Sunny beach, sipping icy drinks with umbrellas, and hammock swaying fun… Retirement! Most people dream about wanting to retire…but I tend to find very few people actually make any plans for it. At least not any that are formed in any kind of reality. Most people run the rat race. Get up, Go to Work, Repeat. Some manage to break into the "self employed but really I just am a sales person for someone else" model…. but few I find answer this very simple starting question.
Exactly how much money would need to appear in your bank account every month for you to call it quits to going to work/job/cubicle everyday.
Before you answer, don't just do a budget of your current life situation. Would you give up your current minivan, house in suburbia, and cable tv package if you didn't have to go to work anymore? Would it be ok if you suddenly re-gained those 40+ hours of work life a week and instead had a slightly older car, smaller house and no HD tv package? Could you live? At least to start?
If you can grasp that concept, you are on the road to breaking out of the rat race.
So, Internet… I ask you… how much monthly income would it take for you to retire?
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You never know what inflation will do… If the figure is adjusted for inflation, then £2,500 per month would let me retire.
I actually once made this kind of calculation but with the idea of living the dream.
I can actually retire tomorrow if i feel like it… I'm 42 btw.. but if I were normal I'd say £400 a month
+ Amanda Blain, my retirement plan is to eat a lot of fast food. With that in mind, how much would 10 fast food meals/week cost me?… Hmmm…
To retire right now, or to retire in an ideal situation? To retire right now I'd need to make more than my current salary to squeak by (we are hardly paying bills right now), preferably double if I actually want to be comfortable in my retirement.
If I were to suddenly have all the major things taken care of, such as having a house and a car that are paid off, I could retire on what I make now.
Actually last week, my wife and I met with our investment banker who has been managing our money for decades and he assured me if I retired this morning (Wednesday) I'd have enough money for us to live on for the rest of our lives. Assuming we were both dead by Saturday afternoon.
me too
For Americans about 75% of your current income is a good first guess on what you need at retirement.
If you want to figure out how much you need to save, figure taking out 4% of your total savings every year. That means you would have an income of about $40,000 a year if you saved $1,000,000 for retirement.
That's pretty accurate. 😉
I would retire from my day job with a small annuity. Maybe $2000 a month. I could make enough doing what I love to make up the difference I think. If not, I could still make it and be happy.
For $4000 a month, I could just give away my work at cost.
At my current rate, I have 7 years. I was set back by two years due to listening to a financial investor.
I live a pretty minimalist lifestyle….well, relative to what is "typical". I don't have cable (but I have a faster internet connection so I can stream better content), I use a push reel mower (for exercise & the fiscal aspects of not having gas/maintenance), I try to bike a lot of places if I'm not with the kids…you get the picture. That being said, I'm still a gluttonous person. I would need at least $60k/year in income, and that would be if I made sure my wife were still in charge of the budget. If it were up to me, well, I'd have to win the PowerBall…which is kind of sad to say now that I think about it….
In all honesty, I would never want to retire. I've done something similar to it before, and there's a reason that it is the same level of stress as the loss of a spouse. I do not have enough words for how much it sucked & the toll it took on me.
I can even afford a house with a garage and a yard and I'm making six-figures. So, "alot more than I'm making now". And, I don't want to live in retirement without HD TV, what am I going to do with those extra 40 hours a week, golf? Do you know how much greens fees are?
I tend to find most people can have a hard time grasping the…. "i have to change all of my life situation"… ie sell the house, the cell phone, the whatever is costing you money… downsize.. and you would then be able to live on X amount… but you now have 40 hours a week to figure out a new way to make you money… 🙂
+ Amanda Blain If you really want to know, make me an offer! 😛
ugh but the boredom! I hope I'm still able to mountain bike when I retire…
About four grand a month.
A simple grand every week would do just fine.
If by the time I retire I've not gotten over my delusion that more money than need will make me happy then no amount would be suffice 🙂
Hahahaha..
Come live in Morocco. Life is cheaper here :p !
I never understand when people are 'bored' after retirement. I could do so many things…….
I would give a lot for those 50 hours a week. But would never sacrifice the well being of my family for my comfort.
Great question. Surprisingly very little when you have residual income.
Indeed + Abdellah Fadli Life in many other countries is MUCH cheaper than the North American/uk/australia ideals…. 🙂
I just hope to have all the stuff that i need.
– Garden with endless food with a little bit of work/hobby.
– Reactor with heat for at least 35 years.
– Building made from plastic`s, so i don't have to repair it.
– A big pond for collecting and cleaning water.
– Neighbors with a unsecure WiFi connection for communication.
– Cloud: NaaS, SaaS, IaaS, So i never have to buy a new computer.
– And last: J-Tube rocket stove mass heater.
Just for fun and burning garden things…
5000 a month take home
The problem is in trying to figure out how much things will cost when I retire. I can save half a million dollars but that may not be enough by then.
I can live on a lot less than I am currently, and probably will when I retire
sounds about right….
I'd submit that the question to ask is "Do you have a system or method to provide a steady (residual) income that will support your current lifestyle or improve with time?"…..maybe its a 'secondary question'….but again…great question…gets you thinking!!!
