Road to FIRE: Goal 2035

[Kruah]

A big fan of the FIRE movement and a person who does NOT want to work till 70 years old, I am writing this thread also as a sign post for me and to share with others what I plan.

I am starting work now, graduated from college, no debt (EU). Will have same living conditions for 1 year as a student with full work pay (doctor)
Income after tax: 40k per year *for the first year, then it goes up
Expenses: around 12k (in the first year, then around 20k)
I will be saving between 50/70% of my income monthly!~

According to the calc with a withdrawal rate of 4% - I need 16 years to retire. Which is nice, but it does not take into account that my pay will practically triple in 15 years time.

So realistically, as long as I keep at it, I am looking at a 10-15 year retirement plan with my goal being to retire in 2035, just before my 40th birthday !!! After that, I can take a position at 1/4 the time or whatever and still add to my income if needed, but I doubt it will be necessary (I will have achieved peak career status and performance at about 35)

So how does it look from the side? Is it realistic? Am I still daydreaming, or is this feasible?

 

[njhowie]

Welcome aboard.

Today, it's daydreaming. However, the only way you turn it into reality is by continually working it. Save as much as you can, and subscribe to "delayed gratification". We all want to have a life outside of work and paying the bills. However, you can go first class from day one, and then have little to show for all your hard work later. Or, you can be frugal early on, save as much as you can, learn how to do things inexpensively, and then enjoy all the benefits later. The more you save early, the easier it will be later. Always be thinking about compound interest. At some point, the earnings on your savings will be more than your periodic contributions. Your goal is to get to that point as quickly as possible.

Folks who are conscious early on about where they want to go financially are at a big advantage. They can take action today to begin going down the right path. Key thing to remember - don't sweat the small stuff, it won't make the difference whether you FIRE or not. Stay very aware of the big things, they will make the difference.

 

[The Cosmic Avenger]

But don't feel like you need to forego everything to further your FIRE plans. There are cheap and free things to do in many places (museums, parks), and while you're young you might want to look for cheap standby fares and stay in youth hostels. For me it was important to feel like I was rewarding myself, and as our income grew or we paid off debt we didn't save ALL of the extra...just most of it.

 

[NgineER]

According to the calc with a withdrawal rate of 4% - I need 16 years to retire. Which is nice, but it does not take into account that my pay will practically triple in 15 years time.

Welcome to ER.org, you've come to the right place. As a MD I think you'll be able to make your ER at 40 a reality, especially without debt starting out. There is quite common for lifestyle creep, especially when you are raking in so much money, so be vigilant if you truly want to retire at 40.

The 4% calculator should maybe not be your target if you are planning to support a 40+ year retirement at an age where you still are young and able to travel etc. The 4% rule was formed around a 30 year retirement at a more normal 60-65 retirement age.

If you are able to save 50% of your income, you should be able to retire in 15 years or so.

Good luck, keep your eyes on the target, but enjoy the journey.

 

[COcheesehead]

I set my sights on retiring early right after I got my first “real” paycheck at 22. Things happen along the way. Started a business, got a divorce, made a lot, made a little, but I kept the dream alive the whole time. Save until it hurts, but don’t let life pass you by. Always spend on what you value, whatever that is. I finally pulled the plug when I was 57. Much later than I thought. My original goal was 40. But here I am today, happy, healthy and wealthy.

 

[street]

I have to agree if a young person has a vision of where he wants to be in life financially. That person has a huge advantage over others that don't.

Being debt free starting out your future goals and your plan will be a much easier journey. You will and should be able to do any plan you want to achieve.

Good luck and Welcome.

 

[ponyboy]

You're in the daydreaming phase. Actually, I would say its not a good thing to not want to work before you even start working.

Pace yourself. Life happens, things change. You wont be the same person 10 years from now, I hope not anyway. You're not going to want to live like a college kid forever.

I agree with others that its great you want to save and invest at an early age. I had the same mentality and its working out well. I do/we do (married) have a slightly different mindset now. We're so far ahead we loosened the purse strings. We splurge more than we did before. Life is relatively short. You could be dead tomorrow. You could develop health issues. Enjoy life now. Also when you're older, you wont be able to do the same things you can now as a younger person. Im 39 and I cant do things I could when I was 25. Its a slow boil that gets everyone.

 

[Kruah]

You're in the daydreaming phase. Actually, I would say its not a good thing to not want to work before you even start working.

Pace yourself. Life happens, things change. You wont be the same person 10 years from now, I hope not anyway. You're not going to want to live like a college kid forever.

I agree with others that its great you want to save and invest at an early age. I had the same mentality and its working out well. I do/we do (married) have a slightly different mindset now. We're so far ahead we loosened the purse strings. We splurge more than we did before. Life is relatively short. You could be dead tomorrow. You could develop health issues. Enjoy life now. Also when you're older, you wont be able to do the same things you can now as a younger person. Im 39 and I cant do things I could when I was 25. Its a slow boil that gets everyone.

Exactly this. I have been conscious of FIRE and the idea of my money working for me since I was 16. In these past 10 years as a student and then college student, I nor my family ever really had enough money to be considered wealthy or be able to afford everything. Being exactly middle class just takes away some possibilities.

Not wanting to put the hours in is mostly because of how I approached money early on, I had stocks with 18, some cash investments, rode the corona wave as well and made 20% gains. I managed to make some money out of thin air and this is fascinating to say the least.

That our world works like this ,where if you are brave enough to take what you want, you will most of the time get it, baffles me. And I enjoyed every day of it, spending on times more than I wanted to on eating out, going to bars with friends etc.

I am very mindful of what you say, and if I go through with FIRE, it will be on my own terms and at a comfortable pace as not to deny any mundane pleasures to me or my close ones. A balance needs to be found, just need to plan it out. + doctors are workaholics and I will probably not have the time to spend all the money

Also thanks everyone else for the kind replies!

 

[pacergal]

Welcome to the forum.
Your goal for saving up to 50% of income is commendable.
As others have said, don't forget to live a little along the way!
Life never follows a straight line, though. You may meet a life partner, chose to have children, etc.
Plan for the future, but enjoy each day.

 

[SnowballCamper]

I set my sights on retiring early right after I got my first “real” paycheck at 22. Things happen along the way. Started a business, got a divorce, made a lot, made a little, but I kept the dream alive the whole time. Save until it hurts, but don’t let life pass you by. Always spend on what you value, whatever that is. I finally pulled the plug when I was 57. Much later than I thought. My original goal was 40. But here I am today, happy, healthy and wealthy.

+1

One of the frequent posting members has a quote attributed to Mike Tyson, "Everyone has a plan until they get punched in the face."

So keep your eyes open, and duck and swerve as necessary. Good luck!

 

[RobbieB]

Yeah, goals are just goals, everyone has a plan...

Have fun, keep saving and investing, and all will come in good time -

 

[teetee]

Just keep your expense in check. Some doctors worked so hard they they use spending as a emotional release.

Try live like you are still a student, save and invest constantly. Plan the places you wish to travel after you are fully retired.

I will likely be able to retire on 2035 but I have already worked for 8 years. Still debating if I should wait for that long.

 

[The Cosmic Avenger]

Also, there's a retired anesthesiologist who blogs about FIREing with a high income: https://www.physicianonfire.com/