FISH | Financial Independence Seeking Happiness: #financialindependence

2 Years of Financial Independence

Contender 3 #financialindependence, Dividends, downshifting, Early Retirement, financial freedom, financial independence, Investing, Life 09:11

<div class="separator" style="clear: both; text-align: center;">
<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEi0GVpCROTB0x3ZR4DgPEi9hAIeoEoRISidWAakk8I4_13mTkXxMObSmS52P09PpVVCtg3K0iEjE6Qbx8p_1sfvYl9eEBUYG6uzwQj-xQpngzahQQTPvmaUW2ECaB9kI_17aYMqR2n0oQtz/s1600/View.jpg" imageanchor="1" style="clear: left; float: left; margin-bottom: 1em; margin-right: 1em;"><img border="0" height="212" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEi0GVpCROTB0x3ZR4DgPEi9hAIeoEoRISidWAakk8I4_13mTkXxMObSmS52P09PpVVCtg3K0iEjE6Qbx8p_1sfvYl9eEBUYG6uzwQj-xQpngzahQQTPvmaUW2ECaB9kI_17aYMqR2n0oQtz/s320/View.jpg" width="320" /></a></div>
It was easy to get carried away by our dream of financial independence but what about reality? What are the cold hard numbers? Are we any the wiser and have we made a good decision?<br />
<br />
Today I am giving you the actual living cost numbers and lifestyle trade offs for your consideration of a <b>Financial Independence Seeking Happiness</b><b> </b>lifestyle. <br />
<br />
<br />
<br />
<br />
<br />
<br />
<ul>
<li><b>A look at our current budget (and comparison to national statistics)</b></li>
<li><b>Future cost reductions </b></li>
<li><b>What do our investments look like after the house purchase. </b></li>
<li><b>Lovin’ the new lifestyle </b></li>
<li><b>Is it possible for you - a crude calculation and links to financial timeline planning tool? </b></li>
</ul>
<h2 style="text-align: center;">
Expenditure</h2>
As some readers are interested in living costs in France. I thought I would outline our hopefully-settled-and-no-surprises FIRE costs here.<br />
<br />
<div style="text-align: center;">
<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEiFo6gvJiBekoR4-N6rad1ClJ9DaxefVp5dYnREiWaLq19JS-5grMNYo2sWlFIDMB_7PTxRL6xkACghSsiYlgZQPhDGeiLZi4HilfRYwmMbusFvhLknwneFWYQRNwFg3Kqn19s8fJVmsobk/s1600/Expenses.JPG" imageanchor="1"><img border="0" height="443" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEiFo6gvJiBekoR4-N6rad1ClJ9DaxefVp5dYnREiWaLq19JS-5grMNYo2sWlFIDMB_7PTxRL6xkACghSsiYlgZQPhDGeiLZi4HilfRYwmMbusFvhLknwneFWYQRNwFg3Kqn19s8fJVmsobk/s640/Expenses.JPG" width="640" /></a></div>
<ol>
<li>We have been spending <b>too much on food</b>. My waistline is a tell-tale sign. It is mainly due to a few parties all summer long (erg every other day) and little indulgences (542 vs budget of 480)</li>
<li>We have more money in the budget for Entertainment than we had initially budgeted for (163 vs budget of 200). Continuous saving can be a means to an end but saving for saving's sake is not fun. This year we will use the savings for entertainment.</li>
<li><b>Holiday was below budget</b> (202 vs budget of 300) even though we had 5 good trips to the mountains and to Paris.</li>
<li>We used <b>extra fuel</b> (Petrol for clearing the garden and chainsaw work), electricity and water (had to fill the fosse septique for the first time, 5,000 litres of water) when renovating the house.</li>
<li><b>Clothing </b>has been low as we are currently fully kitted out....for a few months as the kids grow! </li>
<li>We are liable for part of our<b> healthcare costs</b> (averages 34 euros per month including minor surgery, a couple of hospital consultations and numerous visits to the GP).In order to have access to the health system in France it is not just good enough to pay your taxes (aren’t there a lot!). You have to contribute to the system through a job as well otherwise you just have to pay for private cover. </li>
</ol>
<br />
We like “working” a bit. Mrs C is lecturing at the moment. I am looking at options to generate an income as well so we both contribute to the system.<br />
<h3>
What is not included and National Statistics?</h3>
We could take out top up health cover for major medical issues which would require a long stay in hospital. Instead of this we are putting aside 100 Euros per month into an emergency health fund. (see the comment above that we are spending on average 34 Euros per month including visits to the hospital at the moment)<br />
<ul>
<li><b>House maintenance </b>costs – as we are still renovating - we don’t really include these yet….. estimate 50-100 Euros per month</li>
<li>No life insurance – we save and invest in different ways</li>
<li>Saving for a <b>new car</b> would need to be about 100 Euros a month</li>
<li>Saving for the<b> kids higher education</b> - 100 Euros each per month</li>
</ul>
<blockquote class="tr_bq">
Looking at these numbers we can be confident that our underlying costs are around 1,600 Euros per month (~£1,200, ~$1800). </blockquote>
<blockquote class="tr_bq">
This can be compared to the <b>average monthly expenditure in the UK of £2,336 (3,200 Euros)</b>. Source <a href="http://www.telegraph.co.uk/finance/personalfinance/12038850/How-much-does-the-average-household-spend-each-week.html" target="_blank">Telegraph</a> and ONS (Office of national Statistics). </blockquote>
<blockquote class="tr_bq">
Notable differences are Transport £330pm (<i>452 Euros versus our cost of 175 Euros per month</i>) Housing and Fuel £321pm (<i>440 Euros versus our cost of 198 Euros)</i> </blockquote>
<blockquote class="tr_bq">
<i><b></b></i><br />
A couple of other categories that stand out from the ONS £187 on hotels and restaurants per month and £302 on Recreation and culture. (<i>670 Euros per month versus our cost of  353 <b>Euros</b></i>). </blockquote>
<blockquote class="tr_bq">
<i><b>Just these four areas (Transport, housing, hotels and recreation) the total UK average per month is £1,140 versus our outgoing of £530 a huge difference.</b></i> </blockquote>
<blockquote class="tr_bq">
These numbers from the ONS are <u>averages</u>. We know the South East of England is much more expensive than other areas. To this point a comparison of any average can be misleading. The average household has only 2.3 persons in the UK. What about a family with kids which will most likely be the composition of an early financial independence seeker? </blockquote>
<blockquote class="tr_bq">
The best I have is<b> basic living costs for a couple with two children (deemed essential)</b> from this <a href="http://www.theguardian.com/uk/2008/jul/02/welfare" target="_blank">guardian article</a> and <b>are £1,914 pcm (2,622 Euros)</b></blockquote>
<h2>
 Further Cost Reductions </h2>
<ol>
<li>We purchase some seasoned <b>wood </b>each year. I am adding to this with wood from the property. The wood heating will cost considerably less than fuel, electricity or gas heating. The log gassification boiler we have installed is super-efficient and takes all types of seasoned wood.</li>
<li>We should be using less <b>electricity</b>. The solar panels and the wood boiler are replacing the electric water heating we had last year.</li>
