What's your financial freedom #?

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What's your financial freedom #?

Aaron Bonne
Rental Property Investor · Cincinnati, OH · Member since 2014 · 40 posts · 55 votes

What's your financial freedom #? How do you plan to get there? And how far are you now?

To clarify, this is based purely on passive cash flow. Meaning, how much money comes to your mailbox each month without having to do anything.

I'll start.

Goal: $10,000 per month

Vehicle: Real Estate Syndications

Current: $2,000 month between 5 syndication investments and a duplex I still own

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Dennis M.
Rental Property Investor · Erie, PA · Member since 2018 · 6k+ posts · 9k+ votes
7y

Goal -17.95$ monthly 

Newport’s 9$

Bottle of mad dog 8.95$

That’s all I need to have freedom 

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  • Todd F.
    Investor · Riverside, CA · Member since 2014 · 239 posts · 177 votes
    7y

    @Aaron Bonne realistically, to be financially free, my number would be about $8k to $10k per month. Number I truly want, $8billion to $10billion per month. Shouldn’t be too hard right?

    3Reply
  • Lee Bell
    Real Estate Appraiser · Isabella lake, CA · Member since 2018 · 628 posts · 491 votes
    7y

    I don't now what I would do with $100k or more a month.

    $10k would be more than enough, and $5k would be on the lean side.

    1 bottle of Mad Dog would last me forever, it would be untouched. Give me some nice Belgian Monks Style Ale. All I need is a pint a day. If I ever get out of here. ;>)

    4Reply
  • Mitch Legg
    Member since 2019 · 3 posts · 2 votes
    7y

    @Dennis M. That’s hilarious! Good luck with that!

    0Reply
  • Mitch Legg
    Member since 2019 · 3 posts · 2 votes
    7y

    @Aaron Bonne

    Goal: 5k/mo

    Vehicle: multi family rentals

    Currently working in a factory making about 2k/month

    2Reply
  • Mitch Legg
    Member since 2019 · 3 posts · 2 votes
    7y

    @Bruce C. Do you mind me asking what is the condition that requires such expensive medication?

    0Reply
  • Zachary Beauchesne
    Real Estate Agent · Broomfield, CO · Member since 2017 · 21 posts · 5 votes
    7y

    @Aaron Bonne great question as I am starting out, trying to prioritize goals with a new born and the desire to retire with a certain goal in mind, have my kid(s) attend college, and have the ability to retire earlier than 65.

    1000k/month to max out Ira

    600/ month on top of Ira to meet retirement min.

    600/month for college savings PER CHILD (hopefully max at 2 haha)

    1500/month to pay my current mortgage

    Not sure my wife and I would quit our jobs at this point. Better off continuing to stack cash, start a business, and continue to grow our real estate portfolio, retirement portfolio, and allow our children to do the same.

    A lot of people say I want to quit my job now but if it doesn’t suck that bad why quit? Move up, make more money, figure out how to lower your current expenses and build savings to invest. If it does suck, so something you love and start a business or find someone to partner with.

    I recently just learned a personal expense hack. Cell phone. We switched to xfinity mobile because we have xfinity internet at home. Saving 20/line. With the phones paid off and my wife’s reimbursement from work for her phone bill. We went from paying 190/month to our recent bill (today) at 24$ plus tax. HUGE savings. Allowing us to save an up to an extra 1k per year.

    Just saying, on top of building wealth through real estate, look to minimize your own expenses to maximize savings to invest more in real estate for greater returns.

    Great question, thanks for letting me rant BP!!

    2Reply
  • Jason Graves
    Rental Property Investor · San Diego, CA · Member since 2018 · 242 posts · 234 votes
    7y

    @Aaron Bonne

    I’m at 90% to my goal of 15k per month.

    My goal in five years is 25k per month.

    Anything over 10k a month is really not needed but add to my fun bucket.

    3Reply
  • Delrico Buckhannon
    Member since 2019 · 1 post · 1 vote
    7y

    @Aaron Bonne mine is 7500 a month to get freedom from my day job

    1Reply
  • Ian WalshBusiness Member
    Lender · Philadelphia, PA · Member since 2016 · 2k+ posts · 1k+ votes
    7y

    It's the number that allows me to live my desired lifestyle for the rest of my life and kids lives with out working another day if I chose not to.  

