Too much money?

[surfstar]

We live a modest lifestyle and do not own a mortgage - err house.

If we retired in our 30's we would not be based in SB or CA, though. Somewhere with no state income taxes and hopefully sales taxes. Because we would spend most of our time traveling anyways, so our home base, wouldn't need to be somewhere expensive. Living/camping out of a Sprinter Van, cheap livaboard boat, etc. We spent 3 weeks in NZ last September and it cost no more than our normal living expenses at home (all in - airfare, van rental, food, everything).


Cfiresim shows only 80% success with 70/30 and fixed 60k withdrawls for 60 years. In reality, we'd probably live a tighter budget of 40-50k the first few years, then be absolutely fine. We could also just do a fixed % spending - tighten the budget in bad years. Basically, we could make it work; that's for sure.

Anyone got an extra 1.5M? I'll give it back when we die - it'll just be a long-term 0% loan

 

[doitmyself]

Wow, some of you guys make me appreciate my career more than ever. At 60, I could retire now, but I enjoy my career so much that I have no reason to retire.

I just came back having lunch with a retired coworker and we both said we couldn't imagine having to wake up each morning dreading work.

I don't have much to contribute to the OP's comments. My kids and grandkids don't receive handouts now and won't when we die, but we have been very supportive in the ways that count.

 

[Mr Nice]

The key to early retirement is budget, budget and budget...
Don't make any expensive ego purchases.

Why a $1.5M figure if you are still young with kids ?

Any BITOG members with this much money???
Im talking legitimate worth, not a hypothetical IRA & 401K in 30 years.

 

[Vikas]

you guys need to start visiting other places on the internet where somebody is worried about how to handle $5 Million given to him by his parents and wondering if he can slck off now! Another single person has yet to reach his thirties but is already making $189K per year in salary and has $200K in his 401K and another $300K in brokerage account and was asking if he should fork over the money to to fix his 2006 Civic A/C or a trade it in.

Astute readers would know the internet place I am talking about.

 

[Vikas]

Originally Posted By: surfstar
We live a modest lifestyle and do not own a mortgage - err house.

If we retired in our 30's we would not be based in SB or CA, though. Somewhere with no state income taxes and hopefully sales taxes. Because we would spend most of our time traveling anyways, so our home base, wouldn't need to be somewhere expensive. Living/camping out of a Sprinter Van, cheap livaboard boat, etc. We spent 3 weeks in NZ last September and it cost no more than our normal living expenses at home (all in - airfare, van rental, food, everything).


Cfiresim shows only 80% success with 70/30 and fixed 60k withdrawls for 60 years. In reality, we'd probably live a tighter budget of 40-50k the first few years, then be absolutely fine. We could also just do a fixed % spending - tighten the budget in bad years. Basically, we could make it work; that's for sure.

Anyone got an extra 1.5M? I'll give it back when we die - it'll just be a long-term 0% loan

You need to inflation adjust the withdrawal amount. At the end of the sixty years, $60K will probably buy you couple of big macs and medium coke; fries would be extra!

There are few people on the internet who do somewhat similar to what you are saying but what they do is to work their tail off for half the year and then live and vacation in different country for the rest of the year doing their blogging and youtubing.

 

[Mr Nice]

Originally Posted By: Vikas
you guys need to start visiting other places on the internet where somebody is worried about how to handle $5 Million given to him by his parents and wondering if he can slck off now! Another single person has yet to reach his thirties but is already making $189K per year in salary and has $200K in his 401K and another $300K in brokerage account and was asking if he should fork over the money to to fix his 2006 Civic A/C or a trade it in.

Astute readers would know the internet place I am talking about.


Stories like this on the internets are a dime a dozen. Just like the crazy callers on the Dave Ramsey Show who inherited millions of dollars or trust fund baby asking Dave for advice....

 

[Andrew1972]

I grew up with money and working some but smartly. My parents had me do jobs like ski instructor helper, carpentry addistsnt and engineering assistant. These all got me helpful skills in real world and life.

I don't think having a lot or little money matters growing up as long as parents do there job and set decent example. I know a few trust fund babies and they seem all to be doing well working quality jobs or moreover helping jobs and not spending the fortune....

I think it's parents that matter not a pile of money or lack thereof.

 

[PandaBear]

I came from a pretty broke household back in my early childhood and that gets me the OCD of saving every penny to a point that annoys even my parents. My shoes and clothes are all worn out and sometimes I look like a carpenter going into work with coworkers all driving luxury cars with fancy hand bags. Wife threaten to throw all my old worn out stuff away so I will not stay attached to them (until they are broken and I cannot squeeze the last bit of use out of it). Yet I have 2 1M+ home with about 60% of them paid for, and a combined income of $250k+ with my wife.

All this behavior is because of being too broke when I was a kid.

I don't think this is the behavior I want my children to have. I don't mind them not being too frugal as long as they are not doing nothing in life. I know a lot of rich people and they are very stingy, as well as a lot of people raise in section 8 housing that blew through money because of the "stress" they have and not knowing when the money will come or leave. Just do your job teaching the kids how not to waste money, and let them learn the rest themselves.

 

[Mr Nice]

Panda,

Thats great your hard work and education was a major factor in your success.

It's bad when young folks are impulsive with money. I know a few people declare bankruptcy before 25 years old.

 

[Mr Nice]

Originally Posted By: 04SE
I must be the only one that just doesn't care.

If my daughter blows it all, so be it. If she is wise enough to realize what she has when my wife & I pass and preserve it, great.

I come from a long line of farm families that think future generations should be tied to the land, work 20 hour days, and retire when you die.

You can lead a horse to water folks...


You don't want to have money you passed on to family squandered on [censored].

 

[CT8]

Originally Posted By: PandaBear
I came from a pretty broke household back in my early childhood and that gets me the OCD of saving every penny to a point that annoys even my parents. My shoes and clothes are all worn out and sometimes I look like a carpenter going into work with coworkers all driving luxury cars with fancy hand bags. Wife threaten to throw all my old worn out stuff away so I will not stay attached to them (until they are broken and I cannot squeeze the last bit of use out of it). Yet I have 2 1M+ home with about 60% of them paid for, and a combined income of $250k+ with my wife.

All this behavior is because of being too broke when I was a kid.

I don't think this is the behavior I want my children to have. I don't mind them not being too frugal as long as they are not doing nothing in life. I know a lot of rich people and they are very stingy, as well as a lot of people raise in section 8 housing that blew through money because of the "stress" they have and not knowing when the money will come or leave. Just do your job teaching the kids how not to waste money, and let them learn the rest themselves.
I think you are doing awesome ! Woo hoo !!!