Four years ago a couple of braggy, insufferable, know-it-all engineer kids in their late twenties wrote me. They boasted about having accumulated almost $500,000 through hard work, frugality and being smarter than everyone else. Drenched in ego and attitude they derided the plebes around them who aspired to a condo and a mortgage. No humility. No empathy. They were easy to hate.
So, I quoted their letter here.
Following your advice, we’ve resisted pressure from friends & family to buy a house and have instead been renting and quietly socking away money into our down payment fund. Now, six years later, we find ourselves in the surreal situation of sitting on a down payment fund that’s grown to $500,000.
A typical house-horny virgin reaction would be to go blow it all on a house. Here’s what we’re thinking instead: continuing to follow your advice (it’s worked out so far!), we invest the 500K in a dividend-producing portfolio. Then, when we find a good deal, we buy a 500K house on a mortgage. The portfolio’s yielding 6%, and I can find 25Y mortgages @ 3.5% fixed for a 5-year term, so the portfolio pays the interest and then some. We’ve proven we can save 500K in 6 years, so by the time that 5 year term is up, the mortgage will be gone (or mostly gone). And then we’ll be in our 30’s, we’ll have a house, no debt, and the portfolio will still be there generating 30K of (mostly) tax-free income, regardless of market flucuations. That’s enough to cover our living expenses if housing is out of the way. So…I dunno, we retire?
Retire at 31? Seriously?
We met, and they asked me to manage their portfolio (that was a surprise). For four years they saved like crazed beavers, lived on air and threw everything at the portfolio which, fortunately, grew like a demented little weed. So, they got the million. At 31. We did champagne in the office, then they took off on a debauched tour of half the world (the lascivious half), living on portfolio income. I think I wrote about that here.
Time for an update because these two, who now call themselves The Wanderer and FIREcracker (like Prince and Cher) have turned into zealots of a different kind. They never did buy that house, or any hard assets, and have morphed into quintessential anti-Boomers spreading a gospel of up-yours capitalism. They clearly despite the old fart cohort I’m part of, but are equally disparaging of their own generation of whiny, texting twits who just want to grow up to be like Mom.
Their thesis is simple: it ain’t working. Millennials have been talked into a life of over-education plus debilitating debt, then launched into a world where under-employment’s the norm, life-long financial servitude is the outcome, and the parental push into real estate at any cost can turn into a soul-sucking death spiral. Instead, why not rent, invest, worship liquidity and strive not for a $1.4 million cookie-cutter house in a boring hood, but true seven-figure financial independence? Just like them? Cuz they know everything.
This has led to a thing called Millennial Revolution, and here’s FIRECracker to explain:
The two of them have also blogged about you, the pathetic, yapping hounds who nipped at their oversized self-centredness and drove them to become the new Che Gueveras (Google it, kids) of the gen that expects a gold star for showing up. “If we don’t tell people what we did, and teach people how to do it themselves, then our generation will continue to wander aimlessly, while the Boomers will continue to call us greedy, self-absorbed and wasteful little shits,” they say.
Because we are NOT greedy, self-absorbed, or wasteful. We Millennials are educated, socially-,conscious, and environmentally-friendly little shits and don’t you god-damned forget it.
But I would like to say one thing. To any Blog Dogs that are reading this: we are sorry. Three years ago, when you hammered us with questions on how we did what we did, we withdrew and hid. We’re not proud of it, and if we could do it again, we would have done it differently.
So here’s our chance to make amends. Blog Dogs. If you’re reading this, let us have it in the comments. Don’t hold back. It’ll be like old times. Only this time, we won’t shy away. We won’t hide. Quite the opposite, actually. We want to start a movement. Because this is bigger than us.
Ask us anything. This time, on this blog, we will answer every question you throw at us. So let us have it.”
Good idea. The little self-absorbed sh…
438 comments ↓
Garth, you have to stop talking to those F&%#$% digital nomad dorks. Every second millennial I meet calls themselves a digital nomad. They roam the world writing their self-absorbed blogs and posting lame selfless, that no one gives a damn about, and they barely squeak by financially, often because their blogs are of limited value.
http://www.theglobeandmail.com/news/british-columbia/surrey-mayor-wants-a-network-of-helipads-across-the-city/article30104262/
Everything old is new again, and on it goes.
For those waiting for the ‘inevitable’ correction, you should be a little more proactive.
As mortgage helpers are one of a few key drivers of prices, interest rates and foreign capital being other, it is relatively easy to remove these from the equation. Houses with mortgage helpers significantly raise the price of that home.
As far as tax evasion goes, the middle class views failure to report rental income from these helpers as victimless as so few actually report it.
I suggest those that want to own should start tracking down the addresses on craigslist of basement suites and soliciting information about the landlords and past rental history by being prospective tenants. Or cross referencing rental ad information with readily available online address sources and then reporting them to the CRA.
Or for those that have neighbours that have the suites, whether legal or illegal, can call in information to the CRA as well. There is an anonymous CRA Information line that you can call to report those suspected of not paying their income tax.
The Liberals significantly increased the CRA budget based on Harpers past bump in resources that yielded a significant amount of revenue. They are so confident of yielding additional income from unpaid taxes that they included several billion of the revenue in their last budget.
As has been noted here many times, its those on the margin that help determine prices – those moving, divorcing, dying – now add in those with CRA troubles.
Lets add a few distressed homeowners to the mix and greatly speed up the process of a price correction.
Lets get back to the days where only a few people had suites instead of every buyer now demanding and requiring them to pay for their inflated mortgages.
If every blog dawg did this, you would not need to wait around for a slow drip of interest rate hikes over the next 5 years.
What are your thoughts on XPF etf, preffered shares etf mostly with US exposure. Also thoughts on buying Canadian vs. US reits in the current environment, will rising rates have a negative impact on these in your opinion? Oh and one more for you, Canadian O&G etf XEG, thoughts on purchasing at these levels.
Sorry and an addition to the previous post, can you brain storm some good ETF’s to consider in todays environment.
I’m not sure what we’re supposed to be asking? a lot of well-to-do ppl read this blog. the accomplishments of these 2 don’t really sound that great?
what’s your favourite colour?
Nice job, Wanderer and FIREcracker. Way to win the game and live the life you really want.
Toothless wonder (#4):
Some jurisdictions allow renters to deduct their rent. To do so, the basement dwellers have to report on their taxes, the landlord’s name, the address of the property, and the amount of rent paid during the tax year, and submit all of that to the CRA.
It’s a lot easier than any of the suggestions that you made, and you know what? The CRA STILL can’t be bothered to enforce its own rules.
Go figure.
Overheard a comment about Vancouver real estate the other day by an older mother with young adult children:
“I had to FORCE my kids to buy something…”
They have the world by the tail, Good on them!
Thanks for posting this Garth. I always get flack from my peers for renting but what people don’t know is that my portfolio recently reached six figures. While it isn’t as complex as your model portfolios I think it will help me reach my retirement needs.
Half a mill by 26 though? That is some serious savings for a couple who have been working for only a few years.
The CRA will never go after undeclared rental suite income because it is all part of the government plot to keep house prices high.
That was funny. — Garth
I just love passionate young people – they make me tired. If anyone wants to know what’s wrong with the system pickup a copy of Adbusters for a start – you will really start to question a lot of what you were brought up to believe
I’m confused Garth.
Are these your clients?
If so, did you just call them
The little self-absorbed sh…
#4 Toothless Measures
There is an anonymous CRA Information line that you can call to report those suspected of not paying their income tax.
———————————-
Chilling. I can think of another historical case where one citizen was encouraged to report on another. That ended very poorly, as I recall.
I think Mr. Sunshine should be the one increasing support to the CRA if he expects them to retrieve all that unpaid tax from cheaters.
Toothless wonder (#4):
Some jurisdictions allow renters to deduct their rent. To do so, the basement dwellers have to report on their taxes, the landlord’s name, the address of the property, and the amount of rent paid during the tax year, and submit all of that to the CRA.
It’s a lot easier than any of the suggestions that you made, and you know what? The CRA STILL can’t be bothered to enforce its own rules.
Go figure.
——————
In BC, ground zero for massive mortgages, massive house prices, and massive reliance on suites, there is no such declaration. You are referencing other provinces.
Good for you!?!
https://www.youtube.com/watch?v=AnFAAdOBB1c
How were they able to accumulate a cool million by the time they were 31? I am 32 and I was able to save up and invest only 1/10 of that. What is the path to that kind of financial success?
She lost me at “The Boomers had it easy………………
No one has walked a mile in my shoes but me.
But I will tell you that self pity, blame, and making generalized assumptions are extremely non productive. I always choose Freedom First. In everything. No exception.
Amazing how a little bit of loot transforms people from hiding to bringing it on bitches, now that’s the spirit. I Love it.
Now you two you can’t bust this boomers balls. I’ve been preaching this shit for a long time. I’m a bit pissed you gave Gartho all the glory and no accolades for the Great Smoking Man.
Truth be told I don’t need any. I know it’s there from thousands of dogs, voices from the UCC.
Same thing Tesla spoke too and listened too.
Congrats kids, but you will not undo the years of mind fking your teachers did to your peers.
You might as well try and find a way to exploit there stupidity, just learn to pretend to be socially responsible if you really want to shine. Oh just went to your blog.. Nice.
Ah!!! Entrepreneurship. Love it.
Good work you two. Could you imagine if millennials really do turn from housing, Japan 2.0, in housing value terms. Time will tell.
Congratulations!!
A Boomer here, and you did at 31 what it took us to 61 to achieve. You did it MUCH faster!
Freedom is the name of the game, the time, the inclination, and desire to dam well whatever you want.
Oh, you could go back to work if you get bored, start a business, whatever. Life is GOOD in that 5% lane.
You have lots of time, lots of fellow millennials might not believe your story, or be as ‘intense’ as you were to attain it. Laziness has its virtues as well – go easy on ’em.
Way 2 GO!!!
I think to be environmentally conscious you cannot be a part of the investing world. Sorry Garth but you industry sucks at helping those in real need in our world. Sure your money grows over time but at what cost to the environment and societies around the world. Then to take that money and travel around on airplanes….crazy and selfish for sure. Why not take that money you make from your jobs and start real companies aimed at providing real paying jobs to others in need like single mothers, underemployed millennials, etc.
Sure… Millenials will start a revolution.
amusing.
What FIREcracker forgot to mention is that her dad is a billionaire businessman in Hong Kong and cuts a cheque every month for his little darling. Life is good when you have a rich dad. Living the Millennial dream LOL!!
At first I thought I was reading an article in the Onion:
http://www.cbc.ca/news/canada/toronto/ontario-climate-change-1.3584402
All sorts of hilarity breaks out when politicians try and change the laws of the universe through legislation. Unfortunately this one is going to cost Ontario almost as much embarrassment as Nutley’s plan for Alberta. It reminds me of the Stokes trial or that state government in the US who tried to pass legislation that Pi (pie, you know the circle thing with the funny symbol) was equal to 3.14. Pie is equal to 3.14 if you round it to 2 decimal places, which might be close enough for making wagon wheels in the 1800’s but we need the real number to many more digits here in 2016.
Back to the legislation:
First of all, unless you have lots of hydro, heating a home with electricity is way more environmentally damaging than natural gas. The electricity has to come from somewhere! That “where” is either going to be from natural gas or nuclear. Let’s take natural gas because it’s more straightforward. The best gas fired electric plants achieve about 50% efficiency. The electric heater part is pretty efficient but a standard natural gas heater these days runs 80% efficient and a high efficiency gas heater can be 95% efficient. Thus, it is much more efficient to burn the gas directly in the home than turn it into electricity and wire that to the home. Obviously no scientists or engineers were consulted.
And mandating gas and diesel to have 5% less carbon? How are you going to do that? It is carbon (and hydrogen). If they are talking mandating vehicles be more efficient maybe you can do that by making everyone drive smaller cars but you can’t reduce the carbon in gasoline. It’s not like sulfur in diesel which is a contaminant that can be removed. Gasoline consists of C5 (pentane or natural gasoline), C6, C7, and C8 (octane). You can’t make gasoline contain 5% less carbon any more than you can make water contain 5% less H2O. It’s one of the dumbest things I’ve ever heard of but it’s coming to a legislature near you.
And electric cars? One of the greatest scams since solar power. Sure an electric car is pretty efficient if you assume a full battery and only measure the conversion of the battery power to wheel power. But not very long later you have to charge the battery and guess what? You need to burn fossil fuels at 50% efficiency at best and then charge the battery at 80% efficiency at best for a 40% best case efficiency which is not much better than a modern gasoline engine. Plus you have to mine a lot of lithium to make those batteries and that is nasty business.
So chalk this one up as another item on Garth’s long list of things government might do to wreck your retirement and the economy just because a bunch of uneducated know-it-alls think they can get votes by pandering to the uneducated voters.
The only thing that they’re not making more of is : Time.
Life & Investing is about : Balance.
Wealth is about : Options.
And, the luxury to do as you please with your time on this earth.
Good on them!
Happy May 2-4 w/e dawgs!
My questions for FIRECracker:
1) What was your combined income through those years of working?
2) How low were your annual expenses that enabled you to save up $1M in such short time?
3) When, if ever, does your ideal new dream include considering having kids?
Their video is full of anecdotal failures that make their point, but are just that: anecdotal.
Example: her friend Annie spent 14 years getting a PhD. Why would anyone take 14 years to do this? BA: 4 yrs. MA: 2 yrs. PhD: 4 yrs. Total: 10 years. Why did Annie take almost half again as long? That extensive time period would look bad on a resume. Secondly, why is she unemployed? She can’t get a job in the medical field or in academia? She must be bombing her interviews consistently to remain unemployed.
The fact is that if you have an advanced degree and are actually smart (not just educated) and have good social skills (i.e. not a nut and know how to apply for jobs and do well in interviews) then you can do well career-wise, even in tough times.
And then the claim that Millennials are “tech savvy”. LOL. Why, because they have a phone? Because they use Facebook, play Angry Birds, and text people instead of calling them? Frequent casual use of a touch interface doesn’t make you a technical expert. Most young people I know (and I know a lot) don’t know jack about technology, despite applying for work in a time when real tech skills are in high demand.
Wanderer and FIREcracker,
Thank you so much for posting this!! So refreshing!
As a millennial who aspires to accomplish the same thing, it can feel pretty lonely at times here.
You guys totally nailed it.
I will be joining you soon.
Best,
HD
Well kudos to these 2 kids for saving so much at an early age, well done. Most kids won’t be able to because they don’t have the income. And don’t give me the “anyone can do it” thing because that simply isn’t true. If everyone were earning that kind of money then the money would just be worth a lot less. That’s how things work. Money is merely a score-keeping device that measures how much certain labor is worth versus the things we all want to buy. So a dentist gets paid more than a janitor because you don’t want the janitor fixing your teeth and dentists are hard to find relative to the demand. But good on these 2 that the were smart, worked hard, and saved.
But I think it’s pretty foolish to think 2 people can retire at 31 with only a million bucks. Even at Garth’s 6% that’s only $60,000 a year now and 30 years from now with 2% inflation that will be less than $30,000 a year in today’s money. A better goal for a 31 year old is north of 2 million. About 2 million plus a house or additional investments beyond 2 million that can pay the rent.
A million dollars just isn’t a lot of money these days.
@ Firecracker:
If you’re a ‘digital nomad’, where do you pay your taxes? Isle of Man?
great post Garth! For a lot of people they would think how did they do that. It starts with going to school and taking something that will actually get you a job. STEM. Getting a liberal arts degree over the last 10 years is akin to burning money and or leveraging a depreciable asset, it will never payoff. (Unless you are a fortunate soul who is able to score a career in teaching or the public service, where you have no threat of loosing your job and zero accountability)
Once people make the bad educational choice, they then work a job they hate to pay off the loan for that bad choice. Along the way they buy things they can’t afford and wake up at 45 and wonder why they are “stuck”.
Others either leverage their abilities without going to post secondary, or take something practical. They work for a bit, travel the world and live a reasonably stress free life because they have a skill that is always in demand. My wife and I have been all over the world, people think were crazy we “rent” but in the same breath tell us how they would love to do what we do. Far too many just can’t connect the dots.
I choose a cycle of life, experiences and independence, too many Canadians are choosing a cycle of debt and dependance.
University is BS, unless you come out with a marketable skill you wasted time and money you can’t get back.
Wanderer & FIREcracker are part of the predicted by some future – well educated, well paid ‘nomads’ who go where the work/money is; travel extensively, are not locked into any one location though I would expect such individuals to favour the warmer climes. Unless they are totally winter sports oriented, with a need to ski, snowboard or snowshoe every winter wonderland this planet offers.
So good for you. BTW ignore those less than graceful ‘compliments’ about how you ‘should’ have set aside much more because of ‘x’. That is just passive aggressive for expressing envy at the fact you did so well. Hope your path in life continues to be everything you have worked so hard to achieve!
Good on them. They will be good role models. Not all millenials are lazy a lot of boomers I know of are useless.
I know more than 1 boomer who with wife inherited his folks home, she inherited her folks home, sold them and became instant multimillionaires. The one couple were so useless, I don’t think they ever worked for more than a few months in their lives.
My dad told me; “don’t expect anything from me when I go because I will spend all of it”. I said darn right you earned it, you enjoy it I’ll make my own.
@ Toothless;
You’re right, I was referring to Ontario. My point is that ‘incentivizing’ landlords to declare rental income has done precious little to curb rates of price appreciation in detached homes in Toronto and Southern Ontario.
For a few million in rent credits for (allegedly) the lowest income earners, geared to renters income, even! The CRA could have some of the most frequent tax evaders served up to them, name, address, taxable income, and all.
Not interested, especially since the BC finance minister has admitted owning several rental properties, personally.
Firecracker, Great video!
This is from a boomer who followed the rules and paid a heavy price in quality of life. Like Garth we need people like you and others to give people permission to think differently. The old rules are not for everyone. There is a better way to live, spread the word. You made my day!
@ #26 Sam the Sham
Do you have a reference for this?
I also find their capital accumulation a little suspect. There may be some relevant variables being left out. A half-million by 31 as engineers living wisely and frugally? Believable. One million? Hmmm.
Congrats to these millennials. Can’t say many are like them, but they have the right idea (although they are little shits). Why work for the man if you can save enough to be truly free? I don’t know how they managed to save so much in such a short time, but great that they did. My wife and i (late boomers) lived by basically the same ideals and retired by 56, with lots of investments (and also pensions, but together we never made more than moderate salaries). Oh and over the years we bought two moderately priced houses and paid off the mortgages asap (house prices are not high where we live).
The big thing is to always save and invest until you are free and can do what you want. Don’t spend it all on a place to live. Good job.
“You have your way. I have my way. As for the right way, the correct way, and the only way, it does not exist.”
Boomers calling millennials narcissistic and lazy is pretty much the pot calling the kettle sooty. They both need a wash. And they are going to get one.
Why would millennials not pursue their own dreams? Is that not what the boomers did? Is it not their own life? No one should live for another, but only themselves. There is no harshness in this claim, because there are others we want to live with and for but they are of our choosing, not of another’s.
#1 Western Suburb of Beijing on 05.20.16 at 6:43 pm
Garth, you have to stop talking to those F&%#$% digital nomad dorks.
====================================
I know, it’s frustrating when us young whippersnappers don’t listen to you and do their own thing, isn’t it? #sorrynotsorry
I hope this couple finds meaning in their “retirement.”
While I have more I might like to say, my frontal lobe keeps telling me to say no more.
#7 WalMark of Sadkatoon on 05.20.16 at 7:07 pm
what’s your favourite colour?
================================
RED, obviously.
And then the claim that Millennials are “tech savvy”. LOL.
—————————
I agree. It’s time to lose that stupid and utterly meaningless expression.
Toward the end of my career I spent a lot of time teaching engineering graduates how not to code. Many of them thought nothing of dynamically allocating a Mb of memory to do string manipulations in the middle of low-level interrupt service routine. They couldn’t understand why their machinery was self destructing.
The internet (if that’s all you can conceive of when you speak of technology) was not invented by millennials. It was built by the boomers and first conceived of by the brilliant minds of the generation before them.
I get real tired of hearing about tech savvy.
“While I have never patronized a prostitute… I know that one can learn more about a country from speaking to the madam of a brothel or a black marketeer than from meeting a foreign minister.” – Jim Rogers aka The Adventure Capitalist / Investment Biker
https://www.amazon.ca/Adventure-Capitalist-Ultimate-Road-Trip/dp/0812967267
(NoteToGT: Was it churlish of me to point out that a Boomer got there first? Never mind, now here’s your new leader illustration – you’d have to license it though: https://500px.com/photo/137818607/freedom-joy-by-ionu%C5%A3-cara%C5%9F )
I have not heard people calling Millennials greedy or wasteful. More like entitled and lazy. I agree many Millennials are well educated but too many want to start at the top rather than work their way up. See entitled and lazy. I suspect your friend with the PhD is in this category.
Good video overall. I agree to skip the house, university education is over rated, only work long enough to gain skills to run your own business and invest in assets that pay you, not ones that suck money like housing. It is pretty simple. If you want to be part of the 1% then you better not follow the 99%.
#12 Shawn on 05.20.16 at 7:13 pm
I always get flack from my peers for renting but what people don’t know is that my portfolio recently reached six figures.
====================================
YES. Good for you. You would not BELIEVE the flak we got while we were doing this, but the feeling of walking out of the office for the last time is all worth it.
Well I hope they do give some credit to Garth for helping to grow that pile, but still, love ’em or hate ’em, they’ve made some pretty smart decisions and deserve to gloat a bit.
If FIREcracker wants to add even more moola to her nest egg, I vote that she markets her fitness/diet secrets so that the rest of us who are hiding muffin tops with baby bumps can venture back into a bikini again at some point during their mid-life crisis…I know, shamelessly vain and egocentric, but hey, I am a Gen-Xer.
#15 confused on 05.20.16 at 7:17 pm
I’m confused Garth.
Are these your clients?
If so, did you just call them
The little self-absorbed sh…
====================================
You should read the Christmas cards he sends us.
Good for you….you sacrificed, saved, were smart investing and reached the F YOU magic number target. Truly Freedom First!
My ONLY concern is full disclosure…did daddy as #26 Sam The Sham mention help a tiny bit or was it mostly all on the 2 of you?
If so, shame on not mentioning this in full disclosure. If not, shame on Sam for trying to undermine your achievement.
I hope you truly help others reach their golas as well. All the best!
Do these two not realize that it is the hard labor of others (capitalism, if you will) that provides them with a return on their savings so they can spend their time traveling around the world and making winey self-absorbed YouTube videos?
#19 Toronto Dweller on 05.20.16 at 7:28 pm
How were they able to accumulate a cool million by the time they were 31?
====================================
We hired Garth. The end.
No but seriously, contact us @ http://www.millennial-revolution.com/contact-us/. We can compare notes.
#20 Freedom First on 05.20.16 at 7:28 pm
But I will tell you that … making generalized assumptions are extremely non productive.
=====================================
Funny. Considering generalized assumptions is ALL we’ve been hearing from the Boomers. #notsofunnywhenithappenstoyouhuh
My 35 year millennial kid and his wife are big Garth fans (from me) they rent, sock it away with two good jobs in the GTA, going to Africa tonight for a shoot and holiday in Zanzibar, next month a wedding in Iceland, living the life with lot of dough I never had at that age, they don’t brag about it, just get on with enjoying the spectacular life they have created…..most of their friends have anchors and are beet red jealous, but in 20 years they will be thinking about retirement and will be happy knowing they have lived the life so far….life is shorter than you think!
