Top 10 Facts about Mr. Money Mustache Peter Adeney
Frugal living isn’t a new concept. In fact, many have tried to blog and provide information on this subject in the past. Unfortunately, many of these individuals failed, and it was often due to the same reason – rehashing the same old, tired tips, and information. For modern savers and those who truly want to learn to live a life of leisure while having everything they want and need, Mr. Money Mustache is a breath of fresh air. He offers a unique, new perspective on money, savings, and living a financially secure life.
Mr. Money Mustache began his blogging career as a thirtysomething retiree who wanted to share his knowledge regarding living a frugal life of leisure. With a huge gathering of loyal fans and supporters, as well as those who utilize his money tips and put them into action, the Mr. Money Mustache blog has grown in epic proportions.
However, there are still some who want to know more about the man behind the ‘stache. For example, does he have a name other than Mr. Money Mustache? How did he learn all these amazing and effective tips he shares? Why does he choose to impart this knowledge to the masses through his blog? Does he gain anything from doing this?
If you have asked some of the same questions, yet never found the answer, today is your lucky day. Here are 10 facts about Mr. Money Mustache that helps you get to know his frugal personality, what makes him tick, and why this is a blog you need to follow.
10He Lived and Saved Many Years Prior to Retirement
Peter Adeney is the Canadian expatriate, now 41 years old, who goes by the alias Mr. Money Mustache. Both he and his wife earned a college degree and then lived a life that involved them both working average, nine to five jobs. He saved enough money during his 20s, working as a software engineer, to retire by the time he reached the age of 30. This doesn’t mean he’s a millionaire. In fact, he earned tens of thousands, and then hundreds of thousands of dollars, which he and his wife saved diligently.
This was done during a point in history when others were piling on more and more debt, and living beyond their means. He worked out an effective way to make these earliest paychecks last, which consisted of a strategy of frugality and investment.
During this time, over-indulgence came easily. However, Mr. and Mrs. Money Mustache and their one child (a son) opted to live a more frugal life then – and now – allowing them to free themselves from the constraints of the typical work week and offering them a financially stress-free existence. With this lifestyle, Mr. Money Mustache, his wife, and son, have more time to spend together, travel, and do the things they want to do, rather than remain a “slave” to a traditional job.
9He Only Spends $24,000 Per Year
When a person finds out they have the ability to retire by the age of 30, others may believe this is due to them having excessive amounts of money at their disposal. Also, most agree this is money that wasn’t earned, but either won in some type of lottery or inherited from a rich, dead relative. While in most cases, this is true, it is not always the situation, as is seen with Mr. Money Mustache. In fact, according to several interviews and reports, he, his wife, and son, spend only $24,000 each year. For many, this is a number that is inconceivable, considering the luxurious and frivolous lifestyles most people follow.
Now, the big question most people have is, how in the world has he achieved the ability to not only retire, but also live on just $24,000? This is something that most modern people and families can’t even imagine, simply due to the high cost of living today, regardless of where in the world you reside.
He originally retired from “real work” in 2005 to begin a family. This was not achieved through luck, a superior skill set that others just don’t have, the lottery, or generosity of a dead relative. The key to this mystery was living a lifestyle that was approximately 50 percent less expensive than the majority of other people. He and his wife invested their surplus income into an extremely conservative and boring Vanguard index fund and a few rental houses.
8He Kept His Identity “Under Wraps” for Years
According to Adeney, when he first began his blog he kept his true identity “under wraps.” He misled people regarding his biographical particulars and whereabouts, even performing a so-called striptease of his expenses and earnings. In an interview, he stated that he found it embarrassing to “walk around in his monetary underwear” in front of everyone.
Over the years he began to divulge more and more about his personal life, as he warmed up to the Mr. Money Mustache persona and the admiration he gained from the masses. Today, anyone who takes the time to look, easily finds he lives in Longmont, Colorado, which is about 30 minutes to the northeast of Boulder. This area is touted as being his own Mustachian paradise and has attracted others who wish to live a similar, frugal lifestyle.
This town, originally founded in 1871 by Chicagoans, was developed as a utopia for agriculture and later the area thrived on the growth of sugar beets. Thanks to the tech-based boom in Boulder spreading to surrounding areas, including this town, the area has been revived. Now, it is a craft-brew town that is full of fixer-uppers that Mr. Money Mustache often works on himself. This is for fulfillment purposes, of course, since he doesn’t need any money. He gets around on his bike or by foot, only using the car when he must haul loads over 100 pounds. As a result, he and his wife together only burn through two and a half tanks of gas each year.
