How much money do you want to retire?

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Re: A poll: How much money do you need to retire?

Post by LadyGeek » Thu Aug 03, 2017 3:57 pm

This thread is now in the Personal Finance (Not Investing) forum. To keep this actionable, please focus on your own situation.

latesaver, Welcome!
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Re: A poll: How much money do you need to retire?

Post by RAchip » Thu Aug 03, 2017 4:16 pm

"I am shocked by the amounts that people are listing. I assume either a) they want to live fairly lavishly or b) they are listing the amount they "want"."

I am 52. My NW is over $30mm and I am not convinced I have enough to retire. $22mm stocks, bonds cash, $9mm real estate. No debt. 6 kids. Lots of private school, college, grad school to pay for. Will need health insurance for us all. I live a very complex and expensive life.

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Re: A poll: How much money do you need to retire?

Post by MP123 » Thu Aug 03, 2017 4:29 pm

RAchip wrote:"I am shocked by the amounts that people are listing. I assume either a) they want to live fairly lavishly or b) they are listing the amount they "want"."

I am 52. My NW is over $30mm and I am not convinced I have enough to retire. $22mm stocks, bonds cash, $9mm real estate. No debt. 6 kids. Lots of private school, college, grad school to pay for. Will need health insurance for us all. I live a very complex and expensive life.
I'm guessing you'll be ok! :beer

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Re: A poll: How much money do you need to retire?

Post by MarkRoulo » Thu Aug 03, 2017 4:56 pm

latesaver wrote:I am shocked by the amounts that people are listing. I assume either a) they want to live fairly lavishly or b) they are listing the amount they "want".
The original poster changed the question (though not the title ... maybe this cannot be changed?):
I actually meant amount want for retirement. Not need for retirement. Also assuming you get 0 from a pension fund. I've edited the original post.
But, yes, lots of people ARE doing (b) and answering "want". I'll observe that your $90K/year number is also a "want" as lots of folks get by on much less. This doesn't make anyone answering with "want" a bad person, and it is actually a much more interesting question than "need," where for "need" one can always move to a VLCOL area, have roommates, eat lots of cabbage and potatoes, etc.

Some of this is also (a).

And I suspect that there is also a fair amount of (c), "Don't know how well to predict health care expenses, taxes, inflation, social security payout and investment returns." If you can give me these numbers, I can give you a much better (probably MUCH lower) "want" number for my retirement :-)

As things stand, I'm assuming that health care expenses will keep going up, Medicare will be capped somehow, so I should expect to pay more for it than the current setup, taxes MIGHT go up for me, social security will be about 1/2 the current rate and I'm using a 3%-4% real return. I'm also planning for "forever" as I think my wife has a reasonable chance of being alive at 100 (I will not ...).

I'd say that most of the uncertainty is tied up in medical expenses, taxes and social security. But that seems fairly uncertain if one is planning 30 - 40 years out.

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Re: A poll: How much money do you need to retire?

Post by benign_user » Thu Aug 03, 2017 5:04 pm

MarkRoulo wrote:
latesaver wrote:I am shocked by the amounts that people are listing. I assume either a) they want to live fairly lavishly or b) they are listing the amount they "want".
The original poster changed the question (though not the title ... maybe this cannot be changed?):
I actually meant amount want for retirement. Not need for retirement. Also assuming you get 0 from a pension fund. I've edited the original post.
But, yes, lots of people ARE doing (b) and answering "want". I'll observe that your $90K/year number is also a "want" as lots of folks get by on much less. This doesn't make anyone answering with "want" a bad person, and it is actually a much more interesting question than "need," where for "need" one can always move to a VLCOL area, have roommates, eat lots of cabbage and potatoes, etc.

Some of this is also (a).

And I suspect that there is also a fair amount of (c), "Don't know how well to predict health care expenses, taxes, inflation, social security payout and investment returns." If you can give me these numbers, I can give you a much better (probably MUCH lower) "want" number for my retirement :-)

As things stand, I'm assuming that health care expenses will keep going up, Medicare will be capped somehow, so I should expect to pay more for it than the current setup, taxes MIGHT go up for me, social security will be about 1/2 the current rate and I'm using a 3%-4% real return. I'm also planning for "forever" as I think my wife has a reasonable chance of being alive at 100 (I will not ...).

