Yesterday, I spent a few hours completing my financial projections for 2017. It’s all tucked away in a tedious little spreadsheet on my Google Drive account. For nerds like me, examining the minutiae of my personal finances is super fun and exciting, but I won’t belabor the details here. The takeaway message was the following: In 2017, investment income will account for fully 47% of my take-home. This is exciting prospect for me because I hate my job. And chances are, you do too. I mean, my job is 3rd on Canada’s Best Jobs 2016 list and pays 6-figures yet I’m still miserable, so what hope does the average worker have? Luckily, there’s a light at the end of the tunnel. With a few minor tweaks and by continuing to save my pennies, by 2018, 56% of my take-home income will come from investments. And once my investment income surpasses my net employment income, I can officially consider myself financially independent.
There are a few caveats that I should make mention of. Employment offers benefits besides the income stream. My employer covers my health and dental costs, provides a defined contribution pension plan and working provides structure for my day. Prior to my employers latest round of cost cutting, I actually enjoyed my work. I was able to interact with like-minded colleagues and provide a valuable service for my patients. I had a leisurely 20 minute commute and a 33 hour per week schedule that was blissfully light. Despite all of these perks, the lack of autonomy, rampant micromanagement and quotas imposed made my job nearly impossible. With a recent change of ownership, I’m optimistic that the Stalin-esque atmosphere will ease and I can get back to doing my job. But if not, I can just hang in there for another year whilst crossing days off my calendar, prisoner-style.
Despite my saving goals for this year, I am also planning to increase my charitable giving and continuing to allow myself a great deal of leisure time. Reaching financial independence will mean nothing without the people and experiences that make life worth living.