U.S. CitiesCity-Data Forum Index
Go Back   City-Data Forum > General Forums > Retirement
 [Register]
Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
View detailed profile (Advanced) or search
site with Google Custom Search

Search Forums  (Advanced)
Reply Start New Thread
 
Old 09-27-2017, 03:12 PM
 
Location: Houston area
762 posts, read 811,802 times
Reputation: 1742

Advertisements

Quote:
Originally Posted by cjseliga View Post
It's not like it is rocket science or brain surgery!

1. Graduate from college with little to no debt at the age of 22.
2. Immediately after graduating, get a high paying job ($125k-150k+) with a very generous 401k plan, that you love doing, or at the very least enjoy.
3. Live way below your means, taking the money you save to invest accordingly.
4. (Bonus) Marry someone with a like mindset that makes the same as you.
5. Retire when you're 30!
It's the high paying job right out of college that not everyone can get. Working in a large city you make more money, but housing is usually expensive. So you move out to suburbs and drive the daily grind fighting traffic and your sanity 5 days a week.

Not everybody can make this work.

These are a lot of assumptions. I don't know which one is hardest to obtain.

Generous 401k - I guess you mean employer pays into your 401k

No college debt at age 22 - wealthy parents? If you work parttime and go to school it would take you longer and you wouldn't graduate by 22.

Marry someone like minded - that might take some time to find the right person. Do you have to love them? Or do it like a business deal?

Retire at 30 - see above obstacles.
Reply With Quote Quick reply to this message

 
Old 09-27-2017, 03:40 PM
 
Location: Eastern Washington
14,278 posts, read 44,987,205 times
Reputation: 12902
Quote:
Originally Posted by Yippeekayay View Post
Parents come into play. For example, a house where he does most of the work means he was guided by his father. Having a father who is handy on carpentry and stuff and passing that along to the son is a huge money saver.
Yeah and no. Dad was a top-flight welder, and taught me to weld, at least some. But he was no mechanic, and I taught myself that anyway.

He did, perhaps more importantly, provide a living example of how a man ought to be able to build and fix things around the house. I do think so many boys growing up with single moms do lack a proper role model, they don't really understand what a "man" really should be like.

To get back on topic, Dad did also provide an example of living well, while living well within his means, and that sunk in on me too.
Reply With Quote Quick reply to this message
 
Old 09-27-2017, 03:56 PM
 
5,300 posts, read 3,336,406 times
Reputation: 6483
Quote:
Originally Posted by Whyrallnamestaken View Post
It's the high paying job right out of college that not everyone can get. Working in a large city you make more money, but housing is usually expensive. So you move out to suburbs and drive the daily grind fighting traffic and your sanity 5 days a week.

Not everybody can make this work.

These are a lot of assumptions. I don't know which one is hardest to obtain.

Generous 401k - I guess you mean employer pays into your 401k

No college debt at age 22 - wealthy parents? If you work parttime and go to school it would take you longer and you wouldn't graduate by 22.

Marry someone like minded - that might take some time to find the right person. Do you have to love them? Or do it like a business deal?

Retire at 30 - see above obstacles.
I agree with your analysis, I just trying to be somewhat sarcastic with my "idealistic" scenario. Would MMM have been able to do what he did if he was making $30k-35k out of college and stayed in that range for the next 10 years? Hell No!

Every couple of weeks, it seems USToday online, runs an article about some young person/couple, saving/investing and retiring or planning to retire when they are 35 or 40 or some other young age. There was this one, of a lady in her early 30's, who has a plan to retire when she is 40. The backstory was that she graduated from Harvard debt free, thanks to her parents, is currently the CEO of a small marketing company she started, you know the rest. The comments are always the best, with the majority being, yeah if my parents paid for my entire education and I was a CEO of a company and saved my money, I too can retire at a young age. Most people mentioning how "unrealistic" the scenario is for 99% of the population.
Reply With Quote Quick reply to this message
 
Old 09-27-2017, 04:32 PM
 
1,082 posts, read 523,847 times
Reputation: 1840
The parts of his story that made me cringe were his takes on insurance.

No comprehensive, no collision on his cars. In the last ten years, I've probably paid 12k in auto premiums. Meanwhile, I got rear ended twice in my BMW to the tune of about 10k in body work. Then, I'm driving down the highway in the Porsche, some debris flies out of the back of a pickup, another 10k in bodywork.
And then the real kicker....my Porsche sits a lot and some mice took residence in the engine. Chewed up a bunch of stuff....took 3 days of labor to pull the engine out, fix it, and put the engine back in. Probably another 7k if I didn't have the cheap comprehensive. So about 27k out of my pocket if I didn't carry collision and comp.

And then he "self insures' the house. I will admit, every time I see a house sliding off a hill, being flooded, or damaged by earthquakes, all of which are not covered, I wonder why I even carry homeowners. But, this is wildfire country, and to rebuild this home would probably cost 600k. 1200/yr is good value, I think. He's a carpenter, so I guess for him it's sensible.
Reply With Quote Quick reply to this message
 
Old 09-27-2017, 04:33 PM
 
Location: We_tside PNW (Columbia Gorge) / CO / SA TX / Thailand
22,689 posts, read 40,050,764 times
Reputation: 23833
Quote:
Originally Posted by Whyrallnamestaken View Post
It's the high paying job right out of college that not everyone can get. Working in a large city you make more money, but housing is usually expensive. So you move out to suburbs and drive the daily grind fighting traffic and your sanity 5 days a week.

Not everybody can make this work.

These are a lot of assumptions. I don't know which one is hardest to obtain.

Generous 401k - I guess you mean employer pays into your 401k

No college debt at age 22 - wealthy parents? If you work parttime and go to school it would take you longer and you wouldn't graduate by 22.

