Personal Finance Milestone: 20 Times Annual Expense

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arcticpineapplecorp.
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Re: Personal Finance Milestone: 20 Times Annual Expense

Post by arcticpineapplecorp. » Sun Jul 16, 2017 11:53 am

KlangFool wrote:
Boglegrappler wrote:Not happy about uttering a discouraging word here, but........

Being able to save half of your after-tax pay requires either stunning austerity, or a rather high income. It does, however, put you in a position to be independent and also to live from your assets income rather than consuming it and worrying about running out. Nice job.
Boglegrappler,

<<Being able to save half of your after-tax pay requires either stunning austerity, or a rather high income.>>

Or, none of the above. I came from a country/culture where the average gross rate for the whole country is 30+%. It is how we live. It is part of our culture. And, that is not the only country in the world with that level of gross saving rate.

KlangFool
Congratulations. Very inspiring. I believe I heard in China families save around 50% of their income. However, it could be that they do that because there is no social safety net. Americans and Europeans, from what I understand, with an adequate safety net (SS/Medicare) all too often make the mistake of thinking they don't need to save, or save as much as they probably should (or could).

Anyway I agree that saving half your pay doesn't always lead to austerity. I believe Mark Zuckerberg could save 50% of his pay without living much of an austere life. :happy So I don't think we can make blanket statements like that. KlangFool said he makes an "above average income". Perhaps what boglegrappler is thinking is those with "below average" incomes would be living in austerity. That's probably right but again depends upon particular circumstances.
"Invest we must." -- Jack Bogle | “The purpose of investing is not to simply optimise returns and make yourself rich. The purpose is not to die poor.” -- William Bernstein

KlangFool
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Re: Personal Finance Milestone: 20 Times Annual Expense

Post by KlangFool » Sun Jul 16, 2017 11:59 am

arcticpineapplecorp. wrote:
KlangFool wrote:
Boglegrappler wrote:Not happy about uttering a discouraging word here, but........

Being able to save half of your after-tax pay requires either stunning austerity, or a rather high income. It does, however, put you in a position to be independent and also to live from your assets income rather than consuming it and worrying about running out. Nice job.
Boglegrappler,

<<Being able to save half of your after-tax pay requires either stunning austerity, or a rather high income.>>

Or, none of the above. I came from a country/culture where the average gross rate for the whole country is 30+%. It is how we live. It is part of our culture. And, that is not the only country in the world with that level of gross saving rate.

KlangFool
Congratulations. Very inspiring. I believe I heard in China families save around 50% of their income. However, it could be that they do that because there is no social safety net. Americans and Europeans, from what I understand, with an adequate safety net (SS/Medicare) all too often make the mistake of thinking they don't need to save, or save as much as they probably should (or could).
arcticpineapplecorp,

http://www.investopedia.com/articles/pe ... e-vertical

I have no answer. If that is true, Norway will not be in the list with the gross saving rate above 30%.

http://data.worldbank.org/indicator/NY.GNS.ICTR.ZS

Sweden right at 30%. Ireland above 30% too.

KlangFool

2pedals
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Re: Personal Finance Milestone: 20 Times Annual Expense

Post by 2pedals » Sun Jul 16, 2017 12:04 pm

KlangFool wrote: I do not know how to invest. I stick with Wellington fund and Lifestrategy Moderate Growth Fund for many years until I switch the Life Strategy Moderate Growth portion to 3 funds.
I think you are way underestimating yourself, maybe you made some big mistakes in the past but that does not imply you do not know how to invest. Learning your lesson the hard way can result in retooling and rethinking that has made you the person that you are now.

KlangFool
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Re: Personal Finance Milestone: 20 Times Annual Expense

Post by KlangFool » Sun Jul 16, 2017 12:30 pm

2pedals wrote:
KlangFool wrote: I do not know how to invest. I stick with Wellington fund and Lifestrategy Moderate Growth Fund for many years until I switch the Life Strategy Moderate Growth portion to 3 funds.
I think you are way underestimating yourself, maybe you made some big mistakes in the past but that does not imply you do not know how to invest. Learning your lesson the hard way can result in retooling and rethinking that has made you the person that you are now.
2pedals,

1) Thank you for the kind words. But, sometimes, we need to look at ourselves in the mirror and see the whole truth.