I'd say that most of the uncertainty is tied up in medical expenses, taxes and social security. But that seems fairly uncertain if one is planning 30 - 40 years out.


In the initial post I meant want and not need. I'm not sure how to change the title.

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Re: A poll: How much money do you need to retire?

Post by djscal » Thu Aug 03, 2017 5:24 pm

RAchip wrote:"I am shocked by the amounts that people are listing. I assume either a) they want to live fairly lavishly or b) they are listing the amount they "want"."

I am 52. My NW is over $30mm and I am not convinced I have enough to retire. $22mm stocks, bonds cash, $9mm real estate. No debt. 6 kids. Lots of private school, college, grad school to pay for. Will need health insurance for us all. I live a very complex and expensive life.
Are you trolling us? 30mm isn't enough to retire? If you're investments are earning a conservative 5% - that's 1.5mm per year of income.

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Re: A poll: How much money do you need to retire?

Post by LadyGeek » Thu Aug 03, 2017 5:32 pm

benign_user wrote:In the initial post I meant want and not need. I'm not sure how to change the title.
I got it. The title is changed to "A poll: How much money do you want to retire?"

The OP can change the title by editing the Subject: line in Post #1. Feel free to change the title further. If you need assistance, let me know.
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Re: A poll: How much money do you need to retire?

Post by Grt2bOutdoors » Thu Aug 03, 2017 5:38 pm

1210sda wrote:Where you plan to retire is very important. The cost of living index for New York city is 245. The cost of living in Tucson is 122.

Source: Expatistan

So, if you feel you need $4,000,000 in New York, you'll only need $2,000,000 in Tucson.

1210
You are living like a king on $2mm in Tucson, pretty much.
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Re: A poll: How much money do you want to retire?

Post by Grt2bOutdoors » Thu Aug 03, 2017 5:53 pm

That answer depends on just where i retire to. If i want to stay in my HCOLA then i guesstimate about $2.5 million - so not yet, because we are not even close.

If we retire to a MCOLA or LCOLA area, then $2.0 million. The biggest wildcard is that of healthcare insurance - my employer tells me total cost of coverage is between $20-$25k per year, lets call it $25k. Well, for someone in mid 40's on average, that is nearly another $600k in retirement assets needed, so here we are, right back to the $2.5 million needed to stay where I am now before Medicare eligibility kicks in. Maybe i want $3.1 million to stay in HCOLA?

Funny thing though, there are quite a few retired folk living in my town who are doing okay on incomes of 50k - they do economize, not much travel, aren't frequent restaurant goer's, but are making do well enough. So, maybe I don't need quite that much? I guess my point is i don't really know what the number truly is, only that i don"t want to be destitute in retirement.
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Re: A poll: How much money do you need to retire?

Post by Grt2bOutdoors » Thu Aug 03, 2017 5:57 pm

RAchip wrote:"I am shocked by the amounts that people are listing. I assume either a) they want to live fairly lavishly or b) they are listing the amount they "want"."

I am 52. My NW is over $30mm and I am not convinced I have enough to retire. $22mm stocks, bonds cash, $9mm real estate. No debt. 6 kids. Lots of private school, college, grad school to pay for. Will need health insurance for us all. I live a very complex and expensive life.
Unless your vehicle of choice you travel with begins with the following - Gulfstream, Dassault, Lear, Queen Mary or where you live requires monthly maintenance expenditures of $25k+, i think you will be just fine.
Last edited by Grt2bOutdoors on Thu Aug 03, 2017 6:07 pm, edited 1 time in total.
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Re: A poll: How much money do you need to retire?

Post by flyingaway » Thu Aug 03, 2017 6:02 pm

TomatoTomahto wrote:
flyingaway wrote:
mega317 wrote:I find it interesting how many people don't factor in social security. What is the reason for that? Legitimate expectation that it won't be there? Desire to "round up" and come up with a more conservative number? I didn't count it for a long time, but that was mostly because I didn't really understand it.
Social security is just a buffer if I have at least $2M.
With respect, you have that backwards. Social security is COLAed. Your $2M isn't.
But the $2M will be invested.

