Welcome to Dividend Nomad! Your Early Retirement, Passive Income and Travel Budgets source. It’s been quite a journey to arrive at where we are today with lots of goals set and achieved along the way and many hours of overtime burnt over the past 13 years. It now makes common sense to pass any helpful knowledge on to the next generations since we think this lifestyle could have been achievable at a much younger age had we known about it sooner.

The following is a guide detailing how we see the stages of conservative wealth accumulation.

The Critical Foundation Stage

  • Minimum five figure rainy day fund or at least 1 year of expenses.
  • Zero credit card debt.
  • Zero car finance or no car.
  • Paying off the mortgage as soon as possible in order to remove any job security uncertainty and never again caring about employment layoff threats.
  • Accumulating a pension taking full advantage of employer contributions.

The Asset Accumulation Phase

  • Accumulating rental property to create income streams and as tax depreciation vehicles.
  • Accumulating an income stream from index funds or dividend stocks and capital gains.
  • Using rewards credit cards to accumulate passive wealth.

The Passive Income Earnings Crossover

  • Continued or new employment in a career that brings joy on a daily basis.
  • FIRE Passive Income lifestyle, be it Nomadic or In-place.
  • Entrepreneurship – start the business you always wanted using play money you can afford to lose and have it not affect you psychologically, comfortable in the knowledge that if it all fails you already have enough residual wealth to be unaffected.
  • Take calculated investing risk using play money that you can accept losing.