The F.I.R.E. movement stands for Financially Independent/Retire Early movement. The basic jest of the movement is to get a great job or jobs, and work really hard. Instead of spending all of your hard-earned money on cars and boats and such, you would be saving and investing the majority of your income. The goal would be to have somewhere between $2-4 million between the ages of 30-40 and then retire. Then you would live frugally off of your investments in retirement.
The movement has gained a lot of traction over the years. People are dissatisfied with their jobs and want a less stressful life. Many people want to spend more time with friends and family. The movement is an excellent way to control your own destiny and to allow your family to spend a lot more time together.
I love the idea of saving and investing as much income as you can. My main issue with the F.I.R.E. movement is the fact that people are leaving a lot of income on the table. Very few people in this life have the wherewithal to save and invest at such high levels. To be able to do this and also live frugally is also rare. This means you have mastered some of the hardest ideas in life. If I have become this successful, I don’t want to walk away from this earning potential.
My wife and I live frugally. However, from time to time we like to do nice things for ourselves, our kids, and our parents. For instance, we are all going to Turkey in 2021. That costs a lot of money. I would not want to retire and not be able to afford certain things. I envision a life where my grandkids all travel to Turkey together, along with me and Kris, and our kids. Or maybe we decide to go to Italy together. This is probably a $50,000 vacation. In the F.I.R.E. movement, your whole family would have to live off of $50,000 a year, for example. That would leave no room for extras.
I just do not want to put a limit on what I can do. I know that I have a mind to be successful. I have the work ethic to be successful. I want to be able to allow my wife, my kids, my parents, and my grandkids freedom of movement. I really don’t want them to ever have to worry about anything. In order to set us up for this kind of success, I need business income, investment income, rental income, and other streams of income. I need to be constantly thinking of ways to generate income. However, we always want to maximize time with family.
The F.I.R.E. movement is a wonderful way to get on board the savings and investing train. It is a solid foundation. But for some us, it is just the beginning.
Disclosure: I am not a financial advisor or money manager, and any knowledge is given as guidance and not direct actionable investment advice. Please research any investment vehicles that are being considered. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it. I have no business relationship with any company whose stock is mentioned in this article.
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