Search found 632 matches

by SQRT
Sun Apr 22, 2018 12:25 pm
Forum: Personal Finance (Not Investing)
Topic: Inheritance Changing Lifestyle
Replies: 68
Views: 6915

Re: Inheritance Changing Lifestyle

Inherited wealth should change your life. Why else would people leave money to their families? It won't make you different people, but it will allow you to make some different choices. It already has, since you have made some large gifts. On the other hand, there is no amount of money so large you ...
by SQRT
Wed Apr 18, 2018 10:37 am
Forum: Personal Finance (Not Investing)
Topic: Your Monthly Cost of Living
Replies: 66
Views: 6751

Re: Your Monthly Cost of Living

Not sure why the OP asked other than voyeurism? These numbers will be all over the map and reflect where the person lives and many other aspects of how they live their lives and what stage of life they are in. Certainly not actionable? It does tend to bring out the fact that many people are spending...
by SQRT
Sun Apr 15, 2018 12:02 pm
Forum: Personal Consumer Issues
Topic: What percentage of you 2017 income can you account for?
Replies: 49
Views: 3273

Re: What percentage of you 2017 income can you account for?

I just finished our taxes. We need to pay an additional 1800 which was less than 2% of our income. Does anyone produce a report of where all their money goes for a tax year? What categories do you use? I forecast our taxes out for 3 years and use that to determine instalments over the same period. ...
by SQRT
Sun Apr 15, 2018 11:54 am
Forum: Personal Consumer Issues
Topic: What percentage of you 2017 income can you account for?
Replies: 49
Views: 3273

Re: What percentage of you 2017 income can you account for?

100% using Quicken and have done so since about 1989. Gill Wow. That is impressive! What is your estimate of the time it took you to do that? It really doesn't take that much time. I make entries of income and expense daily. It gives me a great deal of information for taxes and the budgeting enable...
by SQRT
Sun Apr 15, 2018 11:50 am
Forum: Personal Consumer Issues
Topic: What percentage of you 2017 income can you account for?
Replies: 49
Views: 3273

Re: What percentage of you 2017 income can you account for?

Tracking the expenses takes all of two minutes a day using an Excel spreadsheet that I have set up. Tracking the expenses gives me a lot of information I would not have otherwise. Same here. Been doing so for about 25 years. Retired for almost 12 years. In my view this information helps to control ...
by SQRT
Sun Apr 15, 2018 10:02 am
Forum: Personal Consumer Issues
Topic: What percentage of you 2017 income can you account for?
Replies: 49
Views: 3273

Re: What percentage of you 2017 income can you account for?

Tracking the expenses takes all of two minutes a day using an Excel spreadsheet that I have set up. Tracking the expenses gives me a lot of information I would not have otherwise. Same here. Been doing so for about 25 years. Retired for almost 12 years. In my view this information helps to control ...
by SQRT
Tue Apr 10, 2018 10:13 am
Forum: Personal Finance (Not Investing)
Topic: Higher total income in retirement than during working?
Replies: 51
Views: 4473

Re: Higher total income in retirement than during working?

I think even better to define success as having enough cash flow in retirement to cover expenses. Its cash flow that counts not income although many people may view them as equivalent. Return of capital is not income but is certainly cash flow and spendable.
by SQRT
Sun Apr 08, 2018 9:48 am
Forum: Personal Finance (Not Investing)
Topic: How much cash do you keep at any time on checking?
Replies: 146
Views: 9233

Re: How much cash do you keep at any time on checking?

It used to be important to keep your checking account balance pretty low to reduce the cost of liquidity. With interest rates so low it is much less important now. Your checking account balance would depend on such things as: your regular expenses, possible unusual expenses, the ease of transferring...
by SQRT
Sun Apr 08, 2018 9:40 am
Forum: Personal Finance (Not Investing)
Topic: Higher total income in retirement than during working?
Replies: 51
Views: 4473

Re: Higher total income in retirement than during working?

