FISH | Financial Independence Seeking Happiness: Saving

Financial Independence and Happiness Books

Contender Black Swan, book, downshifting, Early Retirement, Education, Finance, financial independence, Freedom, Investing, Planning, Saving 13:01

SPEND.IT.NOW: "You say Read Read Read - I haven't got time to read! TLTM (too long too much?). I've been fed snippets all my life. The news in 10 minutes is all you need don't you know? That's what I want concise, short, to the point, none of this 300 page novel stuff. Crikey, even your blog posts are too long CoNTeNDeR. I've gotta do other stuff you know.  
 
<a href="http://4.bp.blogspot.com/-t8Jvc_oIscg/UpJAPlru4gI/AAAAAAAADC8/WHpH97fVVxk/s1600/Books.jpg" imageanchor="1" style="clear: left; float: left; margin-bottom: 1em; margin-right: 1em;"><img border="0" height="235" src="http://4.bp.blogspot.com/-t8Jvc_oIscg/UpJAPlru4gI/AAAAAAAADC8/WHpH97fVVxk/s400/Books.jpg" width="400"></a>Short is all I want! Let's start by sorting this blog out. 
 
Change it to "SMBH" Save Money, Be Happy" -  that's it nice, simple and quick to read! Genius!  
 
Delete everything on the blog and replace the front page with "SMBH". Job done. You will thank me CoNTeNDer you can pack up the website as you have done your bit and have all that spare time to fill with fun" 
 
CoNTeNDeR: "SMBH to you too!" 
 
Books are great, something to get lost in for a few hours, something to debate, something new to learn. A lot of what is discussed on this site has its starting point in a book or article. This post is all about the books we have relied upon for our financial independence and downshifting planning. 
 
Reading, Why Bother? 
 
Books, Books, and More Books, so many to read and so long. When will one ever the the time to read them all? 
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<a href="http://en.wikipedia.org/wiki/List_of_countries_by_literacy_rate" target="_blank"> </a></div>
Aren't a lot of books just fiction such as graphic crime stories and romantic slush. Yes they may be great to retreat into a fantasy world unfortunately they will not help with gaining financial independence (although they may help on the happiness side). 
 
What we are really looking for are reference and how to books and essays. 
 
It is all too easy to say "Come on, I had my share of serious books at university" unfortunately the books in university were generally just on topic. Too specific and not everyday real world challenges. 
 
For example <a href="http://www.amazon.co.uk/gp/product/0141038225/ref=as_li_tf_tl?ie=UTF8&camp=1634&creative=6738&creativeASIN=0141038225&linkCode=as2&tag=thecontfinain-21" id="static_txt_preview" target="_blank">Antifragile</a> and <a href="http://www.amazon.co.uk/gp/product/0141034599/ref=as_li_tf_tl?ie=UTF8&camp=1634&creative=6738&creativeASIN=0141034599&linkCode=as2&tag=thecontfinain-21" id="static_txt_preview" target="_blank">The Black Swan: The Impact of the Highly Improbable</a> by Nassim Taleb are the opposite of  "Don't worry about challenges, society will look after you, go to the pub, watch a movie or go to the shops instead. It is more fun". Taleb highlights how fragile some of our support systems actually are how unforeseen events will always exist and what we as individuals can do about it. 
 
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<a href="http://upload.wikimedia.org/wikipedia/commons/thumb/3/39/WorldMapLiteracy2011.png/400px-WorldMapLiteracy2011.png" style="margin-left: 1em; margin-right: 1em;"><img border="0" height="185" src="http://upload.wikimedia.org/wikipedia/commons/thumb/3/39/WorldMapLiteracy2011.png/400px-WorldMapLiteracy2011.png" width="400"></a></div>
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 <a href="http://en.wikipedia.org/wiki/List_of_countries_by_literacy_rate" target="_blank">List of countries by literacy rate source: Wikipedia</a></div>

Financial Independence and Happiness Books

SPEND.IT.NOW: "You say Read Read Read - I haven't got time to read! TLTM (too long too much?). I've been fed snippets all my li...

