Personal Finance

I'm 35 and just retired early with millions in the bank thanks to hard work and Bitcoin

Kristin Hitchcock

Published: November 23, 2024 12:47 pm

24/7 Wall St. Key Takeaways:

• While this man’s story may seem extraordinary, the principles that guided his journey are accessible to anyone willing to put in the work.
• This Redditor gives us both inspiration and practical advice for reaching financial independence and retiring early. 
• Also: Take this quiz to see if you’re on track to retire (Sponsored)

The journey to financial freedom is often a mix of ambition, discipline, and, sometimes, luck. One individual’s path on Reddit stands out—having reached FatFIRE (the ability to retire with a comfortable lifestyle well beyond basic financial independence) at the age of 35 with a net worth of $40 million.

As you might imagine, there is a lot we can learn from his story:

1. Start with a Clear Goal

At the age of 19, this Redditor set a seemingly impossible goal of becoming financially independent with $1 million. He didn’t focus on math or calculating the exact path; instead, he focused on a large number to which he aspired.

This led him to his success and taught him how important it is to have a goal, even if it seems far-fetched. His goal did change overtime. However, the foundation of having a goal didn’t. How he planned to achieve that goal also changed, but once again, it was the goal that was important!

2. Be Willing to Take Risks

This poster built much of his wealth through entrepreneurship. After working as a freelancer, he started a tech service company that grew rapidly. Despite initial struggles, he learned the importance of delegation, managing risk, and understanding finances. It’s these skills that he believes helped him on his path to FIRE. 

Entrepreneurship can be a powerful wealth-building strategy, but it doesn’t come without its risks. 

3. Leverage the Power of Investments

Crypto may not be popular with everyone, but for this individual, holding onto Bitcoin for over a decade was a game changer. He started earning Bitcoin in 2012 by freelancing for global clients and held most of it as a long-term investment.

That said, this is a clear example of how important investment is. Using the power of compound interest is vital to let your wealth grow. 

4. Rely on Hard Work

Yes, some people get lucky. However, you cannot count on getting lucky. Oftentimes, luck relies on hard work. This Redditor was lucky enough to invest in Bitcoin early and use that to propel him forward. But you don’t have to wait for luck to show up. 

Surrounding yourself with the right people, whether in business or life, can help propel you to success. Working hard is a requirement for success, even if some will end up getting lucky. 

5. Transitioning from Financial Independence to Retirement is Not Easy

This is a topic we’ve covered a lot. Achieving FIRE is one thing, but transitioning into early retirement comes with its own challenges. Letting go of your job (or business) and retiring are often huge mental barriers people face. 

Many early retirees financially have enough money to retire, only to get cold feet. 

The lesson here is that once you achieve FIRE, it’s important to take that next step and actually go for it!

6. Be Aware of the Emotional and Social Aspects of Wealth

After retiring, the Redditor had difficulties with wealth management, relationships, and finding a new sense of purpose. Financial freedom didn’t fix all of his problems, and his new lifestyle brought some emotional challenges. 

He encourages others to explore how wealth affects friendships, identity, and your place in society—challenges many high-net-worth individuals face but often don’t discuss openly.

It’s important to realize that wealth and financial independence do not ensure happiness. Meaningful relationships and seeking purpose are required to live a full life, not just stacks of cash.