Don’t fret. I doubt what you describe is the new norm. Although the markets have been exceptionally strong since 2009 and this has probably contributed to what you describe. In my case my spending is higher after 12 years of retirement than prior to retirement but my income is quite similar. Dont ha...
by SQRT
Sat Apr 07, 2018 5:58 pm
Forum: Personal Finance (Not Investing)
Topic: Am I Crazy??? [Excess W-4 withholding, got large tax refund]
Replies: 31
Views: 3493

Re: Am I Crazy???

GoldenGoose wrote:
Sat Apr 07, 2018 10:59 am


Am I crazy?
You dont really give us enough information, but I doubt it.
by SQRT
Fri Apr 06, 2018 5:35 pm
Forum: Personal Finance (Not Investing)
Topic: Second home [buy with retirement funds?]
Replies: 51
Views: 2951

Re: Second home [buy with retirement funds?]

Not sure I would rent it out if I were using it myself significantly. I wouldn’t want strangers using my personal stuff. Gasdoc Agree. Renting a place would reduce the control I so highly value (I’m a bit like that “control freak” in the rental car commercials🤠). Also, we have furnished our places ...
by SQRT
Fri Apr 06, 2018 5:24 pm
Forum: Personal Finance (Not Investing)
Topic: How Do You Value Your Home for Net Worth Purposes?
Replies: 150
Views: 9026

Re: How Do You Value Your Home for Net Worth Purposes?

Net worth is a well defined term but once you are retired it’s application is limited. Mostly for estate planning methinks. Cash flow available to spend along with expenses (fixed and variable) are what’s important. If you are planning to sell in the short term obviously real estate values take on ...
by SQRT
Thu Apr 05, 2018 6:23 pm
Forum: Personal Finance (Not Investing)
Topic: Second home [buy with retirement funds?]
Replies: 51
Views: 2951

Re: Second home [buy with retirement funds?]

At what point does it make sense to own something. Ideally we would like to split time between San Diego and the Vail valley. When you decide that having your car in the garage, your clothes in the closet, your dishes in the cupboards, your furniture and art in the place, being able to use it at a ...
by SQRT
Thu Apr 05, 2018 5:24 pm
Forum: Personal Finance (Not Investing)
Topic: How Do You Value Your Home for Net Worth Purposes?
Replies: 150
Views: 9026

Re: How Do You Value Your Home for Net Worth Purposes?

Net worth is a well defined term but once you are retired it’s application is limited. Mostly for estate planning methinks. Cash flow available to spend along with expenses (fixed and variable) are what’s important. If you are planning to sell in the short term obviously real estate values take on g...
by SQRT
Thu Apr 05, 2018 5:15 pm
Forum: Personal Finance (Not Investing)
Topic: Second home [buy with retirement funds?]
Replies: 51
Views: 2951

Re: Second home [buy with retirement funds?]

We own several homes. Mountains, desert, city, lake. Enjoy being able to change our environment to such an extent whenever we want. It’s certainly expensive though. As long as you have enough income generated from the balance of your portfolio to cover the (now higher expenses) you could proceed. It...
by SQRT
Tue Apr 03, 2018 11:02 am
Forum: Personal Finance (Not Investing)
Topic: Retire at 55, what's the magic number
Replies: 90
Views: 9982

Re: Retire at 55, what's the magic number

Do these calculations take into account taxes? I have pensions, SS and have to take RMDs. I can live on my SS and pensions but taxes on these and RMDs are a considerable additional expense. The multiple is generally before payment of taxes. That is you need to pay your taxes out of the withdrawal. ...
by SQRT
Tue Apr 03, 2018 10:37 am
Forum: Personal Finance (Not Investing)
Topic: Retire at 55, what's the magic number
Replies: 90
Views: 9982

Re: Retire at 55, what's the magic number

Again, way too much emphasis on the “multiple” and way too little on spending flexibility. I could easily take my multiple to say 60x by cutting my spending which is quite high currently. If you can build say a 40% flex into your spending plan, you should be able to live with a multiple of say 25x o...
by SQRT
Mon Apr 02, 2018 4:43 pm
Forum: Personal Finance (Not Investing)
Topic: Retire at 55, what's the magic number
Replies: 90
Views: 9982

