I'm In My Mid-40s And Want to Retire Before AI Takes My Job. Here's My Strategy.

The forecasts of AI's impact on the employment market are pretty nerve-wracking. According to some predictions, AI could reshape more than half of all jobs within the next two to three years, with the potential to eliminate up to 15% of current jobs by 2030.

As a freelance writer -- something AI can easily displace -- I can see the writing on the proverbial wall for my profession. I want to get ahead of that risk by positioning my finances to potentially allow me to retire early (my wife and I are both currently in our mid-40s). Here's my three-part strategy to AI-proof my financial future.

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Keep debt to a manageable level

My wife and I are pretty frugal. We pay for everything on our credit cards, which we pay off each month. We plan for large purchases and keep an emergency fund to cover unexpected costs. The only debt we have is a low-interest car loan with two years remaining and our mortgage.

Our goal is to keep debt to a minimum. We plan to maintain a zero balance on our cards, pay off the car in two years, and steadily whittle away at the mortgage. We currently pay the minimum on our car loan and mortgage and plan to continue doing so for the time being, enabling us to pour any excess funds into our investment accounts. However, I eventually want to pay down the mortgage more aggressively and hope to refinance to a lower rate one day. Other than taxes, our mortgage is our biggest annual expense. The lower I can get it in the future, the less money I'll need to earn to cover our basic living expenses.

Continue to build multiple streams of passive income

My main concern about the coming AI disruption to the job market is that it will permanently impair my ability to earn the income my wife and I need to live comfortably. A reshaping of my job could see my income level drop considerably, while an elimination would mean I'd need to find another line of work, which could take time. As a freelancer, I don't have the fallback option of unemployment income.

These potential future income issues have led me to build an emergency fund that can cover my family's basic living expenses for six months. Meanwhile, I'm building my sources of passive income to extend that runway. I currently generate enough passive income from non-retirement accounts to offset 30% of our basic financial needs. Ideally, I'd like to get that closer to 100% before AI takes my job.

My core strategy is simple: invest in high-quality, high-yielding dividend stocks that offer a durable, growing stream of passive income. For example, one of my largest income producers is Enterprise Products Partners (NYSE: EPD). The master limited partnership -- an entity that sends a Schedule K-1 Federal tax form -- has increased its cash distribution for 27 straight years. Enterprise Products Partners currently offers a high yield of 5.8%, which it backs with stable cash flows and a strong financial profile. The energy company also has visible growth ahead, driven by a large backlog of commercially secured expansion projects, putting it in a strong position to continue increasing its payout.

Capitalize on the AI megatrend

The final leg of my strategy is to grow my wealth by investing in companies capitalizing on the AI megatrend. A higher portfolio value would give me the flexibility to sell stock to cover future expense shortfalls or generate additional income by selling options to bridge the gap.

For example, one of my largest holdings is Brookfield Corporation (NYSE: BN). The global investment firm sees a once-in-a-generation opportunity to invest in building AI infrastructure, such as AI data centers, power solutions, and compute capacity. Brookfield recently launched its first AI infrastructure fund, which aims to acquire up to $100 billion in AI infrastructure assets. These and other catalysts have Brookfield on track to deliver 25% annual earnings growth over the next five years, driving its view that its shares will be worth $140 by 2030 (they currently trade at around $45 apiece).

Getting prepared just in case

I love what I do and hope to continue writing for years to come. However, I can see the potential that AI could disrupt that plan, which is why I'm preparing for that possibility now. My strategy will hopefully give me the freedom to retire early if I have to, or at least limit the potential impact AI could have on my income. I also hope that it will inspire you to develop your own strategy to AI-proof your finances.

Matt DiLallo has positions in Brookfield Corporation and Enterprise Products Partners and has the following options: short July 2026 $40 puts on Brookfield Corporation. The Motley Fool has positions in and recommends Brookfield Corporation. The Motley Fool recommends Enterprise Products Partners. The Motley Fool has a disclosure policy.