stock market
- Thread starter Oildudeny
- Start date
It really depends on what you mean by retirement and what you mean by early.
If someone in his 20s want to retire on 1M that would be unrealistic. He would likely take on some risky bet and lost a huge chunk of it in a downturn or gets inflated away. He is also not qualified for low income medical benefits like Medical in California.
For someone retiring with 1M at the age of 75 when most of his parents and siblings live to only 78 then that may be ok, with SS and Medicare already giving out the benefits and if he live pass his savings he would be qualified for some safety net.
My assumption is that 5M-10M I said would be inflated down to 2M in today's money after 60 years and some risk of losing part of it in economic cycles, health issues, lost of government programs (i.e. SS and Medicare going bankrupts) etc. Then 2M to live the rest of his or her life would be sufficient even with medical problems.
FIRE is really combined with the 4% withdrawal rate. So if you can live your current lifestyle at 40k a year, 1 million might be enough to retire on. Can't do much at that rate which is why 2-5 million makes more sense, more like 80-200k a year. That 4% is very conservative though, average for the S&P 500 for the last 10 years is 13.4% and for the last 30 years or so the average has been around 10%.
Doesn't $1M in one's accounts get you in the top 10 percent in America?
$5M gets you into the top 1 percent.
$5M gets you into the top 1 percent.
That just means the top 10% of America cannot just quit their job and retire right now unless they live off 40k for life, but the top 1% realistically can.
4WD
$50 site donor 2025
Lol, guess I'll just not retire then.
Maybe make that money then move someplace with low cost of living?
Ahhh ... the "key" to a million dollars is actually in the words you posted.
You borrowed money to buy stuff that you shouldn't have!
Dont borrow money for "assets" that depreciate. Biggest offenders Boats, Cars/Trucks, All kind of Vehicles.
Dont buy anything on a credit card if you do not pay the balance in full every month.
With all the savings of doing the above, pay down any new mortgage within 15 years and any older mortgage faster.
Once the above is done, you took your first step. You dont need a million dollars to pay off everything, you dont have a million dollars because you took out loans to buy stuff and now have loans to pay off.
)I wish someone taught me this when I was in High School, I have taught it to my kids, my son has the concept but doesnt really do it, though he has a good understanding and that's a big a first step, my daughter understands it, follows it and will definitely retire more then a millionaire.
I dont think the vast majority of the wealthy retire early. Retirement is overrated if you have a passion for what you do and the people who have that passion are the wealthy.
The ones always looking to retire do not have that passion and why they want out. To make millions you have to have a passion for something in order to do it. True, there is always a small percentage that fall into millions but without that passion many are just miserable.
Ok ... now back to stocks ...
Its going to be an interesting year, the American public, unleashed from the fears of the virus, I suspect are going to go nuts spending money BUT, what about the unknowns? Do you think, maybe, over the last 15 months that maybe they started to look at their finances and thought to themselves that maybe they would like to save money instead of spend it after seeing what its like without huge credit card bills for the last 1+ year?
I dont know but think we will go nuts spending, time will tell and the stock market reaction. So many unknowns ... like another 3 trillion spending package from Washington, geez ... and another 2 after that ... good god... Anyway, I wouldn't be surprised to see the market stagnate for a little while and then take another bull run ... with in the back of my mind 2022 may not be a good year ... this mornings thoughts only.
The ones always looking to retire do not have that passion and why they want out. To make millions you have to have a passion for something in order to do it. True, there is always a small percentage that fall into millions but without that passion many are just miserable.
Ok ... now back to stocks ...
Its going to be an interesting year, the American public, unleashed from the fears of the virus, I suspect are going to go nuts spending money BUT, what about the unknowns? Do you think, maybe, over the last 15 months that maybe they started to look at their finances and thought to themselves that maybe they would like to save money instead of spend it after seeing what its like without huge credit card bills for the last 1+ year?
I dont know but think we will go nuts spending, time will tell and the stock market reaction. So many unknowns ... like another 3 trillion spending package from Washington, geez ... and another 2 after that ... good god... Anyway, I wouldn't be surprised to see the market stagnate for a little while and then take another bull run ... with in the back of my mind 2022 may not be a good year ... this mornings thoughts only.
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Yep. A smaller city with low cost and lower taxes.
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Expect every 4-5 months more stimulus checks. Thats all I’m going to say....
People don’t worry about running up their credit cards, they know they can simply walk away and declare bankruptcy or settle that debt for a quarter of what they owe. I know some trash that did exactly this (breast implants, fancy furniture, guns, ammo, electronics, jewelry, etc...). Heck some people are not even paying their mortgage, rent, property taxes or bills.
70% of our American economy is consumer spending, so all these stimulus checks helps keeps the wheels rolling, rolling, rolling.....
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My sources of debt, mainly, is my house, and my land. My car, too, yes, because I need a reliable car as I drive 30-40K miles per year, and I'm going to at least not suffer for the 2 hours a day I spend in my car. If you study economics, you'll grasp that one.Ahhh ... the "key" to a million dollars is actually in the words you posted.
You borrowed money to buy stuff that you shouldn't have!
Dont borrow money for "assets" that depreciate. Biggest offenders Boats, Cars/Trucks, All kind of Vehicles.
Dont buy anything on a credit card if you do not pay the balance in full every month.
With all the savings of doing the above, pay down any new mortgage within 15 years and any older mortgage faster.
Once the above is done, you took your first step. You dont need a million dollars to pay off everything, you dont have a million dollars because you took out loans to buy stuff and now have loans to pay off.
I wish someone taught me this when I was in High School, I have taught it to my kids, my son has the concept but doesnt really do it, though he has a good understanding and that's a big a first step, my daughter understands it, follows it and will definitely retire more then a millionaire.
I agree on the mortgage. I did have a lot of fun in my 20's buying cars and other stuff. Again, real world results vindicates this, even if it was a "technical bad move". This is the same reason people do stuff like go on vacation, etc.
I did indeed take out loans, and am very glad I did. It's going to save me a bundle WHILE allowing me to enjoy all these appreciating assets. Win/Win.
Also, no, I do not need $1M to pay off everything. I need $1M to pay off everything AND sustain myself until I die of natural causes/old age (or sooner, but that's cheaper).
Expect every 4-5 months more stimulus checks. Thats all I’m going to say....
People don’t worry about running up their credit cards, they know they can simply walk away and declare bankruptcy or settle that debt for a quarter of what they owe. I know some trash that did exactly this (breast implants, fancy furniture, guns, ammo, electronics, jewelry, etc...). Heck some people are not even paying their mortgage, rent, property taxes or bills.
70% of our American economy is consumer spending, so all these stimulus checks helps keeps the wheels rolling, rolling, rolling.....
.
Yeah, I'm legit disgusted with what's happening with the money being stolen from me and given away.
I don't think you need a passion to be well off, but I'm sure it makes it better, lol! And yes, many of us are just miserable and want out. So far, the gym, alcohol, Jujitsu, etc. are the easiest ways "out" for me. Cheapest, too, as I do not have that $ to retire.
At least in my case, you hit the nail on the head.
I am recently retired and I miss the challenge greatly.
I'm counting my hard work, dedication, and fortitude.
I find that people who are like that typically had meaningful jobs that were respectable. THAT is an awesome thing!
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