dark_magic
Pro
Are any of you bruhs into this?
Financial Independence / Retire Early (FI/RE)
- Thread starter dark_magic
- Start date
outordinary
Pro
I would hope everyone is into this. It should be a goal for everyone to achieve.
dark_magic
Pro
I guess I should give more detail.
A simple metric for financial independence:
When your yearly passive income from whatever sources derived exceed your yearly living expenses, you are financially independent.
Retire early:
Achieving retirement long before age 65.
dark_magic
Pro
3,000,000 x .04 per annum = 120,000
3% (.03) draw down of $3 million per annum is $90,000
You should be good. The investment capital would continue to slowly grow overtime too.
outordinary
Pro
Thing about that is, for achieving FI, you will need more than just a regular job. At some point you will need some side hustles along with a business. Websites like mint and personal capital help keep track of your assets.
dark_magic
Pro
There are people doing achieving FI all kinds of ways.
Check out the madfientist's podcasts: Financial Independence Podcast
The podcasts are on YouTube as well.
You'll see from the interviews that there are multiple avenues for achieving FI no matter one's station in life.
↓R↑LYB
I trained Sheng Long and Shonuff
For me, my goal is to pay off my mortgage, pay off my student loan, then have enough passing income coming in to pay my groceries, utilities, and basic shyt.
Ive been actually thinking about renting my house out, renting a cheap ass apartment, then use all my extra money to pay my mortgage off in 3-5 years.
Ive been actually thinking about renting my house out, renting a cheap ass apartment, then use all my extra money to pay my mortgage off in 3-5 years.
MillionMills
Superstar
I want to be financially independent by 35. I'm 25
Hopefully people in this forum are into this, but when I've posted articles about people who have retired early in TLR, I got lots of backlash
It seems to me that usually people are gung ho in the beginning saying, "I'm going to be financially independent and never work again 
". Then a few years later 
because they never had a plan or really knew what financial independence was. People think that by being frugal and saving you'll be financially independent, but that money can run out quicker than you expected. Like @outordinary mentioned, passive income is important; some people achieve this through real estate, others through partial business ownership, etc. No matter what you do, just make sure it's an area you've investigated and that it'll provide you with a steady income - not necessarily a large income, but a steady one.
I'm considering doing some app development and getting it out there on the Apple and Google Play stores. Charge a small amount and/or supplement it with ad revenue. If the app is good enough, that's income for a good 2-5 years, maybe more. Then use the capital from that to purchase some rental properties. Prior to that I'd set up a corporation to protect my personal assets and to reap the tax benefits. Rinse and repeat until rich
. Solid plan? Not really, but it's more than what most people come up with.
". Then a few years later because they never had a plan or really knew what financial independence was. People think that by being frugal and saving you'll be financially independent, but that money can run out quicker than you expected. Like @outordinary mentioned, passive income is important; some people achieve this through real estate, others through partial business ownership, etc. No matter what you do, just make sure it's an area you've investigated and that it'll provide you with a steady income - not necessarily a large income, but a steady one.I'm considering doing some app development and getting it out there on the Apple and Google Play stores. Charge a small amount and/or supplement it with ad revenue. If the app is good enough, that's income for a good 2-5 years, maybe more. Then use the capital from that to purchase some rental properties. Prior to that I'd set up a corporation to protect my personal assets and to reap the tax benefits. Rinse and repeat until rich
. Solid plan? Not really, but it's more than what most people come up with.
Sold a few businesses since 2010 ... semi-retired twice
Don't think i'll ever retire because I love growing companies too much
and have seen what retirement does to the human mind in nursing homes...
fukk that,
Don't think i'll ever retire because I love growing companies too much
and have seen what retirement does to the human mind in nursing homes...
fukk that,
outordinary
Pro
It seems to me that usually people are gung ho in the beginning saying, "I'm going to be financially independent and never work again
I'm considering doing some app development and getting it out there on the Apple and Google Play stores. Charge a small amount and/or supplement it with ad revenue. If the app is good enough, that's income for a good 2-5 years, maybe more. Then use the capital from that to purchase some rental properties. Prior to that I'd set up a corporation to protect my personal assets and to reap the tax benefits. Rinse and repeat until rich
That is more solid than most plans I've seen out here. I've followed a blog from a military officer that was trying to achieve FI by 40 years old which is possible by him because of different factors.
