Artificial intelligence (AI) is causing an existential crisis for many workers, myself included. With the rise of AI, I\u2019ve often found myself wondering: what\u2019s the point? If AI is going to take over, why bother trying?<\/p>\n
Maybe you\u2019ve felt the same way\u2014worried about how to safeguard your future from AI. Or perhaps you\u2019re a parent wondering if there will even be good jobs for your kids after spending a fortune on their education. If so, this post may help you and your children prepare for what could be a challenging future.<\/p>\n
<\/p>\n An\u00a0existential crisis<\/em>\u00a0is a period of deep questioning about life\u2019s meaning, purpose, or value. It often involves grappling with questions like:<\/p>\n These crises can be triggered by major life events like loss, failure, aging, technological change, or transitions such as retirement<\/a> or a career change. While they can feel overwhelming\u2014bringing anxiety, despair, or a sense of being lost\u2014they also present opportunities for personal growth and a renewed focus on your priorities.<\/p>\n When I first retired in 2012, I faced my own existential crisis. It took me years to adjust and find peace in my new role. I don\u2019t want AI to trigger a similar crisis for you, making everything you\u2019ve worked for feel obsolete. That would be a double gut punch.<\/p>\n The reality is, all good things eventually come to an end. When that moment comes, you\u2019ll either panic or adapt and find ways to thrive. And if you\u2019re reading this, I know you\u2019re the type to plan ahead and rise to the challenge.<\/p>\n The silver lining of being unemployed or retired is that there\u2019s no job for artificial intelligence to take from you. However, if you\u2019re looking to re-enter the workforce, finding a job will likely be much harder. For retirees, you might simply find yourself as an interested bystander, observing AI\u2019s disruption of the labor market from the sidelines.<\/p>\n As a semi-retiree<\/a> running\u00a0Financial Samurai<\/em>, even this site is facing an existential crisis of its own. With AI companies like OpenAI, Anthropic, and Perplexity copying my work without attribution, and Google prioritizing AI-generated content taken from writers at the top of search results, driving traffic to the site is becoming increasingly challenging.<\/p>\n Originally, my plan was to operate\u00a0Financial Samurai<\/em>\u00a0for 10 years\u2014from July 2009 to July 2019<\/a>\u2014and then step away from the creative endeavor. However, the birth of my daughter in December 2019 and the pandemic gave me a renewed sense of purpose and more time to write. I had insights to share, worries to process, and a desire to record this unique time in our lives.<\/p>\n Now that the pandemic is behind us and AI has arrived in full force, my desire to pivot and do something new has grown again. I\u2019m now more than five years past my original goal of running this site. Sometimes, it\u2019s important to acknowledge when the end of a chapter is near and embrace the opportunity to move forward.<\/p>\n Sam Altman says “people will lose jobs” to AI and “not everyone’s going to like all of the impacts, but this is coming. This is a scientific achievement of humanity that is going to get embedded in everything we do,” per tsarnick. pic.twitter.com\/2zCV6PO70u<\/a><\/p>\n \u2014 unusual_whales (@unusual_whales) December 15, 2024<\/a><\/p><\/blockquote>\n<\/div>\n<\/figure>\n Although I don\u2019t rely on\u00a0Financial Samurai<\/em>\u00a0for survival, it has provided supplemental retirement income that I\u2019ve grown accustomed to earning for over a decade. Since 2009, I\u2019ve also dedicated roughly 20 hours a week to maintaining the site. Losing that income, along with suddenly having 20 extra hours of free time each week, would be a significant adjustment.<\/p>\n Here\u2019s my existential crisis survival plan for\u00a0Financial Samurai<\/em>\u2014and for my children, who will likely face an even tougher time getting ahead in an AI-driven world. This survival guide should also help you better prepare if your occupation is at risk of AI distribution as well. <\/p>\n Just as actuaries calculate life expectancy to design profitable insurance plans, we should estimate how long our job or business might last before being eliminated by AI. Develop a worst-case, base-case, and best-case scenario.<\/p>\n With realistic timelines for how much earning potential remains, you can better prepare for the worst-case outcome. The more time you have to plan, the better equipped you\u2019ll be. Don\u2019t be complacent\u2014many people remain unaware of the rapid advancements in AI and the companies driving them, leaving them unprepared for what\u2019s coming.