Coast FIRE Achieved at 35 w/ $600k (Josh Miller)

[@MarriageKidsandMoney]

Are you working on achieving Coast FIRE?

[@carolannstevens5814]

So proud of Josh & family and your family! Coast FIRE bring freedom!

[@MarriageKidsandMoney]

We love the concept of Coast FIRE! It gives you more freedom to enjoy life!

[@BigRed2]

My story - right before pandemic hit we did a cash out refi and took out $90k for a home upgrade/Remodel and then pandemic hit and market crashed and i had to beg wife to invest the money and not remodel, she gave in and i started playing oil/Gas equities and made a lot on Exxon and then made a bunch on Occidental , turned that $90k into over $1 million at one point and now down to $800k after we have taken money out last few years for the home improvements. Im 40 wife is 36 and now we don’t invest in retirement accounts anymore and use are income $200k a year to live life, bring home $12.5 k a month and are budget is $7k and we could get it to $5k if need be.

[@is.3846]

Truly inspiring to hear this FIRE is possible . Great advice by Josh to be engaged in personal finance.

[@MarriageKidsandMoney]

I agree! An inspiring guy!

[@FindependenceCanada]

Didn’t seem like the inflation calcs were done properly? They used todays spending rate x 25 and want that value in the future? Probably need closer to $3MM inflation adjusted.

[@MarriageKidsandMoney]

Taking a guess at our long term growth interest rate is difficult. Some like 7% (average stock market return 10% - average inflation rate 3% = 7%) While others choose closer to 5% or lower. I know others who say 12% which feels really high to me. What percentage growth rate do you prefer for your retirement investments?

[@jordanbatchelor]

I agree that inflation wasn't factored in. The equation below should help you out. Real Rate of Return = (1+Nominal Rate)/(1+Inflation Rate) - 1

[@mikelentz833]

The trinity study, upon which the 4% rule is derived, already factors in inflation. This is one of the most common FIRE misconceptions in my experience.

[@sagemitchell8646]

​@@mikelentz833, my understanding is the 4% rule accounts for inflation *after* retirement, but not the inflation of expenses during the accumulation phase leading up to retirement. The amount withdrawn in the first year of retirement is 4% of the portfolio, and then for each successive year the amount withdrawn is the same as the prior year plus an adjustment for inflation. That 4% for the first year needs to cover your expenses for that particular year, not your expenses this year. I believe it would be a mistake for somebody still in the accumulation phase to assume their expenses when they retire will be the same as their expenses today. Instead, they should calculate their FIRE number based on expected annual expenses _when they will retire_. Otherwise, inflation between now and when you retire will be a compounding source of error. Finding ways to control expenses so they grow slower than the overall inflation rate helps.

[@JP-om3ou]

Sad his mic is so bad

[@lazyhunk2]

The money saved on mic was invested for retirement

[@MarriageKidsandMoney]

I appreciate this feedback. A lot of folks I interview aren't professional podcasters, but their willingness to share their personal details in hopes of helping others on their journey is well worth it in my opinion.

[@JP-om3ou]

@@lazyhunk2 it is sad in todays digital age people do not have access to a quality mic

[@holdencawffle626]

​@@JP-om3ouyou're just a broke sorry hater