"Seems," "feels," "just a feeling." Great analysis from a guy in tech.
Fact: if you start with 5 million, spend less than 200k a year, and get a very modest 4% return a year, you'll have more money than you started with 10 years later. If you get 5-6% a year (not even very aggressive assumption) and keep the spending to a measly 150-175k a year, you'll have substantially more than you started with a decade later (like you could easily grow your wealth by a million dollars despite burning 150k a year).
Anybody who isn't a spendthrift can retire at any time with 5M and live a very comfortable life. I don't care if you're 20. Yachts and 7k square feet houses are out, but you can travel, go to nice restaurants, service a decent sized mortgage, and still grow your principal with that starting amount.
Fact: if you start with 5 million, spend less than 200k a year, and get a very modest 4% return a year, you'll have more money than you started with 10 years later. If you get 5-6% a year (not even very aggressive assumption) and keep the spending to a measly 150-175k a year, you'll have substantially more than you started with a decade later (like you could easily grow your wealth by a million dollars despite burning 150k a year).
Anybody who isn't a spendthrift can retire at any time with 5M and live a very comfortable life. I don't care if you're 20. Yachts and 7k square feet houses are out, but you can travel, go to nice restaurants, service a decent sized mortgage, and still grow your principal with that starting amount.