10+ years ago, I have about 8 to 10 times my annual expense. I was arrogant and too damn smart. I had 10+ years in Telecom world and I thought I knew how to invest. Then, the Telecom bust. Plus, the quarterly laid off. I sold everything except one S&P 500 index fund. I lost 50%.

Then, for many years, I put all my savings into cash. I had to study and earned my confidence in investing. It took several years before I dare to put my money into Wellington fund and Life Strategy Moderate growth fund in all my accounts. I paid a fair amount of tax for my investment in my taxable account.

Only in the last several years, I transitioned my taxable investment into 3 funds and save a fair amount of tax in the process. That took a fair amount of teaching and learning from the posters, Livesoft and Triceratop. Thanks again for their help.

It took a long time because I was too arrogant and too damned smart for my own good. I was a "Know-it-all". If I knew that I was stupid, the journey would be a lot easier.

2) Both of my older brother and older sister early retired at 49 years old. Many of my family members are millionaires. With high gross saving rate, it is not hard to get there if the person invests cautiously and wisely. But, I was stupid. Hence, my journey is a lot harder.

KlangFool

arsenalfan
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Re: Personal Finance Milestone: 20 Times Annual Expense

Post by arsenalfan » Sun Jul 16, 2017 12:39 pm

Congratulations! That is amazing and inspirational to the rest of us!
I appreciate your very direct advice on this forum.
Your blunt honesty is refreshing to see - also because you're not afraid to turn the microscope on yourself.

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Driver
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Re: Personal Finance Milestone: 20 Times Annual Expense

Post by Driver » Sun Jul 16, 2017 12:44 pm

Congrats KlangFool!

novicemoney
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Re: Personal Finance Milestone: 20 Times Annual Expense

Post by novicemoney » Sun Jul 16, 2017 1:04 pm

Congratulations. Like you we are periodically calculating our nest egg number as a multiple of expenses. I have several questions about how you are calculating your annual expense number.

When you are calculating your expense figure are you including: 1. Investment/savings? 2. Travel expenses? 3. "Big ticket item" funds (i.e. unexpected home/car repairs, new car fund, etc.)?

Does your annual expense figure reflect purely non-discretionary items? Is the expense figure a projected "retirement budget"?

I apologize for all the questions, but I find that for myself, the annual expense figure changes depending on how detailed your expense methodology is. In this case the devil is indeed in the details.

KlangFool
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Re: Personal Finance Milestone: 20 Times Annual Expense

Post by KlangFool » Sun Jul 16, 2017 1:31 pm

novicemoney wrote:Congratulations. Like you we are periodically calculating our nest egg number as a multiple of expenses. I have several questions about how you are calculating your annual expense number.

When you are calculating your expense figure are you including: 1. Investment/savings? 2. Travel expenses? 3. "Big ticket item" funds (i.e. unexpected home/car repairs, new car fund, etc.)?

Does your annual expense figure reflect purely non-discretionary items? Is the expense figure a projected "retirement budget"?

I apologize for all the questions, but I find that for myself, the annual expense figure changes depending on how detailed your expense methodology is. In this case the devil is indeed in the details.
novicemoney,

<<the annual expense figure changes >>

1) I do not get it. Why would this be hard?

I do "Pay Yourself First". Besides paying tax, I auto-deduct my savings and investment from my pay check. Then, I spend the rest. My annual expense could only be less than whatever amount that I choose. It could never be more. It does not change either.

2) Honestly, I cannot claim to be a frugal person. My annual expense excluding PITI (housing) is 40K per year. The US median household income is 60K. I may spend less and save a lot more than my peers at my income level. But, I do spend a lot more as compared to the US median household.

KlangFool
Last edited by KlangFool on Sun Jul 16, 2017 1:45 pm, edited 2 times in total.

marcopolo
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Re: Personal Finance Milestone: 20 Times Annual Expense

Post by marcopolo » Sun Jul 16, 2017 1:34 pm

Congratulations!

I have learned a lot from reading many of your posts over the years, greatly appreciated. Your perseverance is inspiring.
I hope your remaining work years go smoothly, and lead to a long and happy retirement :sharebeer
Once in a while you get shown the light, in the strangest of places if you look at it right.

