Discover and read the best of Twitter Threads about #financialindependence

Most recents (21)

Almost every millennial aspires to retire early. But most of the time, this goal seems almost impossible to achieve.

Well, let us tell you... it's NOT impossible! Welcome to the world of FIRE! (1/n)

#financialplanning #financialgoals #retireearly #thread
So, what is FIRE?

FIRE stands for Financial Independence Retire Early and it's all about achieving financial freedom so that you can retire early and live life on your own terms. (2/n)

#financialindependence #financialfreedom #retirementplanning
Can you achieve FIRE in India?

Yes, you can!

Firstly, you need to focus on your Savings Rate (SR). This means cutting back on unnecessary expenses and living below your means.

A high SR is key to achieving financial independence. (3/n)

#saving #investing #FinancialFreedom
Read 12 tweets
There are two main types of IRAs:

Traditional IRAs and Roth IRAs.

There are a few things to consider when deciding which to pick, this includes contribution limits, tax implications, and your specific financial situation and retirement goals.

Let's discuss:
Keep an eye on fees:

When investing in an IRA, it's important to keep an eye on fees such as annual expenses, trading fees & account maintenance fees.

These fees can eat into your investment returns over time, so it's worth comparing options and choosing an IRA with low fees.
One key difference between the two is how they are taxed.

Contributions to a Traditional IRA may be tax-deductible in the year they are made, depending on your income and whether or not you have access to an employer-sponsored retirement plan.
Read 8 tweets
Have you ever wondered how much you need to save for your retirement? Ever wonder if you will make it or fall short?

Over 600+ clients have benefited from our Financial Planning engagement!

Here are FIVE ways financial planning can help you! (1/13)

Before we begin, financial planning is a very personalised process. Every person's need is different. That is why we aim to craft tailor-made financial plans to meet each individual's needs. (2/13)

#financialplanning #personalfinance #savingstips
#1 Achieving Your Goals

Managing your finances in a way through which we can help you meet your goals is the crux of the planning process.

Proper planning can help you accomplish goals that you thought were far out of reach! (3/13)

#financialplanning #financialgoals
Read 13 tweets
Educational thread: Investment mistakes you can make in your 20s:
1. Not a having a plan: 20s is the perfect time to start thinking about finances. There are less responsibilities, expenditure and the scope of savings is huge. Now is the time to think long-term.
2. Not knowing what to do with your earnings: In this knowledge-driven world, there is no shortage of data needed for research kn investments. Find out the investment options, the risks associated and make an investment plan.
Read 9 tweets
Educational thread: 6 Bad Financial Habits you should Avoid at all costs! Read and share:
1. Biting off more than you chew: While loans, credit cards ease your financial burden at the moment, piling them up is never a great idea. If this is your case, investing will be a distant dream.
2. Bad credit score: Most Indians are unaware of how credit scores are calculated. Even simple things like not paying bills, late payments can reflect adversely on your credit score. This can backfire in your future, if you apply for loans.
Read 9 tweets
In 4 years, Jamila Souffrant took @JourneyToLaunch from nothing to a six-figure personal finance business.

Her podcast has over 2 million downloads.

This is the story of how a bootstrapped entrepreneur is building the media empire she wants to see. Image
Jamila had no plans to make Journey to Launch (JTL) a business until a regular commute brought on an existential realization.

She and her husband Woody saved $169,000 in 2 years, with a growing family, so that she could leave her corporate job and focus on JTL full time. Image
Jamila first got into personal finance through the #financialindependence movement.

She set a goal of aggressively saving money and retiring at 40.

In 2016, she and Woody saved $85,000.
In 2017, they saved $84,000. (h/t @RyanDerous for Forbes). Image
Read 13 tweets
How to Buy a Car without a Loan? Read on...

1. Get the price of your favorite car (Assume 10 lakhs)
2. Find out what's the EMI payable for that car for 3 years (₹31,336).
3. Start saving that amount and invest it diligently for 3 years
(for people who think #3 it's not possible, imagine that you have already got a loan and imagine that bank is debiting that EMI from your account. Would you be giving any excuses then???)
4. After three years, you would have around ₹13 lakhs (at 10% growth in Index funds).
5. Your choices after 3 years.
(a) Buy your favourite car (new) for the entire amount (₹13 lakhs).
(b) Buy a used car of the same model for half the price and invest the remaining (₹6.5 lakhs)
(c) Buy a used car (luxury), a segment above for the entire amount (₹13 lakhs)
Read 6 tweets
Many new Twitter followers are (understandably) asking questions that I've answered sometime in the past.

Hence, I hope this collection of threads and posts will be useful. I intend to keep this updated over time.

//THREAD// 👇
About me: In 40s, achieved #FinancialIndependence in Oct 2020 through a regular 9-to-5 large corporate job and disciplined investing in Mutual Funds & Index ETFs over 2 decades.

Worked more years in India than abroad, if that matters.
How much money is needed for #FinancialIndependence in India?

Spoiler: It is more than 25x current annual expenses.

Read More:
Read 7 tweets
- SALT Story -

“I don’t know whether to be happy or sad that my story is not unusual. If I just say that I was born to a farmer in a Solapur village, you will get the drift. My mother was very young and used to everything that comes with being a mother of five girls." (1/10)
"As the eldest, I grew up determined to be the son. Fortunately, I was good at Math. I saved myself from early marriage by getting into an engineering college on merit. My sisters were very happy." (2/10)

#realstory #Finance #womenpower
"Not because I was going to study, but because they could now share the scooty that I used to ride to school!

