The time has finally come for me to pull the FIRE lever in my journey!! It’s such a so real moment and my emotions are literally all over the place. It’s one of those moments that seems like a dream. To think back in 2015 I had no clue if I could ever retire let alone retire before 40. Today I hit FIRE at 38!!!
Back Story
I have been focused on FI/FIRE for about seven years now. I remember back in 2015 I just went through a divorce, my best friend died, and I had to move across the country for work. That year was when I realized I needed to do better with my finances. I took the next year to learn as much as I could about personal finance and draw out a blueprint for my future. I went from being lost, confused, and having few options or opportunities.
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I learned fairly quickly that people overcomplicate finances. When we overcomplicate anything we are building speed bumps that only slow down the progress. I knew right out the gate I needed something simple, efficient, and passive in nature. I took the approach of putting ninety percent of my funds into simple index funds and using the remaining ten percent for more risky endeavors. This approach was perfect for me and my goals.
At the time I started this journey, I was making roughly $55,000 a year. I learned that I could actually invest 50%-75% of my income and still live a great life. I was able to do this based on a fairly simple concept. I would spend money based on my values and what brought me long-term happiness.
I decided at this time I wanted to do a deep dive into research on happiness. What I learned is that all data pointed to stuff only fills the void and gives you happiness temporary.
Keep It Stupid Simple
I decided that no matter what the news said, the gurus, and my friends I would simply stick to this plan using the KISS method. I stuck to my guns so to speak but it was hard at times. I would have friends on social media telling me to live more, upgrade to a more expensive car, invest in this hot investment, and the long list goes on.
Every month I was moving the needle a little at a time. I kept telling myself that the math shows that this path is efficient, simple, and sustainable. Now I’m closing in on a $600,000 net worth this does not include my wife’s assets. She hit FIRE over 13 years ago!! I’m still not sure If I want to combine our assets for the purpose of this blog. Though I know most PF bloggers do this.
My Career
In case you have not been following my journey I felt the need to give a quick look into my career. I was in the Military and served in the Marine Corps. I used my income from this to funnel into my investments to buy myself more options and freedom. I took advantage of every military benefit I could that would help me on my journey once I found the FI/FIRE community.
I retired early from the Marine Corps as they had a program that offered it with a stipulation the pension is a bit less than If I did 20 years. I only retired about a year early so not crazy early. This actually baffled many people I worked with. But you see with my investments, lifestyle, and pension I had no reason to keep going into a job I hated. I was already financially independent.
I took a pay cut in my pension and it was 100% worth it!! I now have a pension and very affordable health care worldwide for me and my family.
Easier Path
Though knowing what I do now about FI/FIRE I could have gotten to the same destination with a lot easier and faster path if I would have not stayed so long in the military. My passive income is roughly twice what my current expenses are here in SoCal. This could change as my income settles a bit more and my new monthly expenses. Now that I don’t go to a job every day my expenses are changing. Mind you that is without me even touching my investments. So I have a very good safety net that I built very intentionally.
The fact is Personal Capital is a great tool to help you dominate this game!
My Expenses
I will be starting to share my expenses again once they settle a bit. Same with my passive income. Since retiring early I have not been cheap with anything and really have been spending on whatever I want. I like to do things like this to see if the end result is more joy or happiness in my life. My big philosophy is to spend more on fewer items that bring you joy and happiness.
I don’t foresee my expenses being much more than they are now going forward. Over the last four years, I have spent around $35,000 a year living in HCOL San Diego. If they increase well that is fine. My passive income is looking to be about twice my average expenses.
I’ll probably still invest the rest unless my expenses dramatically increase.
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What’s Next
So what is next for me you might be wondering. I plan to live a fulfilling, adventurous retired lifestyle. For tax purposes, I will be heading back to Florida for my residency. As of today, I’m looking at a home base in Key West till I figure out what the next big chapter looks like. Moving from SoCal all the way to Key West FL will be a fun adventure!!
My retired lifestyle has been incredible so far. I wake up between 7-8 with no alarm clock, though sometimes I do get up around 6. Feed the dogs, take them out for a walk, stretch, and then we head out to some adventure time in nature where they can be off-leash. Come back to the RV and feed them lunch and I go get a workout in. After that, I hit the shower, eat some food, and stretch. Then it’s time to relax catching some sun. This has been somewhat of a typical retired day.
More Fun & Passion Projects
Going forward I will be adding more off-roading to the mixture and tent camping when the weather is right for it. We also do go out to eat and try new activities like exploring new parks, movies and what have you. I have also thought about adding some fishing to the agenda.
I also have some passion projects I want to start. Some like this blog I want to put a little bit more time into. But I want to do this with no real care about earning money from any of my passion projects.
Will this structure or typical day change? I can see it changing depending on the weather and where we currently are. There are also plans for a lot of slow travel. I don’t want to be the typical traveler rushing to check things off the list. More so to travel slowly to really be a part of the culture and community.
It’s still such a crazy ride to think that I hit FIRE at 38!!