Re: Retire at 55, what's the magic number

In the end if things work out pretty well and you think you may underspend your portfolio you can always increase your spending. Not easy for some people but I can happily say I’ve done so. Will still have a pretty good amount left over unless something hits the fan. I’m fine with leaving my daughte...
by SQRT
Mon Apr 02, 2018 10:16 am
Forum: Personal Finance (Not Investing)
Topic: Retire at 55, what's the magic number
Replies: 90
Views: 9982

Re: Retire at 55, what's the magic number

I alway hear 25-30 times expenses for retirement. What if one has a pension. Then what is the % of investments needed? Calculate the present value of the pension and include it in the bond portion of your asset allocation or subtract the pension from your expenses. Either way works. Agree but the f...
by SQRT
Mon Apr 02, 2018 10:02 am
Forum: Personal Finance (Not Investing)
Topic: Sad because I did not know what I was doing with inheritance
Replies: 31
Views: 5444

Re: Sad because I did not know what I was doing with inheritance

Well you can be comforted with a few things: 1) It was only 55k. You can make that back in a relatively short amount of time. 2) You can learn something from this. 3) Some of that money survived a divorce. Go forth and do great things from now on. Make your parents proud. For perspective I have a f...
by SQRT
Mon Apr 02, 2018 9:49 am
Forum: Personal Finance (Not Investing)
Topic: What age is the best to give a child control of an inheritance?
Replies: 192
Views: 10667

Re: What age is the best to give a child control of an inheritance?

That’s sort of the whole point of leaving them a ton of money... so that it alters their life... right? That's what I've been trying to tease out of this thread too. For many it seems the answer is no. I'm thinking that many just want their kids to do exactly what they (parents) have done: making a...
by SQRT
Mon Apr 02, 2018 3:23 am
Forum: Personal Finance (Not Investing)
Topic: Retire at 55, what's the magic number
Replies: 90
Views: 9982

Re: Retire at 55, what's the magic number

I went about this the other way around. Save as much as you can. Retire when you are sick of working. Spend 3.5% of whatever you saved. Certainly no “magic number”. Obviously this only works if you have saved quite a bit and your expenses are fairly flexible. Ended up spending quite a bit more in re...
by SQRT
Sun Apr 01, 2018 3:56 pm
Forum: Personal Finance (Not Investing)
Topic: What age is the best to give a child control of an inheritance?
Replies: 192
Views: 10667

Re: What age is the best to give a child control of an inheritance?

Gill wrote:
Sun Apr 01, 2018 2:20 pm
SQRT wrote:
Sun Apr 01, 2018 11:27 am
drk wrote:
Sun Apr 01, 2018 11:23 am
SQRT wrote:
Sun Apr 01, 2018 11:06 am
drk wrote:
Sun Apr 01, 2018 11:05 am


That's a typo, yes?
Nope.
Must be one hell of a house. :beer
Not in Toronto. 2,500 sq ft, 3 beds, 2 baths. 40-50 foot lot, big mortgage.
Where in Toronto? We’re quite familiar with the city.
Gill
Kingsway, Humber Valley, Leaside perhaps.
by SQRT
Sun Apr 01, 2018 3:52 pm
Forum: Personal Finance (Not Investing)
Topic: What age is the best to give a child control of an inheritance?
Replies: 192
Views: 10667

Re: What age is the best to give a child control of an inheritance?

...I would think that most of the discussion on this board might be viewed as explaining wealth inequality though. In the sense that people here are generally pretty good understanding and managing financial issues. I wonder how important that is in causing wealth inequality? Impossible to know for...
by SQRT
Sun Apr 01, 2018 12:52 pm
Forum: Personal Finance (Not Investing)
Topic: What age is the best to give a child control of an inheritance?
Replies: 192
Views: 10667

Re: What age is the best to give a child control of an inheritance?

