Finance Dave
Thinks s/he gets paid by the post
- Joined
- Mar 29, 2007
- Messages
- 1,861
Ok, we have not done it yet...but getting very close (within months).
Wife and I both have high-paying MegaCorp jobs and are getting burned out. I'm 50, she's 54. Two years ago I suggested two options for either of us.
1) Work 4 more years at our current pay, and never need to work another day in our lives
2) Get a lower-paying, fewer hours, less stressful career soon, and then work about 5-6 years from that point.
I chose #2...and I'm close to making the switch. She has chosen #1, and is still hard at it.
I currently work in corporate finance, Treasury to be specific. I've been doing various Corporate Finance roles for 18 years, and my MBA has paid off quite nicely in many ways: good assignments, interesting work, challenging things to improve, contributions to the company, and pay.
But about two years ago I started feeling like life was getting away from me. I would go on vacation, but sleep much of the time. I was too tired to go out with friends, and some of my hobbies layed dormant. So we developed a plan, and I've spent the past two years researching alternatives.
I had it narrowed down to 2 things, and ultimately I've chosen to become a home inspector. I would work for an existing inspector, so I'd be a sub-contractor. We have already agreed verbally on all aspects, we're drafting a contract together, and I'm about 3/4 of the way through all the education/certifications to do inspections, radon testing/remediation, termite inspections, and so on. Once I get certified in my state in about 6 weeks...I'll give notice at MegaCorp and begin the new life.
Why do I like this idea?
1) I love working with my hands, and have hobbies such as woodworking and automobiles.
2) I have an undergrad degree in engineering, so the idea of understanding how houses work and what makes them fail has been fun thus far
3) I own rentals (2 single family units), and feel this dovetails nicely into that experience...will allow me to inspect units with confidence so I can add more rentals (perhaps 2-3 more is my goal)
4) I've been very honest with the guy I'd be working for...I told him I was looking to phase into retirement over about 5-6 years. He said that was fine with him.
5) The inspection business is perfect when it comes to the type of flexibility I need
5.1) I can work as much as I want today (I told him I want as much work as he can throw at me for the first 1-2 years), and then 18 months from now say "I don't want to work Fridays anymore"
5.2) I am essentially my own boss. Although he sets the work standards, I can schedule my appointment times as I see fit. He said "If you're an early morning person, you can start at 7 AM if you like. If not, feel free to start at 10 AM...do whatever you like)
5.3) The $/hr income is quite high, so I can still make a decent wage by simply working more.
5.4) He said the issue most people have when he tries to hire them is that they cannot afford the "seed money". You must buy about $3,000 in tools (ladders, moisture sensors, gas sensors, infrared thermometers, insulated screwdrivers, and much more), and you must invest about $3,000 in education programs, software to do the inspection reports, and so on. This is not possible for many, but for me it's not an issue...it's simply an investment in capital.
5.5) If I decide to move to a different state, I could start my own business in this area (I'll be signing a non-compete clause with this guy)
5.6) I can take vacation whenver I like so long as I give him notice (not true in finance, we are on an "accounting calendar" and there are 2 weeks each month when I cannot be away from work.
I'm very much looking forward to 1-2 years from now, when I'll be trained, experienced in this, and can work 24-30 hours/week for a few years. That will give me much more time to go on vacations, attend car shows on weekends in other states, visit family in other states, and devote more time to hobbies (I'd love to learn to play the guitar).
We have the financial means to do this, so I'm pumped about it. The money is secondary at this point...I'll be taking about a 60% pay cut. I've done all the financial budgeting, we CAN afford this. We currently save 34% of our GROSS pay, so we can obviously live on much less. Our nest egg is of the size that it matters less how much you add to it, and more how long you leave it there and the rate you earn on it. For the last two years, our account has earned more than my net pay!
I consider myself FIRE'd after doing this, but wonder about the forum's definition. I believe that being "financially independent" is what's allowing me to do this.
If you're wondering "what if the market turns down and there is no work...what will you do?" I could do many things. I used to be an auto mechanic and could return to that. I could deliver pizzas. My wife could work one more year. Heck, we have a 9-month emergency fund and rental income on two properties...I think we're covered.
