Same age as you guys and retired a little over 3 years ago. So far, everything has gone according to plan. I guess because of my planning and really knowing my why, there isn't anything I wish I had known before aside from some back to the future style stock picks. Great video guys!
How when coworkers say stay in touch, they may have meant it when they said it, but as time goes by…not so much. Some of these people were part of my life for decades. That took time to get used to. It was like many deaths occurred in those first few months, including the death of my job which was a huge part of my identity. It really was like high school graduation all over again. You go your own way. It’s sad but exciting all at the same time and things just get different and better. 👍
I’m a 22-year-old HVAC technician making $70,000 a year. I have a traditional wife and three young children, and despite our hard work and dedication, we can’t afford to save up for a down payment to buy a home. With interest rates skyrocketing, home ownership feels like a distant dream, completely out of reach. Meanwhile, I see channels like “Two Sides of FI” where Jason and Eric, and countless other boomers, are flexing their vast assets and retirement funds. It’s infuriating and frankly, it feels like a slap in the face to young people like me. What exactly am I supposed to do with this so-called financial advice? Should I have somehow bought my first home when I was in kindergarten instead of going to grade school? Boomers, you grew up in a time when jobs were more stable, housing prices were reasonable, and the economy wasn’t as brutally competitive. You had the chance to accumulate wealth in a relatively favorable environment. Yet, here you are, flaunting your financial successes while the younger generation struggles to make ends meet. Do you realize how tone-deaf it sounds when you brag about your retirement funds and property portfolios? The reality for Gen Z and Millennials is starkly different. We’re faced with crushing student loan debts, astronomical housing costs, and wages that haven’t kept up with inflation. Saving for a down payment while trying to provide for a family on a single income is next to impossible. The financial landscape has changed dramatically, and the old advice of “just save more” or “cut out your daily coffee” is laughably inadequate. Jason and Eric, while your channel might provide some insights, it also highlights a massive disconnect. We need practical advice that addresses the unique challenges we face today, not just stories of your triumphs in a vastly different economic era. How about focusing on actionable steps that can help young families get ahead in this brutal economy instead of showcasing your financial achievements? To all the boomers out there, it’s time to acknowledge the privilege you had and understand that your experience doesn’t translate directly to today’s realities. Your success stories can feel more like gloating than guidance, especially when we’re working just as hard, if not harder, and seeing much less return for our efforts. Young people need realistic, practical advice that considers the current economic climate. We need policies and programs that support affordable housing, fair wages, and debt relief. We need older generations to stop flexing their wealth and start advocating for a system that gives us a fair shot at building our own financial security. So, what is a young person like me supposed to do? We need to push for change, demand better, and seek out financial guidance that acknowledges and addresses the challenges we face today. And to the boomers, it’s time to step up and support the younger generations instead of just basking in your own successes.
@@TwoSidesOfFI I start my first job at 30(maybe 31). stopped invest my skill and mind to 9-5 about 5 years ago. Anyways not means will do nothing, just not work for someone else (that may not means retired?). I graduated from MBA entrepreneurship 13 years ago, finally have the courage to leave the bi-weekly paycheck lifestyle and need to fully take care of myself financially. Feel scared a bit even through I did prepared. But I know I have to take action, will never be ready for that no matter what. Just need to make the decision and take actions.
Absolutely I'm 59 and turning 60 soon. I got laid off with a bunch of other people at my firm. I was a little down (for about a day) because I was one of those people who did the right thing over the last 30 years. I'm now retired and love it. my assets being supervised for 8years plus has impacted a lot of exposure in nest egg (in excess of 2.8m), I say that because over those 30 years I was a personal finance junkie and listened to all my mentors (John Bogle, Warren Buffett, David Bach, sometimes Dave Ramsey) haven't spent any of my 401k, Roth IRA, or brokerage cash account. My SS and pension is so far adequate to meet my expenses. I don't want for anything, anyway. My kids will get my swag.
Having a great savings and more streams to earn makes life goal’s easier but our way of life needs better alternative, at the same time, people also need to be more responsible. I know for a fact that there's a lot of people that simply don't make enough, I make roughly hundred plus a year and in California, rent inflation alone eat up almost all of what I make, with dependents and other obligations included, it's easy to end up with zero. however it’s a good time to add to existing asset holdings as follow -on opportunities how did you go about touching base with yours, kudos on your growth so far.
you only have to put in the simplest terms to help you understanding tax, mortgage, emergency funds for cashflow interest. If you're looking for nest egg options or if you have any questions about financing your next property or assets building.
Really enjoyed this episode! I’m nearly at my 1yr Fire anniversary. While my close friends know, Im still not 100% secure saying “I’m retired” to strangers (career break is my usual answer). I started journaling day1, which helps me organize my time, but also contemplate on my day/week/month. While I was tracking spending and finances almost daily before FIRE, I’m only looking at & updating my spreadsheets once or twice a month now. I’m probably still in the honeymoon phase, but the decompression from work phase is real and not to be underestimated!
I’m 52 and absolutely love my job as an engineer. Sunday night I’m excited for work Monday morning. However…things could change and having the OPTION to retire if/when I choose is my goal. I’m a little shy of my financial goals. Four kids + a wife with a brain tumor set me back financially.
I have my money in ETFs, Equity Index Funds and Individual Stocks. Even though technically my passive income exceeds my expenses and I can retire in my 40s, I think it would be foolish to completely just stop working now. I plan on just transitioning to work I’m more passionate about. If I’m able to produce a good income from it - that’ll be a bonus!
I truly need sound advice on this... I have $30,000. to put into an index fund but do not plan to have it invested for more than five years as I am 65 years of age now. What should I do with the money to bring the best return???
VTI and/or VOO and QQQ as well. Three no brainers to invest in…if you look at their long term interest payouts there around 10%-12%. Just an opinion from my time looking into to several different ETF’s. Talk to a financial planner if you really aren’t sure…good luck
I lost a lot chasing individual stocks and I feel pretty stupid for not understanding how investing works. I have a double major in economics but I’ve been trying to make sense of the market. Well done on profits!!!
Retirees who struggle to meet their basic need are the ones who could not accumulate enough money during their active years to meet their needs. Retirement choices determine a lot of things. My wife and I both spent same number of years in the civil service, she invested through a wealth manager and myself through the 401k. We both still earning after our retirement.
Keep it simple, buy things you understand, take some risk but don't try to shoot the lights out. I am fortunate enough to get advice from a pro. On average, she takes 10% of earnings, but using *Lina Dineikiene's* system makes it much more hands-off. I conservatively follow her recommendations and market entry and exit points, and tbh this makes it possible for me... I just crossed the ~$2m mark! I'm 46 and I plan on working until 55.
Hello guys! I’m 51 and just retired 2-3 weeks ago. First week was 100 percent anxiety. I even had the Sunday night blues without having a work schedule to go to in the morning. It seems I was having some issues getting used to the new lifestyle after being a desk jockey for 30 years I had a very sedentary pace. I then wanted to replace that with an active work schedule around the house after working in the heat I started to get ridiculous nosebleeds and it forced me to take a few days off. think that was a blessing and now I’ve refocused and take things slow. I think at first I was missing the whole point of retirement and now I’m catching on. I would offer to Eric to just get over the hump and just do it. As I’ve watched you the last few years you remind me of myself. So I’m tapping you on the shoulder and say don’t worry just do it. Trust your calculations and go for it. Jason, I’ve enjoyed all of your feedback the last few years. Thanks for giving me courage. Not to say I don’t thank you both looking forward to content continuing. Sorry for poor grammar and verbiage, but I’m posting this on a small iphone.
I’m less than five years until full defined pension at age 55. My mortgage, the only debt I have for years now, is going to be paid off in the fall of 2025. Tax efficient draw down will be my focus. Good luck everyone!
I recently re-listened to the podcast of this episode in my car and noticed where Jason said the FIRE communities online would rather talk about Roth conversions than what actually happens in early retirement. It struck me that the mechanical aspects of FIRE are a lot simpler and apply to nearly every early retiree. On the other hand, the psychological aspects of retirement are very much personal and can vary widely among early retirees, so it’s much harder to find common ground and have a discussion about these issues.
@@SirHargreeves I’m very active daily hiking, walking and running. I travel frequently for month long hikes in foreign countries making friends along the way. If I die unexpectedly young, I will have at least lived.
Retired at 56 this past July. Father died at 63 (still working) and mom died in 2021 at 79 due to cancer. Mom retired at 55 due to early retirement offered and she was recovering from an earlier bought of a different cancer. I asked my mom a few days before she died "Mom, did your life go by fast?" I knew the answer but wanted to hear from her in her voice, she (of course) said "Yes." I will be honest, I went from senior management in IT and to go from a busy day to freedom to do what I want was strange. You see your real friends when you retire. Setting goals is important as to not have life pass by too fast.
