Recently hit financial independence; how much longer would you work in my situation? Forum

[Anonymous User]

TLDR: Recently hit FI, and debating how much longer to work. Current $1.05M investments already support a larger budget than I'm currently spending. If I work till next March, I could potentially hit $1.3M (supporting my fatFIRE budget). If I work for 3 more years, I could potentially double investments to $2M. Job is low stress and pays really well, but I also just want to be done already (had some really stressful biglaw jobs previously). I'm leaning towards working for 1-2 more years, but what would others do? More details below.

Background: Mid-30s, married, live in HCOL city, we keep our finances separate, own a house, no kids (but we might foster-to-adopt one in the future).

I've offered to my spouse to pay for both of us to FIRE if I save up to $2M and if we move to a lower cost city. Spouse would prefer to stay put, so we're comfortable with me FIREing first and spouse continuing to work for a number of years longer. (I would prob need about $2.6-$2.8M to cover FIRE for both of us in HCOL, which I don't really want to put in the time required to hit that amount.)

Current gig is pretty easy and low stress. Pays well too - about $300k/yr. On the one hand, I feel like I should milk it for all it's worth (or certainly at least another 1-2 years, so long as it remains low stress). On the other hand, life is short and what matters most is time and relationships. I have more than enough to live an enjoyable life, so why keep at it beyond my fatFIRE budget?

Expenses: I currently budget $44k/yr (all in, including housing). Spent $38k last year, and on target to spend between $33k-$40k this year. I *think* $44k/yr would provide a very enjoyable FIRE budget, but of course it's a projection and desires can change over a multi-decade long time period. I've created my own slight-FatFIRE budget (e.g., doubling travel section of budget to $12K etc.), and think $59k/yr should provide enough wiggle room for changing tastes etc. and unexpected surprises.

If you're curious to see how $1.3M can support $59k/yr spend, you can see my FIREcalc projections herehttps://calculator.ficalc.app?additiona ... lioPercent. I target a 90% success rate (instead of 95% like under the 4% rule study), which seems sufficiently high to me coupled with flexibility.

Investment projections: Assuming I continue maxing contributions and markets rise 10%/yr, below are my current investment projections.

Investments MinBudget Months to save
$1,050,000 $49,272 0
$1,100,000 $51,272 3
$1,200,000 $55,472 6
$1,300,000 $59,572 10
$1,500,000 $67,000 17
$1,700,000 $76,000 23
$2,000,000 $88,000 32
$2,200,000 $96,000 36

[Pulsar]

As someone else who is on the precipice of $1M, I gotta think you are non-serious or a troll. "Current gig is easy and low stress" = lol, are you a biglaw associate (or are you on the wrong forum).

It is also unlikely that we'll see 10% YoY growth for the next several years, at least in real terms (you need to account for inflation). The past several years (and this current year so far) are happy outliers not likely to be repeated ad inifinutum.

[Anonymous User]

As someone else who is on the precipice of $1M, I gotta think you are non-serious or a troll. "Current gig is easy and low stress" = lol, are you a biglaw associate (or are you on the wrong forum).

It is also unlikely that we'll see 10% YoY growth for the next several years, at least in real terms (you need to account for inflation). The past several years (and this current year so far) are happy outliers not likely to be repeated ad inifinutum.

That's odd to suggest this post is trolling. It's not, and it's pretty darn detailed.

Also, I'm formerly biglaw. Went in-house 2 years ago. It's much, much easier. I lucked out on my current gig.

Re: 10% growth, I don't think you or I can predict the future. I'm sure most people thought last year would end in the red. As I mentioned in my post, those are investment projections IF the markets return 10%/yr on average for the next few years. That's obviously a big assumption and it may not turn out to be accurate.

[lavarman84]

I'd work a few more years. You're going to have a lot of time to be retired. I'm not sure what you'll even do with your life lol. But it'll be nice to have that cushion, and you're being paid well at a low-stress job.

[thisismytlsuername]

If I were you, I'd continue to milk the lucrative, easy in-house gig for a couple more years to give you some additional safety/flexibility. (Especially if your spouse is working. Wtf are you going to do all day with no kids?)

