"Speaking to her and over 60 other FIREers in the past two years has taught me that this increasingly popular four-letter acronym is a dream come true for many, but it needs to be done right. Otherwise, being untethered to a job or stream of income can lead to loneliness, anxiety, and feeling like you lack purpose."
""People fear doing it themselves," Katie told me in one of our calls. "So they pay for a professional advisor, which they don't need, then they pay high fees, and they get poor performance." The couple calculated that if Katie had stayed with her high-fee advisor instead of switching to low-cost index funds, they would have been over 1 million British pounds worse off."
Some early retirees regret quitting immediately because loneliness, anxiety, and lack of purpose can follow being untethered from a job or steady income. Many early retirees emphasize learning to invest and using low-cost index funds rather than paying high-fee financial advisors, since fees and poor advisor allocation can significantly reduce retirement wealth. Some FIRE experts advise against delaying retirement unnecessarily. Strong relationships, hobbies, and community are crucial to preserve purpose and social connection after reaching financial independence. Real-world calculations and seminars illustrate the practical impact of fee choices and asset allocation on long-term outcomes.
Read at Business Insider
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