<li>We will now reduce our use of the <b>car</b>. We had to travel around a lot to get items for the house renovation. The compact Eco Diesel sips fuel.</li>
<li>Homemade tomato chutney is replacing tomato sauce (it’s a start ;). We have loads of homemade jam, soup and compote from the fruit trees.</li>
<li>We have had a small <b>vegetable patch</b> but will have a very large one next year as we will have the time to plant and maintain one</li>
<li>We have connected the natural spring to the vegetable patch to avoid using metered mains water.</li>
</ol>
<div style="text-align: center;">
<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEjeZ5aW8rFdgzheDWyYy_thYi4YbWuSihiAa5kIl2Nc2hGF3Xu-ACDEJnD3jZfz1v7_RFAXp0LI-djB_W-waefyRqZeMAYYEP62PuqGSXhr566Qm9AlqSjatkEY8OW4m07xFvIEf5IWe95N/s1600/Gardening.jpg" imageanchor="1"><img border="0" height="300" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEjeZ5aW8rFdgzheDWyYy_thYi4YbWuSihiAa5kIl2Nc2hGF3Xu-ACDEJnD3jZfz1v7_RFAXp0LI-djB_W-waefyRqZeMAYYEP62PuqGSXhr566Qm9AlqSjatkEY8OW4m07xFvIEf5IWe95N/s400/Gardening.jpg" width="400" /></a> </div>
<br />
<b>NONE of these cost reductions are arduous</b> and many are beneficial to our health.So Is our income sufficient and has adequate safety to pay for the new cat?<br />
<table cellpadding="0" cellspacing="0" class="tr-caption-container" style="margin-left: auto; margin-right: auto; text-align: center;"><tbody>
<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEj3frYbclNwi49saqjRcLpnv_ZtOOIVzbAP4A1KlzheZO63fAZ0k2C3zXl639aZyQWURrjcFhL4EWZJOocUCjcgOdyEhP5nNpzjy8HqHA8I0fsTQlEGu4e_9B4V4w5692C0nmjGiPhPfkT-/s1600/Smokey.jpg" imageanchor="1" style="clear: left; margin-bottom: 1em; margin-left: auto; margin-right: auto;"><img border="0" height="265" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEj3frYbclNwi49saqjRcLpnv_ZtOOIVzbAP4A1KlzheZO63fAZ0k2C3zXl639aZyQWURrjcFhL4EWZJOocUCjcgOdyEhP5nNpzjy8HqHA8I0fsTQlEGu4e_9B4V4w5692C0nmjGiPhPfkT-/s400/Smokey.jpg" width="400" /></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;">Smokey the cat - our chief pest controller</td></tr>
</tbody></table>
<h2 style="text-align: center;">
Investment and Income</h2>
<table cellpadding="0" cellspacing="0" class="tr-caption-container" style="float: right; margin-left: 1em; text-align: right;"><tbody>
<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhRS9Cw0tLYqyQBhco5pDzZJFmIzwAKBNKkWC4bFfEKkvQI_evDPkGNQC43bvPOB5q4ggdC9GcEeCJ4GNLLsRId4SoU4Gyy1qINJmbb6DcuEEyV3RQAZWUCdVWI8zF2WPd9-qGnqUuRamdJ/s1600/Portfolios.JPG" imageanchor="1" style="clear: right; margin-bottom: 1em; margin-left: auto; margin-right: auto;"><img border="0" height="247" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhRS9Cw0tLYqyQBhco5pDzZJFmIzwAKBNKkWC4bFfEKkvQI_evDPkGNQC43bvPOB5q4ggdC9GcEeCJ4GNLLsRId4SoU4Gyy1qINJmbb6DcuEEyV3RQAZWUCdVWI8zF2WPd9-qGnqUuRamdJ/s320/Portfolios.JPG" width="320" /></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;">Three Investment Portfolios</td></tr>
</tbody></table>
We run 3 portfolios: <br />
<br />
<b>PROTECT (Emergency and opportunity portfolio)</b> – Cash related investments > emergency \ opportunity fund and money for the renovation project<br />
<br />
<b>HYP (High yield portfolio)</b> – Consists of dividend paying stocks and property REITs > this pays for our living costs <br />
<br />
We would like to maintain the capital until we are able to access our pensions. If it works out well, we will be able to help our kids out. The caveat being that they can stand on their own two feet, confidently and independently first! <br />
<br />
We have the safety net of the PROTECT cash in case of emergencies (and a worst case scenario we can sell the house \ downsize \ rent again). <br />
<br />
<b>GROW (Future proofing and speculation)</b> – Consists of our pensions. These are mainly equities UK, EU, WORLD and PRECIOUS METALS and one Final salary scheme. This portfolio is our inflation hedge. <br />
<br />
As you can see from the pie chart this (<b>pension</b>) is a significant part of our portfolio. We have been prodigious savers and always <b>maxed out our matching employer contributions </b>(e.g. we added 7% and the employer added a maximum matching 7%). We both started investing in our personal pensions plans very early in our careers.<br />
<br />
Due to the rising stock markets the pensions have performed very well averaging 7% per year (after fees). <br />
<br />
A notable exception is the <b>lack of bonds</b>. The final salary pension, which we do not control, does hold a substantial proportion in bonds. Any shortfall is made up by the company. It is “inflation” protected meaning the pay-out amount will increase in line with inflation.<br />
<br />
As we are close to our 40’s we have time to be aggressive (overweight stocks) before switching to bonds.<br />
<h2>
Spare income</h2>
We have some spare income each month and deploy it in the following way:<br />
<ol>
<li><b>Save and invest part of our surplus in a Permanent Portfolio</b> approach in tax efficient savings accounts (PEA in France). The more I learn about investing the more I believe in full diversification and rainy day funds. Sticking to just stocks and bonds I believe would be highly risky for us. <i>There are many financial gurus warning of the drop in the business cycle so we need to prepare for it.</i></li>
<li>We are going to<b> start a couple of small business </b>which need some money to start up. This will keep the brain cells ticking over and contribute to society. The French government needs all the money it can get its hands on ;)</li>
<li>Have some more <b>fun and interesting trips</b>. We had great holidays this year, spending only just over 2,500 Euros. This included a trips to Paris, Strasbourg, Vulcania (a Volcano Park in the centre of France), visits to the beach (grandparents), a wedding and a trip to the Pyrenees mountains.<table align="center" cellpadding="0" cellspacing="0" class="tr-caption-container" style="margin-left: auto; margin-right: auto; text-align: center;"><tbody>
<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEjobEOgTgEFsB4-FNnEDL5ZrY87P4M5cb2saIl8RoktzzEdis6qtgU4GN5Fw9zFGICJHhQ2wUICfG3FwrHV9w4tcJvfC-27KV9AYXm0LSMpfNo22ES00JOIQRRrTdUFDaebGSq42zaMyflD/s1600/Holidays.JPG" imageanchor="1" style="margin-left: auto; margin-right: auto;"><img border="0" height="464" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEjobEOgTgEFsB4-FNnEDL5ZrY87P4M5cb2saIl8RoktzzEdis6qtgU4GN5Fw9zFGICJHhQ2wUICfG3FwrHV9w4tcJvfC-27KV9AYXm0LSMpfNo22ES00JOIQRRrTdUFDaebGSq42zaMyflD/s640/Holidays.JPG" width="640" /></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;">View from the Eiffel Tower, National Volcano Park and Pyrenees Mountains</td></tr>
</tbody></table>
</li>
<li>Spend some money<b> improving the soil quality and irrigation</b> around the new property.</li>
</ol>
<h2 style="text-align: center;">
2 Years in and Lovin’ it?</h2>
Somehow we have achieved what we were looking for when we decided to ditch the day jobs. <br />
<ul>
<li>We have a<b> more sustainable</b> living arrangement (food, heat and transport)</li>
