FIRE

FIRE

by Michelle Angeline

Open Ended

what's on your mind when you hear

"financial independence, retire early"?

​The goal of the financial independence movement

​ can be boiled down to,

​

“What would I do with my life

if I didn’t have to work

for money?”

Poll

which one is the most important to reach FIRE?

• frugal living

• money management

• investment

• earning more money

​how to have FIRE

1. Defining Financial Planning

2. Setting Financial Goals

3. Financial Planning Pyramid

4. What Are My Options?

​FIRE planning

1. ​Financial and Insurance Planning

2. Investment Planning

3. Retirement Planning

4. Tax Planning

5. Estate Planning

​ specific measurable achievable realistic time bound

​SMART financial goals

​FIRE

planning

pyramid

Open Ended

Let's start off by figuring out your yearly expenses,

excluding savings and taxes.

​

​

From there, calculate how much savings you'll need to generate that much income without having a paycheck.

​

One rule of thumb, known as the 4% rule, says that retirees can safely withdraw about 4% of their savings a year without running out of money. That means saving 25 times your current annual expenses could last indefinitely with regular 4% yearly withdrawals.

​

​

​For example, if your annual expenses are Rp 50.000.000 per year,

you would need at least Rp 1.250.000.000

(Rp 50.000.000 x 25) saved when you retire.

​

You can also take a more conservative approach by saving 28 to 33 times your current expenses, and take only 3% to 3.5% withdrawals.

Open Ended

so let's count your annual expenses x 25

how much is that?

Multiple Choice

Suppose you put Rp. 10.000.000 in a savings account and left it alone for five years.

If the interest rate was 3% per year,

would you have more or less than Rp 15.000.000?

• more

• less

good luck to reach your FIRE

the next jungle

-grow my money-​