#21 Smoking Man on 05.20.16 at 7:29 pm
Congrats kids, but you will not undo the years of mind fking your teachers did to your peers.
=====================================
Maybe, but we are going to f*cking try.
And thank you for being what Hillary Clinton would probably call a “thoughtful Boomer”
In all tax returns I have done, most people with rental properties that have mortgages generally report a loss, so it it actually beneficial to report it. There are some rules you to follow to make sure you stay onside with the principal residence exemption. So go ahead report them to CRA, odds are they reported it and it’s on their tax return.
“FIREcracker”……”Wanderer”… just for those names I’m not clicking that link
Firecracker-
This Boomer applauds you and wishes your revolution a tremendous success. It can only help all of us. My wife and I currently rent, letting our portfolio pay half the monthly. My millennial kids get no pressure from us to buy a house, but if your revolution is a success, the insane real estate market will collapse, and home ownership will be an affordable option for those so inclined.
Just remember, the aging boomers, many of who are dependent upon selling their homes to fund their retirements, just might be the spark that sets the revolution ablaze…
#23 BOOM! on 05.20.16 at 7:32 pm
Congratulations!!
A Boomer here, and you did at 31 what it took us to 61 to achieve.
=====================================
Can you be my Dad?
Nice to see savings done right lol!
I’d like to know what each of your incomes were based on 40 hrs a week.
If you and your hubby were both salaried out at 6 figures per year, then there will be no Millennial Revolution.
Firecracker and nomad
Good luck with what you think your doing. Wait until you’re anchored with a kid or two. Then we’ll see how well your plan works. A million bucks is no where near what you need to retire unless you plan on living like you’re on welfare. In that case just skip work and get social assistance at 18. You’ll be free as a bird living with crackheads in the nastiest places in the city. Inflation adjusted may I add.
Just saying! It’s more like you’re trying a little too hard to promote a blog so you can make a couple of bucks, in that case you’re just trading jobs.
#24 SAM on 05.20.16 at 7:33 pm
Why not take that money you make from your jobs and start real companies aimed at providing real paying jobs to others in need…
=====================================
We are. We volunteer for a non-profit and we’re starting a company that creates jobs for minorities in the publishing industry. Read the blog.
#25 steph on 05.20.16 at 7:36 pm
Sure… Millenials will start a revolution.
amusing.
=====================================
You guys did. Why can’t we?
https://en.wikipedia.org/wiki/Hippie
Quick. Someone call a waaaaaaaaambulance! That video was ridiculous. Life is about choices – Psychology? Really? Perhaps she should have sought a degree in another field where jobs actually exist. What a novel concept. The production quality of this video was clearly conceived and created by millennials – Let’s see. Poor inflection? Check! Slurred speech? Check! Excuses? Check! Complaining? Check! Awkward timing and gestures? Check!
Although her message is right in taking responsibility and not following the herd, her approach is severely flawed. Proving to the Boomers that they’re “wrong,” as she puts it, is not the path to financial freedom.
This video is more telling of the millennial generation in general (not absolute) than most anything out there… http://www.mrctv.org/blog/video-song-mocking-millennials-going-viral
#26 Sam the Sham on 05.20.16 at 7:37 pm
What FIREcracker forgot to mention is that her dad is a billionaire businessman in Hong Kong and cuts a cheque every month for his little darling.
=====================================
Actually, my dad hates my guts and wants to disown me for not buying a house. So…yay?
… a true seven-figure financial independence
hear hear.
As a boomer tech who went self employed during the dot com era, I wouldn’t do it again.
Technology left me in the dust and unemployed.
There’s more technology in one of those smart phones today then the technology used to put a man on the moon.
I think what they have accomplished financially should be applauded. I also like their values about not getting sucked into the granite counter top frenzy. And I adore people who understand and value life experience, travel, etc.
What I don’t understand is the anger towards boomers. If you want to rebel against your own parents and whatever message they might be trying to sell you I might understand that. But why can’t you just go away quietly and do your own thing? Don’t be a boomer. Great. Why do you need boomers to acknowledge you are going your own way and following your own dreams? If the very thought of boomers and their ways is distasteful, just exit the stage. Pretty sure no boomer is going to take notice unless they are your parents. Boomers made their choices, you can make yours……It’s all good. Why keep shaking the boomer’s tree? What is it that you want? Applause? You might get it for the clear thinking on finances, minimalist thinking, and living life to the fullest. Pretty sure the boomer blog dogs can see some issues that could arise to challenge you down the road.
Garth: you do know this blog might be a record breaker in terms of responses.
how did she learn to code so quickly or is that part of her career?
#29 Haunted by Tulips on 05.20.16 at 7:42 pm
=====================================
1) We are both engineers, and started off earning a combined salary of $135k between the two of us.
2) About $30k to $40k. We were power-saving trying to catch up to an out-of-control housing market.
3) The answer is a solid maybe, depending how frisky we get.
Also, how can you be Haunted by Tulips? Just STEP ON THEM! THEY CAN’T MOVE!
#30 betamax on 05.20.16 at 7:48 pm …..”The fact is that if you have an advanced degree and are actually smart (not just educated) and have good social skills….”
Bwahhaahaa. Social skills and education – one does not certainly guarantee the other. Having a regular day to day conversation with a PhD grad or even a lawyer or doctor that is not about them, their background or careers is next to impossible.
Comparing social skills to education is like common sense and respect. In the Millennial world, neither the two shall meet.
#31 HD on 05.20.16 at 7:50 pm
I’d love to hear your story.
Please write us at http://www.millennial-revolution.com/contact-us/
#MillennialBFFsForever
#19 Toronto Dweller on 05.20.16 at 7:28 pm
”How were they able to accumulate a cool million by the time they were 31? I am 32 and I was able to save up and invest only 1/10 of that. What is the path to that kind of financial success?”
Self employment. Harvest your knowledge and skills and write your own paycheck.
#32 nonplused on 05.20.16 at 7:52 pm
But I think it’s pretty foolish to think 2 people can retire at 31 with only a million bucks.
=====================================
By any chance, do you work for a bank? Or are my dad?
Much respect FIRECracker! I’m on the freedom 35 plan (not so much retirement but an end to wage slavery) the things that made the boomers wealthy will not work for us. To me, success isn’t working ever-harder for a slightly larger crub…it’s finding out how to stop sweating for someone else all together! I’m looking forward to the day where I “retire” into a PhD program (in business admin natch) and my awesome husband either works or tinkers in his shop whatever is his pleasure. Lots of time for our little ones. Not having to worry about money or wage progression means I happily accepted a position as a senior Union exec… pay and career progression be damned I live for me! Thank you for what you do, for presenting an alternate path it’s hard to yell above the prevailing noise.
#33 Smartalox on 05.20.16 at 7:53 pm
If you’re a ‘digital nomad’, where do you pay your taxes? Isle of Man?
=====================================
We come back to visit family/friends periodically and maintain residency here for tax purposes, so we file income taxes in Canada.
Rule #1: Don’t F*CK with the CRA.
Rule #2: See Rule #1
#65 The American on 05.20.16 at 9:01 pn
This video is more telling of the millennial generation in general (not absolute) than most anything out there… http://www.mrctv.org/blog/video-song-mocking-millennials-going-viral
————
From the blog in the link:
“Tyler keeps it light-hearted, and the song itself is actually pretty good. Check it out below:”
Whoever authored that blog sounds like he’s never heard of the Beatles LOL!
#34 mathman on 05.20.16 at 8:01 pm
My wife and I have been all over the world, people think were crazy we “rent” but in the same breath tell us how they would love to do what we do. Far too many just can’t connect the dots.
=====================================
THIS. What is up with that?
And totally agree with everything you just said. #FreedomHighFive
#35 Linda on 05.20.16 at 8:07 pm
Hope your path in life continues to be everything you have worked so hard to achieve!
=====================================
Can you be my mom?
Put the dude on for the next video. I for one found it hard to focus on the message when firecracker the hottie was being so arousing. With clients like that, no wonder Garth always puts so much sexual innuendo in the blog.
As to those of you that are asking how they did it, consider that there’s two of them and they worked as a team, on a shared vision. Two people sticking together and working together are worth way more than the sum of the parts. Financially and otherwise. That freedom first guy is wasting his time.
Anyway, did I mention firecracker’s a hottie?
#38 The Great Gazoo on 05.20.16 at 8:14 pm
This is from a boomer who followed the rules and paid a heavy price in quality of life. Like Garth we need people like you and others to give people permission to think differently.
=====================================
You’re a Boomer yet I like you. #conflicted
Firecracker:
Why are you wasting your time here any more?
Move forward, enjoy life and spread the gospel.
You 2 won…
You haven’t actually retired. You gave yourselves freedom. So super. Your working on stuff already. Same as the moustache dude though he’s pretty extreme. You’re creative. You will start new businesses. Great. Silly to trash boomers. It’s not like this hasn’t been done before.
#39 leavingsoon on 05.20.16 at 8:21 pm
A half-million by 31 as engineers living wisely and frugally? Believable. One million? Hmmm.
=====================================
That just happens when you hire Garth to manage your money.
By seriously, would a year-by-year breakdown of our accumulation be interesting to you Blog Dogs?
“Retailers’ pain is spreading to their landlords. Macy’s, Nordstrom, J.C. Penney and other department stores last week reported another quarter of crummy earnings.”
“The damage is weighing on the publicly traded real estate investment trusts with heavy exposure to America’s retail real estate, including beleaguered mall owners — and all signs point to things getting worse for this group of companies. Shares in North American REITs with a large portion of their investment concentrated in malls are now down 10 percent in the past year, compared with a 6 percent rise across all REITs, according to Bloomberg data.”
http://www.bloomberg.com/gadfly/articles/2016-05-17/retail-reits-can-t-avoid-the-pain-of-slower-sales
The Amazon effect is hitting department stores (“DS”) hard. On-line sales now account for 8% of US retail and Amazon sales are fully half of that. Still I am not sure that the web is really going to kill off the best malls or that the US experience should stampede investors in Canadian REIT’s towards the exits. I offer some thoughts on the matter but, as an aging male, I am not especially retail savvy. I look forward to comment from other blog dogs who actually buy things from stores.
1. In the Fifties, DS shoppers expected to buy everything from a zipper to a piano under one roof. As far as I can see, today’s high-end DS have devolved into a collection of fashion boutiques and the mid-market ones like Zeller’s have already died. They may evolve again or disappear but malls will probably survive without them albeit at lower profitability.
2. Some of the decline in US malls stems from overbuilding which has been constrained in Canada by zoning and financing issues. We have approximately 60% of the mall space per capita found in the US, and probably as a result, 50% more sales per square foot on average. Also some of the decline in conventional mall space has been driven by a change in shopper tastes favouring “power centres” of three or more big box retailers sharing parking space or shopping villages offering street parking and direct store access. The idea that Amazon is killing the malls overlooks the point that many were already on the way out.
3. On-line shopping is in many ways simply an update of catalogue shopping which Timothy Eaton pioneered in the 1800’s. As a brash young auditor I reviewed the accounts of the old Eaton’s catalogue store. I remember being staggered to find the return rate for catalogue items was about 30% of sales. I was therefore less surprised to learn that many on-line retailers struggle with similar return rates today. The idea that web retailers will prevail because they have almost no overhead costs misses this crucial point.
4. Mall retailers are still playing catch-up but they have a built-in advantage in that they can offer multi-channel marketing from pure on-line to in-store purchasing. In many cases the customer can order on-line but pick up in-store quicker than Amazon can deliver, with less risk of dissatisfaction and with no delivery charges. Would you buy a bed, couch or refrigerator for delivery to your residence sight unseen and have to worry about returning it?
5. No amount of digital magic will replace the social experience of physical shopping for those who like it especially when mall managers provide events like fashion and car shows to attract shoppers.
6. Canada’s best malls are on expensive and virtually irreplaceable land assemblies in the heart of the most affluent and populated areas. It is hard to imagine their investment value could fall too drastically even if mall retail fell out of the sky. Park Royal mall in West Vancouver is already building on-site condo’s even though the parking lot is full of shoppers every weekend. There are plenty of retail choices in downtown Vancouver but free parking speaks loud.
All that said, I would be cautious about REIT’s who hold non-prime retail space. I expect even the best mall properties to be affected by on-line shopping if for no other reason than their tenants’ revenues and profits will continue to be squeezed by intense internet price competition. I would also predict that tenants will move their web order fulfillment operations away from the mall stores to avoid having to give a share of the related gross to landlords. I just don’t see top Canadian malls going out of business any time soon but REIT valuations will need watching.
Nothing that special about what these two have done. GenX had plenty of 30 yo multi-millionaires, thanks to pre-techbust option cashouts, and buying houses at pre-2000 prices. I had way more cash than these two when I was 31 and single, and I had a big house that got paid off before 35.
Constructive feedback to the cracker:
When you draw comparisons to someone who took 14 years to get a PhD in psych, your pitch loses all credibility. You may have a valuable message to deliver, but you lose all but the dumbest of the dumb by 3 1/2 minutes.
Rework your video and start getting to your point in the first 90 seconds. Drop the attitude that is equal parts whiny and pompous, and you might get more than a few idiots paying attention to the second half, when I hope you have something more meaningful to say.
#40 PGer on 05.20.16 at 8:21 pm
Congrats to these millennials. Can’t say many are like them, but they have the right idea (although they are little shits).
=====================================
That’s why we bought Shit #1 and Shit #2 t-shirts at the Dr. Seuss gift shop in Universal Studios. Boy, those guys have t-shirts for EVERYBODY.
Very impressive!
We have been following the renting and investing I’m 29 millwright and electrician work at a municipality my wife is 28 and has her masters of social work and works for a not for profit organization helping youth enter the work world.
Our portfolio is at $260 k and have work pension plans as well. The best part of it all we have paid for everything ourself school, cars and last October we paid for our wedding as well its a nice feeling to be self sufficient.
Out of all our friends we are the only ones that rent, have sport season tickets have done tons of travelling and enjoy the freedom of flexibility
#36 Tundra Pete
”My dad told me; “don’t expect anything from me when I go because I will spend all of it”. I said darn right you earned it, you enjoy it I’ll make my own”
I told my sons the same. Today, both very successful businessmen. And financially independent.
One more question:
Who did you vote for in the last Provincial election?
#39 LeavingSoon
”A half-million by 31 as engineers living wisely and frugally? Believable. One million? Hmmm.”
Not so difficult to achieve. My son at 30 became a millionaire. Two years BCIT. Worked for a couple years as an employee then started his own business. He discovered what leverage can do for you. Never looked back.
#49 Cici on 05.20.16 at 8:34 pm
If FIREcracker wants to add even more moola to her nest egg, I vote that she markets her fitness/diet secrets
=====================================
Raging against the machine consumes a TON of calories. Who knew?
A million bucks conservatively throws off $50k per year. Thats still kraft dinner level as far as I am concerned.
Post something when your investments are spinning out $250k.
#51 common sense on 05.20.16 at 8:38 pm
My ONLY concern is full disclosure…did daddy as #26 Sam The Sham mention help a tiny bit or was it mostly all on the 2 of you?
=====================================
We never took a single cent from our parents, and we worked our way through university and graduated with no debt. Waterloo Co-op. Probably the best co-op program in the country.
#52 A Yank in BC on 05.20.16 at 8:42 pm
Do these two not realize that it is the hard labor of others (capitalism, if you will) that provides them with a return on their savings so they can spend their time traveling around the world and making winey self-absorbed YouTube videos?
=====================================
You are WAY off. All our whiny self-absorbed videos are on Vine.
Awesome Firecracker!
Many Gen-X’ers (that I know) share the same spirit due to the conditions we also had to endure during our so called peak years. Creation is the key!
No, I will not be your dad, uncle, brother, cousin! :)
GT
You might want to contract out your personal commentary efforts to your new protégé. Witty repartee is hard to replicate. ………
FIRECracker
Why are you doing all the chirping. Where is the dude.
Typical millenials.
He’sProbably got to ask her if he’s allowed to talk.
The emasculated modern man
#86 A. W.
I do some retail consulting and have seen the following:
– most retail stores with an on line presence are becoming nothing more than a place to return items bought on line.
– A few smart suppliers are making their prices on line much higher than can be bought at a retail store to protect those who have retail outlets.
– More and more shoppers, especially in the USA are using retail outlets as a place to touch, see a product, then access their phones to compare prices to on line stores.
– Naturally the best retailers today know their competitive advantage is to service the hell out of a customer by providing beyond excellent product knowledge and customer service.
– Let’s see what retail looks like in another 10 years. Even most of the Big 4 banks see a retail presence being greatly reduced and are already modifying their new builds to this new reality.
#58 Mikelennial on 05.20.16 at 8:51 pm
“FIREcracker”……”Wanderer”… just for those names I’m not clicking that link
=====================================
We focus-grouped “JerksWithMoney” and “NigerianPrincePromisesYouRichesTODAY” and those polled even more poorly.
#94 FIRECracker
”We never took a single cent from our parents, and we worked our way through university and graduated with no debt. Waterloo Co-op. Probably the best co-op program in the country.”
Congrats to you both. Well done.
It’s funny watching millenials stamp their feet and unleash a torent of swearing. Yes you are so f***ing [sic] original with your uber cool oppositional defiance. Truly your words will etch with the Classics.
Now let’s hear some original thought above faux emoting.
#59 Fiendish Thingy on 05.20.16 at 8:51 pm
Just remember, the aging boomers, many of who are dependent upon selling their homes to fund their retirements, just might be the spark that sets the revolution ablaze…
=====================================
What you are describing is the “Greater Fool” Theory. I wish someone would write about that…
#54 FIREcracker
I am not all the Boomers as you are not all the Millennials.
Not surprised by your comment though, and that I had to point that out to you. Have you considered anger management?
I wholeheartedly agree with the message – follow your dreams, if you can, and find ways to make them a concrete reality. Not easy in this new global world order unless you know herd mentality and know how to “work the system”.
Tech savvy huh? Start by asking your video editor to set the background music to the right level versus the main dialog! There’s a reason why its called “background music”, it is meant to accompany and reinforce the main message, not overwhelm it! And music with words totally derails the listeners’ brain, forcing to pay attention to the dialog -or- the words of the song, ’cause you really can’t do both efficiently at the same time. In a way, the technical aspect of the production is a perfect reflexion of a millenials’ brain: short attention span needing constant multiple stimulation to feel alive.
#62 I’m stupid on 05.20.16 at 8:54 pm
Good luck with what you think your doing. Wait until you’re anchored with a kid or two. Then we’ll see how well your plan works.
=====================================
We met another couple doing what we’re doing in Thailand. They have a kid, and they’re doing just fine.
http://www.gocurrycracker.com/
Kids are not money sinks. Parents turn them into money sinks.
Lets point out the bad news. Funny Garth didnt catch this one.
You have NO DIVERSIFICATION!! You have your entire wealth portfolio in the stock market. Were you alive in 2000 or 2008?
House or no house, I wouldn’t be caught dead without a few hard assets.
There are no 1 percenters with their entire net worth in the stock market. They own tons of sensible real estate too. I choose to emulate them.
#94 FIRECracker
”We never took a single cent from our parents, and we worked our way through university and graduated with no debt. Waterloo Co-op. Probably the best co-op program in the country.”
Probably?
Also, s/country/continent/g
# 94 FIREcracker
Hats off to both of you! Fantastic!
#102 Turner Nation
“faux emoting” PERFECT!
#98 Smokie
Modern Man…too funny… I did my act of defiance yesterday…saw a flyer for spousal abuse where every situation described a man being abusive towards a woman…say 15 scenarios. I crossed out MAN on every one and wrote PERSON with the heading..”Did Wynne create this Ontario gov’t funded flyer?” and deposited it in the suggestion box…yes I was the only guy around for 50 miles and will be seeing the ladies next week…hee hee.
#69 the Jaguar on 05.20.16 at 9:07 pm
If you want to rebel against your own parents and whatever message they might be trying to sell you I might understand that. But why can’t you just go away quietly and do your own thing?
=====================================
Because of bullshit like this, saying that our generation is incapable of working hard because we’re Millennials.
http://www.cnn.com/2016/05/03/opinions/grit-is-a-gift-of-age-duckworth/index.html
If we don’t stand up to being bullied, we will continue to get bullied.
Dude, I like your handle, that’s why I had it first
#12 Shawn on 05.20.16 at 7:13 pm
Thanks for posting this Garth. I always get flack from my peers for renting but what people don’t know is that my portfolio recently reached six figures. While it isn’t as complex as your model portfolios I think it will help me reach my retirement needs.
Half a mill by 26 though? That is some serious savings for a couple who have been working for only a few years.
*****************************************
Shawn, nice name, but I have dibs on that name around this Board as I have been here for years. If you post under Shawn people may confuse us.
#70 the original dave on 05.20.16 at 9:09 pm
how did she learn to code so quickly or is that part of her career?
=====================================
http://www.millennial-revolution.com/freedom/how-i-built-a-seven-figure-portfolio-and-retired-at-31/
#102 TurnerNation on 05.20.16 at 10:07 pm
It’s funny watching millenials stamp their feet and unleash a torent of swearing. Yes you are so f***ing [sic] original with your uber cool oppositional defiance. Truly your words will etch with the Classics.
Now let’s hear some original thought above faux emoting.
…………….
There trying to capitalize on all the negative energy the young mind fked are filled with.
They don’t know the herd. The fact that they made a million makes them the enemy to other mind fkd young tree huggers.
Good luck with the revolution.
#81 put a cork in it
Yes. Now that’s funny. From where I sit it appears that the only time the majority of people stick together is when they are having sexx. Though most married for a while guys have little of that. Married men bit$h a lot. I just listen.
I love my life.
#76 Zoe on 05.20.16 at 9:16 pm
I’m on the freedom 35 plan (not so much retirement but an end to wage slavery)
=====================================
Yes! Do it! I would love to hear your story #GoFreedom35 (http://www.millennial-revolution.com/contact-us)
#81 Put a cork in it on 05.20.16 at 9:28 pm
Put the dude on for the next video. I for one found it hard to focus on the message when firecracker the hottie was being so arousing. With clients like that, no wonder Garth always puts so much sexual innuendo in the blog.
=====================================
Aaaaaaand now it’s weird.
#110 FIRECracker on 05.20.16 at 10:20 pm
#69 the Jaguar on 05.20.16 at 9:07 pm
If you want to rebel against your own parents and whatever message they might be trying to sell you I might understand that. But why can’t you just go away quietly and do your own thing?
=====================================
Because of bullshit like this, saying that our generation is incapable of working hard because we’re Millennials.
http://www.cnn.com/2016/05/03/opinions/grit-is-a-gift-of-age-duckworth/index.html
If we don’t stand up to being bullied, we will continue to get bullied.
—
Ok that was really whiny.
Success
Success is as success does.
The young retirees here have done very well, obviously.
I am sure most people can gain some nugget of wisdom from reading about this and any other stories of success.
My attitude toward stories of financial success is a bit like Benjamin Franklin’s.
Apparently Ben Franklin back around the later 1700’s had a social / business club he belonged to with weekly meetings.
A standing order of business at each meeting: Do you know anyone who is rich? and do you know how they got that way?
(Well that is a paraphrased version of how I recall the story from Ben’s autobiography).
When confronted with a story of financial success, wise people applaud and try to learn something. But most people sniff and state reasons why they don’t believe the story or how it is not possible for them. And, not coincidently, most people never achieve financial independence.
