Anonymous
Post 02/05/2023 00:01     Subject: What NW would a person need to retire by age 30 in a HCOL area?
Anonymous wrote:And if you have children what kind of an example is that? We’re in our mid 40s w/ a mid 9 figure net worth and would never consider retiring. Partially bc we want to set an example for our kids, partially bc we’ve chosen careers that we find interesting and fulfilling and partially bc we’ve been successful and if this continues, 20 more years will leave us with a large sum that we can strategically donate and set up multiple small endowments at causes important to us and where we think x amount of money will be beneficial to others long-term.

I am always disgusted when people have the goal of just quickly making money to retire. Rarely have I seen people like that be successful. Do something you are passionate about and then you won’t want to ever stop doing it.



Genuine question, you have a mid NINE figure net worth and you wouldn’t consider retiring? So you have over $100,000,000 - or closer to $500,000,000 if it’s mid-nine figures as you mention. It doesn’t seem like you need 20 more years to hit your goal of strategic donations and endowments! Not a criticism, you are very lucky to love your jobs that much and be so successful! I just can’t imagine having over $100m and wanting to work still lol!
Anonymous
Post 02/04/2023 10:59     Subject: What NW would a person need to retire by age 30 in a HCOL area?
Maybe 2m liquid if it were just me. 5m given that I have a family.
Anonymous
Post 02/04/2023 08:30     Subject: What NW would a person need to retire by age 30 in a HCOL area?
Mr Money Mustache
Anonymous
Post 02/04/2023 08:08     Subject: What NW would a person need to retire by age 30 in a HCOL area?
I could do it on one million, but that just me. I don't spend a lot of money after rent/mortgage.
Anonymous
Post 02/04/2023 02:19     Subject: Re:What NW would a person need to retire by age 30 in a HCOL area?
Anonymous wrote:Google the 4% rule; it will give you a rough approximation. Start with your desired income. You mention a HCOL area, so maybe $300k/year of income? $300k/.04=$7.5 million. The 4% rule says that if you start with a 4% withdrawal rate in year one, then increase your withdrawal each year by the inflation rate and you hold a 60/40 stock/bond portfolio, you should not run out of money for a 30-year retirement. Obviously, you have more than 30 years to plan for, so you should allow a margin of error. Maybe, $10 million.


This — the “4% rule” assumes you are at retirement age (62+) and will spend down your capital. It does not work for someone retiring at 30. OP needs to run a calculator (there are many on line). However, off the top of my head, $10 million would be my answer.
Anonymous
Post 02/03/2023 18:26     Subject: What NW would a person need to retire by age 30 in a HCOL area?
I know people in tech who have done this successfully, albeit a little older than 30. I have no idea what the numbers actually look like.
Anonymous
Post 02/03/2023 18:23     Subject: Re:What NW would a person need to retire by age 30 in a HCOL area?
Google the 4% rule; it will give you a rough approximation. Start with your desired income. You mention a HCOL area, so maybe $300k/year of income? $300k/.04=$7.5 million. The 4% rule says that if you start with a 4% withdrawal rate in year one, then increase your withdrawal each year by the inflation rate and you hold a 60/40 stock/bond portfolio, you should not run out of money for a 30-year retirement. Obviously, you have more than 30 years to plan for, so you should allow a margin of error. Maybe, $10 million.
Anonymous
Post 02/03/2023 18:14     Subject: Re:What NW would a person need to retire by age 30 in a HCOL area?
One billion rupees!
Anonymous
Post 02/03/2023 17:20     Subject: What NW would a person need to retire by age 30 in a HCOL area?
I’d need $20mm.
Anonymous
Post 02/03/2023 17:09     Subject: What NW would a person need to retire by age 30 in a HCOL area?
$10-20 million
Anonymous
Post 02/03/2023 13:38     Subject: What NW would a person need to retire by age 30 in a HCOL area?
You're aspiring to be part of the "Fat FIRE" movement. FIRE means Financial Independence/Retire Early. There are boards and reddit subforums for it, but they can be pretty toxic.

There are a lot of people in those boards who claim they're retired because they quit their high-paying corporate jobs and they're now doing something less intense. Even the guys who have the FIRE podcasts are working. They are selling ad time, books, and have websites full of affiliate links.
Anonymous
Post 02/03/2023 13:13     Subject: What NW would a person need to retire by age 30 in a HCOL area?
$30 million in assets
Anonymous
Post 02/03/2023 13:11     Subject: What NW would a person need to retire by age 30 in a HCOL area?
How much do you plan to spend per year after you “retire”? It’s a critical part of the calculation, and if our numbers aren’t the same then we can’t help you.

Furthermore, anyone who manages to pull this off should be able to do an easy google search on how to calculate what you need in retirement and then do the math. This does not bode well for your odds of success.

I plan to retire at 57.5 and have calculated that I need 5.7 million to live 38 years after that with the lifestyle I desire. I’m saving as though my pension goes away and SS does as well. I’m on track to have that and odds are good my pension will still be here, so I will be in great shape as long as things continue according to plan.
Anonymous
Post 02/03/2023 09:43     Subject: Re:What NW would a person need to retire by age 30 in a HCOL area?
$20M. I would recommend a checking account versus investing.
Anonymous
Post 02/03/2023 09:38     Subject: Re:What NW would a person need to retire by age 30 in a HCOL area?
PS - you might also want to consider social security, if it continues to exist. I believe you need 40 quarters to qualify. Might be worthwhile getting your quarters in before retiring.