Infographic | Achieve Very Early Financial Independence - Part I

Contender 0 Budget, Education, Finance, financial independence, Infographic, Investing, Planning, Saving 09:50

Infographic | Achieve Very Early Financial Independence - Part I

Achieve Very Early Financial Independence - Part I | Create infographics <<< Click here for a spreadsheet planning tool th...

30 Rules of Very Early Retirement

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

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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 on the quest for Very #EarlyRetirement / #FinancialIndependence over the last few years. Along the way we have subconsciously created some rules for ourselves which have been put to paper below: 
 
 
 
<ol>
<li>Set out with the end in mind - very early retirement (financial freedom) in school! - a good job that pays well - yes it is nice to think about being a wealthy pop star but what percentage of the population are that famous? By all means have it as a hobby and perhaps you will excel in it if it is your passion. Consider a growing industry that you have a real passion for to enter for a career. It will be the best to negotiate higher wages. Computers were the pace to be in the 1980's - 2000 perhaps bio technology, graphine or renewable technology are the upcoming areas now.  </li>
<li>Get stuck in at a young age - It is better to screw up at a very early age and learn the lessons early instead of later in life when it can cost money and time.  <iframe allowfullscreen="allowfullscreen" frameborder="0" height="266" mozallowfullscreen="mozallowfullscreen" src="https://www.youtube.com/embed/l1YmS_VDvMY?feature=player_embedded" webkitallowfullscreen="webkitallowfullscreen" width="320"></iframe>  </li>
<li>Wait and research before you buy. NEVER buy on impulse. Are you buying an asset (e.g. property, shares, woodland, precious metals) that will provide an on going passive income or a consumable? Is the consumable necessary (e.g. food) or a want (e.g. electronic device)?  </li></ol>

30 Rules of Very Early Retirement

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. ...

Early Retirement, Lean and Maslow what do they have in common?

Contender 1 Early Retirement, Education, Ethical, Freedom, frugality, Happiness, health, Investing, Life, Planning, Saving, Toolkit 09:27

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<tr><td class="tr-caption" style="text-align: center;">PERL </td></tr>
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Hello Fight Fans, welcome to Fight Night on channel CONTENDER! Let's get ready to RUMBLE! Introducing in the red corner weighing in at 13st 2lb THE.CONTENDER! In the blue corner weighing in an impressive 16st 9lb is THE FUTURE.  
Tonight's fight is over 12 rounds. The prize is for the UFF (Undisputed Freedom Fight) Belt  
 
THE.CONTENDER has been training for the future for some time. Since he was born actually; just like everyone else. THE.CONTENDERhas been fighting to achieve his goals and desires; funnily enough just like everyone else. THE.CONTENDERhas searched for the key to making them happen; just like everyone else, where is it damn it! 
 
So this post is about THE.CONTENDER's personal thoughts on what this key could look like. In particular could it unlock the secret to an effective Early Retirement and Life Planning approach? THE.CONTENDER's approach is based on three key parts: 1) Maslow's hierarchy of needs, 2) a concept called LEAN and 3) Monthly Planning process. This is what it looks like in THE.CONTENDER's world: 
 
<a href="http://1.bp.blogspot.com/-6QEj-mPPFjc/UGyWvS4_T9I/AAAAAAAAB2k/akM4hlRgZFE/s1600/Maslow.jpg" imageanchor="1" style="clear: left; float: left; margin-bottom: 1em; margin-right: 1em;"><img alt="" border="0" height="240" src="http://1.bp.blogspot.com/-6QEj-mPPFjc/UGyWvS4_T9I/AAAAAAAAB2k/akM4hlRgZFE/s320/Maslow.jpg" title="Maslow's Pyramid of Needs" width="320"></a>1) MASLOW 
 
Maslow placed the most important aspects of life at the bottom of a PYRAMID. Water, food and shelter at the bottom as they are essential through to self-actualization at the top. 
 
