Early retirement movement needs careful planning to ensure financial security

Achieving sustainable F.I.R.E. requires careful planning with a focus on balancing aggressive saving.

The Financial Independence, Retire Early (F.I.R.E.) is a blueprint for financial independence, but in high-cost Singapore, burning too fast could leave you without enough fuel for a lifetime.

In a note, Infinity Financial Advisory said achieving sustainable F.I.R.E. requires careful planning with a focus on balancing aggressive saving, diversified investments, and healthcare coverage to ensure financial security over the long term.

Healthcare costs also pose a major hurdle for early retirees in Singapore, noting that relying solely on Medisave may not be sufficient to cover long-term medical expenses.

Whilst the F.I.R.E. movement offers freedom from traditional work structures, Infinity Financial Advisory advised individuals to consider flexible income streams post-retirement.

Side businesses, part-time work, or passive income sources like rental yields can help supplement savings and provide financial stability throughout retirement.