Mr. Money Mustache: The Shockingly Simple Math Behind Early Retirement - Summary

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[…] your time to reach retirement depends on only one factor: your savings rate, as a percentage of your take-home pay.

As soon as you start saving and investing your money, it starts earning money all by itself. Then the earnings on those earnings start earning their own money.

As soon as this income is enough to pay for your living expenses, while leaving enough of the gains invested each year to keep up with inflation, you are ready to retire.

Here’s how many years you will have to work for a range of possible savings rates, starting from a net worth of zero:

Savings Rate (Percent) Working Years Until Retirement
20 37
40 22
60 12.5
80 5.5