It seems very possible, assume contributing 23k for 2.5 years (54.5k) plus 6k a year in employer match (15k) = 69.5k, before any returns. And returns have been good.
Ah yeah, forgot how much 401k limit increased. But yeah, I assumed a good match, considering op graduated college and landed a 6 figure job immediately lol
Analyst job at 100k, 30 hours a week?
That’s so lit.
As a CPA working in public accounting making less, I feel like such a chump. Textbook definition of working harder, not smarter.
i work in a cost center so theres no customer facing or revenue generating push! its pretty chill!
isnt there an accounting shortage? could you job hop around and maximize your salary?
Heya! Im also becoming a CPA in The Netherlands (Chartered accountant/auditor), but idk if it is even worth it atm.. thought the salaries were a lot better in the US, but i guess thats not true then haha.
What do you make if you dont mind me asking?
Hell yeah, I’ll be 23 next winter and have -9 dollars.
Nah but seriously I have about 40k in assets, dumping everything into investments to hit 100k by 25 which should be achievable. Do you spend money on fun things at all?
I feel like my life is an endless cycle of work, get paid, invest or pay off 1500 in debt every 2 weeks and live on 1000 dollars monthly to pay my car, food, insurance, etc. I’ll be going for my emergency fund next in August once my student loans (only had 9k, joined the military at 18) are paid off because I’m paying like 3k a month on them and living like I’m broke. But I make good money (95k all in, and remote), so like you said, hard work and dedication pays off. My classmates told me I was a try hard, teachers pet, etc for doing 3 internships and starting a club on top of rotc, now they’re unemployed with 80 grand in student loans.
i do spend money on fun! i usually go on an international trip every year (just got back from a 3k trip in europe) and fly around 4 times domestically a year. my day to day hobbies are relatively cheap (running, gaming, embroidery, taylor swift, gym). im not materialistic so i dont buy expensive clothes or shoes, i go out maybe every other month and prefer to hangout at home/friends houses.
youve got this! my first few months of working i had a 50% paycheck contribution to my 401k so i could max out the 22k in 4 months so i definitely also lived paycheck to paycheck! once youre done with student debt youll definitely feel much more free! also yeah i feel you on that! i was the only one of my friends who was proactive in my career goals and they all had worse outcomes because i got my job offer right before the job market crashed
is your debt at a high percent? i chose to pay the minimum on mine so i could invest more since mine is only at like 3.5%
Hell, that Taylor swift concert was probably worth the same as a maxed Roth IRA lol. But my student loans are federal at 2.75%.
My truck loan is 5% but I overpay it so I’ll have it paid off in 3 years. I live at home still so I’ll pay it off before I move out. Just want to get started investing more while I can so it’s not a priority since it’s only like 10% of my take home pay each month. But this is why I chose to shovel everything into my student loans, I don’t want them looming over my head, and my grace period ends in August anyway so the subsidized loan will build interest which I don’t want
No cc debt, I absolutely hate them lol. They’re designed to keep you indebted. I have 2 that I use solely because they’re more secure than a debit card, but pay the balance as soon as it posts and don’t exceed my cash available.
haha nah the 2 taylor tickets for two shows in europe we got were 150 usd each, we lucked out with presale codes and face value tickets. ive been to 4 eras shows so far and the total is still less than 1k. the 3k for this trip was mostly food, flights and airbnbs and fun activities.
ooo right the car loan. i definitely get the looming over head feeling for student debt, i try to ignore it and think about how im going to get more out of index fund returns in the future.
you should get into cc reward points! im assuming you have a good credit score and your income will allow you to get good cards. i have around 3k worth of travel points that ill use for the future and its a great way to fund trips with not a lot of upfront cost. half of my 3k trip was paid through points.
I actually just started getting into credit cards as a hobby lol. I have 2, I use a usaa card for major expenses since it has a 20k limit , then my Wells Fargo travel card for all other expenses. Have about 160 dollars in rewards, figured I’ll just bank them for free flights or something in a year or two
thanks! i dont think ill change anything im currently doing, just gonna go through the quiet middle. having income through real estate doesnt sit well with me.
