2Birds1Stones' 350 day hustle to freedom!

Where are you and where are you going?
2Birds1Stone
Posts: 227
Joined: Thu Nov 19, 2015 11:20 am

Re: 2Birds1Stones' 25 month hustle to freedom!

Post by 2Birds1Stone » Wed Feb 21, 2018 9:30 pm

classical_Liberal wrote:
Wed Feb 21, 2018 7:41 pm
@2B1S
Yeah man, I hear ya.
I know you do. You're one of the very few people who actually do.

You've already reinvented yourself a few times, successfully, so the confidence is there.

I'm happy to do so myself, and am quite confident that my innate ability to genuinely give a shit about people and(or) organizations and want to solve their problems, helps me as an effective sales professional, where I always look for the "win-win", to a fault sometimes. I'm just worried that once I get a taste of freedom, I'll just want to keep going and getting back to the earning and growing the nest egg mentality might go out the wayside.

2Birds1Stone
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Re: 2Birds1Stones' 25 month hustle to freedom!

Post by 2Birds1Stone » Thu Feb 22, 2018 8:21 pm

Today my fiance got let go from her job. She is stressed about finding a suitable replacement that will pay enough.

She doesn't know I'm secretly hoping to be right behind her, that way we would totally do what you suggested C_L and take a test drive with some UI.

classical_Liberal
Posts: 330
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Re: 2Birds1Stones' 25 month hustle to freedom!

Post by classical_Liberal » Sat Feb 24, 2018 11:00 am

Yikes! That wasn't anticipated, was it? I'm not sure weather to congratulate or say sorry.

If I were the type to believe the universe is sending you a message...

My GF pulled a super surprise move on me yesterday. Out of the blue she sold her money pit, super luxury car! WTF? I asked her why, she said so she can save for our sabbatical instead. There had been some general talk about her best financial moves, but I never anticipated she'd ditch her beloved so quickly.

trailblazer
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Re: 2Birds1Stones' 25 month hustle to freedom!

Post by trailblazer » Sat Feb 24, 2018 8:06 pm

2Birds1Stone wrote:
Wed Feb 21, 2018 9:30 pm
I'm just worried that once I get a taste of freedom, I'll just want to keep going and getting back to the earning and growing the nest egg mentality might go out the wayside.
There's only one way to find out!

2Birds1Stone
Posts: 227
Joined: Thu Nov 19, 2015 11:20 am

Re: 2Birds1Stones' 25 month hustle to freedom!

Post by 2Birds1Stone » Sun Feb 25, 2018 7:26 am

classical_Liberal wrote:
Sat Feb 24, 2018 11:00 am
Yikes! That wasn't anticipated, was it? I'm not sure weather to congratulate or say sorry.

If I were the type to believe the universe is sending you a message...

My GF pulled a super surprise move on me yesterday. Out of the blue she sold her money pit, super luxury car! WTF? I asked her why, she said so she can save for our sabbatical instead. There had been some general talk about her best financial moves, but I never anticipated she'd ditch her beloved so quickly.
Unanticipated to a degree. She started there last May and wasn't happy and it wasn't going as well as she had hoped. I'm sure she would have preferred to find a new gig on her own, now she's got a fire under her ass before she has to tap her savings to pay bills.

Wow! That's a huge move. I'm contemplating selling my Infiniti when the weather gets nicer. It's a RWD 6MT so finding buying in NY in February is going to be hard. I have some deferred maintenance coming up that will cost $1k. Needs all new tires and brakes.

trailblazer wrote:
Sat Feb 24, 2018 8:06 pm
2Birds1Stone wrote:
Wed Feb 21, 2018 9:30 pm
I'm just worried that once I get a taste of freedom, I'll just want to keep going and getting back to the earning and growing the nest egg mentality might go out the wayside.
There's only one way to find out!
=)

2Birds1Stone
Posts: 227
Joined: Thu Nov 19, 2015 11:20 am

Re: 2Birds1Stones' 25 month hustle to freedom!

