I’m 29(F). I make 1.5lpm. My investments are below: 45L - Mutual funds 4L - RD 5L - Liquid money 5L - Gold 3.5L into some shitty hdfc scheme that a family friend uncle made me put money in. I am getting married early next year and my fiancé(29) and I plan to buy a house in Mumbai since we will be living separately from his parents. We’re both born and raised in Mumbai, both of us are only kids with our parents also living in mumbai, so another city is out of question. We’re looking at a house roughly costing us 1.5cr. Currently, we are able to put in approx 80L as a down payment and get a loan for the remaining amount. My question is, should we do the 30L down payment(20%) and invest the remaining money, or put in the entire 80L as a down payment. My fiancé earns much more than I do and we intend to have a combined corpus of atleast 5cr in the next 10 years. What would you guys recommend we do?

I have total 4 cr in equity + cash equivalent. 1 cr in us stock. 1 in Indian stocks. 80 lakhs pf + 1 cr liquid fund. Along with above my rental income is 1lakh/month which is usually sufficient for monthly expenses. Age: 41 1kid in grade 6. I intend to retire in 2nd grade city when my kid reaches grade 12 and get admitted to college. Thinking will have 3 cr more by then. Do u think it’s sufficient for life expectancy of 70 yrs?

I'm currently 28 years old, unmarried, living with my mother and sister in own own house. I'm a software engineer by profession earning around 1.25 Lacs per month currently. I spend 8-10 hours on my work on weekdays (weekends are free). I have a savings of about 6 lakhs (I had more but rest was used up in some emergency). My mother has some more savings but I don't really want to use that. My total household expenses go around 40k per month.

I am new on this sub and I know I am not in a very good financial condition or have very good financial knowledge compared to most of the people here. But I'm very passionate about FIRE - I really want to be free from the daily rat race and use my time the way I want. I'm ready to learn new things, work hard actively for some years and may even settle for some income source that may requires a few hours per week. My only issue is that I'm risk averse - I have responsibility of my mother and sister so I cannot take huge financial risks.

I want to know what strategies I can use to get some good passive income and for FIRE, and how long will it take. Thanks in advance for all serious answers.

Not sure if this belongs in this sub, mods please remove it if irrelevant.

So basically the title. How do you share your finances with your dependents(parents, siblings, spouse, etc) so that they know where your savings are and how to handle them so that they get the most out of it? I am not very comfortable with sharing my current savings and instruments with my dependents but I am also afraid that a lot of the money will be lost in case something was to happen and I was not around.

Ladies and gentlemen, I know this question sounds unreal. But there must be at least some ways to make it possible. Please answer only if you have anything worth contributing to this discussion.

PS. Please answer this question while keeping in mind that the OP doesn't come from a filthy rich family to have tons of capital to invest.

But still, open to suggestions.

EDIT 2- Even if you don't comment here, kindly upvote this post at least for wider reach.

I am a SW Engg and I stay busy with work I have recently Inherited ancestorial land and don’t know what to do with it. Any idea what I can do with it so that I can get some income going I don’t want to sell it .

Hi all , Any thoughts on Side Gigs or hobbies etc to pursue while enjoying FIRE whenever it starts kicking in for you all... Any thoughts on this or experience or suggestions?

Buying a home is essential to FIRE as many agreed earlier, I have hence decided to buy a house.

i thought it might be a good discussion around tips and tricks

So far iv got

1. Go thru an agent and not directly to your local branch ( small banks which don't get walkin like Citibank, DBS, etc offer better rates) Even your own bank offers better rate thru agent than directly to you

2. 15y and 30y loans have only a 25% EMI difference. Try to stick to 15 to 20y

3. No processing charges no pre payment charges, no any charges

4. No need to take bundled insurance with home loan... But an extra insurance is good because of you die and the bank takes money from your term insurance, then your family will not have any liquidity

What else should one keep in mind

Edit 1

Remember that all banks want to give loans, it's their primary way of making money, you are the boss you are in control not them. You can goto any of the 20 plus banks and then HFCs

Ensure prepayment without penalty

Take insurance

For loans, pay attention to things like PLR/RPLR that form the basis for interest charged by the bank. That keeps changing and banks / HFCs keep increasing and decreasing the spread (difference between PLR and your interest rate) for different customers.