Im so blessed to be able to collect my pension in 10 months ill be 44 and it should be around 5-6 grand a month my plan is to move to a place where the housing prices and cost of living is cheaper so my money will go further and get another job to keep busy and have somw extra dough-Much gratitude
not that long ago the 'average' for a comfortable retirement was basically a nest egg of about $2 million, but that is based on basically everything staying the same .
Does everyone believe everything should still the same or that it will ?
Being a musician….hopefully I'll never retire! Money or no money!
more like based on my current rate of expenditure…
+ Drew Griffin that is indeed the important question of "how it appears in your bank account every month"… 🙂
<- Young
At this point in my life, I wouldn't retire no matter how much you gave me. My job and my life are Rockstar awesome!
If I had to retire, I would want at least double what I get now because I wouldn't know what to do with all the free time. 14 grand a month sounds about right 😉
I'm out of the rat race and comfortably retired.:) but In this forever changing political environment, who knows for how long. Bob and weave.:)) Group Hug.
When the kids are grown up and hopefully standing on their own two feet, I'd like to think "all I need is a pint a day". Hopefully I'll have decent health, a good pen, a stack of paper and enough imagination left to write a good book. If not I can at least go to a library and read a stack of good books.
Health is paramount
Im going for a run 🙂
no matter how much money I make I always end up spending it, I figure what the hell, you live once might as well enjoy it. 🙂
How much are you offering, + Amanda Blain ?
?
Earliest age you can draw your pension in the UK is 55. I'll be drawing it then and calculate I would need a pension pot of about £400,000. That should give me a pension of about 16-18k.
$10k/month net. This is outside of my wife's and mine 9-5 job. Once our personal business is stable at that level and we can bank our entire job paycheck for 6 months in a row, we will retire – keeping what we have and planning on expanding after that. Right now we are targeting a Dec 2013 retirement date. When we hit Jun 2013 we will re-evaluate where we are and what our dreams/goals are to make sure this is inline with the current situation.
+ Amanda Blain I think you might have asked the wrong crowd. looks like we're dreaming big.
Well my needs for retirement are everyday comforts, i.e. have bacon, beer, house and golf without worrying too much, and be able to travel a lot.
But ideally I wouldn't want to retire until a very long time, and would prefer a consulting role, way after the standard retirement age, where I could take projects for only a few months a year…it's for fun and also keeps the money coming in to enjoy what you want, and keeping you active. Just plain retirement sounds so dull.
I can't put a dollar amount on it but I need to. We were just talking last night about where we should settle and in what.. house, house with land, or low maintenance condo.
Also we own our own businesses & our son works for us. So we are taking that into consideration. Big important, scary stuff ahead :-O
Wealth is actually defined in Time, yes?
lol amanda!!
That would be a nice conversation over dinner with the right person…………… ?
$2k/mo is possible but $20k/mo is a lot better.
£750 a months and I have thought long and hard about it 🙂 And 'm ready in mind but not financially
Darn it! $2000/month * 12 months * 40 years(I'm 32) = I'll never going to retire :'(
Yo con 150.000€ ya me iba a paraguay con mi mujer a vivir tranquilo.
125% of my salary. Why more when everyone else says less. I got less to do in my day so I would probably fill it up with travel which costs a bunch more.
Interesting stats everyone… but as + Drew Griffin said the question is not that your 70+ years old.. and can no longer work so 'thats all you get in money'… the question is how to make that money appear in your account so you can LIVE basically and then with your free time.. make new money… That's how you become.. rich 🙂
retirement is my worst nightmare. Having no work to do spells, boredom and probably for me alcoholism
Im also not sure why people associate "retirement" with boredom… if you retired today.. you are fully capable of going out and starting something that will continue to make you money… but its on your own terms.. and also probably something you enjoy doing…. instead of cubicle rat race just existing…
the UK gov'n keeps increasing the retirement age faster than I am aging… I don't think I will ever be able to retire
Once the next 4 years of "change" sets in no one will be retiring. Someone has to pay for all the entitlement aka: giveaway programs.
2k
Retirement, if done right, equals personal freedom. Try opting for a 6 week travel binge without telling your boss. Can you afford it? Will your boss hold your job while you leave? Will you be worrying about how much money you have each and every moment?
Retirement, before "retirement age" means you have created a substantial net cash flow so that all of the problems on your list that can be handled by money – are – leaving you to concentrate on those 1, 2 or 3 items that money won't fix. As long as money rules your decisions, you will NEVER work on those top 1, 2 or 3 items.
It doesn't take a lot to live out of a backpack and travel or hike everywhere… I think $500k-$1M might actually be enough… Especially if Amanda accepts my 32x as a ring even though I misspelled her name
Retirement sounds like the most boring thing in the world. Never
$2.5 Million in the bank and I am done standing still.
With money being printed infinitely everywhere in the world, having millions of dollars will be like having $10,000 today, inflation reverse-adjusted.
I'd probably need about $1000 per week.
As long as I have a mouldy crust of bread in the drawer and a rag to drag over my shoulders, I won't complain. 🙂
Good Q:
Who all has a job, and who all LOVES the job? How all has a family and who all LOVEs the fmly? why is it then we spend more time at the job then with the fmly. If I coulds show you a way to have the time and the money would you be interested?
