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I've read his analysis before and I had the same issue. It's quite easy to retire early if you have a high income and live frugally. Unfortunately a lot of peop
by chadcf 13y ago
I've read his analysis before and I had the same issue. It's quite easy to retire early if you have a high income and live frugally. Unfortunately a lot of people have to live frugally just to get by. Your average middle class family couldn't even dream of putting away $490k in 7 years even if they lived frugally and got lucky on stocks.
I read another blog, I think it was a different guy, who talked about how he did this by living on 30% of his income and putting away the other 70% and then went on and on about how anyone could do this. Of course, he made about $300k a year. He talked about how even if you make way less than this you can still do it, you just have to be willing to live on 30% of your income. That's easy to say when 30% of your income is more than 100% of most people's income...
- kragen 13y agoPlease keep in mind that most people's income is below US$2000 per year.
- mgkimsal 13y agoSeconded, yes. I've known some people recently with multiple kids (4 and 6, respectively), trying to get by on odd-jobs and $10/hour full-time jobs. Even slogging away night and day, floating a family of 8 (two parents, 6 kids) on $30k/year, and trying to do that on "30% of your income" - it's just not possible. These people had/have income issues, not spending/frugality issues. In one case, one family moved to get a better job and is now at something like $45-$50k - still tight, but doable.