Have you ever heard the phrase…

 

“the more you make, the more you spend”?

 

It seems like the pursuit of riches these days is just to accumulate more things.  Bigger houses, which inevitably translates into more stuff and more cleaning.  Nice cars which will always scratch, and debt, debt, debt.

 

I don’t want a fortune only to buy nice things – I would buy a few.  I want a fortune so I can say what I wanna’ say and do what I wanna’ do.

 

This is politely called F you money.

 

Ever been in a situation – maybe at work – where things are going decently, you’re comfortable, but then it flips?  Maybe processes are changing and you’ve now got more work for the same pay.  Or there’s some new rules implemented that you think are ridiculous.  

 

You keep quiet.  As much as you’d like to voice your opinion, it’s not always strategic to bite the hand that feeds.

 

Unless you’ve got a couple hands feeding you.  You clever little devil, you.

 

Can you remember a time finishing your work early on a Friday in the summer?   When the weather resembles the type you see on a tropical postcard.  All you want to do is kick off a few hours early.  And hey, why not?  You’ve handled your business.

 

But the boss man suggests you get an early start on something that could easily be left for Monday.  Or that you can’t leave until 5 or 6 because that’s when you’re finished being paid.

 

What’cha gonna do?  You’ve got bills that need tending to from a paycheck.

 

Unless you don’t…

 

Definition:  F you money is a large chunk of savings and investments that you have been – or should be – building.  Essentially, money that you’ve put to work for yourself or can draw from for an extended period of time if needed.

 

It’s peace of mind, baby!

 

The breaking of the chains.  

It’s you controlling your future and freedom.  

The ability to live on your own terms.

 

My father is a workaholic.  He’s always got to be keeping busy.  Naturally, this is in my blood.  Albeit I find my muse from different sources, I usually have the urge to keep busy accomplishing something.

 

F you money is not about retiring to a beach at age 30.

 

Okay, it’s a little bit about that

 

When I have an appropriate portfolio of F you money, you can bet I’ll be MIA for some time sipping margaritas.

 

F you money is about the ability to make choices for yourself.  Work on what you enjoy, rather than out of necessity to make car payments or because that credit card interest is stacking up exponentially.

 

Details…

 

What’s the entry amount to wield the ‘F you money’ badge?  That depends.

 

In my mind, the very basic amount would be a year’s worth of living expenses.  The ability to survive on your reserve for a year without working.   Also while living a life that doesn’t entail eating canned tuna and beans the entire year.  Obviously you would need to cut back a bit, but you want to plan for more than poverty.

 

Don’t get me wrong.  If you quit your job because you don’t like it anymore, or lose your job and only have a year’s worth of living expenses saved up I do not recommend taking a mini retirement or sabbatical.  I have done it (not nearly a year, but a month or two at a time) and it’s nice but unproductive to long term wealth creation.

Your best bet is to get back out there and find another job.  Or better; start a business

 

Your reserve is for extreme emergencies and peace of mind.  It allows you to survive the rough times, and provides the luxury to be a bit pickier with where you make money.

 

Real deal F you money..

Real F you money is when you can live ongoing off your reserve.  This means your money – and a lot of it – is working for you, and producing each year’s living expenses and more.

 

That’s the holy grail.

 

Figure you need $40,000 a year to live on?  You’ll need between $900,000 to $1,000,000 invested to produce that amount year after year.

 

Or you’ll need a side gig that pays that much.  A side gig paying that much could be a full time gig.  Side gigs are a total other topic I’m not going to cover right now.  Google is your friend with that.

 

A millie takes some time to acquire, you say.  Am I not free until I have 7 figures?

 

Again, the real F you money amount depends on you.  It’s based on what you need to survive, and how you want to live; if you want to quit working completely or just reduce how much you work.  This comes back to the lifestyle you desire.

 

Bottom line about F you money…

 

Adopt Minimalism and learn to live with less, or find a way to make more money by yourself, and you join the cool kids club sooner.

 

Thinking about this concept for my personal situation a lot lately, and I feel my level for real F you money is $500,000.  At that amount I could comfortably draw $20,000 a year from my portfolio and have it still grow all the while.  Based on the 4% rule.   

 

If I forgot about that money and stopped contributing but continued to let it compound without drawing any money out, within 10 years it would be nearly a million dollars.

 

That amount gets me into the territory of being able to tell a boss to pound sand, and let people know how I really feel without fear of consequence.

 

I will leave you with a quote from the late, and great, Dr. Wayne Dyer:

 

“Freedom means you are unobstructed in living your life as you choose. Anything less is a form of slavery”

 

Godspeed,

Colby