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what interest rate are you getting today?
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Anyone has a promo code to the “Lose it” app?
Can’t wait to sip on this later
what interest rate are you getting today?
Anyone has a promo code to the “Lose it” app?
Can’t wait to sip on this later
Pro
I am early 30s in middle class northeast - my goal is $10m liquid by 60. Current and future savings rates/incomes put that as happening by 55 with 8% average returns, but stuff happens, so 60 seems solid. I want to be completely retired the year my last kid finishes college age, which we are going to have a few more, so that'll be late 55-58, short of an accident kid.
Yes, haven't been able to update my account, it's basically a fake profile for most the detauls
10M has been the "I'm out!" Total for me for a long time. With healthcare, education and real estate inflation out of control, I find myself wondering if that's "enough" (I realize that drips with privilege, but we're talking "never have to think about money again" here.)
Chief
Yes, it does drip with privilege…in case you had any doubt.
25x your expected annual expenses, adjusted for inflation. Probably $5-10M for most folks.
I’m late here but is this kid for real?? 😂 A1 I do truly believe that this is how much you feel you’ll need for you and perhaps for the rest of the top 2-7% of earners but please humble yourself and realize that “most folks” make less than 60k per year and will never see that kind of money.
Pro
$1.5M should be enough for me in NYC with no kids.
Pro
50k is enough for me even without owning, though owning will certainly make it more manageable and plannable into the future. If it’s not enough for you, be your bougie self, but don’t act like it’s impossible.
$1M - $1.5M retiring in Southeast Asia
I'm a European who lived in Malaysia as a teenager from 2002 to 2007. I went back in 2015; there were definitely signs of more orthodoxic Islam, but regardless, Kuala Lumpur is one of the best cities I've lived/been to in the world, and I would definitely consider spending some time there in retirement, or when I have kids of my own!
Place of retirement has alot to do with the amount. $1M in Costa Rica is not the same as $1M in New York City.
25x assumes you are getting 4% cash on your investments (dividends, interest, etc.). I can get better than 4%.
Rising Star
I always said $2M net worth but I’m there now. And $8-10M seems more like it these days
Wow. Greedy much?
Well I’m probably not the best to answer since I’m 32 but my goals are net worth one million by age 38. 2 million by 43. By the time I hit retirement age my goals are net worth to be in the 10s of millions. As for savings that’s another story, I keep a 6 month emergency fund in savings now so I would prob have a year by the time I retire- but money isn’t helping you by sitting in savings, most of my money is invested now I imagine when I retire that will remain the same.
Also passive income outlets are hugely important and in the works for me now so when I retire I will still have passive income streams.
Assuming most of us are mid 30s. When we’re 60, anti-aging science will be (in my opinion) much more advanced. 60 could be middle-age for a whole lot of us. It’s definitely not impossible that living to 120 will be considered normal (barring nuclear holocaust or 100x Covid variant, or course). This should change peoples mindsets.
Conversation Starter
5M
I believe that if you want a worry-free retirement, what you need to think about is not a specific net-worth of savings. Instead, you need to think more in terms of the incoming cash flow you need.
Start from your monthly expenses, let's assume it costs you $3,000 per month to live (mortgage, bills, food, etc...)
Let's assume you need an extra $2000 for monthly lifestyle expenses.
You need a total monthly inflow of $5000 to live your life your way. A total of $60,000 per year. (And this amount could vary from one person to another depending on lifestyle)
Let's assume your income is taxable at 30%.
So you need an annual income of around $86,000 to earn a net of $60K.
Therefore, you need to earn $86K annually to retire.
The question you will need to ask yourself is how much do I need to invest and at what "guaranteed" rate of return, to earn $86,000 annually and retire?
If, for example, you can earn a guaranteed 4% on your investment per year, you will need $2,150,000 saved and invested and then you can think of retirement.
At this point you need to try to figure out how to save this money, and where to invest it to earn the desired income, before you can retire, whatever your age could be.
$3M
Around 3M
25x expenses. Mine is $1.25m but I round up to $1.5m for padding.
Wife and I are aiming for $11M with her retiring at 61 me and 55. Main house in Minnesota and winter place in Arizona or Florida.
I prefer the st croix river.
$4M—$5M. $3.5M now.
In addition to net worth/savings as a measure of retirement readiness, it may be worth it to consider monthly cash flow as a more apt benchmark.
This could influence your decisions in terms of acquiring cash-flowing assets over time, rather than simply accumulating to achieve a net worth amount.
Should look at a personal finance calculator online. Double or triple your current expenses to be safe for inflation over 20-30 years
2.5 to 3M
3.75 million invested