The fire movement has changed my life sense learning about it a few years ago ive been able to leave my job and start doing what i love everyday.

Fire Rules Of F.I.R.E

<img width="755" height="560" src="https://gabebult.com/wp-content/uploads/2021/12/deniz-altindas-t1XLQvDqt_4-unsplash-683x1024.jpg" alt="" srcset="https://gabebult.com/wp-content/uploads/2021/12/deniz-altindas-t1XLQvDqt_4-unsplash-683x1024.jpg 683w, https://gabebult.com/wp-content/uploads/2021/12/deniz-altindas-t1XLQvDqt_4-unsplash-200x300.jpg 200w, https://gabebult.com/wp-content/uploads/2021/12/deniz-altindas-t1XLQvDqt_4-unsplash-768x1152.jpg 768w, https://gabebult.com/wp-content/uploads/2021/12/deniz-altindas-t1XLQvDqt_4-unsplash-1024x1536.jpg 1024w, https://gabebult.com/wp-content/uploads/2021/12/deniz-altindas-t1XLQvDqt_4-unsplash-1365x2048.jpg 1365w, https://gabebult.com/wp-content/uploads/2021/12/deniz-altindas-t1XLQvDqt_4-unsplash-scaled.jpg 1707w">So we’ve all heard financial advice from teachers, friends, parents, and strangers and most of it, if you follow what they say, can make your life a lot harder than it has to be. That’s why I am such a big supporter of the FIRE movement and minimalism. Most of these think very differently than the world and can help set you on the path to financial freedom. Today we’re going to go over some of my favorite rules for FI.&nbsp;1.) Cut The Big Three&nbsp;What are the big three? I know I’ve mentioned this before but the big three for the average American are Housing, Car/Transportation, and Food. These suck up most of your paycheck. Now, obviously, you can’t cut out all of those things to save money but you can cut back on certain things to make it a little cheaper. You can cut down on housing by house hacking, you could buy a smaller house or rent a cheaper place, and then you work on your transportation; always buy your car in cash, don’t go into debt on a car because it loses value the second you drive off the lot. You could buy second-hand cars, you could buy a smaller car or rent a car. You could even walk. Food is a big money stealer because people go out to eat a lot and they get drinks and rack up a huge bill at least once a week. Cooking from home and bringing lunches to work can really help save a lot of money every week.&nbsp;2.) Avoid Consumer Debt&nbsp;The whole idea of the FIRE movement is getting your expenses low and then building up enough retirement savings or passive income that you’re able to cover those expenses. You really try to pay off your credit card debt, some people pay off their houses early, but whatever path you decide on, avoiding bad consumer debt is the most important rule.&nbsp;3.) Know Exactly Where You’re Going&nbsp;This involves a few different things. First of all, you’re trying to figure out where you want to go. Do you just want to do Lean Fire which is cutting your expenses really low and trying to make a passive income to cover those expenses or do you want to not be frugal at all and pursue Fat Fire which is where you want double the amount of money to live off of, and not just cover your expenses so you can travel or live somewhere expensive and in order to do that you have to build up a bigger portfolio of skills so your passive income grows substantially. You can also work towards Barista Fire which is what I try to do so you can retire as early as humanly possible. This is where you don’t have enough money to retire indefinitely so you build up just a little bit of passive income and you only have to work part-time here and there and worse comes to worst, you go back and get a real job.&nbsp;4.) Take Advantage of Credit Cards&nbsp;This is one of the things that actually got me into the FIRE movement, to begin with. I heard about travel hacking which is where you get a credit card with a large signup bonus (usually around $500)&nbsp; that you receive if you spend X amount in the first three months. Then once you hit that bonus, you do ut again with another card. Obviously, there’s a lot more that goes into this and you should only do this if you can pay off your card at the end of each month but if you’re getting $1,000 back on the $3,000 you’d spend anyways in gas, groceries and random necessities, then you just saved 33% on your everyday budget.&nbsp;5.) Optimize Your Income&nbsp;As important as frugal living is to the FIRE community and retiring early, you cannot save your way to early retirement and if you try to, it’ll take forever and be really hard. So, you have to do the other things to get you there faster. This is doing things like investing what you do save and then optimizing your income and earning as much as possible. This could mean doing what I did and working three different jobs at the same time or it could be focusing on the one job you do have and working towards getting a promotion. This could also be building your own business on the side, something that has the potential to scale. Whatever you chose to do, your income probably won’t reach the 50% saving rate needed to retire so you’re going to have to figure out a way to help boost that.&nbsp;All this may be really but hard, but if it were easy everyone would do it. Thanks for reading! Have a good week 🙂&nbsp;

