I have some issues with this article.
This read and was written to be all like “Hey guys – check it out…retirement is really easy! You just didn’t know how to do it until now. Check out this amazing story about this genius guy who retired at the age of 30. Can you believe it?…it’s possible and we’re going to tell you how using this wonderful example” Hey Yahoo!….COME ON MAN. Let’s be real shall we?
Let’s start by looking at the numbers…
The article mentions this guy saved $800k and then retired. $800k (of savings) divided by 7 (the number of years he has worked, ages 23 to 30) comes out to roughly $114k of SAVINGS per year. So …going by this article (and Mr. Money Moustache’s amazingly arrogant road to retirement and recommendation) if he was saving about 70% of his income then homeboy was making just about $165k on AVG per year. Nice gig bro. By my view…you were either a engineer, investment banker and/or you worked 100 hours per week to rack up those kinds of figures. Good for you…but that’s not typical for someone who is 23 years old to be making that much loot and certainly not typical for them to save 70% of that when they are just starting out life in the real world.
Now let’s discuss life choices…
So in order to maintain life as a human off his roughly $30k per year (that comes from his investments as part of his savings) this guy rides his bike everywhere, lives in a tiny shack in Colorado, doesn’t buy coffee, lives off of food planted in his garden and I’m sure his wardrobe is just to DIE FOR, right? Let’s be real…Not everyone wants to live that way. I don’t. I mean…I like nice and NEW cars…I need a house that is comfortable for my family, I don’t want to live in Colorado (unless on a golf course), I LOVE good/expensive coffee, I don’t garden and I happen to enjoy nice clothes. Not too mention this guy has a KID. Little fella probably lives a very happy life but might be lacking in the toy department. My kid will be some sweet ass toys, you can bet on that! So apparently this self help guide is not for me? Looks like I might just have to work until I’m 60-70 or so along with the rest of the world. And I’m ok with that.
This is a cute story, I’m happy for this guy…but it should have totally been positioned as a complete anomaly and not “if you follow these simple steps you can retire at 30”.