classical_Liberal's Semi-ERE

Where are you and where are you going?
7Wannabe5
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Re: classical_Liberal's Semi-ERE

Post by 7Wannabe5 » Tue Dec 04, 2018 4:59 am

If you consider the example of Suelo or even Vicki Robin's experiments with becoming a locavore, what can happen is that the strange hobby-sets of autarky can start to morph into realization of profound interdependence with environment which may transcend concept of private property. IOW, you start to see the flows/funds of resources other than money more clearly, and the small contracts humans make with each other within the large scope of the laws of nature. But, you might still sometimes watch TV while eating Cheesy-Pops.

classical_Liberal
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Re: classical_Liberal's Semi-ERE

Post by classical_Liberal » Wed Dec 05, 2018 2:35 am

@ Jacob and @J+G

Previously I wouldn't have thought of spending reduction as an S-curve with effort and expenses. Low hanging fruit seems so effortless. Per J+G comment, in the initial phases it almost seems that reduced spending actually equates to reduced effort. However, I never really considered the contemplation/mental phase in Jacob's comment. So, I would have to completely agree when it's taken into consideration. It takes a lot of effort to swallow the red pill, so to speak.

I'm curious to ask any others reading who have reached "2 Jacob's" or less of spending; is there a consensus wrt J+G's opinion of it being the approximate point of the final stage in @Jacob's comment?

My 2018 spending will be somewhere in the range of 18K (2.3 inflation adjusted Jacobs). Which means I'm near or at that point. I had wrote about some frustrations several months back, feeling I was completely missing something critical about ERE-level spending/consumption. Maybe I just haven't been willing to put in the required effort. Previous progress was quick and easy post-contemplation phase, maybe I expected more of the same?

I do think it's telling that J+G believes it's easier to push past the linear phase without full-time work sucking most of a persons energy, and that Jacob stated he believes most who reach the final phase are not FI.

@7WB5
Any other suggestions wrt interests or hobbies that might help mature my yields and flows thinking? I know food supply and permaculture are near and dear to your heart, sadly though, I've had a hard time becoming interested in these subjects. I actually tried to get through a couple of permaculture books, but the underlying subject just doesn't hold my interest. I "get" that understanding the systems would help with ERE, but It'd be far easier if there was an underlying subject I had more interest in right now.

Edit: One last question for anyone. Assuming Jacob's statement is true, it's much easier to earn money past this certain point and most people never get there. Outside of having an interest (hobby) in pushing the limits, sustainability, or personal freedom in the form of economic independence (my main motivations); are there any advantages to the final phase as opposed to the (less effort) alternative of earning, say 8-10K a year to make up the difference?

I guess I'm trying to decide where to focus my efforts with little amount of reserve energy I have remaining while in the full-time working world. I need to make progress somewhere to feel comfortable making a move to semi-ERE. If I haven't been focusing enough energy over the past year to make the leap to next level spending reductions, maybe my above motivations just aren't enough for me to ever get there. Personally (screw the world :lol: ) maybe I'd be better off focusing on minimal entropy income.

Again, thanks for all feedback and response to all.

7Wannabe5
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Re: classical_Liberal's Semi-ERE

Post by 7Wannabe5 » Wed Dec 05, 2018 5:06 am

I can't recall whether you are already doing this to some extent, but given that you are interested in health, fitness, nature and travel, trading in your car for a bicycle might be a good move. Although I am sometimes inclined towards making fun of MAMILs, I have to say that the retired men I know who took up or expanded biking as one of their primary hobbies stayed in very good condition. My ex-FIL biked the Lewis and Clark trail at the age of 69, and his wife, who was still running a small business, would drive to catch up with him at various junctures. So, if/when your GF changed locations, you could take your time biking to catch up with her.

Systems analysis as a hobby can be done anywhere. Systems creation/maintenance is much more difficult when you are migratory. However, your personal health scape and development of erudition or skill sets which need minimal equipment are possibilities. I am currently reading a very good book on habit formation, "Atomic Habits" by James Clear, which I think is helpful in terms of seeing your life-style, and ultimately your identity, as a system of practices.

wolf
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Re: classical_Liberal's Semi-ERE

Post by wolf » Wed Dec 05, 2018 11:13 am

classical_Liberal wrote:
Fri Nov 16, 2018 4:07 am
11/16/2018
Years saved: 12.2yrs (8.2%WR) with estimate 20K annual spend.
How do you spend those 20k p.a.? Maybe you could give us a hint, where optimization could be done?
Probably you already know for yourself what could be done, in order to reduce expenses?
What change would be radical/innovative, that would lower your spending?

