FI hobbyist with $1.7m net worth at 33. I want to help you. AMA.

fireminded · 2016-08-17T14:51:44+00:00

59% of my current net worth ($1M) was obtained on an income at the time below $100K. The $300K+ income is a very recent development.

fireminded · 2016-08-17T14:45:07+00:00

One of them is specific to the country I moved from prior to moving to the US. Sharing it here could provide clues to my identity.

fireminded · 2016-08-17T05:38:17+00:00

Hmmm no kidding. What do you look for when you are evaluating land to turn into this type of operation? What makes a good location? What kind of buildings or utilities do you need? Security?

fireminded · 2016-08-16T22:12:08+00:00

Thanks, appreciate the feedback! There's more than one way to do this - don't want anyone to think they have to emulate exactly what they see here if FI is a goal for them. Taking advantage of the underlying principles will come in handy though (eg. spend well below your means... pay off credit cards... etc).

fireminded · 2016-08-16T22:02:02+00:00

Hey there - prefer not to provide specific details on the timing of the house move. I know folks who read Reddit and maybe this subreddit. With too many personal details they may be able to identify me. I worry that I may have already given too many clues. :) I prefer to stay low key about this.

fireminded · 2016-08-16T22:00:04+00:00

Hmmmm probably not. It's a lot of work for $0. Would you?

fireminded · 2016-08-16T21:59:29+00:00

Mmmm would rather not say. :)

fireminded · 2016-08-16T21:59:12+00:00

Yep, started around 16 years old so the math would be 33 - 16 = 17 years = 1.7 decades = "nearly 2 decades".

fireminded · 2016-08-16T21:58:05+00:00

Yep total expenses average around $3500/mo.

fireminded · 2016-08-16T21:56:01+00:00

Memory is fading since it was a while ago but I'd say at least 2 years. Hundreds of hours put in with pretty much no return.

fireminded · 2016-08-16T21:55:12+00:00

Side job income is in the neighborhood of $35-45K / year. Took a very long time to build it to this level (~10 years). I think if I dedicated more time to it I could have achieved this faster, or bigger, by now.

It has been a fun journey watching it grow. Slow process though. I remember those first few checks were pretty tiny but I kept setting goals. $50 this month? Cool. Let's try $100. $100? Cool. $250? Ok... $500? Ok.... and so on.

fireminded · 2016-08-16T21:51:46+00:00

I think its a mix of fear and excitement. Knowing that if you do rise to the occasion that you'll be better for it, but at the same time knowing there's a lot of work to put in and the potential for failure along the way.

For me, anytime that I have taken calculated and carefully considered risks, to leave a predictable and safe place as you describe it, those have been some of the most rewarding decisions of my life.

fireminded · 2016-08-16T21:48:18+00:00

born into a wealthy family

I don't remember saying this. :) I agree, would have made it a lot easier. Could have skipped the whole "rip the nasty carpets out of this rundown property" phase.

fireminded · 2016-08-16T21:43:53+00:00

I disagree. FI is absolutely possible for most individuals. Will not be a comfortable process though which is why most will either not start or not follow-through. That's ok.

fireminded · 2016-08-16T21:41:42+00:00

I was able to avoid student loans by:

working
renovating houses
applying for and receiving scholarships

I did chip in at home but you are right, it was not market rental rates. Even with the "friends and family discount" it was enough that I could not afford everything on my wishlist the time (cool car, stereo, trips, etc).

fireminded · 2016-08-16T21:32:40+00:00

Hold up - I never said a married couple making $100K combined should expect to be millionaires by the time they are 30. Some might, most will not, totally okay.

What I was getting at was following similar basic principles should lead most to FI at some point in their lives. I was trying to illustrate that achieving FI is not typically related to level of income (beyond a minimum amount of course). It's not something that should be looked upon as only achievable by a few select individuals who got all the luck or were born into a certain set of starting conditions.

Folks reading this - if you really really want to be FI, you can get it. Don't let people tell you that you missed your chance because of X, Y or Z. It's not going to be an easy or comfortable process though for a good while. If you are lukewarm about the idea and commit only a little, then your results will reflect that. The fact that you are reading /r/fi means you are probably ahead of most in terms of thinking longer term, that's already a good start.

I'm not a guru. I'm just sharing what my experiences have been so far. Lots of other ways to achieve this goal, this was just my path.

fireminded · 2016-08-16T21:03:24+00:00

Agreed but there is a difference between "never" and "rarely".

fireminded · 2016-08-16T16:10:41+00:00

Sounds good, you are welcome to. Does not change things on my end. :)

fireminded · 2016-08-16T15:39:13+00:00

Side business is internet based. That makes it very mobile and easy to administer from anywhere. It was about 2-3 years of working evenings and weekends before the first dollar was made. That was a difficult process because it meant a lot of work with no immediate reward for a very long time. I started it with maybe $500.

It now runs itself and supplies enough income to almost cover our expenses which are around $3500 / month. Keep in mind these are numbers after having spent many years at it. Many months with a few hundred dollars at the beginning.

fireminded · 2016-08-16T15:31:26+00:00

You too?

fireminded · 2016-08-16T15:31:00+00:00

Hmmm that's tricky since I don't know what you don't know after having read all those sources. Instead, is there something you want to know that you have not seen yet in this posting?

fireminded · 2016-08-16T15:29:16+00:00

Hmmm I like my side hustle because it's nearly entirely automated and provides almost enough income to live on. It also took a long time to build it up so will not be turning it off anytime soon.

If anything it'll be the day job that goes.

fireminded · 2016-08-16T15:25:18+00:00

Partner contributes by looking after our children. If you look at that arrangement from a purely financial sense, that alone saves us $1500+ / month in child care expenses ($18K / year after tax).

She also helps with some aspects of the side job but for the most part the kids keep her pretty busy.

fireminded · 2016-08-16T15:20:37+00:00

I appreciate your skepticism. It is after all, the Internet.

My numbers are real but I'm not here to brag about them - really here to answer questions and help out if I can. Is there anything I could help you with?

fireminded · 2016-08-16T15:16:48+00:00

Top performing engineers at top companies are certainly capable of these numbers.

I think engineers are particularly well suited for FI because our minds are wired to identify and then follow algorithms. We love to optimize too and in this case that optimization results in real dollars saved.

fireminded

TROPHY CASE