I want to retire early at or before 45 years old.
But to retire, one needs to be financially self-sufficient! So, just for fun, I made some calculations to see how much income I would need to generate per day to retire.
With my mortgage fully reimbursed, I figured out that I could definitely live by a 24,000$ per year income.
If we divide 24,000$ per 365 days, we roughly come up with 65$ per day.
So here it is. It’s my goal! I have to generate 65$ in passive income everyday before I can retire!
Now, it doesn’t sound like a big thing… But what’s my current passive income?
By the end of 2014, I should have a 30,000$ invested in the stock market. My goal is to have a 3,5% initial yield on that investment. So this should yield me 1050$ in passive income of 2,88$ per day.
I also now receive ±10 cents per day from my blogs. Okay I know it’s not a big deal and honestly it’s not true passive income because I spend a lot of time writing, commenting on other’s blogs or reading books or posts on the subject. But since I see it more like a hobby, lets assume it’s passive income.
My journey started in June 2013. That’s when I really decided to create a blog. And in November 2013, I have purchased my first stock. So, already being at almost 3$ per day sounds great!
I believe in the power of compounding interests and you should believe in it too.
While my investments and my blog don’t yield a lot yet, I just started the machine and it feels great to actually see results.
Yesterday, I saw that my dividends from Jean-Coutu have been increased by 17,6% and that Exxon have increased the dividend they pay by 9,5%! This is exactly what I’m talking about when I tell you that you should believe in the magic of compounding interests!
My plan is to retire at or before 45. I’m 32 and I already have been able to generate 3$ per day of “passive income” in less than a year!
I still need to get 62$ per day to reach my goal and I still have 13 years to achieve it!
I feel I’m on the right track!
[author] [author_image timthumb=’on’]http://quityourdayjob101.com/wp-content/uploads/2014/03/ID-10050051.jpg[/author_image] [author_info]Hi, my name is Allan. I’m the masked blogger. Like you I’m a modern slave, prisoner of a 9@5 job in Corporate America. They told us when we were young that we would live in a society of leisure and that technology would permit us to work only a couple of hours per day. But we live in a society of stress and uncertainty. My situation could be a lot worse and I know it. So many humans are suffering on this planet. But a golden cage remains a cage anyway. At least, I have an escape plan. I will retire before 45 years old over my passive income. This is a dream that is so powerful that I will make sure it happens. To build my wealth, I mainly invest in undervalued dividend growth stocks. [/author_info] [/author]
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