2Birds1Stone
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Re: classical_Liberal's Semi-ERE

Post by 2Birds1Stone » Wed Dec 05, 2018 1:08 pm

Hey c_L, I'm close enough w/ spending for 2018 coming in @ 2.02 JAFI if you exclude vehicle depreciation.

This is definitely the point where you have to be willing to make out of the box moves to further reduce spending. House hacking, living in an alternative living space (van, boat, motorhome etc), dumpster diving, or maybe working in food service where you don't pay for food.

@wolf, I did notice in the same post that c_L is looking to bring his spending down to $15k for 2016, that should prove a good exercise to figure out what is a want vs. a need.

Jin+Guice
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Re: classical_Liberal's Semi-ERE

Post by Jin+Guice » Wed Dec 05, 2018 11:58 pm

7Wannabe5 wrote:
Tue Dec 04, 2018 4:59 am
If you consider the example of Suelo or even Vicki Robin's experiments with becoming a locavore, what can happen is that the strange hobby-sets of autarky can start to morph into realization of profound interdependence with environment which may transcend concept of private property. IOW, you start to see the flows/funds of resources other than money more clearly, and the small contracts humans make with each other within the large scope of the laws of nature. But, you might still sometimes watch TV while eating Cheesy-Pops.
This is a great summary of the book. I think ERE is actually a permaculture book.





wolf wrote:
Wed Dec 05, 2018 11:13 am
I'm curious to ask any others reading who have reached "2 Jacob's" or less of spending; is there a consensus wrt J+G's opinion of it being the approximate point of the final stage in @Jacob's comment?

My 2018 spending will be somewhere in the range of 18K (2.3 inflation adjusted Jacobs). Which means I'm near or at that point. I had wrote about some frustrations several months back, feeling I was completely missing something critical about ERE-level spending/consumption. Maybe I just haven't been willing to put in the required effort. Previous progress was quick and easy post-contemplation phase, maybe I expected more of the same?
While it will differ per person and situation I do think that the actual cut off point for effort is closer to 1.5 Jacobs than 2.3. 0.8 is a small number but $18,000 is 80% more than $10,000, which sounds much larger. When you are really a zen master you will know that the actual dollar amount is irrelevant and that you simply seek the point where the marginal utility of every dollar is actually maximized. That term has enough bullshit in it to justify any spending level, but if you really ruminate on it, you'll realize that the optimal trade off between living your life in a state of misery (aka paid employment) and spending your time as you wish is very much in favor of freedom. Personally, I think that earning 8-10K is more ERE than "passively" getting it from investment income, because it's simply more interesting. But maybe I'm biased because living on 10k is trivial to me and I know basically nothing about investing.

At any rate, what I've been trying to convince you of is that if you don't like your job you're at a fine point the semi-ere. You have a job that is, more or less, scalable in income an hours and a bunch of money. You've changed careers and made bold moves before. Fulltime work is an aberration of the human condition and basically everything is easier without it. I think it'd be much easier for you to reduce expenses without a fulltime job, given that you're at the point where reducing expenses starts getting slightly challenging.

wolf
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Re: classical_Liberal's Semi-ERE

Post by wolf » Thu Dec 06, 2018 12:08 am

@Jin+Guice: I learn from your answer as well, but I didn't write what you quoted.

classical_Liberal
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Re: classical_Liberal's Semi-ERE

Post by classical_Liberal » Thu Dec 06, 2018 1:37 am

@wolf
20K is my "margin of safety" number. This year I will end up at about 18K of spending (although I just made another nonrecurring charitable donation which will bring it up). Next year goal will be 15K. I will report all of this, including estimates of where it was spent in my end of year update. I'd be thrilled to get your feedback when I do. Your reported numbers are actually one of the main inspirations for me, as I know you are working full time and under 1 Jacob.

