With how much of monthly passive income would you be comfortable retiring? Family of 5. HCOL.

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10k after taxes

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I would measure my family's actual costs, make sure I was accounting for taxes, health insurance, travel, etc, and then try to account for any changes.

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Agreed. There’s not one answer for this, it depends greatly on their current and expected expenses

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I would be happy with 5k to 6k a month

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In a HCL city? Let's talk unavoidable expenses: basic health insurance for 5, €2k. Let's say you own your place, let's say it's a cheap place in a HCL city, you pay 800k/ month just in property taxes ($800k*1.2%/12). Let's add $500k for water, phone, internet, electricity bills. $1500 for food, if you never eat out. Then transportation, either old cars + gas, or a $35 weekly subway card per head: about $700/month. Your $5500 are gone, you don't buy clothes, don't go on holidays, don't go out for food or drinks, and please stay healthy because you don't have money for your deductible or copays.

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Net $20k monthly

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That is what I said at face value… to be comfortable…

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Target for passive income to be around 2.5-3x annual spend so that there’s some buffer.

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To support the whole family? $40. VHCOL. But not planning on supporting everyone in retirement.

My bad. I answered quick on my phone. That’s too high. I answered on my phone and had some one time spend etc in there. Plus from my cash flow I have 401-k contributions and college savings in there. If I take those items out, it is less, but will still look like a lot. Housing $13k/month - including what may be a conservative reserve for irregular repairs, $2k insurance, medical expenses, other benefits, $2k non-medical, non-RE insurance, $2k charitable contributions, $2k travel, $7k current educational expenses/ activities, let’s say another $7 everything else. In actual retirement some of those will go away - probably mortgage, current educational expenses / activities. But question was premised on supporting a family.

$30k on hand per month

I think the median household income of your area is the best way to express this. 2-3x is comfortable so manhattan is $25k/month.

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