Should I work 9 months longer ?

[hawkeye_de]

Hi, I'm a guy from Germany and say hello to everybody here :)

So I plan to join the MMM club soon, the question for me is currently do I it now or in 9 months, let me explain:

If I would quit my job in 9 months (but after quitting I have to work for additional 6 months due to my contract) I'd get the bonus for 2017, that is I would get ~one year salary for working additional 9 months.
This would be a nobrainer for me if I would not be unhappy with my job + it is very likely that it get additional considerable more stressful in the near future.

I've run FireCalc and I get there a 100% hit (considering my current expenses (incl. health insurance, I've excluded 5% of my total savings for unexpected expenses).
I've to say that after quitting my job, I will probably getting a minjob (we call it 450 EUR job (500 Dollar/month) and additionally I want start a project, which  I might turn into a commercial one (if I succeed). Both the potential income of the minijob and my project were not considered during the FireCalc simulation run.

I know that I have to do the decision by myself but nevertheless would be happy if some people here would share their inputs, maybe they were in a similar situation ?

Thanks a lot !

[YoungInvestor]

I'm you already have enough money to retire, you could always coast for that 9 months if you really want that bonus. Worst case, you get fired, which isn't a big deal in your situation. I wouldn't do this because I would feel uneasy about the ethical implications, but that's an option.

But if you just need to work 9 months for 12 months worth of pay, what's stopping you from working another 12 months for 15 months of pay afterwards?

Both my statements were voluntarily sort of absurd, but I think they just show that there's not much added value from you being there, unless you can identify something in particular you want to achieve.

[hawkeye_de]

I see your point...I guess I have to be more precise, yes:

So, in principal I guess it's a trade off between additional safety margin (currently I calculate with 5 %, see my description above) versus working in probably a considerable more stressful and unpleasantness working environment for additional 9 monts. If the work would continue as it was the last years, I would definitely choose the "work additional 9 month" route, but that is, unfortunately, unlikely.

So, seem 5% additional safety margin reasonable or do people occasionally calculate with higher margins when they go 'in retirement' ?

[ixtap]

Is that 5% over your basic budget or over the average of several years that include the occasional spending surprise?

[hawkeye_de]

The first one, although I've hidden some 'surprise spending' budget in my regular one by extending the budget for restaurant visits, vacation and that stuff a little...but that would not help for bigger 'surprises' like needing 'special' treatment by a dentist (>1000$), which is not covered by the health insurance.

For stuff like refrigerators and so I've calculated accruals in the regular budget.

[tawyer]

It sounds like you have enough money, in which congratulations, you have won! You also have some backup ideas of minor income sources, in which case you have some built in wiggle-room should your assumptions about having enough turn out to be wrong.

If I understand you correctly, you do not like your job and think that it will get worse. If that is the case, then what is the point in continuing when you have established financial independence?

I think it is important to separate how much money you need from how you feel about your job, so that good or bad feelings on a given day do not influence your rational thinking when assessing whether or not you have enough money to FIRE. Similar to how you should have an investment strategy that is not influenced by trying to time the market.

[hawkeye_de]

Yes, I think you're right that money <-> 'do I like my job' are two separate things.

>>>If that is the case, then what is the point in continuing when you have established financial independence?
I guess, it's just the mindset...that is my other inner voice challenges me, is it already 'safe' enough, should I still wait x years so I have more 'savings'...I guess some of you might had similar thoughts ?

[ender]

I was expecting something a lot better than "work 9 months for a year's salary" to make you want to work a lot longer.

[trollwithamustache]

what would you do with the extra funds?  Does this side project have start up costs you haven't mentioned in the post? There are capital intensive side projects like running a fishing charter boat that can make cashflow, but don't make business sense if you need an XXX% return. But  if your dream is to own the boat its a great way to make it work.

My experience has been when I hit FU money I got really picky about assignments (I'm an independent contractor) and I like work a lot more, now I'm in barreling towards FI, but not really interested/wanting to have RE.  If you got yourself to FI/RE, my bet is you are a pretty sharp guy and can have a lot of fun making a few bucks on the side here and there as you want to.  Go optimize happy!

[hawkeye_de]

>>>my bet is you are a pretty sharp guy
Thanks, hope you're right :D.

>>>Does this side project have start up costs you haven't mentioned in the post?
Nope, I'm a software dev (seems like the 'feeled' majority here ;) and have always dreamed of developing my own game and have more time for nature!