Definitely don't retire without considering it very carefully. Some people do well with (in your case, very, very) early retirement, but many don't at all. Just because it's possible to retire doesn't mean it's necessarily the sensible thing to do.
Ask HN: What to do after $8M (all cash, post tax) exit?
81–90 of 531 posts
Re: Ask HN: What to do after $8M (all cash, post tax) exit?
#82Are you in the U.S - meaning your healthcare and that of your loved ones is not provided for, or are you in a country in where it is provided for? Add that evaluation into the other ones here.
Re: Ask HN: What to do after $8M (all cash, post tax) exit?
#83I would blow some serious cash right away. Buy a Tesla Model S P100D. Tell the wife and kids you're going on a spiritual retreat but instead hang around with 30 something girls and party your ass off (you don't have to have sex with them). Do some ecstasy. A good role model is Dan Bilzerian. https://www.instagram.com/danbilzerian/ Buy a bigger house. Preferably one large enough where you don't have to see the wife an…
This is the approach for sociopaths, yes?
Re: Ask HN: What to do after $8M (all cash, post tax) exit?
#84You should figure out how much to put away for whenever a time comes where you need financial freedom it's upon grasp. Money for health emergencies, food, taxes and loved ones.
Re: Ask HN: What to do after $8M (all cash, post tax) exit?
#85Earlier quoted context omitted.
>Um, he has no need to work. Why would starting a business be the most important thing to do? When you're financially independent you have the freedom to pursue ideas that are more risk-averse. It's when you have the freedom to do things that you wouldn't have felt comfortable doing when you were worried about paying your personal bills each month like me, like my fellow peasants. >just as long as it does not cost mo…
"It's when you have the freedom to do things that you wouldn't have felt comfortable doing when you were worried about paying your personal bills each month like me, like my fellow peasants." I completely agree, but we have no way to know what the best way for him would be to use his new freedom for self -actualization. There are lots of other interesting things to do in life as well. "That's quite a bit higher than…
>There are lots of ways to spend 8M fairly quickly.
There's a lot of ways to spend 8 billion fairly quickly. That doesn't mean that either isn't an obscene amount of money to many people (it's 250x~ my gross income).
Sure, he could go buy a jet and a manse and be broke in a week, but I could legitimately burn through 8 billion dollars fairly sensibly in several months throwing it at serious projects. Hell, I could burn through 8 trillion in probably 3-5 years pursuing society-changing projects.
It may not be a lot of money to tech/bay area types but to the rest of the world it's more money than the vast majority will see in multiple lifetimes.
Re: Ask HN: What to do after $8M (all cash, post tax) exit?
#86Firstly, congratulations! You sound very level-headed about it all which is refreshing. If you're UK-based I'd withdraw it all and hide it in a safe... FCS only protects up to about £70k (from memory) and who knows what state the banks will be in post brexit!?
Maybe best not to be holding cash during brexit..
Re: Ask HN: What to do after $8M (all cash, post tax) exit?
#87Try something new. Scuba diving. Sailing. Perhaps you will be passionate about it and want to travel the world to do it. This is your chance.
Re: Ask HN: What to do after $8M (all cash, post tax) exit?
#88I remember watching a sketch about a genie that was supposed to grant wishes, but instead gave reasons not to do it. The guy asked for one million in cash, and the genie told him that if he was capable of handling that amount of money, he would already have them on his own, so fulfilling his wish would be a total waste.
People already said it many times. Don't go in "rich mode". Take your time to figure things out, not changing your life too much. If you look at all rich people on the world, most of them work even harder than common folks to keep their wealth. Make sure your kids will learn to appreciate life and won't go poor without your support.
Congrats anyway!
Re: Ask HN: What to do after $8M (all cash, post tax) exit?
#89Figure out what your liabilities are. Wealth is one side of your balance sheet: liabilities are the other. Want to retire in the Bahamas? Want to make sure the kids are mortgage-free? Want to make sure the kids don't have to take a soul-crushing corporate job and are free to pursue their art? Those are liabilities. Once you know your liabilities, figure out the best investments to match them. If you want to retire in…
Assets matching liabilities is an accounting idea that has nothing to do here. Wanting to do something is not a liability.
Re: Ask HN: What to do after $8M (all cash, post tax) exit?
#90Earlier quoted context omitted.
interesting comment. since the bear market started, wouldn’t this be a good time to buy at bargain prices?
Bargain prices are at the crash. Beginning of the bear market is by definition the time when prices will continue to decline. (I'm leaving it up to you to decide if it's a short-term correction, beginning of bear streak or anything else)
buy when there is nothing but negativity and depressive comments on the stock market; once we are there it is a signal of the bottom