Update on FIRE

[petershk]

Hi party people.

I introduced myself about a year ago and things have moved more or less as planned. Super odd for me.

I'm starting an extended sabbatical today... partially to recharge... partially to test run life with no job.

I am early 40s with 2 young kids and am looking forward to spending the summer with family and goofing around.

It's hard to believe it's been almost 22 years since I've had more than a week or so off work (including my wedding and time between jobs). Somehow was always rushing and pushing.

Don't have any specific plans and also oddly not worried about being bored. Also... kinda think there's a 50/50 shot I'll just keep doing this or else find a position with very little responsibility with way less pay. If that's not possible... that's OK too. Not sure. And not really thinking about it much.

The best description I can come up with is that for 2 decades there was a creature in my brain that would grab anything that needed consideration or decisions or something and chew on it relentlessly...and now that creature doesn't have much food. It's really weird.

I put my details in my intro post but the short version is around 4.8m in investable assets, 670K mortgage, no other debt, about 9K/mo expenses (including 4.3k mortgage) which has over the last year grown from 8k because... frankly... DW and I have let our hair down a bit... eating out, more vacations, etc. Nothing crazy but not really keeping things in check as much.

Financially we've frankly been both disciplined and exceedingly lucky. It accelerated FIRE plans as well as providing greater flexibility for which we are greatful... and don't want to waste.

This is unpaid leave with health coverage so a semi simulation as we will be taking money out instead of putting it in *gasp*. Oddly that gives me 0 stress as well. I was expecting to be stressed about it.

As a matter of fact. I feel no stress at all right now.

It was insanely fun to wipe my entire calendar clean, come home think about tomorrow and conclude that I don't really need to do anything except keep the kids alive and get some exercise. Very surreal. I plan to keep that calendar nice and clean.

Thanks for everyone's advice and entertainment.

Cheers!

[W2R]

Congratulations! I'm hoping that your "test run" is outstanding and successful and I think it will be.

[MBAustin]

Wonderful update! Just the way you are describing how you are feeling now sounds like you've made an excellent decision, regardless if this is a sabbatical or ER. Enjoy!

[CaliKid]

I have thought about ER in a few years (currently mid/late 40's) but more recently thinking to try a "sabbatical" first. I will be interested to hear how yours goes for you. Good luck!

[medved]

$4.8mm in invested assets in early 40s is pretty impressive, and the sabbatical as a "test run" for retirement sounds like a great idea. (try it on before you buy it, so to speak...)

[CaliKid]

Quote:

Originally Posted by medved $4.8mm in invested assets in early 40s is pretty impressive, and the sabbatical as a "test run" for retirement sounds like a great idea. (try it on before you buy it, so to speak...)

It is impressive if earned no question. However, the amount of money being sufficient totally depends on lifestyle. $4.8m is a lot for some and not enough for others.

[Prime Number]

Nice
We've been chatting quite a bit on the thread I've started, and I've so appreciated all your thoughts and perspective.
Is your wife also taking time off?

I hope you really enjoy this time, particularly with the kids -- they will really appreciate it!

I'd love to keep hearing about your continued experiences, especially as you start to draw down on savings I know this is an area of anxiety for me! Please keep us posted

[petershk]

DW stopped working when we had kids 4 years ago. Personal choice. She's a nurse and I always told her if she wanted/needed to work, I'd support 100%. It's never come up .

I have more time to post now so I'm sure it'll happen

Sent from my HTC One_M8 using Early Retirement Forum mobile app

[rodi]

Congrats on finding a way to test run retirement, Petershk. Have fun!

[Katiek]

Congrats and enjoy!

[SAtoUS]

Quote:

Originally Posted by petershk Hi party people. I introduced myself about a year ago and things have moved more or less as planned. Super odd for me. I'm starting an extended sabbatical today... partially to recharge... partially to test run life with no job. I am early 40s with 2 young kids and am looking forward to spending the summer with family and goofing around. It's hard to believe it's been almost 22 years since I've had more than a week or so off work (including my wedding and time between jobs). Somehow was always rushing and pushing. Don't have any specific plans and also oddly not worried about being bored. Also... kinda think there's a 50/50 shot I'll just keep doing this or else find a position with very little responsibility with way less pay. If that's not possible... that's OK too. Not sure. And not really thinking about it much. The best description I can come up with is that for 2 decades there was a creature in my brain that would grab anything that needed consideration or decisions or something and chew on it relentlessly...and now that creature doesn't have much food. It's really weird. I put my details in my intro post but the short version is around 4.8m in investable assets, 670K mortgage, no other debt, about 9K/mo expenses (including 4.3k mortgage) which has over the last year grown from 8k because... frankly... DW and I have let our hair down a bit... eating out, more vacations, etc. Nothing crazy but not really keeping things in check as much. Financially we've frankly been both disciplined and exceedingly lucky. It accelerated FIRE plans as well as providing greater flexibility for which we are greatful... and don't want to waste. This is unpaid leave with health coverage so a semi simulation as we will be taking money out instead of putting it in *gasp*. Oddly that gives me 0 stress as well. I was expecting to be stressed about it. As a matter of fact. I feel no stress at all right now. It was insanely fun to wipe my entire calendar clean, come home think about tomorrow and conclude that I don't really need to do anything except keep the kids alive and get some exercise. Very surreal. I plan to keep that calendar nice and clean. Thanks for everyone's advice and entertainment. Cheers!

