whats funny is that for years now I've joked about how since I've been working for 10+ years now and she's only worked a few, my turn to sit home was coming and it IS!
I swear, by my life and my love of it, that I will never live for the sake of another man, nor ask another man to live for mine.

jack06

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Re: Target FIRE: 2017
« Reply #75 on: January 21, 2016, 04:52:24 PM »

It's interesting to hear someone in a similar situation. I'm planning to FIRE in 2017 and just gave up my management position and am going back to being an individual contributor. Like you I'd considered moving to another company but a year and a half doesn't really justify it.

Best of luck in your journey!

Thank you, best of luck to you too! The transition is not completed yet on my side but should be done in the next weeks or so.

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Re: Target FIRE: 2017
« Reply #76 on: January 22, 2016, 12:09:25 PM »
Hi there class of 2017! We hope to be ready to retire in January of 2017. We are currently shopping for some rental properties to diversify our investments and provide accessible monthly cash flow. I work part-time now as an ESL teacher and Spanish interpreter (10-15 hours a week) and my husband works full time.  He will manage our rentals after RE and I will probably continue to work part-time after RE for at least a couple of years because I love my job. We're aiming for January to take advantage of a bonus payout in November of '16 and to get paid for the vacation days that are applied in January of '17.

Over the past year or so we've been tracking expenses to make sure that our target number is accurate. My goal for this year is to reign in our grocery/eating out expenses. I have a 2 year old daughter and find that socializing with other moms and kiddos often comes with a purchase. We do get together at each other's houses as well, but there are a lot of coffee play dates at a local shop that has a kid's area.  Another goal is that after we buy the properties I want to make sure we're investing extra employment income into the market, we're very good at saving but not always great about putting that money to work in a timely manner.

I'm looking forward to hearing about everyone else's experiences and plans for the next year or so!

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Re: Target FIRE: 2017
« Reply #77 on: January 24, 2016, 09:25:33 AM »
Hi there class of 2017! We hope to be ready to retire in January of 2017. We are currently shopping for some rental properties to diversify our investments and provide accessible monthly cash flow. I work part-time now as an ESL teacher and Spanish interpreter (10-15 hours a week) and my husband works full time.  He will manage our rentals after RE and I will probably continue to work part-time after RE for at least a couple of years because I love my job. We're aiming for January to take advantage of a bonus payout in November of '16 and to get paid for the vacation days that are applied in January of '17.

Over the past year or so we've been tracking expenses to make sure that our target number is accurate. My goal for this year is to reign in our grocery/eating out expenses. I have a 2 year old daughter and find that socializing with other moms and kiddos often comes with a purchase. We do get together at each other's houses as well, but there are a lot of coffee play dates at a local shop that has a kid's area.  Another goal is that after we buy the properties I want to make sure we're investing extra employment income into the market, we're very good at saving but not always great about putting that money to work in a timely manner.

I'm looking forward to hearing about everyone else's experiences and plans for the next year or so!

Welcome FJ! As far as I know, you and I are the only 2017 thread posters with a date set in January.

I am super excited to have less than a year before I buy a load of sweet sweet freedom. It's also nice to remind myself that today will be the last January 24th that I work.

My plans for 2016 are to fatten the stash.

My biggest concern is that the Republicans will take the White House and repeal the ACA in 2017.
FIRE'd on January 4, 2017

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Re: Target FIRE: 2017
« Reply #78 on: January 26, 2016, 10:45:08 AM »
Thanks FIRE me! I'm also hoping for no eroding of the ACA, when we estimated what our costs would be it was much lower than my husband expected and made him MUCH more willing to target January. He's the pessimist and I'm the optimist, if it were up to me we would RE this June but he wants to build the stash a bit more before we do and get the rentals dialed down. Today he left at 7:30 am and won't be home until after 8 pm because of meetings. I too think about how next January we will be having breakfast together instead of him sitting in meetings all morning. :)

zephyr911

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Re: Target FIRE: 2017
« Reply #79 on: January 27, 2016, 03:15:30 PM »
Hi there class of 2017! We hope to be ready to retire in January of 2017. We are currently shopping for some rental properties to diversify our investments and provide accessible monthly cash flow. I work part-time now as an ESL teacher and Spanish interpreter (10-15 hours a week)
Do you specialize in anything? DW got her Masters in Spanish/TESOL but teaching wasn't panning out so she ended up as a full-time medical terp. She loves it, but her big boss sucks and she's gonna drop back to part time after this year, or maybe go solo, or... you get the idea. She thought about adding a courts cert but the marginal return is low since she's fully employed already.

