The Money Mustache Community
Learning, Sharing, and Teaching => Ask a Mustachian => Topic started by: Allen237 on January 25, 2017, 02:52:46 PM
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Hello, I'm a 24 year old taking a break from community college I make 560 dollars every two weeks live with my parents so no food cost, or other cost what can I start doing now to get out out of the rat race asap. Especially, advice on passive income
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Since you mention community college I'm hoping you have minimal or no debt.
If the degree you are taking a break from is close to being done, finishing it will not mean much more debt and it is in a field that you will be likely to find a well paying job in I would say focus on getting your degree while minimizing debt first. If you can get to a point where when you move out of your patents place you have a degree and are debt free you are starting better than most.
If going back is not useful or after you have gotten your degree next focus on raising your income while at the same time avoiding lifestyle inflation at all cost. The higher you can get your savings rate the faster you will be free.
Read jcollins stock series:
http://jlcollinsnh.com/stock-series/
Learn to cook, I would offer to cook dinner a few days each week for your family at home while still living there since they are covering food cost and use this time to learn how to efficiently cook both in money and effort. If you aren't good at cleaning and your parents are have them show you how to keep the house clean with minimal effort too. These things will help you in the long run.
Get good at fixing things that break instead of replacing them. Not everything is worth fixing, but many things are.
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I read the thread title "Ready For Freedom" and came in thinking it was someone who had saved up a bunch and was ready to quit.
I don't think you're quite ready for freedom, you've got a bit to go, as far as I can tell. ;)
I make 560 dollars every two weeks
That's under 15k/yr. Less than poverty level. Time to increase that income!
live with my parents so no food cost, or other cost
For the moment. I assume you'll want to be able to support yourself at some point, or at least contributing to the household expenditures, or your parents will want that, but maybe not.
what can I start doing now to get out out of the rat race asap. Especially, advice on passive income
Don't worry about passive income at this point, start thinking about upping your earned income.
Read MMM's two part series "50 Jobs over $50,000 – Without a Degree"
http://www.mrmoneymustache.com/2013/07/25/50-jobs-over-50000-without-a-degree-part-1/ (http://www.mrmoneymustache.com/2013/07/25/50-jobs-over-50000-without-a-degree-part-1/)
http://www.mrmoneymustache.com/2013/08/05/50-jobs-over-50000-without-a-degree-part-2/ (http://www.mrmoneymustache.com/2013/08/05/50-jobs-over-50000-without-a-degree-part-2/)
Get a job earning like 3-4x what you are now. If you move out (I have no opinion on that, it's a discussion between you and your parents), continue to live cheaply; don't succumb to lifestyle inflation.
Years of living below your means and saving the bulk of it will allow you to quit and never work again, if that's your desire.
http://www.mrmoneymustache.com/2012/01/13/the-shockingly-simple-math-behind-early-retirement/ (http://www.mrmoneymustache.com/2012/01/13/the-shockingly-simple-math-behind-early-retirement/)
Alternatively you could look at starting your own business, though if you were an entrepreneur at heart, you'd probably know it already, and have a bunch of ideas for businesses that you're itching to try; a good job with high savings rate is the steadiest path to FIRE.
Good luck! :)