For the most part, families periodically move between poverty and wealth over a few generations. Right. I guess many just stay poor too. I really have no desire to set up some kind of wealth preservation scheme designed to try to get around the observed phenomenon of “wealth to rags” in 3 generatio...
by SQRT
Sun Apr 01, 2018 12:27 pm
Forum: Personal Finance (Not Investing)
Topic: What age is the best to give a child control of an inheritance?
Replies: 192
Views: 10667

Re: What age is the best to give a child control of an inheritance?

I guess I was raised differently. My parents instilled in me from an early age that each generation should leave the one after them more than the last left them. So I guess my whole family is trying to build a bigger pile of money. Yeah, as some sort of family value this is extremely foreign to me,...
by SQRT
Sun Apr 01, 2018 11:37 am
Forum: Personal Finance (Not Investing)
Topic: What age is the best to give a child control of an inheritance?
Replies: 192
Views: 10667

Re: What age is the best to give a child control of an inheritance?

I just don’t want to control their lives to the extent that a trust would entail. These issues are in existence now, before any wealth transfer. Might reconsider at a later date if the assets keep increasing. They are smart, conservative, and very capable. I expect they would insure any obvious ris...
by SQRT
Sun Apr 01, 2018 11:27 am
Forum: Personal Finance (Not Investing)
Topic: What age is the best to give a child control of an inheritance?
Replies: 192
Views: 10667

Re: What age is the best to give a child control of an inheritance?

drk wrote:
Sun Apr 01, 2018 11:23 am
SQRT wrote:
Sun Apr 01, 2018 11:06 am
drk wrote:
Sun Apr 01, 2018 11:05 am
SQRT wrote:
Sun Apr 01, 2018 11:04 am
Recently gave them low 7 figures for down payment on a house.
That's a typo, yes?
Nope.
Must be one hell of a house. :beer
Not in Toronto. 2,500 sq ft, 3 beds, 2 baths. 40-50 foot lot, big mortgage.
by SQRT
Sun Apr 01, 2018 11:23 am
Forum: Personal Finance (Not Investing)
Topic: What age is the best to give a child control of an inheritance?
Replies: 192
Views: 10667

Re: What age is the best to give a child control of an inheritance?

What about future creditors or outright theft? You say you can't control everything but in fact a trust effectively controls for this possibility. Of course you will be dead, but as you are alive now you may have an opinion about your hard-earned life savings going not to your daughter and grandchi...
by SQRT
Sun Apr 01, 2018 11:06 am
Forum: Personal Finance (Not Investing)
Topic: What age is the best to give a child control of an inheritance?
Replies: 192
Views: 10667

Re: What age is the best to give a child control of an inheritance?

drk wrote:
Sun Apr 01, 2018 11:05 am
SQRT wrote:
Sun Apr 01, 2018 11:04 am
Recently gave them low 7 figures for down payment on a house.
That's a typo, yes?
No. It’s not a typo.
by SQRT
Sun Apr 01, 2018 11:04 am
Forum: Personal Finance (Not Investing)
Topic: What age is the best to give a child control of an inheritance?
Replies: 192
Views: 10667

Re: What age is the best to give a child control of an inheritance?

Our kids are 0 and 3 and we did our wills recently. Intially we decided on 25 but then change it to 21. My thinking was to teach my kids well about money and if I die and leave them a large inheritance and they blow it then so be it. I don't like trying to control people. I agree with this view. Bu...
by SQRT
Sun Apr 01, 2018 10:51 am
Forum: Personal Finance (Not Investing)
Topic: What age is the best to give a child control of an inheritance?
Replies: 192
Views: 10667

Re: What age is the best to give a child control of an inheritance?

