Australian FI Weekly #45

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Welcome back to #AusFIWeekly for another edition of handpicked financial independence links and events from Australia and abroad. I’m Michelle, a mid-30s semi-retiree sharing my FI journey and slow travel adventures at FrugalityandFreedom.com.

Happy New Financial Year! Between housesitting a new place with two cats and working with three online freelance clients, it’s been a busy week. Every month is an experiment in lifestyle design on this new freelance path; trying to get the boundaries and balance right between enjoyable productive work and downtime in that #WFHlife. (Spoiler alert: I’m doing a disservice to the word “semi-retired” right now…)

Hope you’re all doing okay out there and finding time for reflection during this slowdown, including on what positive elements to keep once the world kinda gets back to normal. Now for this week’s FI links…

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Australian Links

$500K Lunchtime – House of Simple
“It has been mentioned more than a few times how much money they are saving by working from home… This got me to thinking about how much a worker might spend on peripheries on a weekly basis, or even across a working lifetime. So I did the math on a worker who buys a coffee, a can of Coke and a sandwich each working day – that would be conservatively $10 a day. That $10 a day actually adds up to an eye-watering figure over the course of a working lifetime.”

I don’t have a Budget – what do I do instead? – Latestarterfire
“I almost feel guilty writing this as having a budget is one of the ‘pillars’ of personal finance but… they just don’t work for me. So I’ll tell you about my system instead… If you are struggling to stick to a budget, perhaps my way of managing my money may appeal to you.”

ETFs vs LICs vs Managed Funds – A Primer – Two To FIRE
“As a newbie investor, you would think that only shares of companies trade on the share market. You know, companies like CBA & Westpac, BHP & Rio Tinto, Coles & Woolies. But the field of finance has been more innovative than it lets on… For investors who don’t like to go share picking through these options, ETFs, LICs and MFs can provide an excellent alternative. That is because they already come with a pre-constructed portfolio.”

Lockdown was my retirement ‘training wheels’ – Burning Desire for FIRE
“I’ll almost certainly work at least another year – I have a lot of projects that I want to have finished and paid for before I give the wage the flick – but yes. Emotionally, Lockdown has given me the certainty that when I retire, I’ll be just fine.”

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Australian Events

13 July, 7pm AEST – Aussies on FI/RE: ​​​​​​​Financial Independence & Retiring Early (Part 2) – SkilledSmart

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International Links

What is the Financial Independence Policy Statement? – Prairie FIRE (Canada)
“There are several paths to achieving FI. The FI Policy Statement provides you a chance to self-reflect on the WHY, WHAT, and HOW to FI… The FI Policy Statement is meant to act as a guide and is a living document changing and adapting as your situation changes. On your path to FI, this document should be considered sacred.”

The Difference Between Frugal and Cheap: Frugality Earns Profit – Tic Toc Life (USA)
“What’s the difference between being frugal and cheap? One can earn you money, give you nicer stuff, and let you live a happier life. The other is cheap.”

Be Content With What You Have: Redefine Enough – One Frugal Girl (USA)
“Disenchanted with our lives and progress, we try to buy our way to contentment. We begin by purchasing houses, cars, and extraordinary experiences… Thanks to hedonic adaptation; what was once good is no longer good enough and so begins the quest for more… Contentment opens your eyes to greater possibilities than just being the best at work. It provides you with the ability to enjoy who you are and who you are meant to be.”

Reaching Financial Independence with the FI Formula – Impactivated (Belgium)
“What is the simplest way to both represent Financial Independence and explain how to get there?” This. One of the best infographics to explain FI that I’ve seen.

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Thanks for reading and look out for a guest curator edition next week. Missed one? Check out the archives here.

Yours in pursuit of FI,
Michelle @ Frugality and Freedom

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