I was watching Dave Ramsey Monday evening on his new television show (on Fox Business News), and one of the public interviewed asked him (going on memory) "How much do I need to save to retire early".
Dave basically gave two answers. First, he said you'd need enough saved up so that you could live off of 8% of the principle. Though he didn't elaborate on how he came up with that, I could only guess that he was taking his typical 12% that he says you can earn off of good growth stocks and subtracting ~4% inflation. In any event, that sounds like a pretty ambitious figure!
Next, he started by asking him or her why are you so concerned about this at a young age? (the person asking looked early 40s, or thereabouts, strangely I forgot the gender ) He said "if you're worried about this at a young age, then that must mean you're doing something that's making you miserable and that you need to find a job that you love" He continued with this line of thinking for a few minutes and tried to present the argument that we're all meant to be making a contribution to society, pretty much stopping short of just outright saying "its wrong to retire early". He finished by saying he won't stop what he's doing until he's outright unable to do it anymore, so we should look forward to a wrinkly, but wiser Dave Ramsey in the distance future.
Just thought I'd throw that out there for comment. I know that I disagree with him pretty strongly on both points.
Dave basically gave two answers. First, he said you'd need enough saved up so that you could live off of 8% of the principle. Though he didn't elaborate on how he came up with that, I could only guess that he was taking his typical 12% that he says you can earn off of good growth stocks and subtracting ~4% inflation. In any event, that sounds like a pretty ambitious figure!
Next, he started by asking him or her why are you so concerned about this at a young age? (the person asking looked early 40s, or thereabouts, strangely I forgot the gender ) He said "if you're worried about this at a young age, then that must mean you're doing something that's making you miserable and that you need to find a job that you love" He continued with this line of thinking for a few minutes and tried to present the argument that we're all meant to be making a contribution to society, pretty much stopping short of just outright saying "its wrong to retire early". He finished by saying he won't stop what he's doing until he's outright unable to do it anymore, so we should look forward to a wrinkly, but wiser Dave Ramsey in the distance future.
Just thought I'd throw that out there for comment. I know that I disagree with him pretty strongly on both points.