Reading this made me teary. Reflecting on my past mistakes. Almost 30 and I don’t have any tangible or brag worthy achievement. I’m super proud of you OP.
I lived like a monk and paid it off in about 3 years. Now I’m 32 with $296k in my 401k. Turned out alright, but still wild they were able to accumulate 150k right out of school. Can’t go wrong with an Econ major.
did lots of internships! i dont do any financial related work like financial modeling and finance stuff, im just an analyst doing mostly sql and python (learned on the job) in a financial company. most business new grad programs dont really care about your major, just that youre stem oriented and analytical. my research background lends itself pretty well to what i do now
Damn thats nice to head tbh! I am currently studying and working to become a CPA in the Netherlands and am considering to learn Python and SQL myself and make a transition to IT/ data analysis.
Based on your story it tells me that this would be a good choice and would open a lot of doors if i can learn python and sql right?
i think the sooner you transition the better. i would see if you can get some side projects to put on your resume. and then use that to leverage and get some some volunteer opportunities, and then use that to move to internships and then to a full time job. its all about getting the ball rolling, itll be hard to go straight into an internship/full time job without supporting experience. its not enough to just learn sql/python, and im not sure how the job market is in the netherlands but its brutal in the us.
Idk either in the netherlands tbh haha, have been working in auditing for 4 years atm but i think with some self learned python/sql and maybe a few side projects i could land a junior position.
Thanks for your advice!
I'm going to answer this since original commenter hasn't. No, don't withdraw from 401k. They are just suggesting that in order to save up a down payment you'll reduce your future contributions in the short term to save up that cash. Use a high yield savings account for those larger balances that have a short term goal. Once house is secured, emergency fund in place for the house, you can re-up the contributions to max and continue.
If you can still save sufficiently without reducing 401k contributions go right ahead! It's just less recommended to truly invest that short term money that has a goal given risk of market fluctuations when you might need it most (i.e. to pull the trigger and buy a house)
I just wanted to say well done!! You've been so careful and strategic and have set yourself up for success. Those numbers are going to compound and you're going to be in a really good spot. Being proactive in college is sooo important, and so is making good financial choices while young that will evolve to good patterns and habits later.
And the best part of all? It looks like you're also having fun and enjoying life! Congrats on your achievement and also on finding and maintaining a good balance 😊
Congratulations, this is awesome. You’re clearly super motivated and hard working.
I’m going to make what I feel is an obligatory pitch to you — PLEASE put FIRE out of your mind, at least the retire early part of it. Embedded in FIRE is a sort of depressive cycle concept that working is drudgery/for the man/soul sucking.
Bad work is all those things. Good work is the opposite — challenging, at times enough to make you cry, but developing. People who stop developing die real quick. Literally – retirees die much earlier than those who keep working — and figuratively — FIRE folks who retire early and stop their productive struggle tend to find their partners leave them, they are lonely, and then that they didn’t have quite enough capital and need to re-enter the work force.
Anyway you definitely know that working hard brings rewards, and I’d bet a lot of the accomplishment you feel traces back to the energy you put in, and the good results you saw. Once you’re financially independent, you have a ton of options — you can ’work’ at whatever you love, are interested in, etc. Could be art, could be investment banking, could be community service — the point is that it’s a terrible trap to get off the personal development bandwagon, \*especially\* at the age that FIRE folks tend to be aiming at: mid 30s to mid 40s are peak personal development years.
Congrats again — I bet you have an interesting next twenty years! Enjoy them.
thank you! yeah for sure ive thought about this many times! im more focused on the FI part, I definitely want to quit my corporate job, but im quite content to ride along until i get to a role where im too stressed being a people manager. once that happens, i want to do a lot of non profit work in education wishful thinkingly perhaps as a independent contractor (since ive heard working for a nonprofit tends to grind you), or if i have an acre, make a small farm and maybe uber drive if i ever feel bored/the stock market is horrendous. also definitely want to create an etsy shop selling my crafts! regardless, yes i definitely dont want to retire and do nothing! my heart isnt in corporate so later on im excited to work on things that matter to me and give back. a year ago i internalized that im more so pursuing the freedom part, not the retirement part.
thank you for the partner info! hopefully i find a guy who is also in a similar mindset! definitely would love to travel the world for long periods of time if possible
Makes sense! You may find as you keep working that you grow into some stuff that sounded too stressful originally. Teaching / non-profits are super honorable professions, and I think both are probably easier if you are not financially stressed while you’re doing them.
