Summary of “Understanding Fire: A Philosophy for Financial Independence and Retiring Early”

Are you ready to set your life on FIRE?FIRE is Finance and Philosophy FIRE is served in many flavors, all of which are based on core ingredients listed on Reddit’s financial independence sub-reddit.
FIRE really is more of a life philosophy than anything, combining personal finance with a DIY work ethic, opportunistic side hustles, life hacking, and the tenets of anti-consumerism.
Where the FIRE community definitely breaks from the personal finance pack is in its approach to spending and saving.
Set Your Savings on Fire Perhaps you’ve already internalized the lessons of investing in low-cost, tax efficient mutual funds; of contributing just enough to your 401(k)s to get the employer matching; of padding the pot with some part-time work or other side hustle that brings in cash.
Guess FIRE comes down on that one? “Your wants and needs aren’t written in stone, and less spending is powerful at any income level,” the financial independence subreddit reminds us.
Yet it’s one thing to cut spending here and there, and quite another to follow the FIRE principle of “Simplifying and redesigning your lifestyle to reduce spending.”
Want to FIRE even sooner? You can draw inspiration from the Google engineer who saves 90% of his income by living in a truck.
A former software engineer who blogs about personal finance, he says he and his wife cut back on spending and regularly saved two-thirds of their salaries, enabling them to retire in their early 30s. Free from the grind, Adeney theorizes that money obfuscates our understanding of ourselves and that FIRE is a mere beacon toward happiness.

The orginal article.

Summary of “The FI/RE movement is helping rich millennial cheapskates retire early”

Daniel, 36, makes $270,000 a year as a corporate lawyer in Manhattan.
Why so stingy? Daniel is a member of the growing FI/RE movement, short for financial independence, retire early.
The money philosophy – essentially, save fast and early so you can quit working young – is gaining traction among millennials who have had a taste of office drudgery and want nothing to do with it.
Followers combine investment hacks with old-fashioned penny pinching to build up enough savings to quit their 9-to-5, well before their 60s. They’re also committed to a monastic existence, even amid NYC’s many social temptations – drinks with co-workers, workout classes and even the odd fast-casual Friday lunch.
She’s eight months pregnant, lives in Manhattan with her husband and, together, the couple pulls in more than six figures annually.
Carmen Perez, 32, who stumbled onto FI/RE three years ago while looking for ways to get out of $57,000 in debt, also struggled initially.
Perez was able to save enough – while still enjoying a modest date night twice a month with her wife – to quit her well-paying job in financial services last month.
Daniel, who is single, admits that FI/RE hasn’t helped his social life.

The orginal article.

Summary of “Tori Dunlap Saved $100,000 in 3 Years”

What do you do when you really want to buy or spend money on something? Do you ever feel too strict with yourself, or wish you could splurge?I used to struggle with spending money in general – I would tell myself “No” all the time.
Eventually, I realized it was worth it to me to spend money on certain priorities, as opposed to trying to spend as little as possible all the time.
Stuff like clothes, coffee, and makeup are not as important to me, so that’s not where my money goes.
It’s not like I was making tons of money, but I got to keep 10 percent of the profits, and the rest went to my college funds.
Does your outlook on money affect your dating life?Yes.
How do you talk about money in your relationships?If you’re friends with me, we’re going to talk about money.
If you’re willing to talk about sex with me, you should be willing to talk about money with me.
I’m more private about my sex life than I am about my money.

The orginal article.

Summary of “‘I gave away our stuff’: the minimalists doing more with less”

Georgina Caro downsized the family home, gave away three-quarters of their possessions and now thinks much more carefully about every purchase.
“If you are someone who feels a constant pressure to keep up with things, bigger house, better car, more expensive clothes, then minimalism could be that breath of fresh air which allows you to step off the consumer treadmill,” she says.
In the US, advocates such as Joshua Fields Milburn, Ryan Nicodemus and Joshua Becker explain online how they have turned their back on the pursuit of material goods, extolling the virtues of minimalism and how it enables individuals to live more intentionally and focus on the important things in life, people and experiences, rather than possessions.
“We had this fantastic big house and we were filling it with lovely things, but I could feel my anxiety levels rising. We were spending money and accumulating more and more stuff – but we didn’t need it all. It started to feel meaningless. I realised I just wanted to live a different kind of life.”
“Shopping used to be a leisure activity but now we only shop if we need something specific. When you have spent a lot of time and effort decluttering your home, the last thing you want to do is fill it with more stuff. We have a ‘one thing in, one out policy’,” she says.
“In the worst cases people might be buying things on credit or getting into debt and it could be stuff they just don’t really need,” says Hannah Robinson, financial planner at Ellis Bates in Harrogate, North Yorkshire.
“People think minimalism must mean living like a monk, with no enjoyment. But it isn’t like that at all. Minimalism is about being more considered and mindful about what you buy, stopping the compulsive or impulsive spending, which so often leads to debts and stress – and more clutter,” she says.
Colins continues: “Where there is a gap or something needs replacing I can shop to do this. It’s not about denying yourself things. It is just about being more conscious with your spending.”

The orginal article.

Summary of “This Is What Life Without Retirement Savings Looks Like”

Gordon has worked dozens of odd jobs throughout her life-as a house cleaner, a home health aide, a telemarketer, a librarian, a fundraiser-but at many times in her life, she didn’t have a steady job that paid into Social Security.
Many people reaching retirement age don’t have the pensions that lots of workers in previous generations did, and often have not put enough money into their 401(k)s to live off of; the median savings in a 401(k) plan for people between the ages of 55 and 64 is currently just $15,000, according to the National Institute on Retirement Security, a nonprofit.
Other workers did not have access to a retirement plan through their employer.
If today’s seniors are struggling with retirement savings, what will become of the people of working age today, many of whom hold unsteady jobs and have patchwork incomes that leave little room for retirement savings? The current wave of senior poverty could just be the beginning.
In 1979, 28 percent of private-sector workers had participated in defined-benefit retirement plans-by 2014, just 2 percent did, according to the Employee Benefit Research Institute, a nonprofit.
Average wages, when adjusted for inflation, have remained near where they were in the 1970s, which makes it hard for workers to increase their savings.
For many seniors, the answer to this lack of savings has meant working longer and longer, as Roberta Gordon is doing.
Some seniors without retirement savings or a safety net have become homeless in recent years as housing costs have risen and they find themselves without the ability to generate income.

The orginal article.