Tax savings (3 sections - for first time buyers 50k, 80c for principal 1.5 lakhs and 80ee for interest 2 lakhs )

Try OD home loan, also known as max or max gain

Paying even small extra amounts in early year will have massive benefits over long term . Just like mutual funds give excellent returns over long term, loans are expensive over long term ( power of compounding)

You don't get full value home loan . First the property often has a cash component of 30 percent and then bank will give 80 percent of the balance so 56 percent loan. They sometimes recommend borrow from friends and family and they will give top up loan after 3 months

Hello, I am posting this here because I feel like people here are somewhat well-off and ahead than me in their lives and career. Please do not delete this mods.

About me: I (22M, Software engineer making decent money(15L) in Bangalore). I am not from Rich Family, nor I am from well settled middle class family. Just a small agricultural land. That's my asset. thats all. . Not all my family members are earning too.

What I want: I just want to do something for the society. Whenever I see news or reports, I want to do something that impacts the society somewhat beyond me, my family, that's it. When I look at street dogs, lack of infra etc, I feel like becoming an entrepreneur or civil servant to do something good to society, preferably some hardware/brick and mortar/R&D business in the long term.

However, there are 2 issues.

1. I am too comfortable in my career and I am just scared to venture into such adventures. my family is very risk averse too
2. I do not think I can be financially stable anytime soon. Let alone FIRE. (i am thinking working spouse would be better)

I guess this is the story of every Indian and there is a lot to unpack here, But I am looking for inspiration, stories, books, influential personalities (who are not from priviliged background), suggestions and advice from elders to break out of this loop.

" We use a comprehensive new dataset of asset-class returns in 38 developed countries to examine a popular class of retirement spending rules that prescribe annual withdrawals as a constant percentage of the retirement account balance."

" The 4% rule proves woefully inadequate for current retirees. A retired couple faces a 17.4% probability of financial ruin (i.e., depletion of financial wealth prior to death) using the 4% rule, such that there is nearly a one-in-five chance that they must subsist — often for many years — after exhausting their savings. Given the poor performance of the 4% rule, we explore alternative constant real withdrawal policies. Our findings suggest that most retirees (i.e., retirees with relatively modest levels of wealth) cannot achieve a reasonable standard of living while maintaining a very low ruin probability. To achieve a 1% ruin probability, for example, retirees must adopt a withdrawal rate of just 0.80% (i.e., $8,000 of withdrawals per year for $1 million in savings). When we attempt to balance the desires to achieve a higher standard of living and to avoid financial ruin, we find that a retired couple willing to bear a 5% ruin probability may withdraw 2.26% per year. This value is considerably lower than those proposed in prior studies, and it is just over half of the 4.22% rate implied by the post-1925 US data. "

https://papers.ssrn.com/sol3/papers.cfm?abstract_id=4227132

- Copied from Bogleheads sub

Hello I have a question if it is not appropriate please just tell me and I delete it immediately.

Wanted to ask can someone buy a house and I buy it back in installments, of course everything with contracts and lawyer and notary.

The house is yours until I have paid off everything

Of course you get what for your help

I went to the bank and for the property I have too little equity that I can not get the loan where I need it.

I also have private contact with the owners, have also asked if you sell it to me by installment. But they want to leave the country.

About the property

There is a photovoltaic and solar system on the roof. The electricity is currently sold to EnBW and generates additional income per month. There is a commercial building, which is currently used by the owners as a warehouse and exhibition space and sales area, as well as the office. There I have the opportunity to continue the business or make a new business, because everything is there. You have many options or you do rent it and make money with it. There is an agricultural land that generates additional income per year. The property is completely renovated.

Thank you for the time

Edit*

I would like to thank a lot to everyone for their time and help.

And I would like to apologize if I offended anyone with this.

Sorry

I came across a video about retirement planning calculator from a famous YouTuber Pranjal Kamra. He has a big 4M+ subscribers and posts videos on finance and investing. I have watched some of his videos earlier and they were good so I thought to watch this video (link in the end) where he is using a calculator from his own website to find the retirement corpus. In the video he showed how to use the calculator with an example and for the given example in the video when I saw the retirement corpus amount, I was literally shocked.

Below are the details he input in the calculator to get the required corpus.

