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charliecaton Ask HN: What to do after $8M (all cash, post tax) exit?

My path is 1% hustle and 99% luck. Given how lucky I've been, and worried about regression to the mean, I play things relatively conservatively :-)

charliecaton Ask HN: What to do after $8M (all cash, post tax) exit?

I work in venture and my wife is a consultant.

charliecaton Ask HN: What to do after $8M (all cash, post tax) exit?

note this isnt incompatible with "upgrading" your life. it's all about setting a sensible financial framework and living within that framework. if that framework permits private jets and lambos, go for it. but if it doesnt, dont. bankruptcy and financial ruin happen when you spend money blindly. but if you work within the framework you set, it shouldnt be hard. because i strive to live within my existing framework, i havent upgraded anything. my close friends and family say im being cheap, but i think im just being smart with my money.

you obviously got a bit more, so framework can be a bit larger. Good luck :-)

charliecaton Ask HN: What to do after $8M (all cash, post tax) exit?

i invested close to the ETH ICO. just $10k or so, but that gave me a windfall of $3.5m (I sold in early to mid-December).

im not super conservative with my money (i.e., i don't do t-bills, and other "super safe" investments).

i am just dollar cost averaging into index funds, like ive always done. I anticipate that I'll get anywhere from 5% to 15% per year, compounding.

i also have pre-tax income of roughly $500k. i still abide by my financial plan as if my windfall didn't exist. we save about $100k a year.

im around 31, so im hoping that the combination of these two will lead to enough accumulation in wealth by the time im 40 that i can retire early and live off investment income.

by my current calculations, assuming increases in compensation (and retirement contributions) that match inflation, and based on my current war-chest, I should have between $8.1m to $19m by the time I reach my 40s. If I average out investment gains to 8% compounding, we're looking at $10.5m.

By that point, 5% gains should give me around half a million to live off of every year. And anything higher is icing on the cake.

And I can definitely live very well on that budget. That's basically life now. And life is good.

i'm not going to tell u what to do, but just sharing my experience.

other people made a lot of money doing similar bets in crypto. they decided to launch crypto funds, buy altcoins, do more investing.

i just recognize that i got very, very lucky, and decided to take cash off the table. ill still do some risky betting with my money, but that's with a very, very small % of my investment capital.