Author Topic: Early Retirement  (Read 16630 times)

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Offline Phil Titola

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Re: Early Retirement
« Reply #50 on: May 16, 2016, 10:55:34 AM »
600k  principal is 24k annually at 4% ,  that would probably be the minimum for chums situation.

that's not much living.

Offline wetwillie

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Re: Early Retirement
« Reply #51 on: May 16, 2016, 10:58:42 AM »
600k  principal is 24k annually at 4% ,  that would probably be the minimum for chums situation.

that's not much living.


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Offline Mrs. Gooch

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Re: Early Retirement
« Reply #52 on: May 16, 2016, 11:01:12 AM »
600k  principal is 24k annually at 4% ,  that would probably be the minimum for chums situation.

that's not much living.

If you already own your home, plus a vacation home, plus a car, plus use the cc thread; it could be ok.

Offline Phil Titola

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Re: Early Retirement
« Reply #53 on: May 16, 2016, 11:03:29 AM »
600k  principal is 24k annually at 4% ,  that would probably be the minimum for chums situation.

that's not much living.

If you already own your home, plus a vacation home, plus a car, plus use the cc thread; it could be ok.

Good point.  Still that's only $2k per month....that seems tough to go do anything fun.

Offline KITNfury

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Re: Early Retirement
« Reply #54 on: May 16, 2016, 11:04:59 AM »
600k  principal is 24k annually at 4% ,  that would probably be the minimum for chums situation.
That's the problem w/ investments like the stock market/401k/etc. You're not guaranteed any type of return, but even if you are, as you pull money out, your returns get smaller. Obviously that's ok if you never have to pull more money out than your returns, but if it's 401k you'll be forced to pull it out. If it's any other type of investment, you're probably going to need to pull money out even when the market is stagnant (or losing).

I'm personally becoming less and less of a fan of the stock market. I don't pretend to be particularly knowledgable about it either. I know people get rich off it, but without putting in significant time by me to learn it better, I doubt I'd ever make a lot.

I'm about to reduce my 401k contributions. I would consider stop contributing altogether, but I'll take the free money my employer matches.

Mr. Money Moustache has a pretty good article about this. The 4% rule is not guaranteed, but the idea is that you should be able to pull out 4% without affecting the overall sum of money across the course of the year. In other words, once you are capable of living off of 4% of your invested funds, you should be able to do it in perpetuity.

401k / IRAs are slightly different because the tax benefits come with corresponding penalties if you try to pull out the money before a certain age. So tougher to retire early solely on those investments. (But definitely worth maxing out.)
I haven't read the article, but I understand the math behind it. I'm just not sure I think it's the best way to go. I mean, 640k is pretty substantial and to only get 2k per month is not numbers I like. But, like I said, I know people can do well with these types of strategies, but it's not what I want to go with. However, it's pretty much completely passive income, so that's nice.
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Offline chum1

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Re: Early Retirement
« Reply #55 on: May 16, 2016, 11:08:39 AM »
I'm thinking someplace like Wyoming, Montana, or Idaho. Possibly Alaska. There would need to be a good source for water and plenty of wildlife. Just a little cabin, Ted Kaczynski style. Trek into "town" a few times per year at most.

There's no way you'd need $24K annually if you just want to put food on the table, clothe yourself, and maintain your cabin.

Offline Kat Kid

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Re: Early Retirement
« Reply #56 on: May 16, 2016, 11:15:14 AM »
I'm thinking someplace like Wyoming, Montana, or Idaho. Possibly Alaska. There would need to be a good source for water and plenty of wildlife. Just a little cabin, Ted Kaczynski style. Trek into "town" a few times per year at most.

There's no way you'd need $24K annually if you just want to put food on the table, clothe yourself, and maintain your cabin.

no thanks.

Offline pissclams

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Re: Early Retirement
« Reply #57 on: May 16, 2016, 11:16:32 AM »
just buy a ranch in aspen that has a lake and many streams intersecting your acreage, it could be done


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Offline Dugout DickStone

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Re: Early Retirement
« Reply #58 on: May 16, 2016, 11:19:56 AM »
My grandparents retired early, got an airstream trailer, and spent years and years touring Florida, moving around from campsite to campsite. Up until then, they worked at their own business seven days a week and, according to my grandmother, were pretty miserable.

that job must have been living hell if camping in Florida was a step up

Offline catastrophe

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Re: Early Retirement
« Reply #59 on: May 16, 2016, 11:21:17 AM »
I haven't read the article, but I understand the math behind it. I'm just not sure I think it's the best way to go. I mean, 640k is pretty substantial and to only get 2k per month is not numbers I like. But, like I said, I know people can do well with these types of strategies, but it's not what I want to go with. However, it's pretty much completely passive income, so that's nice.

