What's Your Number? (For Retirement)

[Ozy_Flame]

I go on a sliding scale of country cost-of-living. I'm gunning for Canada, but realistically I'd be happy at a Chile/Thailand/Czech Republic. Currently I suspect I'm probably somewhere around Turkey/Sri Lanka/Colombia. I have no idea lol

https://www.numbeo.com/cost-of-livin...by_country.jsp

[The Yen Man]

Originally Posted by I_H8_Crawford

Just curious with all of the talk of (the lack of) fiscal responsibility in the politics thread - if you were to retire tomorrow, what would you want to have set aside to do so?

Me - I want $2.5 M in liquid assets + a paid off house. Then even at a modest 5% return, that is giving me $125K/year with my biggest expense taken care of.

Bonus question - what do you consider rich/wealthy? Me - I would say anyone with a net worth (excluding primary residence) of $5 Million+ is rich.

Is that $125K per person, or for a couple? Even for a couple, without needing to pay a mortgage, that's a lot of disposable income for each person.

For me, to be honest, I'm pretty sure I can get by with $30K annually (after tax) if I retired today at 65. If I add on CPP and OAS, I'm looking at minimum $3.5K per month for one person. If I conservatively budget $2K a month for necessities (property tax, utilities, insurance, food, gas, etc), that's still $1.5K a month for doing "fun" things. My hobbies aren't that expensive, so $1.5K would be more than enough.

Again, this is if I were to retire today on what money is worth now. Obviously we'd have to adjust for inflation 25 years down the road when I actually hit retirement age.

[Weitz]

Originally Posted by Jason14h

"Likely not as good spot in 20-30 years"

Why do you say that? Has the world ever gotten worst over any 30 years period? And does it really change that much from a retirement standpoint?

20 years ago was 2001. Are things dramatically different? How about from 1991.

You need a home, food, medical and entertainment $. If anything those (other then housing) should relatively come down in price as technology advances

Can I travel still for an affordable price? My parents travel 3-5 times a year as they are retired. Could I still do that? That changes how much I would need for retirement.

What’s your costs going to be in the future for all those things listed? I suspect things will be much more expensive.

Those are just my thoughts, which hasn’t had me nail down a target for retirement yet.

[Flamesguy_SJ]

No need to worry about retirement, I'll probably be working until I'm dead.

[Harry Lime]

I think that my only option is to start taking a bunch of HGH and steroids at 65, get some back alley cybernetic implants (I'm sure those will be around), and then be some kind of maniac highwayman at 70.

Go down in a hail of laser fire at 75.

[troutman]

We will see a big wealth transfer now from seniors to their adult children in the coming years.

[Slava]

Originally Posted by troutman

We will see a big wealth transfer now from seniors to their adult children in the coming years.

Who will use that to pay off debt.

To me this is one of the great misconceptions about this transfer. It's not that there are a ton of people who are receiving that money and just putting it into savings. There are some...and it's largely the same people who are savers in the first place.

[gasman]

Originally Posted by The Yen Man

Is that $125K per person, or for a couple? Even for a couple, without needing to pay a mortgage, that's a lot of disposable income for each person.

For me, to be honest, I'm pretty sure I can get by with $30K annually (after tax) if I retired today at 65. If I add on CPP and OAS, I'm looking at minimum $3.5K per month for one person. If I conservatively budget $2K a month for necessities (property tax, utilities, insurance, food, gas, etc), that's still $1.5K a month for doing "fun" things. My hobbies aren't that expensive, so $1.5K would be more than enough.

Again, this is if I were to retire today on what money is worth now. Obviously we'd have to adjust for inflation 25 years down the road when I actually hit retirement age.

Yes but if you are sitting at a combined working income of $250K+/year for a couple, the $125k/year in retirement is not an unreasonable expectation unless you want to really reduce your lifestyle in retirement. Mortgage in my case only accounts for 15% of our take home pay, having a house paid off doesn't significantly change my cash flow. The bigger impact may be not having to save as much (TFSA, RSP, RESP etc)

I plan to be more active, spend on more "leisure things" (Boats, vacations, experiences) in my retirement than I do now.

[you&me]

Originally Posted by I_H8_Crawford

Just curious with all of the talk of (the lack of) fiscal responsibility in the politics thread - if you were to retire tomorrow, what would you want to have set aside to do so?

Me - I want $2.5 M in liquid assets + a paid off house. Then even at a modest 5% return, that is giving me $125K/year with my biggest expense taken care of.