Depends on a variety of factors but $1200 per person if careful and occasional entertainment. But after a generation of baby boomers and people hard at work making things such as new methods to extend life or mechanisms to replace cells – we could be on the verge of redefining retirement. What is relevant for this generation could be absurd in 50 years. Live well generation X and younger 🙂
beautiful
I do have a job I love and dont think Ill be finishing up soon, but, when I do, Ill have more time to write so I guess that could still be considered working right? If you love what you do you aren't working
Lol
I estimate 2k USD a month to live in America. But by the time I retire, it will be 15-20k a month
I don't ever want to retire.
hi//////welcome
hehe – sounds right.
hehe – sounds right.
I would like to think about retiring around 75 ~. I love what I do and it keeps me young. I currently bring in 36K~ in retirement and pension from another past career. My parents are in their 70s, still working and going strong, so they do set an example. I think 4-5 k a month would be OK without major debt. A car payment and possibly a small mortgage are OK. In retirement, I am looking to consult part-time. I like working, it keeps me motivated!
I would like to think about retiring around 75 ~. I love what I do and it keeps me young. I currently bring in 36K~ in retirement and pension from another past career. My parents are in their 70s, still working and going strong, so they do set an example. I think 4-5 k a month would be OK without major debt. A car payment and possibly a small mortgage are OK. In retirement, I am looking to consult part-time. I like working, it keeps me motivated!
อยุท่อยากเกษียณบางครั้งก็ไม่สำคัญเท่ากับตัวเลขที่จะได้หลังจากเกษียณแล้ว
hello nice to meet you
hello amanda nice to meet you
Hi Amanda ! I guess most of us, after a certain age, ask this question. In my case, there is not exactly ONE budget for a retired life. I can imagine living myself with SOME of the comforts that I have today. Watch movies in a large screen TV is definitely a must – HD preferably. A good company that could enjoy traveling everywhere with me is absolutely necessary. A car that could take me and the elected "company" to lots of places in Brazil that I still don't know and to some that I know and deserve more and more visits. St. Barth at least once every 2 years… So, I don't know what budget is that but this is certainly the basic needs that I would like to have to retire… All the best for you, Amanda – from a Brazilian thinking about retirement while I can really LIVE…
Hello Amanda i always like your post……………
I love lez gels
How about "ethical freeloading" instead of "retirement"? Barter, anyone?
It's fascinating how people assess their "needs", isn't it?
There are a ton of people who look at what matters to them now and decide that you know what, I don't need such a big house (and big mortgage) and I'd prefer to give up a car than pay out a ton each month in repayments. They get rid of most of their possessions – because possessions are actually an anchor which weighs you down and costs money. Then they can afford to drop from fulltime work to two days of work per week.
IMO, those are the smart ones.
+ Elisa Tammela … exactly 🙂 something i did years ago… and here we are.. heheeh
+ Amanda Blain Seems like half our #life is spent trying to find something to do with the time we have hustled through life trying to save lol
great photos
6k in residual pay per month. Ask me how
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skype call me mohosinkhan200……….
There are ways about things.
Good engaging post, + Amanda Blain.
I already did that, and on about $500/month. Living well in a beautiful but inexpensive land doing whatever I want. If I want something expensive (air travel is about it), then I might do a project for a month. Getting rid of the BS is the first step.
Why did u love lez gels
kkkkkkk
whos mother
Been retired for 5+ months; did a quick math of current expenses: about $2500/month budget. Compare against my pension, I still have enough for at least 2 vacation trips per year, off this rock. No change in lifestyle, i.e. eating out, same house/car/internet service, clubbing on weekends… Not bored yet. Plenty to keep me busy, if not on internet, then, it'd be helping friends out and volunteering whenever…
(Oh, AAPL just gave out their 1st dividend, so new Nexus 4 for me. 😉
Well Alexander I suppose you are a fortune one. My husband and I worked for a large contruction firm for over 20 years, we purchased the large house, with the white fence, in suburbia and all that went out the window 7 years. I am on the tail end of the baby boomers and retirement is just a statement today,and is not in everyones reach, no matter the age. I was fortuneate enough to see a businees presentation , I was offered my own business and my goal is in 18mo to be debt free living off of residual income. It have the drive and attitude that will put me where you are and I plan to enjoy every minute. If you are tired of the same old rut… look me up, it is possible… only those who say it cannot be done are the ones that doubt themeselves!!!!!!!
interested about the comment why not come to Papua New Guinea and expend your business
We are only in the states now and then moving into Cnanda and Austrailia. I wish I culd be world wide bur not yet.
Papua New Guinea is blessed with Natural Resource check in the Internet Liquied Natural Gas (LNG)and etc
I'm in deregulated enery here in the states, this ground breaking here and I hope to get a great start while the market is fresh!
Go girl thats the way to do it
She is right!
Hi Roman thank for the support
nice
£1000 monthly would do. although it would need to be inflation-proof.
hmnn
a looooootsssss
I love you hony
Do you come from??????
Do you come from???????