How much is enough in life?

[neo_mao]

I bet this guy is a great son-in-law. Macho Moe moment.

For sure. My mother and father in-law love me a lot. My wife has 7 sisters and her parents have said on numerous occasions that I am their favorite son-in-law.

Maybe part of the reason is I can’t really communicate that well with them so we don’t talk a lot - but I kiss their hands a lot and bring them tea and nuts and berries and they kiss and pat my bald forehead in return - it’s simple and sweet.

I wish more people kissed and patted my head.

 

[norton9478]

Ok, that’s a very modest return. If you just park your cash in Ford, AT&T, and Altria, you’re getting between 7-8% a year in dividends. My idea is $2m in fixed and the rest in growth, and whatever I don’t need from fixed each year gets put in growth. It’s modest, but you know, no kids makes life a lot easier in terms of hitting the number. Guys with 2 or 3, and that number multiplies.

Plus there’s the idea of the snowplow parent. If you provide too much, will your kids adapt to the world around them?

Yes, 4% is a very conservative return. The idea is to pull $80,000 for living expenses. You should obviously expect the 2 million to grow over a long period of time even while pulling 4%.

But say you've got two million, retire and shit hits the fan in the first few years. If you are spending $160,000 while your portfolio is getting hit, you will be back to work before you know it.

 

[SouthtownKid]

What amount of money do you need to hit in order to say “I’m good. No need to work anymore.”

The question seems predicated on the idea I'm only working for the money.

 

[madman]

Yes, 4% is a very conservative return. The idea is to pull $80,000 for living expenses. You should obviously expect the 2 million to grow over a long period of time even while pulling 4%.

But say you've got two million, retire and shit hits the fan in the first few years. If you are spending $160,000 while your portfolio is getting hit, you will be back to work before you know it.

Are you the guy who takes his kids w/him while he digs through strangers' basements? If so, I'd like to hear more investing advice from you.

 

[SpamYouToDeath]

Are you the guy who takes his kids w/him while he digs through strangers' basements? If so, I'd like to hear more investing advice from you.

He takes his employees with him while he acquires assets through strangers' auxiliary portfolios.

 

[theMot]

I’ve got enough now but I like waking up with a purpose in life. Also, I have a young family, I like setting an example for my kids that I’m doing something productive with myself every day.

 

[max 330 mega]

He takes his employees with him while he acquires assets through strangers' auxiliary portfolios.

 

[NeoSneth]

Ok, that’s a very modest return. If you just park your cash in Ford, AT&T, and Altria, you’re getting between 7-8% a year in dividends. My idea is $2m in fixed and the rest in growth, and whatever I don’t need from fixed each year gets put in growth. It’s modest, but you know, no kids makes life a lot easier in terms of hitting the number. Guys with 2 or 3, and that number multiplies.

Plus there’s the idea of the snowplow parent. If you provide too much, will your kids adapt to the world around them?

It's intentionally conservative. Most FIRE people invest in total market funds which yield 6-9% on average in a normal economy. Keep in mind it took 10+ years to fully recover from 2008. Stonks don't always go up, and it's surprising how many people have forgotten that.
You could randomly pick stocks the last 3 years and look like a pro....

 

[evil wasabi]

It's intentionally conservative. Most FIRE people invest in total market funds which yield 6-9% on average in a normal economy. Keep in mind it took 10+ years to fully recover from 2008. Stonks don't always go up, and it's surprising how many people have forgotten that.
You could randomly pick stocks the last 3 years and look like a pro....

Tell me about it. Past few years are have been abnormal. But if you consider economic downturn, you can probably factor it and set a different exit point for when you don’t need to work anymore and can just ply your trades or crafts as you see fit. It could be into semi retirement. But mostly I feel that as time drags us into senior status, we will face more discrimination in the work place. Social security won’t be a safety net for us. Medicare isn’t a safety net for old people. Have to be prepared not just for the economic downturn, but the eventual moment a kid 30 years younger than you calls you into his office to shit down your throat and hand you your walking papers.

