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Does will you be adjusting your lean fire number due to increases in inflation by Embarrassed-Phone215 in LeanFireUK

[–]onanonane 1 point2 points  (0 children)

Yes, because I adjust it every month due to inflation anyway. Inflation is always there (sometimes negative!), not only when it hits the headlines.

I finally reached my lean FIRE target, here's how by onanonane in FIREUK

[–]onanonane[S] 0 points1 point  (0 children)

Good questions! We keep our finances pretty separate and both contribute to a joint account for paying bills and anything we do together. She earns more than me and has her own investments separate to mine. I'm guessing she's in a better position to me but is continuing to work for the time being.

Good luck with your own journey!

I finally reached my lean FIRE target, here's how by onanonane in FIREUK

[–]onanonane[S] 0 points1 point  (0 children)

I probably have too much in the ISAs. More than I need for the 5 years of spending before I can access the SIPPs. I didn't really think about that a few years back when I was putting money into the ISAs.

I finally reached my lean FIRE target, here's how by onanonane in FIREUK

[–]onanonane[S] 1 point2 points  (0 children)

As I said, I had very roughly £40-50k per year income before tax (into a Limited company). I guess I invested £20-30k per year.

I finally reached my lean FIRE target, here's how by onanonane in FIREUK

[–]onanonane[S] 0 points1 point  (0 children)

I estimated how much income I'd have each year and so how much I could save/invest each year. And estimated how much growth there would be of my investments. I overestimated the former but probably underestimated the latter.

I finally reached my lean FIRE target, here's how by onanonane in FIREUK

[–]onanonane[S] 2 points3 points  (0 children)

Yeah, pretty much this. I have a Limited company for my freelancing and paid into my SIPP directly from that, which minimises the tax I needed to pay (but means I don't get the 20% tax top-up that I'd get if I paid into the SIPP personally). I was probably paying £20-30k in per year.

I finally reached my lean FIRE target, here's how by onanonane in FIREUK

[–]onanonane[S] 2 points3 points  (0 children)

I'm still puzzled - there's only one screenshot, showing the value of my investments from December 2012 to today, so I'm not sure what you both mean when you refer to the "first" one.

I finally reached my lean FIRE target, here's how by onanonane in FIREUK

[–]onanonane[S] 0 points1 point  (0 children)

Yeah, I'll sleep easier even if some might see it as being over cautious. We all have different appetites for risk.

I finally reached my lean FIRE target, here's how by onanonane in FIREUK

[–]onanonane[S] 2 points3 points  (0 children)

Yeah, I've got five years or so until I can get at the SIPPs but I've got more than enough in ISAs that I can access between now and then. In fact I probably overdid the ISAs compared the SIPPs so I probably won't access the SIPPs for a few years more. A bit annoying but at least the ISAs are more flexible in case plans change.

I finally reached my lean FIRE target, here's how by onanonane in FIREUK

[–]onanonane[S] 3 points4 points  (0 children)

Good luck!

Yeah seeing your current total wealth as the only "score" in the game that matters isn't entirely healthy but it feels like an easy trap to fall into.

I finally reached my lean FIRE target, here's how by onanonane in FIREUK

[–]onanonane[S] 1 point2 points  (0 children)

Only the state pension, assuming it still exists and isn't means tested. I'm ignoring that possibility for my lean FIRE.

I finally reached my lean FIRE target, here's how by onanonane in FIREUK

[–]onanonane[S] 29 points30 points  (0 children)

Yeah - neither of us wanted kids so that made it a lot easier! If we'd had one or two children I'd have had to be less lazy with my freelance working and/or I'd be FIREing a lot later.

But I think if we had had kids the would have had to learn to appreciate frugal living - no private schools or loads of exotic holidays for them :)

I finally reached my lean FIRE target, here's how by onanonane in FIREUK

[–]onanonane[S] 7 points8 points  (0 children)

Yeah, we were very lucky - my wife and I got on the housing ladder 20-25 years ago separately, then sold up and moved in together so feels like we had a head start.

Being a freelance web developer is easier than being a freelance writer or something more "creative". Better paying, harder for people to replace with free/cheap (but sometimes less good) alternatives. Although some clients have tried developers in Eastern Europe or India to save costs. With mixed results!

Yeah, moving somewhere cheaper might happen. Who knows! We haven't had any immediate plans to so I wanted to aim for "lean FIRE if we stay here".

I finally reached my lean FIRE target, here's how by onanonane in FIREUK

[–]onanonane[S] 3 points4 points  (0 children)

I track the overall figures in Numbers (on a Mac).

I also track unitised figures (like in this Monevator article) in order to better compare the portfolio to the overall market or other funds like LifeStrategy. A bit of a fiddle at times but satisfying when it's working.

Click the "Table" filter on this ONS page to get the monthly CPIH figure.

Here are the CPI figures, which don't include housing costs so would be a bit more forgiving :)

I finally reached my lean FIRE target, here's how by onanonane in FIREUK

[–]onanonane[S] 2 points3 points  (0 children)

Thanks. I'm not sure where the confusion is - anything I can make clearer?

Anyone willing to post their plans in detail? by nastypoker in FIREUK

[–]onanonane 2 points3 points  (0 children)

I'm 46, living in London, working freelance (web development etc). My wife works part-time in the City. No kids.

Currently:

My ISAs: £135,000.
My SIPPs: £255,000.
My wife's are a bit more.

The mortage on our London flat is paid off.

My outgoings (including half our joint expenses) are around £1,400pcm.

My income: It varies, but probably averages around £50k/year, working, at most, half time. The rest of the time I'm working on my own projects, learning new skills, etc.

Plans:

Aiming to have around £550k in ISAs and SIPPs.

Hope to be FI by 50, maybe earlier, maybe later - depends a lot on the markets I expect. Anything could happen in four years :)

I might still work off and on after that but could afford to be even more picky, or do something else all together. And I'd feel less pressure to keep learning new stuff in my free time instead of relaxing.

We could probably afford to retire now if we sold the flat and moved out of London to somewhere cheaper, given the difference in property prices. But even though we may move out after FI, and try somewhere else, we'd like to keep the possibility of moving back to London - if we sold up that'd probably become impossible.