<li><b>More Freedom and a simpler life</b> (no landlord, no job commitments, less paperwork)</li>
<li><b>Stability </b>– a base with no reasons to move (e.g. job \ landlord wants us out)</li>
<li><b>Healthier </b>– we cook more food (some from our organic veg patch and fruit trees). We are less stressed (no one telling us what to do, no performance reviews, <u><b>but still the odd nightmares about corporate life</b></u>). We work outside on a daily basis. The Gers is one of the least populated regions of Europe and hence has fabulous air quality.</li>
<li><b>Time </b>to spend with the kids, new friends and think!</li>
<li>Great <b>holidays </b>do not have to be expensive – we have chosen a location where holidays are literally on our doorstop (~2hrs to Atlantic or Mediterranean beaches, the Pyrenees’ mountains and large cities of Bordeaux and Toulouse.)</li>
</ul>
It has not been all plain sailing:<br />
<ul>
<li>Our <b>income </b>is not as high as expected (dividend cuts). </li>
<li>Income <b>tax is higher</b> in France. </li>
<li>We
<b> could not find a property at a good pric</b>e in the local area
 so had to improvise and take on a renovation project. </li>
<li>French <b>
Paperwork </b>- A major advantage is that Mrs C is French. She has been 
amazing at cutting through the red tape and paperwork.</li>
<li>We see less of of our old <b>friends</b> in the UK(but are making so mnay new friends here).</li>
</ul>
We can’t complain when we look at a list of Lifestyle improvements:<br />
Was it worth it? Too right. We have never been freer and less stressed. We have learnt new skills, spent quality time as a family and learnt a lot about what makes us tick.<br />
<br />
If it has to change in the future so be it. In the meantime we are enjoying the ride.<br />
<h2 style="text-align: center;">
What about you?</h2>
<blockquote class="tr_bq">
We are spending around £1,200 per month ~$1800 for a family of four. This requires an invested amount of £288,000 @5% return per year. A really nice country house with land can be picked up for £150,000 in France.<br />
<br />
A <b><u>crude calculation </u></b>of Financial Independence<br />
<br />
If we take two young people with salaries of £35,000 each. In the UK ~10,000 is tax free and the rest is taxed around the 28% mark in this example. <br />
<br />
Your family after tax income would be £56,000. It should be EASY to save 50% of this per year £28,000.<br />
<br />
Considering NO interest, investment gains or salary increases it takes ONLY 15.5 years to accumulate the capital above. <br />
<br />
Save 70% and the number of years drops to 11.2 years ((288,000+150,000)/39,200).<br />
<br />
Now what if you add in investment gains, emergency funds, employer contributions to a pension, help from parent’s etc? Now financial independence really does seem like a real possibility quite quickly. Why not try some numbers out in the <a href="http://getintheringwithme.blogspot.fr/p/muff-tools-and-check-lists.html" target="_blank">Financial Timeline Planning Tool</a>?</blockquote>
<h2>
Key Learning's and Considerations </h2>
<ul>
<li>You need to have a good financial buffer \ emergency cash fund </li>
<li>Your income should be well above your projected living costs (20%+)  </li>
<li>Your income must be inflation proof  </li>
<li>A simpler lifestyle is much less stressful and healthy  </li>
<li>What we have lost (access to amenities, concerts etc.) we have gained in other areas (access to countryside, quiet).  </li>
<li>Changing country is a challenge and your financial situation changes dramatically (our tax free ISA’s are not recognised in France).  </li>
<li>Financial independence can be obtained quickly but it is a discipline and has some costs that may not be negotiable. </li>
</ul>
Further reading: <br />
<span style="color: blue;"><a href="http://getintheringwithme.blogspot.com/2012/07/round-5-15-secs-muff-family-financial.html" target="_blank">Family Financial Independence in 7 Years! Almost FI this is how we got there</a></span><br />
<span style="color: blue;"><a href="http://monevator.com/how-to-live-off-investment-income/" target="_blank">How to live off investment income</a> </span><br />
<a href="http://www.telegraph.co.uk/finance/personalfinance/investing/shares/11466551/10-shares-you-should-be-able-to-hold-forever.html" target="_blank">10 shares you should be able to hold forever</a><br />
<br />
<span style="font-family: inherit;">Useful tool: </span><br />
<span style="font-family: inherit;"><a href="http://getintheringwithme.blogspot.fr/p/muff-tools-and-check-lists.html" target="_blank">Financial Timeline Pla<span style="font-family: inherit;">nner</span> </a></span><br />
<span style="font-family: inherit;"><br /></span>
Peace and prosperity, <br />
<br />
Contender<br />
<br />
* Apologies I have been offline so long - since the move we have not had reliable internet at the house. This is being posted through a mobile phone... We have been promised it will be sorted out soon - all that French paperwork takes time!<br />
<mytubeelement data="{"bundle":{"label_delimitor":":","percentage":"%","smart_buffer":"Smart Buffer","start_playing_when_buffered":"Start playing when buffered","sound":"Sound","desktop_notification":"Desktop Notification","continuation_on_next_line":"-","loop":"Loop","only_notify":"Only Notify","estimated_time":"Estimated Time","global_preferences":"Global Preferences","no_notification_supported_on_your_browser":"No notification style supported on your browser version","video_buffered":"Video Buffered","buffered":"Buffered","hyphen":"-","buffered_message":"The video has been buffered as requested and is ready to play.","not_supported":"Not Supported","on":"On","off":"Off","click_to_enable_for_this_site":"Click to enable for this site","desktop_notification_denied":"You have denied permission for desktop notification for this site","notification_status_delimitor":";","error":"Error","adblock_interferance_message":"Adblock (or similar extension) is known to interfere with SmartVideo. Please add this url to adblock whitelist.","calculating":"Calculating","waiting":"Waiting","will_start_buffering_when_initialized":"Will start buffering when initialized","will_start_playing_when_initialized":"Will start playing when initialized","completed":"Completed","buffering_stalled":"Buffering is stalled. Will stop.","stopped":"Stopped","hr":"Hr","min":"Min","sec":"Sec","any_moment":"Any Moment","popup_donate_to":"Donate to","extension_id":null},"prefs":{"desktopNotification":true,"soundNotification":true,"logLevel":0,"enable":true,"loop":false,"hidePopup":false,"autoPlay":false,"autoBuffer":true,"autoPlayOnBuffer":true,"autoPlayOnBufferPercentage":42,"autoPlayOnSmartBuffer":true,"quality":"default","fshd":false,"onlyNotification":false,"enableFullScreen":true,"saveBandwidth":false,"hideAnnotations":false,"turnOffPagedBuffering":true}}" event="preferencesUpdated" id="myTubeRelayElementToPage"></mytubeelement><mytubeelement data="{"loadBundle":true}" event="relayPrefs" id="myTubeRelayElementToTab"></mytubeelement>

