I'm trying to retire around 48
millionaires
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Last: 22 min ago by MAS444
Well, we can't kick you out because you are the only female on this board that I'm aware of. We need the diversity.
On that note, you are probably our richest female on here.
On that note, you are probably our richest female on here.
Hoyt Ag said:Quote:
I don't know anyone who wants to or is able to retire at 55.
Most of my friends abroad did just that and none regret it. They got tired of the rat race and went another direction and I dont blame them. My job sucks the life out of me but does afford me to save a lot and have a fulfilling life. I will be hanging it up at 55, come hell or high water.
I did it last year at 51. No regrets other than I'm potentially regretting moving into a wildfire zone as we watch one about 8 miles from our house. A bit stressed to say the least.
I admittedly have some career FOMO every now and then as I watch the startup I helped found and secure their latest funding continue to ratchet up. But then I think about the day to day it took to get where they are and I don't miss that grind.
I hear you on the fires. The Lee Fire in Colorado last summer was 600 yards from burning my house down. I have lived through 3 tornadoes and countless hurricanes but I never want to relive that fire experience ever again.
I don't think I will ever have FOMO on my career. I have never really liked what I do, so I cannot imagine missing it. I may miss some of the people I work with, but the role and company I will never miss.
Congrats on the retirement and hope you had fun in Steamboat and it wasn't too smoky.
I don't think I will ever have FOMO on my career. I have never really liked what I do, so I cannot imagine missing it. I may miss some of the people I work with, but the role and company I will never miss.
Congrats on the retirement and hope you had fun in Steamboat and it wasn't too smoky.
TXTransplant said:
Also share what you are doing with your kids!
Mine has seen my Fidelity accounts. We've talked about all the options for savings. He just started his first job last month. It's not the job or salary we thought he'd have with a chemical engineering, but he is doing all the right things when it comes to savings. Probably even better than I did at that stage (of course, I was pregnant with him when I got my first job).
I love this question, and there is no right or wrong answer and it is obviously kid-specific.
My son is halfway through college. He just set up his own checking and brokerage account (moved out of Robinhood because he couldn't make direct deposits as he needs/wants to do for his internships). He manages his 529 account, but only as it is "dripped in" each semester based on his projected spending needs. It was way overfunded based on his withdrawal, but he doesn't know the total balance or what I plan to do with the balance once he is done withdrawing.
At this point, I have told my son nothing about what I have, and what he might inherit some day. We live below our means, by and large, but there are splurges and he isn't an idiot. Once he finishes school and gets a real job, I will plan to start gifting to him annually and let him know what is there, how it is being managed, etc. I have been pretty hesitant because I have seen some of my nieces and nephews, who already have inherited money and who know that there is more to come, really being fairly unmotivated. I have discussed that with my son, who agrees that at least part of their problems stem from the kids knowing there is a pot of gold at the end of the rainbow. In at least 3 of these kids' situation, it occurred without their parents' control as grandparents and other relatives set up Trust funds in their names and didn't put in age restrictions on them. Not a great situation in my mind.
Hoyt Ag said:
I hear you on the fires. The Lee Fire in Colorado last summer was 600 yards from burning my house down. I have lived through 3 tornadoes and countless hurricanes but I never want to relive that fire experience ever again.
I don't think I will ever have FOMO on my career. I have never really liked what I do, so I cannot imagine missing it. I may miss some of the people I work with, but the role and company I will never miss.
Congrats on the retirement and hope you had fun in Steamboat and it wasn't too smoky.
Steamboat was cool! No issues with smoke while we there but they were running supply helicopters up to the ski lodge daily and using it as a base of operations.
I don't think my kid is under the illusion there will be anything left for him to inherit. If I retire at 55 and have a typical life expectancy, I'll need every penny.
He is interested in creating the same financial freedom for himself.
He is interested in creating the same financial freedom for himself.
Hoyt Ag said:Quote:
I don't know anyone who wants to or is able to retire at 55.
Most of my friends abroad did just that and none regret it. They got tired of the rat race and went another direction and I dont blame them. My job sucks the life out of me but does afford me to save a lot and have a fulfilling life. I will be hanging it up at 55, come hell or high water.
My goal is to get out by 55 as well, or at least have the option to. Shooting for $5MM by then. We'll see if that's enough in 15 years considering the inflation ride we've been on.