If you do decide to quit, I'd be happy to replace you though.

[jotarokujo]

it sounds like job isn't stressful, but you also don't enjoy it. i'd probably just quit in that case - just because it's not stressful doesn't mean it's worth doing. at this point i would only do work that you actively enjoy

[CanadianWolf]

Hard to accept that you live in an HCOL (high cost of living ) city yet budget just $44,000 per year all in including housing (which indicates that you have a mortgage). Since you & your spouse keep separate finances, is $44,000 just your share of annual expenses ?

If your current job is low stress & pays well (about $300,000), why are you considering retirement in your mid-30s ?

If you retire in your 30s, you are likely to get bored causing you to invest in a business to cure your boredom.

Investments don't always go as planned.

[Anonymous User]

If I were you, I'd continue to milk the lucrative, easy in-house gig for a couple more years to give you some additional safety/flexibility. (Especially if your spouse is working. Wtf are you going to do all day with no kids?)

If you do decide to quit, I'd be happy to replace you though.

OP here. Re: things to do, I'm not concerned about that. I have a long laundry list of things I would want to do (e.g., take handyman classes, learn to code for fun, join bowling team or other sports, go fishing, etc.).

But I agree it's practical to keep on with the job, at least for now. Only question is how much longer to stick with it.

[Anonymous User]

it sounds like job isn't stressful, but you also don't enjoy it. i'd probably just quit in that case - just because it's not stressful doesn't mean it's worth doing. at this point i would only do work that you actively enjoy

OP here. Thanks for your perspective. There are aspects of the job I enjoy (as much as one can enjoy a job). Am I passionate about it and would I do it if I weren't getting paid? Of course not, but I also don't necessarily think that means I should up and quit today. It's an easy job that pays well, and I can increase my FIRE budget substantially to my fatFIRE level by staying just 10 more months (assuming markets stay decent). So I think it makes sense to stay until at least that point. The tougher question for me is how much longer (if at all) I should stay after that point.

[Anonymous User]

Hard to accept that you live in an HCOL (high cost of living ) city yet budget just $44,000 per year all in including housing (which indicates that you have a mortgage). Since you & your spouse keep separate finances, is $44,000 just your share of annual expenses ?

If your current job is low stress & pays well (about $300,000), why are you considering retirement in your mid-30s ?

If you retire in your 30s, you are likely to get bored causing you to invest in a business to cure your boredom.

Investments don't always go as planned.

OP here. Yes, all finances are kept separate. The above budget is for my own expenses or my own share of expenses (including mortgage).

As for your question about why retire in my mid-30s - I'll flip the question to you. Why wouldn't I retire? Time and relationships are the most important things in life, so why wouldn't I take back my time to do what I choose if my investments can cover my lifestyle?

And perhaps you think you would get bored without a job. I don't have those fears, and have plenty of things I would want to do in retirement (take classes, learn coding, go fishing, play video games, join a bowling league, etc etc etc).

[Anonymous User]

I'd work a few more years. You're going to have a lot of time to be retired. I'm not sure what you'll even do with your life lol. But it'll be nice to have that cushion, and you're being paid well at a low-stress job.

Thanks. Agree I should work a bit longer (thinking whenever I hit $1.3M, which might be as soon as in 10 months). Whether I should work longer than that is the tougher question. I'm not concerned with retirement life - I have plenty of things I would want to do.

[wldecisions]

Hard to accept that you live in an HCOL (high cost of living ) city yet budget just $44,000 per year all in including housing (which indicates that you have a mortgage). Since you & your spouse keep separate finances, is $44,000 just your share of annual expenses ?

[lavarman84]

I'd work a few more years. You're going to have a lot of time to be retired. I'm not sure what you'll even do with your life lol. But it'll be nice to have that cushion, and you're being paid well at a low-stress job.

Thanks. Agree I should work a bit longer (thinking whenever I hit $1.3M, which might be as soon as in 10 months). Whether I should work longer than that is the tougher question. I'm not concerned with retirement life - I have plenty of things I would want to do.

I understand your desire to retire, but if I were in your shoes, I'd work for a few more years and aim for $2M. That's especially true if you think you might adopt a kid. Plus, it won't hurt to have that buffer in case you want to do a lot of traveling.