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Re: A poll: How much money do you need to retire?

Post by mega317 » Thu Aug 03, 2017 6:05 pm

djscal wrote:
RAchip wrote:"I am shocked by the amounts that people are listing. I assume either a) they want to live fairly lavishly or b) they are listing the amount they "want"."

I am 52. My NW is over $30mm and I am not convinced I have enough to retire. $22mm stocks, bonds cash, $9mm real estate. No debt. 6 kids. Lots of private school, college, grad school to pay for. Will need health insurance for us all. I live a very complex and expensive life.
Are you trolling us? 30mm isn't enough to retire? If you're investments are earning a conservative 5% - that's 1.5mm per year of income.
I think this tangent is actionable. I calculate 6 Yale degrees (everyone uses Harvard for these examples) at just about 1.5 million according to their website. Closer to 2 million for 6 medical or law degrees but those include health insurance. I don't know how much private elementary/middle/high schools cost but let's generously say another 2 million for 6 of each. That's 10 million total for education. Are you like the poster in the other thread who has no debt, but also a big mortgage and two car loans?

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Re: A poll: How much money do you want to retire?

Post by TXJuice » Thu Aug 03, 2017 7:03 pm

I would like to have $3 million to retire. I am 30 right now. If I get a 6% return/year and I maintain my savings rate, I will hit that around age 52.

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Re: A poll: How much money do you want to retire?

Post by RAchip » Thu Aug 03, 2017 7:23 pm

"Unless your vehicle of choice you travel with begins with the following - Gulfstream, Dassault, Lear, Queen Mary or where you live requires monthly maintenance expenditures of $25k+, i think you will be just fine."

I fly netjets. roughly 300k/ year.

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Re: A poll: How much money do you want to retire?

Post by PartIrish » Thu Aug 03, 2017 7:24 pm

I'm 60, DH is 65 and about to retire, while I will keep working 2-3 more years. The previously divergent "Need" and "Want" sizes for our portfolio are beginning to converge into "pretty much enough." Not counting social security, pension income and income from the final rental we will retain once the others are sold off, we would like about $30,000/year from our investments, which would include the average cost of occasional big ticket expenses. We can meet that at around a 3 percent withdrawal rate, so it's probably "enough."

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Re: A poll: How much money do you want to retire?

Post by The Wizard » Thu Aug 03, 2017 8:01 pm

RAchip wrote: I fly netjets. roughly 300k/ year.
I'm thinking RAchip could be my new idol...
Attempted new signature...

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Re: A poll: How much money do you need to retire?

Post by Incendiary » Thu Aug 03, 2017 8:41 pm

latesaver wrote:I am shocked by the amounts that people are listing. I assume either a) they want to live fairly lavishly or b) they are listing the amount they "want".

I am 37, wife is 34. We are late to the game but good jobs have allowed us to amass $1.7M in savings, $2.2m w/ home equity included.

Spending $90K/year should allow us to live pretty comfortably and at 3% SWR indicates we need around $3M to retire.

I think we'll hit that in the next 7-10 years.
Assuming I am one of the ones whose post you were shocked by, here are the numbers I'm estimating in retirement:

$1,500.00 tithe
$2,000.00 health ins
$1,000.00 food
$2,000.00 travel
$2,500.00 car
$215.00 accountant
$4,500.00 taxes
$1,270.70 housing

This comes out to $15,000 a month or $180,000 a year. I realize there are some things left out, but it's a rough approximation that is still undergoing refinement. I have no idea what cell phone, etc will cost in the future, for example.

And yes, I really like cars.

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Re: A poll: How much money do you need to retire?

Post by Dottie57 » Thu Aug 03, 2017 8:55 pm

latesaver wrote:I am shocked by the amounts that people are listing. I assume either a) they want to live fairly lavishly or b) they are listing the amount they "want".

