What do you do with the salary that ticks into your bank account every month? For some, the answer is very clear.
– The dream is to have saved up to NOK 25 million when I am in my 30s.
Elias Damli is 22 years old and works as a furniture fitter. There are still a few years left until he is in his 30s.
Elias Damli (22) started by investing his graduation money.
Photo: Private
– I set aside around 75 per cent of my income for savings. I have most of my money in mutual funds, and the rest in slightly riskier investments. Such as shares and digital currency, he tells NRK.
And this should make the 22-year-old financially independent in a few years.
Moving into a “mini house”
Becoming financially independent is about having saved up enough money to be able to choose not to work, and comes from the FIRE movement. FIRE stands for “Financial independence, retire early”.
There are several people who post videos about the FIRE movement on social media.
Graphics: Screenshot
For Damli, saving started with a choice he made as a confirmatory student. All the confirmation money was invested.
Seeing the money grow provided motivation to save more.
By spending little money on clothes and holidays, and not buying what he sees as unnecessary things, he gets to save a lot. And the next savings project is to move into a self-built “mini house”.
– It felt like a waste to rent or buy a home. Then I got the idea to build my own house, says Damli.
There should be room for ten pieces if you push them in, says Elias Damli.
Photo: Private
The house is built on a trailer and is 22 square metres.
– My monthly expenses are around NOK 2,000. I also don’t have room to buy a lot of things there. I like the idea of that.
Not going to retire
Even if Damli were to reach his goal, he will not stop working.
– I want to work with what I want, regardless of whether it is profitable or not. For example, if I want to do some charity, I have the opportunity to do so, without having to stress about whether I will get my bills paid.
Jenny Huse (23) thinks it’s fun to work towards a goal and to see the money grow.
Photo: Henriette Nordheim / NRK
Tiktoker and student Jenny Huse (23) will not stop working either, even though she has a goal of becoming financially free.
– My goal is to retire with over NOK 100 million. Or, I’m not going to retire, because I love working, she says.
Since the corona pandemic, all the money she has earned has been invested in funds and shares. Now she invests anywhere from 30,000 to 70,000 thousand a month.
In the first instance, the goal is to have 10 million by the time she turns 30. To achieve that, you have to sacrifice some things.
– I don’t need that much. I walk with holes in my shoes and holes in my jacket. I very rarely buy things, and I live at home with my parents, she says.
Huse has taped his shoes to be able to wear them longer.
Photo: Henriette Nordheim / NRK
For Huse, it is worth it, because the joy of seeing the money grow is great. But she emphasizes that this is not for everyone.
– Everyone can make it happen, but not everyone wants to. If you really decide, it will work, but then you see the spending habits of most people. If you like to buy new things, or go out to eat, then it won’t work.
Not for everyone
Consumer economist Espen Østvold Rølla believes that becoming financially independent requires great steadfastness and determination.
Consumer economist Espen Østvold Rølla believes that one should not paint a picture that extreme saving is something that many people succeed in doing.
Photo: Henriette Nordheim / NRK
– It sounds nice and great, but this is not for everyone. Most of us are not that structured with money. We need deadlines to deal with, says Rølla.
He points out that it is a challenging time to save.
– In recent years, it has been much more difficult to save because it has been an expensive time. Higher interest rates, increased mortgages and increased costs in general, he says and continues:
– I don’t think you should paint a picture that extreme saving is very easy and that many people succeed.
Rølla believes that making a good plan on where you can cut costs is the first step on the way to getting better at saving.
– Cutting out a cup of coffee, a pint, energy drink or snuff can save many thousands just there. So if you make a plan for it, and say you manage to save NOK 2,000 a month, it will be NOK 24,000 in a year. In four years, you have saved NOK 100,000, explains the consumer economist.
The house is on a trailer so that it can be moved wherever Damli wants to live.
Photo: Private
For furniture fitter Damli, saving has become a natural part of life, even if he has to prioritize some things.
– It goes beyond the social. I often say no to expensive things, such as holiday proposals or going out to eat at a restaurant, he says.
– Is it worth it?
– For my part – yes.