[Yea All Right]

Congrats on the great outcome. I wonder how much the fact that you make $300k/year at an easy job is coloring people's responses. If I were you I'd stay at least a couple more years to keep stacking cash, but I personally value the security of additional money (especially if it doesn't require much stress).

[12YrsAnAssociate]

OP please accept this post as my resume submission.

[Anonymous User]

Congrats on the great outcome. I wonder how much the fact that you make $300k/year at an easy job is coloring people's responses. If I were you I'd stay at least a couple more years to keep stacking cash, but I personally value the security of additional money (especially if it doesn't require much stress).

Thanks. And yeah, that’s understandable. I’ve been in some biglaw gigs that I absolutely despised. So makes sense that some folks might view it as a no brainer to continue working especially if they’re still in that type of situation.

[CovidLurker]

I guess my only question is do you want to like off 45K/year for the rest of your life? I understand that you've been aggressively saving for the past however many years to put yourself in this position, but with a budget of 45k/year...it's not even enough to go on nice vacations or take up expensive hobbies. In a HCOL city you'd be just...surviving...without a job. Maybe the golden handcuffs are on me, but I can't imagine that'll be an enjoyable life.

[Anonymous User]

I guess my only question is do you want to like off 45K/year for the rest of your life? I understand that you've been aggressively saving for the past however many years to put yourself in this position, but with a budget of 45k/year...it's not even enough to go on nice vacations or take up expensive hobbies. In a HCOL city you'd be just...surviving...without a job. Maybe the golden handcuffs are on me, but I can't imagine that'll be an enjoyable life.

How much do you spend per year?

$45k/yr provides for international and domestic vacation, eating out, buying a new iPhone or game console, getting several massages, etc. $45k isn’t “just surviving”.

[CanadianWolf]

Hard to accept that you live in an HCOL (high cost of living ) city yet budget just $44,000 per year all in including housing (which indicates that you have a mortgage). Since you & your spouse keep separate finances, is $44,000 just your share of annual expenses ?

If your current job is low stress & pays well (about $300,000), why are you considering retirement in your mid-30s ?

If you retire in your 30s, you are likely to get bored causing you to invest in a business to cure your boredom.

Investments don't always go as planned.

OP here. Yes, all finances are kept separate. The above budget is for my own expenses or my own share of expenses (including mortgage).

As for your question about why retire in my mid-30s - I'll flip the question to you. Why wouldn't I retire? Time and relationships are the most important things in life, so why wouldn't I take back my time to do what I choose if my investments can cover my lifestyle?

And perhaps you think you would get bored without a job. I don't have those fears, and have plenty of things I would want to do in retirement (take classes, learn coding, go fishing, play video games, join a bowling league, etc etc etc).

"Why wouldn't you retire ?"

Because all of the things that you enjoy now as an escape from work become less enjoyable once there is no work from which to escape.

Plus, earning $300,000 a year at a low stress job that you enjoy isn't really a job, it's a gift.

[Anonymous User]

I'm in a similar position. I lucked out on some investments and made about $2 million over the last 18 months. Currently a third year associate in big law and in my late 20s, but want to get out of big law asap. Not sure if that's enough experience for me to leave and take a few months off before transitioning to in-house or doing something else, or if I should stay for another year or two for resume purposes (in case shit hits the fan). I recently lateralled too.

[rshackleford123]

Investment projections: Assuming I continue maxing contributions and markets rise 10%/yr, below are my current investment projections.

Investments MinBudget Months to save
$1,050,000 $49,272 0
$1,100,000 $51,272 3
$1,200,000 $55,472 6
$1,300,000 $59,572 10
$1,500,000 $67,000 17
$1,700,000 $76,000 23
$2,000,000 $88,000 32
$2,200,000 $96,000 36

Although I totally understand the desire to quit once you hit your number, the 36 month mark seems like the target here. Putting in an extra 3 years at a "low stress" job effectively doubles your budget or, if you don't utilize all of the excess over $49k, drops your risk of running out of money significantly. Even 24 months has a noticeable effect and increases your possible budget by 50%.

