Well, it’s that time again — time for another retirement update where I share what it’s like in the retired world of ESI!
It’s been a while since I’ve done one of these updates…sort of.
It has been since last November when I posted Retirement Update: 5.25 Years, my last “official” retirement update.
But since then I did post the following:
- Thoughts on The Villages, Florida, and Snowbirding, Part 1
- Thoughts on The Villages, Florida, and Snowbirding, Part 2
- Thoughts on The Villages, Florida, and Snowbirding, Part 3
- Review of The Villages, Florida, Part 1
- Review of The Villages, Florida, Part 2
All of these, while not regular retirement updates, basically provided, well…a retirement update.
So I feel like I’ve kept you pretty much in the loop.
That said, it is the marking of another year (six years retired!) and I have a lot to share, so we’re back to the standard retirement update this time. 😉
BTW, let me just stop a moment and celebrate the past six years. They have been AMAZING! If anyone tells you retirement is boring it’s because they lack imagination and a plan. It’s completely AWESOME!!!!!!!!
And to think, if I retired at a “normal” age I would still be far from retiring — so I am feeling really blessed to have had the past six years…and looking forward to many more to come.
With that said, let’s get started on this update…
Life
- We arrived back in Colorado in early April and things were going fairly fine weather-wise…then it snowed in May. Ugh. Yes, it happens often (like every year) but it’s always disappointing. Anyway, we didn’t miss out on all winter. LOL.
- We did find a place in The Villages for next January-April, extending our stay in 2023 by 1.5 months versus 2022. Next year we have a place with two bedrooms and a den plus a water view in the Village of St. Catherine (look it up if you like) close to where we were last year and not far from my dad either. The kids will come down and visit as well and we’re already planning some things to do. We used Hometown Property Management to book our place in case you’re wondering. It’s The Villages’ rental arm and we’ve heard good things about them.
- Pro tip for renting in The Villages (if you want to stay four months): The places fill up fast for January through March, the peak season, but the rental companies seem to set rentals by taking a list of people who are interested in renting homes, releasing all the homes for rent on the same day, then taking renters on a first come, first served basis from the list. When we called in April they had a list of 300 people ahead of us for January-March. So we asked, “What if we rented from January through April?” They said that would move us to the front of the list. So we agreed, picked the house we wanted, and got our choice confirmed the day before they released the homes to the 300 January-March renters. 😉
- My dad closed on his house in The Villages in early May and has now transitioned his entire life from Iowa to Florida. He’s all settled in and doing lots of Zumba, listening to music, and driving his golf cart everywhere. My daughter and I will see him in September if all goes well (see below).
- While we were in Florida we had lots of work done to our Colorado home including new floors in my office, our bedroom, our bathroom, and our bedroom closet. And, of course, the new floors didn’t go well with some of the old paint colors so we had those last three rooms repainted when we got home. We’ll plan on having some businesses do a few other projects when we go next year too (we’ll have someone living in our house those four months plus our son-in-law can watch over the process).
- We loved our lanai in Florida and thought about putting one in here in Colorado. We had a guy come out, look at our setup, listen to what we wanted to do and then quoted us $83k (with discounts — it was originally $128k)! Yikes! We can buy a good part of another house with that! So needless to say, we passed on the “opportunity.” We weren’t sure how much we’d use it here anyway since, you know, it snows in May and snows in October. It’s kind of a short season.
- I have started making a list of potential new core pursuits/hobbies for retirement. I’m loving my current activities, but can’t be sure I’ll still love them in 5-10 years, so I want to try several out to see what I like. I will visit some clubs in The Villages while we are there and try several different activities (chess, drone flying, etc.)
- We still see my daughter and son-in-law every weekend for a grill-out and also see them at church. We also go with them to movies frequently and it’s nice they are so close. Our son moved to Denver, so he’s a bit more remote these days but we see him about once a month or so.
- My wife is volunteering at church as a Sunday school teacher (not on staff this time, just a volunteer so she can be more flexible in taking time off).
- I’ve connected with a few friends for coffee and lunch. Covid put a damper in my regular connections so it’s been awhile since I last saw many of these. I don’t like a ton of planned get-togethers as I prefer my schedule to be open, but one a month or so is fine.
Health
- I am now working out seven times a week — four cardio days and three weights days (I did 3/3 all the time we were in Florida). I see my trainer every 3-4 weeks for a new weight routine. I bought 24 sessions with him (I got a discount for doing so) and me, my wife, and my daughter all use those. FYI, it took me a month to get used to the altitude after coming back from Florida. The air is thin here!!!!
