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Old 08-24-2008, 04:44 PM   #41
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I am in agreement with those who don't want to retire to a life of penury. We plan for $100k per year after tax, which is about 5% more than what we spend now. Our mortgage will be coterminous with our retirement, so the $17k currently going to P&I will be redirected to vacation and health care. I expect that cola'd pensions will provide about 40% of our income needs. Our plan does not count on receiving any social security.

The value of the house is largely irrelevant to our plans (except for the effect it has on real property taxes (currently $8600 per year)), because we do not expect to move. We have spent years getting this place to our liking, and we also enjoy the area (on the Connecticut shore of Long Island Sound). Of course, part of our emergency backup plan would be a reverse mortgage.

I can't see putting up with the burden of a second house. Our current one is all we need.
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Old 08-24-2008, 04:46 PM   #42
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Already FIRE'd...
1) household income (after taxes) is around $45K-55K per year.....necessities eat up about $25K....outlay for travel & riotous living is about $15K-20K per year (that also includes hobbies, widgets, & whatchamacallits)

2)Homestead was built for probably less than $1000-2000 in early 1900's. Was purchase by paternal Grandfolks from maternal Grandfolks for about $4000. Paternal Grandfolks sold it to my Dad for $9000 in late 1950's. It's now my place by default (siblings got outta Dodge and have NO intentions of ever returning to the scene of the crime). Current value (if I wanted to sell AND if someone wanted to buy) is in the neighborhood of $125,000 to $150,000 (based on current prices for similar houses in similar 'hoods here in town)
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Quote:
Originally Posted by Martha View Post
Yes, now that I am retired I am finding it much more fun to go out to the old farm, with the nearest town having a population of about 200, than spending time in the big city. I don't seem to have as much of a need to be entertained by eating out, concerts, etc, as I did when working.......
I really like it out here in the boonies, even if our town is almost too big for my taste....pop. ~20K. There's a little town (actually a "Village" with a pop. of ~1200 people) a very short drive away that I go to dine in one of their many eating joints fine restaurants, and where I belong to a garden club. Like Martha, I have no real need or desire to be entertained. I go to local public concerts, farmers' markets, a few activities at the local public library, eat out once in a while (not often), and hit the coffee shop 2-3 times a week. Other than that, I PREFER to hang around the old homestead and enjoy the flora, fauna, and the occasional visit over the fence with the neighbors.

Quote:
Originally Posted by haha View Post
When I lived out in the country I knew a lot of older couples or widowers who liked it just fine- gardening, church, quiet, nature, relative freedom from bumping up against other people. I often marveled at the old men who lived very solitary lives, yet did not appear to drink much, or really do much at all beyond keeping a very tidy homestead.

There may be an innate setting for stimulation need. Events that might annoy some can be welcome to others, just because they represent "something going on" beyond birds singing and crickets chirping.
Hey! I resemble those remarks! Gardening, quiet, nature, freedom from jostling & being jostled, relish solitude, 'tea-totaller' (mostly), love the sounds of birds singing and crickets chirping.....and tree frogs after the rain! Like Mr. Douglas on 'Green Acres'......"...land spreading out so far and wide, take Manhattan and give me that countryside!"

That said...I do enjoy an occasional trip to Chicago or some other Big City.....but I certainly have NO desire to stay there! And actually, I really love Manhattan...used to go there several times a year.
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Old 08-24-2008, 04:49 PM   #43
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i'm an i not a we, raised by parents who spent lots on themselves and lots on me which you would think would have spoiled me but more likely just tired me out. currently living in expensive, money grubbing, finance flaunting south florida where i've resided to be with family who have since all but died off, leaving me to fend for myself, stuck in paradise, i look forward to market conditions improving so i might escape to a less demanding life.

i've great restaurants and decent entertainment and i'm blocks away from one of the great gay epicenters of the world, but i prefer home cooking and now that i've turned 50 the only heads i turn just turn away, so it makes no sense to be living in an area where i have to pay a premium to be rejected. from what i've been studying on these pages and others, it seems elsewhere there's more to life, and it costs a lot less.

to the numbers
1) $3k/month or less before ss & pension seems to comfortably pay for what i want in my life now and what i project for the next 15 years or so. also that should allow the portfolio to grow just in case $3k/month doesn't quite do it later in life.
2) i'm not sure i want to own anymore. i might just want to vagabond it while i'm young enough & healthy enough to live an adventurous life on the fly.
3) i couldn't even imagine owning two of what i'm not sure i want to own one of. but if by second home you mean a place you own for residing which is in a completely different place than another place where you own a place to reside, then i have been considering living in a boat which i guess would be a 1st & 2nd home depending on where you lay anchor each season. i would expect to pay between $100-200k for a bluewater capable vessel between 34-40 ft were i to settle in, yet travel on, that route.
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Old 08-24-2008, 05:40 PM   #44
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1. We think it's going to take 75k+ to reach current lifestyle and add healthcare insurance and related costs to it. Padding a little, the number might be closer to 85k if we can get comfortable with the idea of defrugalizing a little. Some have said that it is easier to be content on less, so this could be way off.

