Emma Reed
We live in the age of the hustle. How many times have you seen some 14-year-old on Instagram sharing the quintessential ‘how I became a millionaire’ post? Young entrepreneurs are a dime a dozen on social media these days – and a major part of that culture has become the goal of early retirement. Enter the F.I.R.E movement – which stands for Financially Independent; Retire Early. It’s a financial lifestyle that advocates ultra-frugality, and having a keen eye for savings. We’re here today to discuss how it works, its positives and negatives, and if it’s a good fit for you.
Standard Retirement Savings
Financial experts say normally, the path to retirement is to work for 40 years, while saving and investing at least 10% of your income into a portfolio that will return an average of 8% year-over-year. In plain English this means not just saving a portion of your income, but investing that saved income into multiple savings accounts (or any other accounts that accrue interest, like a CD) – and also that those accounts will give you back 8-percent interest on you total savings over a one-year period.