<\/p>\n Personally, I\u2019ve set a base-case scenario that\u00a0Financial Samurai<\/em>\u00a0will be rendered obsolete by December 31, 2027. This timeline gives me enough room to prepare, though the end could arrive sooner with any of the frequent Google algorithm updates throughout the year.<\/p>\n Below is one of numerous examples of individual, hard-working creators getting punished by Google and AI for no good reason. Her traffic keeps going down after some head-fakes. I expect this to happen to me one day out of the blue. <\/p>\n With your estimated timeline of demise, it\u2019s crucial to push your savings rate to the highest possible level<\/a>. My recommendation is a minimum of 50%, and much higher if your timeline is short.<\/p>\n If you save and invest 50% of your after-tax income annually, you effectively buy yourself one year of financial freedom for every year you work. But if you can save 70%, you gain 2.33 years of freedom for every year you save.<\/p>\n Personally, I plan to increase my savings rate from online income to 90% (up from an 80% average) until December 31, 2027. It\u2019s not 100% because my passive investment income falls short of fully covering our current living expenses after we bought a new house in 2023. <\/p>\n Embrace my motto:\u00a0\u201cIf the amount of money you’re saving each month doesn’t hurt, you’re not saving enough!\u201d<\/em>\u00a0This is a matter of financial survival. Push yourself to save as much as you possibly can, starting now.<\/p>\n Boosting your savings rate is only part of the equation. To secure your financial future, you also need to invest those savings in assets with the potential for positive returns. Given the existential crisis facing you and your job, it\u2019s best to focus on three core investment classes: stocks, bonds, and real estate.<\/p>\n Earning a reasonable return, say 4%\u20138%, on your investments will further accelerate your financial freedom. Here’s a net worth asset allocation framework<\/a> to consider if you\u2019re seeking a logical way to invest.<\/p>\n Your ultimate goal should be to generate enough passive investment income to cover 100% of your desired living expenses. If reaching that milestone feels too ambitious, aim for at least the\u00a0Minimum Investment Amount<\/a><\/em>\u00a0that makes work optional. Alternatively, target a net worth (excluding your primary residence) of 25X\u201350X your annual expenses.<\/p>\n By December 31, 2027, I hope to achieve full coverage of our living expenses through passive investment income<\/a>. If I can hit that target, I\u2019ll be financially independent enough that the impact of AI on my active income will no longer matter.<\/p>\n As you build your savings and diversify your passive income, it\u2019s equally important to diversify your active income<\/a> streams. Ideally, you\u2019ll want to focus on skills or products that are harder for AI to replicate. In other words, think about jobs that require in-person interaction and hands-on work.<\/p>\n For example, you could build a clientele teaching a musical instrument, coaching a sport, or offering personal services like tutoring. Alternatively, you could leverage your professional expertise to consult one-on-one with clients who need your guidance. The less dependent your work is on AI, the better. <\/p>\n Personally, I\u2019m considering building a clientele for pickleball and tennis lessons. Every time I visit my local public park on a weekday, I see tennis coaches charging $120\u2013$140 per hour. It\u2019s a great way to meet people, enjoy some sunshine and exercise, and get paid. Going from writing 20 hours a week to coaching for 20 hours a week could generate at least $2,400 a week. That’s great supplemental retirement income!<\/p>\n I could also increase my personal finance consulting efforts<\/a>, something I don’t actively promote on Financial Samurai due to overwhelming demand. Many people have to search for my page to find these services, but it\u2019s another avenue to pursue through December 31, 2027.<\/p>\n Diversifying your active income streams is simply smart financial planning. Look at how creators on TikTok<\/a> are branching out to Instagram and YouTube, just in case TikTok gets banned.<\/p>\n Everybody has a personal brand, whether they know it or not. The only way to thrive in a world where everything is becoming commoditized is to stand out. To achieve this, building a personal brand that people recognize and trust is essential.