SUBSCRIBE
Enter your Name and Email address to get
the newsletter delivered to your inbox.
Please include name of person that directed you to my online newsletter so I can thank them personally.
A relatively old idea with a new name is gaining increased interest among Millennials. Proponents of FIRE — Financial Independence, Retire Early — work toward early retirement by reducing spending during their working lives to build the funds needed for future financial freedom. While this austere, strict saving philosophy may not be for everyone, some of its principles may help those looking to meet ambitious financial goals.
For most of us, our goals are more traditional. We may want to save for a nice home, a child’s college education and a comfortable retirement, the latter perhaps near normal retirement age instead of in our 40s. FIRE’s personal finance practices can still help you reach these goals.
Go through your budget and identify where you can spend less. How much you sacrifice should correlate with how important your goals are. Maybe you don’t need to keep your car for 20 years, but an extra couple of years without car payments can help.
At the same time, you might consider earning more via overtime, a second job or gigging, and putting this money toward your most important goals. Save as much as possible early on to take advantage of time and compounding, and do it in tax-deferred vehicles when possible.
Enter your Name and Email address to get
the newsletter delivered to your inbox.
Please include name of person that directed you to my online newsletter so I can thank them personally.
Enter your Name, Email Address and a short message. We'll respond to you as soon as possible.
The information and opinions contained in this web site are obtained from sources believed to be reliable, but their accuracy cannot be guaranteed. The publishers assume no responsibility for errors and omissions or for any damages resulting from the use of the published information. This web site is published with the understanding that it does not render legal, accounting, financial, or other professional advice. Whole or partial reproduction of this web site is forbidden without the written permission of the publisher.