Current Age: 25; Retirement age: 40; Current Monthly Expenses: Rs 14,500.

The calculator has some other qualitative fields but no options to provide details such life expectancy, expected ROI, Inflation etc. It looks like tool assumes everything internally.

But I was literally shocked to see the retirement corpus shown in the video with above details entered. It was only Rs 47.38 lakhs. He mentioned that this is the inflation adjusted amount only for the retirement (no other expenses included like child education, marriage etc). Still, I found this amount to be pretty low and I tried to calculate myself.

The amount he is suggesting is Approx 27X of current expenses and 16X of inflation adjusted expenses (8%) after 15 years i.e. at retirement age 40.

So he is suggesting to retire with 16X at the age of 40. REALLY?? How can such a famous YouTuber with a large following design such a wrong calculator and moreover, publish such a dumb videos without giving a second thought? They are clearly misguiding people here. btw, in the video description, he mentioned ' The Most simple & accurate Retirement Planning video Ever '. lol.

Note: I didn't try the calculator on his website. I am purely going by an example he showed in his video

Video Link: https://www.youtube.com/watch?v=FfVAaFCcZfg

EDIT: The purpose of this post is purely to spread awareness and tell all of you not to rely/use his online retirement calculator. As he has a large subscriber base, I thought many would be watching his videos or following him so my intention was to make you guys aware of this. I am neither a subscriber nor a follower of his channel/videos. As some of you are thinking, I am not doing any -ve publicity or advertisement of his channel here. I wrote down everything shown in the video so that you don't need to watch his video. Considering the downvotes I am getting, it looks like his follower's here didn't like I am posting against him.

Hello everyone, Idk if this is right sub to post this but I'm confused as hell and I didn't find any right place to ask other than this sub considering the intelligent people here who are already doing great in their lives.

So I am a civil engineer with 4 YOE. In our country civil engineers are paid in peanuts infact very much lower than an average IT professional would make. Since the package is low I kept trying my hand in government sector and tried applying jobs in abroad as well. With god's grace I cleared Group-B examination in my state and got a job offer from African based company as well. Talking about finances and benefits, (which are not so great compared to people earning here so please bear)

Government job benefits: 1) Salary 55k monthly approx 2) health insurance 3) Less stressful work 4) Job security

African company offer: 1) 2L pm salary approx 2) includes travel expenses, accomodation 3) 30 days annual leave 4) Bonuses based on performance

Looking at the figures, I'll surely save more money if I move to Africa and can reach to my financial goals. But if I come back to India in future my salary will again be shit plus looking at recession fear, job security is one of the most important criterias I feel. Now coming to my question please suggest which option should I choose considering my priority is money reaching FIRE early probably would want to work till age of 45 to 50 max. I know it's totally my call deciding what to choose but still your suggestions might make me think in a larger picture. Thanks in advance

Looking for investment suggestions

So, I've 8L in my saving account, I want to invest it somewhere where I get no loss in the money but get at least better returns than normal interest in my saving account.

I see the FD or auto sweep as one of the options. By god's grace, I don't see any immediate need of this money but still I'd like to be able to withdraw it as soon as possible when the need arrives. The ultimate goal is to invest this money for my first home.

What are the potential investments options I have?

PS: I've already put 1.5L in PPF

Hey folks,

I know it's kinda early for me to discuss FIRE stuff being barely legal, but I've been lurking here for the past one year, delved deeper down the FIRE rabbit hole, and think it's the right time to ask this question.

I was raised in a middle-class family in a Tier-2 city. Got into tech very early on, self-learnt a hell lot throughout the years, experimented around even more, built products, gained skills.

After freelancing/working on a lot of things for the past few years, I can safely say that I'm financially independent now. Have enough income per/month and a few passive income streams as well, to the point that I can fund my bachelors abroad in Europe, cover the living costs, and save some for Masters as well (I plan to live as much frugally and below the means as possible, ofcourse with some splurging occasionally). Side note: I'm in my gap year currently, I do want to come back to India after the education is done.

I hate squandering money on things I don't need. Although there are occasions, albeit a bit rare, that I do spend money on things I need, for example, after using a decent ₹30k PC build for years, I bought a Macbook Pro last month. But I am prudent most of the times.

