Polliesdividend

Work Freedom Day

As a DGI I’m working towards financial freedom. For me this means doing things I like to do, and do not have to worry about money. On my blog and twitter account (@Polliesdividend) you can read my progress.

I have been a DGI since July 2014, so I just started and still have a long way to go. But I’m determining to work hard and constant to reach my goal.

As I was reading some great blog posts from fellow DGI’s, I stumbled upon the idea of “ Work Freedom Day”. This is the day of the year where you’ve accumulated enough dividend income during the year to no longer need to work.

This Work Freedom Day is introduced by Dividend life. As he wrote, for early retires, that day would be January 1st but for many of us still on the FI Journey it’ll be somewhat later in the year.

How to calculate your Work Freedom Day
For working out your work freedom day, Dividend Life came up with a simple formula:

Day of year = (1 – (Total Projected Income) / (Total Yearly Budget) ) * 365

This gives you a number, which corresponds to the day in the year you are “free”.

My Work Freedom Day
Based on my projected Dividend income for 2015 (€ 1,760) and my yearly expenses (€ 44,000), My Work Freedom Day will be Wednesday 16 December.

Okay I will not retire this year (you have to love an understatement), but it is, as Dividend Life wrote, a nice milestone to celebrate!

Tracking my progress
Just like Dividend Life, I’m going to be tracking this date going forward and hope to watch it move towards me due to higher than projected dividends!

What is your Work Freedom Day? And what do you think about this concept?

I like to hear from you.

Cheers,

Pollie

Please follow and like us:
0

5 thoughts on “Work Freedom Day

  1. ambertreeleaves

    This is indeed an alternative and interesting way to look at progress. Rather than a percentage towards the goal, a date! It makes great opportunity to celebrate that day.
    And it looks like yoy do not have to work during te christmas holidays… What a great gift!

    I hope next year you land somewhere in november!

    I am not going to publish my work freedom date yet. I have about 100 euros forward looking dividend, being an indexer that is ok!

  2. JC

    I loved when DL came up with this. I’d always thought of it the other way around but I like working backwards the way he calculates it. Just checked and my WFD is coming up on October 21st. Now if only I could actually take the rest of the year off and still have my job on Jan 1. Looks like you get to take the last 2 weeks of the year off! 😉

Leave a Reply

Your email address will not be published. Required fields are marked *