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Time to coast/barista FIRE - things to prepare?

Posted: Mon Aug 08, 2022 7:31 am
by fiskebyxa
I think I'm ready. My mind is set on it. It's time to coast/barista FIRE. YOLO!

I handed in my resignation request (退職願) two weeks ago. We have not worked out the details yet, but I have at least started the resignation process at my current company.

What are the things I must or should do before I go completely unemployed? (become a non-seishain)

Some credit cards that are a must have? (I have a few already)
Should I get a house loan and purchase a permanent place to live?
Anything in particular I should apply for?

About me: Single, never married, no kids, living alone in a company subsidized apartment, PR holder.
Frugal (cheap) by nature. My fixed expenses are extremely low.

Any advice or feedback is highly appreciated.

Re: Time to coast/barista FIRE - things to prepare?

Posted: Mon Aug 08, 2022 8:57 am
by TokyoBoglehead
Do you need to move? Do that before.

Your access to credit will diminish in the future. Things like mortgages will be much more difficult.

Re: Time to coast/barista FIRE - things to prepare?

Posted: Mon Aug 08, 2022 10:03 am
by RetireJapan
Good luck! We're considering doing something similar (stop saving/investing and just live off income while allowing current investments to grow) but haven't quite taken that final step :D

Definitely want to hear more -how about a guest post about your experience for the blog?

Re: Time to coast/barista FIRE - things to prepare?

Posted: Mon Aug 08, 2022 1:29 pm
by Beaglehound
Your living place would seem to be the main thing as TB alludes to above. If you are convinced that you want to stay in a place forever, buying now while it should not be too problematic to get a mortgage may make sense. Otherwise keeping renting would give you more flexibility, but it would become more difficult to buy in future, if you ever want to. Best of luck with it.

Re: Time to coast/barista FIRE - things to prepare?

Posted: Tue Aug 09, 2022 2:06 am
by fiskebyxa
TokyoBoglehead wrote: Mon Aug 08, 2022 8:57 am Do you need to move? Do that before.

Your access to credit will diminish in the future. Things like mortgages will be much more difficult.
Yes, I assume that my company will kick me out. Of course, maybe there's room for negotiation and they would let me live there if I stay on as a remote part-time employee or something. But as of now I am assuming that I will move in the next couple of months.

I'm not in a super rush to quit my current job and I want to quit on good terms with my employer.
Things like making sure that they can find a replacement for me before I abandon ship.

I think it will be at least three months from when my resignation request gets approved until my final official day.
I also have 35 days of paid leave remaining that I intend to take out before my final day.

So, there will be a little bit of time for me to look for options.

It is however difficult to make up my mind.
-Keep on living in central Osaka would be good for random jobs/baito.
-I'm intrigued by the Japanese blog guy who semi-retired on 1000万円 and bought a cheap house a bit on the countryside, so that is an option.
-Buy an akiya for cheap and reform.
-Rent an akiya and look for potential akiyas to buy in the area
-Try one of those monthly stay as much as you like plans and travel around Japan.

Benefits I see from buying a place is that costs in the long run could potentially be cheaper.
And even better if I can rent out that place for a few months on Airbnb every year as I intend to spend a bit more time outside of Japan.

Re: Time to coast/barista FIRE - things to prepare?

Posted: Tue Aug 09, 2022 2:31 am
by fiskebyxa
RetireJapan wrote: Mon Aug 08, 2022 10:03 am Good luck! We're considering doing something similar (stop saving/investing and just live off income while allowing current investments to grow) but haven't quite taken that final step :D

Definitely want to hear more -how about a guest post about your experience for the blog?
Thank you!
A lot of useful information that you post on RJ made me decide that I at least have enough to try.
Of course, full FAT FIRE would be ideal. But coast/barista FIRE would suit me better as I will always try to stay busy and make some sort of income.
I feel somewhat confident that I should be able to earn enough money to cover my living expenses and let current investments grow.

I'd be happy to write more about the outcome.
The worst that could happen is that I just go back and become a salary man again so I have nothing to lose I think.

Re: Time to coast/barista FIRE - things to prepare?

Posted: Tue Aug 09, 2022 2:50 am
by fiskebyxa
Beaglehound wrote: Mon Aug 08, 2022 1:29 pm Your living place would seem to be the main thing as TB alludes to above. If you are convinced that you want to stay in a place forever, buying now while it should not be too problematic to get a mortgage may make sense. Otherwise keeping renting would give you more flexibility, but it would become more difficult to buy in future, if you ever want to. Best of luck with it.
Thought of staying in the same place scares me a little bit to be honest. But I ultimately want to find my dream home here in Japan.
I think flexibility is more important to me right now as I don't know where I'll end up next.

I must say that I am rather excited to not know where and what I'll be doing the next couple of years.

Re: Time to coast/barista FIRE - things to prepare?

Posted: Tue Aug 09, 2022 3:47 am
by goran
Don't mean to pry, but will you be willing to share more about your journey? I take these stories as inspirations or something to look forward to.
Totally understand it if you don't want to, though!
Congratulations, btw!

Re: Time to coast/barista FIRE - things to prepare?

Posted: Tue Aug 09, 2022 4:19 am
by fiskebyxa
gnakarmi wrote: Tue Aug 09, 2022 3:47 am Don't mean to pry, but will you be willing to share more about your journey? I take these stories as inspirations or something to look forward to.
Totally understand it if you don't want to, though!
Congratulations, btw!
Thank you very much!
I'm happy to share updates. Guess I'll keep this thread updated once in a while when something happens.
If you have any specific questions, please feel free to ask me anything.

Re: Time to coast/barista FIRE - things to prepare?

Posted: Tue Aug 09, 2022 4:27 am
by TokyoBoglehead
fiskebyxa wrote: Tue Aug 09, 2022 2:06 am
TokyoBoglehead wrote: Mon Aug 08, 2022 8:57 am Do you need to move? Do that before.

Your access to credit will diminish in the future. Things like mortgages will be much more difficult.
Yes, I assume that my company will kick me out. Of course, maybe there's room for negotiation and they would let me live there if I stay on as a remote part-time employee or something. But as of now I am assuming that I will move in the next couple of months.

I'm not in a super rush to quit my current job and I want to quit on good terms with my employer.
Things like making sure that they can find a replacement for me before I abandon ship.

I think it will be at least three months from when my resignation request gets approved until my final official day.
I also have 35 days of paid leave remaining that I intend to take out before my final day.

So, there will be a little bit of time for me to look for options.

It is however difficult to make up my mind.
-Keep on living in central Osaka would be good for random jobs/baito.
-I'm intrigued by the Japanese blog guy who semi-retired on 1000万円 and bought a cheap house a bit on the countryside, so that is an option.
-Buy an akiya for cheap and reform.
-Rent an akiya and look for potential akiyas to buy in the area
-Try one of those monthly stay as much as you like plans and travel around Japan.

Benefits I see from buying a place is that costs in the long run could potentially be cheaper.
And even better if I can rent out that place for a few months on Airbnb every year as I intend to spend a bit more time outside of Japan.
To be honest, most of the advice that would be relevant or helpful would all depend on one thing: How much you have saved already.

Would you mind sharing?

(The story of 1000万円-san really scares me as he is one major repair away from financial disaster.)