I am 37, wife is 34. We are late to the game but good jobs have allowed us to amass $1.7M in savings, $2.2m w/ home equity included.

Spending $90K/year should allow us to live pretty comfortably and at 3% SWR indicates we need around $3M to retire.

I think we'll hit that in the next 7-10 years.

FYI, I consider 90k per year to live on "lavish". Hehe. One person's comfortable is another's lavish.

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Re: A poll: How much money do you want to retire?

Post by basspond » Thu Aug 03, 2017 8:57 pm

$5M at 55 which will be in 2 years.

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Re: A poll: How much money do you want to retire?

Post by hicabob » Thu Aug 03, 2017 9:05 pm

what happened to delete?
Last edited by hicabob on Thu Aug 03, 2017 10:10 pm, edited 2 times in total.

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Re: A poll: How much money do you want to retire?

Post by moghopper » Thu Aug 03, 2017 9:12 pm

The Wizard wrote:
RAchip wrote: I fly netjets. roughly 300k/ year.
I'm thinking RAchip could be my new idol...
Me too.

RAchip... 6 is a lot, but only 8 is enough. I've made myself available for adoption.

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Re: A poll: How much money do you want to retire?

Post by Craig B » Thu Aug 03, 2017 9:23 pm

47years old. Love my job. Could retire when my 8 year old is out of college with $5 - $6 million.
That's 14 years from now hopefully. Current investable assets of $2.2 million

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Re: A poll: How much money do you need to retire?

Post by goodenyou » Thu Aug 03, 2017 10:36 pm

RAchip wrote:"I am shocked by the amounts that people are listing. I assume either a) they want to live fairly lavishly or b) they are listing the amount they "want"."

I am 52. My NW is over $30mm and I am not convinced I have enough to retire. $22mm stocks, bonds cash, $9mm real estate. No debt. 6 kids. Lots of private school, college, grad school to pay for. Will need health insurance for us all. I live a very complex and expensive life.
At first I thought this was a hoax. Understandably this would represent less than 1% of Bogleheads, so this would raise eyebrows and provoke flamethrowers. I know several people in this world of middle Richistan. Truth be told, they have these worries. If you're a working super HNW individual, this is a reality. I could easily put myself in that spending world.
"Ignorance more frequently begets confidence than does knowledge" | "The best years you have left are the ones you have right now"

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Re: A poll: How much money do you want to retire?

Post by HomerJ » Fri Aug 04, 2017 12:12 am

RAchip wrote:I fly netjets. roughly 300k/ year.
We've had this conversation before. RAchip spends $1 million a year with 6 different houses, and uses netjets for the convenience partly because his life is so busy.

So yes, $21 million is probably not enough to retire at 52, if one spends $1 million a year.

But of course, RAchip doesn't need to spend $1 million a year. If he retired, his life would be much simpler and he wouldn't need to waste $300k on netjets each year. He could also sell a house or two which would lower his yearly expenses, and at the same time add the money to his investments.

His biggest problem is probably his kids are completely used to his lifestyle now, so he may have to work forever to keep it all going. :)

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Re: A poll: How much money do you need to retire?

Post by JBTX » Fri Aug 04, 2017 12:30 am

mega317 wrote:I find it interesting how many people don't factor in social security. What is the reason for that? Legitimate expectation that it won't be there? Desire to "round up" and come up with a more conservative number? I didn't count it for a long time, but that was mostly because I didn't really understand it.
In my case I factor it in but assume it will be less than what the current formulas say. I will start taking it out around 2032 and at that time the system will only have about 70 cents coming for every dollar promised. It seems reasonable to me to think adjustments will be made and they will tend to hit those with income and savings harder.

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Re: A poll: How much money do you want to retire?

Post by schachtw » Fri Aug 04, 2017 12:47 am

My wife & I will be 67 late this year. We've accumulated
5 million. I believe we're set.

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Re: A poll: How much money do you want to retire?

