How much is enough?
Will it be a walk on the beach?
If there was ever one question that defines every newbie to the FIRE space then it is this - how much is enough to retire?
As a part of my preparation to FIRE, I used to frequent many forums and blogs to understand different lifestyle choices and factors other FIREers’ consider and their assumptions to arrive at a figure (or multiple goal linked figures). This also helped to revalidate some of my own assumptions and add a few missing items from their experiences.
I would like to highlight one such website.
This site is a great resource for NRIs (Non Resident Indians) who are looking to return to India and provides a lot of good resources around
Challenges in relocating
Lifestyle changes that might be required
Schooling / college admissions for kids
Packing tips
Shipping resources
Assimilation guides
Managing investments and financials across regions
Personal diaries of people’s experiences and reasons for relocating (My favourite)
Everything else in between
The reason i bring this forum up is because, i see a recurring thread on this forum every year like clock work this very question
How much is enough ?
So if I were to give you a dollar amount, then any serious readers will leave this site for good. The answer to this question is very subjective, as there are many factors that determine the answer.
The answer can be obtained by answering a series of questions
What is your current lifestyle like ?
Will this current lifestyle continue post relocation and FIRE ?
Will your expense reduce post FIRE ?
Are you fully retired or will you still pursue a job that will continue to cover part of/all of your expenses ?
How many dependents do you support in FIRE?
Do you want to pass on some of your assets to your children / grandchildren ?
Most importantly what are your planning assumptions and are they in sync with other people who have FIREd.
But the one unsurprising thing i have seen is the amount seems to go up every year, some of it can be blamed on inflation, but it definitely does not explain the steep increase, maybe everyone wants to have a bigger cushion to protect themselves if any of their assumptions don’t hold true.
So in conclusion, Research -> plan -> prepare -> dive in, for a walk in the beach type of FIRE.
