If you have 2.4M at 40, might as well wait 10 years to retire.

Jun 22, 2021
12:30:36pm

chago04 Amash 2020

Get the kids out of the house, reduce expenses and suddenly that 96k a year is 136k per year without any additional saving at the same 4% rate.

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chago04

Bio page: chago04
Joined: Sep 16, 2009
Last login: Mar 10, 2024
Total posts: 118,222 (47,202 FO)

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Messages

Author

Time

96k a year would work right now, but how many of you are factoring in inflation?

JohnnyComeLately Philosopher King

6/22/21 12:22pm

Retiring at 40 is a bad idea for a lot of reasons

Sea Chicken

6/22/21 12:26pm

Not a bad idea, need to save a lot less that way.

SJS

6/22/21 12:28pm

Exactly. I would go bored out of my mind.

Mr. Rumsfield

6/22/21 12:30pm

If you have 2.4M at 40, might as well wait 10 years to retire.

chago04

6/22/21 12:30pm

I love hyperbole

Big Daddy D

6/22/21 12:30pm

True. The lesson for all retirees (regardless of age) is that you need to stay

garyfan

6/22/21 12:32pm

Hey now, hiking is meaningful. 🙂 but golf is trash

Lip Gallagher

6/22/21 12:51pm

Nope. I’d be just fine. As the saying goes, “only boring people get bored”

Nikomedes

6/22/21 12:31pm

Retiring doesn't necessarily mean not working or staying active.

ReyOso

6/22/21 12:32pm

If I'm lucky enough to retire at 70, I plan to retire to bed.

Belboz

6/22/21 12:36pm

I retired before 40. Now 73. No bullet in head, yet.. Been great. 6 kids/1 wife.

grandpacoug

6/22/21 12:32pm

Boring people that need work to give them purpose.

Baron

6/22/21 12:50pm

I can’t sit around and do nothing. But if I had funding I could entertain myself

Powerbait DPM

6/22/21 2:32pm

It's working for me

ColoSpgs

6/22/21 12:34pm

So year 1? Did you miss the point of my post?

JohnnyComeLately

6/22/21 12:36pm

Yes, and No

ColoSpgs

6/22/21 2:15pm

You have to have passive income that is inflation adjusted, or a way to increase

Nat Gas Man

6/22/21 12:55pm

Yep I agree. There are ways to do that, Real Estate for one.

JohnnyComeLately

6/22/21 1:04pm

Real Estate is what I was thinking as well.

Eddie

6/22/21 1:12pm

The above is the easy answer...

grandpacoug

6/22/21 1:38pm

crazy to me people are still paying to store their stuff - read junk.

Mayor of Cougartown

6/22/21 1:54pm

I’ve been to two brand new storage facilities that are indoor and have AC. Both

Nat Gas Man

6/22/21 1:58pm

I sold mine. Cash cow with zero depreciation write off. Value in land.

grandpacoug

6/22/21 3:58pm

4% Rule (of thumb) takes into account inflation.

TheLoneCougar

6/22/21 1:07pm

It does from non-fixed income sources

Nat Gas Man

6/22/21 1:14pm

The 4% rule accounts for inflation. The rule assumes you can get a return of

Pickett

6/22/21 1:14pm

I haven’t taken the time to run the scenarios with 6-10% inflation but I suspect

Nat Gas Man

6/22/21 1:27pm

Which is also not historically accurate. All you can is forecast based on historicals at this point. But

TheLoneCougar

6/22/21 1:38pm

Having lived through the 70s I assume anything can and will happen

Nat Gas Man

6/22/21 1:43pm

The study that the 4% rule is based on included the 70s. Everyone has different

Pickett

6/22/21 2:05pm

I’ve actress that study. My only issue is what happens if there is a major stock

Nat Gas Man

6/22/21 2:40pm

You be flexible in the down years and cut back expenses, and in the years

Pickett

6/22/21 3:04pm

I don't know the exact figures ...

stirmac

6/23/21 6:28am

The first 5 years is absolutely crucial. Thus some will use the bucket strategy.

TheLoneCougar

6/23/21 8:09am

I wouldn’t mind working behind Cabela’s gun counter in retirement.

DwigtA2RM

6/22/21 5:04pm

I have a buddy who worked early hours in his primary job and...

Eddie

6/23/21 8:16am

That would be a great retirement job

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