Soooo ready at 31!!

Grlcndream:
I am impressed with what you have accomplished so far! Although I am married now (age 44) and ready to RE soon...I didn't plan on getting married when I was single and working in my 30's. In my 30's I was already planning to try to save a lot of my corporate salary so I could get out as early as possible.

I remember speaking with a woman in HR (she was quiequite non traditional) and she told me that basically I was responsible for my own career, not the company, and that I should be looking after my own best interests. She also told me that once I had a "Plan B" (improving my skills knowledge to do something else, saving my money so I didn't have to work, etc.), that "Plan A" (current job) wouldn't look so bad. It is all about taking control.

That said, I made some mistakes along the way, too. I spent some money foolishly to make myself feel better for the unhappiness I had in my job...looking back if I had better articulated my early retirement plan I might not have done that.

I stuck with my job until now and I am finally ready to go financially. Before you jump too early, please make sure you have a plan as others have counseled. Also, look at your situation as well.....you are being paid an excellent salary for very regular hours. In the corporate world I am working in my days start at 8 am at the latest sometimes earlier, and when I am traveling with employees and customers they usually don't end until 9 or 10 pm. My regular office days end no earlier than 7 PM. I think that is very normal in many corporations now days...so all I am saying is that you currently have a large chunk of "life" that is your own, and you are making good money. Make the most of it, get your Plan B in order, and retire as early as you can!
 
Hey grlcndream, welcome to the board ! We are in similar circumstances except I got a couple of years on you. I'm 34, have about $250k cash and outright own my (very) modest house. By early next year, I'll have hit my first level of FI. Granted, this level just covers all of my expenses including health care, but no extra fun at all except gas/insurance on my motorcycle. That being said, it will be party time as that makes working (somewhat) optional !
I think we've done things a bit differently, I've had several different jobs, always jumping to something new that sounds interesting as long as I got a huge chunk of a pay raise. I'm not concerned with security, if I get laid off, it's an early trial at RE, and you can always find another job, maybe at a lower salary, mabye higher, but I like risk. Just a suggestion, you might try scouting around for a job with a nice 20%+ pay increase and see how you do. Might shorten your time to freedom.
Oh yeah, I hear you loud and clear. I'm ready to jump ship at any time, but like many here, I am paid very well to do what I do, and don't want to walk away yet. Terhorst said getting laid off is a bad way to start RE, but I think this would be ideal, as I would get unemployment and severance, plus it would take a lot more than a layoff to hurt my ego (hell, it could probably use the reality check ;-)).
Anyway, keep us posted, good luck and when your on that beach, look to your right, hopefully I'll be there with a Corona in my hand as well !

-Pan-
 
I love coming back into work with these replies - thanks to everyone!

I have taken away several things from the latest responses:

1 - Make sure I have thought everything out and have a good plan before making any moves.

2 - That I do really have a good schedule compared to many others - it's rare that I work more that 40 hours a week. I need to be thankful for that, and take better advantage of the time I have outside of work.

3 - That if I work on my Plan B - becoming FI - Plan A - working in my current job - will not seem as bad.

4 - That others in this forum enjoy the pleasure of an ice cold Corona.

5 - I should be volunteering my time to help out with a cause I believe in.
 
Hello grlcndream!

I'm getting a bit worried about you and that
"ice cold Corona" thing. You will have a lot of time on your hands once you ER. Nothing wrong with thinking
about what you will be drinking, but there are other aspects to ER, like...............what will you be driving?
say........a "nice old Corolla". or maybe your TV?
"twice sold Motorola".........or perhaps..................
dryer sheets? Our brand is "Thrice fold cordoba".
The clothes dry fast but you have to explore
everywhere to match up your socks.

You will also have time to fool around with dopey
word play :)

JG
 
Hello Grlcndream,
I'm getting worried too! Sure an ice cold Corona is excellent, but you will have plenty of time to expand your horizons, like with an ice cold Dos Equis, or maybe Tecate or Negro Modelo...well you get the idea. (and then there are all the other countries...) 8)

Happy New Year!

The Beachbumz
 
Beachbumz - You are absolutely right...not fair to discriminate against all the other fine ales available to me :) I will broaden my horizons!

John - you are too funny. I truly enjoy reading your posts. You have a wonderful sense of humor and way of looking at life!
 
Wow!! I am impressed with your story and certainly find myself contemplating similar ideas. I think people, myself included, look for meaning in their lives and don't always see what they are doing as meaningful. I think I will walk away early (if I prepare accordingly), live a simple life and do something that really makes a difference. I just have to make it to that point but best of luck to you. You will do just fine as long as you are happy.
 