To The Wanderer and FIREcracker,
Always happy to see people living their dream. Good on ya!
From a 52 year old, 4 yrs retired.
cheers!
#84 Wild albertan gonads on 05.20.16 at 9:34 pm
Great. Silly to trash boomers. It’s not like this hasn’t been done before.
=====================================
Correct. This is not magical. I am not a genius, I didn’t inherit any money or win the lottery and I am a mediocre engineer at best. That’s why we created our blog, to show that other people can do it too.
#87 FIRECrapper on 05.20.16 at 9:38 pm
Drop the attitude that is equal parts whiny and pompous, and you might get more than a few idiots paying attention to the second half.
=====================================
Whiny and pompous. Never heard that before from a Boomer.
#106 FIRECracker on 05.20.16 at 10:13 pm
“Kids are not money sinks. Parents turn them into money sinks.”
—-
I am compelled to agree. Its tempting to spend money on my kids that I’d never spend on myself. Sometimes I have to remind myself and the wife that the kids are still at an age where they want Mommy and Daddy more than anything we could ever buy them.
#90 IHCTD9 on 05.20.16 at 9:44 pm
Who did you vote for in the last Provincial election?
=====================================
I voted for Garth, but for some reason that didn’t work.
Some good ideas but yep….she sounds pretty self absorbed and narcissistic…
Throughout history people have had great ideas and have created some very impressive things..all without the need to tell us about it in a video clip with the current “i’m gonna change the world” theme music..
Talk about the “I’m special” syndrome. Funny thing is, the ideas she’s talking about aren’t original ideas. Kind of like many things these days where a few little gadgets built on others real work and original ideas are praised as world changers….sheesh. it gets tiring
in their defense, it wasn’t their generation who created the approach to education that gave rise to these kinds of attitudes..
Wanderer ? where the hell are you?
FIRECracker hope your around tomorrow night when I get into the Burbin at Seneca doing my weekly philanthropy to native Americans.
Give the boy friend the keyboard for Christ sake. already got you sized up.
you look good in red.
#93 not 1st on 05.20.16 at 9:55 pm
A million bucks conservatively throws off $50k per year. Thats still kraft dinner level as far as I am concerned.
=====================================
WHERE ARE YOU BUYING YOUR KRAFT DINNER FROM?!?
#98 Smoking Man on 05.20.16 at 10:02 pm
Why are you doing all the chirping. Where is the dude.
Typical millenials.
He’sProbably got to ask her if he’s allowed to talk.
The emasculated modern man
=====================================
He can’t talk right now. He’s wearing a ball gag.
Retirement homes in 50 years time will be funny places. Washed out and shriveled arm/sleeve tattoos, gray lumerjack beards, and the i-hearing aid, brought to you after a lifetime of iPhone earbuds pumping loud music into skull.
Such social creatures are they, I count 40% of morning commuters plugged in. Hi bye.
Firecraker
We met another couple doing what we’re doing in Thailand. They have a kid, and they’re doing just fine.
http://www.gocurrycracker.com/
Kids are not money sinks. Parents turn them into money sinks.
——————–
You naive child… It’s not about money with kids. It’s about time and stability. How can you travel when your 7 year old is in school?
Is no one happy for these two?
Post after post of flung crap, accusations, comments on appearance, etc. Misogyny even!Sexism, its all there
Getting wealthy is different from getting rich.
You rich guys are bitter, divorced from situational awareness, etc. I’m sorry for you, really.
Being wealthy means maybe I have less money than you but I have a full life, friends, am able to enjoy the experiences of others without getting all preachy, disdain permeating my every word.
Its not even your house yet you feel compelled to crap all over Garth’s invited guests? What arrogance. Must suck to be you.
Lots of engineers, with how bad the job market is, if they were in a hot field that goes out of favour, may very well never be able to find jobs again. For instance, in the 1990s, the engineers associated with the high tech industry did very well. Most of them let go in the early 2000s still haven’t found replacement employment. Perceived to be too expensive to re-employ elsewhere, but jobs never did recover in their own industry.
So retiring early isn’t so absurd for such people, not necessarily as a decision, but rather, because their industry fell off a cliff.
More recently the industry that made young engineers rich was the oil and gas industry. But they’re dumping engineers by the thousands, and when they do revive themselves, there will be an intense focus on cost control.
Similar deal in the trades, especially the semi-skilled trades. It will likely be many years, if ever, before high school dropouts can make $100k/year doing 84 hour weeks driving water trucks to fracking sites. Those days are gone with the oceans of oilfield labour. So kudos to those smart ones who did put something aside in recognition of the severe cyclicality of their industry.
An American Whiner… in BC
#52 A Yank in BC on 05.20.16 at 8:42 pm
Do these two not realize that it is the hard labor of others (capitalism, if you will) that provides them with a return on their savings so they can spend their time traveling around the world and making winey self-absorbed YouTube videos?
*****************************************
False, goods and services are produced by capital as in machines, factories, software) as well as labour.
Investors own the capital without which labour would not produce 1% of what can be produced with the combination of labour and capital.
Investors earn the fair wages of capital just as labour earns the fair wages of labour. The relationship is symbiotic.
But the world is evolving toward capital as the more important contributor to GDP and labour is getting devalued in most cases.
Get in the game and own a piece of “corporate America” rather than spouting nonsense that all is produced by labour.
Success is as success does.
Whining is as whining does.
Respectfully suggesting a new haircut for Firecracker.
SM, good roast, exactly where is the male?
Generalizations don’t help their cause either.
Also realizing that perhaps some people enjoy their jobs, and take value in having a stable job, home and place to raise their children, able to give their children as much love and opportunity as possible, may help give them perspective. I “own”…I have built a solid foundation for raising a family….I am (starting) to accumulate assets…and I have the freedom to enjoy a stable life raising my children in the way I see fit to best benefit them and society. Ps., I also have a Ph.D., and will earn $2,500,000 over the next 25 years, and will retire with a good pension.
So ya, if I could trade places with these people I wouldn’t. Perfectly content with the life I have created….and I don’t have a financial portfolio.
#84 Wild albertan gonads on 05.20.16 at 9:34 pm
You haven’t actually retired. You gave yourselves freedom. So super. Your working on stuff already. Same as the moustache dude though he’s pretty extreme. You’re creative. You will start new businesses. Great. Silly to trash boomers. It’s not like this hasn’t been done before.
…………….
They would have more success with the revolution and there own generation had she put on a black tee shirt, bra less of course, that read. “Eat the rich”
What they don’t get is they are now the enemy. they have loot. No Bernie supporters for you.
Might as well get a Make America Great Again Cap and enjoy entrepreneurship.
the thing is this. most ppl won’t like the fact that u hit $1m. that’s just how it is. they hit $1m a bit later than some and a bit earlier than others but that’s irrelevant because ppl will judge based on what they think is realistic. and that’s different for everyone. for some, they took too long and did it the hard way. for others they may consider it fast and too easy. when you’re young u want to prove them wrong. to show that it can be done. or whatever. but that’ll never happen. ppl will do what they want to do and believe what they want to believe. you’re either preaching to the converted or wasting time on everybody else. after u realize that nobody cares then u just go about your business. milk it or forget about wasting time on it. personally I’m too busy buying homes in the US to care if someone younger or older or whatever believes what I can do is real or not. who cares. the money is in my account. not theirs.
#102 TurnerNation on 05.20.16 at 10:07 pm
Yes you are so f***ing [sic] original with your uber cool oppositional defiance. Truly your words will etch with the Classics.
=====================================
I don’t know what you’re talking about. #YOLO #Kony2012 #icebucketchallenge #FeelTheBern #NeverTrump ############CrapMyHashtagKeyJustBroke
#104 Freedom First on 05.20.16 at 10:09 pm
Not surprised by your comment though, and that I had to point that out to you. Have you considered anger management?
=====================================
Anger management? I don’t need no stinking anger management! *HULK SMASHES DESK INTO OBLIVION*
#105 John in Mtl on 05.20.16 at 10:10 pm
Start by asking your video editor to set the background music to the right level versus the main dialog! There’s a reason why its called “background music”, it is meant to accompany and reinforce the main message, not overwhelm it!
=====================================
Feedback received. I have just shot my video editor. His blood is on your hands.
#107 not 1st on 05.20.16 at 10:14 pm
You have NO DIVERSIFICATION!! You have your entire wealth portfolio in the stock market. Were you alive in 2000 or 2008?
=====================================
Who said anything about having our entire portfolio in the stock market? Didn’t Garth teach you about REITs? Or a balanced diversified portfolio? Do…you…even read what he writes?!?
You seem a little bitter about the path you took. You go on about how bad it was going to school and becoming an engineer. Then how bad it was working hard for several years.
What you fail to realize is the engineer job and working hard for all those years provided the money that now allows you to do what you want.
Things may have been different if you started with a literature degree and taking it easy in your 20s like most millennials do. Going through the things you went through also make you appreciate what you have now which will drive you to keep what you have.
Was it only less than a couple years ago I wrote in with bated breath about a 33’x120′ west side Van lot going for 1.6 mil? Latest price on same size, same side piece of dirt is 3.15 million. No made in Canada fiscal or monetary policy can slow this runaway freight train. I predict political intervention. The first party that goes hard populist, either left or right wins.
FIREcracker,
you started off with 500 K four years ago, saved like crazy, and are now at 1 M. Congrats!
How much of this growth is due to additional capital contributed by the two of you, and how much was generated by your portfolio? What annual rates of return did your portfolio manager achieve?
#118 Shawn
The only strategy for financial success is to get out as soon as you can with your money out of this mental institution.
Even without rate increase real estate will crash, unless we start running insane deficits which of course will kill the CAD.
Real estate in Japan declined by 70 % from the top in the most advanced economy in the world at that time, with zero rates. The only thing that saved them (temporarily) was the export.
Our hope (the oil) is doomed, I can not imagine what could happen to lending institutions here who have 0 (zero) deposit reserves.
AMAZING!!!……
I went back and re-read their original story (1/5/2012).
At least I had not mocked them, but congratulated them on their great job. I was too narrow to tell them to ignore the idea of home ownership, frankly it is merely a lifestyle choice, and over-rated. That said, I own a house.
Now, they have achieved what MANY will NEVER achieve.
A $1MM portfolio. (what’s in your wallet BOOMERS)??
Tonights entries STILL contain a taste of unbelief, criticism, and jealous hate…UNBELIEVEABLE!!!
FIRECRACKER – forgive them, they know NOT what they do..
And, (per yours at 60#)… I would be Honored to be ‘dad’
Just remember, your Boomer Parents only taught you the ‘tracks’ they took in life. They meant no harm, but probably had a hard time separating the trees from the forest. The 21st century isn’t the 60’s-70’s-80’s.
Conditions, and solutions are NOT the same.
I still do things the ‘old ways’ that would seem quaint to you. As said, laziness has its virtues, too.
We DO agree on stuff financial though, and as you know Garth is one heck of a teacher on those matters.
Again, my heart-felt congratulations on achieving Financial Freedom, Choices, and a Whole lot of time yet to do what’s next… (you get to determine this…).
Best Wishes,
BOOM
(formerly Retired Boomer WI)
M64WI
And Japan’s population density is exactly 100 times higher than ours (340 vs 3.4 per square kilometre).
Ok, I get it now.
Garth has let firecracker loose on the dogs to try her hand at witty Garthisms in preparation for running her own blog! (And maybe harvest a few folks to profile down the road too).
Question – is your Dad rich or not? You have been dodging this one…
Might as well also let us know if the inlaws are rich too while you’re at it.
Gotta clear up the rich questions #becausemillennial
FIRECracker
wont engage me any more, realizing shes dealing with a bitch slapping Sean Connery Mr happy.
Where the fk is the Wanderer. I’ve just insulted your woman. I need a punch in the face to tell me all humanity is not lost.
To The Wanderer and FIREcracker,
Oh, and a warning. No matter what do not do anything you love that brings in money. That will bring out the ‘Internet Retirement Police’ in full force.
http://www.mrmoneymustache.com/2013/02/13/mr-money-mustache-vs-the-internet-retirement-police/
cheers!
#128 Turner Nation
“Retirement homes in 50 years time will be funny places. Washed out and shriveled arm/sleeve tattoos, gray lumerjack beards”
Body/sleeve tats…..a big ‘F**K You’ to your future self……
#149 Darren on 05.20.16 at 11:21 pm
To The Wanderer and FIREcracker,
Oh, and a warning. No matter what do not do anything you love that brings in money. That will bring out the ‘Internet Retirement Police’ in full force.
http://www.mrmoneymustache.com/2013/02/13/mr-money-mustache-vs-the-internet-retirement-police/
cheers!
….
Wanderer wont show. Thinking those myths about Asian men might be true, I could be wrong. but if I looked down and saw nothing, I would not be taken on Smokey.
Fire cracker – no kids are not money sinks. But child care is expensive. You can do it yourselves, but that is very energy consuming and by the time they are in bed you’ll be exhausted and have little energy for any freelance work, or heck, even hobbies.
Travel with kids quickly turns expensive too (if you’re going by plane).
@FIRECracker I might take you up on that. Strangely, when I tell people I’m buying freedom, experiences, and lots of time with family and friends while I rent they’re not on board. Oh well, it’s good to know others value this way of doing things. Keep doing what you’re doing and spreading the good/alternate word! I want our generation to know that alternate paths are available to them.
151 Smoking Man on 05.20.16 at 11:26 pm
#149 Darren on 05.20.16 at 11:21 pm
To The Wanderer and FIREcracker,
Oh, and a warning. No matter what do not do anything you love that brings in money. That will bring out the ‘Internet Retirement Police’ in full force.
http://www.mrmoneymustache.com/2013/02/13/mr-money-mustache-vs-the-internet-retirement-police/
cheers!
….
Wanderer wont show. Thinking those myths about Asian men might be true, I could be wrong. but if I looked down and saw nothing, I would not be taken on Smokey.
—
That’s my smokey stud!!
These two are the same age as my wife and I, but we would never associate with their type.
We are also clients of Garth and even though we are doing very well I would never consider retiring at my age 32. This hipster culture believe they are adding value and true progress, my are they wrong.
Hard work and discipline is all anyone needs. These two and their ‘message’ make me sick.
Rob
And enough with the twitter handles, pathetic.
Rob
Firecracker #110.
I read the article you referenced. The author expresses an opinion. That is all. I don’t understand why this would be perceived to be ‘bullying’. No one individual is mentioned. Nobody is being taken down. She just presents two theories on a general opinion held by certain individuals who hold the same beliefs she outlines in her opinion piece. In fact that opinion might be held by people who would not fall into the ‘boomer’ demographic. It could be someone in their 40’s who might hold that opinion. They would not be ‘boomers’. A free and open society encourages ‘critical thinking’ and the expression of views. Why attach the word ‘bullying’? The implication when that term is applied is that any discussion is based on mean spirit or an attempt to bring others down. Wasn’t her analysis more a long the lines of explaining what is more or less a ‘cultural divide of generations’? Things that matter to Boomers might not hold the same importance to other generations and vice a versa? Can’t everyone just agree to disagree and enjoy their differences? Isn’t living well the best revenge? Seems to me that taking all that hard earned & saved money and financial freedom and living your life of adventure and freedom from Boomer leg irons should be enough.
But the impression I am left with is that you have an axe to grind. Forget the Boomers. They are busy with their Boomer lives and values, riding their motorcycles, living their decadent lives, etc. Go count your money and selfies. Everyone will be happier for it.
Hey Fire whatever,
My dad gave me 2 lessons.
1. Never show how much you have.
2. Never show off.
You have broken both of my dad’s rules.
So begone?
The font on their blog is terrible. Looks like something from a 1970s computer.
#118 Shawn on 05.20.16 at 10:30 pm
When confronted with a story of financial success, wise people applaud and try to learn something. But most people sniff and state reasons why they don’t believe the story or how it is not possible for them. And, not coincidently, most people never achieve financial independence.
=====================================
THANK YOU. This is the single most baffling reaction from people we see. I don’t attack Warren Buffett, I read his books. Why people do the former I will never understand.
The irony dripping from this millennial’ rant is hilarious.
“Corporations are bad! They have no loyalty to employees and only care about making a buck for shareholders!!” Ummm…your whole premise is investing in the market to make passive income to attain financial freedom…where do you think the magic dividends/dividends/growth is coming from?? Did Garth compose your portfolio of only socially conscious non profits?
“Boomers are so mean to us, calling us selfish and narcissistic!” You created a website to tell the world how awesome your life is. The main message is telling millennialis that they too can have an awesome life themselves, travelling the world and doing whatever they want without working like a b*tch…i.e. Focus on their own life enjoyment. And how many friggin times has Firecracker’s responses in these comments included invitations to come to her awesome site?
Kudos on the achievement nonetheless, can’t knock you for being able to amass that amount of wealth in such a short period of time.
#124 genbizx on 05.20.16 at 10:36 pm
Throughout history people have had great ideas and have created some very impressive things..all without the need to tell us about it in a video clip with the current “i’m gonna change the world” theme music..
=====================================
I tried the video with my “everyone’s screwed, let’s just all kill ourselves” theme music but it just DID not work.
#130
Typical Canadian response to someone being successful!
#129 I’m stupid on 05.20.16 at 10:43 pm
You naive child… It’s not about money with kids. It’s about time and stability. How can you travel when your 7 year old is in school?
=====================================
Military kids don’t have stability and they turn out just fine. Besides, I’m not advocating for Digital Nomadism. I’m advocating for Financial Independence. Nobody said you have to come travel in Thailand with me. But you deserve to have a CHOICE.
#130 Metaxa on 05.20.16 at 10:45 pm
Is no one happy for these two?
Post after post of flung crap, accusations, comments on appearance, etc. Misogyny even!Sexism, its all there.
=====================================
Thank you for riding to our rescue, but it’s the Internet. What can you do? :shrug:
#131 Mark on 05.20.16 at 10:46 pm
It will likely be many years, if ever, before high school dropouts can make $100k/year doing 84 hour weeks driving water trucks to fracking sites. Those days are gone with the oceans of oilfield labour.
=====================================
Exactly. High paying jobs that require little skill don’t last forever. Turn it into a perpetual income machine. I’m glad we agree.
I’m having a hard time buying what your selling FIRECracker.
You promote this idea that boomers have it all wrong, yet you hire a boomer to manage your money. Here’s some news for you FIRECracker, Garth isn’t in possession of any secret sauce when it comes to investing in his balanced ETF portfolio. You could do this on your own without giving away his management fee. If its just 100bps, you’re giving away a lot, especially at your age. If you keep paying this fee, over 30% of your potential return will evaporate due to this fee – all for a cheeky Xmas card. Assembling a diversified portfolio of ETFs with low correlation isn’t rocket science. Most people here have figure that out on their own, not to mention many in your cohort. Your repeated promotion of Garth “just have Garth manage your money” is disingenuous. If his portfolio got you 6% compounded over the last 5 years net of fees (unlikely) you clearly wouldn’t have doubled. Good for you for being a good saver, but for gods sakes stop pretending that a balance portfolio of ETFs brought you to where you are today.
Long time reader first time poster.
I’m 34, net worth 1.3M between my personal and corporation. None of it was inherited or made in RE.
I did it by becoming an expert at a niche enterprise software and contracting for big banks. $180/hr & 40 hrs/week. Become a star in tech and big companies will pay you – consistently. In IT 15% of people do 85% of work.
Got married recently, wife is in non-profit with 1/10 my net worth. I love her but hate Toronto RE. About to get a house in 1.2M range in a nice neighborhood.
FML…
#133 Jon B on 05.20.16 at 10:47 pm
Respectfully suggesting a new haircut for Firecracker.
=====================================
My stylist was also my video editor. He’s dead now. You can thank John in Mtl (#139)
Hey Firecracker and Wanderer
You guys were like me, 4 years ago. However, I got here alone. Congrats.
One thing I noticed about the response from others is that the boomers really enjoys saying “A million dollar is not what it used to be.” Or “A million dollar is not enough to retire.”
It’s a passive aggressive form of comment to feel superior. To tell you that they have more in a non bragging way and to put you down a bit from your high. I experienced it myself. A million dollar is a lot and you did it at 31!. It is a lot faster than most boomers.
Congrats, enjoy life for a while. But I can tell you that after 5 years of wandering the earth (with the portfolio increasing by 3x). I kind of want to start something long term. You will too. Keep an eye out for those opportunities.
#134 Bottoms_Up on 05.20.16 at 10:48 pm
I also have a Ph.D., and will earn $2,500,000 over the next 25 years, and will retire with a good pension.
So ya, if I could trade places with these people I wouldn’t. Perfectly content with the life I have created….and I don’t have a financial portfolio.
=====================================
Super. I’m happy for you. You’re all set. But most Millennials don’t have what you have, so if it’s OK with you, I’ld like to help them.
#135 Smoking Man on 05.20.16 at 10:48 pm
They would have more success with the revolution and there own generation had she put on a black tee shirt, bra less of course, that read. “Eat the rich”
=====================================
I was just starting to like you too. Ew.
I agree with your post, blog & video in all ways except in blaming Boomers. Believe it or not, not everyone in that boomer age bracket is the same. In fact some of us chose the same path you’re on. Many years ago. I congratulate you on getting on that track and wish you the best.
Just don’t blame any demographic, nor judge them as ‘the other’, any more than you would any race, religion, nationality,…. You’re better than that.
A lot of ski time, canoe time, hike time, bike time, travel time, a lot of time with friends, a little freelance work, and a lot of pro bono contribution of time and skills to social and environmental causes. Note no mention of mortgages nor salaryman corporate ‘career’. Life’s too good to waste.
#86 Andrew Woburn
regarding REITS, There are a great deal of office vacancies in Vancouver.
We have a law office in downtown Vancouver and used to occupy the entire 5th floor at Pender and Hornby. The old Canada Trust Building.
We are in the Securities business.
Now we have downsized across the street to about 2500 sq ft due to business conditions.
Never mind Calgary, REITS in Canada are facing some challenging times.
#141 BS on 05.20.16 at 11:05 pm
You seem a little bitter about the path you took. You go on about how bad it was going to school and becoming an engineer. Then how bad it was working hard for several years.
=====================================
The bitterness is not towards the path I took, it’s towards the idea that we should all be blindly loyal to our company. Companies will always squeeze their employees to make money. That’s how it works. But that’s why I sought out Garth’s help to become Financially Independent. So I don’t have to be prisoner to that BS anymore.
Sorry, but a not for profit company is not a real company. Be the change you wish to see in the world requires you try harder then that.
This message is basically what Mr. Money Mustache preaches. Its no secret it is all about savings.
#143 Herb on 05.20.16 at 11:09 pm
How much of this growth is due to additional capital contributed by the two of you, and how much was generated by your portfolio? What annual rates of return did your portfolio manager achieve?
=====================================
Multiple people have asked us this question, so we will answer, but rather than misquoting half-remembered numbers off the top of our head, we will write a future post on our blog with all the numbers verified.
#130 Metaxa on 05.20.16 at 10:45 pm
I share your feelings about wealth and having a life.
I see so many who have forgotten that it’s not how much you have but how much you need, and being able “to stop and smell the roses” when you have enough.
Firecracker, have you read “The Drifters” by Michener?
The “Wanderer” should love it.
85 FIRECracker on 05.20.16 at 9:35 pm
By seriously, would a year-by-year breakdown of our
accumulation be interesting to you Blog Dogs?
