On today’s show Mr. Countdown flies solo and has a rant about Multi-level marketing. Also:
- Our plan for achieving financial independence and why we are pursuing FI
- How FI makes you flexible, even before you reach your number
- The magic of the wall chart FI spreadsheet
- The savings plan: dropping expenses & saving a crap ton
- Plus, the retirement withdrawal plan
- Healthcare and other long term expenses
Notes from the show:
Here is an example of the wall chart that Mr. CTF is talking about in this episode. The concept is simple: track your expenses and income and the safe withdrawal rate of your investments. Once the safe withdrawal rate intersects with the expenses line, you’ve reached FI. Since we want to include a lot more travel and leisure in our budget once we retire, we won’t consider ourselves to be FIREd until we can safely withdraw enough to cover those additional expenses.
On a side note, 2016 and 2017 reflect net income. From here on out, we will be tracking gross income and putting taxes and health insurance on the expense side to get a more accurate gauge of all expenses.