Our kids are 0 and 3 and we did our wills recently. Intially we decided on 25 but then change it to 21. My thinking was to teach my kids well about money and if I die and leave them a large inheritance and they blow it then so be it. I don't like trying to control people. I agree with this view. Bu...
by SQRT
Fri Mar 30, 2018 11:16 am
Forum: Personal Finance (Not Investing)
Topic: When did you know your kids would go to college?
Replies: 91
Views: 4051

Re: When did you know your kids would go to college?

There was never any doubt my daughter would go to University. Never any doubt in my mind about me going as well. Took me a long time to convince my parents though. In the end I paid my own way so didn’t really matter what they thought.
by SQRT
Fri Mar 30, 2018 10:43 am
Forum: Personal Finance (Not Investing)
Topic: How Do You Value Your Home for Net Worth Purposes?
Replies: 150
Views: 9026

Re: How Do You Value Your Home for Net Worth Purposes?

I figure precision isn’t really necessary so I simply include an even amount representing a ballpark guess. Real estate only represents about 20% of our net worth so this seems reasonable. Do the whole thing in my head and round to nearest $million. Why is this an important consideration to you. Est...
by SQRT
Wed Mar 28, 2018 7:31 am
Forum: Personal Finance (Not Investing)
Topic: Healthy eaters -- is this grocery budget normal to you?
Replies: 247
Views: 12676

Re: Healthy eaters -- is this grocery budget normal to you?

I wouldn’t worry about it as long as you can afford it. People spend their money where they find the most utility. Presumably you find a lot of “utility” in these purchases. Why would you care what others think?
by SQRT
Tue Mar 27, 2018 8:44 am
Forum: Personal Finance (Not Investing)
Topic: Retirees: How does your retirement spending compare to pre-retirement spending?
Replies: 48
Views: 6353

Re: Retirees: How does your retirement spending compare to pre-retirement spending?

Coming up to 12 years of retirement. 68 next birthday. Spending immediately increased by about 30% once retired. This would exclude the costs of purchasing 2 more homes and the costs associated with getting them “up and running”. More time for travel, new cars, the usual. Didn’t need to put anything...
by SQRT
Mon Mar 26, 2018 12:10 pm
Forum: Personal Finance (Not Investing)
Topic: Thinking about capitulating on house
Replies: 34
Views: 4024

Re: Thinking about capitulating on house

Most of my friends were amazed that I had bought such a house. I guess it never dawned on them that maybe I had "stealth wealth". Strange comment to make. What has this got to do with anything? You seem far too interested in what others think. But I guess that deal blew your stealth? To OP. I’m wit...
by SQRT
Sun Mar 25, 2018 1:14 pm
Forum: Personal Finance (Not Investing)
Topic: discretionary spending per month
Replies: 54
Views: 5884

Re: discretionary spending per month

Agree that discretionary can be a little difficult to define, but in our case if I total entertainment, gifts, travel,donations, new boat, new furniture, I get about $35k per month. It’s a little higher this year as we have some fairly big projects on the go. Obviously plenty of room to cut back if ...
by SQRT
Sat Mar 24, 2018 11:52 am
Forum: Personal Finance (Not Investing)
Topic: What car should I get
Replies: 35
Views: 2610

Re: What car should I get

Get the cheapest one.
by SQRT
Sat Mar 17, 2018 10:26 am
Forum: Personal Finance (Not Investing)
Topic: Those with high savings rate: why?
Replies: 187
Views: 18712

Re: Those with high savings rate: why?

Seems pretty self evident to me. I saved in order to achieve Financial Independence (FI). Being FI gives you choices, control over your life, power.
by SQRT
Sat Mar 17, 2018 10:21 am
Forum: Personal Finance (Not Investing)
Topic: Owning cars in 2 different states
Replies: 15
Views: 986

Re: Owning cars in 2 different states

I own cars in 3 jurisdictions , Alberta, Ontario, and Arizona. I often “turn the insurance off” in Arizona when not there for long periods, ie couple months. State Farm. Ask your insurance co. I think most of them allow this. Probably minimum “off time” required. Gets a little complicated at times ...
by SQRT
Sat Mar 17, 2018 2:34 am
Forum: Personal Finance (Not Investing)
Topic: Owning cars in 2 different states
Replies: 15
Views: 986