Post by 2Birds1Stone » Wed Mar 07, 2018 9:07 pm

Assets
$113,400 Cash
$96,600 401k
$58,100 Taxable
$53,600 Roth IRA
$15,500 Ag Holdings
$12,600 Vehicle Equity
$16,000 HSA
$11,100 Au Holdings
$376,900 (+$1,900)

Spending
$550 Rent/Utility
$77 Grocery
$69 Gas
$250 Entertainment
$100 Depreciation
$169 Vehicle (registration)
$50 Cell
$645 Insurance (6 month Auto + 12 month motorcycle)
$148 Misc
$25 Gifts
$2,083 Total Spend

Income
$3,570 Salary
$1,724 401k
$533 HSA
$2,000 Referral Bonus
$2,700 Other
$10,527 Total Income

2Birds1Stone
Posts: 227
Joined: Thu Nov 19, 2015 11:20 am

Re: 2Birds1Stones' 25 month hustle to freedom!

Post by 2Birds1Stone » Thu Mar 08, 2018 3:18 pm

I watched the documentary "Minimalism" yesterday, featuring the folks from www.theminimalists.com and I found some inspiration to further declutter and get rid of more stuff.

I also want to try a spending experiment moving forward.

The goal will be to see if I could live off of the amount equivalent to 5% of my assets. I would go for 4%, but right now it's simply unrealistic. 5% would still force me to spend significantly less than I did in the past, narrow the gap to FI, and practice for when I am ready to pull the plug.

Since my SO was let go from her job two weeks ago, we can both practice more purposeful frugality.

classical_Liberal
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Re: 2Birds1Stones' 25 month hustle to freedom!

Post by classical_Liberal » Sat Mar 10, 2018 1:51 pm

When I first came across the idea of early retirement, I spent some time reading the the minimalists blog. I found the courage of quitting a high powered corporate job (I forget which one of them had done it) because it had reeked havoc on his personal life encouraging. Other than the personal history, much of the content seemed to lack depth and quickly became very commercialized. Did you enjoy the movie enough/feel it had enough good content to recommend it to the already ERE minded?

I like the idea of trying to live off of your WR. Do you have the time/energy to try to develop any other forms of cash flow while still working? Maybe the addition of that piece in concert with the 5% WR will make you feel more comfortable to try the sabbatical?

Recently, I've been experimenting with some proven models of side income (I hate reinventing the wheel). More so to see if I enjoy doing any of them vs actually trying to make money. So far, "no go" on anything I've tried. If I find something enjoyable I'll move on to monetization. Perhaps I should start in reverse by doing something i enjoy, then find a way to monetize it. However, it seems I enjoy doing so few things, I don't want to ruin one of them... So who knows how I will proceed.

2Birds1Stone
Posts: 227
Joined: Thu Nov 19, 2015 11:20 am

Re: 2Birds1Stones' 25 month hustle to freedom!

Post by 2Birds1Stone » Sun Mar 11, 2018 9:57 pm

classical_Liberal wrote:
Sat Mar 10, 2018 1:51 pm
Did you enjoy the movie enough/feel it had enough good content to recommend it to the already ERE minded?
Nope!

I want to sleep on my answer to the rest of your post =)

2Birds1Stone
Posts: 227
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Re: 2Birds1Stones' 25 month hustle to freedom!

Post by 2Birds1Stone » Mon Mar 12, 2018 1:00 pm

What are some of the proven models of side income you are referring to?

My hobbies are largely outdoor activities like running, mountain-biking, hiking, swimming, etc.......but I'm not super competitive at any of them. I just really enjoy being outside, getting fresh air, adrenaline rush, camaraderie from group runs/rides/swims with my team mates. etc.

I did nutritional consulting/coaching for a while while working retail before switching to my current profession, I was making between $200-800/month but that was during I time I competed in drug free physique and powerlifting competitions and was waaaay involved in that community. I've been out for 4+ years.

classical_Liberal
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Re: 2Birds1Stones' 25 month hustle to freedom!

