The lack of sleep has been getting to me and my sanity, but I need to keep my head in the game and focus on the prize. While the FIRE goal remains $5M, I have accepted that once we hit $3M I can start slowing down — a bit — as at that point we’d be basically Coast FIRE and not need to save more en route to the $5M (and we’d probably still end up saving a bit.) Since this year has been quite interesting in terms of net worth growth, I want to lay out the path to $3M and how long it will take to get there…

Current: $2.25M

Cash: $35k
Stocks: $874k
Bonds: $26k
Retirement: $763k
529: $287k
Home Equity: $264k

Goal: $3M (+$750k) 

Cash: $60k (+$25k)
Stocks: $1.3M (+$430k)
Bonds: $30k (+4k)
Retirement: $1M (+$237k)
529: $326k (+$39k)
Home Equity: $294k (+$30k)

Growth Only (2 Years)

Cash: $35k of $60k goal
Stocks: $963k of $1.3M goal
Bonds: $30k of $30k goal
Retirement: $841k of $1M goal
529: $316k of $320k goal
Home Equity: N/A (+$30k Principal Payment)

Need Additional in 2 Years (Approx)

Cash: $25k
Stocks: $337k
Bonds: $0
Retirement: $159k
529: $4k
Home Equity: $30k

TOTAL SAVINGS REQUIRED: $555k

… Path to $555k Savings…

Sept – Dec 2021 (+$125k, remaining need $430k… still a lot!!)

Cash: +$25k
Stocks: +$55k
Bonds: +$0k
Retirement: +$19.5k
529: +$20k
Home Equity: +$6k

Jan – Mar 2022 (+$100k, need $330k to goal)

Cash: +$0k
Stocks: +$16k
Bonds: +$0k
Retirement: +$78k
529: +$0k
Home Equity: +$6k

TOTAL VALUE / GOAL APRIL 1 2022

Cash: $60k of $60k goal
Stocks: $1M of $1.3M goal
Bonds: $30k of $30k goal
Retirement: $939k of $1M goal
529: $326k of $326k goal
Home Equity: $276k of $326k goal

Or something like that…

Getting us to ~$2.6M net worth by April 1, 2022.

Still a long ways a way from $3M, but progress in the right direction. And that’s only 7 months away for a net worth increase of ~$350k.

So I guess the $3M goal will have to come next. Step one is to get to $2.6M. After hitting this target then the next major goal will be $3M. I do think hitting $3M will be significant. I guess that’s because in 10 years if we don’t touch that money and don’t save a dime more it will be worth close to $5M. Now, I should probably remove the home equity from the equation entirely, but I’m keeping it for now because it’s a significant part of our net worth and I still dream of selling our home and moving somewhere affordable where we can FIRE and live a good life and have time to travel and see my kids and stuff. So it’s included for now.

Excited to see what will happen in the next 7 months. Of course, the stock market can fall fast and hard and given how heavily we are invested in the markets we can hit $1.5M or worse in 7 months.

Will keep tracking here to see how close we can get to the $3M by April 1… which, incidentally, is when I want to look for a new job!