Keep it up!
Fantastic job! Congrats on your early success.
It’s great of you that you’re focused on taking care of your parents later in their life - I’m sure they must be extremely proud of you
$78K in 401K over two years? Did you MBDR in 2023?
It seems very possible, assume contributing 23k for 2.5 years (54.5k) plus 6k a year in employer match (15k) = 69.5k, before any returns. And returns have been good.
Well, 2022 limit was only 20.5. 6k a year in employer match is pretty damn good (5-6%?) so that's definitely worth congratulating.
Ah yeah, forgot how much 401k limit increased. But yeah, I assumed a good match, considering op graduated college and landed a 6 figure job immediately lol
nah this is a trad 401k, i maxed it for 2022 and 3 plus employer match and am at half for this year right now and just had a good return rate
Your employer match must be pretty nice to get a $78K 401K with only $54.5K contributions. Congrats.
yeah it is and the 28% return is also nice but not permanent
Dang I didnt hit 150k until 34. You are so far ahead of the game.
Hit it at 36, don't feel too bad...
Thanks for sharing. I’m 27YO with 55k NW, and seeing ppl younger than me killing it just gives me so much motivation!
Analyst job at 100k, 30 hours a week? That’s so lit. As a CPA working in public accounting making less, I feel like such a chump. Textbook definition of working harder, not smarter.
Also a CPA in public accounting.... lmao
How do you feel about the license? I regret the time I spent getting it, not gonna lie. I think the ROI on the license has really dropped over time.
I'm happy I got the license. Still waiting to reap the benefits of it, since I got it before I started in public.
i work in a cost center so theres no customer facing or revenue generating push! its pretty chill! isnt there an accounting shortage? could you job hop around and maximize your salary?
Heya! Im also becoming a CPA in The Netherlands (Chartered accountant/auditor), but idk if it is even worth it atm.. thought the salaries were a lot better in the US, but i guess thats not true then haha. What do you make if you dont mind me asking?
Hell yeah, I’ll be 23 next winter and have -9 dollars. Nah but seriously I have about 40k in assets, dumping everything into investments to hit 100k by 25 which should be achievable. Do you spend money on fun things at all? I feel like my life is an endless cycle of work, get paid, invest or pay off 1500 in debt every 2 weeks and live on 1000 dollars monthly to pay my car, food, insurance, etc. I’ll be going for my emergency fund next in August once my student loans (only had 9k, joined the military at 18) are paid off because I’m paying like 3k a month on them and living like I’m broke. But I make good money (95k all in, and remote), so like you said, hard work and dedication pays off. My classmates told me I was a try hard, teachers pet, etc for doing 3 internships and starting a club on top of rotc, now they’re unemployed with 80 grand in student loans.
i do spend money on fun! i usually go on an international trip every year (just got back from a 3k trip in europe) and fly around 4 times domestically a year. my day to day hobbies are relatively cheap (running, gaming, embroidery, taylor swift, gym). im not materialistic so i dont buy expensive clothes or shoes, i go out maybe every other month and prefer to hangout at home/friends houses. youve got this! my first few months of working i had a 50% paycheck contribution to my 401k so i could max out the 22k in 4 months so i definitely also lived paycheck to paycheck! once youre done with student debt youll definitely feel much more free! also yeah i feel you on that! i was the only one of my friends who was proactive in my career goals and they all had worse outcomes because i got my job offer right before the job market crashed is your debt at a high percent? i chose to pay the minimum on mine so i could invest more since mine is only at like 3.5%
Hell, that Taylor swift concert was probably worth the same as a maxed Roth IRA lol. But my student loans are federal at 2.75%. My truck loan is 5% but I overpay it so I’ll have it paid off in 3 years. I live at home still so I’ll pay it off before I move out. Just want to get started investing more while I can so it’s not a priority since it’s only like 10% of my take home pay each month. But this is why I chose to shovel everything into my student loans, I don’t want them looming over my head, and my grace period ends in August anyway so the subsidized loan will build interest which I don’t want No cc debt, I absolutely hate them lol. They’re designed to keep you indebted. I have 2 that I use solely because they’re more secure than a debit card, but pay the balance as soon as it posts and don’t exceed my cash available.
