ERE Year 2 - Geoarbitrage, Permaculture, and Nomadic Lifestyle Design

Where are you and where are you going?
plantingtheseed
Posts: 64
Joined: Sat Mar 28, 2020 7:23 pm

Re: ERE Year 2 - Geoarbitrage, Permaculture, and Nomadic Lifestyle Design

Post by plantingtheseed »

2Birds1Stone wrote:
Mon Jun 29, 2020 10:21 am
are you considering eastern Europe?
I was generally curious about Spain as we knew of some folks that moved there prior to covid. Heard the cost of living in EE is relatively cheap, a co-worker who traveled to, I think it was Budapest?, said he paid for the round of drink for the bar for like $100. :lol: Yes, I'm watching your journal with interest for some of these reasons. More for climate and cost of living than bars though.

ffj
Posts: 2178
Joined: Thu Aug 26, 2010 3:16 am

Re: ERE Year 2 - Geoarbitrage, Permaculture, and Nomadic Lifestyle Design

Post by ffj »

@2birds

I actually corresponded with one of the moderators to no avail to fix their system. I was polite but firm in my views and received basically a non-answer in the replies. And no changes.

What was interesting was that at the time I was receiving a lot of encouragement from random people in private messages, and one in particular stood out in the assertion that all of the mods are friends and personal buddies of the founder, so they watch each other's back, but not in good way. I don't know if it is true but it has merit as a theory.

It's a shame however, as I really liked that site in the beginning, but I'll never recommend it to anyone ever again. It was such a nice gateway drug to ERE too. ;)

2Birds1Stone
Posts: 1045
Joined: Thu Nov 19, 2015 11:20 am
Location: Earth

Re: ERE Year 2 - Geoarbitrage, Permaculture, and Nomadic Lifestyle Design

Post by 2Birds1Stone »

June Financial Update

Combined Assets
$710,000 (+$8,500)

Combined Spending
June - $1,448
Trailing Twelve Months - $24,624 (-$1,200!)

Combined Income
$0 earned income
~$850 in interest/dividends

Current Withdrawal Rate
3.5% (Portfolio = 28.8X annual expenses)

Musings
Individual May spending = $692, broken down for anyone curious;

$117 Grocery
$19 Transportation
$114 Entertainment
$244 Travel (Portugal -> Poland)
$74 Travel/Health Insurance (double billing this month as we get charged every 28 days)
$53 Health/Hygiene (Bicycle, foam roller, 24 hour gym pass)
$71 Misc (BT Speaker, bike lock)

Individually @ $13,463 - TTM Spending, 42.1X annual expenses, and a 2.37% WR!!

Spending was up from May, but still way lower than YoY for the month. Did NOT expect to get below a 4% household WR while traveling, but here we are.....individually I'm definitely in runaway mode. Dividends/Interest more than covered my expenses for the month.

Activity/Health

We walked way less in June due to traveling/quarantine etc. 170 miles in June vs. 317 in May.

It feels REALLY good to get back in the gym. Going to try a couple out here before picking one for the longer term.

Finally have a scale again, weight has been holding steady at 202-204 lbs, which for me is good. I know I lost some lean body mass and gained some fluff, but recomping while staying the same weight should be easy after not lifting for nearly 4 months.

more thoughts and musings tomorrow when I have more time, right now I'm exhausted after moving/stacking 2 full chords of wood that were dropped off at the Orchard.

classical_Liberal
Posts: 1680
Joined: Sun Mar 20, 2016 6:05 am

Re: ERE Year 2 - Geoarbitrage, Permaculture, and Nomadic Lifestyle Design

Post by classical_Liberal »

2Birds1Stone wrote:
Wed Jul 01, 2020 2:12 pm
Combined Spending
Trailing Twelve Months - $24,624 (-$1,200!)
Individually @ $13,463
Still spending more than your wife! Get with the program 2B1S!!!!

Awesome financial numbers!

