Tanner Firl, a software engineer from Minneapolis, and his wife Isabel aim to retire in their mid-thirties. At 29, Tanner already has more than $380,000 saved from his annual $135,000 salary. The couple, known as “extreme savers,” adhere to a strict budget and invest heavily in low-cost index funds and real estate.
The Firls apply mindfulness to their spending habits. By prioritizing experiences over material possessions, they can save a significant portion of their income. Their lifestyle is so frugal that Tanner rarely makes purchases, often resorting to free items on platforms like Craigslist or opting for secondhand goods.
Their goal is far from ordinary. Retiring with $625,000 at such a young age requires tremendous discipline and financial understanding. But this doesn’t faze them. They’re confident about their progress and look forward to the freedom early retirement will afford.
The couple follows a financial plan popularized by the FIRE (Financial Independence, Retire Early) community. Living frugally and saving a high percentage of their income is key, but so is investing wisely.
Mid-thirties retirement through extreme savings
With this formula, they should be able to retire in their 40s and spend more time on leisure, voluntary work, and with their son and pets.
Firl’s frugality has earned him notoriety in the FIRE community. His spending habits, along with his savvy investments, are prime drivers of his growing wealth. Among his assets, he has a brokerage account worth $221,000, a $57,000 Roth IRA, and a health savings account over $26,000. His 401K has also seen healthy growth with savings of over $75,000, and his mutual funds currently sit at around $98,000.
Clearly, his economic life doesn’t sacrifice quality or security. His $20,000 checking account and $35,000 savings accounts illustrate that, as does his real estate investment trust, or REIT, valued at nearly $48,000. His strong life insurance policy’s cash value of $15,000 speaks to his preparedness, and the almost $10,000 in his emergency fund provides additional security.
Firl’s success is a shining example for those seeking financial independence and early retirement. His strategy doesn’t just emphasize the importance of saving and investing wisely but underlines the value of living within your means. In achieving financial autonomy, Firl demonstrates that enjoying life and meeting personal goals need not be sacrificed for financial prudence.
His story has inspired many to embark on their journey towards financial independence and early retirement. It serves as a clear testament to the power of planning, discipline, and the importance of maintaining a prudent financial lifestyle.