Post by classical_Liberal » Mon Mar 12, 2018 4:31 pm

@2B1S
Like I said, its more the models, seeing if i enjoy doing what they entail. I really just want something to earn a few hundred a month, that could scale if I really got into it, but the main thing would be I enjoy it as a hobby and can have direct control of the time I choose to put into it. Something to avoid too much draw-down and bridge the gap of taking time off from nursing, in order to avoid burn out, with plans to eventually going back to it part time.

Specific examples: The GF made some cuties soap bars, which I assisted with and sold on Ebay (Etsy would have been a better platform, but I've already sold on Ebay and was just experimenting to see of I enjoyed the process). I did something similar with a coworker who spends her free time making tee-shirts with a machine she purchased years ago, she was just doing it for fun and we scaled it up a bit for online sales for a couple months. A friend/coworker started a food cart business for lunch at the hospital three years ago and since his side business had ballooned to 2 food trucks + the original cart selling hotdogs. I offered to do the original cart for a couple of my days off last fall, to see of I would enjoy it (not really, plus to make decent money he has to consistently be in certain places at certain times). I actually enjoy driving, so ride sharing would be fun for me, but the profit margin is low with vehicle requirement considerations. Again, all money is made at certain times, so I'd HAVE to be available during those times. A few others as well.

Unfortunately, my conclusions were I really didn't enjoy doing any of these things very much, and/or the profits are relatively low for effort. Even if I find a niche with higher profits, it wouldn't last long with part time effort; any competitor would overwhelm me. I value my time enough that I either really have to enjoy what I'm doing with, OR not hate it and earn enough money to make me feel it's worth the trade. Given my current and past professions, I'd be much better off getting a PRN (work only if I want) nursing position, or a part time sales. The problem is I'm browned out on nursing and I had completely burned from sales a decade ago. I'm not sure If PRN would save me from the impending burn out, frankly even taking a year or two away may not save it. There are plenty of other sub 50K entry-level jobs I could try and have the connections/ability to get, but they generally have full time expectations, so I'm not sure those would help either.

I'm in the same situation as you in that I don't really have enough money to be FI at my preferred 3-jacob spending level, so quitting a good paying FT job I don't yet hate is tough to stomach. I've burned out on things I liked before and frankly, I need to be more wise in the future. Unpaid training (degree height requirements) for specialized positions takes too long to go through again. OTOH, deadly combinations of golden handcuffs, imposter syndrome, fear of change, have lead to a situation in which I may burn out before I take advantage. This is why YOU should lead the way for me :lol:

2Birds1Stone
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Re: 2Birds1Stones' 25 month hustle to freedom!

Post by 2Birds1Stone » Mon Mar 12, 2018 7:41 pm

Ah yes, your last paragraph is amusing and timely, and speaking of asset levels, your journal is overdue for an update *hint hint*.

I'm having a hard time quitting a job that is currently paying me $7,500/month + benefits when I'm still a good clip away from being able to sustain myself on a 4% WR.

I also worry that if I have to go back to FT work, I would be miserable working a job making $40-50k/yr when I had the situation I am in now. One thing is for sure, there is no future for me at current Megacorp. I feel like taking this other job I'm in the process of interviewing (despite it's INSANE commute/costs) is a way spice things up from a variety standpoint, build up the resume, and since it's sales give it my 100% best shot and try to make some commission before I reach that burnout phase you are talking about, I don't think I'm quite there yet, or I would be writing my resignation letter.

We will see who cracks first ;) Will be a fun experiment.

2Birds1Stone
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Re: 2Birds1Stones' 25 month hustle to freedom!

Post by 2Birds1Stone » Wed Mar 21, 2018 6:27 am

"The Subtle Art of Not Giving a F*ck" by Mark Mason.

Read it in one sitting yesterday, some interesting concepts that I hope to deploy in my thinking and living. ERE makes a lot more sense once you internalize a few of the concepts.

2Birds1Stone
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Re: 2Birds1Stones' 25 month hustle to freedom!

Post by 2Birds1Stone » Mon Mar 26, 2018 4:10 pm

The market has been giving me a bit of anxiety about my plans. Specifically how much of my long term success in ERE will be based on market returns. This makes me realize even more that I should focus on skills outside of my job to ensure I am not only able to find work on a need to basis, but also to barter my time for that of others in a useful manner.

