Brandon Ganch, known on the Internet as MadFientisthe retired in 2016 at the age of just 34, having actively saved and kept his expenses limited.
Although he does not regret the wealth built thanks to his “excessive focus.” saving 70% of your income“I could have taken my foot off the gas knowing what I know now,” he told host Paula Pant on a recent episode of the show Podcast “Let yourself do everything.”.
In the years leading up to his early retirement, the programmer and his wife lived modestly “in the woods of Vermont” while trying to achieve financial independence. But by that time, “I had fallen into deprivation and neither my wife nor I were happy,” Ganch said.
Now that he has two young children, his spending habits have changed. Instead of being “overly frugal”, he prioritizes spending on things that improve his family's quality of life, such as buying a house in Scotland, where they currently live – a decision he described as “pure luxury” compared to his previous frugality.
“For the first time in my life, I am enjoying owning a home,” said Ganch Pant. “I don't let it stress me out. “I know there will be expenses,” so I don’t worry so much about “saving every penny.”
“Don't maximize your net worth”
Ganch's mindset shift came after reading “Die with Zero” by Bill Perkins, a book that emphasizes balancing financial independence with enjoying life experiences in the present, not just saving for the future.
Looking back, Ganch regrets not having had certain moments in his 20s, like the bachelor parties he skipped to avoid expensive plane tickets.
“I wouldn't want to go on a drinking weekend now that I'm 40 with my friends, but I'm sorry I missed it in my 20s because it would have been great fun – and we would have had great stories to tell,” he said.
He still appreciates the freedom of retiring early and tries to keep his savings intact, but he is more relaxed about spending money. “You don't maximize your net worth. Net satisfaction should be maximized,” he said.
“My biggest financial regret was not my spending, but my thinking.”
Like Ganch, Alex Trias wishes he hadn't been so busy achieving his goal of early retirement. Before the Triassic at the age of 41 he retired and moved to Portugal and his wife, he spent years obsessing over his investments – a habit that, in hindsight, he wished he had avoided.
“From a financial standpoint, my biggest regret is not my spending, but my mindset,” Trias previously told CNBC Make It. “I used to constantly think about investing at a low price, waiting, and then selling at a higher price. I cannot explain the anxiety and waste caused by this kind of mental structure.”
Looking back: “I think it's probably counterproductive to try to pay attention (to your net worth) from month to month or even year to year,” Trias said. “Focus not so much on the end result but on the habits you are developing.”
Sam Dogen, founder Financial samurai and author of the upcoming bookMillionaire milestones”, he does not regret his decision to retire early, but he regrets not spending a few more years on the labor market.
“I now realize how absurdly young I was when I retired,” wrote Dogen, who retired at age 34 2019 article for CNBC Make It. “A few people even commented on how irresponsible and reckless my decision was, especially since I was just entering my peak earning years.”
Dogen spent 13 years in investment banking and left with a net worth of $3 million that generated approximately $80,000 in annual passive income. However, staying with the company a little longer would allow him to save even more for retirement and potentially explore new opportunities.
“Looking back, I could have stayed at least another year and found a new role within the company, in a different office,” he wrote. “I've always wanted to work abroad – somewhere like Hong Kong, Taiwan, Beijing or London. Maybe it would refresh my interests and convince me to work for a few more years.”
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