Financial Independence Daily FI discussion thread - January 02, 2020 |
- Daily FI discussion thread - January 02, 2020
- 10 years of Simple IRA savings/growth.
- My FI Progress: 2006 - 2019
- 2019 Year-End Pretty Charts with Scrubbed Spreadsheet Download
- For those that are FIRE (or close to it) and outside of the US and Canada, where are you and why?
- Low key the best part of "Playing with FIRE" was the breakfast burrito hack
- Self Employed/ S-Corp/ Retirement Options.....
- For those that will move when they RE, where will you move?
| Daily FI discussion thread - January 02, 2020 Posted: 02 Jan 2020 12:07 AM PST Please use this thread to have discussions which you don't feel warrant a new post to the sub. While the Rules for posting questions on the basics of personal finance/investing topics are relaxed a little bit here, the rules against memes/spam/self-promotion/excessive rudeness/politics still apply! Have a look at the FAQ for this subreddit before posting to see if your question is frequently asked. Since this post does tend to get busy, consider sorting the comments by "new" (instead of "best" or "top") to see the newest posts. [link] [comments]  |
| 10 years of Simple IRA savings/growth. Posted: 02 Jan 2020 09:05 AM PST Not as impressive as some of you guys but this is what I did. 2009 was a pretty big year for me, I got married, bought a house and finally got off my ass and started saving. I had no idea what I was doing at first, I mostly picked sector funds that sounded good like "energy". Around 2012 I discovered index funds. 2012-2018 is pretty much 100% S&P 500 fund. 2019 I moved everything to Vanguard and started to put 10% into bonds. My table chart is kind of goofy, at first I just did the year over year total increase. Latter on I added the actual withheld amounts and market gains. Probably not the way any certified financial planner would track it but hey! Hope someone finds it useful/inspiring! [link] [comments]  |
| Posted: 02 Jan 2020 12:36 PM PST A couple of years back I posted with a chart showing my progress from 2006 (when I started tracking my net worth seriously) up to that point. While some people felt it was just bragging (it is), others seemed to enjoy seeing a real-life demonstration of how the numbers can compound over time. At the risk of being attacked by some people, I thought I'd do an updated version with my numbers through the end of 2019. To address some anticipated questions: I'm 40, I worked as a software engineer and over time moved into management roles, and I live in a MCOL area. My income rose significantly once moving into management, especially more recently due to RSU vesting. At one point along the way I had a goal of hitting $2.333MM for a $70k/year withdrawal at 3%, but I blew past that in 2018 (and again in early 2019) and kept going. As you'll see in the chart, my income last year was significantly lower as I chose to leave my job, ultimately landing in a more enjoyable startup. It's possible that the startup will have more financial upside down the road, but I'm not holding my breath. I don't know when or if I'll stop working. I can already support my current spending at a very safe WR. Without further ado, here's the updated chart for this year. [link] [comments]  |
| 2019 Year-End Pretty Charts with Scrubbed Spreadsheet Download Posted: 02 Jan 2020 02:38 PM PST I posted my financial tracking & projections spreadsheet back at the end of 2017 and got a lot of positive feedback, so I figured now was a good time to post an updated one. Pic of Financial Overview "Dashboard", with 2019 stats and Pretty Charts Pic of Additional Charts Google Drive link to download the spreadsheet, filled with dummy data Since the 2017 version, I've added a lot more extra charts, slightly messed with formatting and spending categories, incorporated planned vs actual spending, and fixed some calculation errors. It won't look (or work?) great in Google Sheets, so you'll have to open it in Excel. It's pretty customized and messy on the backend, so if you want to use it wholesale there's going to be a lot of work to do... I recommend rolling your own. Should be useful for inspiration though. The biggest omission currently is tracking interest-bearing debt and when it is predicted to expire (auto, student, or house loans). Don't take the lifestyle inflation chart too seriously, it fits an exponential curve to your lifetime income / spending and won't be quick to update with increased income or decreased expenses. Usage: All data entry happens in the "Monthly Tracking" sheet. This information is summarized in the "Overview", "Year-end Summary", and "Extra Charts" sheets. "Year-end Summary" also has some rows marked in yellow to input planned expenses. The "Chart Data" sheet does all the messy behind-the-scenes calculations for all the charts. Starting at row 309 on that sheet, there are some variables that you can edit that drive these calculations (birthday, target amounts, predicted returns, etc) as marked by yellow coloring. One more thing: you'll need to turn on the Excel solver. I calculate my FI targets in inflation-adjusted dollars, and so to find target dates where savings meet those targets, there is a calculation loop that Excel needs to solve. You may have to copy-paste 'Chart Data' rows 161:172 on top of itself to force the calculation to update away from NaN each month. Let me know if there are any questions! [link] [comments]  |