If the market stays flat till Friday, my NW will be somewhere in the $375-378k ballpark, which at 4% = $1,250/month or $15k annually. In some far corners of the world I would be comfortably FI. Since i have a SO to worry about, and I don't reside in Burma, I work a little longer. Right now my stache would cover the following costs....

$550 - Rent/Utility
$250 - Health/Dental/Hygiene
$150 - Food
$100 - Transportation
$50 - Cell/Internet
$50 - Gym/Sport
$100 - Miscellaneous

I'm not confident in longer term healthcare spending being only $250/month in the USA. But other than that, it looks like if I cut it down to a spartan lifestyle I am pretty much teetering with FI.

trailblazer
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Re: 2Birds1Stones' 25 month hustle to freedom!

Post by trailblazer » Mon Mar 26, 2018 6:16 pm

Revisiting your journal!

I read through “The Subtle Art” a few months ago. Maybe the book Jacob would have written if he was a frat bro that really liked the F-word :D :D Or maybe not . . . it’s not going to be for everyone but one concept that stuck with me was the idea of deciding what metrics you use to define your personal success - there was a world famous rocker who was depressed because he had been kicked out of a band that sold even more albums than he did. He could have benefited from understanding the whole web of goals/renaissance ideal concept. He was unable to redefine the situation or expand his understanding of it.

I admire what you’ve achieved, especially as you did it without a degree. When I think of the time and money I spent on that . . . ughh. And you’ve built what is hands down the most transferrable skills in business: sales. You’ve earned a break for sure, but nothing wrong with working a bit more - especially if you still have a sense that your current job might wrap up soon anyway.

Since you’ve kind of, sort of achieved FI with your current savings, you could consider “investing” some of your extra earnings into activities that will give you full reassurance to take the plunge. Maybe build up an additional 12 to 24 months cash that can fund the first year or two apart from any market returns. Or spend some of your earnings on trial runs even while still employed, even if it’s a bit more expensive than doing it long-term on your own - rent a boat for a week, do a short trek, take a class in auto mechanics, etc. I don’t have a lightning bolt idea, but I guess my gut is telling me you have the resourcefulness - just need a bit of confidence to push yourself over the edge.

2Birds1Stone
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Re: 2Birds1Stones' 25 month hustle to freedom!

Post by 2Birds1Stone » Tue Mar 27, 2018 8:30 am

Right on, welcome back tb!

It's been quite the ride and I had some high income years with relatively low spending to get to this point. I have the cash situation covered, will be at $115k in CD/High interest Savings by the end of this month. That would sustain my current lifestyle for 5 years.

I am deferring 100% of my salary into my 401k over the next 6 weeks, this is thanks to a new change to the 401k rules taking the max contribution from 20% of base salary to 75%. I will be living off savings and investing all of my income through mid June. That will lower my cash position and increase my stock shares.

The idea of part time work and testing out a bunch of stuff I would like to do when fully ERE'd would be cool, maybe I will enjoy PT work enough that it will not be something I want to give up regardless of being FI.

I think your gut is right, I'm building up the confidence to make a life change, it's just prudent to take advantage of the high income for a little while longer as it is still adding a significant amount to my portfolio vs. time spent working.

2Birds1Stone
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Re: 2Birds1Stones' 25 month hustle to freedom!

Post by 2Birds1Stone » Tue Mar 27, 2018 12:55 pm

I spent an hour rereading your entire journal, it was helpful in the sense that our asset levels are nearly identical, and you had the balls to pull the plug!

I worry about my future employ-ability, and what I would do about healthcare if the laws made it expensive to get without working. I would be one medical emergency away from having to slog it back to work. Then again a number of things "could" happen to derail anyone's plans. I reread the post I wrote to you about my plan to pull the plug at $420k or when I am no longer able to add 10% of my portfolio value in annual contributions.......I think that was a very sound plan. If I get laid off/fired from my current job, I would hit the second requirement. If I continue working here or at a new employer, I will hit $420k in about a year, which would be a great time to test out the ERE or semi ERE lifestyle.

