[Insanity]

Slows careers, but I guess "what's the point" of rushing through your career? You'll likely earn more money, at increased levels of stress, and while giving up on other things life has to offer.

I kind of resonated with the author when I was in my twenties, when I was really focused on work and gave up a lot of 'leasure' time to do so. Nowadays, I think a healthy balance is actually needed to live a full life.

Today I'm a Staff-level IC in my early thirties, and to be honest I sometimes think it would have been nice to linger a bit longer in the other IC levels, to get some more actual programming done versus time spent in meetings & playing a certain amount of politics :)

And as the years go on, I feel that I'm shifting my WLB more and more to the "life" side of the equation.

[fragmede]

The rush is to be able to have enough money to retire on, which brings up that parable about the Mexican fisherman and the American entrepreneur.

You're a Staff-level IC, but is it at a company doing something you're in love with, in a manner of how you want to change the world and leave the tiniest legacy? or are you just collecting a paycheck?

[tayo42]

Your making like a half million a year then? You'll have financial freedom in a couple years...

[yladiz]

Let’s assume you can save half of that. In two years, you’ll have 500,000. Is that enough to never work again?

[Loughla]

Where I live, 500k would be enough to live my life until I die using basic safe investments and planning. I might not be able to take lavish trips, but I could live comfortably off of that for decades.

Do you live in an urban USA area?

[munificent]

I don't think that's true anywhere in the USA. You need healthcare, it isn't cheap, and Medicare doesn't kick in for quite a while (possibly never the way politics is going).

[tayo42]

No but maybe 4 years? Plus growth in savings and investments from the rest of a software engineers highly paid career? 10 years without staff level income has me at around a million already. Pay off a house and do what ever you want with another million.Plus you can use that money to pay down high interest loans like mortgages and save more

Edit: never work again doesn't have to be the goal, 2-3mil in the bank, everything paid off. I can get a job writing low stress Haskell and rust or something pointless and still make Sr eng money, like a measly 200k lol

[VirusNewbie]

No, but it might be enough to COASTFire, or get a dream house and not stress about the payments, or set up a nest egg, or just lower stress about quitting any future jobs.

It's not black and white, front loading some stress in early career can really change life trajectories, even if it's not a long term lifestyle thing.

I am working a high stress job (that I quite enjoy) at a FAANG company, and i've made enough money here that I could take a much lower paying job at any point and not need to worry about saving for retirement or paying for kids colleges. It's not retire now rich by any means, but it's definitely alleviating some financial worries I used to have.

[cm2012]

At $500k per year salary, in NYC and SF, your overall tax burden is about 50% (including federal, state, city, sales and property tax).

So really if you save half your money, you are only saving $125k per year.

[dmoy]

35% effective, 50% marginal.

You take home more like $325k+. Assuming we're talking MFJ with a family

[cm2012]

Once you add in payroll tax, sales tax (10% of most purchases) and property tax (you pay indirectly even if you rent) and you get right around 50% in NYC. I have lived this and calced this many times lol.

[bgnn]

Interesting to include the sales tax. Makes sense I guess. Where I live in Europe it's like 45% income tax + 21% sales tax (more like 75% on fuel) + 5% wealth tax.

[lotsofpulp]

What is the significance of 2 years? Surely, people capable of earning $500k per year are capable of working more than 2 years, at high salaries less than $500k, still allowing them to sock away more than $500k.

$5M to $10M should provide sufficient passive income, even in coastal California.

[nehal3m]

That depends on your expenses, obviously, but if you're serious you should check out the FIRE movement. There's viable strategies even for lower incomes.

[fragmede]

FIRE only works if the economy doesn't collapse.

[nehal3m]

That's fair enough, but then again, we're all boned if that happens so you might as well enjoy the fruits of FIRE until the bang. I wouldn't build up to it starting today though.