Quote:
Originally Posted by MoneyGuy
They don't need to be the same. Don't forget about government income sources such as CPP and OAS - also any employer incomes (although maybe you're including that in #2). Also, many people (like me) do some part-time or consulting work. It's much more complicated that your simple rules of thumb.
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Passive income can range from return on investments, pensions, oas, basically things you dont need to wake up to an alarm for and sit in an office to get(I think saying investments probably wasnt a broad enough descriptor for what I meant)
I view being retired as not being beholden to working to sustain your lifestyle. Some people enjoy what they do and choose to work in retirement, but I would still consider them retired if they fulfill the "passive income = yearly spending" benchmark. Do you work part time because your passive income doesnt cover your expenses or because you still enjoy the work or need something to do? I would personally consider you retired in one case and not the other, but my definition of retired doesnt really matter because I'm just some guy on the internet