 
 
 
 
 
 
 
<a href="http://2.bp.blogspot.com/--jJqJ6b2XN4/UGyW8K4qa_I/AAAAAAAAB2s/Ul_nhiiRV1g/s1600/Lean+House.jpg" imageanchor="1" style="clear: right; float: right; margin-bottom: 1em; margin-left: 1em;"></a>2) LEAN 
 
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THE.CONTENDERwould like to introduce Tachi Ohno of Toyota. He is considered the father of  <a href="http://en.wikipedia.org/wiki/Lean_manufacturing" target="_blank">LEAN</a> in the manufacturing world. LEAN is all about removing waste (Japanese for waste is "muda") and making the products as close to the point of  delivery as possible (JIT - just in time). 
 
What is interesting is that LEAN principles have been simply represented as a house. You need strong foundations, build the walls and top off with the roof while regular maintenance will keep it in tip top condition. 
 
3) PLANNING (Making it Happen): 
 
Project management has lots of models and different approaches depending on what the project is. It can can be very complex such as building a skyscraper or simple in the case of planning a journey to the Zoo. 
 
Over complication and missing steps, have put THE.CONTENDERin hot water in the past. THE.CONTENDERhad to learn how to mange projects and people effectively to make sure he could not see the wood from the trees.  
 
THE.CONTENDEReventually learnt that planning really is a simple process wits for key repeating steps PLAN - DO - CHECK - ACT. When carrying out these steps a list of checks and skills must be used. Below is a list of the key aspects of planning, leading and execution that THE.CONTENDERhas been rigorously trained on. In THE.CONTENDER's opinion consider all of them, in a robust review process, and you won't go too far wrong: 
<ul>
<li>What is your VISION - what do you want- your end goal - Early Retirement and Happiness?</li>
<li>Do you have a PLAN to get there - this can be on the back of a biz card or a spreadsheet? </li>
<li>Are you keeping everything SIMPLE?</li>
<li>Be prepared to ADAPT your plan and goals, make sure you have regular checks </li>
<li>Do you have the right ATTITUDE - are you really committed to being frugal for early retirement?</li>
<li>Do you see the PROBLEM clearly? is it that you have to pay your debts first or get a new job close to home?</li>
<li>Have you DISCUSSED this with your close family / friends and do you have everyone on board?</li>
<li>Who is in CONTROL - tracking progress and spotting deviations, obstacles and opportunities and getting back on track if you fall behind.</li>
<li>ASSERTIVENESS - get on with it, have a go, back up your convictions</li>
<li>INVOLVE everyone in the decision making progress - THE.CONTENDER and his tribe are moving to France, the reason is that the living standard is higher, decent warm weather and it has good schools for the kids; so THE.CONTENDER turned to the grandparents: "what do you think?"</li>
</ul>
So what if we try combining the life (Maslow) with the continuous Improvement and removal of waste of Lean (Tachi Ohno), with the principles of planning and financial freedom? Here is THE.CONTENDER's interpretation, please read on ;)

Early Retirement, Lean and Maslow what do they have in common?

PERL Hello Fight Fans, welcome to Fight Night on channel CONTENDER! Let's get ready to RUMBLE! Introducing in the red corner weig...

Daddy Contender a Financial Frugality Case Study of Bringing Up Baby - Round 6 1m10s

Contender 1 Early Retirement, Finance, frugality, Life, Saving 22:26

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THE.CONTENDER recently quit his job to be a proud stay-at-home father. This post is about the benefits of having dad at home, the financial adjustments we had to make in particular how we reduced our spending by £269 per month with a surprising end result! </div>
 
Quitting work to look after the kids full time was quite a big step into the unknown for THE.CONTENDER . Work had dominated his life for the last 13 years. When the news leaked out that THE.CONTENDER was taking the new paternity leave for 6 months after Mrs C went back to work full time, it raised quite a few eyebrows, especially when THE.CONTENDER then quit his job at the end of his leave. Why was a top talent employee who works hard and has invested a significant amount of time in the company giving it all up? 
 
