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One thing that came to mind while reading was how sensitive the "financial independence" path was to unexpected changes in life. If ones model financial indepe
by j7ake 6y ago
One thing that came to mind while reading was how sensitive the "financial independence" path was to unexpected changes in life.
If ones model financial independence is so fragile that "comfort spending" is not included in the analysis, then I am not quite sure one can call that strategy financial independence.
- kelnos 6y agoRight. I think a lot of people model their future financial needs on their current situation and current level of expenses, with moderate yearly increases, and that just isn't realistic. Even people who do take it into account don't go far enough IMO. Then again, there are some medical diagnoses that will bankrupt you (in the US) even if you're employed and have good insurance, so I think there are some things you can safely not make part of the equation. I can totally understand and forgive not modeling "what happens if my partner and I divorce", but it's something people need to consider.
- mettamage 6y agoIMO marriage has some similarities with a startup. This is one of them. Disclaimer: I've never been married. I might, later in life.