How to Retire Early In Your 50s! (What FIRE Gets Wrong)

How to Retire Early In Your 50s! (What FIRE Gets Wrong)

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[Davidstowe]

For boomers and senior citizens, the current market and economy are unnecessarily harder. I'm used to simply purchasing and holding assets, which doesn't seem applicable to the current volatile market, and inflation is catching up with my portfolio. My biggest concern is whether I'll survive after retirement.

[aatkinso]

The multiplier should be your annual expenses, not annual income. That can be very different.

[BrendanEvan]

Work optional status ASAP is our goal! Whether or not that’s “retirement” is TBD

[rickchandler]

My biggest part of my retirement plan is to move out of the US. That's mainly due to healthcare. While I have the money to live off of, my main goal is to live off my passive income and use my portfolio as a supplement. I'm in my early 50's as well.

[GrowYourWealth]

Amazing take on F.I.R.E. 🙏
Cant wait for your next video! 💪

[KhakiShorts]

I'm 50 and I'll be retiring at 52. The wife and I will be lucky enough to live off rental income from properties as well as interest and dividends from stocks and ETF's. We're also lucky enough to be able to allow our 401(k)s and retirement accounts to keep growing during that time. Instead of needing more money to have a comfortable lifestyle, we're moving to Malaysia from the US with a much lower cost of living. That will allow us the freedom to travel on that side of the world much more easily. Health insurance is another reason we're moving overseas. We can buy a policy that will cover any large medical expenses and put aside some money to use the low cost of healthcare in Malaysia to cover basic care. We're super excited and ready to begin our next journey!

[ttudidfitrhondavigil]

Debt free, mortgage free and retiring early. Most likely 55-58

[me-lgyw]

28x annual earnings is crazy. 28x annual expenses makes more sense to me.

[neverclevernorwitty]

My wife and I are 46 with a 1.5M in Roth, 401k, 403b and a paid off house. We both also have state pensions, hoping to pull the trigger at 55, really would like to do it sooner.

[discovershare]

The retirement numbers are conservative. The assumptions are 1) you will live to 105 female is .002% and male .0002%, so chances are close to 0. 2) you want to leave inheritance 3) you want to live a wealthy life during retirement 4) not sure if these numbers take in compound interest of the $ you have not used. Inflation of 1 mil will be 2 mil, but your 1 mil could grow to 2 mil in 10 years also; fire uses 25-30 x expenses. So in FIRE terms this is Fat to Obese .

[RepuBlicOfChaD]

Will retire at 55! Have a pension, 457b maxed out yearly, Roth IRA maxed yearly, PMs, and other assets i am slowly accumilating.

[dforrest]

You do NOT need 29 times your income to retire at age 55. If you spend all your current income, then perhaps. But if you are able to retire at that age, you almost certainly are saving a high % of your income. I could see having assets of 30x your “after savings” income. Even that is very conservative I think, since the increase in health costs would be offset by a decrease in taxes, such as no FICA or Medicare taxes

[roadrunner]

These numbers are definitely wrong, 30x income when we assume people need 60% of the income to live is 48x of expanse, that is about 2% withdrawal rate. I know there are tax involved, but that should be part of your expanse, and there are so many variables to tax strategy, early retiree can usually get away with paying very little tax unless your annual expanse is a lot more than 100k

[HonestOne]

Go with Vanguard. Don't go with these guys. I have spoken with 3 different advisors at 3 different firms and each of them put me at a 95 percent or better retirement success rate and no I don't have 27-29 times my income put away and I am 41 years young. Seriously, grandma would never retire if she needed that. Yes social security comes later but most people living off investments will fill into a lower tax bracket, especially in non tax advantages accounts. And you can control what you decide to back door. Or don't back door at all if the economic isn't present. Keep bills low, pay off debt, and find the right mixer of investments. I just don't like how pie in the sky this is. At least the FIRE movement people tie it to expenses... But income... Is just too much. If these guys managed you they will never tell you it's ok to breath.

[getinthespace]

I've been investing diligently since my 20's, our income is tripling this year. We are targeting 6 million to retire with a better standard of living and investment balances that have hit the supercritical point. Hopefully in our early 50's.
We could do a more traditional FIRE before 45 but... we would rather continue working than cut back or face adversity if the market tanks hard.

[remitremblay]

Hi guys! Are those percentages (55 = 17, 2 times your gross income when working) based on the replacement income coming from governement? because if it is not, I guess we are all "not able" to retire early :-(.... in Canada, it's a little different, but 17 times my gross is impossible to reach for me :-( Oh well, I guess I may have work longer!

[ericrosen]

Haven't completed the video yet--- but for the 17% who retire at 60 or younger, is the break-out within worth investigating?

How many of those are former police officers and fire fighters and such, who are retire in their 50s on average? IMO, separating out folks from industries where younger retirement ages are built into the payment structure might make a lot of sense here.

[MikeyB_]

Needs $4 million when they are 55 years old to replace their income if they make 138K per year? It seems way too high.

[ajcapitano]

Probably you want to say some needs 30x of yearly expenses not 30x of pre retirement income .. as for many the income could be more than the expenses ? That’s why people save from difference (earning Vs. Spending ) for retirement nest egg portfolio ..

[imtexaspete]

These numbers that reference 30x of salary should have a cap on salary such as it applies up until salary of 125-150k or something. More than that the number start getting a bit excessive.