Mustachians, introduce yourselves!

Hello Mustachians,

This my first post in this forum but I’ve been following the different topics for some time already.
I’m Portuguese in my mid-thirties and I’ve been living in Basel for the last 7 years. I’m married and I’ve two children’s, one boy with 3 months and an 2 year’s old girl.
I’ve always lived frugally and invested my savings since a young age. I always wanted to be financially free to take back control of my life but now with all the information out there on how to reach FIRE it has become much more clear to me how to achieve that life goal. Thank you all of you for all the great information in this forum and in all the blogs.

My current net worth is about 675k split as below:

Long term rental Portugal: 70k
Airbnb Portugal: 55k (100k mortgage)
House Switzerland: 145k (630k mortgage)
Crowdhouse: 100k
Pilar 2: 123k
Viac: 73k (mix shares, bonds & gold)
Degiro: 49k (IWDA & IUSN mostly)
Cash: 60k

I’ve invested mostly in real estate in last 10 years after losing about 60% of my investments in the stock market during the 2008 financial crisis. I will increase the portion of ETF’s in my portfolio to about 30% but will always have rental from real estate as primary source of income during FIRE.

My goal is to get to 1’000k net worth by 2024 to start a slow FIRE. I don’t want to stop working and I don’t want to leave Switzerland for now, I just want to work less hours, only do work that I enjoy and take more unpaid breaks to enjoy life with my family.

Cheers

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Bem vindo :slight_smile: !
You are really on a good track. Congratulations.

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Bem vindo!
É sempre bom ver mais portugueses por aqui :slight_smile:

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8 posts were split to a new topic: Crowdhouse review

Hello there,

I’m an 18 y/o Dominican currently doing an apprenticeship in IT and living near Lausanne.

I’ve been following this forum for a few months now and just recently started to discover this world of FIRE in wich my mother and I are trying to achieve.

I’ve always wanted to know about stocks/trading and I finally decided to learn about personal finance after reading the book Rich Dad Poor Dad and now The 4-Hour Workweek really got me invested into learning how to preserve my time and not sell it for money.

One of my goals is to have time for my children, I see so many parents that are not there for their children and I see the effects that this has on both sides. I want to be there for my kids when that time comes.

Anyways, I’m excited to start this journey and learn through what the people are saying on this forum.

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Hi Forum,

Frank here:

  • IT professional
  • Just moved to Zurich
  • Net worth: CHF150k
  • Investments: 100% in VT
  • Salary: CHF155k/y
  • Target saving rate: 85%

Looking forward to learn more and more :smiley:
Frank

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hi everyone and thanks to MP for his blog & forum :slight_smile:

Babyjag here:

  • married, 2 kids, double income, full time workers, in our fourties
  • moved to Switzerland 11 years ago
  • Net worth: CHF 1.5 M
  • Investments: 40% real-estate (including rental investment. Evaluated at buying value, not current market value), 40% bonds (2nd & 3rd pillars), 15% cash, 5% stocks (ETF’s, shares, VIAC)
  • current saving rate: 40% on net income (ie after income tax, and after 2nd pilar deductions)

currently thinking about rebalancing portfolio in order to accelerate to FI target

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What’s your FI target in CH?

Around 5 M CHF when we both want to retire, 3 M CHF if only one of us wants to retire. Wish me good luck :rofl:

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Hello guys !

Very glad to have found this community since I am very mustachian newbie.

  • Late 30’s Chilean native but raised in Switzerland.
  • Currently living in the countryside of canton de vaud with girlfriend and 2 young children.
  • Homeowner with some rental properties in Switzerland and Latin America.
  • No stocks at the moment and we save around 40% of our income.

Since I am a very new mustachian, I am really happy to learn from all of you guys.

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Dear Mustachians

First of all thank you for the very informative forum, I have found a lot of good and useful information here. So far I have been a silent fellow reader and would like to take the opportunity to introduce myself today.

I am 46 years old, born in Italy, grew up in Germany. Since 2002 I live and work work in Switzerland. Currently I live in the Winterthur area where I work as an IT project manager. I live with my partner in a rented apartment we have no children.
I heard about the FIRE concept a few years ago, since then I’ve been a fan and try to align my lifestyle with these principles. In 2018, I took a closer look to my financial situation and created an ETF portfolio. My medium-term goal is to build up a wealth that makes me more independent, so that I no longer have to take on every job, for example. Another goal would be to be able to get out of the job as early as possible before regular retirement. This goal would have been achieved for me with a net worth of approx. 1,500k.