As a 32 year old that has been teaching high school for 9 years, I can identify with the subject of this thread. While I'm actually at school, the day goes by fast and I enjoy interacting with students for the most part. The 3 things that bother me about my chosen profession more than anything are grading a seemingly endless stream of poorly written papers, interacting with delusional parents on a fairly regular basis, and noticing that the overall apathy towards education by teenagers seems to be increasing exponentially.

I think it was around my 30th birthday that I started thinking about ER, but in the last month or so planning towards it has become a semi-obsession. What would I do with my time? I can think of 100 things but I really don't feel like tormenting myself before heading into a new week of school (and papers).
 
Greetings piranha, Welcome to a great forum. As a retired teacher I may be able to address serveral points in your consideration of ER from the profession as I did. I retired at 53 when my age + years of service equaled 80. The key was the medical coverage until age 66 when I would qualify for Medicare coverage as primary carrier.

I invite you to look up my profile and read my past posts, especailly those about teaching in the public school.

Again, welcome ...
 
I started skimming your profile and saw another thing you and I have in common... American Funds.  You still holding?  My wife and I have almost our entire portfolio with them.  Paying the upfront load sucks (we're down to 2.5% now), but I can sleep fairly well at night if the past is any indicator of future performance.  Most of our $ is tied up into Growth Fund of America, Invest. Co of Am,  New Perspective, AMCAP, and Fund. Investors.  We just started positoins in Europac and Captital World Growth and Inc. to get more foreign exposure.  Within the next 5 years when I get closer to my planned ER, I plan on gradually shifting some assets into capital income builder... which seems like a fantastic low risk option.
 
grcndream,

You are NOT strange at all...I've been feeling this way for several years....but I'm older. I am also in a well paying job...and I've upped my 403b and 457 plans to over $1700 per month, but all this is just gravy! I'm 51, and I've been here so long, that at 55 I'm up to 70% salary. I talk about bailing out at 55, and DW says "you'll have a kid in junior high school." I think, "so what," as long as income is coming in, what's so magical about working.

My hat is off to you. If I'd been single, I would have figured out a way to retire at least in my early 40s.

Care to share one of those Coronas:confused:??
 
I wish I had one to share right now! :)

Thanks for your response to my post.

A follow up:

I just found out that I am getting laid off with a nice severance package. April 15th is my last day. I have decided to get my real estate license and start selling. Boy am I scared. This will be the first time since college that I haven't had a steady paycheck. But it's also so exciting. I will be doing something I love for the first time as well. And will feel that although I will be working hard, I will have some freedom to come and go. If I am successful at it, this could be something I will do until I retire. EARLY OF COURSE :) Wish me luck!
 
You have an awesome attitude to news that some would take very poorly, right on! Welcome to the board, good luck in real estate, the right personality can make a real killing!
 
Good luck to you grlcndream!

The past two weeks at work have been HELL for me and I would love to throw in the towel. But, my bonus is coming up so I'll keep smiling :D

Early retirement sounds better and better every day and I'm obsessed with looking at our net worth almost every week....it's been that bad.
 
I wish I had one to share right now! :)

Thanks for your response to my post.

A follow up:

I just found out that I am getting laid off with a nice severance package. April 15th is my last day. I have decided to get my real estate license and start selling. Boy am I scared. This will be the first time since college that I haven't had a steady paycheck. But it's also so exciting. I will be doing something I love for the first time as well. And will feel that although I will be working hard, I will have some freedom to come and go. If I am successful at it, this could be something I will do until I retire. EARLY OF COURSE :) Wish me luck!


grlcndream,

That pink slip might be a blessing in disguise. Beware of confusing fear with normal career change jitters.
Remember Grlcndream and if grlcnwork then grlcneat and if grlcnsave then grlcnRE.

Good Luck and turn those dreams into reality.

BUM :D
 
I wish I had one to share right now!  :)

Thanks for your response to my post.

A follow up:

I just found out that I am getting laid off with a nice severance package.  April 15th is my last day.  I have decided to get my real estate license and start selling.  Boy am I scared.  This will be the first time since college that I haven't had a steady paycheck.  But it's also so exciting.  I will be doing something I love for the first time as well.  And will feel that although I will be working hard, I will have some freedom to come and go.  If I am successful at it, this could be something I will do until I retire.  EARLY OF COURSE :)  Wish me luck!
grlcndream - In the back of my mind, I wish they would lay me off, so I could implement my plans of ER, but as it stands right now, this paycheck is allowing me to put away so much money, it wouldn't make any sense to work less hours or find a job I like better. I'm 29, and I've been thinking about being FIREd since I graduated college. My job has burned me out as well, but I hope I can hold out for 5 or 6 more years since I only have about 110K in investments currently.

