Life updates July
Exit negotiation with my current employer did not go too well and I did not manage to engineer a layoff. I will get 2 months of salary as a “sign of good will” from my employer and then will leave at the end of August to start full time at the startup.
Major retooling of the approach will be needed, as I will be earning just a fraction of the current salary. I am currently re-reading Jacob’s book for the third time and will use the lame duck status in the office to create an ERE-worthy plan.
Portfolio in July
In July my portfolio increased from SGD 820,557 to SGD 830,173 (~ USD 601,000). I regained my official Lean financial independence goal of USD 600,000 in the portfolio - back to where it was in December last year. Investments of SGD 8,478 were supported by paper gains of SGD 1,138. First tiny gain after six consecutive months of losses for my portfolio, totalling SGD -96,289 year-to-date.
Expenses
In July I spent SGD 4,811. The biggest expense was groceries at SGD 1,183 - due to having a party for all relatives in my soon to be new home village - long story. I again “had to” hire a car etc - not ideal.
My hypothetical income at 4% WR is now SGD 2,767- far below my current wasteful spending.
Portfolio allocation[/b]
All is on track.
Outlook
This journal will end soon. After I leave my current boring employer of the last 14 years I will start a new journal where I will finally put my ERE knowledge to practical use.
Singvestor's awakening
-
- Posts: 206
- Joined: Tue Jul 21, 2015 12:48 am
Monthly update 85: July 2022 - quit my job!
Last edited by singvestor on Wed Sep 14, 2022 1:53 pm, edited 1 time in total.
Re: Singvestor's awakening
2 months salary seems like a success to me. What were you expecting with an engineered layoff? They could have simply let you go since you are leaving for a new employer
-
- Posts: 206
- Joined: Tue Jul 21, 2015 12:48 am
Re: Singvestor's awakening
It is a bit complicated, they did not manage to secure my visa in my home country Singapore and I was stranded in the expat host country. My host country has strong laws protecting employees and I could have sued, but I wanted to depart on good terms and accepted their first offers. Other people in my company got 10x this package, but I am just glad to get it sorted and be able to leave.
Just quitting the job is never a good idea in Europe, as laws protect employees and negotiating is always better. Of course one can never say "i am leaving for a new employer" or "i am resigning" - that would jeopardize the effort
Just quitting the job is never a good idea in Europe, as laws protect employees and negotiating is always better. Of course one can never say "i am leaving for a new employer" or "i am resigning" - that would jeopardize the effort
-
- Posts: 206
- Joined: Tue Jul 21, 2015 12:48 am
Monthly update 86: August 2022: final weeks of highly paid job
Life updates August and plan for September
In August I took a nice vacation to the Spanish Basque country and otherwise was in a lot of stress at work. On my last day I had to work till 6:30 pm, including an urgent meeting at 5 pm. Very weird feeling once it was all over.
I then moved myself to Germany, as unfortunately I need to take up tax residency there for my new startup job.
Goodbye high salary…
Now that I have started at the startup, the contrast in salary is enormous:
Old net salary after taxes: EUR 9,819 / month + lots of benefits
New net salary after taxes: EUR 2,630 / month + no benefits
We are working on our next funding round and once it is done, my salary will be increased to net EUR 4,100 / month, hopefully sometime next year.
Why the hell did I take this job?
My five reasons were:
1) Equity: In return for the mini salary I got a very large chunk of equity in the startup. The startup itself is in a highly profitable niche with a very good product, so should the startup work out after launch in 2026, I would stand to gain a fortune
2) Super job: the job is very interesting and I have a lot of decision making power as part of a three people leadership team. With the experience under my belt I would be able to find a new job easily
3) Fully remote: I will bugger off to Southern Spain to skip the winter
4) Nice colleagues: I have been working with them for over a year and like them a lot so far
5) Finally I can put my ERE training to good use
Portfolio in August
In August my portfolio increased from SGD 830,173 to SGD 840,531 (~ USD 598,000). Fresh investments of SGD 14,707 were offset by unrealized losses of SGD 4,349.
Expenses
In August I spent SGD 6,656. Way way too much. I consider it my last wasteful spending month, as now I am going full ERE mode with my lower salary.
Year-to-date I sit at a saving rate of 69%.
Hypothetical income
My hypothetical monthly income at 4% WR is now SGD 2,802 = about USD 2,000
1 JaFi, i.e. the budget Jacob lived on adjusted for inflation is currently approximately USD 10,300 / year or USD 860 / month.
I could therefore retire at 2.3 JaFis, so that gives me lots of security for the new job.
Portfolio allocation
All is on track.
Outlook
This is the end of this journal. Singvestor has awakened after 7 years of monthly updates.
I will start a new journal for this new part of life now
In August I took a nice vacation to the Spanish Basque country and otherwise was in a lot of stress at work. On my last day I had to work till 6:30 pm, including an urgent meeting at 5 pm. Very weird feeling once it was all over.
I then moved myself to Germany, as unfortunately I need to take up tax residency there for my new startup job.
Goodbye high salary…
Now that I have started at the startup, the contrast in salary is enormous:
Old net salary after taxes: EUR 9,819 / month + lots of benefits
New net salary after taxes: EUR 2,630 / month + no benefits
We are working on our next funding round and once it is done, my salary will be increased to net EUR 4,100 / month, hopefully sometime next year.
Why the hell did I take this job?
My five reasons were:
1) Equity: In return for the mini salary I got a very large chunk of equity in the startup. The startup itself is in a highly profitable niche with a very good product, so should the startup work out after launch in 2026, I would stand to gain a fortune
2) Super job: the job is very interesting and I have a lot of decision making power as part of a three people leadership team. With the experience under my belt I would be able to find a new job easily
3) Fully remote: I will bugger off to Southern Spain to skip the winter
4) Nice colleagues: I have been working with them for over a year and like them a lot so far
5) Finally I can put my ERE training to good use
Portfolio in August
In August my portfolio increased from SGD 830,173 to SGD 840,531 (~ USD 598,000). Fresh investments of SGD 14,707 were offset by unrealized losses of SGD 4,349.
Expenses
In August I spent SGD 6,656. Way way too much. I consider it my last wasteful spending month, as now I am going full ERE mode with my lower salary.
Year-to-date I sit at a saving rate of 69%.
Hypothetical income
My hypothetical monthly income at 4% WR is now SGD 2,802 = about USD 2,000
1 JaFi, i.e. the budget Jacob lived on adjusted for inflation is currently approximately USD 10,300 / year or USD 860 / month.
I could therefore retire at 2.3 JaFis, so that gives me lots of security for the new job.
Portfolio allocation
All is on track.
Outlook
This is the end of this journal. Singvestor has awakened after 7 years of monthly updates.
I will start a new journal for this new part of life now
-
- Posts: 800
- Joined: Fri Feb 01, 2019 8:40 pm
Re: Singvestor's awakening
Congratulations on the exciting new gig! Looking forward to reading about you using your ERE skills more too!
-
- Posts: 1610
- Joined: Thu Nov 19, 2015 11:20 am
- Location: Earth
Re: Singvestor's awakening
Congrats, really excited to see what being in ERE mode means for Singvestor.
Re: Singvestor's awakening
Congrats, excited to follow along on the new adventure