r/FIRE_Ind • u/Odd-Decision3633 • 13d ago
FIRE milestone! Milestone update - 2nd year progress
In the year that went by
The savings from EMI that was finished, started flowing into MFs, with a little used for indulgence (roughly 70/30 split). In addition some of this saving was also used to add to emergency fund (FDs). My aim is to have about ~45L in emergency fund.
ESPP & RSUs helped bump the most part of equity (>1cr). Remaining was from the MFs mentioned above. INR vs USD performance also helped a lot (not sure it's a good thing for me in long term though).
Net Savings: ~10Cr (not including primary residence, +/- 15L)
Allocation: 12% debt, 88% Eq (Better than last year, but still not good, no RE allocation)
Debt: 20L in FD + 90L in EPF + 10L Liquid
Corpus goal: 10Cr
- Kids education: 2Cr
- Buffer: 1Cr
- RE corpus: 7Cr
Looking ahead:
- A thing that's bothering me is to move US equity out and reinvest into UCITS to avoid estate tax in case of unfortunate circumstances. Started conversation with some folks, hopefully should be able to get started on this soon.
- Was able to achieve some diversification in Equity. Basically from a concentrated stock to index fund. This will continue for another year or so. End goal for non-India funds is to keep ~60K in US funds, rest in UCITS.
- Stress in current job is tolerable, it's just that I find myself looking forward to do not-work-things more and more often. Severance is pretty decent if I endup on a layoff list, so there is that hook.
- Of unexpected thing, my sibling is planning to buy an apartment for self-use. I am planning to partly fund it. It will set me back by 20-50L for a year or three, but I am glad to do it.
- Another goal is to find a piece of land that I can call long term home, when I leave the city. An earnest search of this is in progress, but it's not as easy to find the right place. At least not with my criteria. I guess harder the effort, the sweeter the result. Let's see.
- We looked at a few additional properties (half-hearted) as investment in the city but those did not make sense to me at current valuation. I am still keeping some floating fund aside to capture a good opportunity but stopped exploring as such.
- With reduced stress, I was able to do a few short trips. A father son adventure trip, another reunion with friends, a few weekend trips where I could fold Fri & Mon to make those long.
- Did a very relaxing solo trip without any pressure to check on work.
- Physically I feel stronger than I have ever felt before. All reports are showing good markers and my cardiologist says "Keep doing whatever it is that you are doing". That always feels great to hear.
- I am not sure if I will be posting any milestone updates as my intended finish line is very close. IF I take the plunge, might post updates from fired life
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u/Impossible-Dress3490 13d ago
Great going. I saw your previous posts, very well articulated. My networth is similar to yours, however it's more in Real estate. This 10cr is excluding your Real Estate?
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u/Odd-Decision3633 13d ago
Hey, yes. 10Cr is excluding the real estate. I do not have any real estate investment as of now. Only RE I have is the primary residence.
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u/Impossible-Dress3490 13d ago
Nice, you mentioned that you are passively looking to invest in Real estate, is it for the rental income or upgrading your current primary residence.? Even i have 2 kids, elder one will join college in next 2 years. Was wondering how you calculated the higher education amount. Tentatively I have allocated 50l per kid in my excel calculations.
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u/Odd-Decision3633 13d ago
50L is fair, I have just added buffer. If they don't need all of it, rest of it becomes a cushion for them. If they need more, they will figure a way (after college) to make money 😄 . I think 50L should cover average Btech degree and related expenses. In case if your kids are inclined to go towards medical, you might need more than that (private colleges are expensive). Also in my estimate I tried to lazily factor in the living expenses.
The RE that I am searching for is a home away from city life, it's more for mental peace (you can call it upgrade). If I end up working for next couple of years, I might plan for RE that has income potential.
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u/Impossible-Dress3490 13d ago
Thanks for the reply. My networth is around 8cr, 5cr in Real estate( not considering my primary residence)and 3cr in debt(Ppf, epf, Sukanya) and equity. I am in IT for more than 20 years and at management level in GCC. Work Pressure is manageable, however due to AI and some restructuring, my anxiety levels are up. May be i need to take a break, but again not sure if this is the right time to take. Also, with kids higher education around the corner, did you allocate the money in FD ?
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u/Odd-Decision3633 13d ago
That's a really comfortable number, I hope it grows that way you wish. I haven't leveraged Debt (including FD) much as your can see from the breakdown above, I need to do better in that regard.
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u/kaalbhairavaa 13d ago
what's the thought process behind 2cr as kids education corpus? Any pointers or insights will be helpful on how did you arrived at that number.
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u/Odd-Decision3633 13d ago
There is no solid thought behind this. I have 2 kids who will enter college in very near future. Taking into account the potential expenses, I have kept aside 1cr each for undergrad. If they get in on their own merit and there is leftover money, they would be able to use it for masters if they want.
1Cr felt like a nice round number so I chose it.
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u/Few-Acanthisitta9319 13d ago
Where do you live and would wanna retire? What's your age? Adding this info would be great
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u/Odd-Decision3633 12d ago
Ah. As this was a series of posts I had shared this info in previous posts but I can understand where you are coming from. Mid 40s, currently in Bangalore. Where would I want to retire, that's the exploratory path I am on. Currently inclined towards Uttarakhand, Western Ghats or rural Goa.
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u/Prudent_Bet9431 13d ago
bro what is your current corpus