This essay is informed by a conversation with Eric Sim, a 55-year-old former UBS banker who has transitioned into a published author, professional speaker, and career coach. The content has been edited for brevity and clarity.
Back in my early banking days, I often found myself surrounded by colleagues flaunting their expensive watches and flashy cars. At first, I resisted the urge to join in. But, I eventually cracked—spending $3,000 on a watch. Sure, it brought me a fleeting sense of joy, but that excitement faded quickly.
Before long, I returned to my trusty Timex, which I still wear today. I never delved into the world of luxury cars or elite wine collections. Instead, I experienced a shift in perspective. I realized that using my money to gain freedom was far more gratifying than trying to impress others.
In a typical job, you’re stuck working alongside people you might not particularly like, which can be draining. With freedom, though—true freedom—you can decide what projects to take on and who to collaborate with. That’s the real treasure.
This mindset ultimately allowed me to retire eight years ago while in my 40s.
Prioritize Genuine Fulfillment Over Comparisons
By cutting back on extravagant expenses during my banker days, I freed myself to pursue personal passions in retirement.
In 2005, I briefly considered returning to school for a degree in architecture. But the potential costs really made me think twice. Committing to five years of study would mean sacrificing income and bonuses—was it worth it? Ultimately, I decided it wasn’t the right move.
Now that I’m retired, I’ve finally been able to explore these interests without financial constraints. Recently, I took a six-week summer course in landscape architecture at UC Berkeley. It wasn’t cheap, totaling about $20,000 when you factor in fees, flights, and accommodations. Plus, it’s hard to carve out that kind of time when you’re tied to a full-time job.
Thanks to not being shackled by work, I seized the opportunity to attend this course. Many former colleagues are still tied down due to their high-spending ways, unable to venture out and explore their interests.
Choosing not to splurge on lavish cars or luxurious wine collections has given me the space to revisit the academic pursuits of my youth. That kind of freedom is invaluable.
We often get bogged down worrying about how others perceive us based on our homes or cars. Since leaving the bank, I’ve driven my smallest car yet, stirring up anxiety about how people would view me. Would they think less of me, seeing the shift in my status?
Interestingly, no one seemed to care at all. I’ve offered rides to friends, and not once did anyone treat me differently because of my car. Most of the worries we harbor are self-created; often, people are far more focused on their own image than yours.
Make Strategic Choices with Your Time and Money
Life tends to unfold in three stages. Initially, as you enter the workforce, time and health are on your side, but finances are scarce. Then, you reach a prime stage where money and health are plentiful, but your time gets consumed with work and family obligations.
Finally, in retirement, health may start to wane, and while you possess more time and money, enjoying it becomes a challenge. I believe there’s this magical period between stages two and three that balances time, health, and finances. It’s where we all want to be.
My aim has always been to stretch this magical phase, which typically lasts for less than five years for many. Some skip this phase altogether, jumping straight from stage two to three without that beautiful interlude.
If you manage your spending wisely during that second stage, you can prolong that magical period to ten or even fifteen years. That, I think, is the ideal situation we should strive for.
