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I stopped doing (for money) side projects in 2015. Instead I started to buy solar farms from my yearly xmas bonus. Invest 40K (10K bonus + 30K loan) -> 6000K/y
by not_me_ever 3y ago
I stopped doing (for money) side projects in 2015.
Instead I started to buy solar farms from my yearly xmas bonus.
Invest 40K (10K bonus + 30K loan) -> 6000K/year. Net -- post costs & taxes.
On average the loan was paid off in 6 years (thanks to low interest rates).
From there on it's pure revenue.
Rinse repeat.
Not even accounting for the free tax credits I get out of the investment.
Just doing my planning for the '23 investment.
If I stop doing anything right now
the last loan will be paid off in 2030 (interest rates are up a bit),
and I will be making ~5K/month. Net. "Forever".
I use the time I gained for free work on important projects.
- uaas 3y agoWould you share where is this? I know someone in the US who wanted to do this, but they couldn’t as the power company would pay them less than they would be making.
- not_me_ever 3y agoOh, sorry, this is Germany.
- lakpan 3y agoHow do you “buy solar farms”? Don’t you have to maintain them? From your comment makes it sound like it’s not a job in itself.
- not_me_ever 3y agoThere are quite a few services here that handle everything. Basically you just say "I have $X", and they say "Ok, the bank will add 3X, which will result in 0.5x revenue per year, and a 2x tax deductible". And yes, the post cost ROI is around 18%, currently -- not including the tax discounts.
- mbrain 3y ago> There are quite a few services here that handle everything May I ask what is it called?
- funcDropShadow 3y agoCould you give us a name of such a service?
- cko 3y agoWait so these farms yield 15% ROI? And you can invest with leverage? How is this possible.
- not_me_ever 3y agoGovernment pushing hard to get out of coal & gas ;)
- leereeves 3y ago> Invest 40K (10K bonus + 30K loan) -> 6000K/year 6000/year, not 6000K, right? At first that sounded like you won a lottery.
- not_me_ever 3y agoYep 6000 == 6K/year. My bad.
- MattSayar 3y agoYou could probably make money just taking other peoples' money and doing this for them.
- quickthrower2 3y agoGetting high on OPM is the way to go. Could be another YC startup.
- quickthrower2 3y agoI guess the problem here is counterparty risk. If the solar farm goes bankrupt, you lost your investment. Also they may be illiquid (hard to sell?). That is probably why you are investing your bonus, rather than selling everything to go all in. Because apart from the counterparty risk, 15% lifetime yield is pretty good. Obviously there is a threat from unlimited energy scenario like cold fusion, but that is probably 35 years away :-).