Guys, amazing discussion. I am not retired, 57 yrs old . I have hit my numbers but don’t plan to retire for 2-3 years, this of course could change. As I look back 3 areas will continue to be things I would have liked to do better. 1. My son leaves for college this fall, it’s so true that the years leading up to this are precious. 2. Not worry so much. 3. Health/fitness - I have gone back and forth between years of extreme fitness and then unhealthy times. As I am working to get back to optimal health, it does get harder to bounce back. So my advice, play the long game and prioritize health. Dr Peter Attia has some good guidance on this. Thanks again, you both are generous in sharing your true experiences.
I'm 3 years RE, so trailing you by a year, and the journey is definitely not as smooth as people expect. Money was the concern in 2022, but is now back to a new ATH as you mentioned here. Mental and physical health have been the surprise struggles. Exercise was a so important before and it's taken a big hit due to problems I didn't foresee. There's a lot of time in the day and hobbies don't have the same luster they used to. Reddit is still an obsession, but man are you on target that it's SO tedious entertaining the same endless topics and, frankly, dense low-effort people. I'm in search of the next chapter, and not sure where I'm going to find it yet. Still beats working, though, so... onward we shall plod!
Reddit - yeah. So much “I’ll ask and post here instead of 20 minutes of searching past posts or online.” I still read, and reply to some, but I need to lurk more.
Tomorrow (Monday) will be my last day at work, Tuesday I will be retired at 55 years old. It's kind of blowing my mind that I have spent the past 6 years planning for this, and now I've arrived. While my wife and I do have some big plans for our future, I still feel a lot of uncertainty about how I will fill my time, avoid boredom, maintain friendships, etc. It was interesting to hear your experiences in that regard.
Congrats - how has the first few weeks been? How long before you turned off the morning alarm. It took me about 2 weeks to realize I did not need one. Still wake around the same time, but it’s up to me
@@WKre123x4 The wake-up alarm was easy to turn off, but changing my internal sleep schedule has been another matter entirely. 🙂 Currently, retirement feels like an extended vacation, which is pretty much what I expected anyway. At some point in the future I figure I'll settle into a new groove, but for now I am just enjoying all this free time and doing whatever I want with it.
My husband and I are sitting in an airport during a long layover and this video (and more importantly, the folks in the comment section) helped us to have some great conversations that we are even MORE excited about me joining my early-retired husband now that work for me has become “optional” as well. Dang, this is liberating.
Also retired at 47 so now 5 years in for me. The #1 most difficult thing (and completely unexpected) is the "What do you do for a living?" conversation. I've been surprised, offended, confused by the responses to my "I'm retired" answer. Discussing early retirement in general public is approaching taboo status for me but I haven't figured out what else to say without lying.
Try this: “I’m not currently engaged on a project, but I’m casually looking for an opportunity as a project manager/engineer/supervisor; what do you do, and do you know of any opportunities in your network?” The objective of this response is two-fold: 1) generically lets the questioner know that you are some vanilla project manager with no exquisite skills that could possibly interest her/him, and 2) politely deflects the question back to the questioner, opens window for her/him to talk about her/his line of work, which in some cases is what the questioner wanted to talk about anyway.
@@jamestucker7654”early retirement consultant” 😂 “hey, no worries though, let’s grab a seat over here, friend, and figure out how to get you there soonest”
If someone says to me that they can't see not working their entire life, my response will be, I'm not retiring to do nothing, I'm retiring to do anything. I now have a chance to lead a spontaneous life -- a chance to go where my natural wants and talents take me. Life is too finite to live a planned/robotic existence.
If you are not comfortable telling people that you are retired, a good (and truthful!) response is that you are an independent investor. Or travel blogger. Or consultant.
Who cares what other people think, people that are worried about what to tell others are insecure. If you were pursuing early retirement, a job title was never your goal.
At 67&73- Keep that travel budget high and going! Get more luxury as you get older and do slower travel. We have been retired since 53&60. Lots of starts and stops in travel. I think if we had stuck him in first class earlier - he would still be traveling together. Now I travel, mostly alone, and he enjoys hanging with the doggie at home reading. “No more 18 hours in planes and airports for me”. I have learned that I just forget the insurance and pay for some healthcare services. If I can pay $5k for an airline ticket- I can supply my gp with some extra film to see. My sister in law did that and found her cancer….Let the healthcare pay for the big stuff!
People only ask you what do you do for a living so they can determine how much respect to give you, I always respond with “I’ve done well enough“ sometimes they follow up with so what do you do? And I say “ live life” and then I change the subject to make it apparent that I’m done talking about it With something cheesy like “this weather is amazing”
Great conversation, as always! Re: finding likeminded community in retirement, a good place to look is the outdoors crowds. Boaters, especially, live a very fun-filled lifestyle and there are all different types of boaters (everything from long distance blue water boaters all the way to some who just hang out in marinas and never go anywhere! haha) Basically, lots of outdoor activities garner likeminded community usually with people who have a lot more time on their hands like retirees. Some work remotely around their adventures. Just wanted to share this idea for those who are looking.
What a very candid, personal & practical video. I found it so insightful & very much appreciate that one aspect of retirement is to dedicate to ourself. This ability to refocus on ourselves, reflect & grow is so under discussed & undervalued. Really appreciate!
I retired two months ago at 50 and moved to Mexico one month ago. I have spent the last three years hyper-focused on just this. I don't think there is a blog or TH-cam video on Roth conversions that I haven't read/watched (and likely saved). But I really appreciate the non-logistical aspects of your conversations. I've been listening to you two talk through this all the while I was preparing the past few years. Now that the move is done and life is calming down, I do have more time alone with my thoughts and they're not all positive. (But I'm very cautious not to share this with my non-FIRE friends.) Thanks for the honest discussions about the ups and downs. And although it's only been 2 months - now that I'm here, I would tell my (one year) younger self that you're probably not going to write that book or paint that masterpiece immediately! give it a little time
There is no need to apologize, feel uncomfortable, or try to justify why I chose to retire 'early'. It took years of planning and commitment to turn it into reality, instead, be proud of the accomplishment.
It reminds me of when I was in college alot of my friends in my classes where my good friends. The semester ends and we all go on our ways. The same with coworkers
No idea how so many people are emotionally attached to their jobs and coworkers. Coworkers aren't friends. As an IT contractor I change jobs every 6 months to a year, its fun to be casual and jovial at work but I don't mistake them as friends.
if u changed jobs every six months u never really had co workers as u would in a situation where u worked 5,10 or more yrs with them. whole different thing@@UnsaltedCashew38
90% reason I listen to you folks is the interesting bits that aren't financial in preparing for retirement. As some of my cohort are starting to retire early, I'm seeing the loss of in-group and re-creation of a new in-group just like moving to a different state would force that, except you've not moved.
Good conversation and you both hit on a lot of good points. I'll be retired in a few weeks but I think the transition will be easier for me since my wife just retired as well. We usually take long vacations together at our vacation house (which will be our retirement home) and spend lots of time with family, friends, and neighbors. We enjoy our time together (gym, long walks, cooking...etc). I won't miss work but will miss the work friendships that I had. I will carve out some time to myself to trade stocks. Actually, I'm looking forward to retiring.
In my experience having worked for 40 years in same company, watching people come and Go, some people can not handle retirement not because they love their job but because the loss the nothingness destroys them and sometimes their families. I know i am a dinosaur in this retire early world , and if my luck holes out i will stay until retirement, for many reasons, financial etc. But i believe anyone who can get out early and has planned should and good luck to them 👍
Enjoyed the conversation, relatable for me ! I am into six months since I pulled the trigger end of Dec last year, at 51. I also struggled with similar conversations with family/ friends as per Jason and I found that it was easiest with real friends who have similar goals. Keep up the good work that you do on the channel !
All of you who have retired early are my inspiration. I am 53 and hoping to retire at 55. I don't have a TON of money saved in my 401K and IRA, but I have a huge chunk of equity in my home. One major piece of my puzzle is selling my current home and moving to a rural area with a low cost of living. The problem I am having, is calculating a budget. I don't live in the area I'm looking to move to, my future budget is a best educated guess... I am certain though that retirement doesn't take millions in savings if you have a frugal budget. Personally, I'm looking to be away from the city life, live in the rural country, and enjoy living with fewer expenses (and neighbors).
I think you need a paid off home and a decent portfolio. The portfolio is what generates income. Our portfolio is worth more than our modest home. It’s very important to us even though we both have pensions and social security. It’s going to be the main driver of our wealth going forward. (We want to leave a financial legacy for our autistic son.) Medical will always cost much more than expected even if you’re healthy. God forbid one needs assisted living or a nursing home. If you do, it may be $8000-10,000 per month. For real. If you need life insurance, secure term insurance while you’re still healthy. I don’t live in a rural area. I am in Chicago but I do travel a bit. I think transportation costs will go up a lot in a rural area, everything seems so far away and public transportation is often lacking or nonexistent. Housing will obviously be cheaper, property taxes are extremely high by me ($12,000 per year for a 2400 sf home.) So, that’s a trade off. Consider a ranch home where you can age in place and consider your options if you become disabled (like hiring housekeepers or caregivers.) You will also want to be near decent hospitals and doctors. I would rent in the area before buying. You probably won’t know all the local bad stuff for at least 6+ months. If family and friends are important, travel costs will increase.