7He Was Raised in Canada By Average, Working Parents
Mr. Money Mustache was born and raised in Caledonia, Ontario. This town had a population of about 10,000 and was approximately 30 minutes away from Hamilton. There were a few unique aspects about this town, including the fact that it had no foreign automobiles, and his family chose not to have access to cable television at home. His mother, whose name was Jane, worked as a schoolteacher and artist, and eventually became a stay-at-home mom. David, his father, worked at an advertising firm that would not make advertisements for tobacco products or alcohol. David had a “no excess” policy when Peter was growing up, which was the beginning of his need to lead a frugal lifestyle. His parents divorced when he was 15.
When Adeney was a child, he earned five dollars each time he mowed the half-acre property his home sat on. When he received the money, he soaked the bills in soap and water, ironed each one, and then placed them in a photo album. This is part of the inspiration to his saying, “a millionaire is made ten bucks at a time.”
In 1997, Peter earned a computer-engineering degree, but decided to miss the graduation ceremony to start working at a company just outside of Ottawa. This company was called Newbridge Networks. This was part of the early up-slope of the dot-com boom.
6He Began Working in Colorado in 1999
In 1999, Peter moved to Colorado. At this time he was 24 years old. After going to interviews at several tech firms all around the country, he decided to begin working at Carrier Access. The company was headquarter in Boulder. In his position, Peter earned $27,000 per year. When Cisco moved to Boulder and opened a branch, he moved there to begin writing encryption code, which provided him with a slight bump in salary.
During his time working, Peter often lectured his colleagues regarding how to save, rather than spend all their money. In most cases, these tips and advice were met with statements such as, “I have kids,” or “I like four wheelers.” As a result, these individuals kept spending and borrowing money from the bank, all while Peter saved and made smart investments. At one point, he even created a PowerPoint presentation to help teach others about smart investments and saving money; however, only 10 people showed up.
While Peter told co-workers he planned to retire soon, which was when he was still in his late twenties, many brushed it off. However, in the latter part of 2005, with $600,000 in investments and a house that was completely paid for, worth $200,000, Peter did, indeed, retire. He figured out that this was the amount he needed by determining he could rely on a conservative return of about four percent a year. He also determined his family could comfortably live on just $24,000 per year.
5Mr. Money Mustache Has a Set Philosophy Regarding Money and Savings
There are six points to the Mr. Money Mustache philosophy. Thanks to his large readership, there are many people who utilize each of these points to the letter in hopes of achieving the same financial security as Mr. Money Mustache has.
The first point of the philosophy is to avoid waste. According to Peter, the “average” person and family wastes ridiculously large amounts of money. Avoid this at all costs. If you don’t really need it – for life – chances are you don’t need to waste your money.
The second point is that everyone needs to spend their money on what makes them happy. Conversely, they don’t need to spend money on items that don’t add to their happiness level.
Number three is, don’t ruin the planet. Recycle, reuse, and try to live as a global citizen. Think of others and rather than throwing away old clothes, give them to charity. Number four is that spending money on items that help make your life easier may make you soft in the long run.
Number five is to find simple investments to put your money into. Consider real estate and index funds, which is exactly what Mr. Money Mustache did. The last point of the philosophy is to teach your kids to work hard and how to save money.
While there are some who call him extreme, others see this as honesty and a smart way to save to have a secure financial future.
4The Real Reason for the Name “Mr. Money Mustache”
One of the biggest and most common questions Peter receives is why he chose Mr. Money Mustache as his financial persona. He loves giving people nonsense answers. In fact, he once stated that he had several origin stories he used from time to time. One was that he was having issues sleeping on a hot night, so he left bed and ran to the peak of a nearby mountain. While there, a bolt of lightning left the imprint of a mustache on a nearby piece of granite.
The real reason for the name, according to Mr. Money Mustache, is because the word “stache” rhymes perfectly with “cash,” and the old saying goes, you need to “stash your cash.” Also, mustaches are seen on gunslingers, bankers, and Magnum, P.I., which are all things that inspired the name, as well. At any given time, Mr. Money Mustache has some type of mustache going on, whether it is a small, handlebar mustache, or a full, bushy, curved one like what is seen on his blog site.
The goal was for him to create a persona that showed he had an extreme level of confidence in himself, and his financial advice. Once in an interview he stated that no one listened to him in real life; however, on the internet, everyone listens. He said that people work best when told what to do, and that they need a boss so they quit making excuses.