TXTransplant said:
Also share what you are doing with your kids!
Mine has seen my Fidelity accounts. We've talked about all the options for savings. He just started his first job last month. It's not the job or salary we thought he'd have with a chemical engineering, but he is doing all the right things when it comes to savings. Probably even better than I did at that stage (of course, I was pregnant with him when I got my first job).
For my kiddo, we're putting $300 a month into a 529 and $100/month into a UTMA. Once she gets to the age to start working in her teenage years, I'll probably look into doing something to match her dollar for dollar saving into a Roth IRA.
Ditto. 48 is the goal, 9 more years for me.
TXTransplant said:
I don't know anyone who wants to or is able to retire at 55.
Since I wasn't born into generational wealth and have to work, I can't imagine doing anything other than what I'm doing now. While it pays well and I enjoy it, I don't know that I have more than 10 years left in me to do it which would put me at wanting to retire at 55. As long as the market keeps chugging along I should be able to afford it. There is a chance that I have a change of heart and work until 60, but if I do it will be because I want to and not because I have to. I'm also seriously considering relocating to Europe to live out my days once I'm retired.
I don't know that i'll ever completely retire...but i'm looking forward to getting in an RV and traveling the country with my wife. I'll use starlink to "work" here and there...but don't feel any pressure to grow.
Lord willing, one or more of my kids will join the business and they can do all the work and i'll just lend my grey hair and rolodex to the cause.
Lord willing, one or more of my kids will join the business and they can do all the work and i'll just lend my grey hair and rolodex to the cause.
txaggie_08 said:Hoyt Ag said:Quote:
I don't know anyone who wants to or is able to retire at 55.
Most of my friends abroad did just that and none regret it. They got tired of the rat race and went another direction and I dont blame them. My job sucks the life out of me but does afford me to save a lot and have a fulfilling life. I will be hanging it up at 55, come hell or high water.
My goal is to get out by 55 as well, or at least have the option to. Shooting for $5MM by then. We'll see if that's enough in 15 years considering the inflation ride we've been on.
This exactly. Goal is $5M inflation adjusted at 55 which is six years away. Really anything over $4M will allow us to do anything we'd like to do in retirement.
My wife threw around age 55 retirement for a bit.. but after looking at her Pera/pension chart, I have hopefully successfully put age 60 in her head.
If she retires at 55 (2035), referencing her benefit chart, she would get ~$30k annual pension, vs at 60 it's ~$77k (mostly from a higher % payout, but also salary continues to go up 3%). That's a huge difference in retirement income, and we can likely live off her $77k, but not $30k, and then all our investments will pay for vacations and other conspicuous consumption.
Of course it continues to go higher if she works past 60, but I think 60 is the number that makes it pretty comfortable, and I'll be ready at that point as well. Working any longer is just something we won't need at the expense of less years being retired. After 62, it's diminishing returns anyway.
All this could change for the better with any inheritance, but I'm projecting our retirement based on what we have.
If she retires at 55 (2035), referencing her benefit chart, she would get ~$30k annual pension, vs at 60 it's ~$77k (mostly from a higher % payout, but also salary continues to go up 3%). That's a huge difference in retirement income, and we can likely live off her $77k, but not $30k, and then all our investments will pay for vacations and other conspicuous consumption.
Of course it continues to go higher if she works past 60, but I think 60 is the number that makes it pretty comfortable, and I'll be ready at that point as well. Working any longer is just something we won't need at the expense of less years being retired. After 62, it's diminishing returns anyway.
All this could change for the better with any inheritance, but I'm projecting our retirement based on what we have.
62strat said:
If she retires at 55 (2035), referencing her benefit chart, she would get ~$30k annual pension, vs at 60 it's ~$77k (mostly from a higher % payout, but also salary continues to go up 3%). That's a huge difference in retirement income,
That's a really crazy spread for only 5 additional years of service.
If my pension predictor is correct (but who knows if it is), the value about doubles between 55-60. I believe after about 62-63 there is no further incentive and, depending on interest rates, you can actually start to lose value.
We have the option to take a lump sum, though. So my plan is to take whatever I can get at 55 and live on that until 59 1/2. I'll also be eligible for retiree medical and will get a modest lump sum retiree account (based on years of service) to help pay for that. No doubt I will be leaving a lot of money on the table though.