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celia
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Re: Personal Finance Milestone: 20 Times Annual Expense

Post by celia » Sun Jul 16, 2017 1:42 pm

KlangFool wrote:I do "Pay Yourself First". Besides paying tax, I auto-deduct my savings and investment from my pay check. Then, I spend the rest. My annual expense could only be less than whatever amount that I choose. It could never be more. It does not change either.
So, you let 1/3 of your income be your annual expenses. What happens when you are laid off? Do you spend one year of savings for each year you are unemployed? Or do you live off of Unemployment benefits first?

KlangFool
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Re: Personal Finance Milestone: 20 Times Annual Expense

Post by KlangFool » Sun Jul 16, 2017 4:10 pm

celia wrote:
KlangFool wrote:I do "Pay Yourself First". Besides paying tax, I auto-deduct my savings and investment from my pay check. Then, I spend the rest. My annual expense could only be less than whatever amount that I choose. It could never be more. It does not change either.
So, you let 1/3 of your income be your annual expenses. What happens when you are laid off? Do you spend one year of savings for each year you are unemployed? Or do you live off of Unemployment benefits first?
celia,

<<Do you spend one year of savings for each year you are unemployed? >>

1) Pretty much.

2) My 1-year emergency fund and stop investing my distribution and dividend in my taxable account. This gives me 1 year to 1 1/2 year.

3) Sometimes, I get a few months of severance pay.

<< Or do you live off of Unemployment benefits first?>>

4) The benefit is small as compared to my annual expense. At most, it only lasts as 3 months of expense.

KlangFool

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TimeRunner
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Re: Personal Finance Milestone: 20 Times Annual Expense

Post by TimeRunner » Sun Jul 16, 2017 6:01 pm

Kudos, and nicely done. You are wise and appreciated here. 8-)
One cannot enlighten the unconscious. | Endurance athletes are the Bogleheads of sports. | "I like people - I just don't want to be around 'em." - Russell Gordy

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Phineas J. Whoopee
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Re: Personal Finance Milestone: 20 Times Annual Expense

Post by Phineas J. Whoopee » Sun Jul 16, 2017 7:14 pm

arcticpineapplecorp. wrote:...
Congratulations. Very inspiring. I believe I heard in China families save around 50% of their income. ...
The majority of the population of China still are subsistence farmers and do not have much opportunity to save.

A peasant must stand on the top of a hill with his mouth open for a long time before a roast duck flies in.

A lot of the growing urban population is embracing a debt-based lifestyle.

My reference is I physically went there and found out for myself.

An imbalance in China between male and female young adults is also causing problems.

PJW

Bacchus01
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Re: Personal Finance Milestone: 20 Times Annual Expense

Post by Bacchus01 » Sun Jul 16, 2017 7:27 pm

Very cool. We are about there too, but with son one looking at college in 2019, that formula will likely change.

keystone
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Re: Personal Finance Milestone: 20 Times Annual Expense

Post by keystone » Sun Jul 16, 2017 8:04 pm

Congrats KlangFool!

I always enjoy your posts, they are to the point and very informative. I look forward to the post where you officially announce your retirement, in the not too distant future I suspect.

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scubadiver
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Re: Personal Finance Milestone: 20 Times Annual Expense

Post by scubadiver » Sun Jul 16, 2017 8:17 pm

Congrats KlangFool!

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arcticpineapplecorp.
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Re: Personal Finance Milestone: 20 Times Annual Expense

Post by arcticpineapplecorp. » Sun Jul 16, 2017 8:41 pm

Phineas J. Whoopee wrote:
arcticpineapplecorp. wrote:...
Congratulations. Very inspiring. I believe I heard in China families save around 50% of their income. ...
The majority of the population of China still are subsistence farmers and do not have much opportunity to save.

A peasant must stand on the top of a hill with his mouth open for a long time before a roast duck flies in.

A lot of the growing urban population is embracing a debt-based lifestyle.

My reference is I physically went there and found out for myself.

An imbalance in China between male and female young adults is also causing problems.

