“To most people, “retiring early,” means 55. But to Jason Fieber, that’s too long to wait.
Everything Fieber does is with one goal: Retiring well before he hits the big 4-0. Fieber, a 30-year-old service adviser at a car dealership in Sarasota, Fla., even moved to the Sunshine State from his Michigan home, in large part to live in a state without income tax. The sunnier climate has a side benefit, too, in that it allows him to more comfortably use the bus to get everywhere without a car.
By keeping costs down, Fieber, who earns $50,000 a year, is saving 60% of his net income each year and has saved more than $100,000 in three years. He figures he can bank more than $400,000 by the time he’s 35. That’s plenty for him to retire on, he figures, since he only spends $15,000 a year.
“I knew nine-to-five until you’re 65 isn’t the answer,” says Fieber, who also runs a blog chronicling his plan to retire before 40. “The goal is to move from the working class to the investment class. Money can work harder than I ever could.”
But retiring early isn’t just about being frugal. The key principles that many extreme early retirees hold true include:
* Faith in nest-egg mathematics […]
* Strict spending priorities […]
* Banking on a diversified low-cost stock portfolio […]” –Matt Krantz, USA TODAY