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Tell me, why aren't you financially free yet, even though you have just under 1.5 million?
Just asking for a friend.
Just asking for a friend.
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@Epi Well, according to my calculations, it would just about work out. But then I’d have to “cut back” here and there, and nothing much can go wrong either.
My goal isn’t to die with nothing, but at least to pass on my capital (adjusted for inflation).
My goal isn’t to die with nothing, but at least to pass on my capital (adjusted for inflation).
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@Epi It probably just depends on the standard of living you want 😅 Well, I also assume that with 1.5 million, you can live a pretty carefree life without making a noticeable dent in your capital.
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•@Creutzfeldt_Jakob I'd say more carefree. But if you want your money to last until the end of your life, you shouldn’t withdraw more than 3%. That would be “just” 45k. After taxes and health insurance, you’d be left with roughly 30k net per year. That’s hardly a life of luxury.
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•@Part_Time_Joe Yeah, sure, like I said: It always depends on what exactly you want, whether you want to keep working a little on the side, where you live, etc.
But you're definitely on the right track 💪🏼
But you're definitely on the right track 💪🏼
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@Part_Time_Joe Oh! You want a life of luxury? Then it’ll probably take forever for you to be free. That desire alone is trapping you in an endless hamster wheel. 🐹
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•@Epi If by “luxury life” you mean the Ferrari lifestyle, then no. But maybe kids in the future… that’s practically a luxury these days, after all ;)
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@Part_Time_Joe Oh well. My wife and I also had a great time with our son even when we were making less than 30k net. I think our family income was around 20k for a long time; it’s only gone up in the last few years.
Objectively speaking, you’ve been financially free for a long time. It’s just that subjectively, you aren’t yet. But that won’t change even with a higher bank balance.
Objectively speaking, you’ve been financially free for a long time. It’s just that subjectively, you aren’t yet. But that won’t change even with a higher bank balance.
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•@Epi Just asking a silly question. How did the three of you manage on 30k? Let’s say rent is 1,000 euros a month (not in a major metropolitan area). Another 500 euros for the kid? Groceries and such, 500 euros; car, 500 euros… that leaves 500 euros for everything else.
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@Part_Time_Joe For years, it was more like 20 kPa. Apartment (including electricity) 500, child 100 (plus child benefit), groceries 400, public transportation 100. The rest went toward classified ads, flea markets, game nights, book clubs, and get-togethers with family and friends. It was nice to extend my student life. 😊
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•@Part_Time_Joe For a while (when our first child was born, my wife was on maternity leave, I was an intern, and I was the sole breadwinner), we lived on 2k a month. It’s doable if you set your priorities straight. It wouldn’t work in the city, but back then in the countryside, we only paid about 600€ in rent after utilities. It’s all a matter of willpower and making moderate sacrifices 😉 But of course, that’s not how you picture the goal of financial freedom.
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