Join Early Retirement Today
Reply
 
Thread Tools Display Modes
Coming on Board - RE at 55 now 67
Old 04-28-2013, 10:57 PM   #1
Confused about dryer sheets
RASmith's Avatar
 
Join Date: Apr 2013
Location: Phoenix
Posts: 3
Coming on Board - RE at 55 now 67

I’m a 67 years old widower with no debt and likely will live to 90 if I give up paragliding & riding motorcycles. I’ve run FIRE calc with a few hundred different scenarios and I still can’t saw I feel confident on the spending aspect, saving I’ve figured out.

Let me see if I get this straight for a practical application of the 4% withdrawal rate excluding pension & SS (I've read the discussion on 4% withdrawal).
If investments are worth 3 million (excludes home) yield $100,000 annually (some is tax advantaged), so 4% of 3 million - $120,000 + $25,000 for pension & SS = $145,000. I would have to triple my current spending to come up to that number. So I guess I need to figure out this spending thing.

The "kids" are doing great financially – both engineers. The boy is the black sheep of the family, getting his Ph.D., but it will pay off someday I’m sure. The girl is spinning wafers for Intel.

I’ve been following this forum for over a decade, but only decided to jump on board because it really is hard to talk about finances and I’m feeling a little lost right now. I keep things simple, that's what's worked for me.
RASmith is offline   Reply With Quote
Join the #1 Early Retirement and Financial Independence Forum Today - It's Totally Free!

Are you planning to be financially independent as early as possible so you can live life on your own terms? Discuss successful investing strategies, asset allocation models, tax strategies and other related topics in our online forum community. Our members range from young folks just starting their journey to financial independence, military retirees and even multimillionaires. No matter where you fit in you'll find that Early-Retirement.org is a great community to join. Best of all it's totally FREE!

You are currently viewing our boards as a guest so you have limited access to our community. Please take the time to register and you will gain a lot of great new features including; the ability to participate in discussions, network with our members, see fewer ads, upload photographs, create a retirement blog, send private messages and so much, much more!

Old 04-29-2013, 04:57 AM   #2
Administrator
MichaelB's Avatar
 
Join Date: Jan 2008
Location: Chicagoland
Posts: 40,585
Welcome to the forum, RASmith. Your current spending is less than your pension plus the 4%? Good. Nothing to worry about, except perhaps who you will leave your assets to. The 4% is not a requirement, it's more of an upper limit. Good luck.
MichaelB is online now   Reply With Quote
Old 04-29-2013, 05:33 AM   #3
Full time employment: Posting here.
 
Join Date: Nov 2008
Location: Louisville
Posts: 601
You just need to remarry. Then spending won't be a problem any longer....
Masquernom is offline   Reply With Quote
Old 04-29-2013, 05:51 AM   #4
Moderator
Walt34's Avatar
 
Join Date: Dec 2007
Location: Eastern WV Panhandle
Posts: 25,299
Welcome!

You could always buy more motorcycles. Or an airplane, that will absorb any excess cash quickly.
__________________
When I was a kid I wanted to be older. This is not what I expected.
Walt34 is offline   Reply With Quote
Old 04-29-2013, 05:55 AM   #5
Thinks s/he gets paid by the post
obgyn65's Avatar
 
Join Date: Sep 2010
Location: midwestern city
Posts: 4,061
You are doing great, congratulations. Welcome to the forum.
__________________
Very conservative with investments. Not ER'd yet, 48 years old. Please do not take anything I write or imply as legal, financial or medical advice directed to you. Contact your own financial advisor, healthcare provider, or attorney for financial, medical and legal advice.
obgyn65 is offline   Reply With Quote
Old 04-29-2013, 06:53 AM   #6
Confused about dryer sheets
RASmith's Avatar
 
Join Date: Apr 2013
Location: Phoenix
Posts: 3
Thanks all for the welcome, nice to be onboard with folks that understand how to plan for their future (as best as anyone can).

