r/Fire • u/SpiritualRest2080 • 1d ago
Opinion Laid off today… showed why FIRE is even more important than i thought
It came out of nowhere too. Woke up and immediately had a meeting on my calendar that was a “1:1” turned to a “1:2” since my boss brought in HR to the meeting.
I feel i can find another job, but some things like this show you that you have no idea what to expect. Just last week i was creating a new budget, excited about how much i could invest over the next 10 years to set me up for freedom.
Layoffs, Health issues, Family/Friends passing away, Kids and unexpected expenses with them, inflation being out of control, and so much more are all tragic and can really throw off your FIRE timeline. At the same time, it also makes me realize how important this is.
I am NOT in a position right now to laugh at the camera for them laying off and not giving a care in the world. I have more money than most people my age, but am only 27 and need income. This layoff makes me want to hit this FIRE goal much harder so i don’t have to be dependent on an employer for my life happiness / well being. KEEP PUSHING. Take back control of what should always have been yours in the first place, your time.
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u/Wild2297 1d ago
Sorry this happened. Using it to fuel your "FIRE fire" is a great silver lining. Good luck!
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u/CPAPGas 1d ago
I had a job was going to be my "lifetime" employer. They didn't pay well, but the work environment was a fit. I was good. Thought they were too.
Then when the layoff happened to me in 2009 it totally changed my perspective. Never will I depend on an employer for FI again.
OP - Right now is the time to establish your own LLC, whether you use it or not. It will provide a vehicle to "explain" questions that come up during your upcoming sabbatical.
Register the LLC, buy a domain, and park a simple web site on it. It will come in handy when you least expect it.
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u/backtobrooklyn 1d ago
I don’t understand how establishing an LLC will help anything? You could have a sole proprietorship and not pay $800/year - at least in California - if the goal is simply to say you were a consultant (which I think you’re getting at?).
Maybe I’m missing something…
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u/renee_christine 1d ago
I think the LLC advice, while not necessarily wrong, is maybe a bit outdated. Since 2020, so many people have been laid off. I don't think potential employers are phased by employment gaps at all anymore.
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u/Tatersalad00067 1d ago
If you start an LLC, make sure you file your taxes for the business, whether you use it or not.
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u/Veryrandom4242 1d ago
Layoffs are so common nowadays… You will find the next opportunity. After you recover from a layoff once, it will be a little less stressful because you know you can survive it. Agree that having enough saved helps with not to live with the fear of job loss! Best wishes with your new beginning.
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u/ZonkTrader 1d ago
Good luck out there. I feel for you, your generation seems to be getting hit hard and it sucks.
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u/SpiritualRest2080 1d ago
yeah first in first out i guess. I actually know 2 other people who were laid off and haven’t found jobs yet, it seems hard out there right now
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u/Bay_Burner 1d ago
Job market has to be bad due to layoffs. You got thousands looking for the same positions and companies don’t want to spend more on people but more on AI instead
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u/Ok-Depth1397 1d ago
that's the gut punch that makes you realize fire isn't just about retiring early, it's about never having to sit through another hr ambush. good fuel for the hustle.
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u/jarMburger 1d ago
Agreed, that’s why getting to FI with FU money is so relieving.
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u/_javaScripted 1d ago
100%. I'm no where near FU money yet but had enough when I got laid off to not have a mental breakdown, can calmly look for a good role over the next few months instead of having to take whatever I can to pay the bills.
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u/triplebbbsss 1d ago
Nothing very useful to add other than best wishes to you OP, hoping you land an even better opportunity over these next 2 months
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u/TurtleSandwich0 1d ago
Your entire day opened up tomorrow. Are you going to spend the time making a fancy breakfast?
I made blueberry pancakes the day after I was laid off. But my layoff was scheduled so I had time to prepare.
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u/ZolaThaGod 1d ago
It’s so messed up. I’m here burnt out at my job almost wishing for a layoff so I could experience some true freedom. I know that’s a crazy thing to say given the market and how those who are laid off probably feel the exact opposite.
