Quitting at 40

6 Apr

Recently, I had the pleasure of interviewing Walter Guillioli. Walter is one of those few brave people who has had the courage to take the reins of his life. Walter carefully and smartly worked to save enough to live off the savings and then quit a well-paying job at 40 to live his life.

GS: Tell us a bit more about yourself.

I grew up in a middle-income family in Guatemala. I am the youngest of five. Growing up, I enjoyed getting into trouble.

From a young age, I was taught that education is important. I studied Computer Science in college. And later, I was fortunate to get a full scholarship from the Dutch government to get an MBA.

I worked in Marketing for 10+ years until I got bored and decided to switch careers to data science. I just finished a Master of Science in Data Science from Northwestern while working full-time.

I love animals, the outdoors and the simple things in life like camping and good scenery. I also like to push myself in sports because it humbles me and helps me build character. I got a black belt in Tae Kwon Do at 38, and I am currently training for ultra-running trail races.

GS: Why did you decide to quit working full-time at 40?

WG: It is a combination of factors, but it is mostly a result of intellectual boredom and a desire to spend my time on earth doing things I love, and to not just “survive” life.

I have always questioned the purpose of (my) life and never liked the cycle most follow: study > work > get married & have kids > consume > be “busy” > (maybe get free time at old age) > die.

Professionally, I have done relatively well. Searching “success,” I have found my dream job three times. However, each time I found my “dream job,” the excitement faded away quickly as I spent most of my time surviving meetings and going through the grind of corporate overhead. I never understood all the stress for work that I didn’t think added much value. I love intellectual challenges and good work, but it was hard to find it in a big corporation.

One of my favorite quotes in Spanish translates roughly to “the richest person is not the one that has the most but the one that knows how to desire less.” And between spending my time in a cubicle working on stuff that didn’t matter to me and buying things I didn’t need, I decided to buy my time and freedom to do what I want.

I decided with my wife to live a simpler life and to move closer to nature and the mountains. I decided to spend more time with my family and raise my 2-year old. I decided that each day I will pick what to do – whether it is going for a trail run (I am training for a 52-mile run) or riding my mountain bike or dirt bike or simply walking my dogs for a few hours or playing with my son and wife in a park or just reading a book.

I will work on projects. I will just work on stuff that matters to me. I want to occasionally freelance on data science projects and contribute to the world. I am also considering personal finance advising to help people.

GS: Tell us a bit more about how you planned your retirement.

WG: I never had a master plan. It has been a learning process with mistakes along the way.

The most important thing for me was changing the mindset about money. I never paid much attention to money. I spent it relatively mindlessly. However, after reading articles like this one, I realized that money is a tool to buy my time and freedom. I can’t think of anything better that money can buy.

So, we focused on understanding our expenses and figuring out ways to reduce them. It’s not about being cheap but about spending intentionally. We also started saving and investing as much as possible on index funds. The end goal became having enough money invested that we could cover our annual expenses from its interest.

GS: What’s your advice for people looking to do the same?

WG:

  1. Track and understand your annual expenses with a tool like Quicken or Mint.
  2. Save as much as you can and invest in index funds. Don’t worry about timing the market (it doesn’t work) or about having the perfect portfolio. Start investing in a broad index fund like Vanguard’s VTSAX and get a bit more sophisticated later. Learn more here.
  3. Make a list of things that truly bring you happiness and contrast that with your spending.
  4. Avoid “lifestyle inflation.” And don’t try to keep up with your neighbors. Nothing will be ever enough.
  5. Read these books: Little Book of Common Sense Investing, Simple Path to Wealth, Your Money or Your Life, Four Pillars of Investing.
  6. Read these blogs: Mr. Money Mustache, Mad Fientist
  7. Listen to the ChooseFI podcast.
  8. If you are married, make sure that everyone is onboard.
  9. Have savings targets and automate everything around it so that you pay yourself first.

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