My Fire Strategy Plan: Path to Work-Optional FIRE by Age 50
🎯 Goal
Achieve Work-Optional / Barista FIRE by age 50 (in 7 years), generating sustainable monthly income via portfolio growth and options wheel premiums.
🌟 Investment Philosophy
- Focus on asset growth first, options income second — reinvest most premiums early to compound.
- Hold high-conviction stocks/ETFs you understand well (AAPL, NVDA, DXCM, INDA, ENPH, core ETFs).
- Maintain diversification to balance risk and reward.
- Keep a liquid cash buffer (10–15%) for option assignments and opportunistic buys.
- Use wheel strategy (cash-secured puts + covered calls) on 5 core wheel stocks.
- Buy dips selectively, using limit orders to avoid overpaying.
📅 Timeline & Milestones
This Week — Foundation
- Sell excess/non-core holdings (ICLN, IHF, QQQM, SOXX, IXC, IJR, EEM, VEA).
- Increase GLD allocation to reach ~10% of portfolio.
- Transfer additional cash to brokerage for upcoming wheel positions.
- Prepare to establish or build toward 100-share positions in AAPL and other wheel stocks.
- Rebuild core ETF holdings (VOO/SPYG) near target prices.
- Manage expiring calls and cash-secured puts thoughtfully.
By End of 2025
- Wheel stocks: 1 contract each in AAPL, NVDA, DXCM, INDA, ENPH (5 total)
- GLD allocation: ~10%
- Core ETFs (VOO/SPYG): ~35%
- Cash buffer: ~10–15%
- Monthly CSP premium target: moderate supplemental income (baseline established)
2026 — Growth Phase
- Add 3–4 new wheel contracts
- Grow total wheel position count
- Continue reinvesting options income
- Expand core ETF and wheel positions
2027–2028 — Acceleration
- Add more wheel contracts (up to ~15 total)
- Grow monthly income via options
- Consider adding 1–2 new wheel stocks
- Explore dividend ETFs or fixed income assets for diversification
2029–2031 — Transition to Work-Optional
- Portfolio reaches full target allocation
- Wheel contracts grow to ~25 total
- Monthly income from options becomes a key lifestyle support
- Begin transitioning some assets toward lower-risk yield strategies
- Finalize withdrawal/spending plan and de-risking strategy
📊 Wheel Contract Growth & Estimated CSP Income
To provide directional clarity (not actual dollar projections), here’s an estimate of how wheel contract growth could evolve:
| Year | Contracts (Est.) | Allocation Approach | Monthly Income Target (Est.) |
|---|---|---|---|
| 2025 | 5 | 1 contract in each core wheel stock | Low baseline income |
| 2026 | 8 | Add second contracts in AAPL, NVDA, INDA | Moderate supplemental income |
| 2027 | 12 | Scale wheel holdings for growth | Gradual income growth |
| 2028 | 15 | Increase allocations and diversify wheels | Higher options income |
| 2029 | 18 | Optimize wheel contracts | Moderate-to-high income |
| 2030 | 22 | Expand to peak wheel contract count | Reliable monthly income |
| 2031 | 25 | Maintain max wheel contract level | Lifestyle-supporting income |
(Note: Income figures have been removed to preserve privacy.)
📌 Target Portfolio Allocation (End of 2025)
| Asset Category | Target Allocation |
|---|---|
| VOO / SPYG (Core ETFs) | 35% |
| AAPL (Wheel stock) | 10% |
| NVDA (Wheel stock) | 10% |
| GLD | 10% |
| ENPH + DXCM | 10% |
| INDA + SMIN (India) | 10% |
| Cash / JPMPD / T-Bills | 15% |
ChatGPT Prompt to Review Portfolio Alignment
Prompt:
“I am following a Fire Strategy Plan targeting Work-Optional FIRE by age 50. My portfolio allocation goals by end of 2025 are:
- Core ETFs (VOO/SPYG): 35%
- AAPL: 10%
- NVDA: 10%
- GLD: 10%
- ENPH + DXCM: 10%
- INDA + SMIN: 10%
- Cash and cash equivalents: 15%
Here is my current portfolio allocation (paste portfolio allocation here as percentages):
Please analyze and tell me if this allocation is consistent with my strategy. Highlight any major deviations or imbalances, suggest what to buy or sell to realign, and advise how to DCA into the portfolio if I have excess cash. Also, advise if my cash buffer is appropriate given my wheel strategy involving cash-secured puts and covered calls.”