Quote:
Originally Posted by MichaelB View Post
Nothing to worry about, except perhaps who you will leave your assets to.
My wife and I established trusts (Family & Decedents) to facilitate distribution of assets to the kids. Taxes are a bit of a pain with the Decedents trust (generates a K-1), but nice to avoid probate.

Quote:
Originally Posted by Walt34 View Post
You could always buy more motorcycles.
Actually that has been on my mind. I use to race motorcycles in the California desert and have been thinking about adding a dual sport. Problem is those things have saddle heights that challenge my 27 inch inseam. Maybe a Yamaha XT250?
 
 
Quote:
Originally Posted by Masquernom View Post
You just need to remarry. Then spending won't be a problem any longer....
Not going to remarry, got it right the first time just wish it had lasted (cancer).
RASmith is offline   Reply With Quote
Old 04-29-2013, 08:37 AM   #7
Thinks s/he gets paid by the post
Live And Learn's Avatar
 
Join Date: Feb 2012
Location: Tampa Bay Area
Posts: 1,866
Welcome to the forum. After years of being a saver I would imagine its difficult to increase spending that much. Yours is a nice problem to have. If you need suggestions on how to spend down your portfolio we have lots of suggestions. The first thing that comes to my mind is a family reunion in some exotic location which will create life long memories for the kids.
__________________
"For the time being no discipline brings joy, but seems grievous and painful; but afterwards it yields a peaceable fruit of righteousness to those who have been trained by it." ~
Hebrews 12:11

ER'd in June 2015 at age 52. Initial WR 3%. 50/40/10 (Equity/Bond/Short Term) AA.
Live And Learn is offline   Reply With Quote
Old 04-29-2013, 10:42 AM   #8
Thinks s/he gets paid by the post
 
Join Date: Feb 2011
Posts: 1,796
RAS-

Welcome aboard. Congrats on successful & active ER!!!
Nothing wrong with LBYM- even during ER.
BTW- Been visiting The Valley for 20+yrs (relatives & business trips) & always thought it would be a great place to ER. Not downtown PHX, but maybe north of Scottsdale (Carefree/Cave Creek area) or perhaps East Valley.
ERhoosier is offline   Reply With Quote
Old 04-29-2013, 11:13 AM   #9
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
pb4uski's Avatar
 
Join Date: Nov 2010
Location: Sarasota, FL & Vermont
Posts: 36,264
You're doing great - you need to spend more. Maybe one of those Can-Am trike rigs.

Would you care to adopt a 57 year old?
__________________
If something cannot endure laughter.... it cannot endure.
Patience is the art of concealing your impatience.
Slow and steady wins the race.

Retired Jan 2012 at age 56
pb4uski is offline   Reply With Quote
Old 04-29-2013, 12:24 PM   #10
Thinks s/he gets paid by the post
heeyy_joe's Avatar
 
Join Date: Nov 2012
Location: Madeira Beach Fl
Posts: 1,403
Come with me to bet on horseracing and your spending problem will be solved (if you duplicate my bets).
__________________
_______________________________________________
"A man is a success if he gets up in the morning and goes to bed at night and in between does what he wants to do" --Bob Dylan.
heeyy_joe is offline   Reply With Quote
Old 04-30-2013, 02:14 PM   #11
Dryer sheet wannabe
 
Join Date: Apr 2013
Location: Bemidji
Posts: 15
We looked at Cave Creek too. Seems like it would be a really fun place to spend half the year, especially if you're horsey or like the Old West genre. Home prices there were great a couple years ago, but I think have risen a lot lately...
Northwoods Mary is offline   Reply With Quote
Reply


Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)
 
Thread Tools
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off


» Quick Links

 
All times are GMT -6. The time now is 02:48 PM.
 
Powered by vBulletin® Version 3.8.8 Beta 1
Copyright ©2000 - 2024, vBulletin Solutions, Inc.