Quote
ACA
Ain't goin' anywhere. But, it's easy for me to say because I'll have Tricare Reserve till at least 2022, so, less to lose if I'm wrong.
Still, House antics aside, the ACA has benefitted core constituents of both parties and any serious attempt to undo it entirely would be met with revolt. I'd be incredibly surprised.
More likely it will be tinkered with, to balance budgets or appease various stakeholders.
Semi-FIREd December 2017, part-time entrepreneur, lover of puppies and saltwater.

zephyr911

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Re: Target FIRE: 2017
« Reply #80 on: January 29, 2016, 01:13:53 PM »
How are you going to use that $7K in appreciation and amortization of your rental property to offset immediate expenses, without simultaneously selling it and keeping it? Paging Schrodinger... ;)
Semi-FIREd December 2017, part-time entrepreneur, lover of puppies and saltwater.

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Re: Target FIRE: 2017
« Reply #81 on: January 29, 2016, 01:33:52 PM »
Valid. At this point, i don't imagine i'll own the place for 30 years, because basically no one every finishes a 30 mortgage the traditional way. I think it's easier to imagine earning the 7k/year than anticipating a sell date (or complete payoff date for that matter) and the resulting lump sum from sale.

I suppose I could change it to 5k of cash and 7k of... hmm net worth gain? As long as cashflow doesn't prove to be a problem until i'm 5 years into my conversion ladder i like to think it won't matter.

zephyr911

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Re: Target FIRE: 2017
« Reply #82 on: January 29, 2016, 01:59:30 PM »
Valid. At this point, i don't imagine i'll own the place for 30 years, because basically no one every finishes a 30 mortgage the traditional way. I think it's easier to imagine earning the 7k/year than anticipating a sell date (or complete payoff date for that matter) and the resulting lump sum from sale.

I suppose I could change it to 5k of cash and 7k of... hmm net worth gain? As long as cashflow doesn't prove to be a problem until i'm 5 years into my conversion ladder i like to think it won't matter.
It just sounded like you might be counting on the whole 12K to offset expenses... as long as you have it in liquid form somewhere else, the end result is the same.
« Last Edit: February 02, 2016, 11:04:31 AM by zephyr911 »
Semi-FIREd December 2017, part-time entrepreneur, lover of puppies and saltwater.

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Re: Target FIRE: 2017
« Reply #83 on: January 29, 2016, 05:32:30 PM »
Hi Guys,

I plan to retire in April 2017!  Love reading this stuff!  You guys are so inspirational!

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Re: Target FIRE: 2017
« Reply #84 on: February 02, 2016, 10:39:12 AM »
Really hoping to join this class, hoping to get a little reassurance/devil's advocate here! current job is pretty unfulfilling. Couldn't be much easier, but feels like a lot of wasted hours, and commute is about 2 hr. round trip, thankfully only 4 days/wk as i work from home 1 day. Gives me plenty of time to browse this forum though...

About me :) 30 y/o, Married with no kids. Probably about 2-3 years out from that (DW= 27, thinking 2 kids). Hoping to get some serious travel (on backpacking budget) during the time before little ones. In laws live in state which should help post kids. Live in GA.

Ok, the #'s
401k - 800k
roth - 80k
standard non-tax advantaged - 330k
cash - 65k

home- value 300k, remaining mortgage 180k
rental home (closing Feb '16) annual cash flow 5k, 12k total including appreciation and paydown of mort) rental home equity 44k


Expenses:
33k Daily spend budget of $45 per day for wife and I each
22k mort, tax, hoa and insurance
4k healthcare (conservative post FIRE estimation)
4k utilities, phone, internet
1k car insurance (will downsize to 1 car, so this could decrease)
6k state taxes on rental and 401k conversion ladder (this will go away eventually)
70k total
-5k rental house
65 Net

current income:
me 105k, DW 50k
future income 7k of appreciation/equity/yr from rental house

safety margins -
*assumes no work besides rental home. Would rather not work or just do seasonal work with high flexibility (work at growler store across the st, build/refurb furniture, clear trails for state parks during spring, etc. for a few months a year or as desired)
*could probably get hired back in the finance field if i really had to
*current condo is 1br/bath is in the "hot" area of atlanta where prop value is rising quickly and we've reno'd a decent amount of equity within our 1 year of ownership. Long term i don't mind moving somewhere cheaper with more room and lower overall cost.
*14 years remaining on mort, then housing cost per year drops from 22k to 9k
* Social Security?
*Should i only be counting HOA/taxes/insurance against my housing costs since the rest of my mortgage is equity?