Post by kellyfj » Fri Aug 04, 2017 5:52 am

Age 45 now targeting $5.5m at age 65 for 85% income coverage

(Calculations based on running a number of calculators and taking the median plus extrapolating my income and multiplying by 12)

In all likelihood once kids are out of college (Age 57 for me) we can start to revisit these calculations as I'm sure we can get by on less.
One big caveat one child has a disability and the wife has lots of back problems and may become disabled herself.

So the worry is less the $$$ than keeping myself physically fit and strong and healthy (and INSURED!) to carry all the needs of the household.

In addition I don't really plan to retire - unless I pick up Golf I'd go crazy or drive my wife crazy ;-)
I'd love to go part time or teach younger people how to code or start a small lifestyle business.

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Re: A poll: How much money do you want to retire?

Post by gilgamesh » Fri Aug 04, 2017 6:15 am

Target $2.5M at age 58. I am almost 48 now. I am not counting the home as I will not have spending money on it...will go from one big house to two smaller ones.

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Re: A poll: How much money do you want to retire?

Post by investingdad » Fri Aug 04, 2017 6:36 am

We are 44 now.

Targeting anywhere from 52 to 56.

If we get to $5 million or more, I think we are set. If we get to $4 million, I'll have to plan carefully.

In the middle of that are varying degrees of what I think will work.

We are on track, I think, to hit that range.

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Re: A poll: How much money do you want to retire?

Post by Iliketoridemybike » Fri Aug 04, 2017 6:38 am

Want? $5m. Need, according to Firecalc, $2.7m. Have now $4m. 4 more years until I retire at 58.

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Re: A poll: How much money do you need to retire?

Post by AntsOnTheMarch » Fri Aug 04, 2017 6:59 am

David Jay wrote:I need $700,000 in retirement assets and a paid off home to retire at 62.

I am 60, with $700,000 in retirement assets and a $40,000 mortgage. I have about 18 months to get the mortgage paid off and achieve my goal.
I'm glad to see that there are some "normal" people here. I must say, when net worth and salaries are thrown about, this forum can become intimidating and depressing. Knowing the stats for what Americans have saved for retirement, I doubt many would feel comfortable discussing their personal finances here—which is a shame because they could use the advice and people here are understanding and helpful.
“In 2011, married Americans aged 55 to 64 in the bottom half of income distribution had assets of only $130,000, including their house. Those couples in the next 40 percent of income distribution, with incomes between $52,000 and $140,000 a year, had an average of $350,000 in total wealth—home equity, retirement accounts, and so on.

And married couples in the top 10 percent? I’m still worried about them. Yes, they have incomes above $140,000 per year and an average total of about $450,000 in their houses, retirement accounts, and so on. But assuming half the wealth is in their house, leaving them with $220,000 to draw down over the rest of their lives, that’ll give them about $10,000 per year—which, even with Social Security, is a long way away from $140,000.”

Excerpt From: Teresa Ghilarducci Ph.D. “How to Retire with Enough Money.” Workman Publishing, 2015-10-19T19:13:13Z. iBooks.
This material may be protected by copyright.
As to the OP. We "wanted" and had planned on north of 1.5M by 62 but our 50s proved not to work out as planned. As my FIL used to say,
Man proposes but God disposes
1.5M by age 67-70 is the new plan. If we reach that, it should be fine. Even if we don't, 1M with inflation protection in the portfolio should work but the budgeting will be tighter and more mind will need to be paid along the way. We have a little over 1M now so it will take a pretty bad scenario for us to be worse off at 67, but still...Touch wood.

As you can see by my conservative (pessimistic?) viewpoint, our AA is pretty conservative by bogglehead standards because no, I don't assume that the stock market will always go up at a rate which coincides with our useable lifespan. I don't like the idea of living poorly in my 60s—through a 10+ year bear market—only to come for air at 70+? And this doesn't account for a Japan type situation or worse. So for me, ~1M is that low water mark and I don't want to mess with anything much below that if I can. At least not if I can help it.

I am thankful that one advantage DW and I have over some bogleheads facing retirement is that we are self-employed and can taper our work off. We plan to taper off after 65 (Medicare) but continue to take on work at least until 70. We work at home and have a flexible schedule so it's not a hardship and in fact, it's often good to have work to do and to stay in touch with our clients as they tend to be interesting and intelligent people. If things go well, any income after we officially pull back on the throttle will be used for fun money.
Last edited by AntsOnTheMarch on Fri Aug 04, 2017 7:23 am, edited 1 time in total.