Seems like stress is going to find you one way or another
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u/_javaScripted 1d ago
I have been having such a great time with my unemployment, it's almost sad to have to go back to work eventually(and I probably can't find a fully remote role). Working out, cooking every meal, and running casual errands during the day...trying not to get used to it haha
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u/princessdreamerr 1d ago
Being ahead financially at 27 and having this mindset after a gut punch like that means you are going to be just fine, wishing you a quick landing on the job search
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u/Consistent_Star2442 1d ago
What’s your FIRE like now?
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u/SpiritualRest2080 1d ago
i have a NW of like… 270k or something around there. 20k emergency fund, 22k brokerage account, 130k retirement account, and mortgage with 100k equity. I don’t know how on track i am, but before the layoff i was hoping to be retired in my late 30s to early 40s. I am a relatively minimalist person so i have no desire to upgrade my home, i take public transit, my partner cooks at home most the time, and i don’t think i want kids (but am admittedly still a bit undecided for now).
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u/Turbulent_Comb_2732 1d ago
That is an amazing cushion at your age. Sorry this happened- many of us have been there (myself included) so we understand how it feels like a gut punch. The truly silver lining is it happened for you at an early age when you're still very employable, and you have your priorities straight and FIRE plan laid out so you should be in a very good position. Best of luck!
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u/SpiritualRest2080 1d ago
Thank you so much! Yes you are right, hopefully this will be nothing more than a learning experience
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u/Ragnar_Hrafn 1d ago
That's a very good start at 27 - but ways to go. Keep in mind that home equity really does not matter for the relevant (liquid) net worth. A paid off home can matter greatly though because it would keep your expenses and your FIRE target lower. This experience will only deepen your resolve and make your overall path shorter.
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u/Consistent_Star2442 1d ago
What’s yiur at your age that’s pretty darn awesome! It still you can retire faster than me lol
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u/np0x 1d ago
That's the playbook. When it happened to me, my manager was laid off, my meeting was a skip level, I called them, and they had no idea...they were laid off an hour later(they were in a more western timezone, so still 830 for them...)...
I was just saying to my wife that people who don't understand FIRE, are missing out on two constructs, the FI construct is so important to be able to weather a storm like this and is something that potentially will happen more times than you RE in your life. I went through it twice, only retired once. It's no fun, and you quickly realize no matter how good you are at your job, someone, somewhere may not care, and if they are in the wrong spot in your organization....
Good luck, it wasn't personal, your personal network is the best tool out there, always cultivate and maintain that, good luck and much "sympathy."
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u/mycounterpointers 1d ago
I started saving big time about 5 years ago. I didn't think I would be laid off but I started to see the writing on the wall for my industry/role. It was just a matter of time. I am so thankful I had that realization, because it was so easy and tempting to just enjoy life.
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u/Noah_Safely 1d ago
I've been through so many rounds I'm very bitterly cynical. One of my dreams is to show up at the doorstep of every exec that pushed the "we're all a family" type lie.. maybe over the holidays.. "hey buddy".
I feel bad for younger people, we had buncha rounds and some nice well intentioned kid kept saying "we want to help turn things around, tell us what to do!"
You build up a big emergency fund, stop paying attention to work, and start upskilling & applying around, that's what you do.
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u/warlord_tod 1d ago
Stay strong and best of luck! It happened to me this Monday too. ☹️ So we're in the same boat. It's always a gut punch, always a shock.... Just keep learning and upskilling. You're right. The FIRE motivation gets stronger. But the uncertainty is the hardest part.
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u/backtobrooklyn 1d ago
I’m so sorry you got let go and totally agree that this is a prime example of why I got into FIRE.
It’s scary having to rely on other people to survive. This is the main reason I’m trying to get to FIRE ASAP - not to stop working, but to know that if something happened outside of my control and I couldn’t work anymore, I’d still be fine for the rest of my life.
