#FrugalSuccess Story: Living on $7000 a year
This weeks #FrugalSuccess Story comes from Jacob of http://earlyretirementextreme.com. Jacob has chosen to ‘leave the rat race’ and has lived off a mere $7000 a year for at least 10 years (including everything!) He lives in a cheaper area of San Fransisco Bay and believes the amount of money people spend or think they need to have in order to survive is completely misguided.
Jacob retired at 33 and believes we all can do the same even if we only earn an average salary. His main tips for how to achieve this is not buying ‘more’ house than you need and not buying ‘more’ car than you need on credit. Another tip he mentions is to pay a bit extra and invest in good quality items and clothes instead of the cheap “buy and thow away” merchandise from the mall.
Jacob barely eats out and has worn the same clothes for many years, yet he still has invested in health insurance as well as a few luxury items.
Jacobs story is extremely interesting and commendable! Check out his blog to discover more about his frugal life!