Where I started on 1 February 2010:
- 2x projected yearly expenses in assets
- 50% + inflation ROI needed to retire
- 12.5% of my way to ERE
- 3.06 projected years to FI
Where I'm at as of 1 July 2010
- 8.3x projected yearly expenses in assets
- 12% + inflation ROI needed to retire
- 33% of my way to ERE
- 1.43 projected years to FI
June 2010 was by far my best spending month ever; it remains to be seen if it can be reproduced. I calculate my projections based on continuing my previous month performance indefinitely, which means this might be overly optimistic. In particular, I suspect July will be a step backwards. We'll see.
One thing is for sure, it's the decrease in spending rather than the increase in assets that is driving down the years to FI number so quickly.
Here are the categories that have changed the most since I started pursuing ERE, and the amount spent in each by month:
Housing: $700, $700, $800, $880, $416 (in the fifth month I moved into a $350/mo + utilities apartment!)
Food: $245, $305, $260, $103, $122 (in the fourth month I learned how to cook!)
Transit: $169, $50, $17, $46, $0 (in the second month I got a bicycle!)
Health Insurance: $137, $137, $20, $20, $20 (in the third month I canceled my self-employed health insurance and got on my new employer's plan. Eventually this cost will go back up.)
Although I've made big improvements on Housing and Food spending, they still represent the areas where I think I can cut my expenses the most, along with possibly Gifts, which is my fourth highest expense after Housing, Food, and Travel at $75/month on average. (I am unwilling to cut Travel.)
I look forward to your comments, and to running the numbers again on 1 August 2010.