2 Years of Financial Independence

Contender 3 #financialindependence, Dividends, downshifting, Early Retirement, financial freedom, financial independence, Investing, Life 09:11

It was easy to get carried away by our dream of financial independence but what about reality? What are the cold hard numbers? Are we any the wiser and have we made a good decision? Today I am giving you the actual living cost numbers and lifestyle … Read more »

13Dec2015

Financial Independence through Dividend Value Stock Investing

Contender 4 #financialindependence, Compound Interest, Dividends, downshifting, DRIP, Finance, financial independence, Inflation, Investing, Schiller PE10, stock screen 07:35

<br>
<div class="separator" style="clear: both; text-align: center;">
<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhTnY_L9XJqOYWvr_2yG6VBvMgo2BEmAhKIb2nM0iW5PKHViX2A-o4avtYnVnC7QxUYPEhbrBbDbyRZc9GA17Up6EI8sewVlSrsFXh4lC2IpG0K3M7cR1ZA67PEy2EKZx2VLcfvMvMGZL4R/s1600/InvestmentChoice.png" imageanchor="1" style="clear: left; float: left; margin-bottom: 1em; margin-right: 1em;"><img border="0" height="216" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhTnY_L9XJqOYWvr_2yG6VBvMgo2BEmAhKIb2nM0iW5PKHViX2A-o4avtYnVnC7QxUYPEhbrBbDbyRZc9GA17Up6EI8sewVlSrsFXh4lC2IpG0K3M7cR1ZA67PEy2EKZx2VLcfvMvMGZL4R/s1600/InvestmentChoice.png" width="320"></a></div>
#FinancialIndependence requires setting up multiple income streams to replace your income from your labour.<br>
<br>
#Downshifting may mean that you still work but rely on a smaller income from some work and possibly some investments.<br>
<br>
<b>Today the focus is on <u>dividend value stock </u>investing to <u>provide a passive income</u>.</b><br>
<br>
Buying shares in a company has several advantages<br>
<br>
1. You have access to many companies in many different businesses<br>
2. Companies can grow their earnings and dividends rapidly<br>
3. Companies can be out of favour and cheap to buy<br>
4. Companies are strictly regulated and lots of information is available about them<br>
5. Companies can have a competitive advantage \ high barriers to entry<br>
<div style="text-align: center;">
<blockquote class="tr_bq">
<span style="font-size: small;">"One of the biggest mistakes investors make </span><br>
<span style="font-size: small;">is to focus on stock picking for 
capital gains. </span><br>
<br>
<span style="font-size: small;">The reality is that if you're not looking at 
</span><br>
<span style="font-size: small;">dividends when you buy a company... you're </span><br>
<span style="font-size: small;">likely not going to make much 
AT ALL. </span><br>
<br>
<span style="font-size: small;">Did you know that without dividends, stocks </span><br>
<span style="font-size: small;">have actually 
UNDERPERFORMED bonds </span><br>
<span style="font-size: small;">for the last 113 years? </span><br>
<br>
<span style="font-size: small;">This is not hype, a 
study by the London Business </span><br>
<span style="font-size: small;">School found that without dividends, stocks 
return </span><br>
<span style="font-size: small;">a measly 1.9% per year... LESS than Treasuries!"</span> <b><span style="font-size: small;"><span style="font-size: small;"><br><br>Gains, </span>Pains and Capital</span></b></blockquote>
</div>
To help identify companies that are of interest to invest in  I have been spending some time <u>massively improving the stock screening tool</u>  to find some cheap #dividend stocks out there. Here is a look at the new screen (The UK all share list as of the 6th April is available towards the end of the post):<br>
<br>
<table align="center" cellpadding="0" cellspacing="0" class="tr-caption-container" style="margin-left: auto; margin-right: auto; text-align: center;"><tbody>
<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEjdKG1J-p6L6SRJAhMxH3yBS6dQ3HQd0HFDsBsbGKKdlG11TbNHV0-NzXhOELzI9oWs4T2CX4jPGva84VYnLW65sjurZHqtF68rg-X5Ig_AUuVFilaJc00iwAerwZV9CrpnUfvC8cLgqnAN/s1600/10YrScreen.JPG" style="margin-left: auto; margin-right: auto;"><img border="0" height="198" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEjdKG1J-p6L6SRJAhMxH3yBS6dQ3HQd0HFDsBsbGKKdlG11TbNHV0-NzXhOELzI9oWs4T2CX4jPGva84VYnLW65sjurZHqtF68rg-X5Ig_AUuVFilaJc00iwAerwZV9CrpnUfvC8cLgqnAN/s1600/10YrScreen.JPG" width="640"></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;"><b>Sample from a stock screener created with 10 years worth of data</b></td></tr>
</tbody></table>
It has been made very <u>visual</u> with its <span style="color: #6aa84f;"><u>colour coded</u></span> formatting. 10 years worth of financial data is used for graphs and calculations. More of the major indices have been added. <u>It has been made easier to use</u>. Easy to <u>personalise</u> with your own portfolio of stocks. Backed by a <u>large powerful data set and statistical data analysis</u>. <br>
<ul>
<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgHX_XuYh9NK5qtOnhOJ7BocXylAjDT-zl3CYmSLkMtSSNH35I31GoG26urt84z1VI677QX1YiyWTDYFK3Nd3QAbpPUwSltlg-npDAfSsgLPQA947E04TNMw3vrP4PtneB0NKsQFcbPQrt4/s1600/PG.JPG" style="clear: left; float: left; margin-bottom: 1em; margin-right: 1em;"><img border="0" height="140" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgHX_XuYh9NK5qtOnhOJ7BocXylAjDT-zl3CYmSLkMtSSNH35I31GoG26urt84z1VI677QX1YiyWTDYFK3Nd3QAbpPUwSltlg-npDAfSsgLPQA947E04TNMw3vrP4PtneB0NKsQFcbPQrt4/s1600/PG.JPG" width="320"></a>
<li>Contains major market data (US, UK, EU) </li>
<li><u>Current data</u> can be evaluated on the fly for the <u>Value Screener</u> and <u>Dividend Value Screener</u> by clicking the <u>magic button</u></li>
<li>Stocks can be interrogated individually with 10 years worth of data in the <u>graphical evaluation tool</u></li>
<li>10 years of financial performance is used to create the <u>10yr Value Dividend Screener</u> to check the quality of the stock - has it made a regular growing profit and paid a regular increasing dividend?</li>
<li>"My Portfolio" can be setup to show the screener results for your stocks <table align="center" cellpadding="0" cellspacing="0" class="tr-caption-container" style="float: right; margin-left: 1em; text-align: right;"><tbody>
<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhYIgQZ-EaJrZ7NJH1g0-aW4PDlIhsaiHrjFdZUnmXgD-CTQV0oWnDAVFvDoMqg7y-xDvuGxFB4GKB7SukMemE26DSlNCq0nYYwP0zvMbHeHO9PZu6FU_-O1vwDtpOX2AtvXQuNcZ4t0z6q/s1600/Portfolio.JPG" style="margin-left: auto; margin-right: auto;"><img border="0" height="116" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhYIgQZ-EaJrZ7NJH1g0-aW4PDlIhsaiHrjFdZUnmXgD-CTQV0oWnDAVFvDoMqg7y-xDvuGxFB4GKB7SukMemE26DSlNCq0nYYwP0zvMbHeHO9PZu6FU_-O1vwDtpOX2AtvXQuNcZ4t0z6q/s1600/Portfolio.JPG" width="320"></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;"><br></td></tr>
</tbody></table>
</li>
</ul>
<div style="text-align: center;">
<blockquote class="tr_bq">
