The Art of Manliness Podcast: Retiring at 30 with Mr. Money Mustache

7/10 microphones

Listen to the Podcast, Find Mr. Money Mustache at his website

How to retire at 30 by just mainly spending less, AKA “Financial Baddassery”

  • Change your mindset/goals: Mr. Mustache focused on retiring by 30 to spend time with kids

    • Saved through 20’s by earning 2 incomes, spending <50% of post-tax income, paid off house/mortgage, invest in index funds, couple rental houses

  • Changing your money mindset/philosophy

    • You win the game by keeping as much money as possible and accomplishing as much stuff yourself (not buying as much stuff as you can), combined with earning/saving money

    • Accomplishing/learning leads to much more happiness than buying a big TV

  • Avoiding pressure to be like everyone else in the US

    • “We are bat-shit crazy in this country, and a lot other countries don’t have this consumption disease”

      • Everyone is out of shape, health problems, etc because of indulging in immediate desires

    • “You can go really far by doing the exact opposite of everyone else”

    • You actually get more respect this way

  • Not being a consumer:

    • Separate men from boys: Producers are Men, Consumers are Boys

    • When indulging in consumption like a fancy vacation I just got bored and didn’t get much fun out of it

    • This is actually very American up until WWII, but still a lot of production going on in the US

      • What you produce matters too (e.g. solar panels lead to long term value vs. disposable junk that lasts a few years)

    • Financial Independent/Retirement = Never HAVE TO work for money again, but you do want to and get to work on what you want (no need out to sell to highest bidder)

    • Savings Goals: 50-70% of post-tax income

      • People can live non 4k/year in the US if they have to, so this isn’t impossible

      • Saving Money:

        • Car costs: live close to work, small car, good mileage, buy used

        • Food costs: Cook your own, keep social by having people over

        • General Leakage: Reform your day to avoid random shopping/malls that you don’t need / Be Mindful of what you are spending (e.g. cancel cable)

        • Kids are actually not that expensive:

          • Healthcare/food are required

          • If you are home, save on day-care

          • Less travel sports, more running around neighborhood

          • Use hand me down clothes

          • Live by example as parents

          • Avoid malls, just necessities from Amazon = no retail therapy

          • Teach kids about saving in the “bank of dad”, include 10% interest in the bank to create incentive to save

        • What to do after quitting day job:

          • Keep side jobs (e.g. carpentry), Etsy, real estate, etc. – working is still good and you’ll enjoy producing

          • You often earn more after quitting than before

        • How much to save before you can retire?

          • Ignore Fidelity, it’s about how much you spend, not what you earn

          • You’ll need 25-30x your annual expenses to live off dividends/etc. plus value of your house

            • While working keep investing in index funds, etc. as you get the most out of deduction when income is high

            • Once you quit, then pay down the house as you income is lower and deduction worth less = lower monthly expense costs

          • Index funds are easy/safe way

          • Rentals can be effective if you have some expertise

        • How to begin your journey:

          • Start learning about it

          • Start taking action, replace a car with a bike as a challenge/changes your mindset (do hard things)



You'll also get our weekly newsletter with the takeaways from our curated list of top podcasts. Unsubscribe anytime.