The Money Mustache Community

Learning, Sharing, and Teaching => Ask a Mustachian => Topic started by: gnesher on October 19, 2017, 03:18:53 AM

Title: 6 months in, need advice
Post by: gnesher on October 19, 2017, 03:18:53 AM
Hi guys,

So I moved from the UK to Israel 6 months ago and decided to follow the ideas suggested by mr money mustache and other members of the forum. Now I realize that some of the advice provided here is somewhat US specific but I'd like to hear your thoughts.

I make about 5k$ (net) a month as a freelancer. My goal was to live off 1.8k$ but after trying various things it's quite apparent that this was a little ambitious and that 2.5k is the minimum I can live off (Israel isn't cheap, I live in Tel Aviv and rent + utilities cost 1300-1400$).

This means that I can save roughly half of my salary which isn't bad - but still means that retirement is only going to be viable in 15+ years. That's a little depressing as I'm 36 and it will get me very close to our mandatory retiring age anyway.

I'm trying to figure out what to do next as I'm struggling to find the upside of continuing to aggressively save if I'm just going to end up retiring at roughly the same age. Especially as Israel does provide a pension scheme (which I'm barely contributing into at the moment) which has some tax benefits which almost completely offset my personal savings.

I'm really confused as to what I'm missing here, as I think my salary isn't bad and my spending (which I do track) are mostly very sensible :/
Title: Re: 6 months in, need advice
Post by: Stash Engineer on October 19, 2017, 09:23:03 AM
You'll retire with a lot more money?  Sounds like you are doing well.  You'll need to post more details about the pension/forced retirement thing since most of us on the forum are probably unaware of how that works in Israel.
Title: Re: 6 months in, need advice
Post by: ixtap on October 19, 2017, 09:28:22 AM
Without knowing the details of the Israeli plan, the general advice is to max out tax advantaged plans before taxable plans.