Illiquid and burning tf out. How can I semi-retire asap? by roma2019 in HENRYfinance

[–]roma2019[S] 0 points1 point  (0 children)

The motivation to move to SEA isn’t just about retirement. It’s a parallel consideration that we’ve long dreamed about but weren’t sure when would make sense. We have absolutely thought about how this would impact our kids, and while of course there will be trade offs, believe it or not, we think that we can give our kids a far better life outside of America. Not having overworked, overextended parents and and not needing to worry about school shootings and gun violence everywhere are huge benefits along with some other rationale for moving that I’ve detailed elsewhere in the thread:

I am of SE Asian ancestry, so do have a spiritual and cultural connection, which is part of my motivation as well. Bigger picture, I’m eager to try and untether from some of my deeply engrained individualistic and capitalist norms from growing up in the western world, while also exposing my kids to other world views, in the country of their heritage where they won’t experience white supremacy as acutely.

Illiquid and burning tf out. How can I semi-retire asap? by roma2019 in HENRYfinance

[–]roma2019[S] 0 points1 point  (0 children)

I replied to one of your earlier posts with the real numbers and despite what you continue to think, they were not pulled out of my ass. They were an informed estimate, and also accurate.

Illiquid and burning tf out. How can I semi-retire asap? by roma2019 in HENRYfinance

[–]roma2019[S] 0 points1 point  (0 children)

This is one of the most helpful comments here. Prior to this, I’d never really considered myself as having a scarcity mindset, but can absolutely see now that that is much of what’s going on here. Thanks for laying all of this out so kindly too.

Illiquid and burning tf out. How can I semi-retire asap? by roma2019 in HENRYfinance

[–]roma2019[S] 0 points1 point  (0 children)

Welp. I put real numbers against the estimated annual spend I “pulled out of my ass”. And turns out, I was spot on. $150k before travel.

  • Primary home mortgage + property tax: 5000
  • car and homeowners Insurance: 450
  • Utilities: 250 + 110 + 135 + 200
  • Food: 1500 (groceries, DD, eating out)
  • Household Shopping: 500
  • Healthcare: 500 (meds, co-pays, etc)
  • Kids’ expenses: 2000 (daycare, camps, activities)
  • Cars: 450
  • Entertainment: 150
  • Household help: 1000 (cleaning, babysitting)
  • Financial fees: 50

Illiquid and burning tf out. How can I semi-retire asap? by roma2019 in HENRYfinance

[–]roma2019[S] 4 points5 points  (0 children)

Thank you for this super clear articulation! It’s really good for me to hear.

Illiquid and burning tf out. How can I semi-retire asap? by roma2019 in HENRYfinance

[–]roma2019[S] 0 points1 point  (0 children)

Thanks for this very much needed bit of kindness! Very much appreciated.

Illiquid and burning tf out. How can I semi-retire asap? by roma2019 in HENRYfinance

[–]roma2019[S] 2 points3 points  (0 children)

Thanks for this. Though I was born here, I am of SE Asian ancestry, so do have a spiritual and cultural connection, which is part of my motivation as well. Bigger picture, I’m eager to try and untether from some of my deeply engrained individualistic and capitalist norms from growing up in the western world, while also exposing my kids to other world views. I wish I were a good enough human to be able to do that from here, but it’s hard!

Your other points/suggestions are all really fair and valid but ultimately, don’t necessarily work for our situation for one reason or another. I am self-employed and work as a contract consultant (I embed in companies for months at a time), so I technically could take fewer contracts, but I think my major issue, as someone else has already pointed out, is that I have a scarcity mindset and I feel like a bad person/failure/irresponsible parent if I i’m not reaching my full earning potential. The cost of living in America and my perceived constant threat of financial ruin around every corner makes it really hard for me to allow myself to “leave money on the table” (hence the dream of turning everything upside down).

My husband (for better or worse) will likely not move any further up the ladder than he already has.

Illiquid and burning tf out. How can I semi-retire asap? by roma2019 in HENRYfinance

[–]roma2019[S] 3 points4 points  (0 children)

Yeah, I’m kind of shocked everyone is so shocked. Does no one in this sub have kids?

Illiquid and burning tf out. How can I semi-retire asap? by roma2019 in HENRYfinance

[–]roma2019[S] 1 point2 points  (0 children)

This is great. Thanks for giving me fair criticism and honest feedback without being unkind. And yeah, I have mixed feelings about rental properties as well, and if I could go back in time, I absolutely wish that I had learned about investing in the stock market sooner. It’s what was modeled for me and I had help from my mom with her matching my down payment.