Here THE.CONTENDER wants to share the reasoning (financial and family), the benefits - CGBB (Contender Great Big Benefits) and detailed analysis of the change to our finances (including our significant cost saving exercise). 
 
The Reasoning 
 
As the grandparents live in different countries the childcare is up to us. Options we considered after child number two arrived were: 
<ol>
<li>One of us had to stop working - would this be detrimental to that persons career - was it really important to us? The kids would benefit greatly from parental care. </li>
<li>THE.CONTENDER gets a better job so his salary pays for the kids to go to nursery or nanny (current salary would NOT cover the child care costs (detailed analysis is in the second part of this post). The increase pay would probably mean increased work and travel - a worse situation for the family.</li>
<li>We both go part time and take turns - this would have reduced our ability to save for financial freedom and hence delayed our move to the French countryside. Positives are that the children benefit from both parents being part of the upbringing and we would probably be less stressed for example we would not have to worry about the rush hour commute home each night to pick them up. Would we get paid less but still work more than the allotted part time hours - probably.</li>
<li>We both stay in our current jobs and get a full time nanny / childminder or creche for five days - this would have reduced our saving rate as we would be subsidising THE.CONTENDER 's salary to the tune of around £500. Kids are brought up by someone else. THE.CONTENDER would have that cherished career though......</li>
</ol>
We chose option 1 - THE.CONTENDER quit - but why? Let's look at the family happiness and our perceived financial pain in more detail. 
 
The Benefits - CTH (Contender Tribe Happiness...in October) 
 
One parent at home has significant benefits in our opinion: 
<ul>
<li>The children have their fun loving daddy to look after them - no changes of child carer etc just consistency. </li>
<li>As parents we have peace of mind no rushing home from work to pick the kids up. No problems of juggling work when they are ill. </li>
<li><a href="http://edis.ifas.ufl.edu/he137" target="_blank">Click here for a list of benefits in having an actively involved father in the children's upbringing</a> </li>
<li>THE.CONTENDER not spending (and risking) his life on the motorway going to work - avoiding work stress, tiredness and the always on call culture.</li>
<li>THE.CONTENDER has time to write this blog - cowabunga :) </li>
<li>THE.CONTENDER 's wife likes her work as it is constructive to society and is well paid (more than THE.CONTENDER ). As THE.CONTENDER wasn't enjoying himself at work, so it was obvious THE.CONTENDER should stay at home! </li>
<li>Our eldest child started nursery school which is mornings only - how do you juggle that with jobs and a one year old - lots do and hats off to them!</li>
<li>Seeing the girls grow up is PRICELESS.</li>
<li>THE.CONTENDER has time to invest wisely..... </li>
<li><a href="http://www.dadcando.com/" target="_blank">THE.CONTENDER learns new skills and has to step up to the plate quickly!</a></li>
<li>THE.CONTENDER was up for the challenge </li>
</ul>
<blockquote class="tr_bq">
Nothing I've ever done has given me more joys and rewards than being a father to my children. -  Bill Cosby 
 </blockquote>
Please read on to find a detailed investigation into our financial considerations and impacts and how we reduced our spending by £269 per month. This leads to an interesting overall result.

Daddy Contender a Financial Frugality Case Study of Bringing Up Baby - Round 6 1m10s

THE.CONTENDER recently quit his job to be a proud stay-at-home father. This post is about the benefits of having dad at home, the financi...