@7WB5
I'm actually very interested in the psychology/neurology of habits. Both in their formation and how they impact out lives, so the book recommendation definitely makes the library list.

@2B1S
Thanks for the confirmation. As I report next years expenses monthly (it will be one of my posted goals in the new year update) it will become evident that travel/entertainment and food are my biggest weak areas. I have a car, but I got an insurance check for more than I paid for it years ago. I'm pretty happy with how housing is working out cohabitating with the GF. I doubt a van or RV would have any ROI and would equate to a perceived decrease in standard of living.
Jin+Guice wrote:
Wed Dec 05, 2018 11:58 pm
When you are really a zen master you will know that the actual dollar amount is irrelevant and that you simply seek the point where the marginal utility of every dollar is actually maximized. That term has enough bullshit in it to justify any spending level, but if you really ruminate on it, you'll realize that the optimal trade off between living your life in a state of misery (aka paid employment) and spending your time as you wish is very much in favor of freedom.
@J+G
That about sums it up. I need to figure out where I'm bullshitting myself wrt marginal utility. I can look at spending and flat out tell you how I could cut $500/mo if I wanted to. However, the benefits of the spending outweighs the cost in time, effort, and loss of hedonism. Which is why I make the choices I do. I guess I have myself convinced that with some initial time investment I could put systems in place to keep the benefits without the ongoing costs of time, effort, and loss hedonism. I may be fooling myself, or I may be too lazy to try.

In any event, if I was at 1-jacob of spending I'd be FI now. So I guess I've already made the decision that I prefer the option of earning to cover the gap (this is semi-ERE afterall). I do appreciate all your well thought-out comments, even if they just lead me full circle to learn that I'm probably at about the place I want to be,. That doesn't mean I wont try to push it a bit further. I would love to someday claim I live middle-class at below the poverty line in spending. I just need to accept this ain't gonn'a happen until I take the first step of dumping FT employment, I'm too lazy and too hedonistic.

classical_Liberal
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Re: classical_Liberal's Semi-ERE

Post by classical_Liberal » Thu Dec 06, 2018 3:34 am

Ha! So, after my comment I decided to reread 1.2 of ERE book. "The fourth most common barrier is that the benefits of the competing behavior are sufficiently high 'Although I'm miserable, at least I'm comfortable". Nice, I think I just wrote that...

classical_Liberal
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Re: classical_Liberal's Semi-ERE

Post by classical_Liberal » Tue Dec 11, 2018 9:54 pm

Unscheduled Update 12/11/2018:

Well, I’ve spent a great deal of time thinking about the insightful comments from my readers in this journal. Additionally, I have been rereading the ERE book, and have been gained inspiration from this classic thread, and this new thread. I think the book and the first thread are probably required annual rereads for anyone working towards ERE. As knowledge and progress is gained in ERE goals they provide new insights each time relative to where one is in the game.

Here’s what I've learned:
  • I’m a horrible decision maker in nonurgent, but major choices. This is because I prefer to keep options open/don’t want to close the doors on alternative possibilities. For me, this is the appeal of ERE generalism along with some degree of FU/FI. OTOH, the huge advantage generalism and FI/FU provide also handicap’s me due to paradox of choice.
  • The robust nature of ERE allows for nonpermance of decisions, whereas a “normal” life does not so much. Financial resources, generalist knowledge/skill, social capital, weaved in a robust web makes it possible to make a major decision and reverse course if need be. One change only slightly alters the whole. In my life experience major decision reversal or modification has come at a huge cost, costs I have not necessarily enjoyed paying. This is the reason for #1. I have come to realize my present reality is different than past reality thanks to ERE. The costs associated with changing/reversing course are now much less.
  • There is a paerto principle in play wrt levels of commitment. In any given realm there is much to be gain initially from variety, but the returns on variety diminish over time. Once the curve has flattened in gains from variety in a given realm, it is in my best interest to make some form of serious commitment. Serious commitment is reversible thanks to ERE, but it allows for exploration of optionality that is different in kind from the options available in variety.
So what does all of this mean?

Here is my previously published semi-ERE plan (I‘ll be referencing it). Even though it reads all well and good, I never really committed to it mentally. I thought “this is a good plan, but I’ll keep my options open”. Per ERE book section 1.2, one needs dissatisfaction, vision, and practicality (a plan) to make change. I have had a great deal of vision, enough dissatisfaction, but very little in practically (ie a concrete commitment to execute). So it’s clear where the work must be done.