3His Financial Advice has been Published on Several National and International Platforms
If you are into financial, savings, and investing news and tips, there is a good chance you have heard of Mr. Money Mustache. Even if you don’t actively seek information on these topics, you have likely heard the name or persona in the past. The fact is, the financial tips and advice provided on his blog have gained quite a bit of attention. This is not just attention from readers and those who are searching for a way to save more money and live in financial freedom. In fact, a number of national and international news outlets, magazines, and respected websites have published and taken notice of Mr. Money Mustache.
Some of the publications where you can find Mr. Money Mustache mentioned, his blogs and tips published, and present on, include: AARP, Business Insider, Der Spiegel, The Economist, MSN, The Huffington Post, Yahoo!, CNN Money, CBC News, Forbes, The Washington Post, and NPR.
As you can see, Mr. Money Mustache is not just another advice style blogger who is just rehashing the same, tired material about how to earn and save more money. His tips are based on his life. He lets you know what worked for him, and how to do the same thing yourself. The valuable information on this blog keeps coming, allowing more and more people to become privy to this information that can help them save money, and perhaps retire much earlier than they ever imagined.
2He Once Made a Pretty Costly Mistake
Everyone makes mistakes. Even Mr. Money Mustache, who is now living a life free of financial constraints, has made a few. While he once bought his son a Rubik’s Cube that promptly broke and considered this a poor investment, this was not the “big” mistake that cost him thousands.
However, in 2004, a much costlier mistake was made by Mr. Money Mustache. This is the year Peter made the decision to begin a real-estate venture with a friend from work. They had two spec houses constructed on the edge of Longmont in a New Urbanist development that was called “Prospect New Town.”
The streets and lots were much smaller than other areas in the town, which made it unpopular for the car-dependent area. The initial house the pair built was originally sold in 2006, for the asking price. The second spec house, which was finished in 2007, got caught up in the housing bubble and collapse. After a serious fight with his partner, Peter wound up losing several thousand dollars on the deal. The house finally sold; however, not after Peter had to learn this financial lesson the hard way.
1His Blog Currently Makes about $400,000 Per Year
While Mr. Money Mustache has slowed down his blogging pace in recent years, it doesn’t mean he isn’t making money. After all, with a site that receives approximately 3.25 million unique visitors a month, there is revenue to earn. The forum on the blog has almost a million posts on it with over 40,000 topics represented. The majority of his readers, 55 percent, are male. Also, the majority of people who read his blog are younger than him, which he sees first-hand at meet-ups.
Today, his blog earns around $400,000 each year. He was reluctant for this information to go public at first without offering a detailed explanation. The money he makes is from the services and products that he recommends, which include Geico, Lending Club, Betterment, and several others. These company’s pay Peter for each consumer who comes to their site from the Mr. Money Mustache site. He has stated that he only makes recommendations based on research he has done, and his own, personal experience.
He also stated that all of this income is saved and that he plans to give it away one day. Adeney once offered his readers a review of various credit cards, and came to the conclusion that Chase was the best option. When a reader, from this review, clicked on the Chase icon on the page and ordered the card, Adeney received $100. When other people started to do this, Chase representatives looked at his blog and requested that he stop using foul language. He then told them to “bug off,” losing thousands of dollars each month to preserve his right for freedom of speech.
Mr. Money Mustache is not a site for those who want statistics, industry jargon, and the same information they can find anywhere else. The blogs, information, products, and overall vibe of the blog is “real.” The information is to the point and helps you take actionable steps to live a more frugal life that minimizes what you spend on a day to day basis.
If you are ready to make a change in your financial situation, then checking out Mr. Money Mustache is a must. The information provided here gives you an inside look at the man, his life, his history, and what inspired him to help others find financial freedom.
With people all over the world living lives of excess, the idea of reducing expenses, and not wasting money is appealing to many. This is the core audience of the Mr. Money Mustache blog. While there are many other financially inspired blogs out there to use, the uniqueness of this site makes it appealing to people from all financial backgrounds and in any financial situation.
If you want the chance to retire before you reach the ripe old age of 60, if you want to do more of what you love and less of what you have too, and if you want an effective way to reach these goals, then Mr. Money Mustache is your financial guru. Each blog is packed full of beneficial information that helps you reach a state of financial freedom you may have thought was unattainable. Read, act, repeat – when you follow this mantra, you are going to discover that living a life without the worry of finances, how to pay your bills, and how much you earn.