accountingsucks
Recycles dryer sheets
- Joined
- Jan 28, 2006
- Messages
- 346
Hello everyone
I am just wondering if anyone has taken this approach, or if you have any thoughts on this plan
I am a 30 year old accountant here in Canada and make just under $75K per year. I have always been a diligent saver and am about 6 months away from paying off the mortgage on my home. Purchased 4 years ago for $185,000 and now probably worth $300,000 (Edmonton housing market has been crazy the past few years). I did this by being....well cheap in all honestly....and living at home until 26. No other debts at all.
Basically I do not like my career. I have been in 4 different companies and I do not enjoy working for "the man". I just do not like sitting in an office for 8 or 9 hours per day and dealing with "crisises" that have no relevance to anything truly important. I have an accounting designation and it is a very hot market right now for accountants, there is certianly a lot of upside in my profession. I probably would not mind working for a very small company as the politics/stress would be less (along with lower pay)........
Having said all that, I will be able to save approximately $35,000 per year for the next 15 years between my company match RSP and my own investing. (right now I have $35000 in my retirement accounts).
When I plop this into Excel, the future value of this is about $1.1 Million at 9%. My plan is to stop working at 45 and simply work part time...enough to cover my monthly expenses which are $1400 without my mortgage. I'm not sure what I would do...probably do bookkeeping or tax returns or maybe deliver the mail or something without stress. I would really only need to work 2 days per week to meet my expenses.
I would do that until my early 50's so presumably that $1.1 Million would grow to about $1.5 Million at a rate of 4% per year (I would switch to a conservative investing approach during my semi retirement). Then presumably I could live on the interest of this nest egg until I started receiving social security which would help me out. $1.5 Million X 3% = $45,000 should certainly be enough if I have no debt.
I know this is very simplistic, but is it doable? I see my bosses still working at 55 and 60 and I have no idea why... Do they truly enjoy endless boring meetings? Do they have nothing better to do with their time? When I look around and see people working to 60 I just assume that me wanting to semi retire at 45 is a pipedream, but looking at my numbers it seems doable......
One of my employees is 65 and still working...she mentioned she loves to go RV'ing and showed me a picture of her rig....it is one of those monstrous things that cost $300,000....I now know why she is still working at that age....different strokes for different folks I guess....
I am just wondering if anyone has taken this approach, or if you have any thoughts on this plan
I am a 30 year old accountant here in Canada and make just under $75K per year. I have always been a diligent saver and am about 6 months away from paying off the mortgage on my home. Purchased 4 years ago for $185,000 and now probably worth $300,000 (Edmonton housing market has been crazy the past few years). I did this by being....well cheap in all honestly....and living at home until 26. No other debts at all.
Basically I do not like my career. I have been in 4 different companies and I do not enjoy working for "the man". I just do not like sitting in an office for 8 or 9 hours per day and dealing with "crisises" that have no relevance to anything truly important. I have an accounting designation and it is a very hot market right now for accountants, there is certianly a lot of upside in my profession. I probably would not mind working for a very small company as the politics/stress would be less (along with lower pay)........
Having said all that, I will be able to save approximately $35,000 per year for the next 15 years between my company match RSP and my own investing. (right now I have $35000 in my retirement accounts).
When I plop this into Excel, the future value of this is about $1.1 Million at 9%. My plan is to stop working at 45 and simply work part time...enough to cover my monthly expenses which are $1400 without my mortgage. I'm not sure what I would do...probably do bookkeeping or tax returns or maybe deliver the mail or something without stress. I would really only need to work 2 days per week to meet my expenses.
I would do that until my early 50's so presumably that $1.1 Million would grow to about $1.5 Million at a rate of 4% per year (I would switch to a conservative investing approach during my semi retirement). Then presumably I could live on the interest of this nest egg until I started receiving social security which would help me out. $1.5 Million X 3% = $45,000 should certainly be enough if I have no debt.
I know this is very simplistic, but is it doable? I see my bosses still working at 55 and 60 and I have no idea why... Do they truly enjoy endless boring meetings? Do they have nothing better to do with their time? When I look around and see people working to 60 I just assume that me wanting to semi retire at 45 is a pipedream, but looking at my numbers it seems doable......
One of my employees is 65 and still working...she mentioned she loves to go RV'ing and showed me a picture of her rig....it is one of those monstrous things that cost $300,000....I now know why she is still working at that age....different strokes for different folks I guess....