Just test it for a day or two... then retire full time, trust me... it's a beautiful thing.

$4.8m,... wow!! Good job. I'm 47, NW is $2.8m... I should have stopped at 40 w a little less, and enjoyed the last 7 years. Aaa well, 20/20...

Did you know, of the 7 billion people on earth, less than 20 million are millionaires. That’s far less than 1%.

We are living on $160k passive income a year.

[audreyh1]

Wow - that's a big mortgage!

Nevermind, just kidding, I see your investable assets. LOL!

Have a great time. This is probably a really good way for you to figure out what makes sense for you.

[petershk]

Audrey. Yeah it is. Even though the unexpected growth in NW has made it less consequential and the home value has gone up quite a bit... to the point that I wouldn't buy my own house right now.

Job is a big reason for the mortgage... I just HATE commuting. But if my commute is from my bedroom to my coffee maker to my backyard... then we're not geographically limited.

That said... socal has really nice weather. We'll see

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[38Chevy454]

Good for you to be able to give retirement a test run. Enjoy the summer and spending time with your family.

[aida2003]

Wow, we should do a poll on retirement portfolio sizes on this forum. So many millionaires!! I thought we are doing quite OK, but after reading a few threads on this sub-forum today, I can say that we'd need to keep rat-racing for many years to reach such wealth. OTOH, our regular expenses are not as high though comparing to people who spend $100k+/year.

Congrats! It's wonderful that you're given an option of sabbatical.

[petershk]

For full disclosure. Original trajectory was about 5 more years with about half the investable assets followed by selling the house and buying something about 1/3 and reducing coat of living. Got lucky with company stock.

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[Dreaming of Freedom]

Quote:

Originally Posted by aida2003 Wow, we should do a poll on retirement portfolio sizes on this forum. So many millionaires!! I thought we are doing quite OK, but after reading a few threads on this sub-forum today, I can say that we'd need to keep rat-racing for many years to reach such wealth. OTOH, our regular expenses are not as high though comparing to people who spend $100k+/year.

I agree, this forum is starting to make me feel poor, and that I need several million dollars in order to retire. Our initial target was $1,250,000, but after hanging out here for a while, I am now starting to think we need more like $1.5 milllion so we can spend $20,000/year on health insurance & health expenses if needed. I kind of feel like an underachiever on this forum because we have never made enough to make it into the 25% tax bracket. Then again, maybe I fit in somewhere in between this group & the MMM group. We would have to work until we die to save up $4 or $5 milllion. Then again, maybe that is how much a retired couple will need to successfullly survive the wild west of US health insurance & healthcare costs that may be coming (back) soon.

[athena53]

Quote:

Originally Posted by petershk The best description I can come up with is that for 2 decades there was a creature in my brain that would grab anything that needed consideration or decisions or something and chew on it relentlessly...and now that creature doesn't have much food. It's really weird.

That's something I noticed after retiring. My brain occasionally makes up weird stuff to worry about. Example: when DS, DDIL and our granddaughter were flying in to join us on a family vacation, I no only worried about them making their connection in Atlanta. I worried about what would happen if they got stuck there overnight and had to stay in a hotel, and had to take a taxi but they didn't have a car seat for the baby (were renting one on arrival) so they could get to a hotel. Most of the time I can recognize that my brain has gone into overdrive and stop! (The flights to and from the vacation went fine, BTW.)

Congratulations on having such wonderful options at an early age- I know it's partly luck, but it's also careful financial choices.

[W2R]

Quote:

Originally Posted by aida2003 Wow, we should do a poll on retirement portfolio sizes on this forum. So many millionaires!! I thought we are doing quite OK, but after reading a few threads on this sub-forum today, I can say that we'd need to keep rat-racing for many years to reach such wealth. OTOH, our regular expenses are not as high though comparing to people who spend $100k+/year. Congrats! It's wonderful that you're given an option of sabbatical.

I did a quick search and didn't immediately find a poll on retirement portfolio sizes, although I did find this poll on net worth.

If you decide that you want to post a poll of portfolio sizes, go right ahead! Be sure to define what you want people to include. I guarantee you that otherwise, some will include their home, some won't, some will include investment real estate, some won't, and some will include their pension and/or SS, and some won't, some will include cash, some won't.

[Meadbh]

Quote:

Originally Posted by W2R If you decide that you want to post a poll of portfolio sizes, go right ahead! Be sure to define what you want people to include. I guarantee you that otherwise, some will include their home, some won't, some will include investment real estate, some won't, and some will include their pension and/or SS, and some won't, some will include cash, some won't.

It's like herding cats!