Wouldn’t say I retired early, but at 60 I turned my mid sized construction business over to my kids to run while we focus on winters in Mexico, playing golf here in the summer and going to Blue Jays games. I’m 72 now, and still drop by the company every Wednesday morning to drink coffee, watch a few You Tube videos, have a cigar and give advise that no one wants to hear. I guess I am retired, but to just let go of a business I built from scratch and just sit around waiting for my dirt nap would not interest me.
I'm 66 1/2 and a small business owner as well. I semi-retired about four years ago and "work" two to three days a week. Fortunately the business is relatively low maintenance and a decent money maker for me. Definitely agree it's hard to let go of your "baby".
I think reactions to your early retirement that come from jealousy (resentment, judgement, etc) deserve a special response. I’d feel no reason to protect a jealous person from their own painful, jealous mind. I’d lay it on with something along the lines of - Early retirement is GREAT! Jealousy is a poisonous emotion. Don’t absorb it, hold up a mirror and make them deal with their own jealousy. Other people who just don’t understand it I’d be more patient with.
I retired three years ago with 41. The „what do you do“ conversation is still a rather unpleasant one for me. I also tell different things depending on my mood and if I’m open to talk about it or not. I hope to get more comfortable with it, but maybe also a question of age since the younger you are the more surprised people are that you are retired.
8:30 Mark....having multiple people in my age category (55)- and younger - that I was fairly close with - leave this earth. Hip check indeed. I've officially completed the mental flip to recognizing my time at this point is worth more than any additional money I can earn/save. Sobering & liberating revelation at the same time. Now having a 'sabbatical' of sorts and will return to work in a year on a few days a week basis for a few more years then sell out.
I somewhat accidentally retired at 44yo five years ago with nowhere near enough money to retire. I had a really difficult time saying that I was retired because it didn't look like it was going to be permanent. I had a difficult time saying that I was an investor because I hadn't succeeded as an investor. I also didn't plan to go back to work so "taking time off" didn't work for me either. When I made a ton of money investing then all of a sudden I didn't mind saying I was retired or an investor because both were true. My portfolio was wiped out though and now I have less money than when I started so I'm back to struggling with what to call myself but I do feel more comfortable with all answers because I've been surviving for 5 years now so I must be retired or an investor??? Lol I've built from the bottom twice now and I'm a total tight wad so I think I'm going to make it again. Time will tell!
My friend just sent me a link to your podcast. Wow, wish I'd have known about you guys when my husband retired (2020 at age 49, when he could stomach no more of Silicon Valley and it's toxic work culture). It's been fun to listen to your podcasts and nod in agreement about experiences we've had over the last 4 years (such as the "must be nice" comments and what on earth do we do when COBRA runs out? turns out, life is fine LOL). Loving the RE life in an awesome part of Oregon where we get to enjoy mountain and water sports and living more simply surrounded by a community of people who crave the outdoors as much as we do. Even volunteering feels like a joy instead of a chore because we're in a small community where it actually makes a noticeable difference.
My grandfather & father both retired at 55, so my parents totally understand my drive for being done with working. Unfortunately, as a young man, I didn't listen to Dad and spent my money chasing women & fun. So, for me, 60 is a realistic early-ish retirement.
I am closing in on my final few months of work largely to hit a company retiree health benefit eligibility. This health benefit is the last piece of my puzzle and this episode helped confirm that for me. Thanks as always for a thought provoking episode!
Careful with the upgrading of flights, once you do it there is no going back. A couple of years ago I splurged on Premium Economy for an overseas trip, every long flight since has been Premium Economy. Really hate the short legs now that are back in steerage again. Our next big trip next year is flying to New Zealand and I am considering upping to Business Class, if I do I know that will become the baseline. Luckily I can afford it, just painful from being a frugal saver all my life.
Premium economy makes the difference between arriving miserable or in reasonably good condition. I am never going back to economy on international flights.
Absolutely correct to say a cash position of ~3 years of expenses at the ready in case the markets are bearish should put you at ease. Everyone on this channel is probably more financially literate than 90% of the population and knowledge is another asset in your portfolio.
My answer when people question the early retirement (rooted in one of the primary drivers for taking the step): It all about spending more family. Our parents are aging, and with us averaging 1-2 visits per year, I didn't like the math for the time with them going forward. This resonates with pretty much everyone.
I stumbled upon your video and would love to connect. I also pulled the trigger this year at 47! I understand what I forecasted and what I overlooked and it’s been learning curve. Totally resonate to the part where you mention about $ and life. I am 9 months in and I acutely feel that I have been thinking a lot more than before when I was working.
I've got 19 years before classic retirement age. I could live on what I have now, but I'd have to budget and I don't want to. When I hear how Jason was freaked out about it at first, it makes me want to keep working
Good to see you guys again. Jason, glad you are recognizing and managing your mental health and physical health. Money means nothing if you lose those.
What you mentioned with the MRI, I feel like that happened to my dad but with cancer, and it contributed to his death IMO. The insurance company was doing one at a time checks, and found the real problem too late to do anything about it.
I'm not a fire guy, but I have retired early. I made some money rehabbing property's, sold a chunk of the business and paid off all the debts. I live on a couple fully paid for rental properties, my VA disability and occasional work. I like the idea of talking about what life "is" as I have free time. I often feel like someone is gonna get on my for not being as busy as I once was. But I've also always worked for myself. Just the idea of working on someone else's schedule/rules is not even imaginable.
I can relate to the concerns about friendships. Upon retirement, my wife and I wanted to move south to escape winters, as well as find a community of similar minded folks. We ended up in a 55+ active adult community, and we have been EXTREMELY happy with this decision. We not only have excellent weather year round, which aids in keeping us active, we also now have a significant number of new friends, many of which whom we would consider very close friends, that live within 2 miles of our home. This was a huge move for us, but we are far more active and engaged with our community than we have even been in our lives.
On travelling when older, lol, I’ll never forget my parents travelling every year to London, even when my Dad was 95, they never booked hotels until they got there (“because there’s a nice man at the hotel reseller kiosk near Victoria Station” where they booked cheap BnBs that haven’t sold out yet 🙄). Hope I can travel with such absolute abandon if I make it to that age. Cant imagine flying to another continent without a place to sleep. 😂 They only got tripped up once, in 2012, during the Olympics when there was nothing available under several hundred £s. I think my Mum hid the visa bill.
Thanks guys for the video! It is so helpful to hear what it is like post FI and in early retirement. I’m seriously considering pulling the trigger soon (at 50) and this is the kind of content that really helps.
Expenses are harder to estimate than average investment returns: unforeseen large ticket items, lifestyle creep, and inflation. I consider a regression analysis of several years of past expenses including some outliers including replacing a car, a few major home repairs (Roof replacement, tree work, uninsured storm damage), spending on hobbies, and which incorporates inflation. That appears to be a relatively conservative approach which budgets 5-10% higher than my actual spend.
I found I was very cautious in the first year as I wanted to get through a whole year of actual not just anticipated expenses. After that I was able to loosen up. I do find separating essential expenses from discretionary helps me because I’m confident my essential expenditures will always be met and the discretionary can fluctuate if necessary.
Thank you for sharing the MRI experience. It reminded me another dimension of picking health insurance (or another fear unlocked). I wonder if silver or gold plan would have provided better experience.
how to get there is great but I cant wait to see who I am and what I can do once I am allowed to spend more time on exploring abilities, interests, and learning what I want not what my job allows me to do
Great discussion. I’m 51 and our plan A is under 6 years away. We changed states once in 2017 and have made a great life with great friends here since, mainly around our church. Wife asked, this weekend, how many years we have left here. I told her and she said it’s kinda sad and I do agree, but one by one our friends are retiring and moving out of state. It’s our plan as well and we learn from our friends who move as well as channels like yours. Thanks for all the insights.
I would drive you guys crazy. Retired at 56 with way way less than you would likely think acceptable. Getting out was a higher priority than extravagant lifestyle in retirement. Debt free is the key. And flexibility. I can live on 45k or 85k. I adapt. Been retired 5 years and my net worth has gone up. Starting Social security this fall. My net income right now is equal or better than when working. I refuse to put my whole net worth in the market. I do have a Bitcoin and I'm not ashamed to say that.
@@lilsaint91 No. My company had been bought out and things were in chaos, again. My mom needed help with my dying father. I worked until I saved up a year plus in cash to go with my 401k. 34 years there, I wanted out bad. I left when I felt we could make it with a reasonable amount of confidence. I sacrificed a dream retirement to just get out. That was a reward in itself and I have no regrets. Things are working out nicely and our trajectory is up. Our lifestyle is better than when I worked. Not opulent but better emotionally, physically and financially.
Thank you for this. Always appreciate your thoughtful perspective. I recently found the Modern Elder Academy (MEA) and some of their material has been helpful to reframe the RE part of FIRE.