Investment Challenges

Contender 0 Dividends, DRIP, Ethical, Inflation, Risk, Saving 15:02

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<h2>
One Black Eye Too Many?</h2>
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Today I would like to discuss some CIT (Contender Investment Themes) and challenges faced today. Investing at the time of writing is a mine field. We are in one of the most volatile financial periods in recent years. An economic crisis is ongoing in the western world while concerns about sustainable growth in emerging markets are frequent in the financial press. 
 
<h3>
Managing Inflation</h3>
 
Inflation is most often described as prices are going up because materials and labor etc are getting more expensive.... Really as I see it this is a fallacy - money is actually loosing its purchasing power as there is more of it. 
 
Like everything in life we have supply and demand balances. The more abundant something is the less it is worth to the consumer. The same is true of the current version of "money" we have in the world. We are creating vast amounts of money - mainly electronically. The more there is, the value of each unit decreases over time. In the UK I have seen the cost of a loaf of bread increase by 2.5 times over 20 years but if anything we have more global grain supply now. 
 
Inflation is a real concern in the MIT list. It affects our investment choices, pension allocation and impacts our ability to build and protect our savings. Inflation is like a stealth tax - legal theft. 
 
It is of utmost importance to plan for a significant rate of inflation and make sure you have assets that compensate for any increase in prices \ decrease in the value of the fiat currency in the future. Examples of investments that could grow at the same rate if not faster than inflation: 
 
1. Companies with strong brands, advanced distribution and manufacturing networks \ economies of scale can raise prices in line or above inflation (such as consumer goods companies) 
2. Energy and raw material producers 
3. Stable currencies and precious metals (scarcity value) 
4. Agriculture (we are not creating any more land on the planet) 
 
A note on CASH and GOVERNMENT BONDS. Cash and bonds are deemed safe investments. Bonds will pay some interest and you can buy inflation protected products. In MIT I consider these investments \ savings as dry powder for opportunities when there is "blood on the canvass": 
<blockquote class="tr_bq">
"I am not so much concerned with the return on capital as I am with the return of capital." - Will Rodgers </blockquote>
<h3>
 </h3>

Investment Challenges

One Black Eye Too Many? Today I would like to discuss some CIT ( C ontender I nvestment T hemes) and challenges faced today. Invest...

10 Rules of Extreme Saving

Contender 0 Finance, financial independence, Freedom, Investing, Rules, Saving 14:23

Is a 50% saving rate really possible?</h2>
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Living in a high tax and benefit system such as the UK saving 50% of your pay seems extreme. I recently had a conversation on this point with a colleague - he could not believe how we as a family of 4 could still manage to save a 50% of our take home pay. He sat there playing with a very expensive mobile phone. He was working out how to use the latest app to track how much faster he was on his top of the range carbon fiber bike. 
 
As you can already gather THE.CONTENDER was trying to refrain himself for not stating the obvious. One of the most difficult topics I have encountered in professional social and family life is how to approach difficult subjects and significant change: 
<blockquote class="tr_bq">
So and so is really good I could never be as good as..., that is not possible....., my circumstances are special...it is OK for you but it would never work for me..... </blockquote>
So the problem is not the subject per say - surely everyone would like to be financially free. It is the person's initial mindset and perception of sacrifice that goes with it. Where has that perception come from in the first place and is it misplaced? So how do you get your point across \ engage them or should you try and discuss further, at the expense of coming across as pushy.....****!!! 
<h3>

Buy now and retire at 70 or save a lot and be financially free after 10 years? </h3>
So if you need to save 50% or more of your salary to be financially free quickly what is the "sacrifice". Expensive, fun (tropical holidays \ designer suits) are delayed. In budgeting and saving (investing) diligently you will build the capital to be financially free for you to pursue your dreams in a surprising time frame. Could this be true? 
 