risks:
*costs of kids. No clue. MMM at age 6.5 said his kid cost him $300/month. This seems impossibly low to me. I have zero experience.
*parents healthcare. might need to help out in this arena
*rental home disaster of some sort
*spend more $ with our glut of freetime. very conceivable that I continue to acquire outdoor gear and end up with 47 kayaks, 3 more bikes, a SUP, rock climbing equipment, a small tow behind RV and need a bigger house/shed to store everything. At least the first sentence here is a serious concern.
*change in tax policy affects conversion ladder

Plan is to work through early 17 to the point that 401k and HSA are maxed out for the year then get out and enjoy spring and summer.

What haven't i considered both good and bad?  Thanks for reading all of this crap^

Hi rahby1us, welcome to the class of 2017.

Nobody knows your own numbers better than you. And I only did one run through, with no double check on my math. So take this with a few grains of salt.

<Puts on Mr Pessimist Devil's Advocate hat>

Hopefully, you are planning on substantially reduced expenses in retirement. If not, at your current spending, it looks like you will need a minimum of $1.75M invested to retire.

I'm leaving your rental profits out of it as the 5k annual would make a fair safety margin or possibly help defray the future expense of two healthy children.

So without reduced spending your numbers come down to needing to stash another $475k between now and retirement day. Can you do that? Looking at your income and expenses, and considering taxes, it looks to me like $475k would be a stretch even by the end of 2017.

Or else reduce your expenses greatly.

That “33k Daily spend budget” looks vague and high to me. Groceries? Meals out? Gasoline? Car payments? Home and car repairs?

Many Mustachian couples mange to live on less than $2,750 monthly (33k annual), all expenses included. You and your DW are spending $5,800 monthly. That's a lot. For example, I am single and I have no house payment, but including taxes and insurance on my house, I typically spend a total of about $900 per month.

Keep in mind that for every $1 that you reduce your regular monthly expenses, the stash you need on retirement day is reduced by $300. Most Mustachians, myself included, find that a powerful inducement to ruthlessly reduce monthly expenses.

Last, what will your health insurance cost in retirement? I assume that you have been to the ACA website and got some estimates for your various likely circumstances (age, income, and two children)?


FIRE'd on January 4, 2017

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Re: Target FIRE: 2017
« Reply #85 on: February 02, 2016, 10:43:21 AM »
Hi Guys,

I plan to retire in April 2017!  Love reading this stuff!  You guys are so inspirational!

Hi SherrieRose. Welcome to club 2017!

Maybe you would be willing to tell the group something about yourself. Like what part of the world you live in, and how you plan to enjoy your imminent freedom?

FIRE'd on January 4, 2017

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Re: Target FIRE: 2017
« Reply #86 on: February 02, 2016, 06:06:42 PM »
Hi guys,

So I happened to find MMM around February of 2015 and starting reading All the Posts Since the Beginning of Time.  MMM was life changing for me.  I only wish that I had found him when he started.  I totally bought into the idea that you work until 70 and have a mortgage your entire life.  You need to borrow to buy cars, although we only borrowed to buy only a few of our cars, the rest were purchased outright.  Anyway, I had NO IDEA!  MMM was revolutionary!  I immediately informed all my children, you don't have to work your whole life like me!  You can retire as soon as you have some FU money.  To that end, I am planning to be mortgage free by December, originally I thought I would die with a mortgage.  There are two reasons to wait until April 2017 to retire 1) Medicare and 2)annual bonus.  Since I did EVERYTHING wrong, I will not amass enough to retire early.  But after reading the ENTIRE blog, I can rest at ease that I will retire with sufficient funds to support me for the rest of my life.  Believe me, that is something!

I live in Reno, Nevada and would love any fellow mustachian skiers that want to ski the Tahoe area (Squaw) to get in touch with me! 

After I retire, I plan to do some world traveling.  I put my life on hold to work to amass enough to retire, so I want to enjoy it. 

Old as I am, I still ski every weekend, waterski, hike, kayak, backpack, and run half marathons. 