The last two days I’ve spent several hours discussing the future with my GF. We bounced multiple ideas around for my Semi-ERE including the previously published plan. Through process of elimination we identified may major mental stumbling block with that plan all revolves around not having a permanent “home-base”. It creates a great deal of uncertainty for me wrt costs of living, severely limits my ability to establish a social network, and leverage ergodicity or pure serendipity for enjoyable income opportunities to sustain semi-ERE for the long term.

The plan was to travel the US for 2-3 years with GF working contracts looking for an eventual home base after some international travel(probably beginning in 2022ish). During this time the GF was going to pay off student debt and save for international travel. She would get to choose the location of her work assignments because the past year (and now next year) were locations based on my job. During this time it seemed foolish to pay for two housing costs, a home base and wherever the GF wanted to travel.

After the discussion I found that the only reason GF wanted to travel was to experience the variety of locations and had nothing to do with wanting to work in other locations. So I offered the idea of having a home base for the majority of her work, and for me to set-up a Semi-ERE situation. Additionally, her financial progress is proceeding faster than expected. Once student debt is paid, we could use home-base location while taking intermittent, longer-term travel trips in the US to experience other locations. She could still work at home base ½ to ¾ time to save additional funds for sabbatical though 2021-2. Simultaneously I would, hopefully, create a sustainable & flexible situation for Semi-ERE there as well.

This leads to the problem of determining “home-base” without having experienced living across large swaths of the US. Criteria include a large population base/economy nearby for airport access, income opportunities, and social opportunities. Preferably, the place itself is a “smaller college town” for affordable housing and entertainment, with less crime issues of major cities. It needs to have good weather for at least six months of the year with nearby outdoor activities like forests or mountains for hiking, lakes or ocean. Basically we need the ability to quickly “get away” to the outdoors so that we will want to spend large amounts of time near home-base.

This is where nonpermance of and limiting decisions helps. I already know of a place that meets these criterion, it’s in our own backyard in the Midwest. It’s been many years since I live there, but some quick research shows housing/rents remain very reasonable, and the job potentials for GF are large. As a bonus, it’s also within a few hundred miles of both of our extended families. We may find someplace better in our US travels, prior to sabbatical, but that’s OK, we’ll cross that bridge if it happens.

So…decision made! Phase I & Phase III of original plan are combined into a single Phase I; move to home-base where GF will find a series of contract jobs nearby. I will work on other legs of semi-ERE in our permanent location while we intermittently take a few months, here and there, to travel the US. She will save for eventual international travel and we will have “roots” to come back to as we please (the last half of previously published Phase III).

I feel so much more comfortable knowing we will have a home-base location. Doubly so, in that I already have a foundational network built, from years ago, in this town. The fact I can actually estimate ongoing housing costs, is huge from a financial perspective.

The only unsolved issue is timeline. I’m still sticking it out after the month trip in Feb/March for at least one, three month contract. This is mainly because both the GF and I want to spend the summer in the “other” town with my friend/now wife, and a close friend of hers who lives nearby. I’m going to wait for a triggering event before determining the exact timeline. A few very likely scenarios that I can forsee:
  • After getting into flow at the new assignment (4-6 weeks usually), I’m still miserable wrt work. I would put in my notice for the end of that contract (mid-June)
  • GF announces her student loan is paid off earlier than anticipated. No reason to wait, I would complete the current contract and quit.
  • In April/May I’m going to announce my planned return to home-base town in the near future on social media, etc. If my previous network there somehow provides an immediate, enjoyable, flexible, and all-around great semi-ERE opportunity, I’ll take it.

End of year update sometime in January. Peace out and thanks for all the help!

JustAGuyReally
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Re: classical_Liberal's Semi-ERE

Post by JustAGuyReally » Wed Dec 12, 2018 1:40 pm

C_L,

Are you moving to Madison? Crime's steadily rising (car thefts, retail theft, shootings [lots of Chi-Town gang stuff has migrated north]), and rent has outpaced wage growth, IMO. Lots of white collar workers coming in and driving the rent up, which is squeezing us humble blue collar folks.

