I had a FIRE target of $2.5M and I recently hit $2.5M NW and have dividend income of $75k/year. I have another $200k in my 401k. I realize it’s not enough in Bay Area. With a small kid, a better FIRE target is $120k/year income in Bay Area or ~$4M NW ish I don’t own my home and housing here is insane. For people in Bay Area, what’s your FIRE target and do you plan to stay in Bay Area after you retire? TC: $430k, YOE: 11. #personalfinance #investments #fire
What are you invested in to get those kinds of dividends?
A lot of stocks and etfs. Too many to list.
can you give some examples
Who is giving 75 dividend income
Yeah that's 3%, I don't know many giving that
If you invest today, it’s tough to get 3% but i started investing 7 years ago and due to DRIP and divided increase, I am getting over 3%. About 300k of my stocks is invested in non-dividend paying growth stocks
Is this after tax? My situation is quite similar but most of my NW is tied in cap gains that are not yet taxed. Even after taxes it should be higher than my FIRE target. Dm me if you want to chat.
Are you in baY area?
Dividend income is pre tax. But if I leave my job, first 400k is taxed at 15% or so.
Why would you want to FIRE in the bay? The whole goal of reaching 2M is moving away from that shithole into a low col area
Most low col doesn’t offer good quality of life. The only places I liked outside Bay Area are San Diego, Miami and Hawaii. None of them is exactly cheap.
Miami is super cheap compared to the bay
No one stays in bay area for fire.... Bay area is for hustlers.
What’s FIRE. ? 😔
Thanks!
2.5M in the bank/funds with a paid off house might be enough to FIRE. If you don’t own your house, it is not. Does your spouse work (and plan to continue working after you retire)?
We don’t have any homes yet. My spouse is not working now but used to work. We don’t plan to work after retire.
Better keep on hustling IMO
How old is you? Haven’t looked through your screenshots but surprised you getting such high fixed income on a small investment. Good for you though👍🏼
35
You are still early 30s I presume? How do you plan to spend the next few years? Travel? For context, I am mid forties, hoping to hit 10 million net worth by the time my kids are in college (in 5 years) and then retire. Am planning to travel extensively with spouse and also do some other part time gig/venture for my satisfaction. Not a regular job.
Mid 30s
When did you hit your first mil?
Software Engineering Career
10h
1254
Cleared Amazon onsite, but lowballed.
Personal Finance
23h
2936
Calculated my NW and now i can't sleep
Tech Industry
12h
2684
The job market is absolutely brutal right now
Tech Industry
11h
840
Update: Trans Coworker Stealing Breast Milk
Tech Industry
8h
1377
I am starting to think Chinese interviewers currently fail non-Chinese candidates on purpose.
Do you plan to retire fully or take an easier, lower paying job?
I want to take a few years off to spend time with my kid and wife. After that, I may take contract Tech gig to keep me busy
I’m in the same boat as you. Around 10 YOE, two small kids, hitting my FIRE numbers, dreaming about taking a year off and then doing something easier.