Calling it quits!
When I first started my career, I wanted to make my first million by the time I hit 30.
During my 30s, whilst I focused on climbing the corporate ladder, I wanted to achieve financial independence. However, the goal post kept shifting higher and higher as Singapore entered a strong period of inflation.
I remembered my ex-boss who has since retired, telling me to ensure that I have enough "FO capital" so that when the time comes, I will not be beholden to my job. Unbeknownst to him, I have been busily planning and executing my own plans towards financial independence, but it was good advice nevertheless.
Decision to call it quits is a complicated one. My major concerns in this respect are:-
(1) What do you do after quitting? How do you meaningfully occupy yourself?
(2) When do you know whether you have enough financial resources to give up your career?
(3) Am I prepared to give up on my wealth accumulation by quitting?
The first question is not that easy to answer. However, I know what activities I would like to pursue (dependent upon my health and income) when I don't have to work:-
(1) travel
(2) sports - cycling, gym, golf, scuba diving
(3) study and learn something new that is unrelated to my professional career
(4) cook
(5) write
(6) manage my investments
My thinking around the second question is focused on a cashflow perspective. As long as the cashflow from my investment portfolio is able to generate more than what my family needs (with some leftover) with a strong degree of sustainability and recurrence, I would deem it sufficient.
However, the second question is also related to the third question, am I prepared to give up on my wealth accumulation? The current growth of my investment portfolio is facilitated by recycling 100% of my investment income and the leftover from my employment income.
Haiz ..... it's pretty darn difficult to give up on my employment income by calling it quits even if my investment income is sufficient to finance my family's lifestyle.
What are your concerns when you plan for your retirement?
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