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Re: Douglas journal

Posted: Sat Mar 31, 2018 8:23 pm
by 2Birds1Stone
Hi Douglas,

You have seen the light and the progress since last year is pretty amazing. As someone who is a couple of years ahead of you in terms of discovering/applying these principles I want to encourage you and let you know that it works!

Does your wife work? You income is very healthy, if its growth outpaces inflation and you continue to derive more utility from your money you will reach FI much sooner than you think.

Re: Douglas journal

Posted: Sun Apr 15, 2018 5:10 pm
by Douglas
Thanks for the reply 2Birds. I saw the light maybe 4 years ago but I had a pretty big hole to climb out. For the longest time it was get out of debt, get out of debt! But now it is WTF do I do with all this money? Luckily I have been studying for a while but there is so much to learn. I am conservative with most of my predictions so the FI dates have a decent chance of getting pulled in especially if we sell our house later and move to a location with a relatively low cost of living.

My wife has not worked for about 2 years now, probably won't full time for another 5 or so due to the little ones. She does all sorts of things though to keep our home in order that allow me to focus on work / managing assets like side hustles, community networking, finding free stuff, social coordinating, documentation, parenting, ect. Although in my dream world she would be able to do that and have a job but it just wouldn't be possible without outsourcing most of the work. In an ideal scenario just as I am burning out from my career she is ready to go back to work so that we have health insurance and income.

Re: Douglas journal

Posted: Sat May 12, 2018 9:02 pm
by Douglas
this will be an interesting graph over time. The ultimate goal is to have the two lines intersect (time averaged) and then I will definitely have leveled up. I rarely go to bars / tap-houses anymore and I won't switch it up to moonshine to save costs. I now see the lines intersecting as a prerequisite for early financial independence which of course means more than having a bunch of money in the bank. Basically consuming alcohol will need to become more or less a social activity rather than a daily unwind. Let's see how this goes.

Image

Re: Douglas journal

Posted: Thu Jun 07, 2018 10:48 am
by Gilberto de Piento
At first I was shocked by the amount you are spending on beer. I assumed you were drinking a crazy amount (Is this guy an alcoholic?). Then I did some math, assuming you are drinking at home:

$80 for beer / $9 per six pack (the price where I'm at) = about 9 six packs.
9 six packs x 6 beers per pack = 54 beers.
54 beers / 31 days in a month = less than two beers per day.

Is that about right? If you want to save money in this area maybe cut back to one beer a night or replace a couple of the nice six packs with something more generic.

Re: Douglas journal

Posted: Thu Jun 07, 2018 3:19 pm
by 2Birds1Stone
I'm in the same boat with drinking. I have 3-4 beers a night, which if you add it up is insane. Even if it's 4-5 nights a week it adds up to ~60-80 beers a month. I probably spend ~$100/month on beer.

Re: Douglas journal

Posted: Thu Jun 07, 2018 3:39 pm
by Kriegsspiel
I drink a good deal too, because it feels fantastic. Drinking + lots of exercise = yes.

Re: Douglas journal

Posted: Sun Aug 05, 2018 6:32 pm
by Douglas
Musings on owning a mortgage and SWR

My biggest non ERE burden that I carry is home ownership before FI. I agree with the concept of renting as cheap a place as possible and then if you want buy a home with cash once you are FI. But since my wife 100% thinks owning a home is what you should do (and we have already bought one) I am stuck with a mortgage until we pay it off, likely within 7 years. By that time we should be really damn close to FI.

Ever since I started calculating monthly expenditures I have been counting our total mortgage towards our monthly total. Recently I have done some creative financial accounting and decided mortgage principal paid should not go to monthly expenses, thus decreasing our SWR. Folks say owning a home is not an investment but it sure ain't like being in student loan debt if done right.

I think this is the best way to factor in home ownership in you FI score card. Or at least the one that makes me feel best about having a mortgage. SWR just went from 44% to 37%. Small gain by creative accounting but I'll take it!

Re: Douglas journal

Posted: Sun Aug 05, 2018 7:04 pm
by stand@desk
Hi Doug,

I just read this thread and I may have missed your age and if you have children.

This thread is a perfect example of how strong inertia is..knowing you want to get out of your home ownership to increase advancement to FI, yet spouse wants to maintain home ownership. We have inertia in he renting side (luckily), have rented for many years and have no plans to move to home ownership...

I feel this is also similar to one holding losing stocks and sunken cost theory or whatever that is called. Hard to make changes against inertia.

Good luck with the progress..as long as you are moving positively on the S curve life is good, no matter how long it takes to reach the goal..

Re: Douglas journal

Posted: Sun Aug 12, 2018 5:42 pm
by Douglas
Musing on Career

Decided to stop working as many hours at work, from around 60-65 hours / week to 50-55 hours / week. They have somehow instilled fear of losing ones job to all the employees but at this point I could care less if they let me go. Thinking about working extended hours on the weekends now makes me want to throw up. We have 7 more years to go until FI so this makes me slightly nervous about how I will be acting with only a few more years to go. I should be able to get another job easily it just won't pay as much. I guess worse case scenario I work a few more years to make up for lowered salary.

Life is good and getting better!