tachibana

A no-code tool to create/maintain visual end-to-end UI tests.

I took a break when I achieved my FIRE goals. I did all the usual stuff -- worked on personal projects, cleaned up the house, and played an insane amount of tennis and video games. After 6 months, I was so bored out of my mind that I started interviewing again. I discovered that I didn't hate the work, just idiot colleagues. Working as a software engineer in the Silicon Valley is a very cushy lifestyle, and I'm blessed to be able to do this type of work.

Digging through my old bank statements: - $500/month for rent and utilities by splitting 1 bedroom apartment with roommate) - $30/month for my cell phone plan - $100-150/month for a car 15-year old beater at the time. Mostly gas and minor maintenance - $70/month in spending money

It's a function of percentage income saved, not amount earned. The formula is (income / investment rate / percent income saved). If my investment rate is 4%, I need to save 25 years worth of salary. Saving 50% of my salary looks like I would need 50 years on the surface. However, my portfolio generates income from day 1, so it's actually a lot faster than it seems.

Just for reference, I was living on less than $750/month until I got married. The companies I worked at had plenty of free food. I didn't need a gym membership because the handyman work I did on my investment properties was more than enough. Until we had kids, my spouse and I were still able to survive on less than $1,000/month. We are based in the south SF Bay Area. We had 100% income replacement by our mid-30s.

The key thing for me was to constantly and continually invest. I'm sure you've heard the saying to "maximize time in market; don't time the market." I buy a mix of bonds and stocks that pay dividends. I'll skip reading the financial news from time to time and buy shares in low-cost funds when I'm busy or just feeling lazy.

I reached 100% income replacement for myself in my late 20s. Then I got married and had kids. My spouse and I reached 100% income replacement in our mid-30s.

Glad to see a fellow practitioner. Best wishes on your journey!

You give me too much credit -- it's a really boring approach.

My portfolio used to be about 50/50 in fixed income securities and real estate. I got lucky with the real estate, and I got out because I didn't think my luck would last forever. Now my portfolio is made up entirely of fixed income securities and blue-chip stocks that pay dividends. The dividends and interest payments are laddered such that I recieve at least 2 payments a month. I didn't choose securities based on payout dates, so the amount does fluctuate from month-to-month. However, the portfolio generates enough monthly income that the "leanest" month is greater than my paycheck's monthly gross income.

Being a software engineer myself, I don't qualify for the Roth accounts so most of my investments are done in a standard taxable account. I don't buy any particular funds -- just a variety of boring bonds and stocks.

I did try the RE (retire early) part a while back. It lasted about 6 months before I got too bored out of my mind. I still continue to work because of the mental stimulation and the social connections.

I am a serious practitioner of the FIRE (Financially Independent, Retire Early) philosophy. Over the years, I have accumulated assets in a very conservative portfolio. This portfolio has reached a point where it has consistently generated over 150% of my base salary for more than 5 years.

The central tenet of my career was focused on budgeting and building a portfolio that can generate post-tax cash flow to enhance my lifestyle. My portfolio consists of dividend paying stocks and all sorts of bonds. I know I missed out on capturing value from the many peaks in the market of late, but there is a very soothing feeling knowing that I get a stable and sizable paycheck from my investments every month.

A self-managed portfolio consisting of various government bonds. Ever since I started working, I have been saving >30% of my annual income every year. Not accounting for the income from the portfolio or for raises since, this means that every year of savings, the portfolio can replace 1.2% of my annual income (assuming an effective yield of 4%). Been doing this for over 20 years now.

Step 1: Save diligently (>30% of pre-tax salary)

Step 2: Invest in very conservative investments that throw off free cash (I personally like fixed income like US treasuries and municipal bonds). The operative word is "conservative" so that the passive income is reliable and can be treated as a permanent offset to lifestyle costs.

Step 3: ...

Step 4: $$$ -- As the income in Step #2 grows, it increases the savings ratio in Step #1 (a geometric series!).

This is a doable formula anywhere (I currently am working and raising a family in Silicon Valley) and I've achieved financial independence in about ~10 years. I still keep working to stay engaged.

My cost of living is about the same as the typical family with kids attending good public schools along the SF Bay Area peninsula, but the approach should be repeatable in most places. My expenses over the years has stabilized at less than 50% of take-home salary (not including bonuses, equity grants, etc.) for my main job, in line with a previous post of 30% of income. So the absolute worst case scenario for a 4% return is 25 years.

In my particular case, I had saved all my bonuses (both cash and equity) and most of the income from the aforementioned portfolio. I was also fortunate to have held a consistent side job for most of my career.

Mostly fixed income securities and fixed income-like assets (like real estate, asset-backed loans, etc.). $10,000 invested at 4% brings in a little more than $1/day.

Yes, the market value of the securities and assets may fluctuate day-to-day, but the income doesn't. As long as the borrower is of sufficiently high quality, then there really isn't any concern about the principal getting paid back.

Diligent savings over many years combined with low-risk investments. The stable income it generates now covers all living expenses for my family. I'm still part of the 9-5 crowd by choice while I search for my next calling in life. However, the main job is now more of a training ground and networking center than a primary source of income.