The idea of retiring early is great. I just turned 30 and have pretty solid savings in various pensions/stocks. But my conundrum is if i have children (I'd plan to have idk... 2, 3 max??), would I not want to work an extra few years to be able to help them up? Let's say i retired at 60 instead of 52... that's 8 years of solid earning to help them with whatever. Anyone have any opinions on this?
thank you both for the discussion (as always!). I am preparing for the idea of managing my social life away from work connections. I have 3yrs to go still, but this is helping mentally prepare for the time comes
I always just say "I'm a retired, and my job was...." That seems to be the best answer for me. But then of course they say what are you doing now? Volunteering?, this, that lol and I'm still figuring that out. Mostly I'm just spending more time with my immediate family for now, 2 years in. I traveled a little bit extra in year 1 but not much different in year 2 since I traveled 4 weeks/year anyway (vacation) during my working years My spouse is still working for a few more years so a little different for me.
I always say - I'm retired and loving life! Most people follow that with, "I wish I could retire". It doesn't bother me at all and that's because I couldn't care less about what people think of me 🤷😀. Admittedly, I don't understand why other people care about how they live their life.
Really appreciate the videos. I'm 55 and retiring in early 2025 and your videos help to give me confidence beyond the numbers (although I love the number discussions as well.)
at 5:45 he says we both have a part time job 1 day a week... buddy you're not retired if you're still working. Many people can retire if we had to keep doing a part time job.
@@TwoSidesOfFI Its misleading interviewing a 'retired' person when both spouses are 'recreationally employed'. If you have to report to a boss, you're employed, whether that's 2 days a week or 5. It shows you're anxious about your savings. I'm overemployed with 3 concurrent no stress jobs while WFH, does that mean I'm 'recreationally employed'?
In terms of 3% or 4% withdrawal. Most of these plans involve never running out of funds. I'm interested if anyone has a plan that actually involves both, safe withdrawal and then as you age just blowing it all. Like when you're 85 and your pot is still in the millions, can you just let yourself spend it? Give it away? I dno
I am glad you guys can do early retirement I would be terrified and guess will work till I die or forced to retire Am 65 now Healthcare is the thing as I have dependents
I feel interested in knowing what did you two retire from? Did you like your work, occupation? If not why not? As for me.. I retired at age 64... "FIROT" as in retired on time. I pass no judgement on those who chose "FIRE"... and it it interesting to me how folks make that plan. As for me... I was mostly interesting in finding work that I really enjoyed or at least found very interesting if not always enjoyable. It is hard to find the right field to work in and then get the perfect job (which is in fact a fantasy for the most part). I enjoy your videos and happen to live withing a few miles of "Big Ern" and reached out to him a couple years ago to do a local hike with him and his family. Keep up the good work, and enjoy. If you are ever in my neighborhood I would be happy to take you guys out for a lunch or dinner on me. For no particular reason, except to have a good meal and conversation. Maybe we should also invite Big Ern. :)
Like so many others I greatly enjoy your insights. One question though: Jason, being 4 years in, what do you do with the bulk of your time?? I'm unsure if I missed other episodes discussing how you spend the wealth of time, I only know about a couple short vacays and your Camino trip. Thank you for sharing!
Thanks. I do talk about this a fair deal. One more focused episode is my two year anniversary, but more recent episodes cover this well too. The short version - I have a lot of hobbies and educational interests - so many, in fact, that I can't possibly explore all of them. It's a "good" problem to have for sure. th-cam.com/video/0fut4zUHZFY/w-d-xo.html
Good episode- I too see FIRE posts on Reddit and I think the redundancy and humblebrag is old. I look for Retirement posts more and try to skip the “I 27 and have 100x expenses saved; is that enough??” If you’re in a FIRE sub, you should know the principles before asking.
Since you both have kids in college, would you consider doing an episode on the best way to save for FI if you plan to “retire” before your kids go off to college? I’d like to retire 1 - 2 years or so before my oldest starts college. I’m wondering how my savings strategy will affect financial aid eligibility. For instance, brokerage vs 529 vs Roth IRA vs 401k.
In-state colleges unless there’s large scholarships. Community college for the first 2 years if you can’t cash-flow it. Do not sign a parent plus loan.
The intuition that your brokerage account is back equal to what it was when you retired is nice intuition, but just falls flat when you get serious: there’s been enormous inflation in the last four years, and unless this is inflation-adjusted, he’s lost a significant amount of real value. Also, it’s the wrong metric: the benchmark is what the balance *would have been* if he hadn’t withdrawn. Nominal terms make a lot of sense to humans, but don’t mean much in terms of real value…
I just stumbled across this channel. I am Canadian. When folks here talk about their retirement funds, is it all investment based? My Husband and I both have a define benefit pensions with our jobs. I can retire in four years and I will be just shy of 52! We have investments, tax free savings account and our pensions.
The issue with FIRE is that it has to remain a minority movement to allow the capital returns needed to make it work. FIRE is about living off the beauty of capitalism, it needs consumers to overspend, it needs companies to exploit workers. Love the financial side of it, but very skeptical about the social ideology. Fire is quintessentially capitalist
Whether it's a niche movement or not, the habits promoted by FIRE-reducing expenses, intentional living, diligent saving, and smart investments-can be beneficial for anyone. Promoting diversification of revenue streams, financial responsibility and less reliance on traditional employment structures is empowering and often life-changing for individuals regardless of their ultimate financial goals.
This is a great episode. I am working toward being able to pull the trigger in 5 years. Lots of good stuff to think about here. I would love an episode on the cowboy account. I have read through the options posts on early retirement now. I have a couple different accounts and try different strategies. So far the most consistent/boring is 0-1 DTE options on index ETFS. I mean boring in the best way, as in simple and reliable. Assuming things continue as they have, this is probably my grand plan to juice my retirement income. Thanks for sharing
Thanks for you channel. My "retirement" came in 2021, so the timing was perfect. I am only just now (this year) have been willing to say that I am retired without hesitation. Also, there is a substantial tax benefit to using HSAs to pay for qualified medical expenses.
We’ve talked about FIRE numbers often but here’s an ep dedicated to the topic So, What's Your Financial Independence (FI) Number? th-cam.com/video/WMzya-HU8tU/w-d-xo.html
I just stumbled across your channel. Exactly what I was looking for! Beyond just numbers.. great job! I’m close and the closer I get the more sleep I lose for some reason.. Question: what rate of return did you guys estimate on the tool you use for Cash, US Bonds, and Stock/equities? I’m trying to make heads or toes of your numbers and would like to know what your thoughts are in terms of what your estimation was and the tool for those three .
Smug or just prepared? We've seen more than a few cycles come and go, and preparation tends to beat panic every time. But hey, we're always up for the challenge. Let's see how it plays out.
If you're retired, what do you wish you knew before doing so?
Same age as you guys and retired a little over 3 years ago. So far, everything has gone according to plan. I guess because of my planning and really knowing my why, there isn't anything I wish I had known before aside from some back to the future style stock picks. Great video guys!
How when coworkers say stay in touch, they may have meant it when they said it, but as time goes by…not so much. Some of these people were part of my life for decades. That took time to get used to. It was like many deaths occurred in those first few months, including the death of my job which was a huge part of my identity. It really was like high school graduation all over again. You go your own way. It’s sad but exciting all at the same time and things just get different and better. 👍
alot that people have to know and learn...
@@Leann-uj9rgunfortunately your coworkers are not the same as life long friends
I’m a 22-year-old HVAC technician making $70,000 a year. I have a traditional wife and three young children, and despite our hard work and dedication, we can’t afford to save up for a down payment to buy a home. With interest rates skyrocketing, home ownership feels like a distant dream, completely out of reach.
Meanwhile, I see channels like “Two Sides of FI” where Jason and Eric, and countless other boomers, are flexing their vast assets and retirement funds. It’s infuriating and frankly, it feels like a slap in the face to young people like me. What exactly am I supposed to do with this so-called financial advice? Should I have somehow bought my first home when I was in kindergarten instead of going to grade school?
Boomers, you grew up in a time when jobs were more stable, housing prices were reasonable, and the economy wasn’t as brutally competitive. You had the chance to accumulate wealth in a relatively favorable environment. Yet, here you are, flaunting your financial successes while the younger generation struggles to make ends meet. Do you realize how tone-deaf it sounds when you brag about your retirement funds and property portfolios?
The reality for Gen Z and Millennials is starkly different. We’re faced with crushing student loan debts, astronomical housing costs, and wages that haven’t kept up with inflation. Saving for a down payment while trying to provide for a family on a single income is next to impossible. The financial landscape has changed dramatically, and the old advice of “just save more” or “cut out your daily coffee” is laughably inadequate.
Jason and Eric, while your channel might provide some insights, it also highlights a massive disconnect. We need practical advice that addresses the unique challenges we face today, not just stories of your triumphs in a vastly different economic era. How about focusing on actionable steps that can help young families get ahead in this brutal economy instead of showcasing your financial achievements?