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Re: A poll: How much money do you want to retire?

Post by Limoncello402 » Fri Aug 04, 2017 7:05 am

2.5 million and a paid off home (worth $400,000) at 65. I'm 60 now and almost there...

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Re: A poll: How much money do you want to retire?

Post by Betterself » Fri Aug 04, 2017 7:09 am

Theoretically nothing as we are blessed to have a good pension and paying for SSs.

Without pension, I would hope about 3MM which is on track (38 now) if nothing major happens.

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Re: A poll: How much money do you want to retire?

Post by TomatoTomahto » Fri Aug 04, 2017 7:11 am

AntsOnTheMarch wrote:I'm glad to see that there are some "normal" people here. I must say, when net worth and salaries are thrown about, this forum can become intimidating and depressing.
That's the danger with these kinds of threads. I promise you that there are many BHs who are normal people, but they don't often post on threads where someone with $30M wonders whether they'll ever be able to retire (btw, where's my Netjet?). Don't let it intimidate or depress you.

My son happened to meet some wealthy people in college and during his internships, people for whom $30M is rounding error. Some of them are fine people, but for the most part, he would not trade places with them. It's an old saying for a reason: there are some things that money can't buy.

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Re: A poll: How much money do you want to retire?

Post by jabberwockOG » Fri Aug 04, 2017 7:33 am

TomatoTomahto wrote:
AntsOnTheMarch wrote:I'm glad to see that there are some "normal" people here. I must say, when net worth and salaries are thrown about, this forum can become intimidating and depressing.
That's the danger with these kinds of threads. I promise you that there are many BHs who are normal people, but they don't often post on threads where someone with $30M wonders whether they'll ever be able to retire (btw, where's my Netjet?). Don't let it intimidate or depress you.

My son happened to meet some wealthy people in college and during his internships, people for whom $30M is rounding error. Some of them are fine people, but for the most part, he would not trade places with them. It's an old saying for a reason: there are some things that money can't buy.

Take what you read on a forum full of internet millionaires with a grain of salt. I personally have $30 million in bank CDs and often use the Queen Mary as a fishing boat on weekends.

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Re: A poll: How much money do you want to retire?

Post by AntsOnTheMarch » Fri Aug 04, 2017 7:34 am

TomatoTomahto wrote:
AntsOnTheMarch wrote:I'm glad to see that there are some "normal" people here. I must say, when net worth and salaries are thrown about, this forum can become intimidating and depressing.
That's the danger with these kinds of threads. I promise you that there are many BHs who are normal people, but they don't often post on threads where someone with $30M wonders whether they'll ever be able to retire (btw, where's my Netjet?). Don't let it intimidate or depress you.
Words that well-stated and appreciated. I have had the great good fortune to work closely with many people. One had a net worth in the billions and another—a blue blood—had generational wealth dating back centuries (a fortune that was still supporting her kids and grandkids). Meanwhile, I am an immigrant from peasant farmer stock so I have seen the full spectrum. I have learned that people come in all flavors regardless of wealth and I have made efforts not to get hung up on it.

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Re: A poll: How much money do you need to retire?

Post by grettman » Fri Aug 04, 2017 7:35 am

latesaver wrote:I am shocked by the amounts that people are listing. I assume either a) they want to live fairly lavishly or b) they are listing the amount they "want".

I am 37, wife is 34. We are late to the game but good jobs have allowed us to amass $1.7M in savings, $2.2m w/ home equity included.

Spending $90K/year should allow us to live pretty comfortably and at 3% SWR indicates we need around $3M to retire.

I think we'll hit that in the next 7-10 years.

I don't understand. What number do you consider to be lavish? You mention you need $3M to retire. A quick scroll through this thread I am seeing mostly numbers around $1-3M (some that are more). Are you in the lavish group? Not trying to pick but I am curious what you mean.