To me, the return you get from 24-36 months of extra work in terms of increased budget/decreased risk would be worth it, especially since it doesn't sound like you will be killing yourself in those 24-36 months.

[Anonymous User]

Investment projections: Assuming I continue maxing contributions and markets rise 10%/yr, below are my current investment projections.

Investments MinBudget Months to save
$1,050,000 $49,272 0
$1,100,000 $51,272 3
$1,200,000 $55,472 6
$1,300,000 $59,572 10
$1,500,000 $67,000 17
$1,700,000 $76,000 23
$2,000,000 $88,000 32
$2,200,000 $96,000 36

Although I totally understand the desire to quit once you hit your number, the 36 month mark seems like the target here. Putting in an extra 3 years at a "low stress" job effectively doubles your budget or, if you don't utilize all of the excess over $49k, drops your risk of running out of money significantly. Even 24 months has a noticeable effect and increases your possible budget by 50%.

To me, the return you get from 24-36 months of extra work in terms of increased budget/decreased risk would be worth it, especially since it doesn't sound like you will be killing yourself in those 24-36 months.

Thanks! This resonates with me most of all. I think I’ll aim for 10 months (hopefully $1.3M) initially and, assuming all is still going well and low stress, aim to stick it out another year (hopefully $1.7M). I’m less sure about a year after that, but I’ll wait and see before deciding.

Also as a caveat to all this, my gig is currently pretty awesome and low stress. It’s a group that can change pretty frequently though. In my 2 years, I’ve seen a manager depart… which, good riddance. I didn’t like their more aggressive personality and would not have been happy if they were my manager. My actual manager is amazing though, and is a big part of why the job is low stress (that, coupled with no billable hours and outside counsel doing most of the heavy lifting on matters). I hope things will stay positive and low stress for me over the next 1-2 (or potentially longer) years, but there’s always the chance things will change for the worse and I want to quit sooner because of it.

[Anonymous User]

I'm in a similar position. I lucked out on some investments and made about $2 million over the last 18 months. Currently a third year associate in big law and in my late 20s, but want to get out of big law asap. Not sure if that's enough experience for me to leave and take a few months off before transitioning to in-house or doing something else, or if I should stay for another year or two for resume purposes (in case shit hits the fan). I recently lateralled too.

Wow, good for you. What was the investment?

If I were you, I’d quit. $2M is a crap ton of money (though make sure it’s diversified and well invested). Find something you’re passionate about or pursue hobbies. No way I would continue working in biglaw (even just 2 years in) if I had $2M.

[Anonymous User]

Hard to accept that you live in an HCOL (high cost of living ) city yet budget just $44,000 per year all in including housing (which indicates that you have a mortgage). Since you & your spouse keep separate finances, is $44,000 just your share of annual expenses ?

If your current job is low stress & pays well (about $300,000), why are you considering retirement in your mid-30s ?

If you retire in your 30s, you are likely to get bored causing you to invest in a business to cure your boredom.

Investments don't always go as planned.

OP here. Yes, all finances are kept separate. The above budget is for my own expenses or my own share of expenses (including mortgage).

As for your question about why retire in my mid-30s - I'll flip the question to you. Why wouldn't I retire? Time and relationships are the most important things in life, so why wouldn't I take back my time to do what I choose if my investments can cover my lifestyle?

And perhaps you think you would get bored without a job. I don't have those fears, and have plenty of things I would want to do in retirement (take classes, learn coding, go fishing, play video games, join a bowling league, etc etc etc).

"Why wouldn't you retire ?"

Because all of the things that you enjoy now as an escape from work become less enjoyable once there is no work from which to escape.

Plus, earning $300,000 a year at a low stress job that you enjoy isn't really a job, it's a gift.

I think you’re projecting. Just because you don’t think you’d be happy in early retirement doesn’t mean that numerous other people wouldn’t be.

Re: things that you do now as an “escape”… yeah, you wouldn’t need to escape from your life if you’re early retired. You get to make it what you want.

[jotarokujo]

Am I passionate about it and would I do it if I weren't getting paid? Of course not

for me personally, that would be a massive red flag. obviously i am not typically though, based on this thread.