Retire in 10 years starting from $0

I want to retire by the time I turn 50.

Here is my definition of retirement... I can live off the interest and dividends from my investment assets in perpetuity. Note that this doesn’t mean I would stop working - it just means that I would have the freedom to stop if I wanted to.

To determine your retirement number, you can use the "Rule of 24" which says that you need to accumulate 24x your annual income in financial assets to do this. This would allow you to pull 4% out of your investment portfolio each year to live off of, assuming the stock market returns an average of 7% per year.

So if you needed $100k per year to live off of, you would need to save $2.4 million.

The lower your income needs, the less money you need to save. The higher your income needs, the more money you would need.

This is what is frequently referred to as the “FIRE” Movement - Financial Independence, Retire Early.

I disagree with the way most people approach their "FIRE" number. 

For more information, watch the rest of today's video...