2. Worth of the residence does not matter as long as it is comfortable. We may want to get away from the city, though. The get-away is probably at least 15 years out.

3. Never considered a second place.

Have heard the stages (Go Go, Slow Go, and No Go) so I would expect the number in answer 1 to increase a little over time, decrease after that, then possibly increase if we live a long time or encounter major health issues.
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Old 08-24-2008, 06:41 PM   #45
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Just me, no we.

1. $13K
2. $230K in Boise, Idaho
3. NA

2Cor521
13k? That's amazing. You must truly live off the fat of the land.
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Old 08-24-2008, 07:16 PM   #46
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13k? That's amazing. You must truly live off the fat of the land.

You would be surprised what you can do with no debt. The two of us live off of 25k.
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Old 08-24-2008, 07:21 PM   #47
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You would be surprised what you can do with no debt. The two of us live off of 25k.
You must have some very low cost health insurance coverage...
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Why I expect to spend more in retirement:
Old 08-24-2008, 07:44 PM   #48
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Why I expect to spend more in retirement:

Ring Ring!!!
Friend: Wanna play golf on Saturday?
Meadbh: Uhhh, sorry, I'm on call.
Friend: Well, how about that concert on Wednesday 7th?
Meadbh: I'm out of town at a conference.
Friend: We're taking the boat out on the lake Sunday. How about it?
Meadbh: No can do. Must stay within 20 minutes of the hospital.
Friend: Well, can you come over Friday night? We're BBQing.
Meadbh: Sure! Can I bring my beeper?
Friend: Great, see you then!
Click!
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Old 08-24-2008, 08:21 PM   #49
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Ring Ring!!!
Friend: Wanna play golf on Saturday?
Meadbh: Uhhh, sorry, I'm on call.
Friend: Well, how about that concert on Wednesday 7th?
Meadbh: I'm out of town at a conference.
Friend: We're taking the boat out on the lake Sunday. How about it?
Meadbh: No can do. Must stay within 20 minutes of the hospital.
Friend: Well, can you come over Friday night? We're BBQing.
Meadbh: Sure! Can I bring my beeper?
Friend: Great, see you then!
Click!
Ya we get those moments. I put a bottle of wine on the table. Wife goes um Im on call..Oh well theres tomorrow Or my usual "bah they wont call you in tonight!"
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Old 08-24-2008, 08:21 PM   #50
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Ring Ring!!!
Friend: Wanna play golf on Saturday?
Meadbh: Uhhh, sorry, I'm on call.
Friend: Well, how about that concert on Wednesday 7th?
Meadbh: I'm out of town at a conference.
Friend: We're taking the boat out on the lake Sunday. How about it?
Meadbh: No can do. Must stay within 20 minutes of the hospital.
Friend: Well, can you come over Friday night? We're BBQing.
Meadbh: Sure! Can I bring my beeper?
Friend: Great, see you then!
Click!
Ring ring!!!
Meadbh: "Hello"
Rich: "FIRE"
Meadbh: "I'll get back to you on that"
Rich: "I think I'm pulling into the lead..." (then again, I'm older...)

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As if you didn't know..If the above message contains medical content, it's NOT intended as advice, and may not be accurate, applicable or sufficient. Don't rely on it for any purpose. Consult your own doctor for all medical advice.
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Old 08-24-2008, 08:34 PM   #51
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1) 140-160k
2) 250-300k in Central Texas
3) RV (I plan to spend 80-100k used) and pocket cruiser (small yacht, I plan to spend 30-40k used)

I would live the the northwest quarter of the US, perhaps Boise, but the wife wants to live within a 2 hour drive of her sister.
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Old 08-24-2008, 08:35 PM   #52
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Ok, perhaps large boat is a more apt description that small yacht :-).
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Old 08-24-2008, 08:52 PM   #53
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Quote:
Originally Posted by Meadbh View Post
Ring Ring!!!
Friend: Wanna play golf on Saturday?
Meadbh: Uhhh, sorry, I'm on call.
Friend: Well, how about that concert on Wednesday 7th?
Meadbh: I'm out of town at a conference.
Friend: We're taking the boat out on the lake Sunday. How about it?
Meadbh: No can do. Must stay within 20 minutes of the hospital.
Friend: Well, can you come over Friday night? We're BBQing.
Meadbh: Sure! Can I bring my beeper?
Friend: Great, see you then!
Click!

