Net Worth by 28 to Retire & Live in Developing Countries

[bepresent]

Hey everyone - glad to have found this forum!

About myself: 20 years old, completely agree with a minimalist lifestyle, material possessions won't buy me happiness, just enjoy life, be present & be a good person. Not interested in following the western style of life.

What I'm thinking: Retire in late 20s, hop around and live in multiple countries (may have a partner/gf - can't predict this part).

Question:
1. Net worth required? - Living in Asian Countries(e.g. Thailand, SEA Asia, South Korea, Japan, India etc...) + other developing countries

I've done some calculations and have my number, but curious as to what you think!

[chenda]

You can live well for £100 a week in Thailand. Not well in Japan though!

[slowtraveler]

@Chenda

I would be shocked. How'd you pull that off? Rent with a kitchen is more than that. Visa runs, food, health care...

Are you living off begging at temples and only spending on Visa runs and clothes for the temple? Only way you could pull that off.

[bepresent]

PS: My thoughts

MAX Budget: $2k Living costs per month (single, no kids)
Implied: $24k p/a
Target Spend: $12k p/a

COMFORTABLE Net worth: $800k (~£570k GBP)
3% real return (70% real estate, 30% index funds) - $24k p/a

Re-invest excess real return (24k-12k) = $12k p/a

Travel and live around the world (and increase net worth in real terms at the same time) spending $12k p/a
- does this sound realistic? (ignoring my ability to achieve such a net worth)

[chenda]

@slowtraveller - sorry I meant write £100 a week Edited.

[slowtraveler]

That's bare bones but I could see those numbers working out.

$100/month rent
$200/month food
$100/month transport/visa runs

Extending a Visa exempt entry is around $60. Plane ticket out and in around $100-150, bus has more limited visa exempt entries in a year, required unless on a retirement visa but at 28, not happening.

I think 1-2k/month is very reasonable for a fun time as long as one doesn't go overboard or engage with parasitic lovers/friends.

[2Birds1Stone]

That's bare bones but I could see those numbers working out.

$100/month rent
$200/month food
$100/month transport/visa runs

Extending a Visa exempt entry is around $60. Plane ticket out and in around $100-150, bus has more limited visa exempt entries in a year, required unless on a retirement visa but at 28, not happening.

I think 1-2k/month is very reasonable for a fun time as long as one doesn't go overboard or engage with parasitic lovers/friends.

Since the £100/week is $140/week, it works out to $606/month, which would provide that extra $200/month in wiggle room, but not something I would personally try to attempt. You are one emergency away from being in deep shit.

[JamesR]

I'm in Chiang Mai, Thailand right now.

Food: 6000 baht/mo (mainly eating out 3x a day at basic Thai restaurants 35-55 baht meals, 7-11 snacks/beverages)
Rent: 5000 baht/mo (no kitchen! just a large room with a balcony and private bathroom attached)
Water: 200 baht/mo
Electricity: 500 baht/mo (mainly fan)
Internet/WIFI: 300 baht/mo
4G pre-paid SIM (unlimited data): 381 baht/mo
Motorbike Rental: 2500 baht/mo
Gas: 300 baht/mo
Cafe/Coworking spaces: 1800 baht/mo
Visa costs: 1800 baht/mo (cost of getting single entry 2 month visa + cost of 1 month extension + hidden costs, divided by 3 months)

(It's pretty approximate, I don't track my food/cafe/gas spending closely.)

TOTAL: 18,781 baht/mo == $601 USD/mo

So basically £100/week is what I'm already doing, and I'm not even trying.

There's lots of room for savings here.. for example rent drops to 4,000 baht/mo if I commit to 3 months.

[bepresent]

Amazing, James!

If you don't mind me asking, what's your situation and plan going forward?

Edit: Just found an old post of yours (last post), viewtopic.php?f=3&t=5061&p=72556

[JamesR]

Bepresent,

It didn't quite play out like in that old post. I ended up quitting after 1.5 years, and I traveled abroad for 9 months. Then I went back to work for another 1 year. Now I'm back abroad. It's a bit of a pattern for me.

I'm currently working on mobile web app (startup idea) for the past 2-3 months, I'm not depending on it to be profitable, it's more of a learning experience at this moment. Hopefully it takes off, but I won't be surprised if I end up going back to a 9 to 5 job in a year (with a stronger skill set).

That's the nice thing about ERE though, that I can save up a lot of money in Canada and now I have the freedom to take lots of time off, even if my savings haven't hit a sufficient number. It's nice to have an "emergency fund" that would last 10 years or more based on current conditions.

By the way, Chiang Mai is the sweet spot in terms of cheap/quality/convenience. I would add on an extra $100-200 for most other South East Asia countries. I think my average is closer to $1000/mo due to the extra flights & hotels (before finding monthly rentals) while relocating between different cities/countries in the past 6 months. Biggest savings are going to be if you can settle down for 6+ months long term somewhere and get good rent & home cooked meals. I guess to answer your original question - I think $250K is a good number.

[jacob]

Anyone know how this went down on the ground?
https://en.wikipedia.org/wiki/2014_Thai ... at#Impacts

[JamesR]

@jacob I wasn't there. I vaguely remember some other coup/event happening around 2009/2010? The conflicts were in pretty localized areas and they don't bother foreigners. My impression is that the military is essentially running the show but handing off power to the elected government of the day. The military also seems very protective of tourists. For example a couple years ago some police raided a co-working space in Chiang Mai because of digital nomads working remotely on tourist visa. Most did not get in trouble, and a few days later the police chief got fired from his job by the military officials.

[bepresent]

@JamesR Hope the app and everything else works out for you! Alternating between working and travelling does sound fun

What are your thoughts on kids/wife?

Very lucky to have experience growing up in a family with siblings (I love them lots!) much younger than me (I looked after them when they were babies), and I'm pretty sure I won't be having kids so will base my FIRE number on that (time, money, 18+ years contract you'll have to stay/care for them, denies the potential for freedom from a young age, amongst other things).

[jacob]

Public service announcement. Reminder from the forum rules.

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[RealPerson]

One time we landed at the airport in Bangkok on the day of a coup in Thailand. We really didn't see anything special. Coups in Thailand involve politicians and you would really not notice anything unless you went to the government district in Bangkok. As a visitor, and even as an expat I assume, you are essentially not affected. I imagine that if you get involved in Thai politics that might be a different issue. But I am mostly concerned about figuring out the menu in a restaurant. Thai politics are of zero interest to me.

[JamesR]

@bepresent,

Basically I assume I'd have wife/kids someday, but I don't factor that into my number. I think along the lines of "retire first, then get rich" - basically the freedom means freedom to work on things that interest me, and that side incomes would appear naturally anyways.

[Jean]

Kirghizstan is an option in this price range too, If you want gorgeous mountains.