2Birds1Stone
Posts: 1045
Joined: Thu Nov 19, 2015 11:20 am
Location: Earth

Re: ERE Year 2 - Geoarbitrage, Permaculture, and Nomadic Lifestyle Design

Post by 2Birds1Stone »

classical_Liberal wrote:
Wed Jul 01, 2020 2:16 pm
Still spending more than your wife! Get with the program 2B1S!!!!
Haha! I'm slowly catching up to her frugality. Doing a completely unbiased review of our spending since we left the state in March, I am spending more money on our shared experiences/indulgences. Simply because I have much higher individual assets/portfolio. We split the very basics of housing, cell phones, basic grocery staples, and travel/health insurance 50/50, but maintain our own finances/spending for other things. I tend to pay more when we go out, or splurge on some groceries or foods we don't consider part of our staples. It makes me happy to be able to do this, and let's her keep more of her monies for her own hobbies/interests. I know a lot of married couples instantly combine all finances into one pot, but I believe this autonomy over spending/managing our own money is beneficial for our relationship. No one has a chip on their shoulder over what discretionary spending the other has.

Right now we are really enjoying the "high life" and sparing no expense (within reason) here. I even had a $4 coffee here today, from a hipster coffee shop. That's like paying $12 for one back in NY if you consider local purchasing power. Last night we went out to a very good restaurant/brewery and ran up a $25 tab! After months of everything being closed it's felt good to enjoy a more normal nightlife/social life.

This is balances out because we have extremely low fixed costs right now. A barebone month for the two of us would look something like;

$200 - Grocery
$120 - Housing Co-op, Electric, Propane
$80 - Travel/Health insurance
$50 - Gym
$20 - Mobile plans w/ 15 GB Data x 2
$30 - Toiletries, paper goods, misc
$500 - Total per month for two people

It almost feels like we are cheating.....but the apartment sits empty when my parents are not here. My grandparents are getting much more socializing and help since we are visiting them several times a week, and helping with some lite cleaning, grocery runs, etc. My parents are very happy we are able to help their parents, and get use of the apartment. My grandfather is thrilled that he has someone to help with the orchard, and that someone is able to enjoy it.

We will be staying here till the end of October, and even if flights back to the USA are very expensive, it's going to be a super frugal year for us. Right now I see absolutely no point to go back to work in order to earn more money. This is a great feeling, and it took a while to internalize.

classical_Liberal
Posts: 1680
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Re: ERE Year 2 - Geoarbitrage, Permaculture, and Nomadic Lifestyle Design

Post by classical_Liberal »

2Birds1Stone wrote:
Fri Jul 03, 2020 9:18 am
I know a lot of married couples instantly combine all finances into one pot, but I believe this autonomy over spending/managing our own money is beneficial for our relationship. No one has a chip on their shoulder over what discretionary spending the other has.
Interesting you should bring this up. The GF and I are beginning some basic talks about the "m" word. It's definitely still years off, but it's something that will probably happen unless we run into an irreconcilable difference over the next couple of years. I've had a few conversations recently with friends who married later in life, about how they handle finances. My GF and I are basically doing what you are; splitting food, rent, household costs, travel cost, ect. But still spend our own money on individual preference items, like clothing, or individual entertainment. This way we can't come down on each other when our lifestyle preferences don't exactly align. We've literally NEVER had a fight about finances, some small disagreements about the utility of paying a bit more for rent in nicer places, but always find a compromise. If we are going to try something different (would that even be wise given how well it's working now?), I'd like to try it before the "m" word gets more serious. I'd love to hear your opinion on the subject, given we are in similar situations with our partners from a net worth perspective.
2Birds1Stone wrote:
Fri Jul 03, 2020 9:18 am
Right now I see absolutely no point to go back to work in order to earn more money. This is a great feeling, and it took a while to internalize.
This is a huge mindset shift! Congrats!

2Birds1Stone
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Location: Earth

Re: ERE Year 2 - Geoarbitrage, Permaculture, and Nomadic Lifestyle Design

Post by 2Birds1Stone »

Hmmmm, so a few thoughts* on the topic, which may or may not be helpful.....

