Author Topic: Help me FIRE  (Read 12053 times)

Fishfindr

  • 5 O'Clock Shadow
  • *
  • Posts: 17
Re: Help me FIRE
« Reply #50 on: September 23, 2016, 02:20:52 PM »
I'd like to know your secret for living on $10-12K. We're pretty frugal and can barely get below $36k expenditure. Of course, we do have a couple of cars (paid off, but insurance and a little gas throughout the month) and a small mortgage. I'd say do it. With your experience in IT, you could get a job anytime, working from anywhere to cover your expenses. And don't let people lead you to believe kids are expensive. We barely noticed much a change in expenses at all. It was probably due to the fact that we started staying at home more often rather than meeting up with friends.

Go for it.

SKL-HOU

  • Pencil Stache
  • ****
  • Posts: 571
  • Location: Houston, TX
Re: Help me FIRE
« Reply #51 on: September 23, 2016, 02:42:56 PM »
If I understand it correctly, those are his half of expenses. His wife is providing for the other half. So technically 20-24k/year. Did I misunderstand?

rupanama

  • 5 O'Clock Shadow
  • *
  • Posts: 24
    • The Olive Presser
Re: Help me FIRE
« Reply #52 on: September 30, 2016, 07:49:01 AM »
@Fishfindr:
Thanks for the vote of confidence.

There's no secret besides frugal living. My partner and I have one car. We both walk or bike to work. Without our mortgage, our net expenses are about $1k/mo each. We each contribute a share to joint expenses, e.g. house and car costs. In this way our expenses are merged, but shopping and other luxury items we are expected to fund ourselves. I have paid a larger share of our joint expenses in the past because my income has been disproportionately larger: each year we adjust our shares that we pay based on annual income.

We could downsize our house and car to produce additional liquid capital in a pinch.

@SKL-HOU:
I don't think you have the complete picture. My expenses are part of a larger picture. That much is true, but my partner is not carrying any of my load for me, which seems to be the implications. Our shared expenses are about $10k, which we split between us: see my reply to Fishfindr, above. That means my expenses are $12k: $5k of this goes to shared expenses such as house and car maintenance. The remainder is my own spending. As I said to Fishfindr, we could downsize our housing and car expenses if needed, reducing our costs further.

If one must consider my total annual costs independent of my partner, they would be something like $17k, but if I weren't with my partner, I wouldn't have many of the costs I currently have. Consequently, that $17k doesn't represent how I would live without my partner.

Mother Fussbudget

  • Pencil Stache
  • ****
  • Posts: 840
  • Age: 58
  • Location: Indianapolis, IN
Re: Help me FIRE
« Reply #53 on: September 30, 2016, 03:54:03 PM »
Rupanama, you sound like someone who is looking at FI rationally, dispassionately, and after having read as much as you can find on the subject - including (from what I can tell) the MMM blog, and MadFientist (at a minimum).  I will assume you've also read from additional sources.  Don't know if you've gone thru the book recommendations, but I'll suspect you have.

Far be it from me to criticize - if you have your financial house in order, and believe it to cover >25x annual expenses, then according to the Trinity Study, you have enough to pull the trigger and leave that life-sucking '2' of a job.  For myself, I've been looking into ways I could invest my 'stache' where I can live strictly off dividends (even with the added income dividends represent) while letting the principle 'stache' continue to grow.  I signed up for Dividend.com, and got their free e-books around this subject - including one that suggests companies to invest in that pay off during different months of the year so you have dividend income each month.  It might be worth using a disposable email address to sign up their 'trial membership', and gauge for yourself.

Best of luck, and please let us know what you end up doing. ;-)

bearkat

  • Stubble
  • **
  • Posts: 120
  • Age: 30
  • Location: California
Re: Help me FIRE
« Reply #54 on: October 01, 2016, 05:59:35 AM »
OP, I say go for it. Use your extreme optimism gun and make it work. Re: the many, repeated concerns from folks who have a different risk tolerance than you do, you've heard them, and either already identified it yourself or dismissed as not worth thinking about. At this point, I don't see anything credible in your way. Chalk this up as encouragement to get over the mental part of the game you mentioned earlier in the thread.

I signed up for Dividend.com, and got their free e-books around this subject - including one that suggests companies to invest in that pay off during different months of the year so you have dividend income each month.  It might be worth using a disposable email address to sign up their 'trial membership', and gauge for yourself.

Best of luck, and please let us know what you end up doing. ;-)

I also want to hear what the OP decides, but this dividend idea sounds beyond dumb to me. This makes as much sense to me as investing in companies that have their quarterly earnings calls on different days of the month so you dont have too much "up and down" in your portfolio in a single day. Or you could invest in companies that start with each of the 26 letters of the alphabet so that's it's easy to sort all your holdings in your tracking spreadsheet.

If the proverbial you in this situation can save up, plan for FIRE, and then actually achieve FIRE, but then can't make a quarterly dividend payout actually last 3 months ... i just don't get it.