shotgunner
Full time employment: Posting here.
- Joined
- Jun 18, 2008
- Messages
- 538
My name is Pete and I FIRE’d this past April at age 51. It was not an easy decision. FWIW on the first day following leaving my job I went to the barber shop to get a haircut, I opened the paper and read a former classmate’s (7th grade through college) obituary. He was killed by a tree he was cutting at his summer home in Maine. I put the paper down more convinced than ever I had made the right decision.
My story. I worked every day for 28 years after graduating from college, early retirement was always a goal I had set for myself. I never made a lot of money, but I kept my expenses low, saved and invested since day one of working. I went through a divorce and that could have derailed my plans, however my father died and left me assets that offset that loss. My mother died at age 63 from cancer, she was sick with it at 61 and never got to retire. That also strengthened my resolve.
I cared for my father who had alzheimer’s for three years. I saw first hand the physical and mental decline of the person I admired most. We had caregivers in his house, he was in assisted living and then a nursing home. My eyes were wide open to the relentless march of time and the finite nature of life. His last gift to me was literally like the ghost of Christmas yet to come who visited Scrooge.
After his death I worked full time for three years, adjusting, healing, planning. During my father’s journey I met and worked with two professionals I came to trust, an attorney and a financial advisor. Following my father’s death I put my own house in order, will, living will, revocable trust During 2006 I decided to keep and stay in my father’s home, a 1000 sq ft ranch. It is in a nice neighborhood, convenient location. Taxes and all utility costs come to just over $800 a month (that includes a pre-buy for propane heat for the coming winter). During 2006 I extensively repaired and remodeled the home, new everything, kitchen, bath, electric, deck and tub, siding, roof and appliances.
I live a modest life but do all the things I enjoy which is mainly shooting clay pigeons, fishing and hunting. I looked at my spending in 2006 and 2007 and was doing what I wanted on a net of 28K.
I decided to FIRE in April of this year. Time marches on, I am keenly aware. My thought was the possibility of running out of money and returning to work in the future was less of a mistake than staying at work with the possibility of losing my health or worse before enjoying life on my terms.
I had to secure health insurance before leaving work and what I did was to buy a catastrophic plan with a 5K annual deductible and open/fund an HSA. My current premium is $288 a month and my health is excellent.
My net worth is between 1,2 and 1.3M including the house at 200K. I am by nature very conservative in all things including money. My asset position is 275K in cash and I bonds, 50K in munis, 325K in Tax Managed Mutual Funds split between Value and Growth with more in Value. My basis in the Mutual Funds is about 75%. More retirement accounts consist of $80K in TIAA/CREF (50K in TIAA and 30K in Inflation adjusted Bond. $140K in a Metlife Annuity that guarantees principle and at least 5% growth per year, (my basis in this account is 130K of already taxed money). $130K in an Allianz IRA that provides principle guarantee (111K principle).
So here I sit with absolutely no debt. Three weeks after I retired I returned to my old job as an hourly with a guaranteed year of employment. I work 20 hours a week, and gross about 30K from it. I was not anticipating this happening.
Currently I can live my life comfortable on about $32K a year, if my income was to come 100% from my portfolio I could do so almost tax free given current capital gains taxes and my position. I live in NH and do not pay sales or income tax.
Life is better. More time, less stress. There is always going to be something to worry about, that is life, nothing is predictable except the words of my later father; “You can always get more money, you can never get more time”.
I would appreciate anyone’s thoughts on my position and philosophy. Thanks for reading.
My story. I worked every day for 28 years after graduating from college, early retirement was always a goal I had set for myself. I never made a lot of money, but I kept my expenses low, saved and invested since day one of working. I went through a divorce and that could have derailed my plans, however my father died and left me assets that offset that loss. My mother died at age 63 from cancer, she was sick with it at 61 and never got to retire. That also strengthened my resolve.
I cared for my father who had alzheimer’s for three years. I saw first hand the physical and mental decline of the person I admired most. We had caregivers in his house, he was in assisted living and then a nursing home. My eyes were wide open to the relentless march of time and the finite nature of life. His last gift to me was literally like the ghost of Christmas yet to come who visited Scrooge.
After his death I worked full time for three years, adjusting, healing, planning. During my father’s journey I met and worked with two professionals I came to trust, an attorney and a financial advisor. Following my father’s death I put my own house in order, will, living will, revocable trust During 2006 I decided to keep and stay in my father’s home, a 1000 sq ft ranch. It is in a nice neighborhood, convenient location. Taxes and all utility costs come to just over $800 a month (that includes a pre-buy for propane heat for the coming winter). During 2006 I extensively repaired and remodeled the home, new everything, kitchen, bath, electric, deck and tub, siding, roof and appliances.
I live a modest life but do all the things I enjoy which is mainly shooting clay pigeons, fishing and hunting. I looked at my spending in 2006 and 2007 and was doing what I wanted on a net of 28K.
I decided to FIRE in April of this year. Time marches on, I am keenly aware. My thought was the possibility of running out of money and returning to work in the future was less of a mistake than staying at work with the possibility of losing my health or worse before enjoying life on my terms.
I had to secure health insurance before leaving work and what I did was to buy a catastrophic plan with a 5K annual deductible and open/fund an HSA. My current premium is $288 a month and my health is excellent.
My net worth is between 1,2 and 1.3M including the house at 200K. I am by nature very conservative in all things including money. My asset position is 275K in cash and I bonds, 50K in munis, 325K in Tax Managed Mutual Funds split between Value and Growth with more in Value. My basis in the Mutual Funds is about 75%. More retirement accounts consist of $80K in TIAA/CREF (50K in TIAA and 30K in Inflation adjusted Bond. $140K in a Metlife Annuity that guarantees principle and at least 5% growth per year, (my basis in this account is 130K of already taxed money). $130K in an Allianz IRA that provides principle guarantee (111K principle).
So here I sit with absolutely no debt. Three weeks after I retired I returned to my old job as an hourly with a guaranteed year of employment. I work 20 hours a week, and gross about 30K from it. I was not anticipating this happening.
Currently I can live my life comfortable on about $32K a year, if my income was to come 100% from my portfolio I could do so almost tax free given current capital gains taxes and my position. I live in NH and do not pay sales or income tax.
Life is better. More time, less stress. There is always going to be something to worry about, that is life, nothing is predictable except the words of my later father; “You can always get more money, you can never get more time”.
I would appreciate anyone’s thoughts on my position and philosophy. Thanks for reading.