Calculating “One More Year”

Many in the FIRE community will talk about “one more year” syndrome.  This is the idea that you work for just one more year and save a little more money before pulling the plug.  There are likely many reasons for this including fear of not having enough saved, actually liking your current work, or maybe just general fear of this massive life change.  Many of us are planning on leaving full time employment decades sooner than the average person so is one more year really all that bad?

At this point we have less than 2.5 years left to go until we hit FI based on my current estimates (this is our comfortable coasting FI number) but I have already started to think about how much one more year, or even one more month, could affect our finances.  Based on very rough numbers and of course greatly depending on market conditions every year we delay leaving our full time jobs would give us an estimated $2,000-$6,000 additional annual income for life.  Now I realize this is a huge range and that is very much because we have no idea what the market will do or even our exact savings every year.  But I will explain a little further so hang in there. Continue reading “Calculating “One More Year””