Early Retirement Update – December 2021

This is my retirement estimate for December 2021, based on all income and expenses until the end of November 2021. It’s been an up-and-down few months, with my net worth bouncing up and down and staying in the same neighborhood most of the second half of the year.

A reminder of the three ways I will track my progress:

  1. The first way will actually be with a simple Excel calculator that I made. I’ll plug in my monthly expenses, savings rate, and net worth. And the calculator will say just how long I have until retirement. Maybe it will say that I can retire tomorrow?
  2. The second way I’ll calculate this is through an equation and the help of Wolfram Alpha.
  3. The third and final way I’ll be calculating my early retirement date is with the help of the Mad Fientist Laboratory. I’ll input expenses, savings, and net worth and let his calculations do the rest of the work.

Retirement estimation based on 4% market growth:

Retirement estimation based on 7% market growth:

The 4% estimation is basically the same, but I have gained half a year. The 7% estimation went down by a quarter of a year. Not a bad place to be at this point in time! I’m hoping that with a solid year of spending with a house and the increased retirement target, I’ll start to see this number drop again next year.

Retirement estimation if I never save another dollar:

This number is higher than in December 2020, but only by a year. As you know from the June update, I did adjust my retirement spending adjustment so this isn’t too unexpected. The only way it would have been comparable is with a big net worth increase.

Photo by Francesco Ungaro on Unsplash

Leave a Reply

Your email address will not be published. Required fields are marked *