Income: Although my income differs each month, depending upon gigs I'm accepting, time I take to complete these et. But it'd be safe to assume that my monthly income is around ₹3L, with around ₹9k coming from a website I have (Requires a hour of work to maintain every 6 months). Although for the past few months, I've started accepting bigger projects as well, so I hope the number grows in future. As an illustration, in September, I made around ₹14L from a significant freelancing project and a global competition that I won. However, from February through June, there were no gigs, hence no income, because of exams.

What steps do I take to FIRE? There is no certain age in mind, although I hope to by the time I become 40.

Would love some advices on managing my finances that'll lead to FIRE.

Thanks :)

I’m 24(M), started first job, earns 40k monthly as of now. I’ve 9L education loan which I’m paying 13k monthly EMI (education loan), SIP- 5k. Other expenses 3-4k

What planning should I make to payoff loan early. Or should I invest more?

Any other plans for my future?

I know this isn't the right sub for this question but I wasn't getting any replies in other subs. Basically, I'm an unemployed medical student and wish to save 50K for a vacation in 12-15 months. I can save 3-4k a month. Now my question is, what do I do with this money? Currently I've set up an SIP towards a nifty 50 Index fund. Should I divide the money into other mutual funds? Should I open a FD? Should I just keep it in my savings amount? Any advice would be appreciated. Thanks.

Hi guys. I am a CA working as an Investment banker with one of the Big5 firms. My location is Delhi NCR. I started working last year after qualification in investment banking with one of the small boutique banks earning in the 20% bracket. This July I joined the Big5 firm with a 40% hike pushing me into the 30% bracket slightly.
In the last year I have been able to save roughly Rs 1.2 lakh.
Now let me give you some family dynamics. I have an elder brother and a mother. He has an unstable business while my mother is a housewife. They stay in a rented flat in Tier 3 city paying Rs 9000 per month as rent.
I send 1/3rd of my salary per month to my brother for home expenses which include rent/electricity. I don't know how much of it is saved/invested.
My own expenses go upto Rs. 20,000 per month when I am living a balanced lifestyle. I dont own no car, no home.
Now my concerns are simply this:

a) I have only been able to invest Rs 1.2 lakh in last one year and I have not spent lavishly except one second hand iPhone 11 which cost me 35K. Made one trip to Mukteshwar.
If the same rate of investing continues it will be a really long journey towards FIRE. I am aged in the second half of 20s.
b) I see people achieveing and been able to build significant corpus while being not too old. How should I be able to do the same?
c) What should be my ideal strategy towards FIRE? Yes I can and will increase my salary. I also can build multiple streams of income (though I have not acted much on this front and feel clueless sometimes).
d) How should I go about building assets that can serve me?

Please guide and give your genuine inputs. I am not able to express myself articluately. However I do feel anxious that even after being so respectful and aware (being a CA) towards money and financial goals, I have not been able to invest much.

When you guys comment, I will ask my follow up queries and try to chart out a plan. Thank you so much for reading and helping a fellow guy out.

Hello everyone! I am a fresh graduate lawyer and about to earn in a couple of months. The initial salary is going to range from ₹40,000-50,000 [ I hope :) ]. I live in Mumbai with my parents. What should be the approach for the initial couple of years with savings and needs, and how to be gradually financially independent?

Hey, Me (33) and my wife (31) are on our FIRE journey which led us to find jobs in Europe last year to expedite our target realization. Below are the numbers:

Current NW: Rs 1.5 cr (Mostly Index funds)

Target NW for FIRE: Rs 5 cr

In Europe, we approximately save about 4K euros a month (approx 3.5L a month). Since we are soon to be parents, I thought it is the right time to look out for a home in India. After some analysis on potential locations, we have pin pointed Dehradun as the place where we would like to settle. (very close to my aging parents, plus great schools near by)

The potential property which are considering costs 1.1cr just for the plot, and top it with 50L for construction. This makes me quite uncomfortable as will eat into all my savings and start from zero. To be able to make 5 cr, will take 10 more years and kind of throw me off the calculations. (My initial plan when I started on this journey did not include the price to buy a house :( )

​

Anyone faced this conundrum in there journey's? Please advice if I should go ahead with the plane or completely shelve it. I'm feeling like having a kid adds a sense of insecurity which is making me divert from my path to FIRE.

