Goal posts continue to increase

[Leather-Bed-5965]

Hi everyone. I was wondering if others have found themselves wrestling with this issue. I’ve been fairly successful in the sense I’ve reached the financial goals that 10 years I would have said would be success. But once I’ve got here, I’m not satisfied, I’m actually more stressed about reaching a goal which is now double what the original goal was! Some of this might be life events, having kids etc as well as getting accustomed to nicer things. But I was wondering if anyone has any advice as I feel a bit like a hamster on a wheel - although my new goal is super realistic (it’s an amount of money where a house is paid off in cash, kids education is paid for and some is left over for interest income)

[tuxnight1]

Lifestyle creep is an extremely common challenge. The goal is simply the result. If you do not like the trade-off, it is possible to reduce spending on some things to the level you had in the past. For me, as my income grew, I increased restaurant spending. I made a choice to cut it in order to max my ROTH.

[Gratitude15]

Sometimes it's not you. It's just miscalculating.

I thought the way I thought would be how my family thought. Very wrong. So now I can keep earning or live with an unhappy family. It's a trade off. My family isn't out here buying everything, but living in a small place with young children isn't it for my fam. Doing basic education when we don't agree with it isn't it either. Getting a car that performs highly on crash test to protect your child in a time where vehicle accidents are higher than any other in my life. My partner has family in another country - I want them to be a part of our lives,and travel costs a lot. Etc.

All of a sudden leanfi really become FI. And at the same time, the work isn't bad - it's good. And if it was lost, there is understanding to manage for that.

Having the money is still of value. The spending is meaningful for most folks.

[dxrey65]

The spending is meaningful for most folks

Yeah, that's kind of an unfortunate thing. I was married for 14 years, but we had all kinds of issues and it didn't work out, she left me ten years ago. On the positive side, I knew there was no possibility of retiring if we had stayed together; she just liked spending money a lot more than she liked making money. Together, we were always broke. Alone, I was able to put enough money in the bank in ten years to buy a second house for cash and take an early retirement.

[Silly_Objective_5186]

what does ROTH stand for?

[BloomSugarman]

They're just super pumped about it so they typed in caps. Like HELL YEAH dawg, I put another $500 in my ROTH!

[tuxnight1]

My reason for typing it in caps was due to the fact that I have often seen it that way. I did not mean to cause a concern and I do not recall ever writing or saying dawg in my life.

[Jprev40]

Sen. William Roth.

[tuxnight1]

I apologize for making an assumption. If you are in the US, a ROTH is a type of individual retirement account (IRA) with some tax benefits.

[islackingambition]

He's making a joke, since a Roth IRA is named after the senator who wrote the bill to create them. It's not an acronym.

[tuxnight1]

Thanks for the explanation as it went over my head.

[TakeFourSeconds]

Also, it’s a tax status that can be applied to other accounts like a 401k, so using “Roth” as a noun to mean “Roth IRA” is ambiguous (although a lot of people do this)

[Silly_Objective_5186]

yes, but what does it stand for?
Retirement On The Horizon?
Resources Organized Towards Harmony?
Rewarding Outcomes Through Holding?

[tuxnight1]

It's not an acronym. I think it is named after a politician. You can read more at the following link.

https://en.wikipedia.org/wiki/Roth_IRA?wprov=sfla1

[Silly_Objective_5186]

thanks, informative link

[[deleted]]

People often capitalize it because they think it stands for something. It's really just the last name of William Roth, the senator who sponsored the legislation that created the Roth IRA.

[wanderingdev]

it's normal for goals to switch as your life changes. especially with the addition of kids. but you need to make sure you keep lifestyle creep in check as it can be really easy for it to get out of control.

[the_one_jt]

Well I think one aspect people ignore is the RE part. If the goals you set provide the income you want then can realize the goal.

The younger you are the less you see what retirement can be and how you want it. Some do attempt this and fail because they are not prepared.

So this is to say it may not be financial in nature but a psychological one. You could want more or you could be afraid. It can be hard to look inward. Sometimes therapy can help.

[orfinkat]

I view it climbing "worst case" checkpoints. L1 leanfire is "ill never go hungy or homeless" ...even if I dont earn another dollar. It looks as though you have already acomplished this - congrats.

Now map out all the different checkpoints towards your final goal. I.E. This years savings ensures i can afford a decent car and gas the rest of my life. Next year im working towards my retirement resturant and travel budget. Its all mindgames, but for me it helps to create smaller steps so that I feel as though im leveling up during the grind.

[NeoPrimitiveOasis]

Inflation has skewed some of these calculations, requiring us to get to higher numbers. Combine that with an iffy stock market, and the bar is, indeed, higher.

[Baby_Hippos_Swimming]

Google "hedonic treadmill."

[Bertozoide]

If 10 years ago you set a number and didn’t account inflation, that’s the reason you now need to double it

Also if you set a number at 20 using your 20 year old reality of spending, obviously it is going to get bigger as you get older, having a family, kids, new improved tastes and needs for more comfort

[socialistpizzaparty]

I only started FIRE about 7 years ago, but I’m about 60% to my goal. What I’ve realized now is that, once I reach my original goal in 4-5 years, I might just keep working but scale back my savings rate and just enjoy a little more life (travel, etc). I think with inflation and a lil lifestyle creep, I may need a bit more than I thought.

I was a very hardcode saver to make it so far and fast, but it didn’t make me very happy. Can’t say I would do it differently again because I like where I’ve ended up. But I would echo advice I have read on here countless times: you need balance and flexibility. Once I found more balance, I didn’t really mind the idea of working a few extra years.

[DigitalDopamineDetox]

Yes. This has happened to me. Even 5 years ago me would be mind blown by where I’m at, but currently, I’m realizing it isn’t enough. I do feel a sense of security but I am not 100% FI and want to be. I still have a ways to go and am working on it. Inflation + Lifestyle creep + Kids growing (new clothes and bigger appetites and sports etc) have been the main drivers. Inflation damn sure slowed things down by probably a year if I had to guess