Hello everyone,
Here are a few thoughts about FIRE. Even if I am glad I discovered the concept of early retirement, I understood recently that it's not a unified concept. It applies very differently to people, depending on their hopes and lifestyles. In my example, being frugal is extremely difficult and not exactly desirable. I'll explain why below:
1. I live in France, which implies different things:
- Here, work is a bit different than in North America. The typical contract an executive gets is 220 days a year of work, no more. So in the end, it's easier to be not entirely focused on work when you get that much vacation.
- We are collectively smart: even when you age, your medical expenses are covered by social security. We also have a public retirement system, from which I should benefit at least a bit after 65 y.o.
- We are world champions of soccer. That's not relevant but I wanted to mention it.
2. I graduated from the best possible schools in France. In my country, this will matter your whole life (which is a bit stupid, but it's the way it works). As a consequence, I have the luxury of choosing my career and can expect, even if things are never linear, interesting and well paid jobs, which will make work more bearable.
3. I live in Paris. This town is really not compatible with frugality. That said, I am pretty happy with it. Paris is awesome, but only if you can afford to enjoy it. If you are frugal in Paris, you are just stuck in a small overpriced appartement. My life in Paris involves :
- going to the restaurant: the offer is incredibly large
- enjoying the cultural life: going to theater, concerts, exhibitions, cinema
- I am also passionate by sports : therefore I cannot miss Roland Garros live or the Olympic Games in 2024 :)
4. I love traveling
And i don't want to wait for retirement to travel. I enjoy my French vacations to do it every year, when I am still young and I am very happy with it.
Those points explained, I am still on MMM forum talking about early retirement. Here is what the concept and your community brought me:
1. I am now aware of the importance to invest on a regular basis and thinking on the long range, not trying to beat the market.
2. I studied my expenses. The ones I have described above, I don't want to cut them, they make my life great. But they are a few that I can cut: going to a nice restaurant because it's a great experience is ok. Ordering a snack because you are lazy maybe not that ok. I think I will be able to rationalize my expenses in the future.
3. My life is ok right now. I don't need to spend more. Even if my income increases, I will try to keep my expenses on the same level. I understood that I don't need to consume more than my current level to be happy.
4. Even if I don't retire in my 30s or 40s, a good investment strategy may buy me time. It would still be a great victory for me being able to retire in my 50s while having being able to enjoy life continuously.
Thanks for reading me.