Skip to main content

How to retire on a boat at 40

Irish Leonard explains how his family of four lives on a sailboat. No inheritance. No lottery. Just not wasting money - or his time.


How does he afford it? He explains by showing the average Irish household expenses, converted into hours worked. Here's the result shown as a working week:


We work a lot to pay for our cars. As he puts it:
Almost 20% of our working lives is spent so that we can afford to get to our working lives.

So Leonard eliminates or massively reduces most expenses. On the family boat, he sails "in a climate that requires no heating or air conditioning, doesn't own a car and generates what energy he needs using solar panels".

Remove the unnecessary costs and you remove most of the need to work. He calculates that we can feed and clothe our family on 5 days work per month, or the equivalent. By contrast the average Irish couple devotes 19 hours a day to work, including commuting.

Why all this focus on time?

In Leonard's words "I'm not saying we should try to hoard hours, because we can't. They're going. Every hour." But we should get value from them.

The time bank-account

Imagine hours are like money in the bank. At birth you get a life's hours put in your account. You choose how to spend them.

Here's what normally happens (by Leonard's analysis):

613,000 hours to start with. But we sleep for a third of that.

408,000 waking hours. For many we are kids or in education.

292,000 waking hours left at 20 years of age. (Half the starting amount)

Then the working world comes along; "All we need now is most of your waking hours for the next 45 years."

All they leave in our time-bank account is...

30,000 waking hours. Less than 5% of what we were born with.

Do we sell ourselves too cheaply?

Leonard asks rhetorically how much we'd pay at the end of our lives just to get a few hours back. To enjoy a few more of the things we love to do.

His follow up question is that given the value of our time why do we sell it so cheaply, "often doing things that we don't particularly enjoy to get things we don't particularly want or need"?

It's a good question - and it's difficult to think of a satisfactory answer.

You don't even need a boat

Living on a boat was Leonard's way of doing this but there are many others. His key points are that we often don't need as much money as we think and that our hours are far too valuable to trade them cheaply for stuff we don't really need or want.

I was at a friend's apartment-warming party this weekend. She doesn't own a car and avoids buy anything new wherever possible. Her industry has an abundance of highly-paid casual work. Our mental maths says 2-3 months of work per year would be easily enough for her eco-friendly lifestyle.

It's not "early retirement" but it is another version of a work-optional life.

Related reading

Read more about the Work Optional life or see the trailer for the early retirement documentary.

Updates

Subscribe to the Less Time email for monthly-ish updates from this blog.

Comments

  1. I love the concept of thinking in terms of time rather than in dollars! I think I might do the same thing he did and map out my work hours in terms of where I spend it...

    ReplyDelete
  2. That sounds fascinating Laura. I look forward to seeing it. :)

    ReplyDelete

Post a Comment

Popular posts from this blog

Why millionaires don't "feel" rich

We're wealthier than ever - so why don't we feel like it? Australia has gone almost three decades without recession. The stock market recently hit a record high. Our wages are record highs. Home loan rates are at record lows. We live in one of the richest countries in the world at the richest point in history. So what's wrong? Comparison Wealth is relative. So what do we compare to? Where we expect to be? "When your wages growth is only 2 or 3 per cent, you don't feel as well-off as when it's going up 10 per cent. That's that nominal distortion that people often suffer from" , says economist Shane Oliver, and that "expectations have grown a lot faster than reality." We're earning more than last year, but we want even more. So compared to our imaginary situation, we see ourselves as worse off. What we see around us? Shane Oliver again. "If you think about it - Australians today are a lot wealthier. They're living far ric...

Where is the best place to live?

Where we live determines a lot about our life.  So today I'm going to share a resource that can help you decide where might be a good place to live.  It started with an article ranking Brisbane suburbs from 1 to 260 . That ranking was based on a set of 17 factors. Here are some of them. But all 17 may not be relevant for you. And some might matter more than others. So they developed a tool where you can rank the 5 factors most important to you and it will give you a personalised list of Brisbane suburbs that would be the best for you - based on those factors. There are also  Sydney and Melbourne  versions. On the results page, there's also a map that colour-codes each suburb by star rating, for each factor. For instance here's the map for public transport. Five-star suburbs are in blue. When you click on a suburb, you get the name and the star rating of that suburb - for whichever factor you select. I find this to be so enlightening. I choose not to own a car. Some...

How to waste a year's wages

A friend recently asked me why it is that so many people (on good incomes) are struggling to save. Often the big three money areas are housing, transport and food. In one sense these are necessary items. But what we spend on them is often way more than necessary. I crunched some numbers on how much extra my wife and I could spend on these things - if for some reason we wanted to burn our money. 1. Housing Our apartment is fairly nice, but also cost-effective. I've mentioned how choosing it saves us $1,800 per year , compared to a similar one we saw. The high end of 2-bedroom apartments in our suburb is $305 per week more than our apartment. Not $305 per week. $305 per week more than ours is. I cannot get over that. Sure it's new and modern-looking, but that's a lot of money. It's an extra $15,860 per year above what we pay. 2. Transport The Australian Automobile Association lists the costs of owning and running a car. It includes many often-overlooked c...