You do have to do it at some point, though (unless you're also banking on social security, which might be more tenuous that banking on the stock market). You can also save a lot just by not having a regular job (probably cheaper lunches, less gas/car upkeep from commuting, no need for business attire, etc.).

FWIW - my current goals are a little different. I'm aiming to pump enough money into investments early on so that in 20 years it would grow into enough to retire on. Then without any need to worry about setting cash aside for savings I could work pretty much any job I want that just pays the bills.

Offline KITNfury

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Re: Early Retirement
« Reply #60 on: May 16, 2016, 11:23:15 AM »
Hunting/fishing/gardening/etc were called "chores" when food wasn't relatively easy to get.

I want to be rich enough to be "free". No boss, nothing I have to do. I choose, or choose not to do, every action or inaction I take. My plan is to be there w/in 10 years. Hope it works obviously :) haha. The thought of working for someone else at a desk for the next 30 years is pretty depressing
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Offline Skipper44

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Re: Early Retirement
« Reply #61 on: May 16, 2016, 11:54:24 AM »
Hunting/fishing/gardening/etc were called "chores" when food wasn't relatively easy to get.


add in brewing/distilling

Offline star seed 7

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Re: Early Retirement
« Reply #62 on: May 16, 2016, 12:45:18 PM »
Retirement is for suckers. Live in the now and try not to be alive when you're old
Hyperbolic partisan duplicitous hypocrite

Offline 8manpick

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Re: Early Retirement
« Reply #63 on: May 16, 2016, 12:53:21 PM »
I'm not working a day past 50.  I'll have a great tan and a single digit handicap.
:adios:

Offline Tobias

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Re: Early Retirement
« Reply #64 on: May 16, 2016, 12:54:33 PM »
Retirement is for suckers. Live in the now and try not to be alive when you're old

surprised sys isn't taking this approach, tbh

Offline sys

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Re: Early Retirement
« Reply #65 on: May 16, 2016, 01:01:42 PM »
Retirement is for suckers. Live in the now and try not to be alive when you're old

surprised sys isn't taking this approach, tbh

i'm not interested in dying.
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Offline star seed 7

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Re: Early Retirement
« Reply #66 on: May 16, 2016, 01:04:23 PM »
Retirement is for suckers. Live in the now and try not to be alive when you're old

surprised sys isn't taking this approach, tbh

i'm not interested in dying.

Such a breeder thing to say
Hyperbolic partisan duplicitous hypocrite

Offline sys

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Re: Early Retirement
« Reply #67 on: May 16, 2016, 01:16:59 PM »
i'm not interested in dying.

Such a breeder thing to say

there is no connection.
"experienced commanders will simply be smeared and will actually go to the meat."

Offline chum1

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Re: Early Retirement
« Reply #68 on: May 16, 2016, 01:31:40 PM »

Offline Kat Kid

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Re: Early Retirement
« Reply #69 on: May 16, 2016, 02:31:09 PM »
http://listings.listhub.net/pages/TBORWY/14-310/

I do not understand why someone would try to live off the land in that climate.  Why not try to live off the land on a Caribbean island, or if cost is prohibitive, in Florida or Baja or something?

Offline chum1

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Re: Early Retirement
« Reply #70 on: May 16, 2016, 03:14:22 PM »
http://listings.listhub.net/pages/TBORWY/14-310/

I do not understand why someone would try to live off the land in that climate.  Why not try to live off the land on a Caribbean island, or if cost is prohibitive, in Florida or Baja or something?

Sailing around between uninhabited islands in the South Pacific sounds incredible to me.

Offline chum1

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Re: Early Retirement
« Reply #71 on: May 16, 2016, 03:14:59 PM »

Offline chum1

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Re: Early Retirement
« Reply #72 on: May 16, 2016, 03:25:34 PM »

Offline catastrophe

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Re: Early Retirement
« Reply #73 on: May 16, 2016, 04:07:19 PM »
I have a hard time believing that maintenance on such a boat would be less than $18k/year. Never mind any of the other expenses (purchase price, food, gas, docking, etc.)

Offline chum1

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Re: Early Retirement
« Reply #74 on: May 16, 2016, 04:20:36 PM »
Yeah, I read more about it and that article is misleading. Seems like it would be pretty damn expensive.