To all the boomers out there, it’s time to acknowledge the privilege you had and understand that your experience doesn’t translate directly to today’s realities. Your success stories can feel more like gloating than guidance, especially when we’re working just as hard, if not harder, and seeing much less return for our efforts.
Young people need realistic, practical advice that considers the current economic climate. We need policies and programs that support affordable housing, fair wages, and debt relief. We need older generations to stop flexing their wealth and start advocating for a system that gives us a fair shot at building our own financial security.
So, what is a young person like me supposed to do? We need to push for change, demand better, and seek out financial guidance that acknowledges and addresses the challenges we face today. And to the boomers, it’s time to step up and support the younger generations instead of just basking in your own successes.
first week of retirement at 45 (turning 46 in weeks) feeling great now
wonderful, congrats! keep us posted
@@TwoSidesOfFI I start my first job at 30(maybe 31). stopped invest my skill and mind to 9-5 about 5 years ago. Anyways not means will do nothing, just not work for someone else (that may not means retired?). I graduated from MBA entrepreneurship 13 years ago, finally have the courage to leave the bi-weekly paycheck lifestyle and need to fully take care of myself financially. Feel scared a bit even through I did prepared. But I know I have to take action, will never be ready for that no matter what. Just need to make the decision and take actions.
Absolutely I'm 59 and turning 60 soon. I got laid off with a bunch of other people at my firm. I was a little down (for about a day) because I was one of those people who did the right thing over the last 30 years. I'm now retired and love it. my assets being supervised for 8years plus has impacted a lot of exposure in nest egg (in excess of 2.8m), I say that because over those 30 years I was a personal finance junkie and listened to all my mentors (John Bogle, Warren Buffett, David Bach, sometimes Dave Ramsey) haven't spent any of my 401k, Roth IRA, or brokerage cash account. My SS and pension is so far adequate to meet my expenses. I don't want for anything, anyway. My kids will get my swag.
Having a great savings and more streams to earn makes life goal’s easier but our way of life needs better alternative, at the same time, people also need to be more responsible. I know for a fact that there's a lot of people that simply don't make enough, I make roughly hundred plus a year and in California, rent inflation alone eat up almost all of what I make, with dependents and other obligations included, it's easy to end up with zero. however it’s a good time to add to existing asset holdings as follow -on opportunities how did you go about touching base with yours, kudos on your growth so far.
you only have to put in the simplest terms to help you understanding tax, mortgage, emergency funds for cashflow interest. If you're looking for nest egg options or if you have any questions about financing your next property or assets building.
My parents are 76 and 82 and still doing international travel. I pray I have as many go-go years as they have.
Really enjoyed this episode! I’m nearly at my 1yr Fire anniversary. While my close friends know, Im still not 100% secure saying “I’m retired” to strangers (career break is my usual answer). I started journaling day1, which helps me organize my time, but also contemplate on my day/week/month. While I was tracking spending and finances almost daily before FIRE, I’m only looking at & updating my spreadsheets once or twice a month now. I’m probably still in the honeymoon phase, but the decompression from work phase is real and not to be underestimated!
I’m 52 and absolutely love my job as an engineer. Sunday night I’m excited for work Monday morning. However…things could change and having the OPTION to retire if/when I choose is my goal.
I’m a little shy of my financial goals. Four kids + a wife with a brain tumor set me back financially.
I have my money in ETFs, Equity Index Funds and Individual Stocks. Even though technically my passive income exceeds my expenses and I can retire in my 40s, I think it would be foolish to completely just stop working now. I plan on just transitioning to work I’m more passionate about. If I’m able to produce a good income from it - that’ll be a bonus!
I truly need sound advice on this... I have $30,000. to put into an index fund but do not plan to have it invested for more than five years as I am 65 years of age now. What should I do with the money to bring the best return???
VTI and/or VOO and QQQ as well. Three no brainers to invest in…if you look at their long term interest payouts there around 10%-12%. Just an opinion from my time looking into to several different ETF’s. Talk to a financial planner if you really aren’t sure…good luck
I lost a lot chasing individual stocks and I feel pretty stupid for not understanding how investing works. I have a double major in economics but I’ve been trying to make sense of the market. Well done on profits!!!
Retirees who struggle to meet their basic need are the ones who could not accumulate enough money during their active years to meet their needs. Retirement choices determine a lot of things. My wife and I both spent same number of years in the civil service, she invested through a wealth manager and myself through the 401k. We both still earning after our retirement.
Keep it simple, buy things you understand, take some risk but don't try to shoot the lights out. I am fortunate enough to get advice from a pro. On average, she takes 10% of earnings, but using *Lina Dineikiene's* system makes it much more hands-off. I conservatively follow her recommendations and market entry and exit points, and tbh this makes it possible for me... I just crossed the ~$2m mark! I'm 46 and I plan on working until 55.
Hello guys! I’m 51 and just retired 2-3 weeks ago. First week was 100 percent anxiety. I even had the Sunday night blues without having a work schedule to go to in the morning. It seems I was having some issues getting used to the new lifestyle after being a desk jockey for 30 years I had a very sedentary pace. I then wanted to replace that with an active work schedule around the house after working in the heat I started to get ridiculous nosebleeds and it forced me to take a few days off. think that was a blessing and now I’ve refocused and take things slow. I think at first I was missing the whole point of retirement and now I’m catching on. I would offer to Eric to just get over the hump and just do it. As I’ve watched you the last few years you remind me of myself. So I’m tapping you on the shoulder and say don’t worry just do it. Trust your calculations and go for it. Jason, I’ve enjoyed all of your feedback the last few years. Thanks for giving me courage. Not to say I don’t thank you both looking forward to content continuing. Sorry for poor grammar and verbiage, but I’m posting this on a small iphone.
Took me at least 6 months before I started to feel I wasn’t working anymore
I’m less than five years until full defined pension at age 55. My mortgage, the only debt I have for years now, is going to be paid off in the fall of 2025. Tax efficient draw down will be my focus. Good luck everyone!
I recently re-listened to the podcast of this episode in my car and noticed where Jason said the FIRE communities online would rather talk about Roth conversions than what actually happens in early retirement. It struck me that the mechanical aspects of FIRE are a lot simpler and apply to nearly every early retiree. On the other hand, the psychological aspects of retirement are very much personal and can vary widely among early retirees, so it’s much harder to find common ground and have a discussion about these issues.
I retired at 54 and have no anxiety about it. Whenever somebody asks me what I do, I say whatever the hell I want whenever the hell I want.
love it
Do you take advantage of that freedom, or just sit in front of the TV each day?
@@SirHargreeves I’m very active daily hiking, walking and running. I travel frequently for month long hikes in foreign countries making friends along the way. If I die unexpectedly young, I will have at least lived.
@@me-lg1yw super life!
Retired at 56 this past July. Father died at 63 (still working) and mom died in 2021 at 79 due to cancer. Mom retired at 55 due to early retirement offered and she was recovering from an earlier bought of a different cancer. I asked my mom a few days before she died "Mom, did your life go by fast?" I knew the answer but wanted to hear from her in her voice, she (of course) said "Yes." I will be honest, I went from senior management in IT and to go from a busy day to freedom to do what I want was strange. You see your real friends when you retire. Setting goals is important as to not have life pass by too fast.
I have been feeling the same thing about fire. I retired in March, We need a post fire community.
Guys, amazing discussion. I am not retired, 57 yrs old . I have hit my numbers but don’t plan to retire for 2-3 years, this of course could change. As I look back 3 areas will continue to be things I would have liked to do better. 1. My son leaves for college this fall, it’s so true that the years leading up to this are precious. 2. Not worry so much. 3. Health/fitness - I have gone back and forth between years of extreme fitness and then unhealthy times. As I am working to get back to optimal health, it does get harder to bounce back. So my advice, play the long game and prioritize health. Dr Peter Attia has some good guidance on this. Thanks again, you both are generous in sharing your true experiences.
I'm 3 years RE, so trailing you by a year, and the journey is definitely not as smooth as people expect. Money was the concern in 2022, but is now back to a new ATH as you mentioned here. Mental and physical health have been the surprise struggles. Exercise was a so important before and it's taken a big hit due to problems I didn't foresee. There's a lot of time in the day and hobbies don't have the same luster they used to. Reddit is still an obsession, but man are you on target that it's SO tedious entertaining the same endless topics and, frankly, dense low-effort people. I'm in search of the next chapter, and not sure where I'm going to find it yet. Still beats working, though, so... onward we shall plod!
Reddit - yeah. So much “I’ll ask and post here instead of 20 minutes of searching past posts or online.”
I still read, and reply to some, but I need to lurk more.
Tomorrow (Monday) will be my last day at work, Tuesday I will be retired at 55 years old. It's kind of blowing my mind that I have spent the past 6 years planning for this, and now I've arrived. While my wife and I do have some big plans for our future, I still feel a lot of uncertainty about how I will fill my time, avoid boredom, maintain friendships, etc. It was interesting to hear your experiences in that regard.
Congratulations! You’ve got this! Best wishes to all things. Keep us posted
Congrats - how has the first few weeks been?
