What’s your Exit Strategy?
For no apparent reason there is this idea that you must work until the age of 65, at which point you can “retire,” whatever that truly means. Whoever came up with the formula of work hard for 40-45 years and then hope to have enough savings to retire on clearly had limited goals.
Where do you want to be when you turn 65?
According to a study of 20-65 year olds done by the United States Department of Health, Education, and Welfare, by the age of 65 out of every 100 people:
36 were dead
54 were living on government or family support
5 were still working because they must
4 were well off
1 was wealthy
Do you want to be aburden to yourself, or pray that the government will take care of you? (The government can’t afford to by the way, see How You’re Getting Robbed…Legally ).
So how do you avoid this fate?
- Know Your Exit Strategy
- When would you like to be financially free? Set a specific date.
- How much money per month do you need to stop working? This can be achieved by following this formula: Passive Income + Portfolio Income/ Total Expenses
- How much money would you want to be making per month? $1,000/day, $1 million/month, etc?
- Have a Plan
- What skills, abilities, or knowledge do you need to gain to achieve your exit strategy?
- What words do you need to know?
- What relationships do you need to build?
While these exit numbers may seem unreal to you, they are reality to many. Why not make them your reality?
In the Information Age, it is entirely possible to retire younger and wealthier, while you’re still in great health to enjoy the best that life has to offer. Why take the deferred-life path? Life’s too short.