<blockquote class="tr_bq">
"Don't forget  you could be knocked down by a bus tomorrow. So don't be silly LIVE FOR TODAY! consume, enjoy your shiny gadgets - forget about financial freedom that is only for the wealthy you are a worker bee in the middle class. If you are a good little worker and make it to 70 you can retire on us" - Anon </blockquote>
 
Advertising, peer pressure, fear and not being part of the crowd are very powerful influences on everyone in society. How is the financial independence blogosphere really going to get its point across? Are people going to give their precious time between distractions like films and the challenges of our hectic daily life to understand the benefits of saving like mad? 
 
My concern is the powerful media message to buy, buy, buy is backed by the best advertising talent and research money. It tells us how to spend our money and is very persuasive to boot. We are exposed to advertising from a very early age when we have very few defenses. Society has been educated to listen and be a good consumer of needs that are actually wants. A lack of inquisitiveness has been instilled in young minds. Subordination to hierarchy is "normal" in the western education system. Young people are at its mercy and do not have the mature skills to critically challenge the status quo.

10 Rules of Extreme Saving

Is a 50% saving rate really possible? Living in a high tax and benefit system such as the UK saving 50% of your pay seems extreme. I...

Financial Independence in 7 Years!

Contender 2 Finance, Freedom, Saving, Toolkit 08:17

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What an idea we had in 2005: could our little tribe be financially free in 7 years! Feelings of crazyness, being excited yet a sense of daunt and dizzyness all at the same time. 
 
As I update this in early 2014 we consider ourselves financially free. All those emotions followed us along the way on what has been a very bumpy rollercoster.   
 
Here is the story of how our little tribe ended up financially independent 7 years after the inital thoughts about or finances and what really made us happy.  
 
Finding Our Feet 
 
Financial independence was never spoke of in our families our our up bringing. Both my wife and I had different but comfortable up bringing. 
 
Me, my sister and mum getting on as a single parent family in the SE England Sussex countryside. We lived in a little cottage in an idyllic village surrounded by field where we ran free, collected tadpoles and rolled in the mud. We moved closer to family in a South Wales mining village surrounded by hard working families. Great times and fond memories. Money was tight but we did not want for anything. 
 
I excelled through education culminating in an engineering degree from a prestigious red brick university. Fun times were had, reckless spending and childish, stupid and regrettable pranks. Did I actually learn anything? I certainly did not have a clear direction to my life, no mentor to knock some sense into me. I was just making it up as I went along. 
 
My first "proper" job was a sea of figures, terms and diagrams. People dressed in suits jockeying for the top jobs. Still no direction. What is this career thing all about? Why does that manger make things so difficult for our department and what is the point of a deadline? 
 
Time for a change of company. A bigger beast altogether. Even more dog eat dog, downsizing the workforce, appraisals and feedback. B- my son - must do better. It was all so serious and deadlines had to be met.  
 
These early experiences shaped me. The desire to run in the wilds. Knowing that I should respect  money and save for retirement. I had to get organised, grow up and be more responsible, tame the silliness but keep some of the fun. 
 
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Our Financial independence Story</div>
  
Our Environment Shaped our thoughts 
 
Our local environments have always shaped our thoughts and ideas. Fortunately we have lived in the countryside, villages, towns and mega cities. We have worked in numerous countries and cultures and visited ancient ruins and tropical beaches. 
 
At the time In 2005 my then to be wife and I moved in together in the most expensive city in the world London. 
 
We had bright lights, amazing attractions, comfortable houses and plenty of entertainment. Not forgetting the UK's status as a major transport hub for all those exciting getaways. What a great place to live right? 
 
Especially when you have money. I had just paid off my student and car loans $30K. I was finally looking at a positive balance sheet for the first time in 10 years. Our living costs were reduced as we shared the bills. We had money to spend! 
 