I have not so fond memories of call . It was exciting when I was in my 20's and 30's paid for my children's college in my 40's and in my 50's it was just a pain .
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Old 08-24-2008, 10:23 PM   #54
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Quote:
Originally Posted by nicolette View Post
Short and simple....
What are your Lifestyle and Financial GOALS in order to reach FIRED (in today's dollar)?

1. I (We) wish to have $78k/yr after tax to live on to support my (our) lifestyle in retirement.

AND

2. I (We) want to live in a primary residence worth __$280,000, preferably in the city, town, of __Cary, NC_.

for those who want more:
3. I (We) want to live in a secondary residence worth _________, preferably in the city, town of ____________.

To start, me (us) :

1. $75K - 100K/yr
2. $1M - 1.5M, Vancouver, BC Canada
3. $500K - 750K, Southern California (in the winter)

No discouraging comments please.....just want to hear your FIRE LIFESTYLE WISHES and GOALS.
See responses above.
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Old 08-24-2008, 11:49 PM   #55
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Quote:
Originally Posted by Dawg52 View Post
13k? That's amazing. You must truly live off the fat of the land.
It is a pretty bare bones budget with lots of caveats:

1. I start with my current budget of ~$54K per year.
2. Assumes kids are grown and gone. This eliminates ~$25K per year.
3. Assumes mortgage and student loans are paid off. This eliminates ~$7K per year.
4. Assumes no income/SS/Medicare tax (seems reasonable on $13K of expenses ;-). This eliminates ~$6K per year.
5. Assumes no legal expenses associated with my ex. This eliminates ~$2K.

What is left are the following: Property taxes, food, utilities, insurance, recreation, auto, house, medical, clothing, misc.

2Cor521
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Old 08-24-2008, 11:53 PM   #56
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Quote:
Originally Posted by SecondCor521 View Post
It is a pretty bare bones budget with lots of caveats:

1. I start with my current budget of ~$54K per year.
2. Assumes kids are grown and gone. This eliminates ~$25K per year.
3. Assumes mortgage and student loans are paid off. This eliminates ~$7K per year.
4. Assumes no income/SS/Medicare tax (seems reasonable on $13K of expenses ;-). This eliminates ~$6K per year.
5. Assumes no legal expenses associated with my ex. This eliminates ~$2K.

What is left are the following: Property taxes, food, utilities, insurance, recreation, auto, house, medical, clothing, misc.

2Cor521
So this might be best described as "a mark-to-model budget?"

Ha
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Old 08-25-2008, 04:07 AM   #57
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When I read posts like this... I wonder why I am still w*rking.

This is not a criticism... I saw two post that look a bit extreme. The RE ownership and Income desires seemed a bit out of balance. I suppose the devil is in the details or perhaps those are SWAGs.


The OP has an income desire that requires about 2.5M in portfolio assets to support (roughly 100k BT) and over 2M in real estate. Of course in certain area $1.5 M will only buy a modest home. Where we live (Midwest), $1.5M will buy a very very large home... about 4-5 times the home of the average professional middle class family.

Someone else wanted an income up $160k/year but has a home of $300k and an RV and Yacht. I suppose most of that cash is going to fuel? Or perhaps they have kid in college and other outstanding debts... perhaps making payment on the home yacht and RV.
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Old 08-25-2008, 07:58 AM   #58
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Ring ring!!!
MeadbhRich: "Hello"
RichREWahoo: "FIRE"
MeadbhRich: "I'll get back to you on that... next year if the market is good or maybe the year after"
Fix'd
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Old 08-25-2008, 08:40 AM   #59
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Quote:
Originally Posted by nicolette View Post
Short and simple....
What are your Lifestyle and Financial GOALS in order to reach FIRED (in today's dollar)?

1. I (We) wish to have $______/yr after tax to live on to support my (our) lifestyle in retirement.

AND

2. I (We) want to live in a primary residence worth __________, preferably in the city, town, of ____________.

for those who want more:
3. I (We) want to live in a secondary residence worth _________, preferably in the city, town of ____________.

To start, me (us) :

1. $75K - 100K/yr
2. $1M - 1.5M, Vancouver, BC Canada
3. $500K - 750K, Southern California (in the winter)

No discouraging comments please.....just want to hear your FIRE LIFESTYLE WISHES and GOALS.
1. Wish in one hand... Practically speaking, I'm shooting for about $40k in 2008 dollars. Expenses are around $25k now, excluding income tax.

Edited to add: I will have subsidized health insurance, though that could very well change.

2. Current home is allegedly worth $140K-ish. Undecided about future housing plans, but it's likely I'll stay put where I am in DFW for the foreseeable future.

3. Not likely...
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Old 08-25-2008, 08:53 AM   #60
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You would be surprised what you can do with no debt. The two of us live off of 25k.
Debt? What is that? But I'm single and need at least 20k just for a very basic lifestyle. 25k for an enjoyable one.
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