Three savvy individuals who managed to retire before hitting 40 have shared their secrets to success. Early retirement is a dream for many, but often feels like an unreachable goal unless you strike it lucky with the lottery or inherit a fortune.
However, in exclusive chats, Eric Hughes, Andrew Hulbert, and Naz Avo have shown that it’s achievable for anyone with the right dedication, work ethic, and skills. These entrepreneurs have revealed what it takes to bid farewell to the daily grind and achieve financial independence, all while looking forward to potentially decades of life free from the stress of commuting, deadlines, and alarm clocks.
One key theme has emerged from their stories – save, save, save.
Eric Hughes (retired aged 39)
At 45, Eric Hughes from Washington D. C is the founder of Rental Income Advisors. He previously worked as an executive in the retail industry, specialising in store operations and merchandising systems.
Despite amassing enough wealth through his portfolio of rental properties to retire, Eric hasn’t completely left the world of work behind just yet. From his home base, he pens his blog, operates a coaching business, and manages the accounts for small firms.
Yet Eric now relishes a “very flexible” timetable, regular getaways, time off whenever required, and might even be found on the golf course mid-week.
Eric’s approach to financial independence
Regarding his strategy for early retirement, Eric suggested that financial independence might well depend on your savings mindset. Indeed, he characterised himself as an “aggressive saver”.
He explained: “I was an aggressive saver and investor during my career in retail. At the point I retired, the key insight was to redeploy my capital into more cash-productive assets — specifically, low cost rental properties with the potential to produce cash flow.
“In 2018, I sold my primary residence and became a renter, while also liquidating some stock holdings; I used the combined proceeds to buy 16 rental properties in the Memphis, TN market, and have since scaled to 25 properties.”
Life as a retiree
Eric described it as feeling “incredible” to finally escape the working world, remarking how he’s no longer governed by an alarm clock and how he now controls his time in a manner he “never had before”.
He also emphasised the remarkable effect early retirement has had on his personal circumstances, noting that the pressure in his life represents a “fraction of what it was” throughout his office career. Sharing his wisdom, he pointed out a “pernicious trap”, what he called “lifestyle inflation”.
He stressed that resisting these temptations is a “‘superpower’ often found among those who retire early”.
Eric’s tip to achieve early retirement
His tip for achieving early retirement was: “‘Growing the gap’, or the difference between the amount you earn and the amount you spend, is the critical engine of financial independence, particularly in the early stages.
“This difference should be invested, so that the power of compounding is working for you. “Growing the gap” can be achieved to some degree by cutting expenses, but for many people, earning additional income is also important.
“I did this through a strong focus on advancement within my career, but it can also be achieved through a second job, side hustle, or business venture.”
Andrew Hulbert (retired aged 37)
Andrew Hulbert, from Oxford, retired at 37. He is the founder of property services firm Pareto. He started a business in the property services sector when he was 27, which grew from humble beginnings in his bedroom to a company with a £75 million turnover and 500 staff.
Coming from a working-class background, Andrew decided to “completely dedicate” himself to his business efforts, working “every waking hour for ten straight years” to achieve his goals.
His sacrifices, which included “friendships, hobbies, fun, holidays and almost anything enjoyable”, ultimately paid off, as his business delivered £100 million in exit value (the approximate value of a firm when it’s sold), meaning he could retire.
Live beneath your means
Similar to Eric, Andrew clearly understands the importance of saving. In fact, he even had some practical advice for anyone hoping to successfully squirrel away their cash – “live beneath your means”.
Andrew said: “Live beneath your means. Focus on spending less than you need to each week so you can start to build up savings. For example, if you budget £100 per month for nights out, that doesn’t mean you have to spend £100.
He added: “Concentrate on what really matters and build up savings pots that will give you the freedom to make choices. You have to make sacrifices. Sometimes you have to go without in order to reach a higher goal. It is never easy, and it is never a straight path.”
An idyllic life
Once he achieved early retirement at the young age of 37, Andrew described the feeling as “strange” and noted that it was “quite surreal when you see eight figures appear in your bank account”.
He bought his parents their house, gave his dad £500,000 to retire five years early, bought his sisters their houses, and bought a farm to live on (where he now enjoys an idyllic life with his family).
Andrew even bought himself a quad bike and a “bright yellow McLaren”, but he later sold this as he “did not enjoy the constant attention for something so materialistic.”
Staying financially independent
When asked to explain how he ensures he stays retired with all those years ahead of him, Andrew added: “I have invested my money across a variety of areas that deliver a reasonable return each year. I have not taken any unnecessary risks.
“When you make a significant amount of money, you become quite protective of it. So I have a low-risk portfolio that provides a steady return. I live off the growth rather than the original capital, so the base amount remains intact.”
Naz Avo (retired aged 32)
Naz Avo, 34, who’s presently living in Chiang Mai, Thailand, spent a decade in software engineering. Technically, he retired from work aged 32 thanks to the fortune he’d built up.
However, whilst he now relishes a far more laid-back way of life, he chose to return to the working world to operate the employee surveying and engagement platform FeedbackPulse.com.
Ever since his days in a Texas high school, Naz, who also consults for small businesses and startups, has dreamed of financial freedom. At the young age of 19, he secured his first programming job.
It would lead to a six-figure salary, the purchase of rental properties, a “growing stocks portfolio”, and retirement at the staggeringly young age of 32. Similar to our other young retirees, Naz was a stickler for saving.
Invest your savings relentlessly
He said: “So, I got on with the savings project right away. By the end of my 9-to-5 career, I was saving 70-80% of a six-figure salary. First big investment was buying a rental property in Krakow. The rental income fed my growing stocks portfolio. Few years later, I bought another rental property in cash. My thinking was simple – earn a lot at high-paying markets like the US, spend little, invest all the savings relentlessly.”
Naz also described how he enjoyed “constant travel to different countries” and was living a “nomadic life” in his 20s on a budget of $1,500-2,000 per month (£1,100 to £1,500).
He now starts his days at 5.30am by choice, takes in some exercise and possibly a sauna, completes some work, rides his scooter to lunch, and then enjoys flexible afternoons.
Avoid lifestyle inflation
Addressing the harmful habits we should avoid, Naz also pointed to “lifestyle inflation with every raise you get”. He then recounted a time when he “contracted” in New York City. He said he saw people with six-figure salaries living paycheque-to-paycheque and “drowning in debt”. Naz also shared his “unpopular opinion” for saving money.
He said: “Maybe unpopular opinion, but you can’t budget your way to early retirement on a minimal salary – you need to make more money. Negotiate the base salary aggressively, switch companies every 2-3 years.
“Once you are earning well, move to a lower cost location. There are a lot of countries where your disposable income will be much higher earning half of what your San Francisco friends do. They keep 25% of their salary, I keep 75%. Can’t beat simple math.”
The importance of diversification
Approaching the topic of staying retired, Naz highlighted the evolving nature of trends and the importance of “diversification”, something he says “helps to keep things balanced”.
He added: “I use 3% rule – spending only 3% of my portfolio annually. It is conservative, but most simulations show following this rule leads to 99% success rate.
“Beyond that, diversify the income streams and investments. Don’t go all stocks, or all bonds, or 100% real estate. Trends change over decades and diversification helps to keep things balanced.”