This can be done soon after creating your character to get it out of the way. Load your island and go to the highest point on the island where the teleportation stone is and run and jump off to kill yourself. If you manage to survive somehow, climb and jump off again or provoke a bear to deal the finishing blow. The only penalty you'll incur is a loss of 100 gold which is 10% of your starting amount which can easily be earned back.