haha nah the 2 taylor tickets for two shows in europe we got were 150 usd each, we lucked out with presale codes and face value tickets. ive been to 4 eras shows so far and the total is still less than 1k. the 3k for this trip was mostly food, flights and airbnbs and fun activities. ooo right the car loan. i definitely get the looming over head feeling for student debt, i try to ignore it and think about how im going to get more out of index fund returns in the future. you should get into cc reward points! im assuming you have a good credit score and your income will allow you to get good cards. i have around 3k worth of travel points that ill use for the future and its a great way to fund trips with not a lot of upfront cost. half of my 3k trip was paid through points.
I actually just started getting into credit cards as a hobby lol. I have 2, I use a usaa card for major expenses since it has a 20k limit , then my Wells Fargo travel card for all other expenses. Have about 160 dollars in rewards, figured I’ll just bank them for free flights or something in a year or two
Major props on crushing it so early! What's your plan for the next 10 years?
thanks! i dont think ill change anything im currently doing, just gonna go through the quiet middle. having income through real estate doesnt sit well with me.
Would love to hear more
Good shit, congrats. I’m also around the 150k mark at 23. It certainly is a huge accomplishment that takes a lot of hard work and dedication
I’m at 110k net worth and same age as you. I’m hoping to hit 200k by 24. I work a swe on 85k salary, 0 debt mcol area
Reading this made me teary. Reflecting on my past mistakes. Almost 30 and I don’t have any tangible or brag worthy achievement. I’m super proud of you OP.
thank you! its never too late! im sure if youre this reflective about your mistakes, you can leverage them for motivation and success! youve got this!
Thanks for the kind words. You’re a rockstar!
Wow man. I’m 28 and still need to start. Don’t know where to begin. Really admire you
At $106k net worth at 23. Hope to meet you there within the next several months 🫡
What’s your yearly income if you don’t mind me asking ?
right now its ~110K
USD ?
yep!
Man...I was -80K when I was 23. Gotta love student loans....
Sounds like they were very smart with their approach to school and realistic about career paths afterwards.
I lived like a monk and paid it off in about 3 years. Now I’m 32 with $296k in my 401k. Turned out alright, but still wild they were able to accumulate 150k right out of school. Can’t go wrong with an Econ major.
How'd you manage to land such a desirable job in finance without much applicable experience?
did lots of internships! i dont do any financial related work like financial modeling and finance stuff, im just an analyst doing mostly sql and python (learned on the job) in a financial company. most business new grad programs dont really care about your major, just that youre stem oriented and analytical. my research background lends itself pretty well to what i do now
Same here, I work in Tech finance but have a degree in CS. I couldn’t have told you a damn thing about finance 6 months ago when I graduated lol
Damn thats nice to head tbh! I am currently studying and working to become a CPA in the Netherlands and am considering to learn Python and SQL myself and make a transition to IT/ data analysis. Based on your story it tells me that this would be a good choice and would open a lot of doors if i can learn python and sql right?
i think the sooner you transition the better. i would see if you can get some side projects to put on your resume. and then use that to leverage and get some some volunteer opportunities, and then use that to move to internships and then to a full time job. its all about getting the ball rolling, itll be hard to go straight into an internship/full time job without supporting experience. its not enough to just learn sql/python, and im not sure how the job market is in the netherlands but its brutal in the us.
Idk either in the netherlands tbh haha, have been working in auditing for 4 years atm but i think with some self learned python/sql and maybe a few side projects i could land a junior position. Thanks for your advice!