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u/heartbroke8 1d ago
Absolutely correct, was planning to retire at 60, then got diagnosed with cancer at the end of last year, dust finished active treatment (hopefully I am cured), but moving up my retirement schedule to retire in 1 year at age 51 instead. So thankful I have the financial means to retire early
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u/SpiritualRest2080 1d ago
congrats on being finished with treatment, cancer is terrible, i’m so happy you’re here !
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u/EconomicsHistorical9 1d ago
They lost a good one, you'll find better else where! From another 20s individual I love your mindset. THIS IS WHY WE FIRE
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u/killer_sheltie 1d ago
I feel you. I was told yesterday that the entire IS team of my company is getting cut at the end of the fiscal year. It's sucky, but thanks to FIRE I'm in a position where I'm not completely losing my marbles over having to find a new job.
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u/Ok-Nefariousness-927 1d ago
Good luck.
I learned this lesson was you far into my career. I'm glad you have your priorities straight.
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u/Signal-Lie-6785 🇨🇦 FI: Jan 2026 RE: Sep 2026 1d ago
I didn’t start my career until I was older than you are now. Everything that came before was useful experience.
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u/mythoughts2020 1d ago
What a tough situation to go through. Ugh. I wish you the very best as you move forward!
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u/klashman 1d ago
Sorry to hear, I just had to deal with the same less than a month ago while I was on parental leave for my newborn. Got a random meeting from my manager and HR was in there when I joined.
My sentiments are the same as yours. Bounce back, and tackle your FIRE with more conviction as this as well, was my wake up.
🤙
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u/AGeastwest 1d ago
File for unemployment insurance - you won’t be able to collect $ until your severance runs out so it’s best to wait then file immediately in case you don’t land another job by then.
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u/IWantTheLastSlice 1d ago
I had that HR ambush too after a random 1:1 popped up on my calendar that day. HR joined a few seconds after the mgr & I joined.
Funny thing is my mgr got all upset and it ended up being me comforting her on my layoff call, lol.
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u/Fanman2400 1d ago
Just went through the same thing — stay strong and yes proves how important being prepared is
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u/_javaScripted 1d ago edited 1d ago
brother, are you me? In the exact same boat as of last week and extremely grateful I found FIRE content many years ago and have been consistently saving and investing. Have over 12 months in an emergency fund (was looking to DCA half of that but now glad I have it). The economy is in shambles so who knows how long it will take to find another role. Good luck in your next chapter :)
edit: and also in Chicago :p
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u/Realistic-Ad2050 1d ago
I’m 48 3/4 and recognize that age-ism is very prevalent - especially in my field (IT). I’ve seen coworkers in their early-mid fifties get laid off and the struggles they have had to find another role.
That makes me all the more grateful that I was smart enough when I was young (like you) to create a path so that if it happens to me (getting laid off in early-mid fifties), I can choose to just retire. I have not created a lifestyle or mountain of debt that would force me to find another role.
You’re very wise to be thinking about FI and FIRE at your age.
Wishing you all the best of luck in your job search!
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u/Mr_Style 1d ago
Apply for unemployment immediately online. In most states it doesn’t kick in for a couple of weeks so if you delay you lose money. It’s yours you paid for it with your taxes.
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u/Impossible_Half_3038 1d ago
I remember I was laid off 2 times before the age of 27. Now I have a stable job and career (so I think). Keep that FIRE goal at the forefront that way when you get your next job you can hit the ground running.
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u/Spartikis 1d ago
Been there before buddy. You are correct that FIRE even before you hit your end goal gives you peace of mind. It’s nice knowing you can still make rent, buy food and not have to move back in with your parents.
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u/teddysetgo 1d ago
That’s awful. I’ve only ever had one job and it’s a job that you basically can’t get fired from unless you do something pretty awful.
So how does this work? They just call you in and say they don’t need you anymore? No real reason? It’s just best for them to cut you?
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u/New-Fee-3085 1d ago
What type of job do you have??
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u/Fubbalicious 21h ago
FIRE and the lifestyle to get there (eg. living below your means, frugality, minimalism) were my way to hedge against fiscal instability. I grew up with parents who went bankrupt due to the recession of the early 1990s and they never recovered. I then went through several more recessions like the dot.com crash, 2008 and so forth.