 

[HDRchampion]

4.5million is the goal. Retire, buy the dreamhouse, and then travel.

 

[Syn]

My father had quite a bit saved and when he retired his financial adviser told him to spend it since he can't take it with him. My dad spent over half of it when the stock market took a shit a while back. He spent the rest of his life worrying about his finances.

 

[racecar]

My father had quite a bit saved and when he retired his financial adviser told him to spend it since he can't take it with him. My dad spent over half of it when the stock market took a shit a while back. He spent the rest of his life worrying about his finances.

not all finacial advisor are good , actually alot of them are just pushing financial products . any sudden change is bad for finiancial plans tend to stick with it til the end, alot of people flinched and sold on march/2020 because of the mini crash, if they hold they would have recover most if not more of their portfolio .

if a person say has their retirement in a group of dividend paying stocks , they should not have to adjust or sell even when the market take tumble , unless you have purposed for the money you are cashing out and not the oh i will buy back in laters at a lower price . because try timing the market its tring to catch a falling knife.

 

[evil wasabi]

4.5million is the goal. Retire, buy the dreamhouse, and then travel.

How will you allocate your assets?

 

[100proof]

Shooting for $2 mil as well to live off interest/dividends. Double income, no kids and we live pretty frugally so we should get there barring the economy taking a giant shit around retirement age.

 

[norton9478]

Are you the guy who takes his kids w/him while he digs through strangers' basements? If so, I'd like to hear more investing advice from you.

I'm not giving investing advice.

 

[norton9478]

Are you the guy who takes his kids w/him while he digs through strangers' basements? If so, I'd like to hear more investing advice from you.

And for the record, the only FIRE retiree I know (retired in his mid 30's), digs through strangers basements.

 

[HDRchampion]

How will you allocate your assets?

Not sure, depends how my current life will be at the time...How old, how healthy, my kids situations....I'll probably do 50/50 if we choose to retire in the US. I was luckily enough to already pay for both homes, so i will have those as passive income/Also passive income from my homeland. I will probably try to buy another home before retirement, so each kid will have a house to inherit and the dreamhouse they can all use as vacation house to share. I will still keep my current emergency fund which is 1 year worth, which will probably be 3 years worth of bills as im sure it will go down drastically when we retire w/ no kids in the house. One of us will eventually claim social security when we hit 62 and the other 70 to get the maximum benefit/bonus. Sadly no pension. If all else fails, we can always move back to the homeland. We can probably live like king n queen w/ just our social security & passive income.

 

[NeoSneth]

And for the record, the only FIRE retiree I know (retired in his mid 30's), digs through strangers basements.

I do think living frugally is a big part of FIRE. Some of these people save 75% of their income for a decade. I think they are just accustomed to that way of life.
I don't think I would have done FIRE in my 30's even if I had 2 mil packed away, but who knows...

 

[madman]

I do think living frugally is a big part of FIRE. Some of these people save 75% of their income for a decade. I think they are just accustomed to that way of life.
I don't think I would have done FIRE in my 30's even if I had 2 mil packed away, but who knows...

I don't see how 2 mil is enough for one to retire in their 30s. If we assume that person lives for 40 more years, that's 50k/yr at the current value of a dollar, not a bad income by any means but what if you want a new car? A new house? Travel? 50k/year in 2021 money isn't exactly living the good life IMO. And anyone saying under 1 mil to retire seems insane, but again everyone has different lifestyles. Living cheaply just to retire early to continue to live like a poor makes no sense to me.

I really can't imagine truly giving up some sort of work until I'm old AF. I have a buddy in his early 50's, he has more than enough to retire but in his own words, "I'd just sit around drinking all day and smoking weed."

 

[evil wasabi]

I don't see how 2 mil is enough for one to retire in their 30s. If we assume that person lives for 40 more years, that's 50k/yr at the current value of a dollar, not a bad income by any means but what if you want a new car? A new house? Travel? 50k/year in 2021 money isn't exactly living the good life IMO. And anyone saying under 1 mil to retire seems insane, but again everyone has different lifestyles. Living cheaply just to retire early to continue to live like a poor makes no sense to me.