<\/p>\n A strong personal brand should embody these key qualities:<\/p>\n If you can be both dependable and likable, you\u2019re more than halfway there. People naturally promote and hire those they identify with. If you don\u2019t belong to the majority, it\u2019s even more crucial to develop a personal brand<\/a> that sets you apart.<\/p>\n To amplify your personal brand\u2014or simply make it discoverable\u2014you should have your own website<\/a>. Think of it as a dynamic resume where you showcase who you are and what you\u2019re up to. Employers and investors appreciate the opportunity to learn about you before committing to a partnership.<\/p>\n While intelligence will always be valuable, AI has already claimed the title of the smartest agent. As more people learn to leverage AI to accomplish tasks, the premium placed on being exceptionally smart will diminish over time.<\/p>\n What will matter most is your ability to communicate effectively and develop charisma\u2014skills that build trust and inspire others to follow your lead. Do you speak with your chest out and enunciate your words? Do you look someone in the eye and know when to smile or show empathy? Do you know how to properly use your hands when speaking? Are you a good story teller?<\/p>\n If your school or college doesn\u2019t offer courses in branding and communication, it\u2019s essential to seek out these classes independently and commit to practicing them. It will be much harder to survive, let alone get ahead, if you do not have the great ability to connect with people.<\/p>\n If you can\u2019t beat AI companies in terms of their impact on your career, you might as well join them. By investing in AI companies<\/a>, you can hedge against a difficult future for yourself and your children. It\u2019s clear to me that many jobs are at risk of being eliminated by AI. Even physical jobs like driving for Uber or delivering groceries are threatened by autonomous cars and robots.<\/p>\n Ever since AI became a game-changer in 2022, I\u2019ve ramped up my investments in both public and private AI companies. Because I strongly believe in the AI trend, I’m less concerned with valuations more focused on its long-term impact on the labor market.<\/p>\n I own shares in public companies like Google, Microsoft, Apple, NVIDIA, Tesla, and Meta. In addition, I\u2019ve been dollar-cost averaging into Fundrise\u2019s Venture product<\/a><\/strong>, which invests in top private AI companies and other private growth companies. <\/p>\n My goal is to build a $500,000 position in private AI-related investments and by December 31, 2027. Coupled with my public AI-related investments, I will have over $2 million in exposure. <\/p>\n If the $2 million compounds at 6% \u2013 15% a year for 20 years, it will grow to $6.4 \u2013 $32.7 million. With this amount of money, my then adult children should be able to live on a minimum wage job or no job for a while.<\/p>\n I’ve lived in San Francisco since 2001 and have moved through five different neighborhoods during that time. In each of these neighborhoods, at least one of my neighbors has been an adult man who still lives at home with his parents or is living alone in his parents’ homes. The reason? None of them can make enough money to live comfortably on their own.<\/p>\n In 10\u201320 years, artificial intelligence will make it even harder for young people to find well-paying jobs. This reality means it’s up to parents to save and invest aggressively for our children\u2019s futures today. <\/p>\n This includes opening custodial investment accounts, contributing to Roth IRAs<\/a>, saving in 529 plans<\/a>, and buying rental properties for career insurance<\/a>. In addition, we must teach our children practical skills so they can use their hands to earn. <\/p>\n Picture a world where, after spending 17\u201321 years in school, and possibly accumulating significant college debt, your kids are told they can\u2019t even get a job at McDonald\u2019s<\/a> because food prep and cashier tasks are automated. Now imagine your 30-year-old son, still living at home eight years after college, unable to use his $1 million computer science degree because his skills are no longer in demand.<\/p>\n Even today, the median income for Ivy League graduates<\/a> is only about $91,000. That\u2019s not particularly high for individuals who ranked in the top 1% of their high school class and may have paid a premium for their education.<\/p>\n You don\u2019t need to be great at math anymore\u2014just know how to use a calculator. To protect yourself from AI disrupting your life, it\u2019s crucial to master as many AI apps as possible. While most people stick to ChatGPT and Anthropic, there\u2019s an entire ecosystem of AI tools designed to help you excel at your job. Here\u2019s a list of some of them:<\/p>\n I will use AI for better voice dictation so I can write my posts while in the hot tub. I\u2019m also exploring AI apps that can record podcasts in my voice, create videos, and maybe even draft posts that sound like me\u2014with my edits, of course. Finally, I will upgrade my website\u2019s search box to an AI-powered version that can answer any question based on the content I\u2019ve written.