My Levels Of FI - Sis

Financial independence is a weird concept for most people to wrap their head around, including me. The Think Save Retire Blog defines it as “financial independence is simple: it means that you are not beholden to a job to provide for your livelihood. Instead, your wealth supports your lifestyle.” This to me means you are not dependent on a job for income that pays the cost of daily living. The author at ESI blog defines it simply as “having wealth to cover expenses indefinitely” This is simple and to the point. It means you have enough money indefinitely to live on without having to work. The amount of that money depends of what kind of lifestyle you want.

Bro breaks down his three levels of FI in his previous post. His three levels were Basic FI, Full FI and Baller FI.

Basic FI is being able to cover necessities of daily life. Enough to put food on the table and a roof over your head. This level would be hard to maintain lifelong in my opinion. This does not budget money for family trips, anniversary dinners or sporting events. These are all things that are not needed in life, but sure add to the experience of it. My family will not be stopping at Basic FI. We will always know that it’s something we can do for a while if needed but it is not our goal.

Full FI gives you the ability to have a little extra spending money. It gives you the ability to got to dinner or a hockey game. This is my kind of level. I don’t want to live a life of deprivation. Some people are ok with a simple lifestyle. I like to be able to go all out every once in a while. The other thing that is fun about this level is when you are able to spend a little more you truly appreciate it. Before my husband and I were on the journey to FI we would eat at our favorite sushi place what seemed like every week. We would pay the $100 tab without a blink and eat that extra roll even though we were full. Now we go once or twice a year for half the price. We only order one or two rolls, but when we eat those rolls they are the best thing we have ever eaten. You learn to appreciate things more when you do make those splurges. Full FI is also being able to provide our kids with a college fund and activities like sport leagues while growing up.

Baller FI means you can live life without worrying about the cost of things. This means you could eat sushi every week or go on lavish vacations. I don’t think I want to maintain life at this level. I like appreciating things and knowing the true value of my money. I would rather achieve Full FI sooner than wasting the time for Baller FI. At some point you just will want more and more and life cost are going keep raising. You will also risk losing your independence by always wanting more.

I think it is import to decide what type of lifestyle you want in your post FI life. Would you rather work for 10 more years for be able to travel more? Or can you work part-time for 5 more years and work on travel hacks. This community is an open door of knowledge. You have to decide what is best for your family and what tools you will use.


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