Wife and I both have high-paying MegaCorp jobs and are getting burned out. I'm 50, she's 54. Two years ago I suggested two options for either of us.
1) Work 4 more years at our current pay, and never need to work another day in our lives
2) Get a lower-paying, fewer hours, less stressful career soon, and then work about 5-6 years from that point.
I chose #2...and I'm close to making the switch. She has chosen #1, and is still hard at it.
I currently work in corporate finance, Treasury to be specific. I've been doing various Corporate Finance roles for 18 years, and my MBA has paid off quite nicely in many ways: good assignments, interesting work, challenging things to improve, contributions to the company, and pay.
But about two years ago I started feeling like life was getting away from me. I would go on vacation, but sleep much of the time. I was too tired to go out with friends, and some of my hobbies layed dormant. So we developed a plan, and I've spent the past two years researching alternatives.
I had it narrowed down to 2 things, and ultimately I've chosen to become a home inspector. I would work for an existing inspector, so I'd be a sub-contractor. We have already agreed verbally on all aspects, we're drafting a contract together, and I'm about 3/4 of the way through all the education/certifications to do inspections, radon testing/remediation, termite inspections, and so on. Once I get certified in my state in about 6 weeks...I'll give notice at MegaCorp and begin the new life.
Why do I like this idea?
1) I love working with my hands, and have hobbies such as woodworking and automobiles.
2) I have an undergrad degree in engineering, so the idea of understanding how houses work and what makes them fail has been fun thus far
3) I own rentals (2 single family units), and feel this dovetails nicely into that experience...will allow me to inspect units with confidence so I can add more rentals (perhaps 2-3 more is my goal)
4) I've been very honest with the guy I'd be working for...I told him I was looking to phase into retirement over about 5-6 years. He said that was fine with him.
5) The inspection business is perfect when it comes to the type of flexibility I need
5.1) I can work as much as I want today (I told him I want as much work as he can throw at me for the first 1-2 years), and then 18 months from now say "I don't want to work Fridays anymore"
5.2) I am essentially my own boss. Although he sets the work standards, I can schedule my appointment times as I see fit. He said "If you're an early morning person, you can start at 7 AM if you like. If not, feel free to start at 10 AM...do whatever you like)
5.3) The $/hr income is quite high, so I can still make a decent wage by simply working more.
5.4) He said the issue most people have when he tries to hire them is that they cannot afford the "seed money". You must buy about $3,000 in tools (ladders, moisture sensors, gas sensors, infrared thermometers, insulated screwdrivers, and much more), and you must invest about $3,000 in education programs, software to do the inspection reports, and so on. This is not possible for many, but for me it's not an issue...it's simply an investment in capital.
5.5) If I decide to move to a different state, I could start my own business in this area (I'll be signing a non-compete clause with this guy)
5.6) I can take vacation whenver I like so long as I give him notice (not true in finance, we are on an "accounting calendar" and there are 2 weeks each month when I cannot be away from work.
I'm very much looking forward to 1-2 years from now, when I'll be trained, experienced in this, and can work 24-30 hours/week for a few years. That will give me much more time to go on vacations, attend car shows on weekends in other states, visit family in other states, and devote more time to hobbies (I'd love to learn to play the guitar).
We have the financial means to do this, so I'm pumped about it. The money is secondary at this point...I'll be taking about a 60% pay cut. I've done all the financial budgeting, we CAN afford this. We currently save 34% of our GROSS pay, so we can obviously live on much less. Our nest egg is of the size that it matters less how much you add to it, and more how long you leave it there and the rate you earn on it. For the last two years, our account has earned more than my net pay!
I consider myself FIRE'd after doing this, but wonder about the forum's definition. I believe that being "financially independent" is what's allowing me to do this.
If you're wondering "what if the market turns down and there is no work...what will you do?" I could do many things. I used to be an auto mechanic and could return to that. I could deliver pizzas. My wife could work one more year. Heck, we have a 9-month emergency fund and rental income on two properties...I think we're covered.