- The exciting news is that while we were in Florida my gym converted one indoor tennis court to four pickleball courts. I play there at least a couple times a week and at two other indoor courts 2-3 times a week. I’m still loving pickleball and have gotten a lot better. I guess that’s what playing 5x per week does. Haha.
- I’m also still walking a lot and averaging over 20k steps per day.
- While back in Colorado we are doing all our doctors’ visits, so I’ve had my annual physical, a trip to the dentist, and a dermatologist visit. I have an eye appointment, dentist cleaning, and one more dermatologist check before we head to Florida.
- I’m back down to my correct weight after gaining 10 pounds in Florida. My dad stayed with us and he’s a sweet maniac. he would bring home sweets quite often and since I have zero self-control, I gained weight despite the active lifestyle. We’ll have our own place this winter and can thus control the amount of contraband food in our place. 😉
Entertainment
- I’ve seen several movies at theaters in the past few months: The Batman (2x at theaters and once on TV — loved it), The Northman (good action and “ok” movie), Downton Abbey (LOVED it!), Top Gun (LOVED it!), Jurassic World (it was “fine” but I had to see it as I’ve seen all the others), and Elvis (I liked it). We bought $100 worth of theater gift cards for something like $80 at Costco plus we go on Tuesdays (bargain days with few other viewers) so the money stretches a long way. LOL.
- On TV we have covered a lot of ground since my last update including: The Boys, AGT, Holey Moley, This Old House, Hallmark movies, When Calls the Heart, American Idol, All Creatures Great and Small, Sanditon, Wheel of Time, Obi-Wan, and a few others. These days we watch a lot of YouTube videos as well on a wide range of subjects (The Villages, travel, Pawn Stars, Fail Army, etc.)
- I was able to secure a PS5 from PlayStation, got it ordered and everything. Then they proceeded to screw up the shipment, refunded my money, and the best they could offer me was to “try again” to purchase one (you know, using the same system that just failed.) I was not happy. Then they invited me to a “special event” where I “would be guaranteed to get a PS5.” It’s in a few days, so we’ll see. The only game coming out this year that I know I’ll want is Gotham Knights and it’s not for the PS4, so I have little choice. Plus my son wants my PS4 so I need something! LOL.
- I have been reading several books (both actual reading and audio listening) the past few months which are listed below. I’m still enjoying the amount of reading time I have these days. I also bought a Kindle Paperwhite on Prime Day and am looking forward to getting it (supposed to arrive any day now).
Finances
- We ended July with a net worth of almost $6.1 million, down $200k from a year ago and down $400k from our high of $6.5 million (December 2021). Easy come, easy go. LOL! I’m still up close to $3 million since retiring and income is more than twice spending, so it’s not a big deal.
- I did invest in a few more real estate syndication deals and am now at 12 and holding. A couple of these are one year deals that will payout this year. After that, I’ll have 10 total deals with $900k invested earning $63k per year, which is about where I want to be. My private loans were paid back in July so I am out of those as well. I might invest in any short-term opportunities (like more land or debt) but otherwise I am accumulating cash in case we decide to buy something when we go to Florida this winter. 😉
- Speaking of syndications, this message is nice – from the Ashcroft Value-Add Fund: “April marks the first anniversary of the AVAF1. We are happy to announce that based on overall property performance, we will be issuing a bonus distribution of 0.4% to Class B investors. This will come along with your standard monthly distribution. For example, if you invested $100,000, you will receive $866.67 by the end of the month. $466.67 as the standard monthly distribution and an additional $400.00 for the anniversary bonus. Class A investors will continue to receive their standard monthly distribution.” Sweet!!!!!!!
- My daughter and I attended a Colorado Avalanche game on May 19 courtesy of one of the syndication companies I have investments with. Unfortunately they lost the game, but it was a TON of fun, a great atmosphere, and they eventually won the Stanley Cup!!!!!!!! Another syndication company sent me a box with a “fun family card games” book, some cards, and a couple packages of candy. And tonight at 6 p.m. a third syndication company is taking my wife and I out to a swanky dinner in Denver. Who knew these perks came along with investing in real estate syndication deals?
- We have completed a five-year charity plan and started working on it (I have a post coming this fall which will detail it all) — and have already distributed $85k of our $100k goal for this year — most of it to the homeless and poor. With the way the economy is going, if you are willing and able to give to help others, now would be a great time to give as there are many hurting people.