PJW
I hear what you're saying but anecdotal evidence ("I physically went there and found out for myself") isn't my idea of big data. The link that KlangFool provided http://www.investopedia.com/articles/pe ... e-vertical shows that China is #6 on the list of world's best savers...and does save 50.35% on average (what I said previously):
China

China is the second largest economy in terms of its nominal GDP of $10.35 trillion, and the largest in terms of its GDP (PPP) of $17.63 trillion. China's huge population of 1.3 billion pulls down its per capita GDP (PPP) to $12,893. Mainland China is also the only “trillion-dollar” economy among the countries with the highest national savings rates. The economy has maintained an average savings rate of 50.35 percent over the five year time period. source: http://www.investopedia.com/articles/pe ... e-vertical
"Invest we must." -- Jack Bogle | “The purpose of investing is not to simply optimise returns and make yourself rich. The purpose is not to die poor.” -- William Bernstein

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Will do good
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Re: Personal Finance Milestone: 20 Times Annual Expense

Post by Will do good » Sun Jul 16, 2017 9:06 pm

I understand and appreciate your Immigrant way of saving and financial thinking. Congrats to your milestone.

KlangFool
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Re: Personal Finance Milestone: 20 Times Annual Expense

Post by KlangFool » Sun Jul 16, 2017 9:38 pm

Phineas J. Whoopee wrote:
arcticpineapplecorp. wrote:...
Congratulations. Very inspiring. I believe I heard in China families save around 50% of their income. ...
The majority of the population of China still are subsistence farmers and do not have much opportunity to save.

PJW
PJW,

My parents were born in China. They save money even when they starved. They would rather save money than have a full stomach all the times. So, their concept of opportunity to save is not the same as yours.

KlangFool

Nate79
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Re: Personal Finance Milestone: 20 Times Annual Expense

Post by Nate79 » Sun Jul 16, 2017 10:34 pm

Congrats. You may have made some mistakes in the past but you are definitely not a "Fool."

chinto
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Re: Personal Finance Milestone: 20 Times Annual Expense

Post by chinto » Mon Jul 17, 2017 1:17 am

KlangFool wrote:Hi,

As of this Friday, my investment had reached 20 times my current annual expense. There is a light at the end of the tunnel. And, it is not a train. It had been a long and hard struggle over the last 10+ years but it looks like I will make it.

10+ years ago, Telecom bust wiped out 50% of my investment. And, it took away my job security. My wage had stayed stagnant. I went through multiple rounds of quarterly and annual laid off. I was unemployed for more than 1-year multiple times. But, I survived on many jobs long enough to grow my investment.

Now, my Financial Independence is fully funded. I am coasting on asset grow to get to my number. My annual savings is going toward paying my kids' college education.

I survived!!

KlangFool
Congratulations.

tampaite
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Re: Personal Finance Milestone: 20 Times Annual Expense

Post by tampaite » Mon Jul 17, 2017 9:15 am

KlangFool wrote:Hi,

As of this Friday, my investment had reached 20 times my current annual expense. There is a light at the end of the tunnel. And, it is not a train. It had been a long and hard struggle over the last 10+ years but it looks like I will make it.
Congrats. so the 20x expense will last for another 20-25 years if you bank social security and assuming 2-3% market returns?

KlangFool
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Re: Personal Finance Milestone: 20 Times Annual Expense

Post by KlangFool » Mon Jul 17, 2017 9:21 am

tampaite wrote:
KlangFool wrote:Hi,

As of this Friday, my investment had reached 20 times my current annual expense. There is a light at the end of the tunnel. And, it is not a train. It had been a long and hard struggle over the last 10+ years but it looks like I will make it.
Congrats. so the 20x expense will last for another 20-25 years if you bank social security and assuming 2-3% market returns?
tampaite,

Yes. But, it is unlikely that I will be fully-employed all the way up to 62 years old.

It is either

A) I lost my current job and I am permanently unemployed or under-employed.

or

B) I worked until 57 or 58 years old and voluntary call it quits.

KlangFool

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midareff
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Re: Personal Finance Milestone: 20 Times Annual Expense

Post by midareff » Mon Jul 17, 2017 9:24 am

KlangFool wrote:
aristotelian wrote:Awesome, man. Glad you are sharing the wisdom that has worked for you. Always appreciate your perspective on these threads.
aristotelian,

Thank you. But, I would not use the word, "wisdom" for myself. I am just a guy that made a lot of mistakes. I just hope that my lessons from my failures could help some folks. I am just trying to succeed in spite of my own many limitations. For example, I would not be able to "Sleep Well at Night" (SWAN) without knowing that I could survive unemployment lasting 5 years.