<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEj_Fe2TuX0Ec6bIb0Eytdx_T-yyKayX4tXgJq9x-XpES2vbkyBSiDs0zJMMrfqicwucnaN-JUD9bIGIkR5EaYaoqqa9j7DXyoEHtTozpMfC3rWVAu_AObPV2n7EN3gkzXl6vz1hUoC2LfIV/s1600/ValueStocks.JPG" imageanchor="1" style="clear: right; float: right; margin-bottom: 1em; margin-left: 1em;"></a><span style="font-family: inherit;"><i><span style="font-size: small;">Markets no longer perform true market functions. In markets today, the dead hands of the academic and the rentier have replaced the invisible hand<br> of the merchant or the entrepreneur.<br><b> <br>James Rickards  </b></span></i></span></blockquote>
</div>
<span style="font-size: large;">Why Look at History</span><br>
<br>
The <b>Value Stock Screener </b>and <b>Dividend Value Stock Screener</b> allow the user to click a magic button to download the latest data from the web. The tool then allows individual stock evaluation. The screen looks for undervalued stocks based on the methodology of "The Little Book That Beats the Market".<br>
<br>
1. Stocks with a very high Return on Capital - are they a well run business?<br>
2. Stocks with  high earnings yield (i.e low PE) are they currently cheap <br>
<br>
<span style="color: #674ea7;"><i>Why a spreadsheet - there are loads of options on the web? So why use this tool instead of one of the numerous screeners out there? Well in my opinion spreadsheets are more personal with the data, you can add your own comments and keep them for reference. Websites have flexibility in the type of graphs and how the data is shown on the screen.  </i></span><br>
<br>
This is great at looking at <span style="font-size: small;"><b>THE.PReSeNT</b></span> but this is not the full picture. The stock may be cheap for a very good reason and can get cheaper.<br>
<br>
In order to avoid this trap further research is required.<br>
<br>
One part of the research is looking at <b>THE.PaST</b> and secondly can we be confident about <b>THE.FuTuRe</b> performance? How good is the stock really? Is the company solid, has solid earnings growth and good dividend cover? This needed to be added.<br>
<br>
<span style="font-size: large;">Introducing 10 Year Dividend </span><span style="font-size: large;"><span style="font-size: large;">Value </span>Screening</span><br>
<span style="font-size: large;"><span style="font-size: small;"><br></span></span>
<span style="font-size: small;">Dividend champion investing is not new and numerous lists of stocks that have consistent dividend growth can be found across the web. What is more difficult to attain is weather you <u>are paying too much for a champion share?</u> </span><br>
<br>
<div style="text-align: center;">
<i><span style="font-size: small;">We need to gain in capital and dividends overtime. That way buying lowly valued stocks that become expensive can be sold and re-invested to gain MORE income. </span></i></div>
<br>
<span style="font-size: small;"><br></span>
<span style="font-size: small;">The new screener has the ability to analyse 10 years worth of financial data for selected Markets </span>(NASDAQ, NYSE, DJIA FTSE 100, FTSE 250, DAX, EURSTOX50).<br>
<br>
 Its purpose is to ask the following questions:<br>
<ol>
<li>Is the current PE ratio expensive for the share in comparison to its historical PE10 (10 year average PE <br>     PE10 = 10 year average share price / 10 years average EPS </li>
<li>Is the company growing its EPS (Earnings per share) consistently?<br>     What is the average EPS growth rate over 10 years?<br>     How many years has the company made a profit?</li>
<li>Is the company growing its dividend?<br>    What is the average dividend growth rate over 10 years?<br>    How many years has a dividend been paid?</li>
<li>How much debt does the company currently have?</li>
<li>What overall score is the company on Quality, Income and Value? </li>
</ol>
All of this information is used to create a score and rank versus other companies. <br>
<ol></ol>
<span style="font-size: large;">10yr Data Screen Benefits</span><br>
<br>
The screen can be looked at stand alone via Google spreadsheets however the excel spreadsheet has some distinct advantages<br>
<ol>
<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEi_9YEXBHqCTE9KtBxO-njGNrubmKJMA3F27OeD2ZoCm3jwf1j93FMnKamE5DFmPzs-6bWwEfZ_8m52kBJNY3vJvGfldpheVj39_1a8uwvv52XGuC_UZdcWGiIAl8C-FosQM6ZKHhjt7WzG/s1600/PG.JPG" imageanchor="1" style="clear: left; float: left; margin-bottom: 1em; margin-right: 1em;"></a>
<li>Enter your portfolio and watch stocks to see what the screen results are. Here is a screen shot with some well known companies:<table align="center" cellpadding="0" cellspacing="0" class="tr-caption-container" style="margin-left: auto; margin-right: auto; text-align: center;"><tbody>
<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhYIgQZ-EaJrZ7NJH1g0-aW4PDlIhsaiHrjFdZUnmXgD-CTQV0oWnDAVFvDoMqg7y-xDvuGxFB4GKB7SukMemE26DSlNCq0nYYwP0zvMbHeHO9PZu6FU_-O1vwDtpOX2AtvXQuNcZ4t0z6q/s1600/Portfolio.JPG" imageanchor="1" style="margin-left: auto; margin-right: auto;"><img border="0" height="235" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhYIgQZ-EaJrZ7NJH1g0-aW4PDlIhsaiHrjFdZUnmXgD-CTQV0oWnDAVFvDoMqg7y-xDvuGxFB4GKB7SukMemE26DSlNCq0nYYwP0zvMbHeHO9PZu6FU_-O1vwDtpOX2AtvXQuNcZ4t0z6q/s1600/Portfolio.JPG" width="640"></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;"><b>A manually entered portfolio showing 10YR data quality results and current value result</b></td></tr>
</tbody></table>
</li>
<li>Query the data by bringing up a graphical interface. Here is a screenshot of Proctor and Gamble:<br><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEi_9YEXBHqCTE9KtBxO-njGNrubmKJMA3F27OeD2ZoCm3jwf1j93FMnKamE5DFmPzs-6bWwEfZ_8m52kBJNY3vJvGfldpheVj39_1a8uwvv52XGuC_UZdcWGiIAl8C-FosQM6ZKHhjt7WzG/s1600/PG.JPG" style="margin-left: 1em; margin-right: 1em;"><img border="0" height="281" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEi_9YEXBHqCTE9KtBxO-njGNrubmKJMA3F27OeD2ZoCm3jwf1j93FMnKamE5DFmPzs-6bWwEfZ_8m52kBJNY3vJvGfldpheVj39_1a8uwvv52XGuC_UZdcWGiIAl8C-FosQM6ZKHhjt7WzG/s1600/PG.JPG" width="640"></a></li>
<li>Record reasons for investing in the stock in the spreadsheet for future use <div class="separator" style="clear: both; text-align: center;">
<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEi0Lq_hdZnY86jba5V6cMynqSfgWClSeoxuHyKTYBCy9WsKevQjjIft9HBXp2Dkdd7GwuEvZ-jBFRfpv9iQYJeudR6wFuQWwbkJkWjy7DN5q_GO00zvyM4bdFKi1HgPaJDy9tXvrugXDb_7/s1600/Comment.JPG" imageanchor="1" style="margin-left: 1em; margin-right: 1em;"><img border="0" height="42" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEi0Lq_hdZnY86jba5V6cMynqSfgWClSeoxuHyKTYBCy9WsKevQjjIft9HBXp2Dkdd7GwuEvZ-jBFRfpv9iQYJeudR6wFuQWwbkJkWjy7DN5q_GO00zvyM4bdFKi1HgPaJDy9tXvrugXDb_7/s1600/Comment.JPG" width="640"></a></div>
</li>
</ol>
<ul>
</ul>
<b>Please read on for the 10 Yr Data Screen for the United Kingdoms FTSE All Share index (Yahoo! ^FTAS):</b><br>
<br>