    0Reply
  • Michael Coakley
    Member since 2018 · 5 posts · 0 votes
    7y

    @Aaron Bonne

    Great question to contemplate...

    Now think 10X.

    Go.

    0Reply
  • Zach Midwood
    Rental Property Investor · New Bedford, MA · Member since 2018 · 56 posts · 32 votes
    7y

    @Erik Whiting

    Great response Erik. Very relatable!

    0Reply
  • Jaron WallingPro Member
    Rental Property Investor · Indianapolis, IN · Member since 2018 · 4k+ posts · 4k+ votes
    7y

    @Erik W. I agree with your response except the car. If you don't want the ZR1 I'll take off your hands. Have you seen the C8?!  

    1Reply
  • Steve Vaughan
    Rental Property Investor · East Wenatchee, WA · Member since 2014 · 10k+ posts · 16k+ votes
    7y

    Our goal was $8k per month and $40k in property reserves.  Don't forget a healthy reserve fund.  We've had $20k outflow months more than once.   Nice when it's an inconvenience vs emergency.

    We've exceeded our goal for a while now, but are consolidating out of 100+ year--old rural c class multis to suburban 40 year-old b class.  The cf will drop to just about our goal but so will a lot of the hassles and cap ex. 

    Becase a lot of my boomer+ plex sellers I've established relationships with over the years tend to call me first when ready to sell, I will probably acquire another 36 off-market units in the next few years, bringing us up to 1.5x or $12k per month.    Will be nice when my wife retires in 3 years and we have to buy health insurance privately.  Good discussion 👍

    4Reply
  • Patrick McGrath
    Rental Property Investor · Westminster, MD · Member since 2014 · 165 posts · 221 votes
    7y

    @Aaron Bonne

    2 Year Goal = $6k/month

    Currently - $2/k with 5 doors

    3 Years - $9k/month leave w-2

    5 Years - $20k/ month

    1Reply
  • J Romano
    Member since 2019 · 2 posts · 0 votes
    7y

    My FIRE # = MORE.....

    10 years - 1m passive / year from RE 

    0Reply
  • Erik W.
    Real Estate Investor · Springfield, MO · Member since 2017 · 1k+ posts · 2k+ votes
    7y

    @Jaron Walling, oh don't get me wrong...I'd love to DRIVE a ZR1 (and yes a C8!), but I don't want to OWN one.  Now if I could just find a place to rent me one for a weekend!

    My current plan for a fun car is my parents have an '02 MR2 Spyder convertible.  Hot red, 5-speed.  0-60 in 7 seconds.  Low miles for the age and impeccably maintained.  Feels like a go-kart on steroids.  Hoping they'll sell it to me once they decide they're no longer getting use out of it.

    Yeah, I know a lot of cars that can outperform it, but in my town there just aren't a lot of places you could get the full joy out of driving a 600+ horsepower car without traveling a ways or risking a very expensive ticket.

    2Reply
  • Christina Martinez
    Member since 2019 · 12 posts · 1 vote
    7y

    Current Status = $800 but closing on a 4-unit building that will produce $1800 -$$2200 pending on increasing below market rents. Will be $3000 in a few months.

    March 2020= In the talks to purchase a turnkey landscaping company that grosses$140,000 in 37 weeks going in with a partner, will produce for my split of $3/k to $5/k a month during high season. (Will be very close to goal)

    Future Plan Goal $10k/month continue to invest in property and franchise or other type of business. 

    I like what i do Project Management for a Cruise Line the perks are great i get to travel to Japan and cool places, and I'm a workaholic.... Not sure i will ever stop working but maybe start working as a consultant to be able to manage my time as i please. # Lifegoals

    1Reply
  • Christina Martinez
    Member since 2019 · 12 posts · 1 vote
    7y
    0Reply
  • Paris Williford
    Realtor · Winston Salem, NC · Member since 2019 · 10 posts · 5 votes
    7y

    Hey y’all! I’m brand new to BP and this is my first forum post. After looking at the responses, my expectations may be too low but I’d like to cash flow a minimum $5k a month to leave my W2 job.

    Vehicle: Rental Income

    I am looking to house hack my first small multi-family property next year and begin BRRRRing to accumulate rental properties.