Re: Owning cars in 2 different states

I own cars in 3 jurisdictions , Alberta, Ontario, and Arizona. I often “turn the insurance off” in Arizona when not there for long periods, ie couple months. State Farm. Ask your insurance co. I think most of them allow this. Probably minimum “off time” required. Gets a little complicated at times b...
by SQRT
Thu Feb 15, 2018 12:32 am
Forum: Personal Finance (Not Investing)
Topic: Retirement Salary requirements
Replies: 6
Views: 1305

Re: Retirement Salary requirements

I am likely an outlier. I just saved as much as I reasonably could then set my spending in retirement to match my nestegg. This was possible because the nestegg was quite large and supported a spend that was about 30-50% larger than what we spent while working. Certainly not the usual approach.
by SQRT
Wed Feb 14, 2018 4:49 pm
Forum: Personal Finance (Not Investing)
Topic: Number at which to stop worrying
Replies: 170
Views: 17682

Re: Number at which to stop worrying

This is different from other threads which talk about the number for early retirement. I want to continue working for the foreseeable future, but keep thinking at what level of NW could I relax a bit and not worry too much. Family of four in a MCOL area and single earner. Kids yet to go to college....
by SQRT
Mon Feb 12, 2018 5:40 pm
Forum: Personal Finance (Not Investing)
Topic: Number at which to stop worrying
Replies: 170
Views: 17682

Re: Number at which to stop worrying

Worriers never stop worrying.
by SQRT
Sun Feb 11, 2018 9:53 am
Forum: Personal Finance (Not Investing)
Topic: free dinner investing seminar
Replies: 287
Views: 19704

Re: free dinner investing seminar

Who would be that desperate for a dinner? People who cannot afford to buy whatever the dinner sponsor is selling. That would be a lot of people I think. In their case a free meal might be worth a lot? I guess the trick is to get invited despite not having any money. If you got good at this it might...
by SQRT
Sun Feb 11, 2018 2:56 am
Forum: Personal Finance (Not Investing)
Topic: What did you do: Life Annuity or Survivorship?
Replies: 14
Views: 1019

Re: What did you do: Life Annuity or Survivorship?

I elected full survivorship. More of a “relationship” decision than a financial one. Reduced my pension by about 9% to go from 66.7% to 100% survivorship. My spouse is 7 years younger than I and we are both in excellent health and healthcare not an issue as we are Canadians. She’s likely to live abo...
by SQRT
Sun Feb 11, 2018 2:51 am
Forum: Personal Finance (Not Investing)
Topic: free dinner investing seminar
Replies: 287
Views: 19704

Re: free dinner investing seminar

pkcrafter wrote:
Wed Feb 07, 2018 9:53 pm
Iliketoridemybike wrote:
Wed Feb 07, 2018 9:23 pm
There’s no free dinner.
Right! I just could not tell him what to expect.

Paul
Exactly. If you don’t know what to expect, expect the worst. These things are a total waste of time at the best, and a total waste of money at the worst. Who would be that desperate for a dinner?
by SQRT
Sat Feb 03, 2018 4:41 am
Forum: Personal Finance (Not Investing)
Topic: What's your cash position
Replies: 105
Views: 10149

Re: What's your cash position

Keep cash only for operating needs, eg lumpy expenses. Divs are also lumpy so need a fair bit of cash on hand, mid 6 figures. Dont consider it part of investment portfolio.
by SQRT
Wed Jan 31, 2018 3:06 am
Forum: Personal Finance (Not Investing)
Topic: How to think about your house from a financial perspective
Replies: 89
Views: 6961

Re: How to think about your house from a financial perspective

We have several personal use homes. I don’t view them as investments but rather a lifestyle choice, ie I get to use these places whenever I want. No mortgages. I don’t count on any appreciation but to be honest I don’t expect any depreciation either. Really depends on your intent, as others have sta...