Author Topic: Thirteen Word Retirement Plan  (Read 1293 times)

SeattleCPA

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Thirteen Word Retirement Plan
« on: July 26, 2017, 10:56:26 AM »
Over the last little while, I’ve given away several hundred free copies of my little ebook, “Thirteen Word Retirement Plan” including to a bunch of Mustachians.

The Mustachians, though, have rightly pointed out that the plan is really designed for people using a traditional three-decade-ish accumulation and not something that allows for RE.

So people have privately asked several times how one accelerates the plan (which goes like this, "$5,500 annually into an IRA or 401(k) invested in cheap target retirement funds...")

To answer this here—hope that’s okay--let me point out that Mr Money Mustache addressed this concept in his classic post here:

https://www.mrmoneymustache.com/2012/01/13/the-shockingly-simple-math-behind-early-retirement/

But to apply his general statements to the Thirteen Word Retirement Plan, you can accelerate FIRE by ten to twelve years by doubling your savings (such as by having both spouses contribute to IRAs or by maxing a Simple-IRA)

Further, you can accelerate FIRE by roughly 16 to 18 years by maxing a 401(k) plan with a safe harbor match.