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David Jay
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Re: A poll: How much money do you need to retire?

Post by David Jay » Fri Aug 04, 2017 7:40 am

AntsOnTheMarch wrote:
David Jay wrote:I need $700,000 in retirement assets and a paid off home to retire at 62.

I am 60, with $700,000 in retirement assets and a $40,000 mortgage. I have about 18 months to get the mortgage paid off and achieve my goal.
I'm glad to see that there are some "normal" people here. I must say, when net worth and salaries are thrown about, this forum can become intimidating and depressing. Knowing the stats for what Americans have saved for retirement, I doubt many would feel comfortable discussing their personal finances here—which is a shame because they could use the advice and people here are understanding and helpful.
Low COL area makes a huge difference.

I have a 2500 sq. ft. Cape Cod with full length country porch on an acre-and-a-half, in town, with a 28x40 pole barn for the RV. Zillow says it's about a $300,000 home.
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Re: A poll: How much money do you want to retire?

Post by goblue100 » Fri Aug 04, 2017 7:50 am

TomatoTomahto wrote:
AntsOnTheMarch wrote:I'm glad to see that there are some "normal" people here. I must say, when net worth and salaries are thrown about, this forum can become intimidating and depressing.
That's the danger with these kinds of threads. I promise you that there are many BHs who are normal people,
I'm not sure I'm normal, but I'm also on the low end of people that self report on this forum, but if I look at the net worth by age calculator:
https://dqydj.com/net-worth-by-age-calc ... ed-states/

I'm in the upper 85% by age. I'm 56, currently bumping my head on the 7 digit figure of invest-able assets with a 70,000 mortgage. I'm in a company whose technology has suffered due to the advent of the internet, and I wouldn't be surprised to be laid off sometime after the next two years. When that happens, I won't seek work. If I get to 60 still employed, I'm likely to pull the plug. I'd "want" 1.5 mill, but I pretty much have what I need now. When I look at my current expenses, it seems to me we spend about $55,000 yearly and live a very comfortable life style. Like many, health insurance is my biggest worry in the bridge years, and even after medicare kicks in.
Last edited by goblue100 on Fri Aug 04, 2017 7:52 am, edited 1 time in total.
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Iliketoridemybike
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Re: A poll: How much money do you want to retire?

Post by Iliketoridemybike » Fri Aug 04, 2017 7:50 am

A lot of elitist remarks in this thread on both the "rich" and the "frugal" side of the equation.

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Re: A poll: How much money do you want to retire?

Post by Toons » Fri Aug 04, 2017 7:57 am

Having been retired now for six years ,
my spouse and I have found that what we thought we "Needed" to be comfortable in retirement is FAR from
what we spend,to be more than comfortable,and pretty much do what we want with our time.
Fortunately,SS,Pensions,and some dividends have been satisfactory.
Being completely debt free makes all the difference in the world. :happy
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Re: A poll: How much money do you want to retire?

Post by Standup » Fri Aug 04, 2017 8:01 am

We are both 45 and currently at $2.9M. Ten years ago or so and with a NW of under $1M, I had calculated our number at $3.5M, but now as we approach that I'm wary. Our expenses are about $75K/year, and I'm generally very conservative when unknown variables such as future health care costs (the biggest variable in our future I believe) come into play. I'm so conservative that I feel the number is up near $5M to be safer. However, I am also aware that if/when we approach that new number, my concerns may be 'refreshed' and bump the number even higher, so I am sure I will have to make the leap of faith at some point.

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Re: A poll: How much money do you want to retire?

Post by Fripp » Fri Aug 04, 2017 8:03 am

62 Currently have $1.6M invested.

I would like to retire at 64 with $1.8M. If I only have $1.6M at 64, I can still retire comfortably. Pension and SS will treat me well.

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Re: A poll: How much money do you want to retire?

Post by Ron » Fri Aug 04, 2017 8:22 am

I feel poor, reading this thread :| ...

- Ron

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Re: A poll: How much money do you want to retire?

