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You’re correct that the influencers aren’t average, but how would you expect someone to have a top 1% outcome without some input variable being top 1%? To reti

You’re correct that the influencers aren’t average, but how would you expect someone to have a top 1% outcome without some input variable being top 1%? To retire early you have to either: - Start with more than average (inheritance, scholarships) - Earn more than average (tech/finance/legal/medical career, dual income) - Save more than average (live well below your means for decades) - Return more than average (luck, skill, or risk) There’s plenty of get-rich-quick gurus with crazy schemes, but in the financial independence space specifically most content I’ve seen is realistic that you’ll have to drastically outperform in one area (an 8 figure exit is hard to mess up) or do two or three consistently well for 10-20 years (develop a high income skill and avoid lifestyle inflation).

PragmaticPulp 4y ago
> You’re correct that the influencers aren’t average, but how would you expect someone to have a top 1% outcome without some input variable being top 1%? You’re missing the point: The parent comment was saying they those 1% influencers are in the 1% often due to things like 1% lucky timing (buying stocks at the right time, buying real estate when it was cheap), but that doesn’t make for interesting content. So instead, they do mental gymnastics to downplay their lucky position and try to peddle it to the average viewer as generic advice. > most content I’ve seen is realistic that you’ll have to drastically outperform in one area (an 8 figure exit is hard to mess up) “Just do an 8 figure exit” is purely aspirational advice for someone browsing FIRE forums. Starting a business, building it, and then selling it for 8 figures isn’t the kind of thing you learn from FIRE influencers on Reddit or whatever, but it’s exactly the kind of dreams they pretend to peddle.
adverbly 4y ago
> live well below your means for decades I know a few who have pulled this off, and they all follow the same plan: - Right out of high school start a 3/4 year, low-debt, in-demand college/university program. Finish on time, don't change major halfway. - Standard white collar desk job - find a partner, live with them but don't have kids. NOTE: critical that the partner share the same mindset so that you can encourage each other rather than create conflict. - no(or cheap) car(based on job salary, commute cost, housing price) - no eating out - buy cheap house or find rent-controlled housing - learn DIY renovation skills - take care of your health/physical condition - no overseas vacations - buy ETFs Low spend is highly levered because it both increases your saving rate and also decreases your burn rate post-retirement. Very doable to retire pre-40 even in the current clusterf** of an economy. Absolutely not for everyone though! It reminds me of people who can run ultra-marathons: it takes incredible patience and determination as you watch everyone around you jump off the cliff like a herd of bison, or get swallowed by one of the many once-in-a-lifetime economic busts that have impacted this generation. I imagine it will be pretty surreal to be retiring when most people your age will still be $N00,000 in debt. I'm not at all one of these people, but I really enjoy knowing them(I know 3-4 couples going down this path at varying stages). They've taught me a lot, and I'm really rooting for them to succeed.
- n8henrie 4y ago
  Best response here. Of critical importance -- percent of your income that you spend is the most relevant variable. Over simplified, but if you can survive on 5% of your income, it won't take you long to be able to sustain that standard of living indefinitely (assuming you're able to save / invest the majority of the remainder).

PragmaticPulp 4y ago

> You’re correct that the influencers aren’t average, but how would you expect someone to have a top 1% outcome without some input variable being top 1%? You’re missing the point: The parent comment was saying they those 1% influencers are in the 1% often due to things like 1% lucky timing (buying stocks at the right time, buying real estate when it was cheap), but that doesn’t make for interesting content. So instead, they do mental gymnastics to downplay their lucky position and try to peddle it to the average viewer as generic advice. > most content I’ve seen is realistic that you’ll have to drastically outperform in one area (an 8 figure exit is hard to mess up) “Just do an 8 figure exit” is purely aspirational advice for someone browsing FIRE forums. Starting a business, building it, and then selling it for 8 figures isn’t the kind of thing you learn from FIRE influencers on Reddit or whatever, but it’s exactly the kind of dreams they pretend to peddle.

adverbly 4y ago

> live well below your means for decades I know a few who have pulled this off, and they all follow the same plan: - Right out of high school start a 3/4 year, low-debt, in-demand college/university program. Finish on time, don't change major halfway. - Standard white collar desk job - find a partner, live with them but don't have kids. NOTE: critical that the partner share the same mindset so that you can encourage each other rather than create conflict. - no(or cheap) car(based on job salary, commute cost, housing price) - no eating out - buy cheap house or find rent-controlled housing - learn DIY renovation skills - take care of your health/physical condition - no overseas vacations - buy ETFs Low spend is highly levered because it both increases your saving rate and also decreases your burn rate post-retirement. Very doable to retire pre-40 even in the current clusterf** of an economy. Absolutely not for everyone though! It reminds me of people who can run ultra-marathons: it takes incredible patience and determination as you watch everyone around you jump off the cliff like a herd of bison, or get swallowed by one of the many once-in-a-lifetime economic busts that have impacted this generation. I imagine it will be pretty surreal to be retiring when most people your age will still be $N00,000 in debt. I'm not at all one of these people, but I really enjoy knowing them(I know 3-4 couples going down this path at varying stages). They've taught me a lot, and I'm really rooting for them to succeed.

n8henrie 4y ago
Best response here. Of critical importance -- percent of your income that you spend is the most relevant variable. Over simplified, but if you can survive on 5% of your income, it won't take you long to be able to sustain that standard of living indefinitely (assuming you're able to save / invest the majority of the remainder).