The Motley Fool Discussion Boards
Retirement Discussions / FIRE Wannabees
|Subject: Re: Poll: FIRE value as a multiple of gross inco||Date: 2/1/2006 9:26 AM|
|Author: HobbyDave||Number: 3679 of 5069|
Computing FIRE from gross income is a useless task. At one point both my wife and I were working, our gross income was greater than 150K. We saved apx. 80K per year.
Fire is a function of what you SPEND, not what you MAKE.
I agree completely, but I find the numbers interesting. For example, someone making $150k may decide that they're used to that income, and they'll want at least $120k per year to retire (needing around $3,000,000 of FIRE money). Or a person making $150k may feel fine with $30k per year, they can save the majority of their funds, and will only need $750,000 for FIRE (a mere 5x their yearly gross salary).
Perhaps it's not a "useful" task, but it could be interesting. I was mostly interested in knowing what the average level was of the board. Do most people plan on getting much less in retirement, or do people plan on trying to match their current salary?
And there's always the problem of the polls not having enough options to cover a more useful question. I'd love to ask how much you're saving, how much you're spending, how much your FIRE is compared to spending & savings, etc etc.. but thats just not an option :)
|Copyright 1996-2014 trademark and the "Fool" logo is a trademark of The Motley Fool, Inc. Contact Us|