Ultimately, it depends on the type of risks you’re trying to mitigate and the type of skills you have to earn again.
If you’re a software developer (or a plumber or a CPA etc) you can always get back into the workforce after some amount of time. If it takes you 1 year to leetcode and find a new job, you just need to keep 1 year of expenses as cash on hand.
Tail risk is a different story, but you can spend your whole life working and not save enough to handle all tail end scenarios
If you’re a software developer (or a plumber or a CPA etc) you can always get back into the workforce after some amount of time. If it takes you 1 year to leetcode and find a new job, you just need to keep 1 year of expenses as cash on hand.
Tail risk is a different story, but you can spend your whole life working and not save enough to handle all tail end scenarios