====================================
Yes please. Just to shut up 80% of the chatter tonight .. or when you posted a few years ago.
But if you feel the need to bow out from the feeding frenzy tonight some of us will understand. I am personally ashamed.
And in a calmer moment, I’m struggling to understand just how much one has to put away to never have to be wage slave again. At whatever age. Really like your post here :
http://www.millennial-revolution.com/invest/how-much-is-enough/
but I’m not sure it covers dealing with all the stuff (house/chattel/cars/children/debt/condos) a person accumulates over a lifetime.
I would really like to know if these guys actually had help from their parents.
Parental money help is a massive advantage, it can determine whether they are paying off debt for a decade or building wealth for a decade. This comparison is unfair and misleading to most people, especially millennials.
#147 IHCTD9 on 05.20.16 at 11:19 pm
Ok, I get it now.
Garth has let firecracker loose on the dogs to try her hand at witty Garthisms in preparation for running her own blog!
Question – is your Dad rich or not? You have been dodging this one…
=====================================
OK, I don’t know why I have to keep answering this. NO, my Dad is not rich, and NO he didn’t give me any money. And neither did my in-laws. My Dad’s basically disowned me for daring to defy his Boomer house-is-the-most-important-thing-ever mantra. Yippee-ki-fucking-yay.
And I don’t know where this conspiracy theory came from. Garth hosted our story because he’s a part of it. Please put away your tin foil hats.
Blog dogs being turned into sheep
Interesting!
#152 young mom of 3 on 05.20.16 at 11:28 pm
Travel with kids quickly turns expensive too (if you’re going by plane).
=====================================
Again, http://www.gocurrycracker.com/ did it with a kid. I can ask him to do a guest post if that would assuage your fears…
Wanderer wont show. Thinking those myths about Asian men might be true, I could be wrong. but if I looked down and saw nothing, I would not be taken on Smokey.
Smoking Man, your posts tonight insult my intelligence and expose yours for what it truly is.
Sexist, racist and vapid…you are a fraud and a bully.
Engage me asshole, leave the lady be.
Or is it women you need to berate on the Internet to get you jollies
Congrats FIRECracker! It will be liberty 40 for me, even with a PhD and a kid.
#140 FIRECracker on 05.20.16 at 10:57 pm
Who said anything about having our entire portfolio in the stock market? Didn’t Garth teach you about REITs? Or a balanced diversified portfolio? Do…you…even read what he writes?!?
—–
Hey Genius, REITs are stocks…baskets of stocks, so is just about every other ETF out there. Congrats, you have all paper and nothing else. You should have checked that little factoid before you made your condescending video.
I call BS. So you became millionaires at 31 after saving 500k by 26. How did you save 500k by 26 when you were, by your own words, in jobs going nowhere and only 4 years out of school? Something really doesn’t add up.
Also, 500k to 1M in 4 years means an 18% annual rate of return… from 2011 to 2016, the only way to to have done that is via ponzi scheme.
Renting is great. Until you have a family and the landlord comes to you and says he/she is selling your unit. Maybe you lived in an apartment? That won’t last long after you have kids… lugging dirty diapers and baby clothes down to the laundry room is not an option.
If it’s all true, good for you. If not, well…
#60 FIRECracker on 05.20.16 at 8:52 pm
#23 BOOM! on 05.20.16 at 7:32 pm
Congratulations!!
A Boomer here, and you did at 31 what it took us to 61 to achieve.
=====================================
Can you be my Dad?
////////////////////////////////////
Back off bitch, he was my blog dad long before he was yours.
Get yourself another one….I suggest Joking Man,get him a new toothbrush for Father’s Day…
M41BC
Retire at 31? I can’t imagine a worse fate… That’s like being unemployed.
Anyway, this was a poorly formulated entry Garth, I don’t know if you’re bragging or paraphrasing the self-aggrandizing language of the two Millennial shits.
Its only the millennials in Canada that think buying a house is the right thing to do. In the rest of the world the millennials can think and get most things right but like here in this country they too are lazy and have no initiative.
Hey The Wanderer and FIRECracker… you’ve obviously made it financially and have freedom in today’s society. But how would you feel in about a decade if Canada starts giving out Guaranteed Basic Income to everyone? Would you be jealous that everyone gets freedom without having to put in a decade of work?
What about in 20 years when the economy is transformed from one of scarcity to one of abundance? In that brave new world, money will cease to be off any value, for everyone will have all they need. How would you feel at the point that your money becomes worthless?
Now, don’t argue whether or not these two scenarios are going to come to pass… the former may not, but the latter is inevitable. Either that, or humans won’t be at the top of the ecosystem anymore…
First of all good on yah. I’m a millennial with a hefty stack too – started saving late but savagely efficient about it now.
Do you think that the returns you guys got from your investments (2011-2016) are typical? Or that perhaps your good sense and hard work was leveraged by coinciding perfectly with the QE Bull? Just a thought.
Do you think a sizable portion of your target audience are as hung up on this whack ‘Boomers vs Millennials’ narrative as you? To me its an extraneous sideshow, an eyesore in fact.
Finally, don’t neglect to discuss that your success has been built on sacrifice. Without some candid disclosure of the true price of your stack (ie, the roaring fun nights out living loose high and wild, which you declined in favor of another night in playing scrabble/watching a movie etc etc, and the resultant void in which less fiscally disciplined tearaways nourish a trove of debauched memories), your message loses credibility, and becomes less real.
Once again though good job, and spread the good word.
“But I think it’s pretty foolish to think 2 people can retire at 31 with only a million bucks. Even at Garth’s 6% that’s only $60,000 a year now and 30 years from now with 2% inflation that will be less than $30,000 a year in today’s money. A better goal for a 31 year old is north of 2 million. About 2 million plus a house or additional investments beyond 2 million that can pay the rent.
A million dollars just isn’t a lot of money these days.”
Because people stop investing after they reach their financial independence goal; especially if Garth is handling their accounts. Yeah, right.
I’m in a similar situation as Firecracker. Engineering / Finance jobs, saved like nuts, not we are in early 30’s approaching 7 figure portfolio… I don’t understand people saying it’s not possible?
But what I don’t understand is how they retire on that. I’m more cautious, planning to stop working early 40’s, with at least $2m… So gotta keep working! lol
#75 FIRECracker
Thanks for responding to one of my posts, but a million isn’t going to do it kid. For sure in 1960, maybe in 1980, but not in 2016.
You need more money than you think. Don’t retire yet.
Garth gave you free reign today but that is not the same thing as him saying you know-it-all. You need more money. Especially retiring at your age. That is why he turned you over to the blog dogs.
Turned off my Friday night Netflix to tune into tonights Garth channel.
Crackers’ even got Smokey mad and at a loss for words for once. This is awesome!
Congrats firecracker, you rock!
Nee how from Taipei. Welcome to the club. I’m Gen X, so can’t really relate to either Boomers or Millennials, whiny or not. Had to smile wryly at the self-promotion of the same thing I accomplished years ago without fanfare. Yours is one approach, I suppose.
So let’s recap. Saving scrupulously and investing with compound returns can make one wealthy. Who knew? ;-)
I’m torn. I know I’m supposed to be impressed, but if anything I’m more DEpressed, that people choosing to live within their means are such outliers that it actually causes a stir.
Be careful what you wish for though. You may find it more difficult to find your next mountain to climb than you think. Flitting around the world does get old, and not struggling for money leaves a hole that needs to be filled by something.
Incidentally, for a duo of which one apparently has a tech background, your site is not loading correctly. This is what it looks like from TPE (70mb/s connection so I don’t think bandwidth is the problem lol).
http://s32.postimg.org/pvhs3xc79/brokensite.jpg
I AM curious as to why – if they are truly “digital nomads” – do they use a Canadian advisor and get dinged for Canadian taxes? Yeah, yeah, I know, I’m sure the portfolio is arranged to be as tax-friendly as possible. But domicile it offshore and as long as you’re non-resident it’s tax-free, as in beer.
Try it, you’ll like it. The only danger is you may realize you never want to set foot in Canada for more than 183 days/year ever again…
FIREcracker taught me a lot today. I love my Freedom First lifestyle a lot more as a result. Just as importantly I learned that I am a far smarter, wiser, classier, humble, and more aware man than I realized.
I thought I would add some comments that may be helpful in supporting decisions some readers have already made. Too often, people just want to be right and confirm their own beliefs and actions. Having failed often in investing, I decided a long time ago to build my own companies at the same time we built our lives. It’s been difficult but far more rewarding than the govenrment job I was destined to do til 65.
I have never been a fan of Mutual Funds, ETFs or any Bonds but they let you sleep at night if that’s what you need. I hate management fees. If I am paying 2.5%, I better be making a decent ROI. Barometer Funds meets that criteria. Have a look.
Real Estate – This is your silent partner – equity in Real Estate. Let’s face it, you have to live somewhere, so why not own? I’ve owned houses since 1998. It’s practical. People think too much about it. Just buy, put on a mortgage helper and then use your equity to look at long term plays. But wait, you don’t have to be totally boring….
My biggest success (and failure) has been in the junior mining stocks. One returned 4000% and I owned a healthy chunk and sold it in 2011. The trend I was following at the time was copper and China. Since then, It’s been bad for most juniors – in fact, I had to sell a company I built and I lost a ton of money. But now, there is a new wave of investors investing in the future and there is a real bottom that has been set in the TSXV index below 600 and a nice bounce. The trend is early and there is opportunity.
This year, I have watched lithium stocks such as LIX, NMX and CRE move 400%+ and our company Lomiko (TSXV: LMR) has joined in with both lithium and graphite properties – we hope we have the same success. Lithium and graphite are the base minerals for the Li-ion battery, touted to be the power source of the mobile power storage boom. Think electric vehicles, cell phones, etc.
As the Vancouver Real Estate market has shown us, the trend is your friend and a market, much like the wave at hockey game, fueled by drunken fans looking for a good time, can go on much longer than expected. I am waiting for it to end though. And I will be there to buy in again when it corrects. Using the bank’s money and our own equity.
So there you go – I hope that helps.
Not sure why this comment section turned into a pissing match. Fire cracker, congratulations on your freedom. Most don’t know what true freedom is so they can’t relate. They say things like “Happy Friday” and “Can’t wait for the weekend” not realizing that time is the ultimate commodity. And good on you for trail blazing. A few small changes here or there and I would probably be with you. Will continue to press to make up for lost time. Would love to view your portfolio growth for comparison. Happy travels.
FIRECracker & Wanderer,
Well done you two.
Don’t mind the contankerous, curmudgeon, condescending, creepy Boomers. They’re just pissed because all they see are thirsty underwear on the horizon. Their lives are spent…and when they look in the rear-view mirror they bemoan the fact that they followed the status quo and only have one asset to rely on, their house, to take them into the future…
Me? I’m not quite a millenial…I’m 39…so…late Gen Y’er?
I totally respect what you are doing. Your style is your schtick and it works. It worked for RichJerk as well…although he became popular some 12 years ago. He was abbrasive and was not apologetic and did f*ckn fantastic as a result.
When I had just one child in tow…age 28…I got into all sorts of online businesses. By age 31 I too had acquired a cool Mill…ad spend was $150k per month…it was a great life…still tinker in it a bit.
You’re right, kids aren’t “money sinks” unless you allow that to happen…wise words for someone who hasn’t had kids yet. My advice?
Don’t listen to the Boomers…just look where they are…and the ones who did “make it” did it on the backs of the younger generations…that’s why they are so pissed that you are pushing back.
Pre kids…work your asses off…create, invent, test, take chances, diversify further, explore, travel, talk to like minded people and expand…both monetarily and mentally…
I see a lot of my wife and I in you guys 10 years back…it gives me hope that there are others out there, like you, who are willing to “break the mold” and do what it takes to succeed.
I might reach out to you on your contact form…there may be a possibility for collab…
Cheers.
Great story, FIRECracker, I really admire your ability to buck the trend and to share your story to show others that there are options beyond following the prescribed study hard – work yourself to death – consume – buy a house – have kids – consume – continue to work yourself to death – consume – retire – consume – die wishing you’d worked less and spent more time with the people you care about and on developing yourself and community for the better.
You’ve been able to buy the most precious resource of all – time, and the freedom to spend it doing things that make you happy (and that likely benefit the world more deeply than what you were doing during your 60 hour work weeks)! I don’t understand how people can begrudge you for this.
I’m also in my early 30’s and think that the system is sick. I hope it will change for the better and expectations of millennials will force better balance, but fear this won’t happen soon enough.
My question to Garth would be – is it safe to assume that you can withdraw 3% from an investment portfolio over the long-term (ie. 50 years)? With world growth slowing, and the value of the Canadian dollar likely to erode, I would want a substantial safely cushion before deciding to throw in the career towel at 30 or 40…
Best wishes to you, FIRECracker!
Firecracker and Wanderer:
You two are awesome. Live it, love it. All the best in your amazing journey!
A million dollars and plenty of youth to boot? A long road ahead with opportunities galore to be harvested?
Absolutely priceless.
When you don’t ALLOW yourself to submerge in debt, those avoided interest payments and savings all migrate into your coffers and not to banks.
Becoming rich is a choice. Moaning and spraying vitriol is unproductive. Won’t help losers and won’t stop winners from getting rich.
Tangent: Part of a conversation with an idiot:
Idiot: “the TFSA is only good for rich people and middle class families can’t take advantage of it, so it should be reduced.”
Me: Do you really believe that by reducing TFSA contributions you can prevent or reduce the ability of people to get rich if that’s their goal? The rich will always get rich.”
Idiot: Crickets…………
These kids ought to be celebrated. Beautifully done.
And the champagne thing Garth. Class act, as always.
I got a glass of Perrier from my investment advisor.
Happy long weekend dawgies!
There is only one huge issue with this revolution.
There wont be a 6% annual growth as there are more boomers retiring this year which cause working population shrink.
Ironically, this revolution is trying to defy conventional wisdom and yet still fall into the trap of it.
The other thing is that this kind of growth is only possible in tfsa and rrsp where everything is tax free.
The freedom comes from the ability to relocate and find jobs, not some investment income your parents pass on to you.
From yesterday blog:…”Better still, at 6.5% return it will provide you with more than $700 a month income for the rest of your life – money not added to your taxable income”…
Okay Garth…you will slowly succeed to convince me to open an account.
But how can a return of 6.5% is possible? I am septic…
Xgen here. Education is so overrated. The same degree I got received 24 years ago which took me 4 years to achieve now takes at least 7 years to complete. More years of university =more debt.
My spouse doesn’t have post secondary ed, and yet is top percenter.
Congrats on achieving your financial freedom. Determination and avoiding costly mistakes I think are the defining points of success.
Mix in some common sense, and a bit of luck because the decade you invested in was a great return.
But now my crusaders, I ask you this.. if all millennials do what you did, who will be left to push the cart?
Social responsibility comes with a price. Work at changing perceptions but don’t try to reinvent the wheel.
Mic drop.
They think they’re special and want to start a movement ?
LOL !!!
I figured out what they did around 13 years ago. Didn’t need to pay an “investment advisor” to help me get there either.
Well done you two!
You are part of the growing cohort of FI/RE folks I’ve discovered on the Internet. Most are US based but quite a few are in the UK. You are the second such couple I have seen in Canada. Mr. Frugal Toque is the other.
You are lucky to be a partnership, not only in income generation but also in attitude. Cherish your good luck.
You have given yourselves the greatest gift any retiree can have – the gift of time. I hope you will both continue to live intentionally and make a difference in the lives of those around you.
I am one of the oldest boomers and my daughter is a Gen X person. I have a few nieces who are Millennials and I think of all of them as delightful people who make this world a better place. Good luck and Godspeed.
FIRECRACKER
My family is trying to do what you are doing.
Is it possible you could give a year by year breakdown of what your portfolio balance looked like?
I want to see the growth and how much extra you guys were putting into the portfolio yearly.
Much appreciated, and congratulations my wife and I envy you guys.
Nice story. Very inspiring. Congratulations on your succes.
Im the same age as you and am also an engineer (partner in my own firm). Although I respect your acheivements, your general attitude and demeanor stinks. Why be so divisive and negative towards others who have taken a different path? Your attitude is typical of our generation – whiny, self absorbed and blaming others for their problems.
The reason many people are wearing earbuds or headphones almost always (eg in grocery store) is, they realize how so f***ing boring everyone is (the Schooled). Only acceptable topics these days are price of your house, last vacation spot, your current Netflix binge watching, or last night’s game.
I’m serious.
it takes a strong will and the ability to think critically to be a contrarian – not everyone can do it hence the 1% and or folks like Firecracker.
people fall for the RE dream and or into conventional lifestyles that they never wanted just because. It is causal, bad decisions lead to bad outcomes which compound overtime.
some people spend a lifetime saying “I wish I could…” some people go out and do it. There will always be less doers, thats just life.
with automation accelerating and eliminating traditional labour, unless you have certain skills things will get very ugly in the next decade in Canada. I think we are heading towards a country with an extreme barbell of wealth, things will only get worse for those who have been successful, as political parties will take the populist route. People love free shit, and if you promise them things you get support, despite the fact that policy in Canada has eliminated any incentive to take risk, innovate and be entrepreneurial.
when teachers (part time workers really if you think about it) and public sector workers with gold plated pensions and 100% job security start outearning the private sector, thats the fast lane towards perpetually low growth or a brain drain of talent to other countries that offer opportunities to risk takers.
And Hippies were not iconoclasts but a product of a much larger and very successful mind control campaign- with new impressive music programming and drugs – to turn men into effete passive long haired idiots. To destroy the concept of family. The short hairs faired no better, they got sent to die in the jungles.
M40ON
Smoking man etc Showing off one’s body in a video is not sexist. I’ve been going heavy to the gym for 1.5 yrs now ramping it up and it shows. At age 40 (I look 35 due to youthful face) to keep my “SMV” up there.
Every-increasing weights including legs at gym. I feel better, confidence and fill out my clothes better. I’m a guy but if was a girl I’d show what I got…let it all hang out whenever possible.
M40ON
#4 Toothless Measures on 05.20.16 at 6:57 pm
As far as tax evasion goes, the middle class views failure to report rental income from these helpers as victimless as so few actually report it.
I suggest those that want to own should start tracking down the addresses on craigslist of basement suites and soliciting information about the landlords and past rental history by being prospective tenants. Or cross referencing rental ad information with readily available online address sources and then reporting them to the CRA.
Or for those that have neighbours that have the suites, whether legal or illegal, can call in information to the CRA as well. There is an anonymous CRA Information line that you can call to report those suspected of not paying their income tax
Why not start an online database of basement suites and leak it to the public Panama papers style….then go after airbnb, craiglist, etcetc .you’d be a rock star for sure bub…
The FIREcracker is correct. However, the key to making it all work is to have some sort of income generating method IN THE FIRST PLACE. The difficult part is figuring out how to do that. In order to save $250K (I assume her friend saved the other $250K to make it $500K) by your late twenties, you’d have to be making a pretty decent income and have very low expenses (i.e., living with parents or renting a shithole in a slum). Nevertheless, if one finds themselves in a position to be able to do that, then it is a smart idea. And it will work. However, it is misleading to tell the millenials that it will be a cakewalk to simply “follow their dreams”. They will have to save their million bucks first, by 30 years old. THEN, they can follow their dreams. First, they’ll have to figure out how to get a trade, or profession, or start a unique business for something in high demand with little competition, or get a great high paying job. Then save their income like a madman (i.e., no lattes, bottle service, clubbing, high fee iPhone plans, restaurants, expensive cars, high rents, etc.). If one can be disciplined enough to do that, then, yes, it’s a noble ideal and a worthwhile goal! Check out the Mister Money Mustache blog. It lays out the entire plan step by step. It’s written by someone who has done it. Coincidentally, he was also an engineer that packed it in early (by age 30). http://www.mrmoneymustache.com
I am 56 and am planning to bail in a year. Not 31 years old, but not waiting until 65 either. Good Luck!
Whiny and pompous. Never heard that before from a Boomer.
Actually I find the tone of your blog whiny and pompous as well, and I’m a millennial.
You have some good and important messages. But it’s laced with angry, anti-boomer stuff that is non-productive. You have not discovered something new or even interesting here. Inter-generational angst is as old as the hills. Every single generation has thought the same about their kids, and the kids about the parents. Boomers had it no easier or harder than you do, just DIFFERENT.
I’d be more inclined to follow your blog if you focused less on the anti old-guy-ism and more on those differences that really do matter, like choices about life and work, the real issues with the housing craze, employment security, our obsession with material things, etc.
But I can do without all the “Im young and different, hear me roar” stuff. Not interesting.
(PS, I read most of your posts and as for your million dollar portfolio, it sounds like, in addition to your own sensible saving and spending habits, you also have your “stupid” Boomer parents to thank for “forcing” you into an unhappy career that just happened to be highly in demand, and one in which you could earn those figures. Just saying)
#145 BOOM
“Tonights entries STILL contain a taste of unbelief, criticism, and jealous hate…UNBELIEVEABLE!!!
FIRECRACKER – forgive them, they know NOT what they do..”
———————————————–
My thoughts exactly.
Good marketing Firecracker! Congratulations on your success and investments with Garth.
Just wondering what are your dad and mom’s profession and are they multi-millionaires? Doesn’t matter if you inherited, there are other factors. Do you or your husband have siblings?
Why?
My wife and I were born in dirt poverty and we had so many health and financial challenges that we barely survived. Food on the table, clothes on our backs and 3 and 4 siblings. Three out of 4 parents depressed and overworked. Parents without education. Personally my father did not know how to read, write or express himself. Also I inherited certain mental health problems.
I now know what it takes to be financially independent. If you study at university, you must choose a professional career: engineering , Doctor, lawyer, accountant. Also like you did you must save early, lots of money and invest. You must know the income tax laws. Ask for help. So Garth and you have the right ideas.
Again congrats, you did a great job!
Knew a gal named Firecracka once….twas a great dancer indeed…..especially if there was brass pole in da room!
Good work the both of you. You were fortunate to have good advice. I think any resentment is mean spirited and unwarranted. My wife and I are older but in the same financial position as you two. We really appreciate having control of our time. And we have the option of truly engaging with those in need to help them.
#185 Metaxa on 05.21.16 at 12:54 am
Wanderer wont show. Thinking those myths about Asian men might be true, I could be wrong. but if I looked down and saw nothing, I would not be taken on Smokey.
Smoking Man, your posts tonight insult my intelligence and expose yours for what it truly is.
Sexist, racist and vapid…you are a fraud and a bully.
Engage me asshole, leave the lady be.
Or is it women you need to berate on the Internet to get you jollies
……….
Racist? not a chance I adore all chic equaly. So long as they are between 120 lbs to 190 lbs. And betwwen 25 and 65 years old.That’s my range.
Sexist yes. Absolutely. Not ashamed of it.
No matter how much culture trys to mind fk me. Mold me onto a fluffy feminist it will never happen.
No matter how smart, how successful a chic is. I can’t get past the curves to even give a shit about the other attributes.
I’m a Super Sexist. Proud of it too.
#188 RowdyRoddy,
“Renting is great. Until you have a family and the landlord comes to you and says he/she is selling your unit.”
Risks on both sides, for some the banks will give notice in a letter written by a lawyer delivered by a person in the best attire that they are foreclosing. Debt can be explosive if not handled with care.
Congrats. Success, mastery in anything takes time (7 years focused effort). Firecracker/wanderer have mastered saving. Invested time and $$ in quality investment advice. Thank You Garth.