Marry someone like minded - that might take some time to find the right person. Do you have to love them? Or do it like a business deal?

Retire at 30 - see above obstacles.
or...
Take an overseas position in a risk country where you can't spend anything...($200k tax free, in Iraq, for one of my college grad tenants. great for 5 yrs, then... RETIRED (by age 30) (with other savings))
Many of my kids friends took high pay overseas employment.
INVENT / market something / start your own company (That is quite possible for many (My dad had 3 employees by the time he was age 14...get someone to work FOR you! ).

Generous 401k? (My kids were into their own self directed ROTHs at age 12, they always contribute the MAX, likely will never have / need 401k).


Debt free college? Mine went to FT college @ age 15 (For Free in WA State, works for thousands/ yr since 1990) They were DONE with college before age 20. As M3 mentioned... use a SKILLED job to work through college (I did that, my kids preferred summer BIG bucks. Fire fighting and Alaska Fishing... $30k in 6 weeks, then DONE working for the yr, except they each are skilled too (Electrician & Machinist cert) + welding and programming skills. My kids and friends owned duplexes / apartments to PAY their way through college.

EZ to find 'like-minded' mates (as long as you are not DATING 'relationships / friends' = 'open disclosure') "Friends" are often 'aligned'
Reply With Quote Quick reply to this message
 
Old 09-27-2017, 05:21 PM
 
2,512 posts, read 1,341,033 times
Reputation: 4617
MMM makes $400,000 a year off his website.

Retired my hiney
Reply With Quote Quick reply to this message
 
Old 09-27-2017, 07:57 PM
 
3,457 posts, read 2,340,668 times
Reputation: 7004
I learn things from his blog posts. I avoid the forums. Too much strutting and showing off how "bada**" the members supposedly are, and not enough good, down-to-earth advice.
Reply With Quote Quick reply to this message
 
Old 09-27-2017, 08:06 PM
 
258 posts, read 234,643 times
Reputation: 567
Quote:
Originally Posted by bookspage View Post
MMM makes $400,000 a year off his website.

Retired my hiney
Where did you find that info about his income? I know JD Roth made a bundle when he sold his blog, How to Get Rich Slowly. He's now blogging again -- very uninteresting -- as Money Boss.

I am too old for Mr Moustache's site but I still read his posts every so often.
Reply With Quote Quick reply to this message
 
Old 09-27-2017, 08:26 PM
 
662 posts, read 587,847 times
Reputation: 728
Mr. Moustache and Financial Samurai both make close to 500k USD annually based off of their blogs on FIRE and other retire early and investment info. I think they are great sites in the fact that they get people to think outside the box. Hey, if you want to work in an office for 40 or so years and you like the routine, that's great. Many people do not, and I think these FIRE blogs/sites offer a way for people to gain knowledge and read firsthand how people saved and invested so they can cash out early. Many of us get into a lifestyle that we don't want to change, and cannot break habits.


I personally wouldn't want to retire in my 30's, as I feel humans are made to work, plus I feel that if I can physically work then I'm contributing to society and will eventually donate my money and assets when I'm old to people that it can really help.


StealthRabbitt has an excellent point. Work overseas if you really want to get ahead. Its a sacrifice, and you'll save the most amount of money living/working in a developing country, so it will not be the same as living in the U.S. but there are trade offs. I'm 38 years old and I don't "Need" to work ever again, but I do so because I don't have any other hobbies or interests right now in my life. I've been blessed to be in a management position for over 15 years, with little stress and the job allows me to be home with my wife and daughter every night and weekends.


There are ways to get ahead, but you need to go against the grain and not always follow the herd. Complaining about paying for insurance on both your BMW and Porsche, we'll then I think your missing the point of Mr. Moustache and his thoughts on FIRE....ha.
Reply With Quote Quick reply to this message
 
Old 09-28-2017, 01:02 AM
 
Location: Sierra County
271 posts, read 117,251 times
Reputation: 371
Quote:
Originally Posted by Cabound1 View Post
The parts of his story that made me cringe were his takes on insurance.

No comprehensive, no collision on his cars. In the last ten years, I've probably paid 12k in auto premiums. Meanwhile, I got rear ended twice in my BMW to the tune of about 10k in body work. Then, I'm driving down the highway in the Porsche, some debris flies out of the back of a pickup, another 10k in bodywork.
And then the real kicker....my Porsche sits a lot and some mice took residence in the engine. Chewed up a bunch of stuff....took 3 days of labor to pull the engine out, fix it, and put the engine back in. Probably another 7k if I didn't have the cheap comprehensive. So about 27k out of my pocket if I didn't carry collision and comp.

And then he "self insures' the house. I will admit, every time I see a house sliding off a hill, being flooded, or damaged by earthquakes, all of which are not covered, I wonder why I even carry homeowners. But, this is wildfire country, and to rebuild this home would probably cost 600k. 1200/yr is good value, I think. He's a carpenter, so I guess for him it's sensible.
He drives beaty cars.
Reply With Quote Quick reply to this message
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.

Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.


Reply
Please update this thread with any new information or opinions. This open thread is still read by thousands of people, so we encourage all additional points of view.

Quick Reply
Message:

Over $104,000 in prizes was already given out to active posters on our forum and additional giveaways are planned!

Go Back   City-Data Forum > General Forums > Retirement
Follow City-Data.com founder on our Forum or

All times are GMT -6.

2005-2019, Advameg, Inc. · Please obey Forum Rules · Terms of Use and Privacy Policy · Bug Bounty

City-Data.com - Archive 1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 11, 12, 13, 14, 15, 16, 17, 18, 19, 20, 21, 22, 23, 24, 25, 26, 27, 28, 29, 30, 31, 32, 33, 34, 35 - Top