I could potentially max out my 401k/Roth IRA for 2019 by end of April, and once the weather gets nice either get a part time job that's outdoors, or quit entirely and enjoy a summer like we once used to in school many years ago.

trailblazer
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Re: 2Birds1Stones' 25 month hustle to freedom!

Post by trailblazer » Wed Mar 28, 2018 12:14 pm

[This reply ended up being longer than I expected. :)]

420K sounds like a solid number. And in the meantime you have a view of the finish line. The recent market movement is a good test for what makes you comfortable. The market can be way more extreme than the past few weeks, so good to test how you feel during this storm.

The standard early retirement advice would say do a couple years more. For me personally, it came down to a gut feeling that I had just enough to make it. My plan is to live my life in a very flexible manner, and I have just enough experience doing that to be confident of pulling it off. I think I can have enough invested in alternatives to the stock market (cash, metal, etc.) that I can avoid being thrown onto the street for several years or more before I have to start liquidating stock or applying for traditional jobs. I realize that this approach is not going to feel good to most people.

Also, as I said in the journal, I can't imagine never earning another dollar. I haven't come up with any brilliant ideas yet, but I feel like over the next several years I can come up with some ways to get $5K or 10K a year - even if it's just a low wage seasonal job. That's the beauty of the type of life we are both thinking of - we don't have to come up with $100K per year . . . and we don't even have to come up with $5K extra per year for many years to come.

American healthcare . . . what a mess. I’m thinking of this more as a problem to be hacked than something to justify several more years of work. This year, I’m doing the Obamacare plan ($1 per month!). Even under the proposal that failed last year in the Senate, I would have turned out OK. Not as cheap but survivable.

I think we’re approaching maximum screwedness with our healthcare system - it impacts so many people that at some point a free market alternative and/or more low income subsidies will appear. In the meantime, I have enough assets to absorb a hit . . . I could swing $500/m premiums and $10K deductible for a little while and have time to problem solve my next step.

So in conclusion :) . . . even if you go a few more years, you will be achieving extreme early retirement. No need to rush it. But . . . you do have just about every possible advantage in this equation. Young, healthy, proven track record of low expense living, hard worker (I assume), extreme flexibility in terms of location/housing/kids. Your SO may not be FI but she’s not exactly broke. You have enough assets to absorb any number of short-term "disasters" - healthcare or otherwise, and you don't have to even think about extra income for many years. You are close to taking a test drive.

2Birds1Stone
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Re: 2Birds1Stones' 25 month hustle to freedom!

Post by 2Birds1Stone » Wed Mar 28, 2018 3:45 pm

Lots to think about for sure.

While I feel like I can live a flexible life, I have little practice in doing so over the past few years, but I also don't have anything outside of work that requires my ongoing commitment or focus like kids, a house, etc.

I am fortunate enough to be able to look at geographical arbitrage as a viable means to stretch the budget in the initial few years. Whether it's living in Poland and exploring eastern Europe for a while, or moving to Thailand for 6 months and exploring SE Asia, or even Central America, they are all options that are real. I would like to explore the world and gain some more perspective on how people live, what life outside of my own corner of the world looks like, and I think that the ability to come back to work a few more years will always be there (given health and the economy still exist).

The social aspects will be interesting to deal with, especially how my family and SO's family will react. I'm actually looking forward to the escape, and as I realize how many options we have, the stress of day to day life seems a bit insignificant.

Here's a video I stumbled on while trying to fall asleep last night. Granted this guy pretty much wastes money left and right, he STILL manages to live on $600/month in Chiang Mai (albeit not counting healthcare, or international travel costs).

https://www.youtube.com/watch?v=v61xbAJoQVI

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Viktor K
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Re: 2Birds1Stones' 25 month hustle to freedom!

Post by Viktor K » Thu Mar 29, 2018 2:15 am

There's a journal on here of someone in Malaysia as well living really cheap but with a pretty good quality of life. I think from what I've seen, Malaysia is one of the best for quality : cost of life.

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