Financial Independence through Dividend Value Stock Investing

Contender 4 #financialindependence, Compound Interest, Dividends, downshifting, DRIP, Finance, financial independence, Inflation, Investing, Schiller PE10, stock screen 07:35

#FinancialIndependence requires setting up multiple income streams to replace your income from your labour. #Downshifting may mean that you still work but rely on a smaller income from some work and possibly some investments. Today the focus is on d… Read more »

08Apr2014

10 Reasons Why Financial Independence is Good for Society

Contender 0 #financialindependence, charity, Debt, downshifting, Early Retirement, Ethical, Finance, financial independence, Freedom, Habits 21:01

<br>
<table cellpadding="0" cellspacing="0" class="tr-caption-container" style="float: left; margin-right: 1em; text-align: left;"><tbody>
<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEi0O1rMOthFNSEQgsy8Ah9frThxHxnaM8LyPuafJNkrX80RAR1WptLdL3ielJ-e92A91FJbPlKBXUXws9ox4eoLgXs84d3W9W3kAvoOuIdrqO6J7BULnfuDhJcv06PjCubZ9EzWF7tw-KjV/s1600/DSC_0006.JPG" imageanchor="1" style="clear: left; margin-bottom: 1em; margin-left: auto; margin-right: auto;"><img alt="Are financially independet people good for society" border="0" height="320" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEi0O1rMOthFNSEQgsy8Ah9frThxHxnaM8LyPuafJNkrX80RAR1WptLdL3ielJ-e92A91FJbPlKBXUXws9ox4eoLgXs84d3W9W3kAvoOuIdrqO6J7BULnfuDhJcv06PjCubZ9EzWF7tw-KjV/s1600/DSC_0006.JPG" title="The road to financial Independence" width="212"></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;">A Road to Freedom</td></tr>
</tbody></table>
Our little <b>TRiBe </b>is trying out the financially independent, idle life in France. Here are a couple of background posts: in <a href="http://getintheringwithme.blogspot.com/2013/08/happiness-in-france.html" target="_blank"> Happiness in France</a> : finally landed in France and plan for the next 4 years & in <a href="http://getintheringwithme.blogspot.com/2013/10/french-living-quelle-difference.html" target="_blank">French Living – Quelle Difference?</a> : this was a look at our expenditure in France compared to the UK.<br>
<br>
<b>In this post here is a reflection on our current arrangement of living off investments and savings. We are now business owners instead of the wage slaves and 10 reasons why this is a GOOD thing.</b><br>
<br>
<span style="font-size: large;">Wage Slave Exploitation</span><br>
<br>
We were wage slaves to big business. We were the ones being exploited....<br>
<br>
<b>THE.PaST:</b> <i>"Hold on there you were were doing it willingly and being paid for it right?"</i><br>
<br>
Willingly not so sure on that one and were we paid enough. Admittedly that is a matter of opinion. WILLING SLAVE BOOK? What can be said about it was that the companies that we worked for made large profits off our backs. Fine when you are the owner of the business receiving part of the profit (most likely through dividends) but what if the company is not listed and you are not a managing partner or the private equity firm.<br>
<br>
Sure wage slave is a harsh word it was not real slavery was it, chained to the desk and all that. Let's consider that further. We there are other ways of chaining on to his/her desk. Check out the book <a href="http://www.amazon.co.uk/gp/product/B005PROO5K/ref=as_li_qf_sp_asin_tl?ie=UTF8&camp=1634&creative=6738&creativeASIN=B005PROO5K&linkCode=as2&tag=thecontfinain-21" id="static_txt_preview" target="_blank">Willing Slaves: How the Overwork Culture is Ruling Our Lives</a> on this topic. <br>
<br>
We really had to do exactly as we were told, do what the boss wanted and make him/her look good. We had to follow the company line and bend over backwards when needed or else there is the door! OR We are not making enough profits so there is the door anyway. The sword of Damocles was there and you sure knew about it.<br>
<br>
We were brought up to believe work is good for us. Sure there is some truth in it (a little). It can provide an identity - what do you do (<strike>engineer</strike> loafer!). It gives you a purpose (damn alarm clock). You get to learn new stuff (invoice processing, making toilet holders) and meet new people in places you would normally not go (or want to go).<br>
<br>
In the West we dedicate a large part of our prime years to work. To make matters worse we start work really late after getting the pass to work - University Debt. All of those years that could have been spent actually doing something productive and being paid for it - gaining financial independence could be so much earlier.<br>
<br>
I digress - back to the point, we allow ourselves to be exploited as a wage slaves to a business and we have been brainwashed into thinking it should be this way until retirement age at 70.  Now let's flip this on its head and become the business owners.<br>
<span style="font-size: small;"></span><br>

10 Reasons Why Financial Independence is Good for Society

Contender 0 #financialindependence, charity, Debt, downshifting, Early Retirement, Ethical, Finance, financial independence, Freedom, Habits 21:01

A Road to Freedom Our little TRiBe is trying out the financially independent, idle life in France. Here are a couple of background posts: in Happiness in France : finally landed in France and plan for the next 4 years & in French Living – Quelle Di… Read more »

