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I just popped back into this thread the other day just to see WHY people were still even giving it the time of day. But of course new people come onto CD every day. I was one of the first to comment when the thread first started.
Until the OP states where he first got his income stake from I can't really continue to be interested in anything else he says. I've even asked the OP to just confirm what another poster said he'd stated about his income...that he inherited his house and 500K and invested the money. He hasn't even confirmed that's how he did it. IF it IS how he did it why not just say so?
Some of us at first speculated he was on public assistance. I decided a long time ago, until he states how he's gotten to this point, I'm not interested in hearing anything else from him.
This is something others can replicate with reasonable effort: Finish a stem degree with good grades from a good university by 22. Move to a high COL area in CA/NY and got a job with a starting salary of $100K. Live like a hermit for 10 years and save $60K of your income each year. At 32 quit your job, move to a low col and buy a house cash for $100K. Then invest $500K in an index fund and withdraw $20K adjusted for inflation for the rest of your life. This is something that's realistic for a lot of people with effort, planning and a bit of luck.
Yeah, not so much. 100K income in California would mean about 33K in taxes, so you think people can save 60K per year and live on 7K per year in California?
In any case, I agree that OP's pointed refusal to respond to questions about the source of his financial resources makes his entire premise suspect, not to mention the fact that most people have a vastly different definition of "living the good life."
Yeah, not so much. 100K income in California would mean about 33K in taxes, so you think people can save 60K per year and live on 7K per year in California?
In any case, I agree that OP's pointed refusal to respond to questions about the source of his financial resources makes his entire premise suspect, not to mention the fact that most people have a vastly different definition of "living the good life."
Maxing a 401k would bring the total tax bill down to 25900.00 still hard to sock away an additional 42k. Maybe with roommates or an similarly earning significant other
Maxing a 401k would bring the total tax bill down to 25900.00 still hard to sock away an additional 42k. Maybe with roommates or an similarly earning significant other
Yes, but the premise of this thread is the ability to have an income stream of 20K or more per year in one's 20s or 30s. And the specific post I was responding to was about being able to save 600K in cash in order to purchase a 100K house and invest 500K to generate that income stream. A 401K would be contrary to that goal, and tie up money that can't be accessed (at least without penalty) until 59.5, making the likelihood of generating a lifetime 20K income stream based on 10 years of working even less likely.
Yes, but the premise of this thread is the ability to have an income stream of 20K or more per year in one's 20s or 30s. And the specific post I was responding to was about being able to save 600K in cash in order to purchase a 100K house and invest 500K to generate that income stream. A 401K would be contrary to that goal, and tie up money that can't be accessed (at least without penalty) until 59.5, making the likelihood of generating a lifetime 20K income stream based on 10 years of working even less likely.
It wouldn't have to tie up the money until you were 59.5. You could do a 52t distribution or utilize a roth conversion ladder.
- home was purchased for around $50k
- living expenses are around $10k/year
1. Doing this in one's 20s isn't a requirement - hence why I said "or 30s".
2. This was never meant to be a how-to on replicating my life.
3. No inheritance inheritance involved.
4. $20k is my income, but one could easily live the same lifestyle on $12-15k/year.
So you actually have an income, you aren't relying on an investment portfolio. If you were you wouldn't take an income that was larger than your expenses.
I guess it's some sort of part ownership in a business.
I guess it's some sort of part ownership in a business.
I guess it's BS
I really did "retire" for 13 years when I was 30 (starting in 1990). Could have gone longer, but didn't want to dip into savings. I lived off CD interest during that time and spent <$4k/year on everything. If you live in a vehicle and vagabond, it isn't tough to live cheap.
More recently I've lived off $12-14k/yr with a house and all the normal trappings of modern life, so I know it isn't that difficult.
mmm himself did very well . many of his disciples though are headed for trouble down the road with poor plans just to stop working . . they plan around living on medicaid for health insurance , lack marketable skills if they have to work ,will have poor work records and are way underestimating what it takes not to work for so many decades .
it isn't like many are successful at a young age and can just not work . they don't work and try to do the hippy thing living on a shoe string budget that is doomed to fail just to avoid working .
but this is something they will have to learn on their own .
I don't read his forum, but that's not the vibe I get from reading other FI bloggers.
- home was purchased for around $50k
- living expenses are around $10k/year
1. Doing this in one's 20s isn't a requirement - hence why I said "or 30s".
2. This was never meant to be a how-to on replicating my life.
3. No inheritance involved.
4. $20k is my income, but one could easily live the same lifestyle on $12-15k/year.
I concede that someone who gets a good job out of college with little to no student debt can probably retire in their late 30's if they don't mind being childless and living with multiple roommates for the rest of their life...happy now?
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