How long before you turned off the morning alarm. It took me about 2 weeks to realize I did not need one. Still wake around the same time, but it’s up to me
@@WKre123x4 The wake-up alarm was easy to turn off, but changing my internal sleep schedule has been another matter entirely. 🙂 Currently, retirement feels like an extended vacation, which is pretty much what I expected anyway. At some point in the future I figure I'll settle into a new groove, but for now I am just enjoying all this free time and doing whatever I want with it.
My husband and I are sitting in an airport during a long layover and this video (and more importantly, the folks in the comment section) helped us to have some great conversations that we are even MORE excited about me joining my early-retired husband now that work for me has become “optional” as well. Dang, this is liberating.
Also retired at 47 so now 5 years in for me. The #1 most difficult thing (and completely unexpected) is the "What do you do for a living?" conversation. I've been surprised, offended, confused by the responses to my "I'm retired" answer. Discussing early retirement in general public is approaching taboo status for me but I haven't figured out what else to say without lying.
Say you do “consulting” for the industry you were in. That really means you chat with past colleagues once in a while.
Try this: “I’m not currently engaged on a project, but I’m casually looking for an opportunity as a project manager/engineer/supervisor; what do you do, and do you know of any opportunities in your network?” The objective of this response is two-fold: 1) generically lets the questioner know that you are some vanilla project manager with no exquisite skills that could possibly interest her/him, and 2) politely deflects the question back to the questioner, opens window for her/him to talk about her/his line of work, which in some cases is what the questioner wanted to talk about anyway.
@@jamestucker7654”early retirement consultant” 😂 “hey, no worries though, let’s grab a seat over here, friend, and figure out how to get you there soonest”
Im going to retire in 7 months and if anyone asks ill say i invest my money in the market. Thats my job
@@rriqueno I like it! Maybe I'll say I'm an investment manager. That's the most accurate
If someone says to me that they can't see not working their entire life, my response will be, I'm not retiring to do nothing, I'm retiring to do anything. I now have a chance to lead a spontaneous life -- a chance to go where my natural wants and talents take me. Life is too finite to live a planned/robotic existence.
Nice, I really like this response! Sharing this with Laura too...
Cheers, Eric
“I’m financially independent and manage a hedge fund.”
Bitcoiner, “I work for myself and manage an offshore bank.”
“I made some good investments and now I work for myself.”
If you are not comfortable telling people that you are retired, a good (and truthful!) response is that you are an independent investor. Or travel blogger. Or consultant.
Who cares what other people think, people that are worried about what to tell others are insecure. If you were pursuing early retirement, a job title was never your goal.
At 67&73- Keep that travel budget high and going! Get more luxury as you get older and do slower travel. We have been retired since 53&60. Lots of starts and stops in travel. I think if we had stuck him in first class earlier - he would still be traveling together. Now I travel, mostly alone, and he enjoys hanging with the doggie at home reading. “No more 18 hours in planes and airports for me”.
I have learned that I just forget the insurance and pay for some healthcare services. If I can pay $5k for an airline ticket- I can supply my gp with some extra film to see. My sister in law did that and found her cancer….Let the healthcare pay for the big stuff!
People only ask you what do you do for a living so they can determine how much respect to give you, I always respond with “I’ve done well enough“ sometimes they follow up with so what do you do? And I say “ live life” and then I change the subject to make it apparent that I’m done talking about it With something cheesy like “this weather is amazing”
Great conversation, as always! Re: finding likeminded community in retirement, a good place to look is the outdoors crowds. Boaters, especially, live a very fun-filled lifestyle and there are all different types of boaters (everything from long distance blue water boaters all the way to some who just hang out in marinas and never go anywhere! haha) Basically, lots of outdoor activities garner likeminded community usually with people who have a lot more time on their hands like retirees. Some work remotely around their adventures. Just wanted to share this idea for those who are looking.
thanks!
What a very candid, personal & practical video. I found it so insightful & very much appreciate that one aspect of retirement is to dedicate to ourself. This ability to refocus on ourselves, reflect & grow is so under discussed & undervalued. Really appreciate!
Thank you
I retired two months ago at 50 and moved to Mexico one month ago. I have spent the last three years hyper-focused on just this. I don't think there is a blog or TH-cam video on Roth conversions that I haven't read/watched (and likely saved). But I really appreciate the non-logistical aspects of your conversations. I've been listening to you two talk through this all the while I was preparing the past few years. Now that the move is done and life is calming down, I do have more time alone with my thoughts and they're not all positive. (But I'm very cautious not to share this with my non-FIRE friends.) Thanks for the honest discussions about the ups and downs.
And although it's only been 2 months - now that I'm here, I would tell my (one year) younger self that you're probably not going to write that book or paint that masterpiece immediately! give it a little time
There is no need to apologize, feel uncomfortable, or try to justify why I chose to retire 'early'. It took years of planning and commitment to turn it into reality, instead, be proud of the accomplishment.
It reminds me of when I was in college alot of my friends in my classes where my good friends. The semester ends and we all go on our ways. The same with coworkers
* a lot
No idea how so many people are emotionally attached to their jobs and coworkers. Coworkers aren't friends. As an IT contractor I change jobs every 6 months to a year, its fun to be casual and jovial at work but I don't mistake them as friends.
if u changed jobs every six months u never really had co workers as u would in a situation where u worked 5,10 or more yrs with them. whole different thing@@UnsaltedCashew38
Avoid over-planning and over-committing to a calendar and let the experience of unencumbered time evolve in its own way.
90% reason I listen to you folks is the interesting bits that aren't financial in preparing for retirement. As some of my cohort are starting to retire early, I'm seeing the loss of in-group and re-creation of a new in-group just like moving to a different state would force that, except you've not moved.
Good conversation and you both hit on a lot of good points. I'll be retired in a few weeks but I think the transition will be easier for me since my wife just retired as well. We usually take long vacations together at our vacation house (which will be our retirement home) and spend lots of time with family, friends, and neighbors. We enjoy our time together (gym, long walks, cooking...etc). I won't miss work but will miss the work friendships that I had. I will carve out some time to myself to trade stocks. Actually, I'm looking forward to retiring.
In my experience having worked for 40 years in same company, watching people come and Go, some people can not handle retirement not because they love their job but because the loss the nothingness destroys them and sometimes their families.
I know i am a dinosaur in this retire early world , and if my luck holes out i will stay until retirement, for many reasons, financial etc.
But i believe anyone who can get out early and has planned should and good luck to them 👍
Enjoyed the conversation, relatable for me ! I am into six months since I pulled the trigger end of Dec last year, at 51. I also struggled with similar conversations with family/ friends as per Jason and I found that it was easiest with real friends who have similar goals. Keep up the good work that you do on the channel !
All of you who have retired early are my inspiration. I am 53 and hoping to retire at 55. I don't have a TON of money saved in my 401K and IRA, but I have a huge chunk of equity in my home. One major piece of my puzzle is selling my current home and moving to a rural area with a low cost of living. The problem I am having, is calculating a budget. I don't live in the area I'm looking to move to, my future budget is a best educated guess...
I am certain though that retirement doesn't take millions in savings if you have a frugal budget. Personally, I'm looking to be away from the city life, live in the rural country, and enjoy living with fewer expenses (and neighbors).
I think you need a paid off home and a decent portfolio. The portfolio is what generates income. Our portfolio is worth more than our modest home. It’s very important to us even though we both have pensions and social security. It’s going to be the main driver of our wealth going forward. (We want to leave a financial legacy for our autistic son.) Medical will always cost much more than expected even if you’re healthy. God forbid one needs assisted living or a nursing home. If you do, it may be $8000-10,000 per month. For real. If you need life insurance, secure term insurance while you’re still healthy. I don’t live in a rural area. I am in Chicago but I do travel a bit. I think transportation costs will go up a lot in a rural area, everything seems so far away and public transportation is often lacking or nonexistent. Housing will obviously be cheaper, property taxes are extremely high by me ($12,000 per year for a 2400 sf home.) So, that’s a trade off. Consider a ranch home where you can age in place and consider your options if you become disabled (like hiring housekeepers or caregivers.) You will also want to be near decent hospitals and doctors. I would rent in the area before buying. You probably won’t know all the local bad stuff for at least 6+ months. If family and friends are important, travel costs will increase.
Wouldn’t say I retired early, but at 60 I turned my mid sized construction business over to my kids to run while we focus on winters in Mexico, playing golf here in the summer and going to Blue Jays games. I’m 72 now, and still drop by the company every Wednesday morning to drink coffee, watch a few You Tube videos, have a cigar and give advise that no one wants to hear. I guess I am retired, but to just let go of a business I built from scratch and just sit around waiting for my dirt nap would not interest me.
I'm 66 1/2 and a small business owner as well. I semi-retired about four years ago and "work" two to three days a week. Fortunately the business is relatively low maintenance and a decent money maker for me. Definitely agree it's hard to let go of your "baby".
Thanks for sharing, I’m having a hard time letting go too, trying to get it to a 95% passive income earning asset has been challenging.