24Feb2014

56 Ways to Be Free, Financially Independent and Happy

Contender 0 #financialindependence, Early Retirement, Happiness 09:24

<br />
<div class="separator" style="clear: both; text-align: center;">
<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEjb07BfsO81VAt9Dkh-B6ZiGRKRLSygNcgUR3XTjbs-WhRLCWStIuwTZVmycfcfsfk1sBHvMYwnjL3PJp0NKmbfEUDL0IGod1O_V2eS8BI23mFw9h0FGvH1nk2QtMwpQQFWDbglNje0-mF-/s1600/WordCloud.JPG" imageanchor="1" style="margin-left: 1em; margin-right: 1em;"><img alt="" border="0" height="197" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEjb07BfsO81VAt9Dkh-B6ZiGRKRLSygNcgUR3XTjbs-WhRLCWStIuwTZVmycfcfsfk1sBHvMYwnjL3PJp0NKmbfEUDL0IGod1O_V2eS8BI23mFw9h0FGvH1nk2QtMwpQQFWDbglNje0-mF-/s1600/WordCloud.JPG" title="Be Free, Financialy Independent and Happy" width="320" /></a></div>
<div style="text-align: center;">
Live free from debt</div>
<div style="text-align: center;">
Have fun with the kids</div>
<div style="text-align: center;">
Climb trees</div>
<div style="text-align: center;">
Dig the garden</div>
<div style="text-align: center;">
Own the house outright</div>
<div style="text-align: center;">
Cancel the contracts</div>
<div style="text-align: center;">
 Consolidate the insurance</div>
<div style="text-align: center;">
Freecycle</div>
<div style="text-align: center;">
Play with the cat</div>
<div style="text-align: center;">
Walk in the hills</div>
<div style="text-align: center;">
Make cakes</div>
<div style="text-align: center;">
Cut up the credit card</div>
<div style="text-align: center;">
Bin the TV</div>
<div style="text-align: center;">
Avoid plastic junk</div>
<div style="text-align: center;">
Setup direct payments </div>
<div style="text-align: center;">
Listen to music </div>
<div style="text-align: center;">
Spend less than you earn</div>
<div style="text-align: center;">
Burn something</div>
<div style="text-align: center;">
Drink some wine and dance</div>
<div style="text-align: center;">
Delete online shopping accounts </div>
<div style="text-align: center;">
Shop local</div>
<div style="text-align: center;">
Stand away from the herd and observe</div>
<div style="text-align: center;">
Grow some veg</div>
<div style="text-align: center;">
Start your own business</div>
<div style="text-align: center;">
Walk and cycle</div>
<div style="text-align: center;">
Mend your clothes</div>
<div style="text-align: center;">
Invest</div>
<div style="text-align: center;">
Cuddle and kiss</div>
<div style="text-align: center;">
Delete email subscription spam </div>
<div style="text-align: center;">
Put the kids in the garden</div>
<div style="text-align: center;">
Vote for the outsider</div>
<div style="text-align: center;">
Have a party</div>
<div style="text-align: center;">
Know your neighbors</div>
<div style="text-align: center;">
Delete social media</div>
<div style="text-align: center;">
Do you really need to buy it?</div>
<div style="text-align: center;">
Read a book</div>
<div style="text-align: center;">
Cook fresh food</div>
<div style="text-align: center;">
Install an internet ad blocker </div>
<div style="text-align: center;">
Sit in the dark</div>
<div style="text-align: center;">
Doodle on a piece of paper</div>
<div style="text-align: center;">
Turn everything off at night</div>
<div style="text-align: center;">
Get a job you actually like</div>
<div style="text-align: center;">
Wear <i>weird</i> clothes </div>
<div style="text-align: center;">
Resign</div>
<div style="text-align: center;">
Keep calm and opt out</div>
<div style="text-align: center;">
Be free from the State</div>
<div style="text-align: center;">
Stay away from the mainstream media </div>
<div style="text-align: center;">
Be naked</div>
<div style="text-align: center;">
Why being Angry? </div>
<div style="text-align: center;">
Get lost in the countryside</div>
<div style="text-align: center;">
Laugh out loud in public </div>
<div style="text-align: center;">
Is it really that bad - frame it</div>
<div style="text-align: center;">
Enjoy today, plan for tomorrow</div>
<div style="text-align: center;">
Exercise naturally ;)</div>
<div style="text-align: center;">
<br /></div>
<div style="text-align: center;">
#FinancialIndependence </div>
<div style="text-align: center;">
Seek #Happiness </div>
<div style="text-align: center;">
FISH!</div>
<br />
Peace, prosperity and happiness<br />
<br />
<b>THE.CONTENDER</b><br />
<br />
<b>Welcome New CONTENDER Readers!</b> Please take a look around.<br />
<br />
<a href="http://getintheringwithme.blogspot.com/p/about-me.html" target="_blank">Here you can find out about </a>THE.CONTENDER and the purpose of the blog is or perhaps browse the <a href="http://getintheringwithme.blogspot.com/p/all-posts-get-in-ring.html" target="_blank"><u>all posts list</u></a>, have a <a href="http://pinterest.com/gitrwm/contender-vs-the-future/" target="_blank">look at the pictures on the notice board</a><u><a href="http://getintheringwithme.blogspot.co.uk/p/about-me.html#random" rel="13"></a></u>. Please feel free to play with the <a href="http://getintheringwithme.blogspot.com/p/muff-tools-and-check-lists.html" target="_blank">planning tools and checklists</a>.<br />
<br />
Kindly share this post >>

56 Ways to Be Free, Financially Independent and Happy

Contender 0 #financialindependence, Early Retirement, Happiness 09:24

Live free from debt Have fun with the kids Climb trees Dig the garden Own the house outright Cancel the contracts Consolidate the insurance Freecycle Play with the cat Walk in the hills Make cakes Cut up the credit card Bin the TV Avoid plastic jun… Read more »

23Feb2014

The Optimist, Realist and Pessimist

Contender 0 #financialindependence, Critical Thinking, financial independence, Happiness, Risk, Saving 22:10

<div class="separator" style="clear: both; text-align: center;">
<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEggu6r6Zk5MzlkjY6ooW-OLcXtL7kTYx0qzbIVJMDeh9X8d4Vi_tOUVbJwwEaL-JIJ2bnPQ4j8xFrVWlmgTpb21_C5veeV7jabEilgcDHZ1vOKQEyZM_564zURATZBTuXVmoGRMiqEAEsbD/s1600/Optimist.JPG" imageanchor="1" style="clear: left; float: left; margin-bottom: 1em; margin-right: 1em;"><img border="0" height="190" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEggu6r6Zk5MzlkjY6ooW-OLcXtL7kTYx0qzbIVJMDeh9X8d4Vi_tOUVbJwwEaL-JIJ2bnPQ4j8xFrVWlmgTpb21_C5veeV7jabEilgcDHZ1vOKQEyZM_564zURATZBTuXVmoGRMiqEAEsbD/s1600/Optimist.JPG" width="320"></a></div>
<i></i>
<i>Once upon a time there was an <b>OPTiMiST </b>he went about his day with a smile on his face and the wind in his back. He was off to see his friend the <b>PeSSiMiST</b>. </i><br>
<br>
<i>Mr </i><i><i><b>PeSSiMiST</b></i> was having his usual grumble about his day and life in general, why doesn't anything work and I am stuck with this life? Just listen to the news a meteor is going to hit the earth any time now Doomed, Doomed I say!</i><br>
<br>
<i>Naturally Mr<b> OPTiMiST </b>shrugged his shoulders (whatever next he thought) - and moved onto his joke of the day to cheer up the poor old chap unfortunately to no avail</i>.<br>
<br>
<i><span style="font-size: small;">Then along came Mr <b>ReaLiST </b>he was going about his business, walking past the local lottery machine shaking his head on his way to deposit some savings at the bank...Hi guys see you in the pub after work for a beer.</span></i><br>
<span style="font-size: small;"><br></span>
<span style="font-size: small;"><span style="font-size: large;">Who are We?</span></span><br>
<span style="font-size: small;"><br></span>
We can all probably place ourselves in each of these classifications depending on our circumstances and mood.<br>
<br>
Perhaps whole countries could be generalized in one of the classifications - in the UK we always complain about the weather and always look at the other side of the coin. Not everything is rosy but it ain't bad. So we are probably more of a plan for tomorrow realist bunch.... Whenever I have worked in America I consider them as optimistic go-getters, very driven and optimistic about almost everything. These are <span style="font-size: small;">generalisations for sure and completely off the mark depending on your point of view.</span><br>
<span style="font-size: small;"><br></span>
<span style="font-size: large;">Exploiting the moment</span><br>
<br>
These traits can be the financial independence worst adversary or even weakness. The world is setup to prey on these traits so that you squander your money.<br>
<br>
The optimistic young adult starting out in the real world looking for an identity is quickly lured into the world of Sex. You must buy this brand of clothes, listen to this music drive that car. While you are at it buy this perfume / deodorant it is all you need to have scantly clad members of the opposite sex running after you. Feeling more optimistic about your chances?<br>
<br>
On the flip side we have the DOOMERS! BEWARE THE DOOMERS! The end of the world is neigh, load up on food, guns and ammo - you can't eat it but you can use it and trade it. A trade in death - nice..... Hunker down, save cash under their pillow don't speculate don't get rich.<br>
<br>
What about those weird realists - stuck in the middle - middle class? A nerd - you must have this games console, this most awesome powerful PC. A striver - buy these books to make you rich attend this course and buy these stocks. Save for your pension work hard until you retire at 70. Spend the rest and get the biggest mortgage possible. Bahh Humbug!<br>
<br>
Now after recognising some of the weakness and what does the #financialindependence #downshifter do?<br>
<br>