<\/p>\n Finally, if we find ourselves facing a dire future thanks to AI, strong relationships will be essential for survival. The wealthiest and most powerful individuals are likely to become even more dominant. That\u2019s why it\u2019s crucial to start building connections with them today, preferably before they are huge successes. <\/p>\n When opportunities are scarce, people naturally prioritize their own circles<\/a>, and those with wealth and power are no exception. If you don\u2019t resemble or share common ground with them, focus on being valuable. The more you can contribute and help others, the more likely they\u2019ll reciprocate when you need it most.<\/p>\n Embrace the reality that artificial intelligence will eventually eliminate your job and put you out to pasture. Understand that all the effort and money you’re spending raising your children to be successful, independent adults may ultimately be for nothing.<\/p>\n I haven’t been this confident about a long-term investment trend<\/a> since I invested heavily in heartland real estate back in 2016 and 2017, believing in a demographic shift to lower-cost areas of the country. Those investments have generally turned out well, especially after the pandemic accelerated working from home. Of course, some investments were big zeroes as office and hotel took big hits.<\/p>\n Yes, maybe I\u2019m overly influenced by living in San Francisco, where the top AI companies were founded or have offices. But I speak to employees at these firms and venture capitalists<\/a> regularly, and there’s no stopping AI from disrupting most of our lives. It\u2019s already disrupted mine, starting with the elimination of my father’s job as a Financial Samurai editor.<\/p>\n Let’s make the most of the time we have left with the jobs we hold and the companies we run. Eventually, they may be gone, but by then, we\u2019ll hopefully have built enough financial strength to be just fine.<\/p>\n Readers, how are you preparing for the existential crisis that AI poses to your job, company, or product? How are you protecting yourself and your children from a future where your services may no longer be needed? Do you think you\u2019ll be able to get rich enough to not care about the destruction AI will bring?<\/em><\/p>\n To expedite your journey to financial freedom, join over 60,000 others and subscribe to the\u00a0free Financial Samurai newsletter<\/a><\/strong> and to my posts<\/a><\/strong> as soon as they come out. Financial Samurai is among the largest independently-owned personal finance websites, established in 2009. Everything is written based on firsthand experience.<\/em><\/p>\n<\/p><\/div>\nThe Existential Crisis You Might Face<\/h2>\n
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The Good Thing About Being Unemployed Or Retired<\/h2>\n
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Existential Crisis Survival Plan Due To Artificial Intelligence<\/h2>\n
1) Estimate when you’ll lose your job or livelihood due to AI<\/h3>\n
2) Save Aggressively\u2014Beyond What You Thought Possible<\/h3>\n
![\"Saving](\"https:\/\/i2.wp.com\/financialsamurai.com\/wp-content\/uploads\/2024\/07\/early-retirement-savings-rate-chart.png\")
<\/figure>\n3) Diversify Your Investments to Boost Passive Income<\/h3>\n
4) Diversify Your Active Income Streams<\/h3>\n
Learn To Use Your Hands<\/h3>\n
5) Grow Your Personal Brand<\/h3>\n
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Charisma and Communication Skills Matter Most<\/strong><\/h3>\n
6) Invest Aggressively in Artificial Intelligence Companies<\/h3>\n
![\"Financial](\"https:\/\/i2.wp.com\/financialsamurai.com\/wp-content\/uploads\/2025\/01\/Fundrise-Venture-2025-Beginning.png\")
<\/a><\/figure>\n7) Invest For Your Children Today<\/h3>\n
![\"computer](\"https:\/\/i2.wp.com\/financialsamurai.com\/wp-content\/uploads\/2024\/12\/software-developer-employment-peaked.png\")
<\/a>8) Learn How To Use More AI Apps To Improve Your Productivity<\/h3>\n
![\"Best](\"https:\/\/i2.wp.com\/financialsamurai.com\/wp-content\/uploads\/2025\/01\/IMG_5781.jpg\")
<\/figure>\n9) Develop Good Relationships By Helping Others<\/h3>\n
![\"Fastest](\"https:\/\/i2.wp.com\/financialsamurai.com\/wp-content\/uploads\/2025\/01\/jobs-report.jpeg\")
<\/figure>\nEnjoy the Good Times While They Last<\/h2>\n
Reader Questions About The AI Existential Crisis<\/h2>\n