Has the FIRE gone out? No, I’m not talking about your woodstove, though it’s a good time to stack firewood given the high costs of heating oil. I mean FIRE, Financial Independence, Retire Early, the movement many super savers have joined. In other words, saving ’til it hurts.
According to a survey by MyPerfectResume.com, many workers are increasingly viewing FIRE as “out of reach,” in the face of inflation. They report:
The FIRE movement promotes aggressive saving and investing to leave the workforce before the traditional retirement age. While the idea is attractive, most workers don’t believe it’s realistic.
When asked which statement best describes their view of FIRE:
- 44% say it sounds appealing, but unrealistic for most people.
- 27% say it’s realistic only for high earners or wealthy households.
- 22% say it’s realistic for people like them.
- 7% say they’d rather work longer and enjoy life now.
In total, 71% believe FIRE isn’t broadly realistic, either because it’s unrealistic for most people or because it’s only achievable for high earners or wealthy households. Only 22% believe FIRE is realistic for people like them.
MyPerfectResume.com explains, “Retirement is becoming a moving target for many U.S. workers. Rising living expenses, limited savings, healthcare and housing costs, and debt are forcing workers to reconsider when they can leave the workforce.”
Action Line: Whether you want to retire early or on time, you need a plan for saving and a plan for spending. When you want to talk about your retirement plan, email me at ejsmith@yoursurvivalguy.com. And click here to subscribe to my free monthly Survive & Thrive letter.
