FIRE Starters (Financial Independence, Retire Early)

Discussion in 'Financial Independence, Retire Early (FIRE)' started by Redwing, 21st Feb, 2020.

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  1. Redwing

    Redwing Well-Known Member

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  2. SatayKing

    SatayKing Well-Known Member

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  3. Redwing

    Redwing Well-Known Member

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    I thought the original retire early term FIRE came from light a fire under your ass (i.e get a move on)

    upload_2020-2-21_7-20-6.png
     
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  4. SatayKing

    SatayKing Well-Known Member

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    Nup. Started when a few bogans submitted an application to Centrelink or rather got someone who could read to do it on their behalf.
     
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  5. RS Gumby

    RS Gumby Well-Known Member

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    FIREstarter - great song by The Prodigy
     
  6. sash

    sash Well-Known Member

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    Yep...he was one of the original FIRE guys... pity Keith Flint was found dead ...in London....
     
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  7. Redwing

    Redwing Well-Known Member

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    Both of these were an interesting read on FIRE (in light* of current events)

    My LeanFIRE early retirement fears are coming true

    I originally drafted this article before we went on holiday, and when we returned the coronavirus crisis swung into full gear. Upon revisiting it, I realised that the crisis perfectly illustrates my concerns about LeanFIRE. Unfortunately it meant a light edit (eg: changing references to market bull runs from present tense to past tense…). But the main points were so salient that I think it stands alone, and the coronavirus crisis only serves to act as a real world example of my concerns about LeanFIRE in action.

    Yet I do have concerns about one subset of the FIRE community – the LeanFIREers.

    You hear stories about people retiring early as young as in their late 20s, but mostly in their early-to-mid 30s. They have certainly done extremely well for themselves and amassed usually at least $600,000 in investments and some have a paid off house – while others move overseas (usually to south-east Asia). Now that’s extremely impressive, and I tip my hat to them.

    However, I worry for them and others who aim for an early LeanFIRE retirement.

    I think this is a case where Admiral Akbar got it right: it’s a trap.

    For all the harsh criticisms of FIRE, I think that this is an area where people can be a bit naive and run out of money.


    How we structure our retirement investment portfolio

    Given the recent market turbulence, today I’m going to talk about the how and why of it in more detail. What hopefully gives our portfolio diversification and the ability to eventually produce $150,000 a year? Why do we think we can sustain ourselves from it for 50 years after we retire early before age 45? (Fingers crossed we make it into our 90s, anyway!)

    We’re building a retirement investment portfolio that’ll allow us to live a life where we can travel internationally for months each year while barely lifting a finger. So what does that sort of passive income portfolio look like?


    ...

    *Pun intended
     
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  8. SatayKing

    SatayKing Well-Known Member

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    Gets even Lean(er)(FIRE)?

    I get the FI part of it but the RE aspect I'm not entirely convinced. I suppose an element of environmental footprint involved and that is a worthy aim in itself. I wonder about a general contribution to society although it could be argued the environmental position is one.
     
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  9. Willy

    Willy Well-Known Member

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    We need to start looking at PovertyFire as an option.
     
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  10. Snowball

    Snowball Well-Known Member

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    Shredded/Ripped FIRE it is then!
     
  11. Snowball

    Snowball Well-Known Member

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    Haven’t seen any stories of FI people doing nothing ever again... though I don’t do a massive amount :D

    It’s a dream more than reality, based on having the choice to work. The actual ‘retire’ part is of course entirely optional, not a mandatory part of going down the FIRE path.
     
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  12. The Falcon

    The Falcon Well-Known Member

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    Another vexed subject. I wonder if there was always a FIRE movement (all those weird old bachelors and spinster tight arses....yeah I think they were the precursor).

    Nothing wrong with any of this but as long as eyes are wide open on the choice that one makes to check out in their peak earning years may come to haunt in the unproductive years. I guess it’s about front loading happiness and hoping for the best with optimistic market exptraolations. As valid a course as any I suppose.
     
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  13. Nodrog

    Nodrog Well-Known Member

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    Morbidly Obese FIRE, now that’s what I’m taking about:cool:.
     
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  14. Indifference

    Indifference Well-Known Member

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    The stench of judgement is palpable... Criticising & belittling people for being FI and choosing to RE wreaks of either envy or toffy nose judgement.

    Just because someone has decided to RE early doesn’t mean they don’t have capacity to readjust if a financial armageddon hits... quite the opposite. Having a sound financial position, living within your “real” means and having the luxury of time, affords the ability to readjust without standing in a queue at Centrelink.... why the intense ongoing judgement for these people?

    The alternative of working hard to grow a comparatively large asset base with an income bigger than any ever used throughout one’s life is equally an individual choice that we are all able to either choose or alternatively choose the value of time over more money and RE. Either way, it shouldn’t attract constant unproductive criticism from either side.... not that there should be sides in any case!
     
  15. Redwing

    Redwing Well-Known Member

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    moFIRE

    upload_2020-5-19_17-49-26.png
     
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  16. Redwing

    Redwing Well-Known Member

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    Jeff Bezos is retiring with a net worth of 185 BIllion. Using the safe withdrawal formula of 4% per year, he’ll need to survive on 740 Million per year or 2 Million per day

    Jeff Bezos’ Consumer CEO To Retire In 2021
     
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  17. Terry_w

    Terry_w Lawyer, Tax Adviser and Mortgage broker in Sydney Business Plus Member

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    Its not bezos but the vice president that is retiring.



    Jeff Bezos’ wingman is planning to quit next year.

    The Wall Street Journal (WSJ) reported Jeff Wilke, the 53-year-old confidant of the Amazon founder, told staff in a memo Friday (Aug. 21) he will retire in the first quarter of 2021. His replacement as CEO of Amazon's worldwide consumer business will be David Clark, now senior vice president of worldwide operations.
     
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  18. Redwing

    Redwing Well-Known Member

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    Bezo's just taking a back seat then

    Andy Jassy, the chief executive of Amazon Web Services, will take over as CEO of Amazon.

    Jeff Bezos
    said Tuesday that he will step down as chief executive of Amazon, leaving the helm of the company he founded 27 years ago
     
  19. Redwing

    Redwing Well-Known Member

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  20. Sydneyboy

    Sydneyboy Active Member

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    Thanks @Redwing . I watched that clip a while ago but its good to rewatch to refocus. One message that stood out for me was that the purpose of work is to create, whilst the purpose of earning money is to have enough money.

    I've been keen on FIRE for quite a few years now and am just nearing the end of a 6 week break from work. Having had this time off, I doubt I will truly retire any time soon, even if I did hit my figure. The most likely scenario is that I will try and find a job that I like more and find more meaningful, that I can do part time.