Bonus question - what do you consider rich/wealthy? Me - I would say anyone with a net worth (excluding primary residence) of $5 Million+ is rich.

I applaud you for being honest and posting your goals on here, seemingly among the short poppies

I'm far from retirement (I'm one of the lucky ones that enjoys my work too much to even consider retiring), but I think a lot of people underestimate just how boring retirement can be, especially for someone after a long and fulfilling career... The choice then becomes you either shoot for the moon so you can afford to not be bored, or concede that you're going to be bored out of your mind for 20+ years - what's the point of that?

So, if you're a successful, professional couple used to a certain lifestyle, it's not unreasonable to shoot for $10k / month to maintain that sort of lifestyle that would stave off boredom... You're going to want to travel (a lot), golf, ski, etc and that probably means you're not going to want to stay at Best Westerns and eat Timmies on a road trip...

[troutman]

Problem I often see - you can save and plan and do all the right things, but if you are not healthy in your golden years, you may not be able to enjoy that wealth. Have some of your big adventures now, within reason.

[iggy_oi]

Originally Posted by I_H8_Crawford

I'd say if someone has $5mil+ net worth at any point in their lives they are rich.

Yes this is true today, however $5M at retirement is likely going to look a lot different for someone retiring in 30-40 years time.

[MacDaddy77]

Originally Posted by calumniate

My plan is to live in a shed on PEI. Currently looking pretty feasible! Have a nice plot.. just need a saw and potentially Fuzz and the other garage enthusiasts.

We can have a garage/house building party, I also have a nice plot on eastern end

[MacDaddy77]

Originally Posted by troutman

Problem I often see - you can save and plan and do all the right things, but if you are not healthy in your golden years, you may not be able to enjoy that wealth. Have some of your big adventures now, within reason.

This is what we've been doing, our main focus is to enjoy what we have while still saving a modest amount. we only carry mortgage + car payment (one vehicle paid off). have been maximizing RESP's for children so education shouldn't be a concern for either of them. I would hate to get an illness or unexpected death for either my wife or myself and look back and regret the things we could have done but didn't.

[bc-chris]

Originally Posted by you&me

I applaud you for being honest and posting your goals on here, seemingly among the short poppies

I'm far from retirement (I'm one of the lucky ones that enjoys my work too much to even consider retiring), but I think a lot of people underestimate just how boring retirement can be, especially for someone after a long and fulfilling career... The choice then becomes you either shoot for the moon so you can afford to not be bored, or concede that you're going to be bored out of your mind for 20+ years - what's the point of that?

So, if you're a successful, professional couple used to a certain lifestyle, it's not unreasonable to shoot for $10k / month to maintain that sort of lifestyle that would stave off boredom... You're going to want to travel (a lot), golf, ski, etc and that probably means you're not going to want to stay at Best Westerns and eat Timmies on a road trip...

that was my dad after he retired - he didn't know what to do with himself and was driving my mom nuts! ha!

he enjoyed woodworking so he really immersed himself in that and would spend hours and hours in his shed "making sawdust". some of my best and fondest memories with him are when the two of us worked on projects together. i'm still amazed at some of the stuff we were able to accomplish.

[undercoverbrother]

Originally Posted by Ozy_Flame

I go on a sliding scale of country cost-of-living. I'm gunning for Canada, but realistically I'd be happy at a Chile/Thailand/Czech Republic. Currently I suspect I'm probably somewhere around Turkey/Sri Lanka/Colombia. I have no idea lol

https://www.numbeo.com/cost-of-livin...by_country.jsp

One of the things I have on my todo list is to see if my English Citizenship is useful to retire anywhere nice.

I think it might be useful.

[Erick Estrada]

Originally Posted by troutman

Problem I often see - you can save and plan and do all the right things, but if you are not healthy in your golden years, you may not be able to enjoy that wealth. Have some of your big adventures now, within reason.

It's different for everyone. I'm not as far along in retirement as I should be but I'm a fan of living for today. I don't want to deprive myself today of things to save for retirement years I may not even be alive or healthy enough to enjoy.

[Northendzone]

my onlyfans account will provide me with the income stream i need in my golden years

[MoneyGuy]

I’m there. Sold my business and am consulting.

I’m living the dream, working because and as much as I want to.

[Scroopy Noopers]

My goal for a number is 15-20 hours a week at the part time job I’ll inevitably be working at until I die.

[undercoverbrother]

Originally Posted by Northendzone

my onlyfans account will provide me with the income stream i need in my golden years

Golden Showers for Golden Years.