Monthly goal review:
- 20+ days no alcohol: failed (19 times)
- 12+ days sport: shamefully failed (only 6)
Moving to another continent is a very effective way to turn one’s life upside down. I can recommend it for those who are feeling bored. New job: turned out to be a step down in responsibilities and interestingness compared to previous job in Asia. At the same time, it is much better paid and comes with great perks, allowing me to reach FI faster.
Saving rate <10%? What happened?
Currently investments are trailing the plan in a spectacular fashion. The main reason is that I had to pay for my own business class flights, rental car, temporary accommodation and many more items out of pocket, which will now be reimbursed slowly. The only bright spot in the predicament are the airline miles I can rack up on my credit card.
I have always paid the card in full after every transaction and well before the statement, as I hate the feeling of owing money. The disadvantage is that I am obviously a free financing facility for my company.
In April my portfolio increased by SGD 1,437 or 0.8% to SGD 189,867 (USD 135,000). This was only a market gain since I did not invest a single cent. Hopefully things stabilize and all my claims get reimbursed soon.
Monthly investment vs. plan
Another zero investment month, but the last one I believe.
In April I received SGD 855 in dividends which are waiting for re-investment.
Hypothetical monthly income
Coast FI age
If I suddenly decided to stop investing, when would I be able to retire based on growth of current portfolio? Assumptions: 6% annual portfolio growth, 2% inflation. April result: I can retire at age 81...
2017 plan re-visited
At the beginning of the year I planned to invest SGD 53,000, but had a very messy first 4 months. Now it is time to right the ship and plan how to reach this goal:
Overall this plan should be very achievable if no major disasters occur. Right now I can see some significant upside potential, but reaching the previous goal of SGD 53,000 is the absolute minimum.
I bought a lightly used small car for a relatively cheap price (EUR 12,500). Owning a car is horrible and feels like a step back in mobility. I never had to have a car before and I find it to be quite a burden. Company is paying for some of the taxes and will compensate some of the depreciation once I end my contract in Europe.
The office is “only” 15-20 km away from my house so bike commuting on some days is an option. While most of my colleagues spend their money on expensive cars I have already spotted 1-2 fellow oddballs who came into work full of mud and in biking gear.
I estimate that I would be able to sell it for around EUR 7,000 in 3 years and would get about EUR 1,000 depreciation assistance from the company. That would lead to the following cost estimate over 3 years:
Cars are a stupid means of personal transportation. In Singapore I used to pay about SGD 70 / EUR 50 a month for public transport. What annoys me the most is the fact that they are horribly inefficient and stand around unused for most of their lives. Private car ownership is a terrible waste.
Obviously the cost needs to come down as much as possible. My approach will be:
1) Take the bike to work occasionally. At least 2 times a week during summer. Added fitness and happiness bonus.
2) No short errands with the car, use bicycle and walking for those
3) Try to lower parking costs
The best option would be carpooling with my colleagues, but I am feeling very antisocial in the mornings. Stupid excuse, I know.
Obviously the plan has many upsides for 2017. My feeling is that I will be able to save more than planned.
I have however taken some risks and bet on some opportunities. The biggest bets are non-monetary though. This week minimalist girlfriend and I will get married (visa issues accelerating our vague plans) and she will give up her job in Singapore to move to Europe with me. Her plan is to find a job, which would be an upside in my plans.
You will be pleased to hear that the “wedding” is true ERE style with costs < USD 200, but I am afraid a (cheap but stressful) party in China will be necessary in the near future.