I love the energy and ideas that this site has brought to me!

Carry on!

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Re: Target FIRE: 2017
« Reply #87 on: February 06, 2016, 06:36:54 PM »
I'm older than average here too. I'll be 59 this year, and still 59 when I retire in January.

That is a great accomplishment for you to go from being in a situation where you need to work until you drop, to retirement in just two years.

Sounds like you have a very active and exciting retirement planned. I'm more low key. Definitely no world traveling for me. Post FIRE, I plan to hike at the local parks and nature reserves, not because I really want to, but because I need the exercise.
FIRE'd on January 4, 2017

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Re: Target FIRE: 2017
« Reply #88 on: February 07, 2016, 07:47:43 PM »
Hi there class of 2017! We hope to be ready to retire in January of 2017. We are currently shopping for some rental properties to diversify our investments and provide accessible monthly cash flow. I work part-time now as an ESL teacher and Spanish interpreter (10-15 hours a week)
Do you specialize in anything? DW got her Masters in Spanish/TESOL but teaching wasn't panning out so she ended up as a full-time medical terp. She loves it, but her big boss sucks and she's gonna drop back to part time after this year, or maybe go solo, or... you get the idea. She thought about adding a courts cert but the marginal return is low since she's fully employed already.

Quote
ACA
Ain't goin' anywhere. But, it's easy for me to say because I'll have Tricare Reserve till at least 2022, so, less to lose if I'm wrong.
Still, House antics aside, the ACA has benefitted core constituents of both parties and any serious attempt to undo it entirely would be met with revolt. I'd be incredibly surprised.
More likely it will be tinkered with, to balance budgets or appease various stakeholders.

Hi Zephyr! I'm in agreement with you that the basic ACA will persist, but hubby the pessimist will have a much easier time RE if come election time whatever candidate wins hasn't put it in their sights to significantly change. I have a M.Ed. and am licensed in TESOL and Spanish. I taught Spanish for 4 years full time, commuting 45 minutes each way and putting in 60-70 hour weeks. I got tired of spending my entire waking life working and wanted to at least start having a weekend again. I quit my job right before I got pregnant with our daughter and just taught adult ESL classes at a community program offered through the high school a couple of evenings a week. They liked what I did and when they had an influx of unaccompanied minors into the ESL program at the beginning of the school year they offered me a job to interpret for them during their content area classes. Once it got out that I can interpret I have had many opportunities. Right now I interpret through the school system and I also help out a program that brings literacy materials and lessons into low income preschool homes. I also am able to co-teach part-time in the ESL classroom two mornings a week. Working very part time has been a great way to balance being a mom with still having a creative and professional outlet. It's also within walking/biking distance so that has been a huge improvement in lifestyle.

I've considered medical interpreting. I was a pharmacy tech in the Air National Guard and worked in a civilian hospital for a couple of years after college round one, so I am comfortable in hospitals. It's not something I care to devote the time to right now, but I might look into it if I get bored in retirement :). It seems to pay quite well. I've seen postings for per-diem interpreters around here, it seems like it could be very flexible. I hope your wife is able to find or create a situation that works better for her.

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Re: Target FIRE: 2017
« Reply #89 on: February 07, 2016, 07:57:00 PM »
It's a matter of pride for me that I've always been able to tell her that her employment decisions should be driven by factors other than income. She is a very driven person and will always contribute one way or another, and she loves her work so she's holding at 40 right now despite the frustrations. Where it gets interesting is, the owner is looking to sell out and retire. She is a ridiculous spender and sadly her decisions are all blatantly shortsighted - she will destroy the company if she stays too long, no joke - but if she can manage to get the cashout she wants and leave without bankrupting it, things should improve and DW will be poised to potentially take more of a leadership role. Every day she comes home and tells me how the boss is squashing innovation and employee development so she can clear a bigger bonus for herself, and I hear management insights coming through.
Semi-FIREd December 2017, part-time entrepreneur, lover of puppies and saltwater.

rahby1us

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Re: Target FIRE: 2017
« Reply #90 on: February 11, 2016, 08:13:44 AM »
Quote
Hi guys,

So I happened to find MMM around February of 2015 and starting reading All the Posts Since the Beginning of Time.  MMM was life changing for me.  I only wish that I had found him when he started.  I totally bought into the idea that you work until 70 and have a mortgage your entire life.  You need to borrow to buy cars, although we only borrowed to buy only a few of our cars, the rest were purchased outright.  Anyway, I had NO IDEA!  MMM was revolutionary!  I immediately informed all my children, you don't have to work your whole life like me!  You can retire as soon as you have some FU money.  To that end, I am planning to be mortgage free by December, originally I thought I would die with a mortgage.  There are two reasons to wait until April 2017 to retire 1) Medicare and 2)annual bonus.  Since I did EVERYTHING wrong, I will not amass enough to retire early.  But after reading the ENTIRE blog, I can rest at ease that I will retire with sufficient funds to support me for the rest of my life.  Believe me, that is something!