My financial situation

Net worth approx. 470k

  • Cash: 75k
  • Pilar 2: 200k
  • Pilar 3: 22k (VIAC 60)

ETFs: 150k

  • MSCI World (53%)
  • MSCI Emerging Markets (22%)
  • SPI (25%)

P2P: 22k

  • Bondora
  • Mintos
  • Peerberry
  • EstateGuru
  • Robocash

Income: 100k (80% workload due to burnout a few years ago)
Current savings rate: approx. 30%

Looking forward to lots of learnings and an exciting journey with all of you!

Cheers

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Is the 100K income the combined one (including your partner)? Independently of that, the 30% can be improved (since you have no kids and live in Winterthur). How much is the rent of the apartment?

Hi Zerte

Thanks for getting back to me. 100k is my income, my partner’s income is arround 65k (so cobined arround 165k).
In terms of fire, I’m currently more focused on my own finances. My partner is showing increasing interest in the FIRE concept, but there is still an opinion that it is a certain risk to make to much sacrifies for the future … do you know that? how do you convey that to your partners?

Rent is 2800 p.m. (3.5 Rooms, 100 sm, parking incl.)…I think there is some potential for improvement with the living costs…unfortunately apartment prices in Winterthur are almost like in ZH City this days ;-(

Cheers

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85%? That’s incredibly ambitious. 155k net or gross? Anyway, thanks for sharing and good luck!

With a safe withdrawal rate of 3.6-4.8% that’s 15’000-20’000 CHF of monthly expenses. Even for 2 people that’s quite a lot. If I may ask, what do you think will be the biggest chunk of your spending once you retire?

Welcome and thanks for sharing! May I ask, is that the salary, taxable income or net income? I thought that a 100% FTE project manager would get a salary of 150-180k. But maybe that only applies to UBS / CS.

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that’s a rough calculation considering a super conservative 3% withdrawal rate, considering retirement in Switzerland

5 M would be the FU number if we still need to finance our kids for a long time, shall they wish to study abroad or in an expensive school. By the way they’ll have to work - at least a bit - as well, such as I did!. Without studies to finance we would be OK with 3.2 M.
I also need to consider financing the retirement of one of my family member who will basically get peanuts when retiring. I will have to finance up to 2000 EUR/month when this person will become dependant.
And I know I need a lot of security - I do not want to feel on the edge

Will do the math again, maybe with less conservative figures

Silly question: you mention 3.6 to 4.8% withdrawal rate -> is this amount considering the 2nd and 3rd pillars ? Because our net worth excluding 2nd and 3rd pillars is barely 0.9 M, so still a long way to go…

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I guess AHV and pension fund.

It’s 100k gross income. I know, there should be room for improvement. It’s because I changed from IT engineer to project management just a few years ago. Of course CS/UBS are paying more…but you have to be able to work in this kind of structures. I worked several years in this environments, in my experience no fun at all :face_vomiting:

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Not silly at all. I would say it’s better to include them, for completeness. For the 2. pillar the current “Umwandlungssatz” is even 6.8%, so much higher than a typical withdrawal rate you see on FIRE articles/forums. But of course, for a number of years, you will not have access to that money. Thus, I’d say it’s not easy to just set a single FIRE amount as a goal. I guess, due to pillar 1, 2 & 3, many of us will not have to be worried about survival once they reach the age of 65 (unless you will still have to support your kids or parents, but hopefully the kids will be already independent by then, and parents, well sadly, have passed away).

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Some bad news:

On the other side:
At the end of 2019, the SNB had built up more than CHF804 billion in foreign currency investments.
So there is money somewhere in case of issues-

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Careful: it is not like the Norvegian sovereign fund (similar size) which sells real oil and owns the investments. In order to weaken the Franc, the SNB creates CHF’s out of nothing, sells them against EUR’s or USD’s, and buys Facebook shares (among others) with those foreign currencies. But this could be reversed. If international investors suddenly find it dumb to pile CHF’s, the SNB may have to buy them back and make them disappear. If they are lucky, the whole process (creation and destruction) would be neutral and those hundreds of billions could just vanish cleanly.

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