I am like a mother to my sisters because I do not want them to go through what I did." (3/10)

#money #education #scooty #MOTHER
Read 11 tweets


Dad took 22 years to become #FI despite having many expenses & very less salary back then.

I wish to share a few points of his journey.
It's all pure common sense & nothing extra ordinary .

If HE can , WE all can :))
Read on ....

* He saved first , spent balance.
* Invested month after month as @FI_InvestIndia keeps saying.
* Stayed invested through all the scams & bottoms . Invested more whenever he had surplus
* He averaged up & down
* Learnt Finance by doing MFM from JBIMS. Ensured Conviction.
* Never leveraged . Only invested his own money.
* Was conservative .
* Let go of many opportunities & STUCK to what he UNDERSTOOD.
( Held onto HUL & topped up when it did not budge for a decade) -
Result ? A loan free property.

*Gradually focused on Asset allocation.
Read 6 tweets
Q: Why do you continue with a full time job when you've reached #financialindependence?

Answer below:

First, I've reached FI only a few months ago. Yes, I had a buffer in my target number and felt FI only once I reached 105% of that "buffered" target.

Nonetheless, it's been a raging bull market and I'm aware that a deep correction can reduce my net worth to non-FI status.
Second, assuming market stays flat or goes up, my savings rate will get me to #financialfreedom in next few years.

By FF, I mean that I will have a fat(ter) emergency fund, enough saved up to go for a few dream vacations, plus some other life goals.
Read 5 tweets
Have had many ask how much money is enough for (presumably early) #financialindependence in India. Is it 25x, 30x, or 40x of current annual expenses?

My opinion.

//THREAD// 👇
1/ The first thing we come across when researching financial independence is the 4% rule – 25x your current annual expenses saved = FI. Many early retirement bloggers also preach this so let’s dig into this a little bit.
2/ This is the result of the 1998 US-based Trinity University study which found that using a 4% withdrawal rate on a 75:25 stock:bond portfolio over 30 years had a success rate of 98%.

Let’s understand the assumptions therein.
Read 26 tweets
Nothing worthwhile is achieved without mistakes. I’ve made my fair share on the path to #financialindependence

//THREAD// 👇
1/ When I first started investing, I didn’t have clear goals. I’d simply save up. While that’s not the worst thing, it meant my capital allocation was not in line with (then non existent) time-based goals and hence, I didn’t take enough risks for first 1-2 years.
2/ At one point, I probably had 30-40 different funds but without enough understanding of the underlying investment strategy, ideal investment horizon, risk, or tax implications. I was a sucker for NFOs. It took me over 12 years to prune my MF portfolio
Read 15 tweets

Hi enthusiastic students! Have you heard anything about the rat race?

It is a way of life in which people are caught up in a fiercely competitive struggle for wealth or power. Image
One of the most important strategy they don’t teach in class is the ropes to financial independence.

Thus, get ahead in planning your financial stability with A FREE webinar by LIFEPAL x ITB Project:

Our speaker, BENNY FAJARAI
- Forber 30 Under 30 Asia
- Co-Founder Lifepal
- Co-Founder and CEO Qlapa
- Founder and CEO
- Co-Founder Cactus Project
Read 5 tweets
What are the best channels to #invest in if I want monthly #returns?
What can we teach #children about #financialindependence?
What is the right #assetallocation strategy?
Read 6 tweets
#Assetallocation changes as you near retirement. What if your equity #investments are stuck in a phase where the markets are battered?
Can I share #income by creating a trust?
How can an IT employee generate alternate sources of income?
Read 25 tweets
Long Thread on F.I.R.E.
Financial Independence & Early Retirement

#financialindependence #financialfreedom #earlyretirement #financialplanning #retirementplanning
FIRE = Financial Independence Retire Early
Less than 1% people really understand the true meaning of financial independence. And even less than 1% (of that 1%) are capable of aspiring for it. And even less than 1% (of that 1% of that 1%) are capable of achieving it.
Read 48 tweets
Started the new year by watching Playing With Fire documentary (@PlayWithFIRECo). Very well made with many nuggets of #FinancialFreedom wisdom which I'm putting down here as thread for handy reading. (1/n)
@PlayWithFIRECo It's more important to be rich than look rich because it allows you to focus on the things important in your life. (2/n)
@PlayWithFIRECo Spend lavishly on things that you care about, but cut back ruthlessly in other areas. Don't get swayed by society's expectations of what you should spend on. (3/n)
Read 18 tweets
THREAD. Four years ago, my wife and I made the final payment on a collection of debts that were sizable. It took us 22 months of intense focus. It was, in retrospect, perhaps the most valuable thing we’ve ever done for our marriage. #DebtFree #TBT #babysteps #ThursdayMotivation
The vast majority of this debt was student loan debt, potentially dischargeable through public service debt forgiveness. When I began telling people that we had decided just to pay it all off, some people thought it crazy to NOT coast for ten years and then watch it go away.
In retrospect, I believe we made the right choice. My wife’s dealings with her loan servicer were a regular pain. Payments were often not applied correctly, and even as we were making double/triple payments, dealing with them was a regular annoyance.
Read 24 tweets
THREAD: Financial Independence:Retire Early (FI:RE) Series Part 1a. Understanding Money: PERCEIVED vs. ACTUAL value. #FIRE #FinancialLiteracy #FinancialIndependence #RetireEarly #TayoOyedeji
Formula 1. FI:RE is not about Money. But you need to understand money to attain FI:RE.
Money is:

1. A means of exchange for PERCEIVED value.
2. A store of ACTUAL value.

Understanding the dichotomy between PERCEIVED and ACTUAL value is the key to FI:RE.
Read 14 tweets

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