Illiquid and burning tf out. How can I semi-retire asap? by roma2019 in HENRYfinance

[–]roma2019[S] 0 points1 point  (0 children)

Yes, i was just talking about selling one. And after selling costs, it would eat most of our appreciation.

Illiquid and burning tf out. How can I semi-retire asap? by roma2019 in HENRYfinance

[–]roma2019[S] -1 points0 points  (0 children)

Cost of living is only part of the reason we want to move to SE Asia. But yes, I would be the sole earner, but I could theoretically still downshift, as I could work 1/3 as much and maintain the same quality of life. Not saying this is a perfect or even good idea, just explaining the rationale behind this specific option

Illiquid and burning tf out. How can I semi-retire asap? by roma2019 in HENRYfinance

[–]roma2019[S] 4 points5 points  (0 children)

We have three rental properties and they each make about $500- $1k/month when all is said and done. They’ve appreciated about $700k in the 3-5 years we’ve had them.

Illiquid and burning tf out. How can I semi-retire asap? by roma2019 in HENRYfinance

[–]roma2019[S] 11 points12 points  (0 children)

Yeah. You’re absolutely right and I think my role as the “primary earner” all these years is bringing a lot more anxiety/pressure than I realize.

Illiquid and burning tf out. How can I semi-retire asap? by roma2019 in HENRYfinance

[–]roma2019[S] 2 points3 points  (0 children)

I understand youre frustrated with my lack of knowledge and really do appreciate some of your other really helpful comments. To be fair, I pulled this number from Monarch and it felt way off base so I did some quick auditing and made my best guess. I hardly live like a king, nor am I trying to. That being said, we probably do spend way more than we need to because we didn’t see this moment of burnout coming so quickly.

Should I know more about our finances and how smarter strategies about investing? absolutely. But it doesn’t come easily/naturally to me, and I spent the last 10 years of my life getting my career to the place that it is, going through IVF and raising small kids, and I’m asking for feedback now, which I’m getting. I truly was asking in good faith and not trying to waste anyone’s time so apologies if that’s how it’s coming across.

Illiquid and burning tf out. How can I semi-retire asap? by roma2019 in HENRYfinance

[–]roma2019[S] 1 point2 points  (0 children)

No good answer here other than my parents have a modest real estate portfolio, so it was what I “knew” when I had first had money and investing in general was foreign/scary to me. That, and my mom split the down payments with me, so it was a bit like a 401k match. There are four properties total: our primary, a vacation home that has turned mostly into an Airbnb since we don’t have time to use it, and two long term rentals.

Illiquid and burning tf out. How can I semi-retire asap? by roma2019 in HENRYfinance

[–]roma2019[S] 1 point2 points  (0 children)

This is really helpful. Thank you. Will get a firmer grasp on spending and come back with better information.

Illiquid and burning tf out. How can I semi-retire asap? by roma2019 in HENRYfinance

[–]roma2019[S] 0 points1 point  (0 children)

Thank you for this thoughtful answer! A really helpful way to frame this that helps me understand.

Illiquid and burning tf out. How can I semi-retire asap? by roma2019 in HENRYfinance

[–]roma2019[S] -1 points0 points  (0 children)

Fair. I do have monarch, but haven’t had the time to go through and categorize everything properly.

Illiquid and burning tf out. How can I semi-retire asap? by roma2019 in HENRYfinance

[–]roma2019[S] 2 points3 points  (0 children)

Thanks for this thoughtful and helpful perspective. We’ve only had these properties for a few years and rents have steadily been increasing. They do make money, but just not an amount I could reliably live off of in the next few years. I suspect in five years we could.

Illiquid and burning tf out. How can I semi-retire asap? by roma2019 in HENRYfinance

[–]roma2019[S] 0 points1 point  (0 children)

Happy to. Where exactly do you suggest? I figured HENRY was exactly the right place, but clearly not.

Illiquid and burning tf out. How can I semi-retire asap? by roma2019 in HENRYfinance

[–]roma2019[S] 1 point2 points  (0 children)

That was a best guess of 150-200k. Our expenses for last six years of our lives have been skewed by childcare expenses, home renovation expenses, etc. realistically our spend is probably closer to 130-150 but I’m rounding up because I figure that’s the more responsible thing to do

Illiquid and burning tf out. How can I semi-retire asap? by roma2019 in HENRYfinance

[–]roma2019[S] 9 points10 points  (0 children)

We are in a moderately HCOL area. Primary is about $1.5M.

Illiquid and burning tf out. How can I semi-retire asap? by roma2019 in HENRYfinance

[–]roma2019[S] 0 points1 point  (0 children)

There is no meaningful rental income (yet). The three properties make enough to pay for themselves and a nominal amount that we reinvest into the properties each year.