Anyway, congrats on moving forward with things! I look forward to reading your travel dispatches and seeing how things progress during your next phase.

classical_Liberal
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Re: classical_Liberal's Semi-ERE

Post by classical_Liberal » Wed Dec 12, 2018 9:13 pm

@JustAGuyReally

Close, but not Madison, one state over in MN. I'm pretty sure I've provided enough info for a dox anyway... so the city we're looking at is St Cloud, about 60 mile NW of the twin cities.

Augustus
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Re: classical_Liberal's Semi-ERE

Post by Augustus » Thu Dec 13, 2018 6:48 pm

classical_Liberal wrote:
Wed Dec 12, 2018 9:13 pm
Close, but not Madison, one state over in MN. I'm pretty sure I've provided enough info for a dox anyway... so the city we're looking at is St Cloud, about 60 mile NW of the twin cities.
Just make sure to leave the keys under the doormat :)

Jin+Guice
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Re: classical_Liberal's Semi-ERE

Post by Jin+Guice » Thu Dec 13, 2018 9:06 pm

Glad to here you are progressing towards Semi-ERE! Get out before you burn out. Nursing is pretty much the most valuable skills you can have at pretty much any level of shit hitting the fan, it'd be a shame to want to quit forever.

Congratulations on picking a place to live. A mid-sized town in Minnesota isn't really my bag but it sounds like you really dig it. I do find the accent weirdly sexy.

classical_Liberal
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Re: classical_Liberal's Semi-ERE

Post by classical_Liberal » Fri Dec 14, 2018 5:38 am

Thanks guys!

Rip on St Cloud if you must :D! Average rent there is around $7-800, which means I'll find a place for $5-600. That's housing fit for two people, for one I already found tiny studios for $295, if things don't work out with the GF. It has multiple colleges, including one with about 40,000 students, which means cheap entertainment in the form of athletics, plays, concerts, etc. The mass transit system has won awards for best small city transit and it even links with the Minneapolis light rail transit system. It's less than an hour by car (or two by mass transit) to downtown Minneapolis (3.6 million metro area population) and only about 25 miles to the affluent NW sprawl where housing is easily 50-75% more. So tons of social and income opportunities. Also tons of areas for outdoors activates all over Central & Northern MN.

The bad news is that the weather pretty much sucks from Dec-April. So that'll likely be time to focus on the travel and/or income making opportunities. Plus there are plenty of rubes, but the academic types cancel them out well enough. It made national news a few years ago when some dude went on a stabbing rampage in the local mall, LMAO, seriously, a knife was his weapon of mass destruction. Anyway, I guess I'll avoid the mall :D . Who knows if it's a forever place, but it's good enough to start, and I'm kind-of getting excited about it!

The funny thing is, about 3-4 years ago when I was new to the FIRE idea, I considered Real Estate as a way to super charge my plans. Occasional I browsed real estate listings of multi-unit homes in places I had lived. There was a 5-unit complex of studio apartments for around 200K in St Cloud, I seriously considered making a trip there to look at it. I could have bought it, lived in one unit and managed it while working a the local hospital. I figured I could pay it off over 2-3 years and then live on the cashflow. I didn't, and eventually gave up on the idea as real estate because it tied me down too much (commitment issues anybody?). Also, didn't want too much net worth tied up in a hyper-local real estate market. St Cloud hasn't been on the radar since then... until now.

JustAGuyReally
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Re: classical_Liberal's Semi-ERE

Post by JustAGuyReally » Fri Dec 14, 2018 2:15 pm

I already found tiny studios for $295
Man, this is amazing. I think the best you'll find in my city is $475 (with a shared bathroom). You might get $295/month for a single room in a house! You're looking at $700/month for a 'luxury' studio in a more central part of town.

classical_Liberal
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Re: classical_Liberal's Semi-ERE

Post by classical_Liberal » Sat Dec 29, 2018 4:12 am

12/29/2018

Life & Such:
I finished a reread of the ERE book. My thought processes have changed dramatically as a result, although not sure I’m ready/able to properly articulate it all just yet. However, here are a couple of outcomes.

I actually wrote out my ideal web of goals with pretty colors and everything. I did not include my current job in it. It was very thought provoking.

