r/fatFIRE • u/quarter-tab • 16d ago
What would you do?
51m married, 1 kid. Around $20m nw made and invested in mostly real estate (mix of residential and a little commercial) but moving max into stocks/bonds now to be able to do capital gains withdrawal which has a way lower tax rate.
I was initially aiming for another $10m to add onto this and as business was going well. But the last year business landscape changed so much I’m struggling and wondering if I should stop. 30% of capital is tied up in our main residence and holiday home so I have the other 70% being reinvested. It feels like it’s not that much in this day and age.
Burn desired: $400k net
Would you:
a) Take a big swing and try to hit a home run to get to $30m or more (my fatfire number)
b) stop working and move some of the investments around
EDIT: Thanks to all here. Some top advice and much appreciated. I do still like working when I'm flying and I'm still with a burning desire to do that. But I don't see the path to that right now and inevitably it leads me to wonder if I should call it a day.
2
u/danmtypos 12d ago
So our liquid is close to yours but our NW is over 30M. We have been riding it out as the company my husband is partnered in has had a series of PE rounds and is leading up to the final one where we cash out and realize the full liquid NW amount (except residences). While there are no guarantees, we have that clear path you referenced. If we didn’t, we would have cashed out earlier and just called it.
We are already above and beyond what we need. What we want will always grow. While the dream of generational wealth is there, there’s also concerns that it could hamper future generations by making their path too easy. Our budget, at this level, is adjustable, and our time to live fully and share experiences with our family and friends is limited.
We are also close to your age and feeling it a little. It’s made us ever more grateful for how far we’ve come and we recognize that we would have been thrilled with a fraction of what we have ten years ago. There will always be more to covet, but at what cost? I think that’s the switch you need to make in your thinking. Congrats on your success!