But the differential between 55 and 60 is huge. That's why a lot of my peers won't retire until then. Pension maxxing.
We have the option to take a lump sum, though. So my plan is to take whatever I can get at 55 and live on that until 59 1/2. I'll also be eligible for retiree medical and will get a modest lump sum retiree account (based on years of service) to help pay for that. No doubt I will be leaving a lot of money on the table though.
But the differential between 55 and 60 is huge. That's why a lot of my peers won't retire until then. Pension maxxing.
South Platte said:62strat said:
If she retires at 55 (2035), referencing her benefit chart, she would get ~$30k annual pension, vs at 60 it's ~$77k (mostly from a higher % payout, but also salary continues to go up 3%). That's a huge difference in retirement income,
That's a really crazy spread for only 5 additional years of service.
I'm thinking there must be an early retirement reduction/penalty in that calculation as well? Which should be able to be avoided by waiting to withdraw at 60 vs taking it immediately. Or is it just a backloaded pension accrual?
I became work optional at 40. investments (re) pay the bills, 4 kids college funds funded, and now any work I choose (keyword) pays for vacations and charitable giving. Damn good feeling to know at any point or because of any BS I can walk.
South Platte said:62strat said:
If she retires at 55 (2035), referencing her benefit chart, she would get ~$30k annual pension, vs at 60 it's ~$77k (mostly from a higher % payout, but also salary continues to go up 3%). That's a huge difference in retirement income,
That's a really crazy spread for only 5 additional years of service.
It's because she didn't start in Pera until age 35. She was TRS before, and those years don't transfer or count. We cashed out her TRS back in 2015 and I bought a bunch of aapl, nflx, costco, fncmx and FSELX, so it's done really well, about 600% return in 10 years.
So 55 is actually the earliest she could retire based on her years of service which is only 20 at that point. At age 60, you can retire with as little as 5 yos.
If she were 55 with 35 years of service, she'd have the max 87.5% payout. Or say a more normal age 55 with 32 yos, it would pay out 62%.
So yeh, hers ramps up quickly cause it's going from min yos, and within about 10 years, it would reach almost the max payout.
A big complaint by us for sure about states' pensions.. they don't talk to each other.
Caliber said:South Platte said:62strat said:
If she retires at 55 (2035), referencing her benefit chart, she would get ~$30k annual pension, vs at 60 it's ~$77k (mostly from a higher % payout, but also salary continues to go up 3%). That's a huge difference in retirement income,
That's a really crazy spread for only 5 additional years of service.
I'm thinking there must be an early retirement reduction/penalty in that calculation as well? Which should be able to be avoided by waiting to withdraw at 60 vs taking it immediately. Or is it just a backloaded pension accrual?
nothing to do with early retirement penalty. It's all just a chart. x axis is age, and y axis is years of service.
There are many age/yos combinations that get 0. Like 55-59, you have to have at least 20 yos. If 50-54, you need at least 25 years.
if under 50, then 0 no matter the yos.
I suppose it's slightly biased towards someone who does start later in life. For example, looking at only one row, say 25 years of service. If you're 50, it's only 32%, and increases slightly every year. age 55 would be 45%.. then it maxes out at 63, it would be 62.5%
So 2 people, both worked 25 years, but are different ages, it benefits the older person more. At the same time, the max benefit, which is 87.5%, can only be reached with 35 years of service, and you can hit it at any age. So earlier start = quicker full retirement.
Question for the experts here. Assuming you were early 40s and had ~$5 mm of new money to invest. How would you direct an advisor to deploy it for you. Just looking more moderate risk and growth. Newbie to investing here.
Put it all in WWR. Duh. (j/k - we have a meme stock- there's a thread on this forum about it if you haven't seen it.)
Not an expert - but you're relatively young and can tolerate higher risk. Well diversified portfolio - large, medium, small cap, international, across various sectors, tech, energy, etc..
On Bloomberg, they were talking about how bonds aren't really a hedge vs. stocks anymore. I just hired an advisor and I'm interested to see what he does.
Not an expert - but you're relatively young and can tolerate higher risk. Well diversified portfolio - large, medium, small cap, international, across various sectors, tech, energy, etc..