| For those that are FIRE (or close to it) and outside of the US and Canada, where are you and why? Posted: 01 Jan 2020 08:56 PM PST I've been traveling for a couple years and am still on the road, but have settled on Bali for a while, surfing, and exploring Southeast Asia. I was joking with a friend how here I have all of the perks I wanted back home in California (beaches, surfing, food, mix of cultures) without the pricetag, but Bali was never really even on my radar as an option until I stayed for a couple weeks and then unexpectedly got sucked in. My accidental landing on Bali has me wondering, who else settled outside of the US/Canada, where, and why? I see all of the "best places to retire" lists, but its usually pretty clear those are written by a drone slaving away in New York...so likely not a firsthand account. I would love to here firsthand accounts of places others people have run off to and why. I'm certain I'm not the only one that fell into this. My Spot - Bali: I came to Bali for beaches and surfing, freediving and SCUBA diving, ended up finding pockets of culture all over (Balinese, other Indo, Europeans, etc.). Cost of living is so insanely cheap I save money being here with more amenities than anywhere else in the US. If its on your radar for a short or long stint, their 1 year "business visa" is a great option, also if you're over 50 the retirement visa (KITAS) is worth looking up. Flights to the US can be found for $500-$600 so after a month's stay, you've likely saved enough for a flight back to the US. [link] [comments]  |
| Low key the best part of "Playing with FIRE" was the breakfast burrito hack Posted: 02 Jan 2020 04:16 PM PST I think I hyped this documentary up in my head and my expectations were too high. Still give the family all the credit they deserve for going all in on the concept. [link] [comments]  |
| Self Employed/ S-Corp/ Retirement Options..... Posted: 02 Jan 2020 02:54 PM PST Quick backstory... 35 years old, married this year, self-employed, file as S-corp. I had always worked W-2 Jobs, mostly sales, in my 20s but never made much money. I enjoyed the freedom and the schedule but as I got older I realized that I needed to plan for my future. Started an apprenticeship as a property appraiser in 2013, became certified in 2017 and started my own company. Since starting my company I've averaged about 75k/year (working 10 months/ traveling 2)(Don't tell Dave Ramsey...lol). After getting married this year and discovering FIRE I am more determined than ever to grow my business and get my financial future in order. The numbers: 2017: 98k --->85k Debt 0 Savings 46k Gross Income 2018: 85k --> 68k Debt $1000 Savings 75k Gross Income 2019: 68k --> 36k Debt $3000 Savings 75k Gross Income I have been very aggressive at paying down my debt with balance transfers and budgeting but I'm at a point where I have about 10k in Student Loans @ 6.25% and 25k in Credit Cards that are all at 0% until December 2020. I had a previous IRA that I cashed out during a tough time but now I feel secure enough to start saving for retirement again. Monthly expenses ~ $2,200 (Includes all subscriptions, insurance, rent, utilities, food and business expenses) I currently have $3,000 in a high yield savings account as my started emergency fund which I feel is adequate given I have anywhere from 5-10k in accounts receivable from multiple clients most months and 30k of available credit should a complete disaster happen. My real question revolves around what type of tax advantaged account to open. I have been researching SEP IRAs and Solo 401k's and am struggling to see which would be best for my situation. In the next 3 years there is probably a 60-70% chance that I will open an office and hire employees to expand my business. The SEP IRA worries my in the sense that if I do hire employees I would be REQUIRED to contribute to accounts for them as well. Additionally the 20/25% cap on contributions worries me also. It also seems that the solo 401k requires that I do not have employees to use it. I'm also curious to know the effect of 1099 vs w-2 employees and how that would affect each plan. My plan is to be debt free by early 2021 (or only carry balances at 0%) and start contributing 25-30k per year to retirement. I'm probably just overthinking the whole thing but I'm convinced one is better than the other but I'm struggling to determine which one. Thanks for your help and I'd be happy to add any info that's needed. [link] [comments]  |
| For those that will move when they RE, where will you move? Posted: 01 Jan 2020 06:56 PM PST ... and what is your goal yearly cost? What factors do you consider most important when moving to a new place? Happy New Year! [link] [comments]  |
| You are subscribed to email updates from financial independence / early retirement. To stop receiving these emails, you may unsubscribe now. | Email delivery powered by Google |
| Google, 1600 Amphitheatre Parkway, Mountain View, CA 94043, United States | |
No comments:
Post a Comment