- We filed for a tax extension this year as I had no intention of working on our taxes while we were in Florida. In addition, I had one K-1 from a syndication investment that we didn’t receive until June, so we just completed our taxes at the end of June. We ended up getting a huge federal refund because…1) we paid a TON of capital gains and depreciation taxes when we sold our rental properties and 2) then I got a TON of depreciation write-offs from the syndication investments I made. Anyway, it’s all done now and we’re through with taxes for another year. BTW, I am making more money now than most years I worked (spending about 1/3 of the time on it too) — just another reason I should have retired much earlier. Ugh.
- I was invited to get an X1 card but declined getting one. I would have accepted if they had allowed an easy way to redeem their rewards in cash (and kept the high percent back), but their rewards are in “points” which are of dubious value IMO, so I passed.
- During some of the recent stock market downturns I bought some more dividend stocks (the same ones I originally invested in…just more shares of those) and I’m now receiving about $19k in dividends annually from them.
- I bought series I bonds — $10k each for me and my wife — as almost 10% interest is nothing to laugh at. Wish I could have invested more! If the rates stay high, we’ll get another $10k each in January.
The Economy
I said a lot of what I wanted to regarding the economy in Do Not Panic: Thoughts on Dealing with a Falling Market, High Inflation, Rising Interest Rates, and Other Financial Perils but let me add/reiterate the following:
- We all have a personal inflation rate which we can much more readily influence (in what we buy, when we buy, how we buy, etc.) than we can the national inflation rate. Even when battling high gas prices we can take steps to lower them — we can commute with a friend to work, walk/bike instead of drive, and shop at stores that give gas discounts (like Kroger). So you actually have more control than you think over your own specific inflation rate.
- Margins of safety are for times like now. DO NOT WAIT to create some for yourself.
- With the market tanking we have a wonderful example of why I prefer funding retirement/financial independence with income over assets (or at least including some income in the equation). Having income greatly dampens the negative effects of a rapidly declining market (or at least a volatile one).
ESI Money and Millionaire Money Mentors
- ESI Money is on track for a $40k year or so. It’s been a bit on autopilot with most posts from others (interviews) as I work on ebooks and courses. Hope to share what I’ve been working on with everyone soon.
- As I noted in the last report, I am writing ahead several months so I can take most of my winter vacation completely off. I am writing posts now for January 2023 and will be done through May before I leave. So when you read the spring posts, just know they were written several months ago. It shouldn’t impact the content at all, but just wanted you to know in case a few odd comments slip through here and there! LOL.
- The Millionaire Money Mentors (MMM) site is now at record membership. I spend much more time there than I do on ESI Money and really enjoy the community, topics we discuss, and the wisdom from so many great people. And belonging has added tens of thousands of dollars to our net worth…so that’s an awesome side benefit. 😉 FWIW, you don’t see as many comments on ESI Money posts these days because most of the top active commenters have moved to the MMM forums. And as for me, I probably write the equivalent of one ESI Money post per day on the forums — interacting with all the topics, comments, and people. So there’s a lot going on there!
- As a heads up, my next MMM sale will be just before Labor Day. It will be a great time to join the group (heading into the fall). I’m working on a post detailing some of the results members have seen, so look for that at the end of this month (which will also be when I announce the sale).
- The MMM in-person event for this fall didn’t work out (we couldn’t get a set of dates when enough people could come), so we pivoted and it looks like we’ll have one in Florida this spring! I have made so many great friends through the site — I can’t wait to meet them in person!
- I always need more millionaire and (especially) retirement interviews!!!! I’m well ahead (as you know) but time passes and we’ll use up all the ones I have backlogged, so if you’re interested in sharing one, please email me and I’ll send you the details. And remember, if you do a millionaire interview and agree to some low-level posting requirements, your MMM membership is free once your interview goes live (no refunds to existing members, but you don’t have to renew either.)
- My daughter and I are headed to the Financial Bloggers Conference (FinCon) in September. I’ll be networking and looking for answers to a few business questions while she will be searching for a few more clients (she’s a virtual assistant). We will also take a day at Universal, some time to meet with a couple MMM mentors, and a day-trip to see my dad in The Villages. We are also flying there first class, so that makes the travel (usually the worst part of the trip for me) special too.
Books and Podcasts
Here are many of the books I’ve read since my last update plus a few podcasts I really enjoyed:
- Can’t Hurt Me: Master Your Mind and Defy the Odds — The best book I have read in a long time. Do yourself a favor and get a copy of it. If you are an Audible member, that version is amazing as it’s a combination audiobook and interview format. In it the ghost writer who wrote the book for David reads a section of the book (several pages), then he comes back to chat briefly (maybe 5 minutes each time) with David for additional commentary/perspective/stories. This format adds a TON of extra information to the book (some of which is better than what’s in the book IMO) and if you haven’t heard it, it is worth checking out. FYI, I bought the Audible version for myself, then the book for my son, then the Kindle version for myself so I’d have a text copy of it — that’s how much I liked this book.