On Bloomberg, they were talking about how bonds aren't really a hedge vs. stocks anymore. I just hired an advisor and I'm interested to see what he does.
El Duke said:
Question for the experts here. Assuming you were early 40s and had ~$5 mm of new money to invest. How would you direct an advisor to deploy it for you. Just looking more moderate risk and growth. Newbie to investing here.
What is your planned retirement time horizon?
Hoyt Ag said:
I hear you on the fires. The Lee Fire in Colorado last summer was 600 yards from burning my house down. I have lived through 3 tornadoes and countless hurricanes but I never want to relive that fire experience ever again.
I don't think I will ever have FOMO on my career. I have never really liked what I do, so I cannot imagine missing it. I may miss some of the people I work with, but the role and company I will never miss.
Congrats on the retirement and hope you had fun in Steamboat and it wasn't too smoky.
When I was looking for a retirement home/investment property my 4 criteria, in order of importance were:
1) Lowest level of extreme weather threats (wildfire, tornados, hurricanes, flooding, extreme cold(
2) beautiful
3) 4 seasons (and much cooler than Houston)
4) easy one day drive
NW Arkansas won
Where in NW Arkansas?
On Table Rock Lake in Holiday Island...about 5 miles north of Eureka Springs.
Brian Earl Spilner said:
Congrats bro!
Now need to start expanding into Nintendo retro video games as an asset class with me.
I sold a Pokemon Gold CIB recently for $225!
herewegoagain said:
I understand the liquid comments are made in jest, but I do sometimes think there are people (on those board and off) who look down on others who don't have all of their money sitting in the market.
I am undoubtedly biased, but at 43 and with 6M in real estate (and 2M in RE debt) throwing off $180k/year in cash flow while someone else pays off the debt, the properties appreciate, and I pay minimal taxes because of depreciation, I'm not aware of any other tools available to me at this age that could get me what I have.
Rant over. Just a thing I've been thinking about.
There is a big difference between income generating RE and your primary home. The eye roll millionaires are the ones who claim to have $500k in equity in their home, 100k in cars and $400k in their 401k. Cars will depreciate fast and using zillow to determine home equity can easily be off by hundreds of thousands.
herewegoagain said:
I am undoubtedly biased, but at 43 and with 6M in real estate (and 2M in RE debt) throwing off $180k/year in cash flow while someone else pays off the debt, the properties appreciate, and I pay minimal taxes because of depreciation, I'm not aware of any other tools available to me at this age that could get me what I have.
$4 million invested in Vanguard's 80/20 Lifestrategy fund (~10% return past 10 years) is $400k/year. Disclaimer: past performance is not a guarantee... etc.
Long-term capital gains are tax-advantaged, and no full time job managing a real estate portfolio or giving part of the earnings to a management company.
$6m in real estate with $2m of that being debt making $180k a year? If I am reading that correct, you are clearing $180k a year off of $4m in equity basically. 4.5% return on your money?
Hoyt Ag said:Quote:
I don't know anyone who wants to or is able to retire at 55.
Most of my friends abroad did just that and none regret it. They got tired of the rat race and went another direction and I dont blame them. My job sucks the life out of me but does afford me to save a lot and have a fulfilling life. I will be hanging it up at 55, come hell or high water.
55 was my goal in my 20s. I missed that but should be done at or before 60.
springagg said:
$6m in real estate with $2m of that being debt making $180k a year? If I am reading that correct, you are clearing $180k a year off of $4m in equity basically. 4.5% return on your money?
That's not including the additional equity he's getting on those homes every year.
which is offset by real estate taxes and insurance.
I've owned rentals for close to 20 years now and was up to over 20 of them few years back. Real estate in Houston area had one heck of a run over the last 15 years or so and personally I think future returns will not be that great. I sold majority of mine as taxes and insurance ate up most of the profits lately. Currently making 12-14% on that money which is much higher then was it was the last 3 years in rentals. I think you could always find some real estate in areas with higher appreciation but over all I just do not see the same returns over the next 10-15 years as the last 10-15 were.
Its impossible for real estate to guys to understand this.
Im glad RE works for some people. Some have made alot of money doing it. No question about that.
But for me, I do absolutely effing nothing but let my money make me money.
Im glad RE works for some people. Some have made alot of money doing it. No question about that.
But for me, I do absolutely effing nothing but let my money make me money.
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