The Optimist, Realist and Pessimist

Contender 0 #financialindependence, Critical Thinking, financial independence, Happiness, Risk, Saving 22:10

Once upon a time there was an OPTiMiST he went about his day with a smile on his face and the wind in his back. He was off to see his friend the PeSSiMiST. Mr PeSSiMiST was having his usual grumble about his day and life in general, why doesn't any… Read more »

11Feb2014

The Digital Hypocrite

Contender 0 #financialindependence, Blog, Critical Thinking, Finance, financial independence, Happiness, stock screen 19:17

<table cellpadding="0" cellspacing="0" class="tr-caption-container" style="float: left; margin-right: 1em; text-align: left;"><tbody>
<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEi6kK20fen8DpCO8JGmXIUPt2lsM0x8700-wzodkJiXKgeE6GHGFFw-smHSBVOjGXF-1ACfGB0_Ubi0YPb2Ic8VzC3zOgbPAvseXASFwARAP1hwhzgvGhTfGQYYUEnwLkdyI-fXJ6-0SN5-/s1600/Technology.jpg" imageanchor="1" style="clear: left; margin-bottom: 1em; margin-left: auto; margin-right: auto;"><img alt="Financial Independence Through Technology" border="0" height="224" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEi6kK20fen8DpCO8JGmXIUPt2lsM0x8700-wzodkJiXKgeE6GHGFFw-smHSBVOjGXF-1ACfGB0_Ubi0YPb2Ic8VzC3zOgbPAvseXASFwARAP1hwhzgvGhTfGQYYUEnwLkdyI-fXJ6-0SN5-/s1600/Technology.jpg" title="Useful Technology" width="320"></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;">Useful Technology?</td></tr>
</tbody></table>
I started out in life fascinated by new tech. I adored the BBC computer in school, learning a little bit of <b>programming </b>and playing the odd <b>game </b>such
 as Boffin, Manic Miner and Castle Quest. I was in awe with my Commodore
 64. Technology was new, changing fast, cutting edge and <u>innocent</u>.<br>
<br>
Roll
 on 2014 and the technological innocence has almost been lost. Devices 
used to be were stand alone and you really had to learn how to use them,
 write some code. Now everything is connected 24/7 you can access pretty
 much anything on the web including stuff that one should not have 
access to. <br>
<br>
We have <b>social media</b> - plaster loads
 of personal information about you across the WORLD. Better still give 
all of the important information about you FREE to advertisers to target
 your desires and weaknesses!<br>
<br>
Without the <b>internet </b>is was not as easy to read a freedom of 
speech article. Alternative views such as this blog would only be 
available in a magazine such as <a href="http://idler.co.uk/magazine/" target="_blank">The Idler</a>.
 First you would have had to find it and understand its content, ideally
 reading a copy to see if it was what you would like. Then subscribe to 
the magazine and wait each quarter or year for the latest edition. <br>
<br>
<span style="font-size: large;"></span><span style="font-size: large;">Desolation of the young</span><br>
<br>
Technology
 is changing the young in ways we still do not understand. Providing 
access to violent video games and sex at earlier and earlier ages 
through their tablets and smart phones is including their adolescence 
and destroying their innocence. Shooting a human being becomes more and 
more real on the screen leading some to act it out in real life. 
Internet porn is heaping extra pressure on them to perform (and perform 
what) when that special moment occurs.<br>
<br>
Does this really encourage respect for each other and the formation of strong families?<br>
<br>
Further
 attacks are taking place on their attention spans. Sit down and read a 
book - no let's watch the movie instead. Interface devices encourage 
'browsing' and consumption of goods and services. Snippets of 
entertainment news have replaces the investigative journalist and the 
need to think about the content and challenges in the world. Back to the
 bedroom from the fields - it is save there with def recon armored 
pursuit 10.<br>
<br>
<br>
In our eldest child's pre-school in London tablets 
computers were made available to the kids. Instead of learning to play 
together, develop 3D dexterity and interpersonal skills they are tap tap
 tapping at a flat screen that is 'educating' them to work quickly and 
jump from sugar rush app to app. It is easy to learn how to use a tablet
 and play computer games so why so young?<br>
<br>

The Digital Hypocrite

Contender 0 #financialindependence, Blog, Critical Thinking, Finance, financial independence, Happiness, stock screen 19:17

Useful Technology? I started out in life fascinated by new tech. I adored the BBC computer in school, learning a little bit of programming and playing the odd game such as Boffin, Manic Miner and Castle Quest. I was in awe with my Commodore 64. Te… Read more »

09Feb2014

30 Rules of Very Early Retirement

Contender 3 #financialindependence, Early Retirement, financial freedom, financial independence, Rules, Saving 07:07

30 Rules of Very Early Retirement

Contender 3 #financialindependence, Early Retirement, financial freedom, financial independence, Rules, Saving 07:07

Lots of Rules Today THE.CoNTeNDeR and trainer SORT.YOUR.LIFE.OUT have a look at all of the rules of the Very Early Retirement Fight. Can they be mastered as THE.FuTuRe is waiting in the wings ready to mess up THE.CoNTeNDeRS plans! Our tribe has been… Read more »

12Nov2012

Welcome to FISH !
You have come here looking for answers. How to get out of debt? How to save and invest? How to retire early and how you want to live in retirement.

Well this is the right place for you as out tribe has been through all of these steps. We no longer work for a corporate employer and have saved enough to retire early. How we did this is shared here on this site for you.

Our little tribe found out these secrets to financial independence in our late 20’s. Since then we have taken early retirement, in our late 30's, in just 7 years. We now live in the South West of France with our two young children.

Along the way I decided to share everything I learnt. My articles and tips on aggressive saving and compound investing are there to help you meet your financial goals fast. I discuss ways to help you decide what you want by building a life plan. This helps to work out how to get where you want to be whilst avoiding the pitfalls along the way.

My expertise was built up working in blue chip corporate jobs, extensive reading and putting it into practice. I have condensed this knowledge into simple strategies to help you meet your goals and not those of the bank or the place you work.

There are free planning tools on this site that help you make a life plan. A plan for your future. The tools calculate how to reach your financial goals in a timeline that suits you. The tools help set out your life goals, make them happen and how to exceed them.

There are tips on how to simplifying your life to remove day to day headaches. These include ways to pay off debt fast buy eliminating wasteful spending habits. How to reduce your monthly bills through choices that actually improve your health and wellbeing. Identifying things you don’t need that sap your time and wallet.

There are little sustainability projects to reduce your dependence on shops and utilities whilst saving money to spend on things you want.

All of these little steps will show you how save 50%+ of your salary so you can meet your goal whatever it is. This huge saving rate can be compounded for very early retirement. I am sure you will find something here for you.

Darren Lee (A.K.A the Contender as in my blog)

FISH | Financial Independence Seeking Happiness