I really can't imagine truly giving up some sort of work until I'm old AF. I have a buddy in his early 50's, he has more than enough to retire but in his own words, "I'd just sit around drinking all day and smoking weed."

Do you need a new car every 3 years? Do you need to spend $50k traveling? Then adjust your exit number. If someone has $2m, right now they’re getting $150k in dividends per year. But let’s say you just put it in a shit dividend ETF with lower risk (because other stocks like F and T can totally shit themselves and have no vision, as far as I am concerned) and you take about 3.5 to 4% instead. Ok, you’re at $75k per year.

Let’s say you don’t even need $75k/y, and you can reinvest the remainder in a growth account. I think that for most of us, that’s enough. And if you aren’t spending on stuff left and right, you’re not going to be pulled back as much by taxes. You can decrease your overhead by not having a car, or by doing the math on whether it makes sense to rent the place you want to live in, or to buy it. Maybe the value won’t appreciate in line with the maintenance, taxes, and interest. Maybe get a used Toyota Camry or Honda Civic like other very successful retirees do.

 

[norton9478]

The point of FIRE isn't to live a life of luxury, it is to not have to work.... Which is probably the greatest luxury of all.

 

[madman]

Do you need a new car every 3 years? Do you need to spend $50k traveling? Then adjust your exit number. If someone has $2m, right now they’re getting $150k in dividends per year. But let’s say you just put it in a shit dividend ETF with lower risk (because other stocks like F and T can totally shit themselves and have no vision, as far as I am concerned) and you take about 3.5 to 4% instead. Ok, you’re at $75k per year.

Let’s say you don’t even need $75k/y, and you can reinvest the remainder in a growth account. I think that for most of us, that’s enough. And if you aren’t spending on stuff left and right, you’re not going to be pulled back as much by taxes. You can decrease your overhead by not having a car, or by doing the math on whether it makes sense to rent the place you want to live in, or to buy it. Maybe the value won’t appreciate in line with the maintenance, taxes, and interest. Maybe get a used Toyota Camry or Honda Civic like other very successful retirees do.

I honestly don't know where you get some of your numbers. Who has ALL of their investments in stocks that pay a 7-8% div? If someone is all in on AT&T, I guess good luck to them--they've got bigger nuts than I do. If someone has a net worth of $2M I'd hope they also have around 10% in cash. Poors on here still attempt to troll me for owning nice things so I won't go anywhere close to getting into numbers, but perhaps it's a mental thing for me and I can't imagine living off 50k/year. I'm not trying to argue with you and like I said, to each their own, I do have a goal of early retirement but not at the sacrifice of known, stable income with health insurance while I'm doing work I enjoy.

The point of FIRE isn't to live a life of luxury, it is to not have to work.... Which is probably the greatest luxury of all.

Living in squalor while not working is basically admitting to be white trash. I truly don't get the point of early retirement just to live like a deadbeat. How is that a luxury?

 

[evil wasabi]

I honestly don't know where you get some of your numbers. Who has ALL of their investments in stocks that pay a 7-8% div? If someone is all in on AT&T, I guess good luck to them--they've got bigger nuts than I do. If someone has a net worth of $2M I'd hope they also have around 10% in cash. Poors on here still attempt to troll me for owning nice things so I won't go anywhere close to getting into numbers, but perhaps it's a mental thing for me and I can't imagine living off 50k/year. I'm not trying to argue with you and like I said, to each their own, I do have a goal of early retirement but not at the sacrifice of known, stable income with health insurance while I'm doing work I enjoy.

No one thinks you have nice things. Pretty sure the consensus is that you’re a jackass and a fag.

 

[madman]

No one thinks you have nice things. Pretty sure the consensus is that you’re a jackass and a fag.

 

[theMot]

Charles, be patient. Soon teh bitcorn will 10x and then you can retire.