I live in Reno, Nevada and would love any fellow mustachian skiers that want to ski the Tahoe area (Squaw) to get in touch with me! 

After I retire, I plan to do some world traveling.  I put my life on hold to work to amass enough to retire, so I want to enjoy it. 

Old as I am, I still ski every weekend, waterski, hike, kayak, backpack, and run half marathons. 

I love the energy and ideas that this site has brought to me!

Carry on!

SherriRose, this sectionof the forum linked below might be useful to you, connecting with fellow travelers. I visited a friend for some rugged backpacking about 5 years ago in Tahoe and you are lucky to live out there. The scenery is absolutely gorgeous! I'm sure you could find some fellow ski enthusiasts (myself included) willing to come experience the western slopes!

http://forum.mrmoneymustache.com/meetups-and-social-events/mustachian-world-traveler-(m)/

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Re: Target FIRE: 2017
« Reply #91 on: February 19, 2016, 08:39:43 PM »
I did a bit more calculations now that some of the variables are getting controlled for.

Rental #1 and #2 are rented. 
Most of the immediate repairs/enhancements to our new house are done (or will be shortly).
Mom's house is under contract for the end of the month.  Hopefully they will not back out.

In my previous numbers I hadn't included any stock sales or dividends in our retirement numbers.  Dividends alone will bump up our income by at least $10,000.   

So:

$20k Farm
$  8k Daughter Disability
$10k Dividends
$15k Rentals 1 thru 3
-------
$53k out of a target 60k.

If we get one more rental on line before the end of the year, my mom's house and our old house sold, that would take our income up to $58, with a $20 raise next March when my lovely wife starts on social security.

Unless the market is completely tanking I can see retiring at the end of this year instead of waiting until June of 2017. 

We're basically saving $50k in 401Ks and another 47k in Vanguard (if we continue as planned).  That's enough to buy two more rentals on top of the ones we can buy from selling our old home.  If we turn the equity in our new home into a HELOC that will let us leverage into more homes than straight cash purchases would buy, and with plenty of cash reserves to cover us in lean years.

I'm still not planning to sell any shares of stock for normal living expenses.  I just want those to grow.  I doubt we'll collect dividends once my wife is on SS, we'll just re-invest most of the time.

Also, it appears that my wife put some of her 401k money into an annuity.  She didn't remember doing that (nor did I), but neither of us was as savvy about this investing stuff as we are today.   Her job next week is to research what that annuity will provide.  For all I know, she could be collecting it today!

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Re: Target FIRE: 2017
« Reply #92 on: February 19, 2016, 10:05:29 PM »
Its been fun catching up with the class of 2017 tonight. I see some folks plans are changing. Some moving dates out, others in. Ours could move in depending on my work. DH has been retired since 2011 - so nothing changes for him.

Work for me is in flux. I am DRA'ed to another department filling in for them as their Scrum Master (CSM acquired in Dec). I've been asked to pursue CSP - one of the next levels up in the Agile tree, and I feel it would be a good move in case I need to pursue some sort of part time work post RV Travel days. I find my new role fun, and very positive, but tiring. It is endless work for me because I am also very technical and take on development tasks in addition to facilitating all of the team's activities. There is also talk of giving me more folks to manage, I already manage my own team's offshore developers in addition to the SM role for another group. I am not sure if having 2 to 4 local full timers to manage in addition will be too much or not. I really need to grin and bear it through this last year no matter how tough work gets. I am paid very well, the work is satisfying and will be a benefit to me if I should need to return to part time work in 2019 or beyond. It should be a win-win.

We are looking good so far with our goals stated in my long post above. We were going to rent a storage unit, but now our one rented shop appears to be coming available. It is hard to rent because of the zoning, so we figure we will use it for our storage. I do want DH to price shop public storage units first. What I like about this storage is it is heated, we already pay the PUD on it while it is rented because that same electrical ties in to our shared W/D. It is VERY secure as well and one of our tenants is a bulldog so we know he will keep an eye on it for us.

