Author Topic: What are your metrics?  (Read 2416 times)

Glenstache

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What are your metrics?
« on: June 09, 2016, 05:11:08 PM »
What are your metrics for progress en route to FI? There are occasionally threads on various metrics, and I though it would be nice to have a one-stop list of those, and discussions of the relative merits.

A few that come to mind include:

- Savings rate (%you sock away out of your income)
- $ invested in today dollars to get one day of FIRE (i.e., I socked away $2k and at my projected expense rate, that will be FI for one day for the rest of my life).
- Annual savings rate relative to Annual FI spending (i.e., annual investing of 20k with expenses of 40k would be 50%)
- % of FIRE (how big is you nest egg relative to your target)
- FIRE date: at your current investment rate, what year will you FIRE?

Suggestions for others? Thoughts and musings? Fun ones? Metrics you see bandied about that you think are bogus?

Vanguards and Lentils

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Re: What are your metrics?
« Reply #1 on: June 09, 2016, 07:55:09 PM »
I like annual spending for a few reasons. Since I'm still in grad school, I have the most control over that as opposed to income. It is good for comparing with others (with some adjustments for locale and household size). And it gives me a good idea for how much I need to FIRE.

fattest_foot

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Re: What are your metrics?
« Reply #2 on: June 09, 2016, 09:13:32 PM »
Generally I just go by a total dollar goal, and how close we get to that.

- $ invested in today dollars to get one day of FIRE (i.e., I socked away $2k and at my projected expense rate, that will be FI for one day for the rest of my life).

This one is kind of interesting to me, after calculating it. It's not super useful, but it's definitely a fun one.

Goldielocks

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Re: What are your metrics?
« Reply #3 on: June 09, 2016, 10:38:40 PM »
Side income $'s and opportunities generated.

My FIRE plan is to have a lifestyle business.   So I measure the distance to FIRE by the skills and income I am building "off the main career".