KlangFool

Congratulations and from someone who left work for the last time 3/31/2012, permanent "unemployment" is wonderful.

lostdog
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Re: Personal Finance Milestone: 20 Times Annual Expense

Post by lostdog » Mon Jul 17, 2017 9:33 am

50%+ savings is doable:

1. Don't keep up with the Joneses.
2. Financial independence is more important than high social status.
3. Do not care what others think.
4. Life experience is more important than collecting nice stuff.
"Our life is frittered away by detail. Simplify, simplify." -Thoreau

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Re: Personal Finance Milestone: 20 Times Annual Expense

Post by Boglegrappler » Mon Jul 17, 2017 9:45 am

Boglegrappler,
<<Being able to save half of your after-tax pay requires either stunning austerity, or a rather high income.>>
Or, none of the above. I came from a country/culture where the average gross rate for the whole country is 30+%. It is how we live. It is part of our culture. And, that is not the only country in the world with that level of gross saving rate.

KlangFool
Well, I actually agree with the idea that people could save much more than they do. But, remarkably, in this day and age, such observations can be classified as political statements. Being able to take care of one's self is not as respected today as it once was. Again, nice job.

KlangFool
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Re: Personal Finance Milestone: 20 Times Annual Expense

Post by KlangFool » Mon Jul 17, 2017 10:15 am

Boglegrappler wrote:
Boglegrappler,
<<Being able to save half of your after-tax pay requires either stunning austerity, or a rather high income.>>
Or, none of the above. I came from a country/culture where the average gross rate for the whole country is 30+%. It is how we live. It is part of our culture. And, that is not the only country in the world with that level of gross saving rate.

KlangFool
Well, I actually agree with the idea that people could save much more than they do. But, remarkably, in this day and age, such observations can be classified as political statements. Being able to take care of one's self is not as respected today as it once was. Again, nice job.
Boglegrappler,

In order to save at this level, poster "Lostdog", got it right!

<< 1. Don't keep up with the Joneses.
2. Financial independence is more important than high social status.
3. Do not care what others think.
4. Life experience is more important than collecting nice stuff.>>

KlangFool

KlangFool
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Re: Personal Finance Milestone: 20 Times Annual Expense

Post by KlangFool » Mon Jul 17, 2017 10:16 am

lostdog wrote:50%+ savings is doable:

1. Don't keep up with the Joneses.
2. Financial independence is more important than high social status.
3. Do not care what others think.
4. Life experience is more important than collecting nice stuff.
lostdog,

Your observations are right on!

KlangFool

PaulF
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Re: Personal Finance Milestone: 20 Times Annual Expense

Post by PaulF » Mon Jul 17, 2017 2:00 pm

I regret that I am late to the party, but a hearty congratulations! I thank you for your wise help in the past. I find your posts instructive and helpful. Congrats, my friend!

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ray.james
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Re: Personal Finance Milestone: 20 Times Annual Expense

Post by ray.james » Mon Jul 17, 2017 2:24 pm

Congratulations KalngFool.

The kids will understand your few more years of sacrifice to pay for their college once they are in real world. :beer
When in doubt, http://www.bogleheads.org/forum/viewtopic.php?f=1&t=79939

SimplicityNow
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Re: Personal Finance Milestone: 20 Times Annual Expense

Post by SimplicityNow » Mon Jul 17, 2017 2:30 pm

rojas65 wrote:That reminds me of the question, "What is the difference between experience and wisdom?" Experience is learning from your own mistakes. Wisdom is learning from other peoples' mistakes.
Congratulations on the milestone, your efforts will continue to pay off for the rest of your life, and your legacy will continue through your family's lifetimes! :happy
+1.

You did it the hard way but the important point is that you did it. Congratulations. Thanks for passing on the lessons you learned along the way.
Last edited by SimplicityNow on Mon Jul 17, 2017 3:20 pm, edited 1 time in total.

Dandy
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Re: Personal Finance Milestone: 20 Times Annual Expense

Post by Dandy » Mon Jul 17, 2017 2:32 pm

Good for you. Lots of hurdles to overcome. Had a few myself but was lucky to have a vested pension. Going forward job losses and no pensions seem to be in the cards. The message is save/invest early and keep your skills up to date because you are mostly on your own.