We have adjusted our RV plans to a lower cost setup. The dream RV isn't going to happen. I am glad I talked DH out of it. We are going to go a bit more old school. Older diesel with a used fifth wheel. We will pay cash, no financing.

We are also very close to shopping for rental #4. That should be able to commence after I get my bonus mid March. DH plans to cancel his ancient Life Insurance Annuity in March which should double our windfall. (I cashed out my Annuity last year-ah the things we did when we were young!)

DH has to finish our primary residence deck as soon as we get some nice weather. If we get the storage unit at the end of April we can start packing. We will carefully stage our home. It has higher end finishes that should do well if it is presented as high end to potential buyers. (sorry buyers but most of our stuff is not high end - it will be a fun project to choose what to keep, make some simple changes etc)

I've finally concluded ALL of my regular side-gig work because in our RV travels I don't want to have to work... at all:) DH will run the properties through our PM, I will get to support him...which I look forward to doing.

I haven't much to report on with our funny money budget yet, the year is young.  DH handles the bills and so far he has NOT transferred more than the agreed upon amount from savings per my calculations to simulate 401k and cover housing.

I hope to have a good report in April!

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Re: Target FIRE: 2017
« Reply #93 on: February 20, 2016, 11:23:01 PM »
Anyone want to make a list of people and FIRE dates?

I'll start. If anyone wants to, add yourself to the list and your planned FIRE month or even the (possibly tentative) exact date.

Name           |       FIRE   Date

FIRE me            January 3, 2017
FIRE'd on January 4, 2017

Freedom17

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Re: Target FIRE: 2017
« Reply #94 on: February 20, 2016, 11:29:19 PM »
Name           |       FIRE   Date

FIRE me            January 3, 2017
Freedom17        August 1, 2017



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Re: Target FIRE: 2017
« Reply #95 on: February 21, 2016, 11:14:11 AM »
Name           |       FIRE   Date

FIRE me            January 3, 2017
SwordGuy         June 6, 2017
Freedom17        August 1, 2017

Cookie78

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Re: Target FIRE: 2017
« Reply #96 on: February 21, 2016, 11:21:06 AM »
Name           |       FIRE   Date

FIRE me            January 3, 2017
SwordGuy         June 6, 2017
Freedom17        August 1, 2017
Cookie78           August 3, 2017

Cookie78

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Re: Target FIRE: 2017
« Reply #97 on: February 21, 2016, 11:24:23 AM »
I posted my target date in the list, but I'm currently in the process deciding whether I should add 9 more months to that date. Decisions, decisions.... luckily nothing is written in stone. :)

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Re: Target FIRE: 2017
« Reply #98 on: February 21, 2016, 11:05:00 PM »
Name           |       FIRE   Date

FIRE me            January 3, 2017
SwordGuy         June 6, 2017
Freedom17        August 1, 2017
Cookie78           August 3, 2017
Myhotrs             March 31, 2017
I swear, by my life and my love of it, that I will never live for the sake of another man, nor ask another man to live for mine.

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Re: Target FIRE: 2017
« Reply #99 on: February 22, 2016, 02:35:45 PM »
It's really cool to see everyone dialing in their dates as time moves on, and I'm looking forward to joining the list.

I currently have my detailed cash flow forecast complete through 2016, and it shows me piling up a substantial cash surplus by the end of the year. I really need to calculate at least another six months' surplus and start allocating all of it. Debt elimination, '16/'17 IRAs, and quite a few other things are already covered. But I also want to put some substantial money into our house - high-dollar efficiency upgrades, more solar panels, etc - and I don't mind working a little longer to reach net zero. It's one less bill to pay after I cut the cord, and it's worth it to me beyond the financials since one of my primary drivers to FIRE is advocacy work for efficiency and renewables.

I'm also mulling a vehicle trade while income is high. This depends on job satisfaction, savings rate, and near-term investment returns.

Ultimately, this means I may not make up my mind until late this year or even early next. A big part of me would like to quit before spring (the peak real estate season) so I can do more play work, or at least before my next-next birthday that June, but when it comes down to it, I'm just playing this by ear, and when I know, I'll know.
Semi-FIREd December 2017, part-time entrepreneur, lover of puppies and saltwater.