Quote:
Originally Posted by yads
CPP is considered to be sound until at least 2075. For OAS, who knows.
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ya and those programs might well be there. I was too lazy to go back and dig it out, but the poster also said that he would have about $480k when he goes to retire. That amount in decades is far less than what it is today though. So while some people just see that figure and assume its a lot of cash today, so it should be fine, they're woefully mistaken.
Of course its depends on how far you are from retirement, but say its 25 years. If inflation is about 3% on average between now and then, that $480k has the spending power of $240k today. That nets you about $10k a year, before taxes, and then sure factor in your CPP and OAS. Its really not a lot of money. Can it be done? Absolutely. But you would sure hate to run out of money at say 82 years of age and live to age 95.
Of course the other concern that most of us on the board are far from caring about is the whole RRIF minimum issue. Basically your RRSP is going to run dry if you live long enough, by design.