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Re: Personal Finance Milestone: 20 Times Annual Expense

Post by Artsdoctor » Mon Jul 17, 2017 2:38 pm

KlangFool wrote:Hi,

As of this Friday, my investment had reached 20 times my current annual expense. There is a light at the end of the tunnel. And, it is not a train. It had been a long and hard struggle over the last 10+ years but it looks like I will make it.

10+ years ago, Telecom bust wiped out 50% of my investment. And, it took away my job security. My wage had stayed stagnant. I went through multiple rounds of quarterly and annual laid off. I was unemployed for more than 1-year multiple times. But, I survived on many jobs long enough to grow my investment.

Now, my Financial Independence is fully funded. I am coasting on asset grow to get to my number. My annual savings is going toward paying my kids' college education.

I survived!!

KlangFool
KlangFool,

Congratulations! This is terrific news and I could not be happier for you. However, I must admit that there was never a doubt in my mind that this would not occur. Your posts consistently show a very disciplined approach to personal investments, and I am sure that you will do just fine going forward.

skor99
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Re: Personal Finance Milestone: 20 Times Annual Expense

Post by skor99 » Mon Jul 17, 2017 6:41 pm

Congrats, Klangfool ! Not trying to be a wet blanket or anything, but isn't the thumb rule at least 25 times and not 20 ? Unless we are talking millions in savings where there is margin of safety, I think there is a big difference between 800 K and 1 MM for 40 K in expenses for example.

KlangFool
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Re: Personal Finance Milestone: 20 Times Annual Expense

Post by KlangFool » Mon Jul 17, 2017 7:36 pm

skor99 wrote:Congrats, Klangfool ! Not trying to be a wet blanket or anything, but isn't the thumb rule at least 25 times and not 20 ? Unless we are talking millions in savings where there is margin of safety, I think there is a big difference between 800 K and 1 MM for 40 K in expenses for example.
skor99,

I am not FI yet. I need 25 times in order to be FI. But, it is getting close.

<<but isn't the thumb rule at least 25 times>>

I am not using the rule of thumb. If you are interested in the full details, you can read the following thread.

viewtopic.php?f=2&t=220234

KlangFool

Sandi_k
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Re: Personal Finance Milestone: 20 Times Annual Expense

Post by Sandi_k » Mon Jul 17, 2017 8:46 pm

Klangfool, I wanted to say Congratulations on the milestone - and thank you for your contributions to this forum. Your posts are always aimed towards simplicity - but not ease. You challenge the conventional American thinking , IMO - in a good way.

I look forward to reading further about your savings and retirement goal achievements.

CMLAW1
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Re: Personal Finance Milestone: 20 Times Annual Expense

Post by CMLAW1 » Mon Jul 17, 2017 9:27 pm

Congrats brother and thank you for your contributions to the forum.

KlangFool
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Re: Personal Finance Milestone: 20 Times Annual Expense

Post by KlangFool » Tue Jul 18, 2017 7:54 am

Nate79 wrote:Congrats. You may have made some mistakes in the past but you are definitely not a "Fool."
Nate79,

1) Thanks.

2) From Zen's point of view, being a fool is a step closer to enlightenment.

3) In order to learn, we need to get rid of our ego. It meant willing to make and admit our mistakes. Aka, willing to be called a fool.

KlangFool

KlangFool
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Re: Personal Finance Milestone: 20 Times Annual Expense

Post by KlangFool » Tue Jul 18, 2017 8:04 am

ray.james wrote:Congratulations KalngFool.

The kids will understand your few more years of sacrifice to pay for their college once they are in real world. :beer
ray.james,

Thanks.