I came to the realization that I’ve been operating under a flawed assumption. The assumption was that all spending is wasteful and any additional income is good (to offset waste/save and invest for future waste). I no longer think this is true. Spending is only wasteful insofar as A) I didn’t enjoy or otherwise gain (fulfill some other want/need) the process of earning it. or B) There was a better option available than earning/spending money to reach the desired outcome. Under this definition virtually all of my current spending is wasteful, but this doesn’t have to be the case.

There is also wasteful spending which is inherent to the larger system in which I live. The perfect example for anyone is taxes. Clearly everyone has a bone to pick with how those dollars are spent. A more specific, to me, example is the home-base I’ve been writing about. This had been a huge stumbling block for me. Considering I plan on spending a large percentage of my time traveling and living in a vehicle, it seems very wasteful to also have a home-base living arrangement. The problem boils down to the larger system in which I chose to live. It requires me to have an address for many purposes; including my professional license and decent/reasonably priced health insurance. Obtaining and maintaining flexible, meaningful work is also very difficult without a regular, home location. So I have a choice. Create a home base as a traveler would, in a state like SD which would allow me to maintain residency without a permanent home address, or just bite the bullet and except that the life I want requires some inherent systemic waste initially. Like a very cheap home-base address. Which, if properly integrated, could end up not being a waste at all.

I’m probably going to get back to these points in another entry. They are important because I’ve been looking at my situation from the wrong perspective. For now, I’ll do a typical end of year update, since financial progress is easier to quantify.

Financial:
2018 spending: $20,494 This included a large charitable donation at the end of year. Spending without this non-ongoing expense was : $18,494 I missed my goal by a few hundred bucks. I’m relatively content with these numbers given that it was a reduction of 24% year over year.
I’ll talk about financial goals for this year later, but first the chart:
Image
I still haven’t hit semi-ERE minimum!! Damned near-miss bear market! The portfolio has held up well though, particularly with income still coming in.

Please note a change in the chart, specifically the yellow line. The SS website has a number of calculators, all basically worthless for ERE. One option allows for calculation with no additional income, but then assumes reduced benefit at earliest possible age. The other assumes earning last years’ wages until full SS benefit at age 67. The calculators are also all delayed by last year’s earnings for some reason (even once those years earnings are present on statement). I created my own spreadsheet detailing benefit amount with no additional earnings. The yellow line is now more accurate and updated with all earnings through 2018.

Green line = 20K/.04
Yellow line= (20K -½ Social Security)/.04
Red line= 20k/.08

This accuracy update has provided an interesting situation in that I am now within striking distance of hitting that yellow line… if I remain full time for a bit longer. Once at yellow line, I could spend down any real gains and still be FI at traditional retirement age in 20 years (age 63). In an effort to not move the goal posts, I’m not going to make this a goal per se. Rather this is the next logical step forward in true financial freedom. The yellow line will simply be the next major milestone after the 250K mark.

Beginning at the end of 2019, I will also move the lines based on the previous year’s annual spend rate, plus any changes to expected SS with earned income. IOW, 20K in above equations will be replace with actual spend rate +/- any known, ongoing expense changes due to anticipated lifestyle change.

OK, on to assets. A brief description of my bucket approach:
FU bucket:
Image
These are the funds I can access in semi-ERE to supplement earned income/lack of personal ability to provide means to survive. These funds may also be accessed to supplement contributions old age bucket, if returns in old age bucket are below 3% real.

Old Age/Traditional Retirement Bucket:
Image
This bucket, in conjunction with 50% of SS estimate, is my old age money. When coupled with 50% SS, cfiresim gives me a 100% historical chance of success with current amount for a 30 year retirement beginning at age 63 with no additional income. I chose 63 because that leaves an even 20 year gap for semi-ERE.

A secondary back up to old age bucket is that I have a benchmark which assumes 3% real returns on traditional retirement savings. So each year I will calculate inflation adjusted minimum balance as a benchmark and compare it to reality. If the benchmark and reality begin to shift in the wrong direction too far, I will “top off” old age bucket with extra income or with funds from FU bucket. This will prevent a worse-than-ever historical situation from destroying old age nest egg.

