Money for FIRE

January 22nd, 2025 (12 days ago) • 2 minutes

How much money do I need to comfortably have the CHOICE to retire?

In the long run, I know I still want to go back and live in Malaysia since that's home to me. Family, friends, and people are there. Career-wise, it may not be the best, but it's still doable. Since I'm in the US, I want to work hard here and then move back with 1 USD = 4.5 MYR. Maybe stay in the same job or do some freelance work.

Money is a sensitive topic. So where else to seek advice than Reddit?

Taking into account the factor of inflation and future life with a partner (and 2 kids), let's say that amount will be MYR10 to MYR14 million or $2,245,930 to $3,144,302.

• MYR2 to 3 million per person
• 20% additional buffer for risk management
• Assumption: comfortable life, not lavish, favoring usability over flashy things
• Assumption: have to be able to support your family so they can live without financial limitations, i.e., not having to say no to the best school because they had no scholarships

Using the 4% rule and the midpoint MYR12 million, that will give me about MYR480k annually or MYR40k monthly (which is very much more than enough). Of course, if the stock market downturns for a few years in a row, then we might need to revise the withdrawal or consider other avenues such as T-bills or the government's Employees' Provident Fund, which guarantees a minimum (in this case for Malaysia, it's 2.5%, free to be withdrawn after 60 years old).

So MYR12 million == USD2.7 million. How?

ChatGPT suggested some ranges here. Phew, it's aggressive, and it's assuming I am an A* FAANG engineer.

Hmm, this led me to think that I should reconsider some choices I make now and optimize some of them.