I think reactions to your early retirement that come from jealousy (resentment, judgement, etc) deserve a special response. I’d feel no reason to protect a jealous person from their own painful, jealous mind. I’d lay it on with something along the lines of - Early retirement is GREAT! Jealousy is a poisonous emotion. Don’t absorb it, hold up a mirror and make them deal with their own jealousy. Other people who just don’t understand it I’d be more patient with.
The points on community really resonate as someone who retired mid 2022. Good episode guys!
Thanks!
I retired three years ago with 41. The „what do you do“ conversation is still a rather unpleasant one for me. I also tell different things depending on my mood and if I’m open to talk about it or not. I hope to get more comfortable with it, but maybe also a question of age since the younger you are the more surprised people are that you are retired.
8:30 Mark....having multiple people in my age category (55)- and younger - that I was fairly close with - leave this earth. Hip check indeed. I've officially completed the mental flip to recognizing my time at this point is worth more than any additional money I can earn/save. Sobering & liberating revelation at the same time. Now having a 'sabbatical' of sorts and will return to work in a year on a few days a week basis for a few more years then sell out.
I somewhat accidentally retired at 44yo five years ago with nowhere near enough money to retire. I had a really difficult time saying that I was retired because it didn't look like it was going to be permanent. I had a difficult time saying that I was an investor because I hadn't succeeded as an investor. I also didn't plan to go back to work so "taking time off" didn't work for me either. When I made a ton of money investing then all of a sudden I didn't mind saying I was retired or an investor because both were true. My portfolio was wiped out though and now I have less money than when I started so I'm back to struggling with what to call myself but I do feel more comfortable with all answers because I've been surviving for 5 years now so I must be retired or an investor??? Lol I've built from the bottom twice now and I'm a total tight wad so I think I'm going to make it again. Time will tell!
My friend just sent me a link to your podcast. Wow, wish I'd have known about you guys when my husband retired (2020 at age 49, when he could stomach no more of Silicon Valley and it's toxic work culture). It's been fun to listen to your podcasts and nod in agreement about experiences we've had over the last 4 years (such as the "must be nice" comments and what on earth do we do when COBRA runs out? turns out, life is fine LOL). Loving the RE life in an awesome part of Oregon where we get to enjoy mountain and water sports and living more simply surrounded by a community of people who crave the outdoors as much as we do. Even volunteering feels like a joy instead of a chore because we're in a small community where it actually makes a noticeable difference.
My grandfather & father both retired at 55, so my parents totally understand my drive for being done with working. Unfortunately, as a young man, I didn't listen to Dad and spent my money chasing women & fun. So, for me, 60 is a realistic early-ish retirement.
....yeah, but I bet you wouldn't trade those memories in for a few extra years of work !
I am closing in on my final few months of work largely to hit a company retiree health benefit eligibility.
This health benefit is the last piece of my puzzle and this episode helped confirm that for me.
Thanks as always for a thought provoking episode!
“Interests in the living part after FIRE”
❤👍🏻 The “why” and the “how” of the FIRE-lifestyle. Thank you for sharing your thoughts and experiences. 🙏🏻👍🏻
Careful with the upgrading of flights, once you do it there is no going back. A couple of years ago I splurged on Premium Economy for an overseas trip, every long flight since has been Premium Economy. Really hate the short legs now that are back in steerage again. Our next big trip next year is flying to New Zealand and I am considering upping to Business Class, if I do I know that will become the baseline. Luckily I can afford it, just painful from being a frugal saver all my life.
So true! I was fortunate to travel in Business Class at the end of my career so I’m ruined forever 😂-Jason
Premium economy makes the difference between arriving miserable or in reasonably good condition. I am never going back to economy on international flights.
Absolutely correct to say a cash position of ~3 years of expenses at the ready in case the markets are bearish should put you at ease. Everyone on this channel is probably more financially literate than 90% of the population and knowledge is another asset in your portfolio.
My answer when people question the early retirement (rooted in one of the primary drivers for taking the step): It all about spending more family. Our parents are aging, and with us averaging 1-2 visits per year, I didn't like the math for the time with them going forward. This resonates with pretty much everyone.
I stumbled upon your video and would love to connect.
I also pulled the trigger this year at 47! I understand what I forecasted and what I overlooked and it’s been learning curve.
Totally resonate to the part where you mention about $ and life. I am 9 months in and I acutely feel that I have been thinking a lot more than before when I was working.
Jason, I think you need to attend a CampFI near you - it's mostly all about de-ccumulation and how to live your best life post FI.
Healthcare is such a scary topic for early retirees!
I've got 19 years before classic retirement age. I could live on what I have now, but I'd have to budget and I don't want to. When I hear how Jason was freaked out about it at first, it makes me want to keep working
I don’t know if I’d say I was freaked out. But it’s definitely an adjustment that most of us go through. It’s very comfortable now -J
Good to see you guys again. Jason, glad you are recognizing and managing your mental health and physical health. Money means nothing if you lose those.
Them: “Must be nice”… Me: “YES, yes it is!” (As I display a huge smile). 😊👍
What you mentioned with the MRI, I feel like that happened to my dad but with cancer, and it contributed to his death IMO. The insurance company was doing one at a time checks, and found the real problem too late to do anything about it.
I'm not a fire guy, but I have retired early. I made some money rehabbing property's, sold a chunk of the business and paid off all the debts. I live on a couple fully paid for rental properties, my VA disability and occasional work.
I like the idea of talking about what life "is" as I have free time. I often feel like someone is gonna get on my for not being as busy as I once was.
But I've also always worked for myself. Just the idea of working on someone else's schedule/rules is not even imaginable.
Glad I found this. Thanks for covering something that hits so close to home with me.
I can relate to the concerns about friendships. Upon retirement, my wife and I wanted to move south to escape winters, as well as find a community of similar minded folks. We ended up in a 55+ active adult community, and we have been EXTREMELY happy with this decision. We not only have excellent weather year round, which aids in keeping us active, we also now have a significant number of new friends, many of which whom we would consider very close friends, that live within 2 miles of our home. This was a huge move for us, but we are far more active and engaged with our community than we have even been in our lives.
Villages in Fl?
@@michaelbiondi52 I visited there once....definitely not for me.
On travelling when older, lol, I’ll never forget my parents travelling every year to London, even when my Dad was 95, they never booked hotels until they got there (“because there’s a nice man at the hotel reseller kiosk near Victoria Station” where they booked cheap BnBs that haven’t sold out yet 🙄). Hope I can travel with such absolute abandon if I make it to that age. Cant imagine flying to another continent without a place to sleep. 😂 They only got tripped up once, in 2012, during the Olympics when there was nothing available under several hundred £s. I think my Mum hid the visa bill.
The relationship side is always more difficult than the financial side.
I retired early in June 2022, right before the Bear market. The sequence of return risk is real! Great video!
Thanks guys for the video! It is so helpful to hear what it is like post FI and in early retirement. I’m seriously considering pulling the trigger soon (at 50) and this is the kind of content that really helps.
I’m retiring at 42 in two weeks. This episode is a great checklist for things one wouldn’t normally consider when going FIRE.
Thank you!
congrats! best wishes to you in all things
@@TwoSidesOfFI thank you so much!
Expenses are harder to estimate than average investment returns: unforeseen large ticket items, lifestyle creep, and inflation. I consider a regression analysis of several years of past expenses including some outliers including replacing a car, a few major home repairs (Roof replacement, tree work, uninsured storm damage), spending on hobbies, and which incorporates inflation. That appears to be a relatively conservative approach which budgets 5-10% higher than my actual spend.
I found I was very cautious in the first year as I wanted to get through a whole year of actual not just anticipated expenses. After that I was able to loosen up. I do find separating essential expenses from discretionary helps me because I’m confident my essential expenditures will always be met and the discretionary can fluctuate if necessary.
What do you do? Whatever I want!😊
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Thank you for sharing the MRI experience. It reminded me another dimension of picking health insurance (or another fear unlocked). I wonder if silver or gold plan would have provided better experience.
Good stuff, subscribed
how to get there is great but I cant wait to see who I am and what I can do once I am allowed to spend more time on exploring abilities, interests, and learning what I want not what my job allows me to do
Great discussion. I’m 51 and our plan A is under 6 years away. We changed states once in 2017 and have made a great life with great friends here since, mainly around our church.
Wife asked, this weekend, how many years we have left here. I told her and she said it’s kinda sad and I do agree, but one by one our friends are retiring and moving out of state.
It’s our plan as well and we learn from our friends who move as well as channels like yours. Thanks for all the insights.
I would drive you guys crazy. Retired at 56 with way way less than you would likely think acceptable. Getting out was a higher priority than extravagant lifestyle in retirement.
Debt free is the key. And flexibility. I can live on 45k or 85k. I adapt.
Been retired 5 years and my net worth has gone up. Starting Social security this fall.
My net income right now is equal or better than when working. I refuse to put my whole net worth in the market. I do have a Bitcoin and I'm not ashamed to say that.
do u wish you had retired earlier on hindsight?