2019 Journal goals:
Monthly spending documentation. I had prepared a huge list of how to categorize and track spending, but I changed my mind. I feel that a monthly budget/spend list is actually counterproductive. In Chapter 5 of the ERE book Jacob takes about the difference between plans and strategies. Trying to follow a budget is tactic for a plan, whereas I want to move more into overall strategic thinking. If something is expensive, yet holds a shit-ton of value, but it would blow my monthly budget… See where I’m going with this? Add to that the shear amount of time it would take to try and figure out categories of each item. It’s not worth the effort. As evidenced above I’m seeing year-over-year decreases.

New metric. It’s an attempt to use some strategic psychology in reporting my FI numbers. The general idea of using a psychological motivator like this was stolen from @wolf. Reporting net worth tends to infer I need more to be FI, whereas If I report where my spending needs to be at current net-worth, the weird c_L mind will focus on what really matters. This number will be based on the same 50% SS benefit at age 67 and will show Cfiresims point of 100% historical success rate with spending as the variable. IOW If I spend $X annually I would be FI 100% of the time by a historical analysis. Without further ado… today that number is $9,790

Goal annual spend. Is 15K + any charitable contributions. Approx monthly expense breakdown will look like this:
Housing/utilities/internet/Phone: $550
Food/Personal Care/HH supplies $200
Health/Fitness $100
Transport/Entertainment/Travel $300
Direct Work Related Costs $100

History. When I started this journal I promised a history piece each update. I have utterly failed as the task seemed too daunting. Intermittently my history comes up as it pertains to current events. So each month I will provide a short history of c_L for your reading pleasure. Some may be short, but each entry will have at least a little. I think I’ll go relatively chronologically, unless the stories get away from me.

Preparing for semi-ERE.
I’ll continue to write about my current thoughts both pre and post semi-ERE execution. I’ve found this very helpful with all the excellent feedback I get from all of you. Maybe my stuff can help some others. If reading the journals around here is any indication, there seems to be a recent uptick of interest in this type of lifestyle.

Happy 2019 to all!
Last edited by classical_Liberal on Sat Dec 29, 2018 4:05 pm, edited 1 time in total.

suomalainen
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Re: classical_Liberal's Semi-ERE

Post by suomalainen » Sat Dec 29, 2018 10:10 am

I look forward to hearing more of your thoughts on the home-base plan. I have mentioned to my wife wanting to slow travel after retirement (spend 3-6 months in a place, like @spoonman was doing) and while my wife is ok with that, she wants a home-base to return to so that someplace still feels like "home". But, you know, 8.5 years until the youngest graduates high school, so I've got plenty of time to mull over the specifics.

2Birds1Stone
Posts: 590
Joined: Thu Nov 19, 2015 11:20 am

Re: classical_Liberal's Semi-ERE

Post by 2Birds1Stone » Sat Dec 29, 2018 1:08 pm

I'm always in for financial porn =)

Really looking forward to seeing how 2019 pans out for you. If you haven't read it recently, I highly recommend livingafi.com's blog from the very beginning. I started re-reading it a few days ago and I'm here https://livingafi.com/2014/05/09/drawdo ... he-basics/ What a timely article with recent market events.

classical_Liberal
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Re: classical_Liberal's Semi-ERE

Post by classical_Liberal » Sat Dec 29, 2018 4:12 pm

@sou
I'll update as it develops. I really think it'll work out well this way. In my current city a doc just offered me a PT job at his clinic when he found out I was leaving the hospital soon. Regrettably, this place is just to remote for me, but it's a great example of how, after just a year, good things start to happen with local networks.

Edit: Spoonman's travel is exactly the type of thing I want as well. If you can keep "home-base" simple & cost effective enough, I think it's still possible. Particularly if maintaining that home base provides a basis for some meaningful work and social capital in the months not spent traveling. It really took me awhile to think of it in that way, rereading ERE book solidified it. I have to stop thinking of the home-base as simply a wasted monetary expense and see it for what it yields me as well.

@2B1S
I read Dr Doom about three years ago and actually emailed him after because his work history story was so awesome. He is the best story teller, by far, in the FI blogospere. Given how differently the ERE book hit me this time round, I think I will take your advice and reread his entries leading up to and post FI.
Last edited by classical_Liberal on Sat Dec 29, 2018 6:37 pm, edited 1 time in total.

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