<iframe allowfullscreen="allowfullscreen" frameborder="0" height="266" mozallowfullscreen="mozallowfullscreen" src="https://www.youtube.com/embed/iMUiwTubYu0?feature=player_embedded" webkitallowfullscreen="webkitallowfullscreen" width="320"></iframe>We were renting a modest one bedroom apartment in a Victorian house. It had a huge garden with a beautiful blossoming cherry tree. It was located in an affluent area with great restaurant's, pubs and shops. 
 
Each weekend we would go out to try different cuisines. Visit sparking, thumping night clubs. Entertain our selves at the cinemas and have friends around for meals and drinks before hitting the tiles once more. 
 
Frequently we would take cheap city breaks around Europe. Lots of income was spent and little was saved. 
 
Thankfully we lived within our means and avoided all forms of debt. Our spending was controlled through a joint bank account and a budget. 
 
Changing Direction 
 
My wife and I sat down one cold dark February night in 2005 to consider our future. Sure we were having a great time but something was missing. We talked about family, where we wanted to live what type of life we wanted, family, kids and seeking some tranquillity in our lives. 
 
We had both heard about downshifting. Perhaps we could work less and live more simply 
but we needed to get rich first! Let's invest. 
 
We had no property to speak of so did not consider real estate investing. We had good jobs so did not see the need to setup our own business so for us the most natural place to start was the great casino of the stock market. 
 
Unfortunately
 no one tells you how to invest. We subscribed to a few stock picking 
news letters and rolled the dice. The result was not pretty. Too much, 
too soon and on too few. 
 
More Money than Sense 
 
Bonus Time more money to invest and spend! We wanted to buy a house - house prices always go up right and we were missing out. Well that would have to wait as London housing was so expensive. Back to the stock market. 
 
In London we were surrounded by stories of the ridiculous bonus culture of the city with everyone getting filthy rich. Warren Buffets latest stock winner. Google shares shooting to the moon. This  encouraged us to plough everything we had saved and we were earning back into shares.  
 
TFD Tribe Financial Disasters ensued. Penny shares promising the moon going to zero, the latest and greatest mutual fund idea languishing in the gutter. What was I doing wrong? 
 
Fortunately Mrs C on the other hand had taken advice from a financial adviser and her savings were growing steadily. 
 
The route to riches was through 10 bagger shares though. Instant riches. Bring it on. One was bound to hit the jackpot soon.....learn from my mistakes the next pick will be a winner. Oops!! 
 
Hindsight 
 
In hindsight I was lured by the financial press (magazines, newsletters and the mainstream financial media). It was a hard learned lesson. Luckily it was out of the way early in my saving and investment career :o) I stated to save more carefully from then on. Here is the TFD list of losses :o( 
<ol>
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<li>The penny stock miners - total loss in the region of £5,000</li>
<li>The New Technology Energy Stock £4,000</li>
<li>Buying Europe just as Europe goes down the pan £3,000</li>
<li>A consumer goods technology stock - wiped out £500</li>
<li>Green energy bio fuel stock - worth 1/100th of the purchase price another £500</li>
</ol>
Stock picking for 10 bagger gains gave way to mutual funds and large cap stocks who paid dividends..... 
 
These
 dividends grew and grew. Slowly our modest passive income goals looked 
feasible, but how much did we need and what were we going to do with it? 
 
In the Meantime - We must get on the property ladder quick! 
 
We had amassed enough money for a deposit on a home by 2007. A home is a much better investment right? 
 
We looked around and were perplexed by extremely high prices. Property was in a huge boom in London. We were looking at huge mortgages on what would have been a shoebox apartment. 
 
This did not make sense to us as we could rent a much larger property (a house with a garden) at less than the interest payments on a mortgage. Additionally we did not have to spend money on decorating or repair costs, building insurance or expensive conversions let alone porter and leisure fees. 
 
Renting it was, even though there was peer pressure to buy. 
 
Please read on for the financial crisis and light on the other side

Financial Independence in 7 Years!

What an idea we had in 2005: could our little tribe be financially free in 7 years! Feelings of crazyness, being excited yet a sense...

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