1. He has a side hussle through his blog which garners attention from people that want FI, military members that want an opinion that is influenced by one of their own, random others who stumble upon his site etc. He made an ebook from most of his site shyt (speaking of that, don't think that you cant make an ebook and make good money from it, if you are good at writing, just say fukk it and do it!
)2. He uses investment vehicles such as the TSP (military version of a 401K/IRA), His house which he rents out on AirBnB (fukk AirBnB though, put your house on Innclusive (black owned AirBnb type site
) , He is making bank from being an officer and going on them deployments (I know this because I'm doing the same, not an officer tho 
)3. As always needed in anybodies life, he is budgeting his money and going debt free.
But yes, you will always need a way to get steady income, ALWAYS, even if you have three milly in the bank.
The plan came about from reading a couple of Robert Kiyosaki's books. I started with Rich Dad, Poor Dad, then I read Conspiracy of the Rich. I'm currently working my way through Why We Want You To Be Rich (coauthored by Donald Trump :cacjpls: ). I found a copy of Kiyosaki's games Cashflow 101 and Cashflow 202 and have been building knowledge from there.
Reading Rich Dad, Poor Dad gets you to change the way you think about money and building wealth. Conspiracy of the Rich helps you to understand that there are multiple avenues for creating passive income and they're derivatives of your knowledge; he simplifies the concept of derivatives and if you get a handle on it you'll have your
moment. The Cashflow games make you focus on generating passive income rather than just amassing a lot of money. First time I played 101 I went bankrupt within like 5 or 10 turns. Played it again and lasted a bit longer. After a few iterations I was lasting throughout the game, but not winning. Eventually you understand what you need to do to get out of the rat race (which to me is the most important learning experience) and how to move on to the fast track. Although the game classifies a win as going from Rat Race >> Fast Track >> Out of the Fast Track, I think the real win is getting to the fast track, because that's the most difficult part. All the setbacks can be discouraging and frustrating, but the idea is to keep plugging along and try to be creative with how you generate passive income. At this point I've learned 101 so well that I purposefully stay in the rat race to see how much passive income I can generate before the computer gets ready to move to the fast track.
Cashflow 202 follows the same lines but introduces a lot more uncertainty and throws bigger roadblocks your way. Once again, the first time I played it (and this is after "mastering 101") I was bankrupt within a very short amount of time. After several iterations you strengthen what you learned in 101 and also learn to take short term losses for long term gain. I haven't mastered it just yet, but more often than not I'm making it out of the rat race.
Ideally this experience will translate to the real world, so now it's just a matter of time.
Reading Rich Dad, Poor Dad gets you to change the way you think about money and building wealth. Conspiracy of the Rich helps you to understand that there are multiple avenues for creating passive income and they're derivatives of your knowledge; he simplifies the concept of derivatives and if you get a handle on it you'll have your
moment. The Cashflow games make you focus on generating passive income rather than just amassing a lot of money. First time I played 101 I went bankrupt within like 5 or 10 turns. Played it again and lasted a bit longer. After a few iterations I was lasting throughout the game, but not winning. Eventually you understand what you need to do to get out of the rat race (which to me is the most important learning experience) and how to move on to the fast track. Although the game classifies a win as going from Rat Race >> Fast Track >> Out of the Fast Track, I think the real win is getting to the fast track, because that's the most difficult part. All the setbacks can be discouraging and frustrating, but the idea is to keep plugging along and try to be creative with how you generate passive income. At this point I've learned 101 so well that I purposefully stay in the rat race to see how much passive income I can generate before the computer gets ready to move to the fast track.Cashflow 202 follows the same lines but introduces a lot more uncertainty and throws bigger roadblocks your way. Once again, the first time I played it (and this is after "mastering 101") I was bankrupt within a very short amount of time. After several iterations you strengthen what you learned in 101 and also learn to take short term losses for long term gain. I haven't mastered it just yet, but more often than not I'm making it out of the rat race.
Ideally this experience will translate to the real world, so now it's just a matter of time.
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OfTheCross
Veteran
2018 bump