I use the Hill Anology ( I like to cycle, there are many hills). To many the hill represents your life. There is a beginning, uphill grade, top, plateau, and downhill,
bottom. For the two of you. There was a steep uphill grade immediately, you tackled it(jumped the valley of excuses), did not stop, focused on the top of hill. Made it to the top (struggled, enjoyed the grind, pain). Once at the top, it’s easy. You can stay or head back down.
Live your dream, not your parents dream.
Good Luck
PB43
Great post! I like to read different perspectives.
Glad to see others succeed. Wish them the best!
But I find it odd how people still think they are inventing; don’t spend more than you earn, invest what you save.
This blog and http://www.mrmoneymustache.com are way ahead of them in terms of sharing strategies and methods to independent wealth.
But I guess if you make an edgy “rage against the machine” fisty thing, it makes these ideas cool and slightly more marketable to their peer group. If it gets the message across to a wider group of people, this is a good thing.
As a 42 year old who already walked the path, it is really fun to see others succeed as well.
There is nothing wrong with the way the world works. You just need to try and understand it and establish your place.
RE was awesome to me. Buying in 1997 as a 24 year old built the basis of my nest egg. But the fundamentals were much different then. Debt ratios, interest costs, house values. It was a different market.
These kids missed the 2008 financial crash. If they started the same portfolio in 2004 would they be millionaires in the same timeframe?
Save your pennies and keep your eyes open for opportunity…lots of good ideas out there.
I guess my only hack is the too cool to work thing. I get what they are trying to say, but there are many good jobs out there…the secret is how to find them…maybe I should start a blog?
meh. Too lazy.
#214 pretentious hipster bicycles on 05.21.16 at 8:53 am
Nice story. Very inspiring. Congratulations on your succes.
Im the same age as you and am also an engineer (partner in my own firm). Although I respect your acheivements, your general attitude and demeanor stinks. Why be so divisive and negative towards others who have taken a different path? Your attitude is typical of our generation – whiny, self absorbed and blaming others for their problems.
———
I have to agree, that vid was hard to watch. Not to mention every issue she said all millennials faced actually are only faced by urban millennials. I get the feeling her and the hubby might have been mugged by a wrinkly with a heat treated titanium walker somewhere along the line.
I have some advice for the Wanderer:
Buddy, she sounds and looks a bit angry, and maybe a little immature for her age. Don’t forget what the laws are, don’t forget what the probability is, and remember that you will surely lose one way or the other if the SHTF.
That could be you on the receiving end of all those F-bombs 5-10 years from now…
#172 FIRECracker on 05.21.16 at 12:24 am
#135 Smoking Man on 05.20.16 at 10:48 pm
They would have more success with the revolution and there own generation had she put on a black tee shirt, bra less of course, that read. “Eat the rich”
=====================================
I was just starting to like you too. Ew.
…………………………..
Dear god, rejected by FIRECracker I shall now find a bridge to jump off.
By the end of the evening and my power drinking at Seneca your definition of loathing should reach a new low…
Get that ball gag out of Wonderer’s mouth, ask him to remove the pink shirt and bring him into the dog pen. I have some questions for him.
This reminds me of the movie “Dead Poets Society” and the classic line:
“Carpe Diem – Seize the day, make your lives extraordinary”
A lot of people talk/think about it, but you two are living it. You both should be rightfully proud for living your life to the fullest.
Society pushes us all to fall into line and that’s what makes it so hard to take a different path – one that is aligned with what is really important to us as individuals. There are likely a lot of people who wish they had the emotional strength to take that path, but are simply unable to pull away. I know first-hand. For some the conventional approach is what is important to them and that is okay too.
Many of us blog dogs understand the challenges you face. It is near impossible to have a conversation with someone who’s views are so ingrained with the conventional rules. This applies to boomers, millennials and everything in between, in my experience.
Watch your expectations, this could be a painfully slow process to change deeply ingrained views, with disappoints along the way and in the end many, if not most, will never open their minds. Look no further than Garth, he muses of late about his message failing and packing in this blog.
Fun stuff. You definitely haven’t retired. You just didn’t like being chained down.. So fantastic. Geez Garth’s helping you launch a blog to attract ads for some income. He liked your chiczpah.. Don’t get the boomer bashing ..kinda whiny….. you asked a boomer to teach you how to invest!
Firecracker, I’m genuinely happy for you but I asked you a question (about coding). Lots of people have asked you questions yet the same response is to direct us to your blog. It seems you don’t want to give, you want to get……traffic on your blog.
You’re bright enough to know how things work. You have to give without expecting a return. Sometimes giving 5-10 times and maybe, accidentally, getting something in return.
The hook is there. People are interested, but if someone asks you a question on here, try to answer it without trying to get people to go to your blog. Give people what they want. If you can’t do that interest dissipates and you’re not living up to your claim of servitude. Stop trying to get. You said your mission is to give. I see a conflict between the message and the intention.
Smokey’s right. It’s the education system. It trains young people to think they don’t have a choice. Boomer parents reinforce this because they were taught the same thing. Part of growing up and becoming an adult is realizing that everything in your life is a choice. The fact that Firecracker and the Wanderer didn’t realize this until their 30’s is not a good thing (I’m not criticizing; it took me even longer). The fact that they have to blog about it so other Millennials learn sooner is a huge indictment of our society. Still, reaching what they feel is financial independence for them at 31 is amazing and they should be congratulated for it, not criticized or picked apart or brought down. So, congratulations! I also think your blog is more of what the world needs, so good luck with that endeavour. Just don’t let the bastards grind you down, and remember that “Great spirits have always encountered violent opposition from mediocre minds.”
you’ve plugged the blog. Everyone knows. We’re interacting here, now, with you……and you’re just plugging the blog more. This isn’t a Q and A at all. It’s ask a question and you’ll each get a different avenue to the same destination. The blog.
#181 jhobo on 05.21.16 at 12:46 am
”I would really like to know if these guys actually had help from their parents.
Parental money help is a massive advantage, it can determine whether they are paying off debt for a decade or building wealth for a decade. This comparison is unfair and misleading to most people, especially millennials.”
They’ve already answered this question. Go back and read the posts.
I am curious what your average annual growth percentage was for the past five years on the funds you invested. I take it that in going from 500k$ to 1m$ you kept adding principal to the investment portfolio at much the same rate as before, as opposed to all of that being gains from investment. As you may know, according to the efficient market hypothesis, ultimately investments fluctuate according to a lognormal probability distribution around the trend line that is the risk-free interest rate. With the latter having been low for years, one cannot expect much growth year over year, if that happened it is largely due to a fluke and it will even out again over the longer term. Factoring inflation, this means that average growth cannot be expected to be more than 3 percent or such. Crazy monetary policies in the past years have meant higher returns for many of us, but only if you invested in the right markets, which could easily have gone down. So, what were your investments?
#203 Dave on 05.21.16 at 5:26 am
FIRECracker & Wanderer,
Well done you two.
Don’t mind the contankerous, curmudgeon, condescending, creepy Boomers. They’re just pissed because all they see are thirsty underwear on the horizon. Their lives are spent…and when they look in the rear-view mirror they bemoan the fact that they followed the status quo and only have one asset to rely on, their house, to take them into the future…
Me? I’m not quite a millenial…I’m 39…so…late Gen Y’er?
/////////////////////////////////////
Hey Dave ,I’m pretty sure you are Gen X.
Also Turnernation M40ON ,good to see you use your GAP code ,I knew how old you were because you mentioned it a few times but it was invented for times just like this when a bit of generational banter was going on and just like Dave above,if you are not sure what generation you are from it doesn’t matter.
I will go to the dollar store today and spend some money so your stock prices increase…
M41BC
#201 A.Paul Gill
Just curious what your thoughts are on TKO and CUM in respects to copper plays going forward.
This is awesome. Gen Y & Z are the smartest generation.
They know they’re being sold social snake oil.
The education bubble will collapse.
What was so scary about buying a house? If you can save like crazy to build this portfolio, you could have done the same to pay off your house and then now start investing or done both at the same time.
Since 2012 house prices have doubled across the country. The TSX has given back 5 years of gains in 2016. You have done the heavy lifting building this up by saving like $400k, the market hasnt done much for you by my calculation. A house would have given you tax free capital gains.
I am not sure where millennials get their ideas from. When I didnt have a secondary school to attend in my hick town, I had to move 2 hours away. When jobs were scarce after graduation, I had to move 8 hours away. If house prices are stupid but you want to own one, you move to an affordable area.
Congrats to FIREcracker and the Wanderer for their Chutzpah and to Garth for highlighting a non-conventional path to wealth and happiness. I too am an early retiree (43) who sold my Vancouver real estate and invested the proceeds (along with the proceeds of saving 50% of my income over 15 years of work). When you step off the conventional path, a world of opportunity and excitement opens up to you. Don’t knock it ’til you try it dogs!
Another little tid bit for firecracker.
You are so angry about company loyalty, hey thats business buttercup, so suck it up. Nobody owes you a living and if you dont fit the direction of the company and they turf you, thats their right.
If you dont like it go start your own company and I dont mean making apps.
distractions and distractors…
we are being distracted here with firecracker while something more sinister is going on.
“It has been an icon of the lingerie industry for decades, but when Victoria’s Secret recently experimented with not printing the catalog, sales stayed just the same.”
https://www.buzzfeed.com/sapna/bye-victorias-secret-catalog?utm_term=.skOM7NkOP0#.djoMpVBvnq
Let me see if I’ve got this right:
-Use heavily tax payer subsidized education in Canada to get job in Sillycon Valley.
– Save and invest in the CDN Gov’t fueled system to build wealth
– stick it to the system that made you wealthy
– lead others to to same and eventually bankrupt the system.
I love it!
We had 2 of these at the office. Early 30s married $100k+ Engineer salaries each. Saved and then quit work to travel. Blogged about it too. How original. 5 years later they are broke, but now can’t find jobs in the oil patch.
Hope $60k per year investment income is enough. And that there are no down years. Imagine your $1 million drops to $800k, and you take out $60k. Down to $740k. The next year is flat. Spend another $60k. It’s easy to see how the million can disappear pretty quickly.
But I suspect there is more to the story in terms of family income or planned inheritance. Just a hunch.
Congrats to the both of you. Finally some fellow millenials who get it about housing (i wonder if they get it politically?)
Anyways..500k-1000k in four years? How…market has been garbage for over a year. There are lots of us who save and invest, me being one, work 7 days a week and save as much as humanly possible yet i am at a tenth of that?
Do you live at home? Did you live at home for a long time?
I know Garth is good…but 100% return over four years is superhuman. Was it just a case of luck? What if you started last year like a few other millennials on here did and got burned?
MF
I am surrender Garth!
I was still looking to buy a condo and having a renter, I made my homework and looks like real estate market is dead (except Vanc/Toronto):
There is 1 condo for sale/18 buyers (a well balance market would be 1/10)
Sellers have to low their asking price and loose money or sell at same price they paid years ago
When they cannot sale they put them in location + the new trend (builder now build for location market) so lots of condo to rent
4% condos are not rent
I am expecting location price will go lower or a war in location will be (as 1 month free rent and offers like that)
74% millennium are not interested to buy RE
Not a nice picture………..
Question:
What happen if one day you want to close your TSFA account and withdraw all the money? Is it possible? Having to pay penalities?
Insurance cover 100k – if you have $$ over 100k can you open another account?
Thank’s
Working and saving is nothing new: members of the ‘greatest generation’ those that survived the depression, world war 2, saved everything. The difference now is how relatively easy wealth is to come by, compared to back then, where competitive wages are so much higher.
People get paid more now, because things cost more.
Things cost more, because wages are so high.
Or credit is so easy.
Stories like this, about so-called ‘radical savers’ unmask the inefficiencies in the system: earn the salary required to buy a $5 coffee, but avoid that cost, and put the $5 into the coffee company instead. Make money off the rest of the crowd who earn enough for a $3 coffee, but aspire to the $5 cup.
That’s a lot more profitable than it was in the day where coffee cost 5 cents, and the wages of the day reflected this.
Radical savers are nothing new, the value of going against the herd has increased, along with the cost of living.
Can you provide a sample 6% dividend portfolio?
@ #231 Smoking Man
*****************************
The Wanderer will never show Smokey..
He is probably to busy folding laundry and giving Firecracker a massage while she posts.
Pretty Obvious who wears the Pants in that Relationship.
Reminds me of the other day when I “Guy” at work was telling me his wife wouldn’t LET him buy something for $30. LOL… He makes twice her salary.
The good news is if Wanderer ever grows a pair he can cut bait. No kids… No house… Take his 50% of the ETF’s and split.
I don’t even try anymore… almost ever “Man” I know is a P-Whipped.. Politically Correct..Wife Suckup.
Wanderer if you can read this…. Split.. Take your half and contact Freedom First. He knows the way! LOL..
#187 not 1st on 05.21.16 at 1:09 am
#140 FIRECracker on 05.20.16 at 10:57 pm
Who said anything about having our entire portfolio in the stock market? Didn’t Garth teach you about REITs? Or a balanced diversified portfolio? Do…you…even read what he writes?!?
—–
Hey Genius, REITs are stocks…baskets of stocks, so is just about every other ETF out there. Congrats, you have all paper and nothing else. You should have checked that little factoid before you made your condescending video.
——————–
That must be the most epic display of the Dunning-Kruger effect I have witnessed in a while. Not 1st no kidding.
Best,
HD
Million by 31?
Most of my buddies your age made that in YVR RE in 6 months sitting on their behinds.
Hope your portfolio Isn’t all in CDN pesos.
20 yrs later and comments are the same. parents help. Inheritance. Disbelief. High salary. Not a big deal. Not really retired. Only difference is I did it 20 yrs ago myself. Was single. Nothing changes.
FIRECracker & Wanderer – my few words to you are, congratulations, and if your idea’s don’t spring out haters on the internet then what you are writing about or accomplishing isn’t important or needed.
Take it as positive feedback.
FIREcracker, first, congratulations on your accomplishments. I am envious.
As a GenX mom of two hard-working, young millenials, I would offer the following: drop the snark. It really doesn’t help convey your message.
You have a viewpoint (not new, reminds me of my late BOOMER, Beatles-listening aunt) which has merit and value. Your viewpoint is not exclusive to your, or your generation. You don’t yet appear to be old enough to recognize this.
Every generation has its struggles, its roadblocks, its advantages over others. Some more struggles than advantages. I cringe when many Millennials complain, when I think of my grandparents who were raised during The Great Depression, only to be sent off to die or be traumatized in WWII. I cringe when I see many Boomers take for granted the long-term employment we Gen Xers were shut out of due to demographics, free trade, etc. I cringe when I see Millennials appear clueless in sourcing information when they have the digital world of knowledge at their fingertips.
If you want to educate successfully, you may want to stop looking down your nose at others, as you seem to claim your Boomer father, and other Boomers, do with your cohort. It truly detracts from your message, and I know my Millennial daughters, who bust their butts to become independent, would disregard your message due to its delivery.
Best of luck with your endeavors.
#254 TRT on 05.21.16 at 12:17 pm
I’m not a boomer hater but the message went over your head. the housing market has been a complete disaster in the GTA/GVR thanks to your idiot generation of leaders whose policies created this mess. These millennials are trying to do the right thing and say F you to your greedy pals who Only lucked out (so far) by said leaders and sh&t policies and absolutely nothing else.
What you think they are going to be bailed out when the whole thing inevitably collapses and the same incompetent leaders try and “save” the market and fail like they do 100% of the time?
MF
# 242 – What was so scary about buying a house? If you can save like crazy to build this portfolio, you could have done the same to pay off your house and then now start investing or done both at the same time.
Alive market are only in Vancouver/Toronto (but too much expensive).
Even foreclosure are selling to a greater fool even higher then the asking price!! Foreclosure???? Banks never loose!
Other places are dead..that’s why some provinces RE prices are beginning to going down..Owners are not able to sale.
Gonkman 252
I don’t even try anymore… almost ever “Man” I know is a P-Whipped.. Politically Correct..Wife Suckup.
////////////////////////////////////////
Fair enough, you’ve got your opinion……here’s mine.
If you disrespect your wife,you after all are disrespecting yourself…
M41BC
Garth,
How about a piece on how best to prepare for a possible Trump presidency?
With Trump and Clinton tied in the polls, it’s definitely a possibility.
Obviously it would be devastating for Canada, so how best to prepare for it?
You should never be blindly loyal to anyone or anything. In life we have relationships with different people and entities. It should always be about you first.
If you are an employee of a company you are getting paid and gaining experience. They are gaining some type of productivity from you they can monetize for more than they pay you. Once something in that relationship changes the relationship will end or the terms need to change.
If you own a business you have a relationship with customers. The customer gets the best value they can find for the service or product you offer and you ideally get the most money the customer is willing and able to pay. Once the customer no longer needs the service or finds a better value they are gone. The business may also decide they no longer want to offer the service or product to that customer because they find a new customer that will pay more.
As a holder of ETFs (stocks and bonds) you give the companies capital and they give you a return. If you can find a better risk adjusted return somewhere else you take your money somewhere else. If the company can find an investor who will accept less for the same capital they will adjust the return.
All of the above is life and capitalism. People just need understand it and make it work for them. Everyone should be looking out for their own interests but at the same time understand they must provide something of value to gain something. The more value you provide the more you gain. What you have learned is providing capital for companies (through ETFs) and getting paid is better than providing your time to get paid. Now you are benefiting from ‘companies squeezing their employees to make money’ rather than being the one squeezed. In other words you have figured out capitalism.
#260 For those about to flop… on 05.21.16 at 1:20 pm
Gonkman 252
I don’t even try anymore… almost ever “Man” I know is a P-Whipped.. Politically Correct..Wife Suckup.
////////////////////////////////////////
Fair enough, you’ve got your opinion……here’s mine.
If you disrespect your wife,you after all are disrespecting yourself…
M41BC
…..
If I disrespect mine she would beat the living crap out of me.
33 years today. ….time flys when your shroweded in all this bliss.
A character in my book is modeled after her. How could I leave her out…
Of course the big difference is they are enjoying the benefits of $1 million portfolio because it pays dividends which increase with the portfolio each year. Likely much of those dividends in USD.
Your friends still live in the same dumpy house and have realized no change is their quality of life or income.
This is AWESOME! I got my bowl of popcorn and am loving it!
Firecracker, if that is really you, your comments have had me laughing for the past hour.
BRAVO
#263 Smoking Man on 05.21.16 at 1:41 pm
#260 For those about to flop… on 05.21.16 at 1:20 pm
Gonkman 252
I don’t even try anymore… almost ever “Man” I know is a P-Whipped.. Politically Correct..Wife Suckup.
////////////////////////////////////////
Fair enough, you’ve got your opinion……here’s mine.
If you disrespect your wife,you after all are disrespecting yourself…
M41BC
…..
If I disrespect mine she would beat the living crap out of me.
33 years today. ….time flys when your shroweded in all this bliss.
A character in my book is modeled after her. How could I leave her out…
/////////////////////////////////////
I am saving up for a gym membership for your wife as I believe she needs to hit you harder to knock some sense into you…
M41BC
#155 Rob on 05.20.16 at 11:35 pm
These two and their ‘message’ make me sick.
====================================
Ah. Drank the Housing Kool-Aid I see. Maybe that’s what making you sick?
#158 No Mercy on 05.20.16 at 11:46 pm
My dad gave me 2 lessons.
1. Never show how much you have.
2. Never show off.
You have broken both of my dad’s rules.
So begone?
====================================
Would you prefer to live in a world where the rich turtle and hide their wealth or reach out and help someone else come with them?
#161 willdaman on 05.20.16 at 11:55 pm
The irony dripping from this millennial’ rant is hilarious.
“Corporations are bad! They have no loyalty to employees and only care about making a buck for shareholders!!” Ummm…your whole premise is investing in the market to make passive income to attain financial freedom…where do you think the magic dividends/dividends/growth is coming from??
====================================
Exactly. Which side would you rather be on? I was an employee and now I’m a shareholder. MUCH better.
Garth, you are always trashing millennials for everything negative from entitlement to the election of T2. You hate them with constant condescending abandon that even angers me, an X’er. What the ?!** makes you buddies all of a sudden and how does she tolerate you?
That being said, I respect her street fighting abilities. Throw crap at her and she throws it back with efficiency. Even Smokey is unhinged.
True colours of the self righteous here are coming out, jealousy, hatred and bitterness. Yes, boomers have only thirsty underwear to look forward to in their future and the millennials are now in control. The revolution is on and I for one am glad to see the ageist old boomer farts on the losing end for once. They’ve never lost before and this is the result.
#167 Ontheledge on 05.21.16 at 12:12 am
Your repeated promotion of Garth “just have Garth manage your money” is disingenuous. … Good for you for being a good saver, but for gods sakes stop pretending that a balance portfolio of ETFs brought you to where you are today.
====================================
Correct, investment gains helped us get to where we are, but it wasn’t a magic bullet. And as for Garth, we’re not promoting, we’re just telling our story and he’s a very important part of it because we came up with this plan together. If it wasn’t for him, we would have bought a house and been miserable.
Hi Firecracker, a Gen-Xer slacker here… Good on you both and all the best! As far as the haters are concerned, forget about ’em as it’s common knowledge that self-loathing losers can’t stand it when somebody else gets ahead. I achieved FI a few years ago after saving 35% of my after-tax income for decades, investing well and living within my means. Now, I’m not yet 50 and call ALL the shots in my life and am loving every minute of it. I don’t bother telling friends and family; it would only breed jealousy and resentment. Onward and upward; life is good.
Cheers and thanks for sharing your excellent story.
#121 FIRECracker on 05.20.16 at 10:33 pm
…”Whiny and pompous. Never heard that before from a Boomer.”
Quelle surprise, to assume that anyone who doesn’t agree with you or maybe has more to say constructively than you is a boomer. Your 15 minutes are up – move on. Oh right you, are already irrelevant….
FIREcracker and Wanderer,
Congrats you two on your achievements without handouts from from the Parents! (My one brother and sister in law are posers…got the RE and late model toys, thanks to family handouts on both sides, yet continue to pat themselves on the back while they survey all around them, “Yup, we’ve done all this ourselves”, the question is while I’m guest at their dining table…home or cabin, can I say BS?
Anyways, back to you…Personally, I don’t think you should be rewriting the secret Recipe as to exactly what stocks you hold…that is between you and Garth your advisor.
What rate do you plan to withdraw? 4%?
BTW I am a boomer, husband planning on retiring next year. We have reached our number…but husband continues to have too much fun at the tax farm. I think we also got very accustomed to travelling the world in business class and the extra fluffed up next egg will help down the road.
Good luck you two, I’ll drink to you in a couple of hours in our sunny back yard, lawn furniture out, warm temperatures, Grey Dog passed out!
While I truly celebrate you, I am a little concerned, about your 1M$ at your age will be enough for the LONG TERM. Pardon my ignorance here…but if you are NOT putting into CPP, can you depend on it when you turn 60?
#260 for those about to flop
Flop, well said! I am impressed! Disrespecting your wife is disrespecting yourself. Thus, I live alone, no common law, no wife, no kids, no grandkids, no alimony, no childcare. I love and respect myself. Common law or marriage today for a man is like giving a woman a loaded gun fully backed by the sjw’s, manginas, feminazis, white knights and the courts. Don’t get me wrong, as I have said before, I have loved all of my girlfriends. To my knowledge, not one of them harbors any resentments towards me. I am a kind and loving specimen of a man. Who also happens to always puts my own Freedom First. Keeps all of the firecrackers at bay. I am Blessed.