@@lilsaint91 No. My company had been bought out and things were in chaos, again. My mom needed help with my dying father. I worked until I saved up a year plus in cash to go with my 401k.
34 years there, I wanted out bad. I left when I felt we could make it with a reasonable amount of confidence. I sacrificed a dream retirement to just get out. That was a reward in itself and I have no regrets. Things are working out nicely and our trajectory is up. Our lifestyle is better than when I worked. Not opulent but better emotionally, physically and financially.
Finally someone talking more about living it. What discord server can I join?
Thank you for this. Always appreciate your thoughtful perspective. I recently found the Modern Elder Academy (MEA) and some of their material has been helpful to reframe the RE part of FIRE.
We always appreciate the honest conversations between you guys
🙏
The idea of retiring early is great. I just turned 30 and have pretty solid savings in various pensions/stocks. But my conundrum is if i have children (I'd plan to have idk... 2, 3 max??), would I not want to work an extra few years to be able to help them up? Let's say i retired at 60 instead of 52... that's 8 years of solid earning to help them with whatever. Anyone have any opinions on this?
I understand everyone situation is different but curious what amount would you save if you plan to retire between the age of 40 to 50?
Check out our QnA: You Asked, We Answered. FIRE Q&A
th-cam.com/video/n811DYwEdrs/w-d-xo.html
thank you both for the discussion (as always!). I am preparing for the idea of managing my social life away from work connections. I have 3yrs to go still, but this is helping mentally prepare for the time comes
The anxious/depressed is so true!
It was a big surprise for me, but my journey mirrors yours with this respect.
I’m learning it’s pretty common! It’s a journey but the good outcomes sure are worth it. Best wishes to you in all things 🙏 -J
I always just say "I'm a retired, and my job was...." That seems to be the best answer for me. But then of course they say what are you doing now? Volunteering?, this, that lol and I'm still figuring that out. Mostly I'm just spending more time with my immediate family for now, 2 years in. I traveled a little bit extra in year 1 but not much different in year 2 since I traveled 4 weeks/year anyway (vacation) during my working years My spouse is still working for a few more years so a little different for me.
Great convo!👏
I always say - I'm retired and loving life! Most people follow that with, "I wish I could retire".
It doesn't bother me at all and that's because I couldn't care less about what people think of me 🤷😀. Admittedly, I don't understand why other people care about how they live their life.
Really appreciate the videos. I'm 55 and retiring in early 2025 and your videos help to give me confidence beyond the numbers (although I love the number discussions as well.)
Same here, 55 and planning for summer of 2025. Trying to stop the “Just one more year” cycle.
Great video. Thanks for sharing 🎉
at 5:45 he says we both have a part time job 1 day a week... buddy you're not retired if you're still working. Many people can retire if we had to keep doing a part time job.
Ha, the “retirement police” are here. Guess what? If recreational employment bothers you, that’s your problem, not ours.
@@TwoSidesOfFI Its misleading interviewing a 'retired' person when both spouses are 'recreationally employed'. If you have to report to a boss, you're employed, whether that's 2 days a week or 5. It shows you're anxious about your savings. I'm overemployed with 3 concurrent no stress jobs while WFH, does that mean I'm 'recreationally employed'?
See above
What are you waiting for?
In terms of 3% or 4% withdrawal. Most of these plans involve never running out of funds. I'm interested if anyone has a plan that actually involves both, safe withdrawal and then as you age just blowing it all. Like when you're 85 and your pot is still in the millions, can you just let yourself spend it? Give it away? I dno
Check out twosidesoffi.com/toolbox for more on the SWR Toolbox. Set your Final Value Target to zero and let it rip.
New subscriber. Great stuff.
Welcome! We're glad to have you
I am glad you guys can do early retirement
I would be terrified and guess will work till I die or forced to retire
Am 65 now
Healthcare is the thing as I have dependents
I feel interested in knowing what did you two retire from? Did you like your work, occupation? If not why not? As for me.. I retired at age 64... "FIROT" as in retired on time. I pass no judgement on those who chose "FIRE"... and it it interesting to me how folks make that plan. As for me... I was mostly interesting in finding work that I really enjoyed or at least found very interesting if not always enjoyable. It is hard to find the right field to work in and then get the perfect job (which is in fact a fantasy for the most part). I enjoy your videos and happen to live withing a few miles of "Big Ern" and reached out to him a couple years ago to do a local hike with him and his family. Keep up the good work, and enjoy. If you are ever in my neighborhood I would be happy to take you guys out for a lunch or dinner on me. For no particular reason, except to have a good meal and conversation. Maybe we should also invite Big Ern. :)
Like so many others I greatly enjoy your insights. One question though: Jason, being 4 years in, what do you do with the bulk of your time?? I'm unsure if I missed other episodes discussing how you spend the wealth of time, I only know about a couple short vacays and your Camino trip. Thank you for sharing!
Thanks. I do talk about this a fair deal. One more focused episode is my two year anniversary, but more recent episodes cover this well too. The short version - I have a lot of hobbies and educational interests - so many, in fact, that I can't possibly explore all of them. It's a "good" problem to have for sure.
th-cam.com/video/0fut4zUHZFY/w-d-xo.html
Good episode- I too see FIRE posts on Reddit and I think the redundancy and humblebrag is old.
I look for Retirement posts more and try to skip the “I 27 and have 100x expenses saved; is that enough??”
If you’re in a FIRE sub, you should know the principles before asking.
Since you both have kids in college, would you consider doing an episode on the best way to save for FI if you plan to “retire” before your kids go off to college?
I’d like to retire 1 - 2 years or so before my oldest starts college. I’m wondering how my savings strategy will affect financial aid eligibility.
For instance, brokerage vs 529 vs Roth IRA vs 401k.
In-state colleges unless there’s large scholarships. Community college for the first 2 years if you can’t cash-flow it. Do not sign a parent plus loan.
❤❤❤
The intuition that your brokerage account is back equal to what it was when you retired is nice intuition, but just falls flat when you get serious: there’s been enormous inflation in the last four years, and unless this is inflation-adjusted, he’s lost a significant amount of real value. Also, it’s the wrong metric: the benchmark is what the balance *would have been* if he hadn’t withdrawn. Nominal terms make a lot of sense to humans, but don’t mean much in terms of real value…
Ok
@@TwoSidesOfFI 😂 😂
I just stumbled across this channel. I am Canadian. When folks here talk about their retirement funds, is it all investment based? My Husband and I both have a define benefit pensions with our jobs. I can retire in four years and I will be just shy of 52! We have investments, tax free savings account and our pensions.
By the way, I love saying I’m retired at 51. People always look at me and ask how old I am.
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Oh how I missed you two!!! lol
The issue with FIRE is that it has to remain a minority movement to allow the capital returns needed to make it work.
FIRE is about living off the beauty of capitalism, it needs consumers to overspend, it needs companies to exploit workers. Love the financial side of it, but very skeptical about the social ideology. Fire is quintessentially capitalist
Whether it's a niche movement or not, the habits promoted by FIRE-reducing expenses, intentional living, diligent saving, and smart investments-can be beneficial for anyone. Promoting diversification of revenue streams, financial responsibility and less reliance on traditional employment structures is empowering and often life-changing for individuals regardless of their ultimate financial goals.
This is a great episode. I am working toward being able to pull the trigger in 5 years. Lots of good stuff to think about here.
I would love an episode on the cowboy account. I have read through the options posts on early retirement now. I have a couple different accounts and try different strategies. So far the most consistent/boring is 0-1 DTE options on index ETFS. I mean boring in the best way, as in simple and reliable. Assuming things continue as they have, this is probably my grand plan to juice my retirement income.
Thanks for sharing
Thanks for you channel. My "retirement" came in 2021, so the timing was perfect. I am only just now (this year) have been willing to say that I am retired without hesitation. Also, there is a substantial tax benefit to using HSAs to pay for qualified medical expenses.
Thanks for your support! Very true re: HSAs.
Can you tell me how much money you saved to consider early retirement was an option
We’ve talked about FIRE numbers often but here’s an ep dedicated to the topic
So, What's Your Financial Independence (FI) Number?
th-cam.com/video/WMzya-HU8tU/w-d-xo.html
I just stumbled across your channel. Exactly what I was looking for! Beyond just numbers.. great job!
I’m close and the closer I get the more sleep I lose for some reason..
Question: what rate of return did you guys estimate on the tool you use for Cash, US Bonds, and Stock/equities?
I’m trying to make heads or toes of your numbers and would like to know what your thoughts are in terms of what your estimation was and the tool for those three .
see twosidesoffi.com/toolbox
karsten's tool models based on the actual historical returns of each asset class, and that's what we use.
Yes! Think about future activities and needs, the resultant cost, and then the 'number'. Scary stuff first.
Smug 40s 50s yr olds in retirement... let's see how they are if market really crashes
Smug or just prepared? We've seen more than a few cycles come and go, and preparation tends to beat panic every time. But hey, we're always up for the challenge. Let's see how it plays out.
Excellent discussion! Thanks for sharing! 😊