FIRE FU money
What kind of net worth does one need to FIRE in Seattle? FU money. So not rich money, but enough to live comfortably without needing to worry about how to pay the bills. Enough money for financial independence to choose fulfilling work or time off without having to worry about TC.
3m for a couple, add 1m per kid
This seems right. Kids change the equation entirely. 5m would be a conservative withdrawal rate of 150k a year without touching principal.
I don’t spend $150k a year with a kid. 3m would be fine.
Er well, there's a lot of variables here. Seattle where? Downtown, Eastside, Kirkland, Bellevue, or? Studio, condo, house on the water, what? Do you have any home equity already? Sounds like no? Do you want to take fancy vacations or own fancy cars?
5M is the most voted answer? What kind of lavish lifestyles do you guys live?
Possible reason: most on Blind have not seen and managed 1.5M+ liquid assets, and probably don’t considers how much a 1.5M generates in compounding interests in 10 years. Blinder’s calculation: 100k / year for 30 years = 3M + Home + car + education etc = 5M
This is for FIREing. So the 1.5M will not compound in 10 years the same way as money will be pulled from it. And if one is young, then a 3% SWR makes sense for a 60+ year timeframe. Also 1.5M is nowhere near enough for a family. Just the healthcare costs alone would be 20-40K/yr. I have 1.4M NW
A nice house in Bay Area is 3M. Day care for toddler is 50k-80k / year. Grocery and food is 2k-3k a month. Other necessary expenses is another 1-2k. Traveling abroad for a family for 4 is 10k+ per trip. Really depends on the situation. If you have 5m NW in HCOL it's just middle class.
That's fine. The question wasn't about being rich, it was FU money to have freedom from the rat race. Really the only way to be rich is to start a successful business. For most of us, working at a tech company is only going to get you to upper middle class at best.
By the time most of Blind retires, they'll be petrified to spend any of their wealth. Habits of hording and investing every $ will be hard to break.
I don't think you know what FU money is
Depends on how many children you have