If I did change jobs, I would probably move into a commission based environment, then at least I could see immediate results for the effort that I was putting in. Anyways, BEST OF LUCK!!!
 
comixfan - That is how I felt for a long time. I was making good money, investing, buying houses, etc. BUT, I finally reached a point to where I was so burned out, it was negatively affecting my life. I was miserable. I am lucky in that I am receiving a severance package, but I would have left eventually anyway. Life is too short to be miserable at work! If you reach that point, it's just not worth it. I hope you are not there yet, but if you are...seriously consider leaving! Good luck to you too!
 
grlcndream,

My former place of employment was flat-out toxic. It was the best move I ever made when I left there. I have been retired for almosts 3 months now and all the stress of the workplace is gone. I even lost a few pounds to boot.

LovesLife
 
comixfan - That is how I felt for a long time.  I was making good money, investing, buying houses, etc.  BUT, I finally reached a point to where I was so burned out, it was negatively affecting my life.  I was miserable.  I am lucky in that I am receiving a severance package, but I would have left eventually anyway.  Life is too short to be miserable at work!  If you reach that point, it's just not worth it.  I hope you are not there yet, but if you are...seriously consider leaving!  Good luck to you too!

True! Life is too short, but it's also too short to live it poor. lol Always a tradeoff!!

I've bought and sold some real estate as well, but never could take the plunge into full time. One of these years!
 
Joining this post late, but want to wish you a speedy good luck. Work is a passion killer, you're not alone! 8)

Q: How much do you think your minimum net worth will need to be for ER?

There's some wide variations in postings 300k-1M+ seems common. In Europe, less than ~$1m doesn't seem realistic at the moment with property skyrocketing and the weak dollar (even for a single person).

Q: Regarding real estate, How much gearing minimum do you think you'll need for where you live? Is the rental market boyant? What are your reasons in getting the RE license? P/T work?, self-education for going it alone?
 
ER@40 - thanks for your support!

I am 32 - and have a ways to go before I ER. I want to have at least $1 million before I do. It really all depends on when I retire though. I will need to run the stats at that time and make sure I have enough. When I have enough - I'm outta there baby!

I am getting into real estate for several reasons. I truly enjoy the home buying/selling process, as I have done it three times now. I am the type who goes to open houses for fun on weekends, and love to fix up houses. I watch shows on houses, I like to talk about houses, I am constantly thinking of strategic ways to make money buying and selling houses. On and on. I have been in a very structured working environment for the last 9 years since college, and I look forward to setting my own schedule for once. Not to say I won't be working hard, nights...weekends...but it's doing something I love! Something I would be dealing with at night and on weekends anyway! Why not try to get paid for it! I truly believe that if you believe in something - a product - it's so much easier to sell. It's the seller's enthusiasm that sells the product.

As far as the stats in my particular area, I cannot provide specifics. All I know is that I have a successful rental property and have many friends that do as well. They are single family homes, not multi-dwelling units. Most are older homes that we/they lived in, fixed up, then rented out before buying another home and doing the same thing.

Not exactly sure what you mean about gearing minimum? Can you explain please?
 
Wow, you do have the house bug, showing all the signs - the passion is obvious. Its a good sign, you're definitely doing the right thing. To quote Donald Trump, give me anyone I don’t care how rich or how smart they are, if they don’t love what they do they'll never be successful!

Reading many of the other posts on rental income & real estate its clear that for many its a PITA and they got out, but for some its practically relaxation after rigid corporate America. If you're lucky and you have good intuition on deals and tenants you'll go far.

Buying multi-units and fixups is real work. But there's still money out there with simple arbitrage in property markets between states, i.e. some are appreciating at well over 20% while other are stagnating, so there's definitely money to be made. See (www.ofheo.gov/media/pdf/4q04hpi.pdf). As Mark Twain said, buy land now there not making any more of it.

On gearing minimum, I was asking for the areas you're looking at, how high are property prices versus expected rental income vs cost of servicing mortgage as rates go up, versus how much money down?

For instance in Europe (UK&Ireland) buy to let or even fly to let has become a craze here. Mainly because of cheap global interest rates, little money down, and rapidly appreciating property prices. However some people are getting burned in a hurry by not having enough flexibility on fine tuning their debt to equity and cash flows. Rates for instance in the UK are climbing fast, while property appreciation has stalled. Less experienced investors are finding they've over geared or over leveraged, and now can't rent or sell high or rent fast enough to stop their entire portfolio crashing down like a house of cards . . .
 
Back
Top Bottom