Culture
Recycles dryer sheets
- Joined
- Apr 15, 2007
- Messages
- 491
Hello World! I am a long-time reader (about three years) with a moderate post-count (about 250). As a result of my decision to implement an ER scheme in the near future, I have decided to get a new handle. Here is my story:
My wife and I have both worked and/or been full-time students since age 16. Since we married at 23, we practiced LBYM in order to achieve ER. We currently save about 50% of our after-tax income (which is equal to what we pay in taxes
), and our current SWR would be about 3.5% at our current spending (we want to spend a lot more in retirement on travel and hobbies). We invest in Vanguard index funds using the slice-and-dice approach. Currently we have about a 60/40 Equity/Bond+Cash ratio.
We figured that this would put us out of the workplace around 55. Fortunately, we have done much better than expected and find ourselves ready RE in our mid-40s. However, with children in school, we have decided that we need to semi-RE to provide stability until they are in college. Plus, I can't backpack the CDT while they are still at home anyway.
The solution? We have decided to both quit work and start a consulting practice. My wife has graciously agreed to become the "office manager," in charge of accounting, billing, collections, proof reading, calender, phone service and other misc. task. We figure she will work about 20 hours per week. I plan to work about 30-40 hours depending on how things go. I have a 600 SF home office (detached building) that I built for this purpose, which will save us 20 hours! per week in commuting. Thirty minute lunches in the kitchen will save us another 5 hours per week. Awesome! I have enough clients that I am confident I can work 20 hours without even attempting to build a client base, with 40 hours easily achievable if I want to market. I will break even with our current combined salary (net) at about 30 billable hours per week, but will match what we spend (net) at about 15 hours. My big concerns? Professional liability and health care. I have enough assets that it would be worth it to sue me.
We figure this to last five years. If it does not work out, no big deal, we can re-enter the workplace. I feel that there is a 99% change I will hit my marks, however.
In summary, things are looking wonderful, I have no complaints about my life, except lack of free time. I can't even really complain about that as my employer provides effectively unlimited schedule flexibility. Just get the work done. I grew up lower middle class and have felt wealthy since the day I got my first paycheck after graduate school. I even like my job, just don't feel like working full-time anymore. I actually dread resigning as I like my boss very much and I am going to feel like I am letting him down (he will have to train a new successor).
Anyway, we are giving notice on January 15, two weeks after bonus distributions at my office (this looks like a record breaking year, just like the last three have been). This has forced a change in user name because several of my employees know the relatively unusual user name that I used on this board and others. They have tracked down a few post on professional boards to give me a hard time about. While I have never posted anything here before that would really cause concern in the office, I would like to be able to discuss my move with the board without worrying about it. It do not mind dropping my old user name as I do not think anyone here really knows me anyway (Sir, I served with Nords; I knew Nords; Nords was a friend of mine. Sir, you're no Nords!). OTOH, IMHO, I've never said anything to stupid either.
Since I have never introduced myself before, I figure this would be a great chance to do so. I look forward to discussing my new move with the boards.
My wife and I have both worked and/or been full-time students since age 16. Since we married at 23, we practiced LBYM in order to achieve ER. We currently save about 50% of our after-tax income (which is equal to what we pay in taxes
), and our current SWR would be about 3.5% at our current spending (we want to spend a lot more in retirement on travel and hobbies). We invest in Vanguard index funds using the slice-and-dice approach. Currently we have about a 60/40 Equity/Bond+Cash ratio.We figured that this would put us out of the workplace around 55. Fortunately, we have done much better than expected and find ourselves ready RE in our mid-40s. However, with children in school, we have decided that we need to semi-RE to provide stability until they are in college. Plus, I can't backpack the CDT while they are still at home anyway.
The solution? We have decided to both quit work and start a consulting practice. My wife has graciously agreed to become the "office manager," in charge of accounting, billing, collections
, proof reading, calender, phone service and other misc. task. We figure she will work about 20 hours per week. I plan to work about 30-40 hours depending on how things go. I have a 600 SF home office (detached building) that I built for this purpose, which will save us 20 hours! per week in commuting. Thirty minute lunches in the kitchen will save us another 5 hours per week. Awesome! I have enough clients that I am confident I can work 20 hours without even attempting to build a client base, with 40 hours easily achievable if I want to market. I will break even with our current combined salary (net) at about 30 billable hours per week, but will match what we spend (net) at about 15 hours. My big concerns? Professional liability and health care. I have enough assets that it would be worth it to sue me.We figure this to last five years. If it does not work out, no big deal, we can re-enter the workplace. I feel that there is a 99% change I will hit my marks, however.
In summary, things are looking wonderful, I have no complaints about my life, except lack of free time. I can't even really complain about that as my employer provides effectively unlimited schedule flexibility. Just get the work done. I grew up lower middle class and have felt wealthy since the day I got my first paycheck after graduate school. I even like my job, just don't feel like working full-time anymore. I actually dread resigning as I like my boss very much and I am going to feel like I am letting him down (he will have to train a new successor).
Anyway, we are giving notice on January 15, two weeks after bonus distributions at my office (this looks like a record breaking year, just like the last three have been). This has forced a change in user name because several of my employees know the relatively unusual user name that I used on this board and others. They have tracked down a few post on professional boards to give me a hard time about. While I have never posted anything here before that would really cause concern in the office, I would like to be able to discuss my move with the board without worrying about it. It do not mind dropping my old user name as I do not think anyone here really knows me anyway (Sir, I served with Nords; I knew Nords; Nords was a friend of mine. Sir, you're no Nords!). OTOH, IMHO, I've never said anything to stupid either
.Since I have never introduced myself before, I figure this would be a great chance to do so. I look forward to discussing my new move with the boards.
