Early retirement. Budget

Our blog is quite ecletic: we talk about currencies, politics, the stock market... However the main purpose of all of it is finding the right tools to become happy and free as fast as possible, usually through early retirement. Sometimes the trees don't let you see the forest, and once in a while we need to keep our motivation to avoid losing focus on the real target.

So, first of all, let us recommend you two excellent websites to feed our hearts and minds with the right setups: 

Now that we are on the mood, we have to become more sensible. When we look for early retirement on internet, most of the webs we find are related to income and savings because it is where the money is. But we, on the other hand, want to highlight the importance of being accurate with our future expense budget. The inflation is a very important factor that affects both future income and expenses, so for now we are going to leave it out of the equation. Healthcare is another difficult issue to forecast and we will leave it for a future article.

With this post, we just want to answer the following question: if I retire tomorrow, how much money do I need to live happily? From here, we can start building the right plan. Most of the people don't have "an amazing job" that allows them to save and invest big. They will have to either delay the early retirement or reduce the monthly budget (there are some experts on living with almost no money like Early Retirement Extreme).

We need to use the right tools to find out our personal monthly budget, and luckily there are plenty of free ones such as calculators like Tim Ferriss's (link here) or spreadsheet templates like Vertex42's (link here). We just have to fill them in and start building our future.