Earlier quoted context omitted.
If I remember the first few articles (I started at the beginning when I found the site, several years ago) Mr. Money Moustache and his wife were able to save radically while working fairly decent jobs. The result being they we able to "retire" very early (20's?) and are offering tips and sharing methodology. So without the background, yes the numbers can seem very low. But with the background, you may find all of the…
I have no doubt that a highly disciplined individual could accomplish such a feat. But then add a wife or husband. Then add a child. It seems increasingly less likely for an average or even above average saver to accomplish what is being espoused. At least without major push back from the other people you are attempting to subject to this lifestyle. I am honestly wondering what they do when people they know are doing…
http://www.mrmoneymustache.com/2011/04/08/mr-money-mustaches... http://www.mrmoneymustache.com/2011/04/10/post-4-what-am-i-s... http://www.mrmoneymustache.com/2011/04/11/getting-started-2-...
Just the first few, it goes on.
To specifically answer your questions, you will find the answers in various posts on that site, but you will have to put in the time to read them.
And I agree with the sentiment expressed in one of these above links that the boilerplate of the advice will be found in many personal finance/retire early books. To me, this is a confirmation of what I would consider basic elements or basic truths. And much of it can be common sense, like paying off a high interest rate loan before lower interest rate loans. Or making due with the car/house I currently have, rather than saddling myself with a newer/bigger car/house. I have heard someone refer to this as the process of "striving," rather than the process of "arriving:" It can seem like we never have enough.
I am very fortunate to be male and in the United States, as I have read repeatedly that the world is not fair and I have it far better than many other humans. For this, I am thankful. But I also put in the work.
My wife and I are using the methods we learned from Robert Kiyosaki's Rich Dad/Poor Dad series (which also has it's fans and detractors) and doing quite well. A four-plex we bought two years ago allowed us to pocket US$8000.00 last year, and yet legally claim a loss of $800 due to IRS rules for deferred taxes.
But the same core lessons can be found (for free) at http://www.financialintegrity.org. And as I said, when I see the same basic guidelines being repeated by so many different people, I conclude that there is likely to be some basic truths buried therein.
Good reading to you!