There are 2 somewhat conflicting trends in blind. One is FIRE (financial independence, retire early), and the other is maxing out all pre tax and Roth accounts up to 55k. If most of your money goes to retirement accounts, how would you want to retire early?
No, I seriously hope I will be able to continue working for decade(s) after I am 59. I love working.
You can achieve both, I plan to max my retirement out and have that there when I'm 59 but there's nothing stopping me from FIRE earlier than that.
maxing retirement account is one thing, that doesn’t mean you can’t have a 2nd plan to create other streams of income to quit your 9-5
imo, retirement account is just a savings account that allows you to use when you’ve been maxing it until 59
Roth IRA, 401K, rental properties
401k for pre-tax advantage, then once you get to FIRE you can allegedly roll over chunks into Roth each year after 5 years, then pull out the principle as you need it and leave the gains for 59+
FIRE doesn't necessarily mean play golf no job. To me FIRE is having 'fuck you money'. I can quit if I am unhappy and I don't need to work for you if you are a dick because I don't need your money. That to me is the most powerful aspect of FIRE.
Actually factual. Getting closer to FIRE, for me, means more latitude for me to do whatever I want. This next part may be a leap—I think that as I get to do more of whatever I want, I’ll continue to feel more free and be more effective at whatever endeavor I pursue.
Great going Tableau guy
Ok, would you then be able to provide one piece of uncommon advice/strategy?
Having a 30 year mortgage doesn't mean you'll pay it off ever, it just means you lock in your housing expenses for a long time, you avoid having to worry about landlords kicking you out, and you have a 5x leverage on the local housing market (for good or bad).
Real estate is the ultimate form of wealth.
Why
Maybe in some other country. Here you are just a renter and will year after year have to pay an endlessly raising rent in the unamerican unconstitutional form of bullshit property taxes, along with whatever other stupidity liberals come up with to tax.
How many of you realize that the past 25 years have been terrific combination of factors for techies, and that period has already passed? Don't advise others to do what worked for you in those years. What you think is FU money today may be a fraction of what you would need if you live past 80. Keep your eyes on the ball, as they say, and keep playing your best!
Oracle can see the future
Yup. I keep hearing of people retiring in the 30s with $1M in the bank. The mental and physical hardship that this kind of FIRE brings is worse than working till 60.
Other: You can also use 72(t) compliant distributions if you’re FIRE and before 59. I use Roth options and shuffle money into Roth IRA when I hop roles. Either way I’ll have multiple options, including a mix of options you listed.
This guy gets it
Great job, important to diversify options