Ive been following these rules for a few years and its changed my life.

career

Career

personaldevelopment

Personal Development

moneyandinvestments

Money & Investments

So we’ve all heard financial advice from teachers, friends, parents, and strangers and most of it, if you follow what they say, can make your life a lot harder than it has to be. That’s why I am such a big supporter of the FIRE movement and minimalism. Most of these think very differently than the world and can help set you on the path to financial freedom. Today we’re going to go over some of my favorite rules for FI.

1.) Cut The Big Three

What are the big three? I know I’ve mentioned this before but the big three for the average American are Housing, Car/Transportation, and Food. These suck up most of your paycheck. Now, obviously, you can’t cut out all of those things to save money but you can cut back on certain things to make it a little cheaper. You can cut down on housing by house hacking, you could buy a smaller house or rent a cheaper place, and then you work on your transportation; always buy your car in cash, don’t go into debt on a car because it loses value the second you drive off the lot. You could buy second-hand cars, you could buy a smaller car or rent a car. You could even walk. Food is a big money stealer because people go out to eat a lot and they get drinks and rack up a huge bill at least once a week. Cooking from home and bringing lunches to work can really help save a lot of money every week.

2.) Avoid Consumer Debt

The whole idea of the FIRE movement is getting your expenses low and then building up enough retirement savings or passive income that you’re able to cover those expenses. You really try to pay off your credit card debt, some people pay off their houses early, but whatever path you decide on, avoiding bad consumer debt is the most important rule.

3.) Know Exactly Where You’re Going

This involves a few different things. First of all, you’re trying to figure out where you want to go. Do you just want to do Lean Fire which is cutting your expenses really low and trying to make a passive income to cover those expenses or do you want to not be frugal at all and pursue Fat Fire which is where you want double the amount of money to live off of, and not just cover your expenses so you can travel or live somewhere expensive and in order to do that you have to build up a bigger portfolio of skills so your passive income grows substantially. You can also work towards Barista Fire which is what I try to do so you can retire as early as humanly possible. This is where you don’t have enough money to retire indefinitely so you build up just a little bit of passive income and you only have to work part-time here and there and worse comes to worst, you go back and get a real job.

4.) Take Advantage of Credit Cards

This is one of the things that actually got me into the FIRE movement, to begin with. I heard about travel hacking which is where you get a credit card with a large signup bonus (usually around $500)  that you receive if you spend X amount in the first three months. Then once you hit that bonus, you do ut again with another card. Obviously, there’s a lot more that goes into this and you should only do this if you can pay off your card at the end of each month but if you’re getting $1,000 back on the $3,000 you’d spend anyways in gas, groceries and random necessities, then you just saved 33% on your everyday budget.

5.) Optimize Your Income

As important as frugal living is to the FIRE community and retiring early, you cannot save your way to early retirement and if you try to, it’ll take forever and be really hard. So, you have to do the other things to get you there faster. This is doing things like investing what you do save and then optimizing your income and earning as much as possible. This could mean doing what I did and working three different jobs at the same time or it could be focusing on the one job you do have and working towards getting a promotion. This could also be building your own business on the side, something that has the potential to scale. Whatever you chose to do, your income probably won’t reach the 50% saving rate needed to retire so you’re going to have to figure out a way to help boost that.

All this may be really but hard, but if it were easy everyone would do it. Thanks for reading! Have a good week 🙂

5 Rule Of Financial Independence – Gabe Bult Blog

Fire Rules Of F.I.R.E

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