Critical Mass?

[ks8829]

Has anybody out there reach critical mass financially?

Critical mass means you have enough income so that you don't have to work if you choose not too and enough income to live the life you want.

How did you reach financial freedom?
What things did you do to obtain financial freedom?

Thanks in advance for your replies?

I have a good friend and golf buddy who has reach financial freedom, he golf and travels when he wants, he recently took a trip to overseas to tour the country playing golf courses and stayed at a few castles eating well along the way.

He reach his financial freedom with real estate in SF. He lives off the income his properties generate.

[joshtpa]

I did a few years back. I sold my first business and it was enough to live comfortably on for the rest of our lives. I still have 2 other small consulting firms, and although I only work for a few hours each day, I enjoy it. Usually I am on these forums while taking a few calls. We dont live a very glamorous life, but the freedom of being able to travel and do certain things. Plus with the economy in the shape it is in, I dont want to have to count on investments to be there in the end.

[ks8829]

I did a few years back. I sold my first business and it was enough to live comfortably on for the rest of our lives. I still have 2 other small consulting firms, and although I only work for a few hours each day, I enjoy it. Usually I am on these forums while taking a few calls. We dont live a very glamorous life, but the freedom of being able to travel and do certain things. Plus with the economy in the shape it is in, I dont want to have to count on investments to be there in the end.

Sound like you live the american dream, no wonder you can afford that golf bag.

[alf174]

I was very close back in the 90s but the ex-wife believed a lawyer that it was greener on the other side of the hill (didn't work our entire marriage but would be set for life if she dumped me); now she works a full time job and I'm working less and have more free time than I ever had.

[joshtpa]

Its not like that at all. We are careful, so that we can live like this. My fiancee still works and wouldnt give it up for anything. To be in that position, I also worked almost 70 hours a week for 13 years to build up that business.

[ks8829]

Formula for success must be hard work, smart decisions, perserverance and a little luck?

[joshtpa]

All of that, plus even more luck. I wasnt trying to sell my business. But a large fortune 50 company made me an offer. I would have been stupid not to sell.

[ks8829]

I need to get back to working hard, I lost my edge, thanks for sharing your story, I will remember that hard work is one of the key elements for success in business.

[joshtpa]

There are people that fall into it, and i guess you could say that I, to an extent, am one of those people. But working hard and helping others are what got me here, so I cannot stop.

[ks8829]

There are people that fall into it, and i guess you could say that I, to an extent, am one of those people. But working hard and helping others are what got me here, so I cannot stop.

Thanks for your feedback, I appreciate your replies.

[Lemay427]

I am 25 and ready to retire mentally, not financially
I have put some numbers together to figure out when I can hang it up and play golf all day.

Ya hard work is the main part of the answer IMO. Add in a little common sense investments and it can be reachable by most people before 50. I value freedom over working like a dog, regardless of the money.


Right now I am a crossroad as I am being relocated due to my employer (construction) and at first I was like "this is BS and I dont want to go, i'll find another job". But, I should think long term and staying with the company is the right move and it will only be temporary so just suck it up and do it. So I have to keep the mindset of "keep on truckin"!

MY goal is to figure out the number to be carefree. Since I dont have kids yet, I dont really know my goal in a dollar amount. Joshtpa sounds like he had the right plan and working a little is a good way to keep your mind fresh just in case you have to work again for some reason.

[joshtpa]

Actually common sense has little to do with retirement the way the market is right now.

[Lemay427]

Actually common sense has little to do with retirement the way the market is right now.

Well maybe my idea of common sense is different than yours. I need to define myself on this forum for my posts. Common sense to me in investing is to not put your eggs in one basket so that when a market downturn happens your not affected as much.

My parents lost over $300,000 in the stock market since 2000, meanwhile their land has went up more than that so they have not been hurt as bad. My mom has also ventured into rental properties as renting is making a comeback from the mortgage bust.

[joshtpa]

It has nothing to do with putting all of your eggs in one basket anymore. Each and every industry is affected by what is going on. Diversifying one's investments does not mean early retirement anymore.

[Lemay427]

Yes it can and I am done discussing this with you. Watching my parents become diverse after the stock market plunged let me witness first hand how you can recover and profit from this market. Not everyone is affected by this market.

[joshtpa]

Ok sir. I am glad you will retire at 50 from your investments. I truly hope it works for you young man.

[Jeepthrills]

Yes it can and I am done discussing this with you. Watching my parents become diverse after the stock market plunged let me witness first hand how you can recover and profit from this market. Not everyone is affected by this market.

Although diversity is generally safer than having everything riding on one investment, it is a far cry from a sure thing. In this economy there are very few, if any, sure things. I don't think he was trying to imply that you were wrong, only that even if you are smart the bottom can still fall out.

I have personal training clients that have followed many paths to their financial success. Some have gone with the low risk long term growth and are doing very well. Others have made a pile of cash in a short time by selling a company at the right time or by making some riskier investments. There is no right way to do it.

[WilsonWedgeMan]

Yes it can and I am done discussing this with you. Watching my parents become diverse after the stock market plunged let me witness first hand how you can recover and profit from this market. Not everyone is affected by this market.

the market effects everyone, even those not directly invested. the market fell below 11K today, and only upon word that TAXPAYERS were gonna bail out Freddie/Fannie did it rebound. that's MY money bailing out poor banking practices...which isn't right in my book. the little mom'pop bizs that go under don't get the same protection...why not?..but that's another issue.

I've worked as hard as anyone on this or any forum since I was 15...I'm 52 now. I've paid into my gov't retirement,which changed right before I entered to the FERS system...no more Civil Service retirement..it cost the Govt too much money...and now I have 4 years to go before I can retire. I can possibly live on my G fund(no losses like other funds)/TSP savings/and when 62 my SS, but I'd have to relocate to a lower income area to survive. taxes too high here, and climbing. the days of getting rich by hard work is almost over... now that requires that you you have someting to offer that can't be bought from China/India/etc.. for cheaper...and good luck with that, or you own a bar/club/slot machines/gambling parlor...they seem to thrive in bad times. many contractors/excavator companies have all but folded due to the RE slump...it's hard to pay for a 70K dozer when there's no work...but they lived high for awhile. even our county Govt is making employees clean their own offices, due to the high janitorial contract they were paying!! Real estate will eventually make a comeback, but you'd better have cash or assests to buy it with, as loans are gonna be as hard to get as they were 35 years ago. I don't play the market cuz someone has to lose for others to gain..that's the nature of the beast... and these days, many more losers than gainers...MANY more. my Brother owns 7 rental properties, ask him if it's all that and a bag of chips...he'll tell ya about destructive tennants, non paying tennants, constant repair/upkeep that he's responsible for(which he should be), those high taxes, higher insurances... they only start making a profit if: they become paid for, or the value increases to more than the exsiting debt(which isn't happening these days..maybe in the future it will regain the loss..in the meantime...no profit). in fact, I'd wager to say that the US is in the financial crisis it's in, due to the "I want it NOW" mentality, and that's not how wealth is acheived. whats's the national savings rate per individual, as opposed to private debt per individual? THAT tells the story...