#261 White Crock BC on 05.21.16 at 1:31 pm
”Garth,
How about a piece on how best to prepare for a possible Trump presidency?
With Trump and Clinton tied in the polls, it’s definitely a possibility.
Obviously it would be devastating for Canada, so how best to prepare for it?”
Why would it be devastating for Canada? Just curious.
#242 not 1st on 05.21.16 at 11:14 am
”Since 2012 house prices have doubled across the country.”
———————————————————–
Doubled across the country? BS to that. Most markets except Van and To have been flat for the past 8 years.
I just don’t get why FIRECracker would care what older people think, particularly older people who never did anything very interesting (buying a house and sitting on the porch is not a remarkable achievement).
I also don’t get why she would think it is somehow revolutionary to take advantage of existing institutions to generate passive income. That’s more like marrying the machine. And even if it weren’t, putting food on the table is hardly the measure of man. New forms of social organization, new ideas about how to treat each other, scientific discovery and art can all be considered revolutionary. Investing? Not so much.
It’s also unsustainable on a large scale. You can’t have a world where everyone retires at 31 and flies around the world having fun after 20+ years of state funded education. Ten years of labor is not enough to support sixty years of leisure. This only works if other, less fortunate people keep working and producing.
So, all in all, it’s a lucky and a clever accomplishment, but it is in no sense a jumping off point for a revolution.
FIRECracker has a lot of energy and charisma. I would encourage her to read some fundamental economics books, have a good think, and take another stab at revolution.
#168 Workaholic on 05.21.16 at 12:15 am
I love her but hate Toronto RE. About to get a house in 1.2M range in a nice neighborhood.
FML…
====================================
So you’ve won, and you’re deliberately sabotaging yourself even though you know it’s a bad move? :confused:
#170 peter engy on 05.21.16 at 12:19 am
You guys were like me, 4 years ago. However, I got here alone. Congrats.
====================================
Wow that is a great accomplishment. Good for you!
#176 SAM on 05.21.16 at 12:31 am
Sorry, but a not for profit company is not a real company.
====================================
The Red Cross is a non-profit. You gonna crap on them too?
#179 Roial1 on 05.21.16 at 12:43 am
Firecracker, have you read “The Drifters” by Michener?
The “Wanderer” should love it.
====================================
Nope, but I will now! Thx!
#180 ww1 on 05.21.16 at 12:46 am
Yes please. Just to shut up 80% of the chatter tonight .. or when you posted a few years ago.
But if you feel the need to bow out from the feeding frenzy tonight some of us will understand. I am personally ashamed.
====================================
OK, I will write this breakdown and put it into an upcoming post.
And why would we bow out and miss out on all this FUN?
#181 jhobo on 05.21.16 at 12:46 am
I would really like to know if these guys actually had help from their parents.
====================================
As we’ve said before, no. We worked our way through school, and we never accepted any money from our parents. Sorry to disappoint.
#183 Tiger1960 on 05.21.16 at 12:52 am
Blog dogs being turned into sheep
====================================
I find your comment baa-aa-aa-aafling.
#187 not 1st on 05.21.16 at 1:09 am
Hey Genius, REITs are stocks…baskets of stocks, so is just about every other ETF out there.
====================================
REITs are income trusts that own real estate. It’s right there in the name! Looks like we were right, you don’t read this blog.
Interesting topic/conversation but I think a bit too focussed on the “Boomer bashing blame game”.
Boomers bad, stupid, greedy, materialistic.
Millenials smart, educated, more socially environmetally aware, etc.etc.etc.
Please.
Some of my most bling, bling purchasing, Lamborghini driving neighbors are millenials or younger…
Conspicuous consuming A-holes
Firecracker isnt the first person to discover that “her” generation is misunderstood by the elder generation and vice versa.
Congrats on saving the first million before 40.
But as for starting a “revolution” against the materialistic mindset and all the self imposed debt that goes with it……………..
Good luck.
#188 RowdyRoddy on 05.21.16 at 1:13 am
I call BS. So you became millionaires at 31 after saving 500k by 26. How did you save 500k by 26 when you were, by your own words, in jobs going nowhere and only 4 years out of school? Something really doesn’t add up.
====================================
We will post a breakdown on our blog in the near future.
Could we ALL retire at 31? or 41? or 51?
Newcomer on 05.21.16 at 3:40 pm said:
It’s also unsustainable on a large scale. You can’t have a world where everyone retires at 31 and flies around the world having fun after 20+ years of state funded education. Ten years of labor is not enough to support sixty years of leisure. This only works if other, less fortunate people keep working and producing.
*******************************************
What you say is true… for now.
But we may be approaching a situation where in essence the machines do all the work.
In that world everyone might be free of the need to work. The issue then will be how to divide up the goods and services. Clearly owners of the machines will get the biggest slice. Therefore it is wise if not imperative to invest in equities and build up ownership of companies over your life.
Already we have only 66% or so of the so-called workforce that works. Illogically, the workforce includes teenagers and college age kids from 16 years to 24 years as well as actual working age people. The workforce also illogically includes EVERYONE over 65 so as well as those under 65. It includes EVERYONE from 16 to 65 and that means (as far as I know) prisoners, the sick and severely disabled, everyone.
Someday the “machines” will do so much of the work that yes we could have 90% of the people not working.
Also if some people own enough capital to retire at 31, why should they not be free to do it, and guilt free, even if we all cannot? They will live on the fair wages of their capital. In fact let’s applaud it as it frees up a job for someone who actually needs one.
#192 SquareNinja on 05.21.16 at 1:41 am
Hey The Wanderer and FIRECracker… you’ve obviously made it financially and have freedom in today’s society. But how would you feel in about a decade if Canada starts giving out Guaranteed Basic Income to everyone? Would you be jealous that everyone gets freedom without having to put in a decade of work?
====================================
That would be great! Freedom for everyone! Who could be upset about that? But in the likely case that doesn’t happen, we will continue to advocate for our solution.
Egypt air 804 brought down by tall whites.
I let Nectonite Command know of the incident and now there is a high level meeting taking place. These idiot whites don’t know what discretion is anymore.
http://www.inquisitr.com/3118532/ufo-sightings-2016-turkish-pilots-saw-ufo/
Read wiki, they say the lavatory and avionics bay had smoke. Even though no black boxes recovered yet.
https://en.wikipedia.org/wiki/EgyptAir_Flight_804
Congrats Firecracker and Wanderer for your retirement. It’s obvious you’re dominating life. I’ll be following your blog. Hope you post some nice pictures of your adventures.
#193 Rebus on 05.21.16 at 1:42 am
Do you think that the returns you guys got from your investments (2011-2016) are typical?
Do you think a sizable portion of your target audience are as hung up on this whack ‘Boomers vs Millennials’ narrative as you?
Finally, don’t neglect to discuss that your success has been built on sacrifice
====================================
1) All we know is that our costs are now below the dividend yield of the portfolio, so the actual moves of the stock market don’t matter anymore.
2) This point of view came out of our own frustrations, and most of our Millennial friends feel the same way.
3) Sure, there was sacrifice, but we still enjoyed 2 vacations a year and ate out whenever we wanted. It’s not about eating cat food, it’s about watching where our money is going.
#196 nonplused on 05.21.16 at 2:25 am
You need more money than you think. Don’t retire yet.
====================================
We based on our analysis on math and statistics. You based yours on throwing your hands up in the air and going “Meh.”
P.S please don’t build any bridges.
#197 Love My Kia on 05.21.16 at 2:58 am
Turned off my Friday night Netflix to tune into tonights Garth channel.
Crackers’ even got Smokey mad and at a loss for words for once. This is awesome
====================================
We beat Netflix? AWESOME!
#85 FIRECracker on 05.20.16 at 9:35 pm
Yes. I’d like to see a full breaktdown of both income and expenses and what you did to minimize expenses. As much as I’m tired of the Millennial whining myself, I think you’re overselling your current success as an “anyone can do it case.” There are a lot of people who would likely not ever be able to complete an engineering degree and earn as much as you did right out of undergrad, for example.
You also experienced a confluence of opportunities that many might not be able to reproduce simply because of the state of the markets at the time. To sell it as all your own making is a bit cynical.
The general principles you preach are obviously sound. More people, especially Millennials, need to think along those lines. Especially with respect to putting their money in places that will benefit their future rather than current distractions and consumerism crap.
And yes, I’m a Millennial who did a STEM PhD. The pay off takes longer to kick in than doing a B.Eng. that gets one a lucrative software development position, but I’ve even been able to accumulate about $200k of liquid networth by the end of my 20s. Most of that period I was a bloody grad student with a bit of working odd jobs in between degrees. A lot of that money came from lucking out on really cheap rent, living frugally, and winning large scholarships just as the markets tanked, letting me buy stuff on discount that has grown quite nicely. No financial help from parents either.
#198 BillyBob on 05.21.16 at 3:03 am
Be careful what you wish for though. You may find it more difficult to find your next mountain to climb than you think. Flitting around the world does get old, and not struggling for money leaves a hole that needs to be filled by something.
I AM curious as to why – if they are truly “digital nomads” – do they use a Canadian advisor and get dinged for Canadian taxes?
====================================
You realize that is the definition of white whine problems right?
And I have a general 2-part rule about my tax setup:
Rule #1: Don’t piss off the CRA
Rule #2: See Rule #1
And thanks for the screenshot. I will get that fixed.
There is not going to be any millennial revolution unless a real good chunk of millennials actually have the financial horsepower to save like these two do.
That’s not the case obviously. Her unemployed pal with the PHD is a good example. You’re not going to save jack squat as a waiteress or bartender carrying 40+ grand worth of school debt.
There is already a well populated millennial movement that revolves around living basic lives in a cabin out in the bush or starting a “homestead”. This is a lot truer to form than “lets go be millionaires” for most young folks.
If you really want to start a revolution, you’re going to need to appeal to the typical brokeass millennial working a dead end job in a dead economy.
IMHO, the millenials will more or less eventually vote their way into permanent poverty. Too idealistic, no money sense, lack of self esteem, and way too concerned about PC bullshit.
Hopefully the kids of Gen X can fix things up when they get there.
@ #134 Bottoms_Up
I have to agree with you. Unlike Firecracker, I actually really enjoyed most of my 20s even though working 7 days a week for 60+ hours was normal. The projects I was engaged in and my coworkers and mentors made it fun and always interesting. Yes there was stress and bullshit, but I never felt it was a living hell like Firecracker describes in the blog.
And the great thing is that I can keep on doing very interesting science that is now much more application focused that actually will be helping people. This comes with a sizeable paycheque that will be in the six figure range in a few years. Life is pretty good even though I might not be retiring in my early 30s.
… and if I did have several million to retire on comfortably in my early 30s? I’d probably seek projects like the one I’m currently working on, only just work a bit less and not worry about funding as much given the horrendous financial burnrate of biotech. So I’m probably in the right place.
#128 Turner Nation.If you’ve flown, check out when the plane lands, and the pilot allows electronic devices to be turned on, the people around you, with trembling hands,
getting back to their reality.Following the debarkation,
every phone glued to an ear.
Once went to the “wash room” at Pearson,and a guy having a mighty dump, was in a conference call.
Is Wanderer a mute or a cuck?
#203 Dave on 05.21.16 at 5:26 am
I see a lot of my wife and I in you guys 10 years back…it gives me hope that there are others out there, like you, who are willing to “break the mold” and do what it takes to succeed.
=====================================
Thank you. Well said. We will print this out and read it whenever we need motivation.
And please do reach out to us. You sound like our kind of peeps.
At the time of writing there is a little less than 300 comments.
Are you sure you thought this through boss?
Yeah your not doing the chirping,but you have more moderating to do.
I think the most comments I remember was around 450, I’m sure someone will tell me the record.
Dorothy just emailed me and told me what she wants to do with that Firecracker…
M41BC
#204 BanAnna on 05.21.16 at 6:47 am
I’m also in my early 30’s and think that the system is sick. I hope it will change for the better and expectations of millennials will force better balance, but fear this won’t happen soon enough.
My question to Garth would be – is it safe to assume that you can withdraw 3% from an investment portfolio over the long-term (ie. 50 years)?
=====================================
Thank you for the kind words. Garth can answer this question better, but from our own experience 3% is the withdrawal rate we’re using and we’ve found that just the dividend yield on our portfolio can cover that. We harvest the yield to fund our living expenses, watch the capital value grow over time, and rebalance periodically to capture gains. We will never be forced to sell into a bear market, so this will work forever.
First, congrats to firecracker and wanderer. Anybody who can stand there and bellow out “I’ll do it my way!”, makes my day.
Second, I hope I didn’t steal someone else’s name? Let me know if I did.
Third, and most importantly. Would White Crock BC please, please, please answer Ronaldo @276. I admit I’m crazy curious too!
Smoking man I know where those Alien Buds (Nectonites) are going to land. They even have the red carpet treatment.
http://www.town.stpaul.ab.ca/UFO-Landing-Pad
PB43
funny thing is that “wanderer” and “FIREcracker” actually bought 10 condos in Van early 2000s with 5% down on spec and then flipped them as soon as they were built.
getting the 10k down for a 1BR was easy money, then flipping the condos back to market when building was complete .. making FIREcracker rich.
F.I.R.E = FINANCE, INSURANCE, REAL ESTATE
DELETED
#206 maxx on 05.21.16 at 7:07 am
Idiot: “the TFSA is only good for rich people and middle class families can’t take advantage of it, so it should be reduced.”
Me: Do you really believe that by reducing TFSA contributions you can prevent or reduce the ability of people to get rich if that’s their goal? The rich will always get rich.”
Idiot: Crickets…………
=====================================
LOL maxx, I literally JUST had this conversation with a friend of mine. Priceless.
#210 Estrella on 05.21.16 at 8:19 am
But now my crusaders, I ask you this.. if all millennials do what you did, who will be left to push the cart?
Social responsibility comes with a price. Work at changing perceptions but don’t try to reinvent the wheel.
=====================================
Great question. Honestly, I believe that if everyone did this, we’d create a wave of Millennials who would turn from employees into entrepreneurs. Money would shift from the hands of people who inherited it, to the people who are good at managing it. A money meritocracy, if you will. And they would be working towards bettering the world, rather than simply for a pay check.
#213 RentingInGTA on 05.21.16 at 8:48 am
My family is trying to do what you are doing.
Is it possible you could give a year by year breakdown of what your portfolio balance looked like?
=====================================
You betcha. We’re writing it now and will post it on our blog when it’s ready. Thanks!
#214 pretentious hipster bicycles on 05.21.16 at 8:53 am
Although I respect your acheivements, your general attitude and demeanor stinks. Why be so divisive and negative towards others who have taken a different path? Your attitude is typical of our generation – whiny, self absorbed and blaming others for their problems.
=====================================
Huh. So somehow being a Millennial and a Hipster cancel each other out and make a Boomer?!? I’m so confused!
#220 Zen Headspace on 05.21.16 at 9:46 am
It is misleading to tell the millenials that it will be a cakewalk to simply “follow their dreams”. They will have to save their million bucks first, by 30 years old. THEN, they can follow their dreams.
=====================================
Who said it would be a cakewalk? We said get a practical degree, work on your dreams on the side, invest, and become free. I think we’re saying the same thing here…
#223 Luc on 05.21.16 at 10:08 am
Just wondering what are your dad and mom’s profession and are they multi-millionaires? Doesn’t matter if you inherited, there are other factors. Do you or your husband have siblings?
=====================================
My parents are a mechanical engineer and a factory worker. Definitely not multi-millionaires. We came to this country as poor immigrants. And to answer your question, I don’t have any siblings but my husband has 2.
#306 Prairieboy43 on 05.21.16 at 6:41 pm
Smoking man I know where those Alien Buds (Nectonites) are going to land. They even have the red carpet treatment.
http://www.town.stpaul.ab.ca/UFO-Landing-Pad
……
We’ve been here for close to 60 years. 4 of us.
We’ve all developed bad habits.
They would be so ashamed of us back home.
#233 Life among the Stars on 05.21.16 at 10:45 am
Don’t get the boomer bashing ..kinda whiny….. you asked a boomer to teach you how to invest!
=====================================
I appreciate the irony, but Garth is the least Boomer-y Boomer I know, so he’s cool.
Garth, really lit a FIREcracker this weekend!
Enjoy the fireworks Monday folks!
#234 The Original Dave on 05.21.16 at 10:45 am
Firecracker, I’m genuinely happy for you but I asked you a question (about coding). Lots of people have asked you questions yet the same response is to direct us to your blog.
=====================================
I’ve answered any questions I can condense into a few lines. If the format requires a longer response, I’d rather write it up into a proper article and post it for everyone to read. Sorry if that bothers you.
And what coding question are you referring to? How long did it take me to learn how to code? I had an existing article about that, so I linked to it. But if you want me to summarize it one sentence: 5 years in university where I studied Computer Engineering.
Toothless measures:
Most rental suites create a loss if reporting to CRA
Most people that need rental income have large mortgages, high interest payments and house expenses, simple calculation of sq footage of suite vrs total house sq ft, basically not a money maker.
By the time mortgage is paid off people want there privacy back.
#235 Renter’s Revenge! on 05.21.16 at 10:46 am
Smokey’s right. It’s the education system. It trains young people to think they don’t have a choice. The fact that Firecracker and the Wanderer didn’t realize this until their 30’s is not a good thing.
=====================================
Yes. It completely kills me that our education system spends so much time on useless topics while spending NO time teaching people about money. TheWanderer had to study latin for a semester. LATIN.
#238 Question for FireCracker on 05.21.16 at 10:59 am
I am curious what your average annual growth percentage was for the past five years on the funds you invested. I take it that in going from 500k$ to 1m$ you kept adding principal to the investment portfolio at much the same rate as before, as opposed to all of that being gains from investment.
=====================================
Correct, it wasn’t all growth, we did keep adding principal over time, and our assets were invested in low-cost ETFs that tracked stock and bond indexes. We are writing up a year-by-year breakdown and will post it once it’s ready.
#242 not 1st on 05.21.16 at 11:14 am
What was so scary about buying a house? If you can save like crazy to build this portfolio, you could have done the same to pay off your house and then now start investing or done both at the same time.
=====================================
There IS something scary about buying a house when it requires going into nearly a million dollars of debt to do so. In the 1970’s house prices were 2X average family income. If a house near my job went for $250,000 we wouldn’t be having this debate.
#244 not 1st on 05.21.16 at 11:19 am
You are so angry about company loyalty, hey thats business buttercup, so suck it up. Nobody owes you a living and if you don’t fit the direction of the company and they turf you, thats their right.
=====================================
So we’re in agreement. Wait, why are we arguing?
#247 Greg on 05.21.16 at 11:27 am
We had 2 of these at the office. Early 30s married $100k+ Engineer salaries each. Saved and then quit work to travel. Blogged about it too. How original. 5 years later they are broke, but now can’t find jobs in the oil patch.
=====================================
To be fair, now NOBODY can find jobs in the oil patch. At least they got to travel for 5 years.
This is trending number 1 on Nectonite. Fking creative less one world gov types. They don’t get it. It’s all about the bannana and wishing you were home relaxing in an easy boy chair with your loved ones still here.
https://youtu.be/6Tou8-Cz8is
#286 FIRECracker on 05.21.16 at 4:44 pm
REITs are income trusts that own real estate. It’s right there in the name! Looks like we were right, you don’t read this blog.
—-
Trades on an exchange doesn’t it? Then they are stocks/shares/equities – all names for the same thing. In other words, no hard assets that you have any control over. You are naked and dont even know it.
This is hours away.
https://youtu.be/6Tou8-Cz8is
#248 MF on 05.21.16 at 11:42 am
Anyways..500k-1000k in four years? How…market has been garbage for over a year. There are lots of us who save and invest, me being one, work 7 days a week and save as much as humanly possible yet i am at a tenth of that?
Do you live at home? Did you live at home for a long time?
=====================================
No, we didn’t live at home, but we did rent an apartment (NOT a basement) 25 mins subway ride to work for $850 a month. That helped a lot in keeping our cost controlled because we didn’t need a car.
And the investment gains helped, but were not a magic bullet or anything. We kept contributing through those 4 years.
We’re writing up a year-over-year breakdown and will post it on our blog when it’s ready.
#250 Smartalox on 05.21.16 at 11:46 am
Stories like this, about so-called ‘radical savers’ unmask the inefficiencies in the system: earn the salary required to buy a $5 coffee, but avoid that cost, and put the $5 into the coffee company instead. Make money off the rest of the crowd who earn enough for a $3 coffee, but aspire to the $5 cup.
=====================================
Totally agree. It’s so much easier for us to earn enough money to meet our basic needs (food, water, shelter, etc.) than 100 years ago, yet somehow people are still struggling. People are being tricked into spending far more than they need. Happiness is far cheaper than people think.
Firecracker –
travelling with one kid might not be that expensive (esp when younger than 2 y.o. and can sit on your lap). Two or more kids and it really adds up. Looks like curry guy only has one young child?
#256 Bank of Millennial on 05.21.16 at 1:07 pm
FIRECracker & Wanderer – my few words to you are, congratulations, and if your idea’s don’t spring out haters on the internet then what you are writing about or accomplishing isn’t important or needed.
Take it as positive feedback.
=====================================
Oh I do. Haters are the best! Bring it on!
#257 Cdn Mom on 05.21.16 at 1:08 pm
As a GenX mom of two hard-working, young millenials, I would offer the following: drop the snark. It really doesn’t help convey your message.
=====================================
But if I drop the snark, then how will the Boomers know that they suck?
Shit getting hammered my last post should have pointed you to the lion sleeps the night.
So this is what a half million will get you in Vancouver. What a joke. $1000 per s.f. for air space. You’se are so wise not to have bought into this ponzi scheme FireCracker and Wanderer.
http://www.cbc.ca/news/canada/british-columbia/what-can-average-get-you-in-bc-housing-1.3586530
DELETED
When 4 nectonites hit earth
https://youtu.be/_LBmUwi6mEo
Firecracker,you are doing a great public service here.
I am personally benefiting from your advice as I have been constipated the last couple of days and you are giving me the shits…
M41BC
My brother in law told me his daughter’s dog is on anti depressants, twice a day, for barking.
http://www.truthin7minutes.com/stop-dog-barking/
Too my wife of 33 love you
https://youtu.be/1l0xpkk0yaQ
“I would encourage her to read some fundamental economics books, have a good think, and take another stab at revolution.” – Newcomer
#Bravo… #&Let’sNotForgetHistory…
#¡Hasta la victoria siempre!…
https://youtu.be/86LSuXi5TLU
#BonusInsurgentes…
https://youtu.be/a2_eBuhHF5s
FIRECracker u r awesome.
This story is nothing new. Derek Foster, Money Moustache, Couch Potato guy all have done this before.
But then they find out they cant live anywhere cool for $30k a year and then end up chopping wood and growing carrots out in some log cabin in the woods. Glamorous!
Garth may have helped you but I bet dollar to donuts he doesn’t advocate trying living off your dividends for the rest of your life. You didnt work long enough to earn any CPP. Did you keep any company pension? You know the life expectancy of the average millennial is well over 90 yrs. No kids ever? And are you going to scratch and save for another decade to pop away another million so you can actually have a respectable first world income?
You two better go back to the lab again and really think this through.
So I’m touring American in my car. Was welcomed in by some older vets and in service people and regular people. Everyone we meet are friendly.