KlangFool

MoonOrb
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Re: Personal Finance Milestone: 20 Times Annual Expense

Post by MoonOrb » Tue Jul 18, 2017 9:20 am

Congratulations! This is a powerful reminder of the value of living beneath one's means and sticking to a plan.

davidsorensen32
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Re: Personal Finance Milestone: 20 Times Annual Expense

Post by davidsorensen32 » Wed Jul 19, 2017 12:57 am

KF, you are an inspiration. I am in the same situation as you were a bit while ago. My whole team got canned last month. I may be next. Any day. My industry is getting ravaged. I applied to hundreds of jobs last 2 months (any reader from Bay Area wants an eager beaver hardworking Product Manager, Marketing guy with solid CS background, solid MBA willing to roll up his sleeves and do anything ? ) and signed up for courses in ML, learning R etc but got dinged at every single opportunity. Apparently its nearly impossible to get a job unless you know someone. But unfortunately all my network is in the dying industry. And no one wants to even give me a chance. So if I become unemployed I am looking at 6 months to 1 year of unemployment. Perhaps more. With little to no chance of making my current salary ever again. It is pretty grim. I am trying to stick to the 1/3, 1/3, 1/3 rule as long as I can. Rest is in God's hand. Hope I make it like you did. Congrats once again !

Teague
Posts: 839
Joined: Wed Nov 04, 2015 6:15 pm

Re: Personal Finance Milestone: 20 Times Annual Expense

Post by Teague » Wed Jul 19, 2017 2:40 am

KlangFool wrote:
...I am just glad that I make it so far in spite of my own incompetence at finance.

KlangFool
IMHO you are far too modest. You are clearly not incompetent at finance; just the opposite really. Your 20X accomplishment proves this. You simply had to make your own path. Congratulations!

Like so many others I greatly appreciate your posts here.
Semper Augustus

KlangFool
Posts: 6944
Joined: Sat Oct 11, 2008 12:35 pm

Re: Personal Finance Milestone: 20 Times Annual Expense

Post by KlangFool » Wed Jul 19, 2017 7:15 am

davidsorensen32 wrote:KF, you are an inspiration. I am in the same situation as you were a bit while ago. My whole team got canned last month. I may be next. Any day. My industry is getting ravaged. I applied to hundreds of jobs last 2 months (any reader from Bay Area wants an eager beaver hardworking Product Manager, Marketing guy with solid CS background, solid MBA willing to roll up his sleeves and do anything ? ) and signed up for courses in ML, learning R etc but got dinged at every single opportunity. Apparently its nearly impossible to get a job unless you know someone. But unfortunately all my network is in the dying industry. And no one wants to even give me a chance. So if I become unemployed I am looking at 6 months to 1 year of unemployment. Perhaps more. With little to no chance of making my current salary ever again. It is pretty grim. I am trying to stick to the 1/3, 1/3, 1/3 rule as long as I can. Rest is in God's hand. Hope I make it like you did. Congrats once again !
davidsorensen32,

<< Apparently its nearly impossible to get a job unless you know someone. But unfortunately all my network is in the dying industry. >>

1) I was unemployed for more than 1 year. I received no offer from all the jobs that I applied.

2) I had 2 unsolicited contract offer and 1 unsolicited job offer opportunity (turned into an offer after phone interviews) via Linkedin from people that I do not know.

3) I no longer work in the same industry.

Here are some of the lessons that I learned.

A) Update your LinkedIn profile.

B) Maintain and add into your Linkedin social network

C) Dummy down your Linkedin profile so that people outside industry can understand your capability

D) Exercise regularly in order to control your stress level.

Good luck!

KlangFool

DoTheMath
Posts: 188
Joined: Sat Jul 04, 2015 1:11 pm
Location: The Plains

Re: Personal Finance Milestone: 20 Times Annual Expense

Post by DoTheMath » Thu Jul 20, 2017 12:01 pm

Congratulations KlangFool! A hard won accomplishment, indeed!

Thanks for your contributions to BH. You provide a welcome counterweight to folks' over-optimism by reminding folks that a lot can happen over the course of a person's life. Even when I don't agree, you always give me food for thought.
“I am losing precious days. I am degenerating into a machine for making money. I am learning nothing in this trivial world of men. I must break away and get out into the mountains...” -- John Muir

new2bogle
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Joined: Fri Sep 11, 2009 2:05 pm

Re: Personal Finance Milestone: 20 Times Annual Expense

Post by new2bogle » Thu Jul 20, 2017 12:21 pm

Congrats KF :sharebeer

I've always enjoyed your posts and perspective.

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Elsebet
Posts: 385
Joined: Mon Feb 08, 2016 2:28 pm
Location: Washington state

Re: Personal Finance Milestone: 20 Times Annual Expense

Post by Elsebet » Thu Jul 20, 2017 2:29 pm

Great news! Congrats!

:sharebeer

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