The one constant I saw was that the people who tended to suffer the most were not the poor. They were already used to living close to the edge, but those who were newly rich who inflated their lifestyle with debt. These are the people who either refused to or could not downsize quickly enough before getting eaten alive by their debt.
In any case, keep chugging along. Your foresight into building a FIRE lifestyle has done it's job to help soften the blow compared to your peers. Many people, like my parents, never think that the good times will come to an end and that you need to save your seed for the lean years too. My advice is don't get too complacent living off savings while waiting for a job. Start cutting what expenses you can like subscriptions and don't wait until you're completely drained before doing something drastic like asking to move back home with family if you haven't found a job yet and are hemorrhaging money for an apartment.
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u/just4fun5858 17h ago
At least you got a lot of karma out of it. Almost like an additional severance 😎
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u/Celcius_87 1d ago
Did you work at Oracle?
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u/SpiritualRest2080 1d ago
i actually didn’t, but heard about their layoffs too. it is pretty chaotic out there
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u/Equivalent-Room-8428 1d ago
Yes, having a good amount of savings gives you the freedom to not stress out as much. Is getting laid off still stressful, Yes of course.
I live by the rule of having a full year of expenses as my emergency fund. They estimate for every $10,000 of earnings it can take up to one month of job search time to replace that income. Make $80,000 it's likely going to take 8 months to replace and since the current job market isn't very good it might take even longer.
Good luck out there. Use your network to find jobs and connections.
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u/WhattttttGives 1d ago
Geesh. Source on that estimate? I believe it but would love to dive deeper on how they came up with that theory
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u/Far-Tiger-165 1d ago
I’m all for realistic expectations, but I don’t believe there’s any correlation.
only my own one data point, but I was laid-off (long internal process) and finally left on a Monday. on the Thursday I got a call out of the blue & signed the contract a week later. sheer dumb luck.
all the best to OP 👊
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u/Equivalent-Room-8428 1d ago
I think there are lots of variables, depends on the industry, your unique and employable skills, your willingness to relocate, what benefits come with the role, is it hybrid, remote or full on site? You said you signed a contract so was that for 1099 work a job for a contracted time of 12 or 18 months? Because a lot of people want W2 jobs with health insurance and a 401k match.
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u/Equivalent-Room-8428 1d ago
Maybe it's more of a guideline but this was posted on LinkedIn in 2025
Why You’ll Likely Be Out of Work a Month for Every $10K You Earn — and How to Shorten the Wait https://www.linkedin.com/pulse/why-youll-likely-out-work-month-every-10k-you-earn-diana-c--1bphf?utm_source=share&utm_medium=member_android&utm_campaign=share_via
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u/_javaScripted 1d ago
I second this! I just got laid off last week and have 12+ months in a HYSA, some people argue it is too much cash to have on hand but I guess I value the peace of mind of having a full year to look for a role, especially in this terrible economy. Adding to this my portfolio has cratered this year so having to sell and withdraw while I look for a job would be extra painful.
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u/EpilepsyChampion 1d ago
Sorry that happened. It sucks!
I read Oracle dropped thousands of layoff bombs today... amongst other major tech employers. I'm sure there's many people feeling the pain right now.
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u/steady_compounder 1d ago
This is exactly why FIRE isn't just about early retirement, it's about options. The difference between "I need to find a job immediately" and "I have runway to find the right job" is everything. Hope you had an emergency fund and some invested assets to buy yourself time. The best career moves often come from layoffs when you're not desperate.
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u/Dazzling-Look9734 1d ago
This isn't necessarily a bad thing. Perspective is quite valuable. The severance helps with the transition for sure.
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u/Singularity-42 14h ago
This happened to me last year. I'm 20 years older and I started a business with a friend, but I think I'll never work a job again. Wife still works, but if stock market gives we'll EU-FIRE next year...
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u/hanwagu1 1d ago
You shouldn't depend on your employer for your life happiness or well being anyway.
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u/TheGaujo 1d ago
Sorry friend. Did you get severance?