Garth, have you ridden the tail of the dragon? Dorothy would probably kill you though going on this road. I think some Harleys were trying to set some world record or something. Add in zdayz (why I’m here ) and some other events… yikes.
If you guys want to see spoiled brats check out gold rush rally. I witnessed the bugatti drive in gas flp open and gas cap dangling… the douche should of stayed home without swirling up the cf fenders. Nothing says spoiled like 100m worth of cars in 1000 ft radius. The crappiest car was a m6. My personal favorite was the alpha lambo. I parked besides it for a bit.
#265 Quebec is Great on 05.21.16 at 1:58 pm
This is AWESOME! I got my bowl of popcorn and am loving it!
Firecracker, if that is really you, your comments have had me laughing for the past hour.
BRAVO
=====================================
I aim to please.
The ultimate blogs dogs… barking mad men…people are nuts!
http://www.dailymail.co.uk/news/article-3602177/Puppy-play-definitely-not-sex-TV-documentary-sheds-light-barking-mad-men-enjoy-dressing-dogs.html
#274 Grey Dog on 05.21.16 at 2:54 pm
While I truly celebrate you, I am a little concerned, about your 1M$ at your age will be enough for the LONG TERM. Pardon my ignorance here…but if you are NOT putting into CPP, can you depend on it when you turn 60?
=====================================
Originally, our plan was a 4% withdrawal. This has about a 95% success rate over 30 years. However, once we actually pulled the trigger and started travelling, we realized that the cost of living is WAY inflated in North America compared to nearly anywhere else. We found our costs dropping, to the point that a 3% withdrawal rate is enough.
And that’s not counting any income from our “follow your dreams” money from writing children’s books and coding apps on the beach drops that withdrawal rate down to 2%, which makes it more than sufficient to last forever.
Our message to the Millennials is that retiring is far less scary than the media makes it out to be.
this is a good example of inflation. in the 70s in order to make $1m by 30 u had to be a straight up ballsy entrepreneur. to make $1m in the 90s by 30 u did what i did – u vulched on distressed Canadian real estate. not quite as balsy but still out of the box. to make it to $1m by 30 today all u need is to save and a balanced portfolio. this is why $1m was a huge deal in the 70s, a semi-big deal in the 90s and sort of a rarity deal today. tomorrow? who knows. perhaps just savings will get to $1m. inflation is a bitch.
ppl who made $1m by 30 before the 70s? they were straight up killers
#289 Shawn on 05.21.16 at 4:53 pm
Also if some people own enough capital to retire at 31, why should they not be free to do it, and guilt free, even if we all cannot? They will live on the fair wages of their capital. In fact let’s applaud it as it frees up a job for someone who actually needs one.
=====================================
YES, thank you! You just said everything I was about to say, but better. And to prove your point, when I quit my company was handing out pink slips, and I was later told that me leaving saved someone’s job. And yet I’m being told to stay in a job I don’t need (but someone ELSE desperately needs) to pay for a house I don’t want. How is that not the height of selfishness?
This is what happen’s when interest rate’s are too low.Companie’s are just getting bigger and bigger. http://www.usatoday.com/story/money/markets/2016/05/20/third-cash-owned-5-us-companies/84640704/
Pension’s in trouble. http://money.cnn.com/2016/05/20/retirement/central-states-pension-fund/
#296 leavingsoon on 05.21.16 at 5:33 pm
Yes. I’d like to see a full breaktdown of both income and expenses and what you did to minimize expenses.
There are a lot of people who would likely not ever be able to complete an engineering degree and earn as much as you did right out of undergrad, for example.
=====================================
And you shall have it. Writing the year-to-year breakdown of our portfolio is on the top of our “to do” list and we will post it the minute it’s ready.
As for completing an engineering degree, you don’t need a STEM degree to do this. I have friends who make a combined $160K/year(more than our starting incomes) and neither are in STEM. One is a graphic designer, the other is a Project Manager with no university degree. They can do this too.
#326 not 1st on 05.21.16 at 8:00 pm
Trades on an exchange doesn’t it? Then they are stocks/shares/equities – all names for the same thing. In other words, no hard assets that you have any control over. You are naked and dont even know it.
———-
Don’t think she’s a down for admitting mistakes kinda girl.
Just a hunch…
No matter, one more 2008 and they’ll be dusting off those resumes, especially if they have not advanced their principal much past 1 mil.
On their blog they were reminiscing about how way back in 2012 things were so much simpler LOL! Back in the olden days :).
Hope they keep taking Garth’s advice a little while longer, they’re going to need some kind of insurance policy if they’re expecting to get 50-60 years worth of retirement from proceeds off 1 M.
This whole episode here is obviously just rounding up an audience for their blog. Must be in tight with the boss.
#307 easy money on 05.21.16 at 6:42 pm
funny thing is that “wanderer” and “FIREcracker” actually bought 10 condos in Van early 2000s with 5% down on spec and then flipped them as soon as they were built…
F.I.R.E = FINANCE, INSURANCE, REAL ESTATE
=====================================
Condos? Ew! EWWWWWWWWWWW!
Ahem. Anyway. What you said is not completely wrong. People (like Robert Kiyosaki) have done it with real estate as the vehicle back when it was cheap. Those days are long gone.
And for the record, F.I.R.E = Financial Independence Retire Early.
#262 BS on 05.21.16 at 1:32 pm
Words of wisdom.
This is a very healthy way of approaching employment.
However many companies will not tell you that.
They will promote loyalty, commitment, going above and beyond, etc. Employee of the month kind of crap.
It’s a game of make believe really.
As an employee, just pretend you do care, for as long as you get what you want from the company (which indeed can be experience and training, on top of money).
When relationship is not satisfactory anymore for you – the employee – just move on.
Set your objective, and play the game.
#326 not 1st on 05.21.16 at 8:00 pm
Trades on an exchange doesn’t it? Then they are stocks/shares/equities – all names for the same thing. In other words, no hard assets that you have any control over. You are naked and dont even know it.
=====================================
What are you talking about? Bond ETFs trade on the stock exchange too. Are you saying that a BOND is the same as a STOCK?! If so, please step away from your eTrade account before you hurt yourself.
#268 FIRECracker
You are good.
I have kids and that brings complexities you can’t fathom since you seem to be childless.
If one kid has special needs. That’s it. Focus on those challanges.
Ensuring they are successful in life take plenty of resources.
Your world seems being very nice but don’t tell me shit about being a hiding my wealth. I just don’t brag and focus on my kids that needs extra help.
I do not need to travel the world to help someone who needs help. I just need to stay home.
Keep bragging of 2 engineers that know it all.
#341 not 1st on 05.21.16 at 10:00 pm
No kids ever? And are you going to scratch and save for another decade to pop away another million so you can actually have a respectable first world income?
=====================================
Who said I was never going to have kids? And as for the respectable first world income, I spent a week soaking in a Hungarian spa, then a month hopping between Greek islands, and 3 months beach combing in Thailand, and somehow that costs less than living in Toronto for the same time frame.
Don’t think the North American way is the only way. There’s a big world out there.
My love will never dye for the phyco bitch.
https://youtu.be/R-soyspdwqU
#351 IHCTD9 on 05.21.16 at 11:08 pm
This whole episode here is obviously just rounding up an audience for their blog. Must be in tight with the boss.
=====================================
We wrote the blog out of frustration to show our fellow Millennials that they don’t have to be in jobs they hate and stressing over mortgages they don’t need. If your life is perfect, feel free not to read it.
I like the cut of these kids jib. Also not surprised they took engineering at UW – that program is probably the best asset this province has.
I’m roughly in a similar spot to them, but I’m 5 years older so they’ve done it faster and better. Congrats.
However I’m not going to lie I’ve been quite bitter at various times on missing out on a SFH in Toronto. It’s fine, at this point I’ve accepted my fate and have just gone down the path of maxing out my investments. Once you get over the cult of home ownership it’s actually liberating in that you’re not afraid of getting sick, losing your job, having to pass on an opportunity in another city, etc.
Huge lol @ anyone questioning their finances and/or complaining about how aggressive and confrontational the girl is.
I mentioned I’m in a similar spot and that even allows for a couple of years of terrible investing ideas (ie buying gold stocks/buying into doomerism), and being pretty wasteful when it comes to eating out ….. I’ve changed my investing strat but still spend way too much on coffee haha.
#354 FIRECracker on 05.21.16 at 11:19 pm
What are you talking about? Bond ETFs trade on the stock exchange too. Are you saying that a BOND is the same as a STOCK?! If so, please step away from your eTrade account before you hurt yourself.
===
Any asset group that has been collateralized up to an exchange for liquidity and easy of trade becomes a defacto equity on par with common company shares. That includes REITs Bond ETFs, preferred ETFs, Commodity ETFs etc. They trade in lockstep with the greater exchange hence and are influenced by other factors such as interest rates and now assume the underlying exchange volatility. You own all stocks, why not just admit it?
“Happiness is far cheaper than most people think.” -FIRECracker.
..and I’d like to add, “Life is a depreciable asset,” from my years in cancer-care work.
Please Garth?… Please pleeeaaase please? Can we keep her? A fresh new happy puppy for the smelly, cantankerous dawg-house?!! Oh ya!
I haven’t laughed so much EVER in reading your blog.
A weekly or monthly appearance would be swell! She’s f#cking awesome.
DELETED
You said you’d write a blog post about it…
just show us your start of year portfolio value, money added, and end of year portfolio value.
This gives everyone an idea of what to expect.
Also, what about insurance?
#345 WalMark of Sadkatoon on 05.21.16 at 10:44 pm
”to make it to $1m by 30 today all u need is to save and a balanced portfolio. this is why $1m was a huge deal in the 70s, a semi-big deal in the 90s and sort of a rarity deal today. tomorrow? who knows. perhaps just savings will get to $1m. inflation is a bitch.”
————————————————————
OK, so what could you buy for 1 million in 1970 in Vancouver? You could have bought 20 large and modern homes in West Vancouver’s British Properties or 40 of today’s tear-downs in Mt. Pleasant area of Vancouver.
And today, the same places in West Vancouver would likely set you back 4 or 5 million for 1 and in Mt. Pleasant area 1/2 of one of the tear-downs. So you see, 1 million doesn’t get you much today does it?
An average wage back then was around $8000 per year vs. 60,000 today for similar job or 7.5 x greater whereas the price of a home in say Mt. Pleasant is 80 times higher and in West Van 100 x greater. Now that’s inflation.
Something crazy has happened along the way. Money just ain’t worth what it used to be is it?
@ #350 FIRECracker on 05.21.16 at 11:04 pm
“As for completing an engineering degree, you don’t need a STEM degree to do this. I have friends who make a combined $160K/year(more than our starting incomes) and neither are in STEM. One is a graphic designer, the other is a Project Manager with no university degree. They can do this too.”
So your arguments are only generalizable to couples that either made the right decision or lucked out to be earning more than six figures together and can minimize cost of living? If that’s the case your blog and attitude really do come off as more bragging and special case scenarios than something that could become a “Millennial Revolution.” What does a couple _only_ earning $80k/year do? Or someone who is single that doesn’t benefit nearly as well from resource pooling? (although, yeah, I know, get roomates)
I support your message, but it’s dripping with a lot of anger and self congratulation as currently communicated in your youtube video and blog. It’s not only what you say, it’s how you say it. There’s a reason why the marketing and public relations guys get a lot of money at companies and a seemingly disproportionate amount of the internal praise!
Although publishing numbers and strategies is a good start. At least there will be transparency. Let the data speak for itself :)
Talk about Chutzpah? How about Suncor keeping every one of its employees on the payroll while the best the Trudeau Liberals could come up with was a two week extension on their EI.
http://business.financialpost.com/news/energy/syncrude-promises-workers-continued-pay-no-layoffs-as-oilsands-sits-idle-during-fires?__lsa=18c3-c070
This Trudeau character/thug/moron/childish swearing pig mouth is starting to show us what we feared was hidden behind the Liberal Propaganda Machine.
Good Job you guys!
And to all of those saying kids are expensive and you can’t educate them for free. .. Bull. And I am a father of 3. You have just been programmed to believe this.
You believe that kids need to go to university and that they need to pay X amount to do so. I am an educator, and I will tell you something. The world is changing rapidly, and educational institutions are always slow to adapt. If you want a full education that will prepare your children for a future we can hardly predict, well the traditional institutions of old are a sorry place for it. And even if they go, and you are able to finance it, there is a very good chance they will be underemployed or replaced, not through outsourcing, but through the next wave, robots/AI.
What is available online now (Tim Ferris, Freakanomics, Khan Academy, TED, Reddit AskAHistorian, blah blah blah) and out there in the real world (travel, volunteering, business building) is far more useful than your piece of paper.
Anyways, check out Sailing Totem to see a family of 3 who doing exactly what you say can’t be done.
Enjoy the Matrix.
PS, Firecracker we hope to join you soon. With our family of 5.
you got to feel for the millenium.
The world has changes. Global competition with the world make it tough to get stable jobs. In the IT industry there is no such thing as a full time job which will provide a pension after 25 years.
Everything is contracted out, the development team comes from india/china or russia. The testing teams are usually from india because they are cheap as borsh.
You go from contract to contract 3 or 6 month at a time. Good if your young , but sucks if your settling down.
The tsn turning will happen when the millenum and gen x out weighs the boomers. As the boomers die off they will no longer be the majority of the voter.
Their anger to the Boomers is being felt right now another 5 years of this and their going want to seek revenue.
Basically all the other generations are going to fund the boomers retirement for the next 5 to 10 years. The boomers has essentially made themselve rich right now…. Do they cash out its up to them. But the political landscape will change and your see a sweeping change, but first the milleniums will have to go out and cast their votes to get the politicians to listen
FIRECracker…
Glad you got some use out of my post…and I’d be lying if I didn’t smile when you said you printed it out as a motivation piece!
At some point over this Long weekend I’ll send you a message and we’ll be in contact.
Life is short…enjoy it…always learn…from books, audio, other people…my motto is if you ever stop learning in life…then you’re dead.
Have a great long weekend…I’ll reach out soon.
Cheers…
And I have a general 2-part rule about my tax setup:
Rule #1: Don’t piss off the CRA
Rule #2: See Rule #1
====================================
Uhhh…did you really even understand the question? Or were you to busy attempting to pop out snappy one-liners that comprehension wasn’t a priority? lol
Never mind, keep paying taxes. I need someone to keep the system going until I come back and claim my free health care!
Just kidding. Private insurance beats the crappy waitlists in Canada any day. But do try and expand your horizons outside of Canada other than in touristy ways. It’s a big world. That includes tax planning.
The problem with much of your premise is the tired unoriginal premise of “fight the man”, yer whole buck the system schtick. I agree the value system in the West is broken. But even if you hated your job, and simply endured it to build your original capital, how about actually doing something you love AND get compensated for it? It was stupid to allow yourself to be talked into doing something you so didn’t want to do, and perhaps you realize that and it’s why you have the attitude now, I dunno.
I love my job and I get paid well to travel. (Longhaul airline pilot).
http://www.vox.com/2016/5/2/11520288/pilot-airplane-photos
I also love being around beautiful young women, in fact it’s how I met my life partner. Your engineering gig sounds like a nightmare, but your diatribes fail to acknowledge that not everyone hates their job, not everyone wants to retire and stop doing something they love.
Open your mind a little wider.
BillyB
”
I AM curious as to why – if they are truly “digital nomads” – do they use a Canadian advisor and get dinged for Canadian taxes? Yeah, yeah, I know, I’m sure the portfolio is arranged to be as tax-friendly as possible. But domicile it offshore and as long as you’re non-resident it’s tax-free, as in beer.
Try it, you’ll like it. The only danger is you may realize you never want to set foot in Canada for more than 183 days/year ever again…”
If you are not a resident of Canada you will not pay taxes in Canada, nor will you pay back taxes when you return. Like immigrants you bring all your foreign earnings into Canada tax free and origin free, no questions asked. You can own an investment property ( a principal residence that is rented out for a nominal $1 a year and RRSP’s plus non reg just like a foreigner gets to do, etc) and file a return on that income, but you don’t live here ( have kids in school, go to church, magazine subscriptions etc) so you are not a resident so you pay no Canadian taxes on income earned abroad, only the investment income you might have in Canada. Earn all the money you want offshore, and then bring it in to Canad untaxed, as long as you are non resident you do not have to pay CDN income tax. It’s a better deal to be treated like a foreigner, they get a better deal than Canadians for sure.
You’ll only begin to pay CDN tax again after you’ve established residency. And who the hell can spend more than 183 days in this boring politically correct bunghole anyway?
If you disrespect your wife,you after all are disrespecting yourself…
M41BC
====================================
This has to be the stupidest crappy pseudo-psychology attempt to sound wise I’ve heard in awhile. If only I could find the link to that website “things that sound smart as long as you don’t think about them too much.”
“Because you…are your wife…and she…is you…and you…are…one being…one soul…wandering through time….lost together…or found…or something…er…what were we talking about again?!”
Of course one shouldn’t disrespect one’s partner. (Duh?) But unless she is literally carrying your balls in her purse, you are not her, she is not you.
And thank god for that, if you think about it.
Meanwhile, elsewhere on the Millennial web
http://www.mymillenniallife.ca/#/grid/main
Well, I had to study calculus for a semester. CALCULUS.
See? If you take a certain tone, you can do it to anything.
#366 Trailer Dazy on 05.22.16 at 1:22 am
This Trudeau character/thug/moron/childish swearing pig mouth is starting to show us what we feared was hidden behind the Liberal Propaganda Machine.
——-
T2 was obviously a coat tail riding, talking head, trough feeding klutz right from the start. F bombs weren’t hard to imagine, but rag-dolling and elbow drops to the chest?
Yeah, looks like he might not have been ready…
If you don’t want to puke, I suggest you don’t click on the link in post 373.
Note to Millennials: No matter how much education you have, if you look, speak, and act like an idiot you will be perceived as an idiot.
#Youdontstartatthetop #whinemoreplease
Firecracker!!! Love it!!!!! I guess I just need to figure out how to invest…
Ah yes, the Boomers’ dream! Of course you should screw it! It came at a time when the world was changing. WWII had just ended and things were looking up. They did things that would benefit them. Only problem is, they kicked the can down the road for the next generations to pay for. Which is what you’ll do to your kids kids kids.
It’s no different now – your advice to your kids will not work for them. But they’ll give in to the pressure just like so many of your peers.
So, the Millenials may not be the laziest, narcissistic, entitled generation, but they sure are the most gullible.
Loving two things about this weekend’s post:
1) Garth gets a well-deserved weekend off
2) Reading as FIRECracker outwits every pompous know-it-all in the steerage section. Oh Snap!
As a grad from the UoW co-op program who made 6-figures in the 1990’s after graduating with my ‘hot new skill set’, who then decided to take take 5 years off to travel and dabble, let me tell you when I returned to look for work, although the degree looked good on my resume, all any hiring managers were really interested in was what I did at my last job. Momentum matters, dont waste it.
If you are not a resident of Canada you will not pay taxes in Canada, nor will you pay back taxes when you return. Like immigrants you bring all your foreign earnings into Canada tax free and origin free, no questions asked. You can own an investment property ( a principal residence that is rented out for a nominal $1 a year and RRSP’s plus non reg just like a foreigner gets to do, etc) and file a return on that income, but you don’t live here ( have kids in school, go to church, magazine subscriptions etc) so you are not a resident so you pay no Canadian taxes on income earned abroad, only the investment income you might have in Canada. Earn all the money you want offshore, and then bring it in to Canad untaxed, as long as you are non resident you do not have to pay CDN income tax. It’s a better deal to be treated like a foreigner, they get a better deal than Canadians for sure.
You’ll only begin to pay CDN tax again after you’ve established residency. And who the hell can spend more than 183 days in this boring politically correct bunghole anyway?
===================================
Could not have said it better myself. And really, was simple the point I was trying to make – if the nomad lifestyle appeals to you (not just the image, but really do it) then why are they keeping their investments in Canada?
But the cute answer about the CRA made me realize that we’re not dealing with a very deep pool of life experience here. Seems that the harder she tries to be clever, the more she embodies the Millennial stereotype. Irony is so, like, ironic.
And where the heck is the partner? Getting verbally slapped around by Smokie and just takes it. Tsk.
I’m hoping that Garth’s little experiment is a onetime thing and we can return to having him run his own damn blog. If we wanted to read vapid Millennial blogs it’s not like we’re short of choice elsewhere.
Why do (some of) you guys hate on this girl? The core of the message is sound. Getting in on the housing ladder now in GTA is detrimental. If you have grand goals in life, working for most large companies in the GTA is shit. There ARE better opportunities there, but you need to take risks, and aim to work harder rather than less. She did it, and by conventional measures she is successful.
#314 Firecracker comments…
So Dad is a mechanical engineer; mine was a poor store manager.
Mom is a factory worker; mine was a stay-at-home mom.
You were a single child; me, the youngest, I had one bro two sister.
You had a salary of $135,000 divided by 2; I made $12,000.
You write children’s books and code apps; I am out of work (my wife lost her job after her pregnancy and was fired after cancer recovery when she returned to work).
Did you get all the dance, piano and violin lessons while I sat at home watching Bugs Bunny on TV? Did you eat hot dogs, minute steaks, macaroni and cheese, peas and chocolate chip cookies? Did your brain grow while mine weakened? Time is on your side?
Will you inherit all of your mom and dad’s fortune while I got $5,000?
I am not criticizing your success, I am only stating facts. In fact, I am happy for you and your husband and I thank you and Garth for one of the best blog ever for me.
When will you publish your book on your success?
Thank you for your replies.
Here Firecracker, listen to what Frank has to say: https://www.youtube.com/watch?v=TGLGKghQlgY
#355 No Mercy on 05.21.16 at 11:35 pm
I have kids and that brings complexities you can’t fathom since you seem to be childless.
. I just don’t brag and focus on my kids that needs extra help. I do not need to travel the world to help someone who needs help. I just need to stay home.
====================================
Again, as we have said before, other couples who have kids have done this before (www.gocurrycracker.com).
I appreciate your decision to use your financial resources to help your kids with special needs. That’s very nobel of you and an excellent use of your money.
I simply don’t have kids right now, so I simply choose to use my free time and resources to help other Millennials escape the 9 to 5. Both goals are fine. They are just different.
#372 BillyBob on 05.22.16 at 4:03 am
If you disrespect your wife,you after all are disrespecting yourself…
M41BC
====================================
This has to be the stupidest crappy pseudo-psychology attempt to sound wise I’ve heard in awhile. If only I could find the link to that website “things that sound smart as long as you don’t think about them too much.”
“Because you…are your wife…and she…is you…and you…are…one being…one soul…wandering through time….lost together…or found…or something…er…what were we talking about again?!”
Of course one shouldn’t disrespect one’s partner. (Duh?) But unless she is literally carrying your balls in her purse, you are not her, she is not you.
And thank god for that, if you think about it.
/////////////////////////////////////
Too many guys use their partners as an excuse for their problems.
You make the original decision to get married on your own and then get to share the happiness or the misery that follows.
I believe you are wrong if you don’t think your spouse is an extension of yourself
As for the other stuff you quoted,I would worry less about that and more about self respect…
M41BC
#359 A box in the Sky on 05.21.16 at 11:50 pm
Once you get over the cult of home ownership it’s actually liberating in that you’re not afraid of getting sick, losing your job, having to pass on an opportunity in another city, etc.
Huge lol @ anyone questioning their finances and/or complaining about how aggressive and confrontational the girl is.
