This article from The Guardian spurred me to start this website that I’ve been thinking about for years. It’s called The Big Money Question, the article, not this website, and it asks people if they would give up their jobs for GBP1 million. Is a million pounds enough to live on for the rest of your life?
And no one knows the answer. Not really. Most of them waffle about spending on this and that, make-up or swimming pools. Some of them talk about buying property, or paying off a mortgage, which is a little better… but still not the actual answer. Some said work is good for it’s own sake, which is true, but also not answering the question. The pure, straightforward, mathematical answer is in the domain name of this site.
25x.
If a million pounds is twenty five times your annual spending, then a million pounds is enough to give up work. Twenty five times your annual spending, invested reasonably well, will give you enough money to keep spending at your current rate and keep growing to keep up with inflation. Twenty five times should last you not just twenty five years, but forever.
That’s the Freedom Formula. It’s the idea I’ll be addressing in the rest of this website, encouraging people to learn this for themselves, and how to get to that point too, through new income sources, savings and investing, but thank you to the Guardian for encouraging me to start today. Watch this space.