I’ve been a longtime follower and reader of your column.
I am 39 years old and reside in Virginia. I have worked as a government employee for over 10 years. Based on a combination of real-estate investment and investments in the stock market, I quickly went from roughly $500,000 in 2018 to $1.3 million in net worth.
The “Trump bump” added an additional $75,000 in the last week. My portfolio consists mostly of stocks, bonds and mutual funds, and I do have a financial adviser who actively manages my accounts. I also have two thrift savings plans (TSP) through the federal government.
Taking all of the above into account, I have my eyes set on moving to either Italy or Spain next year, where the cost of living is roughly half of what it would be in the U.S. I can also take a year sabbatical and then return to the workforce if I get bored of traveling.
What are your thoughts on early retirement — and what would you do if you were in my position?
On FIRE
Take your sabbatical and enjoy your European adventure.
You’re still young and, no doubt, you have a lot more fuel left in your tank. But if you have the opportunity to take a year-long break from your job, enjoy a taste of retirement to see if you like it, and decide what you want to do next with your life, go for it.
Retirement, as I’m sure many people reading this column will tell you, is not just about sitting back and smelling the roses — although that’s part of it for millions of (older) people — it’s also about having the financial freedom to decide what you want to do next.
We have a relatively short time on this planet, so you should live where you will be happiest. You may decide to move and, depending on your visa, also work in Europe, even part time (if you have a parent or grandparent or great-grandparent who was born in Spain or Italy).
