Hi all,
Background: Since my first Mega Corp job as a software engineer in the early 90's (age 22) I've been focused on FIRE. Even back then I spent A LOT of time thinking about how I could better be spending my time rather than working for "The Man". The thought of FIRE in my 40's provided the proper motivation to LBMM: always maxing 401k and IRAs, no consumer debt. I've always saved 30-40% of gross annually despite living in high-tax NY state.
Current situation: Jump forward 20 years and I've had some fantastic life changes, including a family with DW (SAHM) and 3 kids (all under 10). In addition I am very blessed with a very large and close network of extended family and friends. On the less than positive side, my job over the last 4 years has me working 50-60 hours/wk under very stressful conditions, due to very tight deadlines and never enough time or resources to get the job done right. There's also the added headache of dealing with staff issues, plus very demanding business partners. In sum, I've just about reached the limits of what I can stomach from my job/career. I also pay very high state income and highest in the nation property taxes as a percentage of home value (3.2% per year on fully assessed value). Despite this, I have no intention of moving anytime soon - too many family and friends here.
Finances: For the most part I've worked at 4 Mega-corps during my career, with 12 years at my most recent company.
income: My salary has grown steadily (although not spectacularly) from 32k in 1991 to 120k in 2011. No pension plan. DW (SAHM) has part time gig earning 5k per year
"liquid" assets: ~850k with 70/30 non-taxable/taxable, 70/30 stocks/bonds
debt: none, except mortgage with 70k outstanding balance on 170k house. I'm in year 8 on 15-year at 4 3/4%
yearly expenses: currently 48k including everything except income taxes. There is not much to cut here without impacting quality of life so this is the minimum I'm targeting for ESR/FIRE until mortgage is paid off. Paying off the mortgage early is a consideration as well, perhaps just for the psychological impact.
Medium Range Goal: With my FIRE dream burning hotter with each passing year, yet still 5-8 years away, I'm looking for an interim solution: ESR. My main motivation is to be able to spend more time with friends and family. Essentially, I just want more time for kids, quality time with my wife, parents, siblings, friends, hunting, fishing, camping, golfing, volunteering at school, exercising, home maintenance, etc. Basically all of the things that are fun, but don't generate a dime of income. At this point, I'm looking to stick things out at my current position for 2 more years and (financial markets willing) hit that $1mil mark. I'd then ESR into a job/career which meet the following criteria:
- Less hours and/or more flexibility. This could either be part time: 25-30 hours per week, working 3 days per week. Or full time: 40 hours per week, working 5 days per week, but only 6-8 months out of the year.
- Individual contributor role, no more being the "the boss"
- need to earn 20k annually with medical insurance benefits or 27k w/o medical benefits. I would use the extra 7k to purchase insurance in the HealthyNY medical plan. The other 25k for annual expenses would come from a 2.5% WR from taxable accounts.
ESR job options: So far I've considered the medical field or school district, but wouldn't rule out the service industry as well. I'm open to all options here as long as I'm not a supervisor. One other thing I've considered is returning to software development as a contractor. Unfortunately my techncial skills have flagged a bit over the last several years and the (re)learning curve would be significant given the rapidly changing nature of the industry. I am not real motivated to climb this curve if my goals can be met in other ways. That said, I would make it happen if it were my best or only option.
Question for you-all: Any recommendations for a job which meets my criteria? I'm still a few years away, but it's never too early to plan. Plus it'll help with my sanity. I live in upstate NY, near Buffalo
Background: Since my first Mega Corp job as a software engineer in the early 90's (age 22) I've been focused on FIRE. Even back then I spent A LOT of time thinking about how I could better be spending my time rather than working for "The Man". The thought of FIRE in my 40's provided the proper motivation to LBMM: always maxing 401k and IRAs, no consumer debt. I've always saved 30-40% of gross annually despite living in high-tax NY state.
Current situation: Jump forward 20 years and I've had some fantastic life changes, including a family with DW (SAHM) and 3 kids (all under 10). In addition I am very blessed with a very large and close network of extended family and friends. On the less than positive side, my job over the last 4 years has me working 50-60 hours/wk under very stressful conditions, due to very tight deadlines and never enough time or resources to get the job done right. There's also the added headache of dealing with staff issues, plus very demanding business partners. In sum, I've just about reached the limits of what I can stomach from my job/career. I also pay very high state income and highest in the nation property taxes as a percentage of home value (3.2% per year on fully assessed value). Despite this, I have no intention of moving anytime soon - too many family and friends here.
Finances: For the most part I've worked at 4 Mega-corps during my career, with 12 years at my most recent company.
income: My salary has grown steadily (although not spectacularly) from 32k in 1991 to 120k in 2011. No pension plan. DW (SAHM) has part time gig earning 5k per year
"liquid" assets: ~850k with 70/30 non-taxable/taxable, 70/30 stocks/bonds
debt: none, except mortgage with 70k outstanding balance on 170k house. I'm in year 8 on 15-year at 4 3/4%
yearly expenses: currently 48k including everything except income taxes. There is not much to cut here without impacting quality of life so this is the minimum I'm targeting for ESR/FIRE until mortgage is paid off. Paying off the mortgage early is a consideration as well, perhaps just for the psychological impact.
Medium Range Goal: With my FIRE dream burning hotter with each passing year, yet still 5-8 years away, I'm looking for an interim solution: ESR. My main motivation is to be able to spend more time with friends and family. Essentially, I just want more time for kids, quality time with my wife, parents, siblings, friends, hunting, fishing, camping, golfing, volunteering at school, exercising, home maintenance, etc. Basically all of the things that are fun, but don't generate a dime of income. At this point, I'm looking to stick things out at my current position for 2 more years and (financial markets willing) hit that $1mil mark. I'd then ESR into a job/career which meet the following criteria:
- Less hours and/or more flexibility. This could either be part time: 25-30 hours per week, working 3 days per week. Or full time: 40 hours per week, working 5 days per week, but only 6-8 months out of the year.
- Individual contributor role, no more being the "the boss"
- need to earn 20k annually with medical insurance benefits or 27k w/o medical benefits. I would use the extra 7k to purchase insurance in the HealthyNY medical plan. The other 25k for annual expenses would come from a 2.5% WR from taxable accounts.
ESR job options: So far I've considered the medical field or school district, but wouldn't rule out the service industry as well. I'm open to all options here as long as I'm not a supervisor. One other thing I've considered is returning to software development as a contractor. Unfortunately my techncial skills have flagged a bit over the last several years and the (re)learning curve would be significant given the rapidly changing nature of the industry. I am not real motivated to climb this curve if my goals can be met in other ways. That said, I would make it happen if it were my best or only option.
Question for you-all: Any recommendations for a job which meets my criteria? I'm still a few years away, but it's never too early to plan. Plus it'll help with my sanity. I live in upstate NY, near Buffalo