Post by mptfan » Fri Aug 04, 2017 8:26 am

Toons wrote:Having been retired now for six years ,
my spouse and I have found that what we thought we "Needed" to be comfortable in retirement is FAR from
what we spend,to be more than comfortable,and pretty much do what we want with our time.
Can you clarify this? Do you mean that you spend far less than you expected, or you spend far more?

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Re: A poll: How much money do you want to retire?

Post by david99 » Fri Aug 04, 2017 8:35 am

Ron wrote:I feel poor, reading this thread :| ...

- Ron

A lot of people are going to retire with less than a million dollars in this country and they are going to be fine. My parents didn't have anywhere close to a million dollars and they were fine in retirement --- they enjoyed themselves with family and friends and took vacations.

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Re: A poll: How much money do you want to retire?

Post by wrongfunds » Fri Aug 04, 2017 9:06 am

Take what you read on a forum full of internet millionaires with a grain of salt. I personally have $30 million in bank CDs and often use the Queen Mary as a fishing boat on weekends.

You better come up with a full persona to go with your recent disclosure otherwise the board rules and regulations will come hard on you. By being a member here, we are obligated to take all of the members at their face value.

So my suggestion for your $30 million in the bank CD is to diversify and have proper asset allocation unless you come back and tell us that you have another $300M in stocks and bonds and the $30M is your 10% cash for dry powder. I hope I have helped you.

I do wonder about people who are UHNW and are so extremely busy that they have to have Netjets but still find time to come on this forum and provide input to BH community. We are very grateful for their services to this community. On the behalf of all BHs, we thank you from bottom of our heart. We don't know what we will do without your presence here

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Re: A poll: How much money do you need to retire?

Post by AntsOnTheMarch » Fri Aug 04, 2017 9:30 am

David Jay wrote:
AntsOnTheMarch wrote:
David Jay wrote:I need $700,000 in retirement assets and a paid off home to retire at 62.

I am 60, with $700,000 in retirement assets and a $40,000 mortgage. I have about 18 months to get the mortgage paid off and achieve my goal.
I'm glad to see that there are some "normal" people here. I must say, when net worth and salaries are thrown about, this forum can become intimidating and depressing. Knowing the stats for what Americans have saved for retirement, I doubt many would feel comfortable discussing their personal finances here—which is a shame because they could use the advice and people here are understanding and helpful.
Low COL area makes a huge difference.

I have a 2500 sq. ft. Cape Cod with full length country porch on an acre-and-a-half, in town, with a 28x40 pole barn for the RV. Zillow says it's about a $300,000 home.
@David Jay: Agree. We have lived in relatively low COL area for the last 20+ years. Our work allows us to do this. Sold our home 3 years ago (no mortgage) for 380k and bought condo with low HOA for 180k. Fatter investment portfolio and no more yard work or snow clearing! :D

Edit (not directed at you but more if a general comment): As to self-reporting, I take people at face value. It would not surprise me at all if someone worth 30M was checking in. Some of the nuanced advice here (especially about tax planning) is worth it's weight in gold and would benefit high net worth people much more than us "normal" folks. And I've learned that paying experts is great but there's nothing quite like knowing the fundamentals for yourself.

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Re: A poll: How much money do you want to retire?

Post by LiterallyIronic » Fri Aug 04, 2017 9:47 am

Age 33. Goal is to retire at 50 with $600,000 and a paid off mortgage.

Not sure I'm going to make it. I only have $40,000 toward retirement (7% of the goal), and don't have a house yet (but have a 30% down payment ready).

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Re: A poll: How much money do you need to retire?

Post by bantam222 » Fri Aug 04, 2017 9:51 am

thangngo wrote:
benign_user wrote:How much money do you need to retire? Please also state your age.
I'm 30.

I need $1M (in 2017 dollars) to retire.

I want $5M when I'm 60. This is the projection with my current saving rate and 4% real growth (7% nominal)

I'm happy to have anywhere in between.
This seems about right to me. Not sure if I would wait til 60 to hit the kill switch if I was trending towards 5Mill. 3-4mill around 50-55 would be tempting to call it good.

I live in and hope to stay in HCOL area. Currently under 30.

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