    1Reply
  • Jay HinrichsBusiness Member
    Real Estate Consultant · Summerlin, NV · Member since 2014 · 45k+ posts · 66k+ votes
    7y
    Originally posted by @Steve Vaughan:

    Our goal was $8k per month and $40k in property reserves.  Don't forget a healthy reserve fund.  We've had $20k outflow months more than once.   Nice when it's an inconvenience vs emergency.

    We've exceeded our goal for a while now, but are consolidating out of 100+ year--old rural c class multis to suburban 40 year-old b class.  The cf will drop to just about our goal but so will a lot of the hassles and cap ex. 

    Becase a lot of my boomer+ plex sellers I've established relationships with over the years tend to call me first when ready to sell, I will probably acquire another 36 off-market units in the next few years, bringing us up to 1.5x or $12k per month.    Will be nice when my wife retires in 3 years and we have to buy health insurance privately.  Good discussion 👍

    we are at the peak of paying for private health insurance this is about 2k a month alone.. and we have employees so we get it cheaper with a company plan.

    what one needs is personal of course.. as is what a person desires or thinks they need.

    reality though is ..

    this question is highly dependent on area of the country you live.. ( if your primary home is not paid for ).  everything else is about the same in costs with some fluctuations in gas prices etc.. 

    But to me since there are so many younger folks on this site that are starting out.. 

    I see these monetary needs to change every 5 to 10 years and change being needs get greater not less..  Marriage  Kiddos  then kiddos school

    this changes your needs .. and then like I said above if your self employed if you want health insurance its expensive.. WE long for the days in a few short years when we get to go on Medicare  LOL.. 

    then the needs really correlate to your lifestyle..  some are happy as home bodys and such .. others want to travel the world.. Some want to pay for their kids collage education others are happy letting their kids pay for their own.. 

    There is no freedom per se in real estate .. not owning rentals not owning a real estate brokerage not being a mortgage broker not being a home builder not being a syndicator.. etc etc.. all it is trading one JOB for another.. and for those that have never been self employeed I can see how that not having to answer to a company or boss is FREEDOM to them..  I just got back from Montana fishing with my banker.. And we had long talks about this.. he has been a banker for 28 years I have been with him for 25 as a client.. And he owns apartments.. And he knows nothing of BP  when I related how so many folks on this site think owning rentals means retirement and kick back he just chuckles.. He does self manage his props.. But the real money is made like when his bank got bought out.. he made over 1 million in the stock swap.. that's where financial freedom comes from for many sale of a business or some other type of event that takes you along for the ride.. And I did well too as I had founders stock not as well as him.. but pretty nice.

    So as we age to me its shed debt.. and I know most would think I am crazy .. but I want my homes that I live in Paid for and just about there one is.. and one only has 10% debt.. and once I pay that one off.. get on medicare and some of other income I produce in my daily life I can live on SSI.. LOL.. if I had to .. I may once again step back into the rental game but for those of us that do real estate transactionally the income is sufficient. IE brokerage fee's and delta on lending money etc. but it is a job it does not just happen.. it really depends on your history and were your coming from..  

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  • Brett B.
    Rental Property Investor · n/a · Member since 2019 · 143 posts · 117 votes
    7y

    My goals are always changing, but right now my monthly cash flow goals look like this...

    Goal 1 2019- Do a deal (set to close on 10/23!!)
    Goal 2 2021- Replace personal mortgage $1,650
    Goal 3 2022- Replace all monthly living expenses $2,600
    Goal 4 2024- Retire from W2 job and focus on real estate $7,000
    Goal 5 2025- Financially free and living comfortable $10,000

    4Reply
  • Paul A Heberer
    Member since 2018 · 2 posts · 0 votes
    7y

    When you guys talk about "Real Estate Syndications" are you talking about participating in them as an investor, or creating the syndication?

    0Reply
  • Ivan BarrattBusiness Member
    Investor · Indianapolis, IN · Member since 2015 · 764 posts · 953 votes
    7y

    100k/month

    3Reply
  • Jay HinrichsBusiness Member
    Real Estate Consultant · Summerlin, NV · Member since 2014 · 45k+ posts · 66k+ votes
    7y
    Originally posted by @Ivan Barratt:

    100k/month

    Easy and to the point  !!!!   10X it !  it amazing how 10k is the focus number for so many folks..  

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  • Russell BrazilBusiness Member
    Moderator
    Real Estate Agent · Washington, D.C. · Member since 2012 · 17k+ posts · 30k+ votes
    7y

    $7 million net worth.

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