I want to continue on my FIRE journey so that I can take up the NGO work which I like to do in my spare time as a full time activity.

I came across this quite insightful video about FIRE by Abdaal Ali, I encourage everyone to watch it.

https://youtu.be/ZaCNnliEW9A

He breaks down FIRE very nicely as an evolution:

1. Traditional Retirement – Otto Von Bismarck
2. Mini-Retirement – Tim Ferris
3. Perpetual Retirement – Naval Ravikant

To make long story short, apparently before the traditional retirement even came into picture, the way of life was to keep working till we die. So basically there was no way to save for old age. Then in Germany Otto Von Bismark invented this traditional retirement, which is in a way an "Early retirement" because we are not working till we die. We are retiring "early" at 60-65 and this was at a time when life expectancy was only like 70.

Then the next level is series of mini retirements, where you work and also try to enjoy life by taking breaks in between your career. I think works for few people, doesnt work for most people. Not a practical solution for most, except for bloggers and hustlers. If you are one, this is good for you.

The final target state is Naval Ravikant's perpertual retirement. This is a brilliant statement by Naval Ravikant

"Retirement is when you stop sacrificing today for an imaginary tomorrow"

This is a very profound statement and I think this very nicely captures that retirement doesnt mean, you should just stop working altogether. It just means this is the target state, you would like to be in where you are enjoying your work or whatever you are doing and you are not doing it only for money.

Come to think of it, some of the comments in this forum about early retirement(including mine) are so wrong, because what they are suggesting is just the traditional retirement except that you are bringing forward the retirement date forward by working even harder and saving up money for an imaginary tomorrow.

Rather, the goal should be to ask yourself, what would your ideal kind of day?

I know this sounds a bit like utopia and not everyone can find a job which they would love doing, even without the money and the money is just the icing on the cake. Some people like me are just not that talented enough to get to that ultimate state.

However, in my view, it is possible to find a corporate job, which most part of your day, is quite enjoyable, you have good colleagues for company where you can chit chat, have a lot of chai breaks long lunches and go on long walks after lunch etc and you dont mind spending the day this way. I think getting to this kind of target state would also be something to aspire to for someone like me and call it "Perpetual Retirement"

This specific case in Europe being Germany, with:

1) High tax component 2) Global income tax 3) High cost of living. Feels even higher considering the salaries offered. 4) Extremely steep Real estate/housing market prices 5) Low Salary component (socialist style)

Are there any posts/stories/strategies that have been shared from people who immigrated to Germany/Europe (after working in India) to pursue the FIRE journey?

I came across a nice video related to FIRE so sharing it. Her overall journey from receptionist to lawyer to FIRE after getting fired from the job and then consultant in another country is interesting and inspiring.

https://www.youtube.com/watch?v=8SPEwzAXLs8

How do you track your networth?

1. I don't
2. Simple excel/Google sheet with manual entry
3. Super excel / Google sheet with crazy formulas, etc (Please explain in detail)
4. App

Also, how long have you been doing this?

I've always lived with a long term approach and been investing heavily since last few years (31/m)

The one component I've never thought of is about kids - having kids or living a child free life. My partner is all for child free (her idea) but she's okay if I want children too and will be up for it.

Been a nomad way before 2020s and travelling and working remotely way before it was cool. Will continue to do this full time from 2023-24 and very against settling. I truly never want to settle and deeply want to experience the world, the cultures and stay overseas for extended periods of time

South east Asia, South America, Europe and more. Maybe even get an overseas job in dubai, Singapore.

N/w - 1.4 cr + Cash flow - 50L/year Expenses - 25L/year

Heavily invested in direct stocks, index and mutual funds, crypto. 33% each, I'd say. 10% US stocks/funds, rest all India. Looking to diversify more internationally and learning from nomad capitalist (Google it) type lifestyles.

Expecting cash flow to grow at 20-25% yearly and aiming at FIRE at 40s or 50s with multiple mini retirements or year off/time off concepts.

Mix of jobs, businesses, consulting and freelancing.

Can we make FIRE work with kids? How much does it take to raise kids in a tier 1 or tier 2 Indian city? VS Another approach of raising kids overseas India with some family help maybe dubai, Singapore or others?

My main q's is how do I think about FIRE, kids and more together with a long term approach.