First of all, I think you've participated in a few threads and discussions on similar topics over the years, as have I. I know I've posted (and since redacted) some of my own thoughts/struggles with my unique situation. People seem to be very opinionated on the "right" way of handling finances in a relationship/marriage, but I think it's possible for many "systems" to work. The circumstances of each individual relationship (1 vs 2 earners, kids or no kids, similar goals, similar spending habits, individual asset levels, trust, etc) can be so vastly different that it's impossible to predict what will work.

Personally, I would never completely combine finances with someone as a test run, so the "one pot" system would be pretty hard to test out before marriage. If your current system works, then I would keep rolling with it until you feel there is a need for it to change. Part of the relationship should be communication about money, and ensuring you're on the same page regardless of how you separate your accounts/income etc. In my own relationship and debate on how to handle things there were a few factors to consider. Since I was the higher earner, I felt it was important to consider the power imbalance of a % based system, where expenses were based on income. In our 50/50 approach, I made sure to never pressure my SO into a situation where she had to spend more money because I had higher means (ie renting a nicer place, choosing more expensive groceries, etc). I was also of the firm belief that by subsidizing her lifestyle, it would disincentivise her from pursuing her own career/income/goals/etc. I supported her through several job changes and income levels, and never pressured her to chase a job purely for money, but at the same time, did not encourage her down the path of being a kept woman.

Another commonality we share is that we are both (semi)ERE'd in some capacity, while our SO's have a ways to go. This is where I feel strongly that if I want to splurge on some shared experience, sweep her away for a few months (impacting her ability to earn) etc, then I should gladly pay or chip in more. If I do end up with some higher income type job in the future, then maybe I'll even cover a larger portion of our fixed expenses to allow her to build her own portfolio faster on a lower income. My wife knows she's going to have to go back to work sooner or later, when the cash we had earmarked for these travels runs dry. I support her in any career choice she feels like going after, and she's frugal enough that she doesn't need to make a lot of money in order to maintain a very impressive individual savings rate.

*please avoid quoting this post as I may redact in the future.

classical_Liberal
Posts: 1680
Joined: Sun Mar 20, 2016 6:05 am

Re: ERE Year 2 - Geoarbitrage, Permaculture, and Nomadic Lifestyle Design

Post by classical_Liberal »

Thanks for your Candor. I'm going to reply indirectly, but I think I'll make a journal entry in the next couple of weeks detailing my thoughts, leaving out your stuff. Please contribute to that, because I'd like to know your thoughts!

Keep living the good life man!

2Birds1Stone
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Location: Earth

Re: ERE Year 2 - Geoarbitrage, Permaculture, and Nomadic Lifestyle Design

Post by 2Birds1Stone »

TTM for July will be just under $13k...

67 months of detailed tracking in a simple chart.

Image

Hit the gym for the 4th time in a week today. Feeeeeels sooooooo darn good.

Weight is right at 201.5 lbs, so still a ways to go before I gain back some of the muscle lost during the first few months of pandemic.

2Birds1Stone
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Location: Earth

Re: ERE Year 2 - Geoarbitrage, Permaculture, and Nomadic Lifestyle Design

Post by 2Birds1Stone »

Weight training has been going very well. I didn't realize how much I missed it until I got back into the routine. Looks like not as much muscle was lost as I had previously thought. Amazing what the human body is capable of. My appetite did increase over the past week, so that's something to be mindful of and not overeat, while giving my body enough calories/protein to recover from the resistance training.

The past week has been mostly spent with family, enjoying a bit of the city life. Last night I received an unexpected phone call from a friend, inviting us to go sailing on a lake this weekend. While the weather forecast is crappy, it should be a really good time. In addition to the sailing this weekend, wife and I are planning a week long trip to the Polish Tatra mountains for some hiking/mountaineering. Targeting the last week of July/first week of August.

Markets looks like they are finally realigning with the economy and pulling back a bit. Interested to see if we get a new bottom, or if things continue to stay decoupled.

Today is our 120th day of travel, and cost per day has kissed $50/day....which means $18,250/yr annualized for two people. Not bad.

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