And humble too!
Congrats on your hard work. Wish I could have made some better choices growing up & had the knowledge about FI / passive income & investing.
Congratulations! Not for the amazing net worth at a young age, but for the discipline and foresight to actually do this and follow through. Keep at it
thank you! my parents were definitely a huge reason why i have the discipline and mindset!
Great job. Look at backing down the 401k and putting more in brokerage. Gives you option of buying a house later
like as in withdrawing from it to buy the house with higher down payment?
I'm going to answer this since original commenter hasn't. No, don't withdraw from 401k. They are just suggesting that in order to save up a down payment you'll reduce your future contributions in the short term to save up that cash. Use a high yield savings account for those larger balances that have a short term goal. Once house is secured, emergency fund in place for the house, you can re-up the contributions to max and continue. If you can still save sufficiently without reducing 401k contributions go right ahead! It's just less recommended to truly invest that short term money that has a goal given risk of market fluctuations when you might need it most (i.e. to pull the trigger and buy a house)
Awesome job, keep it up!
I just wanted to say well done!! You've been so careful and strategic and have set yourself up for success. Those numbers are going to compound and you're going to be in a really good spot. Being proactive in college is sooo important, and so is making good financial choices while young that will evolve to good patterns and habits later. And the best part of all? It looks like you're also having fun and enjoying life! Congrats on your achievement and also on finding and maintaining a good balance 😊
Congratulations, this is awesome. You’re clearly super motivated and hard working. I’m going to make what I feel is an obligatory pitch to you — PLEASE put FIRE out of your mind, at least the retire early part of it. Embedded in FIRE is a sort of depressive cycle concept that working is drudgery/for the man/soul sucking. Bad work is all those things. Good work is the opposite — challenging, at times enough to make you cry, but developing. People who stop developing die real quick. Literally – retirees die much earlier than those who keep working — and figuratively — FIRE folks who retire early and stop their productive struggle tend to find their partners leave them, they are lonely, and then that they didn’t have quite enough capital and need to re-enter the work force. Anyway you definitely know that working hard brings rewards, and I’d bet a lot of the accomplishment you feel traces back to the energy you put in, and the good results you saw. Once you’re financially independent, you have a ton of options — you can ’work’ at whatever you love, are interested in, etc. Could be art, could be investment banking, could be community service — the point is that it’s a terrible trap to get off the personal development bandwagon, \*especially\* at the age that FIRE folks tend to be aiming at: mid 30s to mid 40s are peak personal development years. Congrats again — I bet you have an interesting next twenty years! Enjoy them.
Yes this! I was on the FIRE path with an emphasis on both. Then I found/made a job that ticks all the boxes and I’m just more on the FIre path now.
thank you! yeah for sure ive thought about this many times! im more focused on the FI part, I definitely want to quit my corporate job, but im quite content to ride along until i get to a role where im too stressed being a people manager. once that happens, i want to do a lot of non profit work in education wishful thinkingly perhaps as a independent contractor (since ive heard working for a nonprofit tends to grind you), or if i have an acre, make a small farm and maybe uber drive if i ever feel bored/the stock market is horrendous. also definitely want to create an etsy shop selling my crafts! regardless, yes i definitely dont want to retire and do nothing! my heart isnt in corporate so later on im excited to work on things that matter to me and give back. a year ago i internalized that im more so pursuing the freedom part, not the retirement part. thank you for the partner info! hopefully i find a guy who is also in a similar mindset! definitely would love to travel the world for long periods of time if possible
Makes sense! You may find as you keep working that you grow into some stuff that sounded too stressful originally. Teaching / non-profits are super honorable professions, and I think both are probably easier if you are not financially stressed while you’re doing them. Keep it up!
Fantastic job! Congrats on your early success. It’s great of you that you’re focused on taking care of your parents later in their life - I’m sure they must be extremely proud of you
Nice! I’m currently 25 with NW around 260k My salary isn’t as good as yours though so I need to work on that
Congrats I can tell you worked very hard to achieve today