Starting an LLC for Early Retirement

I just got the paperwork back on the Limited Liability Company (LLC) I am setting up.  I’ll admit I don’t really know what I am doing, but I’m hopeful that it will be a useful structure to operate some limited, freelance, business activities in early retirement.  It’s also a signal to myself that I’m getting serious about actually leaving MegaCorp next April 1st.

My thought was that it would be good to have a business structure to allow me to make money as an independent contractor if the opportunities presented themselves in early retirement. I recently signed on for a three year term to be an outside director for the board of a manufacturing company, and while it is only a handful of work days over the course of the year, there is some income & expenses involved with the role.   Why not be prepared for other (limited) consulting roles that people may approach me with?  Continue reading “Starting an LLC for Early Retirement”

Biking Into Early Retirement

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I did something last weekend I haven’t done in almost 25 years – I bought a new bike.  I got my last one right after I got married (almost 25 years ago) and although I haven’t put a ton of wear and tear on it, it just felt like a new one would make some sense right now.

We were going for a family bike ride downtown to see fireworks with friends of ours originally from Europe.  They love to go on bike rides.  I was getting all three of our family bikes ready and I noticed that my son’s mountain bike Continue reading “Biking Into Early Retirement”

Early Retirement FIRE Escape – 8 Month Countdown

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Mr. FireStation had a productive month at the office in July, but is now just 8 months from his planned early retirement on April 1, 2016.  While June was largely consumed by a preparing for and enjoying a two week family vacation, July was all about work and making some post-work plans.

Our nest egg was quite secure through July with year-to-date results continuing to grow.  The three numbers I follow are: 1) the SP500, which is up +2%; 2) the International EFEA Index, which is up +6%; and 3) my former MegaCorp stock, which is up +9%.  With all three numbers up (and stock option leverage on MegaCorp), I am quite satisfied with how 2015 is shaping up and no big concerns have emerged.  At the same time, we protected about 25% of our nest egg in cash & bonds (our bond fund is -1% for the year).  All together, I think our portfolio is up +7% for the year.  That’s about +2 pts better than the end of June. Continue reading “Early Retirement FIRE Escape – 8 Month Countdown”

Early Retirement Fun – #HowIQuit on Jimmy Fallon

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Earlier this year, Jimmy Fallon issued a hashtag challenge on Twitter for people to “Tweet out a funny, weird, or embarrassing way you quit a job and tag with #HowIQuit“. About a eight of them were featured on the show that night (link to video here). Since dozens more were tweeted out, I thought I would share the Top 50 I read online …

  • One Mon morning my co-worker was a no-call no-show. He sent an email that simply said “Today I am retired”
  • Told my boss, “I’m quitting to pursue my dream of not working here.”
  • My last day on the job I gave my manager a copy of the movie, “Two Weeks Notice”
  • Made my bosses & coworkers goodie bags full of candy. Then told them I was quitting.

Continue reading “Early Retirement Fun – #HowIQuit on Jimmy Fallon”

A Place Not To Work – Home Office After Early Retirement

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One of the things I enjoy about working is having a place to work – that is, an office.  Although it is MegaCorp’s space in one of MegaCorp’s many buildings, I think of it as my space and have it personalized as my own.

My current MegaCorp office is awful.  It’s the worst office I have had in 15 of my 26 years of going to the office.  It’s on an interior wall of what I guess is a late 1970s building. If you’ve seen the concrete-bunker CIA headquarters shown in the movie Argo, you will have a sense of how the office building I work in looks like.  

In retirement, “Having your own space to call your own, and your spouse having their own space, will be as important as ever” writes Ernie Zelinski, in his How To Retire Happy, Wild, and Free. He notes that after leaving the White House, Jimmy & Rosalynn Carter set up separate office at home in the garage and an old bedroom.  President Carter said that gave them each private space where they could respect each other’s time & work habits. Continue reading “A Place Not To Work – Home Office After Early Retirement”

Early Retirement Check-Up With Financial Planner

This past Friday was our annual “check up” with our Financial Planner.  Mr. Fire Station has worked with him over the last 10 years, when an early retirement was just a dream.   I’ve estimated that only 2% of people retire by fifty years old, so it is no surprise that he has always taken a cautious tone to getting us ready for early retirement. … Continue reading Early Retirement Check-Up With Financial Planner

Triple Play Formula For Inflating Your Nest Egg

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Ben Franklin wrote, “A penny saved is a penny earned”. Quite true, but another perspective might be that “A dollar saved, takes you three steps toward financial independence”.

Why is that? Here’s how I count the three ways: First, a dollar saved is a dollar you can spend tomorrow; second, it is a dollar that will grow and give you more dollars in the future; and third, by not spending on things you don’t really need, you keep your lifestyle cost one dollar less in the future. That’s it – three dollars for every one saved.

The last point assumes that our future lifestyle has some relationship with what we spend today.   Retirement experts suggest that we plan for 70-80% of our pre-retirement expenses in retirement.  More if you want to splurge on Continue reading “Triple Play Formula For Inflating Your Nest Egg”