re: Who in here follows the "FIRE" mindset when it comes to money?

What % of assets woukd 72(t) allow you to withdraw annually? How high a withdrawal rate are you going to use instead?

I higher initial withdrawal rate increases sequence of returns risk. But might make sense if expecting other income sources later in retirement such as SS, pension, or inheritance.

With the 10% penalty, what is the effective tax rate on n your withdrawals? Better than the marginal rate you saved a contribution (for traditional).

I wanted to retire early but living life I have decided spending money when you are younger is more fun than when you are 70,80,90 etc. and I am in a field where I can work 2-3 days a week and make more than the average household income pretty much anywhere in the country. Hell, I only work 4 days a week now, and one of those days is a half day. I think I would actually WANT to work a couple days a week for something to do, if I didn't I would probably start another business or turn a hobby into a business and I don't want that again. Punching out when you leave work has value, never happens when you own a business.

Don't get me wrong, I save money, I will retire comfortably, but I am not as extreme as I planned when I wanted to retire at 50 or some shite. Spending a few bucks for better quality of life now is worth something, an investment in now?

I could save some money if my wife didn't have a new car, I didn't live waterfront, I didn't have a boat but those things increase the quality of my life now. I am also frugal in that I drive a 15 year old vehicle, I auto save in investments and regular savings, we don't eat out a lot at all, I pack lunch if I even eat lunch at work, but those things don't negatively effect my quality of life at all.

There is a balance, I think the extreme of over planning and the extreme of not planning at all both have negatives, but somewhere in the middle we can all find a happy place.

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We don't have kids and I do want to leave some behind for my nieces and nephews, but there's a part of me that wants to enjoy it all up.

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Spend it with them, don't just give it to them when you die. Take them on the trips/adventures now. You will both benefit from the memories, rather than them just getting a lump to blow when you're gone.

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Spend it with them, don't just give it to them when you die.

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That's a theme of the "Die with Zero" book, in a way. Experiences are worth spending money on and instead of leaving money to children (or nieces/nephews) when they're already old, spend or give it to them when they can actually use it in their 20s and 30s.

serious question, do FIRE folks not give too much to their 401ks given you can't touch those until you are 59.5? If you RE at 40, that 401k money is locked up, no? Even though you are technically retired?
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I retired at 55. I basically worked a 20 year plan of building both retirement and taxable funds. I have believed in funding both for a long time. I was unaware of FIRE during the years I was building my wealth, but committed to spending less than I make, and investing the extra money.

I’m planning for 55 (11 yrs out) and using the Rule of 55 to withdraw before 59.5

I’ll also have taxable account but not considering that in any retirement calculations.

Health insurance will be a wild card when I get to 55.

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I’ll also have taxable account but not considering that in any retirement calculations.

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That's weird, why not? Usually taxable is the first/easiest to tap in ER years. Unless you have other income streams (like a pension), you could take traditional up to the standard deduction and pay zero tax then stack withdrwals from the taxable on top to harvest Long term capital gains w/ the zero tax up to the top of 12% income tax bracket. Plus, the taxable brokerage withdrawal basis isnt taxed. A couple filing MFJ could easily have $100k plus basis to live on w zero tax.

You'll want to tweak withdrawals from traditional, taxable and Roth to optimize ACA subsidies as well as taxes. Either way, the taxable brokerage shouldn't be ignored for FIRE planning.

Sort of in the same place as you. My wife and I do very well and spend about average where we live. However average where I live is probably overboard most places. My job isn’t labor intensive so I plan to work until at least my youngest goes to college.

started have long kids late so I will be early 60s by the time the last is out the door. My wife is five years younger so she will probably fully step away when she is in her late 50s.


This plan probably will accelerate if we pay off the house before then, but that will require a large liquidity event that I am in no rush to do.

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understand, for the most part, how the tax account can be used in ER. I just don’t want to count on that money in my planning

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The biggest mistake I made was not building up a sizable after-tax account. Don't do like me and go too heavy on pre-tax investments.

Anyone here read “Die With Zero”? He mentions FIRE briefly in the book and was when I sort of dove into the subject.

He presents a lot of stats that most people vastly over save for retirement and don’t get the most out of their lives. It also bums me out a little bit because I can see opportunities I’ve already missed with my parents and grandparents.

Its definitely changed my way of thinking long term and me and the wife are planning our FIRE dates, she wants to go back to school to be a nurse which will make it fairly easy transition for us

ETA: shite I missed this was already brought up on the first page we’re all too alike on here