- Happy Money: The Science of Happier Spending — Want to spend your money in ways that will make you happier? This book tells how! I liked it so much that I’ll be doing a series of posts on it this fall.
- The Wall Street Journal. Complete Retirement Guidebook: How to Plan It, Live It and Enjoy It — This is an old book (2007) but was really good — better than many of the more-recent retirement books IMO. I’ll also be doing a series on this book later in the year.
- Can I Retire Yet?: How to Make the Biggest Financial Decision of the Rest of Your Life — Another great retirement book! I hope to cover it with some posts in the spring — we’ll see how it goes.
- The Giving Way to Happiness: Stories and Science Behind the Life-Changing Power of Giving — I honestly don’t remember much about this book, but I do plan to revisit it later this year as I remember liking parts of it.
- Retirement Game-Changers: Strategies for a Healthy, Financially Secure, and Fulfilling Long Life — Another good, solid retirement book.
- Don’t Go Broke in Retirement: A Simple Plan to Build Lifetime Retirement Income — Who doesn’t love “lifetime income”? Am I right????
- Buy This, Not That: How to Spend Your Way to Wealth and Freedom — I covered this book in 10 Guidelines for Stealth Wealth.
- What Exactly Is College For? — A GREAT, fact-based podcast series about everything college. Well worth the listen.
- Harold Pollack on Why Managing Your Money Is as Easy as Taking Out the Garbage — A podcast interview with the guy who wrote The Index Card. This quote was one I loved (from host Steve Levitt): “In rule number six, you wrote, ‘Make your financial advisor commit to the fiduciary standard.’ O.K. Why isn’t rule six, ‘Never ever hire a financial advisor’?” Hahahaha.
- Terry Crews on Masculinity, True Power, Therapy, and Resisting Cynicism — How can you not love Terry Crews? I think he’s awesome and really enjoyed this interview with Tim Ferriss.
That’s it for this report. Any thoughts or questions?
Geta says
Very comprehensive post on what you have been doing in the past 6months. Great to hear that 6 years in you are as excited as you were in the beginning.
Paul says
I’m moving to The Villages in October. Will still be working (remote), but ready to get down there. Let me know if you want to grab a coffee when you get down!
ESI says
That would be great! Send me a note and we can work out details when the time gets closer.
The Crusher says
Sounds like your retirement is going fantastically! Congrats!
I love hearing that someone with a $6M+ net worth is still optimizing his finances by buying discount movie cards to save $20. Classic!! Scrooge McDuck would be proud!! 🙂
Frank S says
Enjoyed this post quite a bit, esp having closed a great stock market day today….double great whammy!
Congrats on the Kindle Paperwhite, my wife and I have read 100s and 100s of books (easily read 3 books a week) on our Paperwhites; and super great for travel, waiting at MD, Dentist, etc., I take it everywhere I might get stuck for a few minutes; I will ‘pitch’ you to give Kindle Unlimited a try, I think $9.99/mo but probably has a deal out there for something free; we have been introduced to so many new writers via Kindle Unlimited with 1000s of books to choose from included in that monthly fee; many are writers of 1-2 books only and we have met many in our travels even as far as in Italy. So can even make that fun as well; all the best, and thanks again for a great post;
Clay says
Libby and a library card are really amazing value. Possibly in the US you can have the books on your kindle even? I’m using it just for audio books, and it’s amazing value (ie. free, but you usually have to get in line for the best books)
Clay says
I see M180 already raised this. I almost agree that it is life changing.
Lisa says
Thank you ESI! Just bought $10K Series I bond after reading this post.
M180 says
Thanks for the update – it’s inspiring and has given me a few new ideas.
Love my Kindle too! Definitely use your library card with it. Yes, free Kindle books with your library card. I have not bought a book in years since discovering this. Life changing.
And YES – I second your strong recommendation for ‘Can’t Hurt Me.’
Scooter says
Thanks for the update. I need to check out the Series I bond and work on my Millionaire interview!
Clay says
“down $400k from our high of $6.5 million (December 2021)”
Probably your high in early 2022 was above your 31 December high?
My decrease looks a lot worse when I compare to my highs in March/April 2022.
Regardless, compared to 31 December that doesn’t sound too bad.
ESI says
I take my official net worth at the end of each month.