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L2F 025 It’s About Time Money is Time


Show Notes

It’s About Time: Pursuing FI

  • One of the great things about FIRE is the insights it offers. You discover different ways of thinking about things such as your relationship with money, lifestyle inflation and time which is the subject of today’s show.
  • The pursuit and achievement of FIRE is not about money. It’s about time.
  • When it comes to the pursuit of FI, here’s what Vikki Robbins, author of the classic Your Money or Your Life has to say.
    • “Money is something you trade your life energy for. Life energy is the amount of time you have to live and how you live it”. (Quantity and quality of time)
  • Work is essential to achieve FI and we give a lot of our life energy to work.
  • When we look at achieving FI, the question is not only how long will it take but also how does work make you feel about your life.
  • When it comes to work Claire says she had it pretty good. She achieved work-life balance. But if she had a choice, she’d rather be doing something else.
  • If you’re unhappy with your job, we both believe that it’s better to look for a job while you still have a job.
  • Claire took a career break which wasn’t about being in a bad job. It was to answer the bigger question of “do I still want to do what I’m doing”.
  • Ted prepared for a possible bad job in two ways: 1) he was always scouting for his next job; and 2) networking.
  • We believe the stress of not working is worse than the stress of having a bad job.
  • It’s important to keep working in order to continue to build wealth.
  • When it comes to work and the pursuit of FI, money vs. quality of life is not an either or proposition. It’s possible to manage both.
  • Our overarching work goal was to achieve FI

It’s About Time: After Retirement

  • When it comes to early retirement here’s another quote from Vikki Robbins: “The concept of having enough is the basis for changing your relationship with money”.
  • When you have enough money to be FI, whether to continue working is a choice. We can shift our how we view our life energy from money to time.
  • Once someone achieves FI, i.e. do you have “enough”, the question changes from “can I retire” to “should I retire”?
    • Have I had enough (of current work)?
  • Do I have enough to do?
  • Retirement is not a simple transition. We spend many years working and focused on money. As retirement approaches, the focus shifts to what do you want out of your life.
  • Retirement is challenging for many reasons: lack of work structure; less socialization; and loss of purpose.
  • There good reasons to keep working
    • Like what you do
    • Mitigate longevity risk
    • Do you have a plan for what’ll you’ll do
    • Work offers a good deal
    • Example of Emma
      • Has achieved FI and is interested in retiring earlier
      • However her employer offers inducements to continue working
        • Bridging medical insurance
        • Financial incentives
      • Considerations
        • How much longer would you have to work to earn incentives?
        • Do you like your job and the people you work with?
        • Health and longevity risk
        • Do you have a plan for how you’ll spend your time in retirement?
      • Now that we’re retired, deciding how to spend time is more important than how we spend our money.

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