====================================
YES! THANK YOU. This is what we’ve been trying to tell our house horny friends for years. Freedom trumps all.
And yes, I have been told I can be a bit aggressive. Xena warrior princess and I go clubbing a lot and we totally burn the place down. No, seriously. We burn it down.
#134 Bottoms_Up on 05.20.16 at 10:48 pm
… I also have a Ph.D., and will earn $2,500,000 over the next 25 years, and will retire with a good pension.
=======================
It can end quickly – “Work Force Adjustment” can happen, and not all of the Ph.Ds are making it again. It happened to my place of employment. Close to 40% gone. One Ph.D could not find work in the field, and now works making slightly more than minimum wage, and I think all of my ex. colleagues on our last project which we worked together make less now than they were making.
#363 need the numbers on 05.22.16 at 12:53 am
You said you’d write a blog post about it…
just show us your start of year portfolio value, money added, and end of year portfolio value.
Also, what about insurance?
====================================
I’m writing it as we speak! This involves going through 10 YEARS of receipts and bank accounts. Please be patient. I’m blogging as hard as I can.
What about insurance? Home, critical, life…all that stuff doesn’t apply anymore.
We are both 35 years old and have managed to accumulate $900,000 all on our own with no help from parents or anyone else.
This includes $300,000 paid off house and the rest in RRSP’s, TFSA’s, non-registered investments.
So by 31 having $1,000,000 is quite an achievement but more achievable then most think.
Wow!
Nothing like throwing a new Firecracker into a room of “old farts”…..result Methane explosion…….
We’ve almost reached the “magic 400” comments….. a new record?
#365 leavingsoon on 05.22.16 at 1:06 am
So your arguments are only generalizable to couples that either made the right decision or lucked out to be earning more than six figures together and can minimize cost of living?
====================================
My point in highlighting the story of my friend who makes 6 figures with a community college degree, is to show that the barrier to entry for a 6 figure job is lower than most people think. If I asked her to come on to our site and explain how she went from making 30K to 100K, would that be of interest to you?
#365 leavingsoon on 05.22.16 at 1:06 am
So your arguments are only generalizable to couples that either made the right decision or lucked out to be earning more than six figures together and can minimize cost of living?
====================================
My point of highlighting the story of my friend, making 6 figures with a community college diploma, is to show that the barrier of entry to a 6 figure salary is lower than most people think. If I asked her to come to my site and explain how she went from making 30K to 100K, would that be of interest to you?
#367 Fortune500 on 05.22.16 at 1:35 am
PS, Firecracker we hope to join you soon. With our family of 5.
====================================
WOW. You are doing this with a family of 5? Hats off to you!
Can you write us? We’d love to know more about your story.
#370 BillyBob on 05.22.16 at 3:52 am
Uhhh…did you really even understand the question? Or were you to busy attempting to pop out snappy one-liners that comprehension wasn’t a priority? lol
Never mind, keep paying taxes. I need someone to keep the system going until I come back and claim my free health care!
====================================
Hold on, I’m trying to come up with a snappy one-liner…
To be honest, I don’t bother doing anything fancy tax-wise because Garth set us up to be as tax efficient as possible. And I don’t mind paying taxes to Canada. This country has given me a lot.
#380 Jim on 05.22.16 at 9:20 am
As a grad from the UoW co-op program who made 6-figures in the 1990’s after graduating with my ‘hot new skill set’, who then decided to take take 5 years off to travel and dabble, let me tell you when I returned to look for work, although the degree looked good on my resume, all any hiring managers were really interested in was what I did at my last job. Momentum matters, dont waste it.
====================================
No no no. Get rich, THEN quit your job. Not the other way around. Order of operations is EXTREMELY important here.
@ #130 Metaxa on 05.20.16 at 10:45 pm
Is no one happy for these two?
Post after post of flung crap, accusations, comments on appearance, etc. Misogyny even!Sexism, its all there
==============
I love how if you attack or comment or criticize a female writer, it’s automatically misogyny or sexism. People attack Garth, but it’s OK, he’s a man/boomer, etc.
Anyhow, if FIREcracker and her beau made $1M, good on ’em.
I’m surprised by the wacky ‘digital nomad ‘ title. I have been working internationally for decades, before the word ‘digital’ was thought up. These two have to grow up and realize that international placements are the norm for qualified professionals.
These two contributors think leaving the country is something magical? That’s small time. Canadians are the least mobile and less well traveled than any other nationality.
400th??
I think FIRECracker can add “Garth’s commenting body-double” to her potential future work projects. Did anybody else notice that her comments could have been italicized and punctuated with “Garth” and nobody would have been able to tell the difference?
Congratulations to you and Wanderer; I know I would “retire” in a heart beat if I had a cool mill….alas, I’m only a cool mill(enial) with lame puns.
#391 crowdedelevatorfartz on 05.22.16 at 10:48 am
Wow!
Nothing like throwing a new Firecracker into a room of “old farts”…..result Methane explosion…….
We’ve almost reached the “magic 400” comments….. a new record?
/////////////////////////////////////
Hey Crowded,I asked what the record was yesterday.
I most I recall was around 450.
The main reason I am writing you,is did you catch SNL last night?
Maya Rudolph done a segment on the weekend update as Dilma Rousoff
Not like you need more ammunition…
M41BC
FIRE, the one thing you are missing here is you can never get time back. Thats more important than Garths running out of money worries.
You are in your prime earning years, you will never be more valuable or employable and if this doesnt work out, and you find you cant live on $40k a year, going back to “top up” in your 40s or 50s is going to be tough.
Boomers who have worked 30 years with a company pension are having a hard time pulling the pin.
And just a little advice, you can say boomers suck or whatever. Maybe they do, but you and I WILL be paying for them as they break the system. Thats a given.
FIREcracker, like yourself I achieved financial independence at an early age. Too bad you did not learn humility along with the fact you did not get there without the help of others. Your seeking of validation shows you immaturity.
Garth you’re brilliant! Distract your readers with a controversial topic to distract them from commenting to you. Have firecracker defend her life decisions while you enjoy a weekend off. Bravo!!!
I’m here. Watching you all! — Garth
@FIREcracker. Did you learn about FIRE from the ERE blog? And do you think anyone can do FIRE or just certain “personality types” ?
Our forum host probably is out enjoying this weekend. While blog dogs still are here tearing and chewing into this blog like a chew toy.
Firecracker,
I challenge you to post a blog 10 years from now and have the same opinions you have today. Rebel, Rebel – you aren’t the first and you won’t be the last to have it tough. Try 18% interest rates when you graduate high school.
I have tremendous affinity with your views but you will miss work. It’s what defines us as humans – it marks our individual progress as well as our collective progress. It’s what really creates wealth. We as Canadians have shunned away from the creation of wealth. Why? We are afraid of failure. Maybe failure means freezing to death in Canada while in California, it means camping out under a freeway ramp – I don’t know. what I do know is that milenials are going to be great at creating wealth – heck, I want see some world-changing, wealth creating ideas!
Investing doesn’t create wealth. It’s just shaving the cream off the top of the milk. If you wnat to challenge yourself, set a goal of creating a company and see where you are five years afterward. Trust me, the markets are both an uplifting and a humbling experience.
I am glad to see your contiued conversation and your defence of your position and lifestyle. I am no rock star – (lol, well, not that kind of rock star at least) but I saw a lot of cool places ala Indiana Jones (or for your generation, Nathaniel Drake)
Financial freedom is more than doing what you have to so you can do want you want to later on. And oh, a million dollars won’t last long either. You had your break, get back to work. :-)
#387 FIRECracker on 05.22.16 at 10:33 am
And yes, I have been told I can be a bit aggressive. Xena warrior princess and I go clubbing a lot and we totally burn the place down. No, seriously. We burn it down.
————-
https://cdn.meme.am/instances/57209742.jpg
Congratulations!
In the late sixties early seventies I had a friend we called Rational Ron.
Ron salted his money away, invested, and retired when he was thirty. Then bought a car and a House.
Ron could tell us how many miles he could get out of his bike tires.
In the meantime, myself and my contemporaries were getting married and having children.
We were on the treadmill for the next twenty plus years.
Different strokes for different folks.
Choices!
Firecracker and Wanderer you have achieved one dimension to survival, now go get the rest, life is short.
Regards, John.
hadn’t thought of it in terms of generation vs generation. I don’t know if I qualify as a millennial either, I could be Gen X, Gen Y or something else. A marketer could tell me for sure what I am, and I probably need that. I’m not even sure what generation spawned millennials, maybe Gen X are their parents? So confusing. Save me, marketing!
A life living in a new country every day having new experiences sounds like a lot of fun, I missed that boat.
In my situation I did not want to live in a major city because I hate the crowds, cars, all the laws and extra taxes that come with living there and the housing cost.
I moved to a small town/city, married the one I love, bought a much less expensive home with a big yard and we made a family together. We don’t have time to write children’s stories for other people’s kids or concern ourselves with skin colour or gender in crowds of people. Worrying about diversity sounds very tedious, much like plucking grey hairs.
We are very busy teaching our kids how to garden, fish, hunt, helping them with schoolwork, taking them to extra curricular events, playing with them, etc… Our kids have their own friends and interests, it feels pretty good seeing them grow.
Nearly everyone close to our age locally are doing the same thing as we are. We don’t get to see friends too often because there just isn’t enough time; nearly everything we do is for our family. I don’t know how a nomadic lifestyle would work with small children. You can raise them taking correspondence school and make sure you keep duplicate copies of things like dental records, vaccination, etc… since they probably won’t see the same doctor/dentist twice, and if you found another couple willing to travel to the same places as you do, then your children could have some long term friends as well.
Congrats to both of you for envisioning your future, creating a plan and accomplishing it so early in life. That deserves huge kudos, because it IS a sacrifice to get there at such a young age. I myself spent my 20’s traveling the world and they were without a doubt, the best experiences of my life. In hindsight (which is always 20/20) I’m glad I did it while young. I had tons of energy, flexibility and unbridled optimism. Hopefully you didn’t squander those youthful years being miserable accomplishing your goals. I can tell you from experience after about a decade of traveling, it gets boring – same conversations, telling your own story for the millionth time to strangers etc. Not having roots anywhere. Not to mention by the time you reach 40yrs old your body definitely starts slowing down and feeling a lot more tired, just a fact. Have some goals/plans in place down the line for when the novelty of all your new found freedom wears off. It’s good to have a purpose to wake up for every morning. A friend of mine retired at 40yrs old only to return to work (p/t) a few years later because he was bored out of his mind hanging out with old farts everyday (because everyone his age was at work). For some reason he hadn’t anticipated most of his new social group would be other retirees! LOL. Either way, good luck to you. Great accomplishment.
#397 Saul Got Game on 05.22.16 at 11:40 am
I’m surprised by the wacky ‘digital nomad ‘ title. I have been working internationally for decades, before the word ‘digital’ was thought up. These two have to grow up and realize that international placements are the norm for qualified professionals.
These two contributors think leaving the country is something magical? That’s small time. Canadians are the least mobile and less well traveled than any other nationality.
////////////////////////////////////
Hey Saul,I’m not too sure about your claim about Canadian travelers.
Different sites quote different numbers but the figure for Americans that gets kicked around a lot is 65% of them don’t have passports.
Anyway the link I supplied if you scroll down to page 11 compares Can,Oz,Nz ,U.k and U.s.
M41BC
http://www.cic.gc.ca/english/department/consultations/passport/pdf/2012-03-compare-eng.pdf
This image shows how things have changed the last 20 years…
M41BC
http://imgur.com/hMzDxhy
Isn’t it so patronizing how all these boomers want to “coach” FIREcracker..trying to give her wisdom about how in X years time “it’ll be different!! just you see!!” I think she’ll do fine whatever the hell she wants to do. You don’t need to parent her. End Rant Part 1.
Rant Part 2: People who achieve FIRE early care about the future and the past was where they built their character, the next 70 years is where they live out that character. People living a life of freedom before they reach FIRE realize how hard it is to start this journey later and have a life of headwinds ahead. And then try to fool themselves by living in the past and saying how great their 20s were. End Rant Part 2. Deep Breath!
These people should show some gratitude for the head start they had.
How much debt did you have coming out of engineering school? How many relatives and others are you financially supporting along the way?
What this educated DINK couple accomplished over a decade is pretty average given their fortunate circumstances. It took some discipline but to attribute this minor success to intelligence is BS. Anyone having purchased a home in Vancouver 5 years ago would be way ahead of course.
PS I’m mid-30’s.
The millennial arguments in the video ring true in many ways, but as soon as she said she retired at 31 she lost most of the generation she is trying to rally together… not everyone can “retire” that young and go on to charitable causes all while travelling and blogging, but there is room for a very small successful minority to do so.
Wow the jealousy and ignorant comments people have of 2 Millennials doing things right are amazing. There is a reason the poor stay poor.
“He that is good for making excuses is seldom good for anything else.”
― Benjamin Franklin
#413 Disappointed on 05.22.16 at 2:25 pm
These people should show some gratitude for the head start they had.
How much debt did you have coming out of engineering school? How many relatives and others are you financially supporting along the way?
———————————————-
Most people graduate UW engineering with very little, if any debt.
The co-op program is what makes that degree so valuable.
Good post today Garth.
I’ll be forwarding it to my Millennial kids for their benefit.
Trying to explain finance and debt to one’s kids can sometimes be a challenge. Perhaps the experience and words of Firecracker will help them understand.
Hopefully they take the financial advice to heart, but still respect me, despite being a ‘detested’ boomer.
Congratulations on your fortuitous timing of investing during the recovery of the Global Economic Crisis.
You think you’re staring a revolution – how cute.
You think 1 mill is enough to retire at 31 – not so cute.
You contend in your blog that really you could have retired with only 125K – how dangerous. (Your new rule of 4% – oh yeah, but don’t forget that you have to live somewhere cheap like Thailand or Vietnam and still earn 15K writing code)
Building a nest egg isn’t just for retirement – it is also for weathering times of adversity (emergency fund). Based on what I have read, you haven’t faced adversity yet. Good Education, no student loan, good job, good investing underpinned by lucky timing.
I’m not going to sit here and say that you will face adversity with 100% certainty. I’m not quite that cynical. But there is a decent probability that at some point you will face some adversity that will affect your financial position.
Also, you will have no CPP, no Company Pension, you are not creating new contribution room in your RRSP’s. If there is another 2008, you will have no money to invest to take advantage. You will have to wait for your nest egg to rebuild.
One of the pillars of Garth’s teachings is beware of running out of money. I’d like to know how he advised you on this matter and I’m sure that’s coming later.
I for one do not believe that your current approach is sustainable and I don’t think advising other people to employ the same approach is helpful. If you would have said we left the hamster wheel to start our own business on our own terms or we retired at 39 with 2 mill, I would think you had a fighting chance.
However, if I see advertising pop up on your site, your true motivation will be transparent.
Garth, you started this. I hope you’re going to end it.
if I see advertising pop up on your blog, your motivation will become
189 Flopper….
Such talk! … Do dis-respect intended I’m sure, but…
A Perspective:
FIREcracker & Wanderer have achieved a goal, or two at an early stage in life. What is NOT to celebrate in that?
Go you two, GO FAR!!!
Now, can they fire up others in their peer-group to “do similar” break the mold they’re expected to follow?
Garth has been trying his best to educate us Boomers, Gen-X, Y, or is that the same as the millennials, can never get that stuff correct.. on how to avoid senior penury in our old age. Many here get it, but we’re a small minority if the public retirement preparedness numbers are anywhere near accurate.
I’m 1951 that’s a Boomer, our kid is 1975 that’s a Gen-X. I think I got that right?
This has been a wildly stimulating two day discussion.
As I recall even we Boomers had distinct ‘sets’ of aspirations, or was that aspirating groups?” What ever…
Every generation has their similarities. We, “never trust anybody under 30″… I knew who Che was without the online reference, Raul & Fidel still doddering around.
Yes, even thoughts on “The Art of Motorcycle Maintenance” is still referenced. Rock music, though evolved, as it should. from the 1950’s pioneers, through the British invasion, Big Hair Bands, Disco, is still recognizable. Not always appreciated by dated ears…
but, that would be a personal matter…
A lot has changed, bi-peds not so much.
We tend to get stinky stupid at times, and places, housing in Canada an example; we been there dun that… now we got diminutive politics in the US.
Never fret, we’ll get collectively bitch-slapped back to what really matters in time, each to define it by their own terms.
The Friday Post was a refreshing, renewing, break. Thanks, all.
M64WI
And with that it’s time to turn the blog back over to its rightful owner.
Blog Dogs, I had an absolute blast barking with you this weekend. I’d like to thank my host and mentor Garth Turner for this opportunity, and everything he’s done for us over the years.
If you’d like to continue this (or any) conversation, feel free to contact me.
Over to you, Garth.
@ FIRECracker
Congratulation on the achievements. I will gladly follow your blog.
In my early 40, I am also pursuing the same objective but taking a different and longer route.
Decided 15 years ago that I wanted to live overseas while building my retirement portfolio. Wanted to do both at the same time. Always been renting and lived in six countries on three continents.
There are some nuances to the cost of living overseas with a family. Despite the lower cost of living, other cost ram up very quickly when you have children. Yes, I follow Go Curry Cracker blog and the birth of their son but he is still below two and does not require assigned seating.
In my case, flying from Asia/Africa/Middle East to Canada for four persons twice a year (summer and Christmas) will require a budget of CAD 12,000 to 15,000. Furthermore, international schools for kids is often more expensive than rent. I have two kids and pay up to USD 20,000 a year in tuition. Public schools are in different languages and often you have no other choices then the international schools.
If you plan to have a family oversea just be careful of quickly increasing costs despite the lower cost of living. For early retires with kids, I think Mr. Money Mustache approach is more sustainable.
Best of luck with the new freedom
Humanitarian Investor
Kudos Kiddos and Welcome to the Rentiers’ Club. If getting ‘there’ was hard, staying ‘here’ is a whole different ball game.
Now, being as methodical and disciplined as you folks have proved to be, shouldn’t the portfolio’s perfomance have been spreadsheeted already?
when the yacht is classified as a company’s office…
https://www.justice.gov/usao-edpa/pr/united-states-reaches-settlement-defense-contractor-over-yacht-expenses
========
http://calgaryherald.com/news/crime/calgary-men-guilty-of-defrauding-feds-of-14-million-in-rrsp-scam
It was one of the longest criminal jury trials in Calgary’s history.
http://insurance-journal.ca/article/coast-capital-in-tax-court-over-rrsp-strip-scheme/
RRSP strip issue
“Trust companies that hold RRSP funds are being used to facilitate arrangements for withdrawing funds tax-free from RRSPs. These arrangements are marketed by promoters to individuals, often through advertisements in newspapers and seminars offering so-called financial planning services and information. Typically, individuals (annuitants) are instructed to transfer their RRSP to a self-directed arrangement with a trustee and then to purchase shares in a specified company controlled by the promoter. The investment is not a “qualified investment” as defined under the Income Tax Act, even though the promoter may arrange for a lawyer or accountant to “certify” that the shares are considered a qualified investment. These shares are worth only a fraction, if any amount, of the price paid. The promoter retains a portion of the funds as a fee and directs the remaining amount to be paid to, or secured for, the annuitant. The funds may be directed back to the annuitant through a loan, deposited in an offshore account, or placed on a debit/credit card. In some cases, the promoter retains all the funds and cannot be found, and the annuitant loses his or her entire retirement savings. The way the scheme is executed may vary. For example, AN INFLATED MORTGAGE may be used in the place of the company described above.”
http://www.cra-arc.gc.ca/tx/rgstrd/blltn/blltn04-eng.html
============
http://www.smh.com.au/business/banking-and-finance/how-financial-planner-inderesan-pullen-pillay-cost-300-clients-70-million-20160519-gozcuu.html#ixzz49ONwrvxL
… hundreds of Pillay’s former clients who still bear the financial scars from questionable advice from the one-time accountant, tax agent and financial adviser who, at different times, was an authorised representative of Count Financial (now owned by Commonwealth Bank) and Australian Planning Services (now owned by Melbourne’s Heine family).
#333 SMOKING MAN
Totally off base with “The Lion Sleeps Tonight”
This fits far more…
https://youtu.be/_prtbj4MtDU
Flopper might enjoy this Charlie Drake Classic.
#398 Prince Polo
”Congratulations to you and Wanderer; I know I would “retire” in a heart beat if I had a cool mill….alas, I’m only a cool mill(enial) with lame puns.”
It wasn’t so long ago that people used to say, “if I win the Irish Sweepsteak I would retire. It was around $140,000 at the time. How times have changed. Wonder what people will be saying in the next 20 years.
#418 Digger the Dog
”I’m not going to sit here and say that you will face adversity with 100% certainty. I’m not quite that cynical. But there is a decent probability that at some point you will face some adversity that will affect your financial position.”
—————————————————————
Digger, you are so right. One of the things that can change one’s financial position overnight is not a stock market crash but a “relationship crash”. The probability of this is 50%. For those that have lived through one of these, most will agree that this is one of the most disastrous situations with regard to your retirement goals. You can wake up one day to find that ”you are not as rich as you thought”.
Does Firecracker have any suggestions for Millenials who want families? It seems one would need to remain single and live in a shoebox to attain her success. Unless Firecracker assumes that nobody will have kids anymore and the entire human race will be extinct in 100 years? I’d be more impressed if Firecracker’s plan included kids (and all the associated costs therein).
#425 Ronaldo
It wasn’t so long ago that people used to say, “if I win the Irish Sweepsteak I would retire. It was around $140,000 at the time. How times have changed. Wonder what people will be saying in the next 20 years.
————————————-
Mmm…..sweepsteak. I hope it comes with sweepBBQ sauce? :P
In 20 years, most will probably be saying, “I wish I had listened to that rebel minister of national revenue…..”
This blog post has been a blast. Ended up reading through all 428 comments (at the time of writing). I wish FIREcracker and her silent partner Wanderer continued success. You’ve stirred up a hornet’s nest of envy and intergenerational angst in the comments, but a lot of heartfelt support too.
Stay the course and living well below your means and all will be well.
Gen-X er here. I have achieved financial independence, much like the bloggers. My passive income is now into 6 figures, yet it is not my greatest achievement in life. A rewarding career, and raising two beautiful kids have been more fulfilling. Children really changes ones perspective and has taught me compassion, selflessness and humility. My true wealth lies with my “million dollar family”.
Great job. I am a millennial and can respect this, but it seems like really the key to your financial independence was finding an alternative career which paid a lot of passive income (book writing). Great job non the less, I’m striving for this as well. One day I will write an amazing story :P.
That is a shame your father disowned you for not buying a house. He should be proud of you. I know the feeling though. I get pressure to buy a house all the time. I also live in an area with insane house prices. I am not giving into the house mentality. You have inspired me to save more. I already have six figures but I waste too much money. Thank you for the inspiration! Also, don’t apologize for making fun of boomers. They invited it with their generalizations as far as I am concerned.
[…] independence is definitely going mainstream. This past weekend, one of my fave blogs profiled a couple of young people who’d achieved financial independence in their early […]
Hi Firecracker,
I really admire your message but don’t know how realistic it is for most people. I am pursing my dreams (instead of just “getting a job”), renting and saving a bit of money but I just don’t make enough of an income to do what you suggest. If we all pursue our passions in the first place (and don’t make the income of an engineer) how can we realistically build a large portfolio? What is your advice to people who are following their dreams and not making much money doing that?