There is a new FIRE kindling on the horizon. Not the one where you live so frugally, obsessing over the number of spaghetti noodles to cook for dinner, so you can build funds to “retire” early at 35 into financial independence with monotonous, unrewarding days on a budget so tight that any flux like inflation or health care boomerangs you into another job that is just as undesirable as the one you fled.
This new FIRE rewards long-term saving, investing and knowing what you want in life. It’s about working hard not only to earn a living but also to figure out what you find fulfilling. At 38, I was just beginning the momentous career move that was most rewarding. At 48, I still didn’t know what truly rewarding would be.
It’s leaving a job or career on your own terms knowing you have enough with an abundance of other things you can do or work on that you find rewarding. It could be a lifestyle job that becomes a second portfolio career, or it could be curious pursuits, pleasurable hobbies or giving back, things you never had time to do while working a demanding career.
It’s knowing that health compounds over time just as much as money does if invested wisely. There still will be the outliers who strive to work into their 90’s with career status and money as the rewarding goals without realizing that living that long comprises only 4.7% of the population (Census.gov). A good dose of reality is reading the ages of those in your local obituaries or even noting how many people in your LinkedIn or Substack feed wrote about the death of a spouse, sibling or friend over the holidays.
I recently found the following YouTube videos and while the content is interesting, the number of people viewing (millions) and commenting (thousands) on them is fascinating all within this past year. There are new ways of calculating how much you will actually need to leave your career early. Fidelity has a financial planning model that does this and I will elaborate on how it works in a future post comparing it to other models that don’t.
Health care is one of the biggest factors to consider since eligibility for Medicare and the supplemental plans isn’t until age 65. However, many companies and sectors offer continuing coverage of the medical plan you are currently on or other plans where you can pay the full premium or even a subsidized premium. I know many who have done this, but you have to know your benefits.
If you are approaching 65, you definitely should have a Medicare Insurance broker or agent in the area where you live who can find the right plan for you in your local health systems.
Guide to self-employed health insurance | healthinsurance.org
Find Local Medicare Agents & Medicare Brokers
For the frugal, spaghetti-counting FIREs, this movement is shifting to a broader financial flexibility now termed FINE – Financial Independence, Next Endeavor. Many are adopting a modified approach developing skills to focus on purpose-driven work rather than stopping work completely.
Retiring whether early or right on time is winning the title game where independence gives you the ability to choose whatever title you want. The true rewards, however, will never be found in a title or naming convention.
Retirement. The Reward for Your Work or the Last Station on the Train Track?