Join Early Retirement Today
Reply
 
Thread Tools Search this Thread Display Modes
Old 11-17-2012, 10:58 PM   #41
Thinks s/he gets paid by the post
 
Join Date: Feb 2007
Posts: 1,905
Quote:
Originally Posted by NW-Bound View Post
I cannot answer for others, and can only speak for myself.

Yes, I have a 7-figure net worth. It does not come from inheritance, nor from being a small business owner, and only from our pay. I was among the founders of a couple of small tech start-ups, and that actually cost me money due to lost wages (worked for stocks that became worthless).

My money came from a LBYM lifestyle, no marital problems, children attending public schools, regular 401k contribution, and also after-tax savings, etc... The wind on my back from the stock market in 1980-2000 also helped a lot.

We were a dual-income couple, working for megacorps (both are among the Dow 30). Good pay, but not outrageous. No stock options as that privilege at our established (stodgy!) megacorps started at about 2 or 3 grades of pay higher than we ever attained.

So, it's just money accumulated after 30+ years of nose-to-the-grind-stone work. I've got a flat nose to prove it.

PS. I made the above joke because I recalled a conversation with another guy, early in my career. This guy did not believe in working hard, because he said all one would get for keeping his nose to the grinding stone was a flat nose. Well, if I see this guy again, I will say that my nose is still intact, and yet I have a stash to retire early on. Heh heh heh...
+1 that's exactly the prescription that worked wonderfully for us as well. Graduated (with an MBA) in 1976 and by end of 2002 just by following the LBYM lifestyle and investing in a diversified low cost portfolio of mutual funds we were able to start our early retirement in a lower cost area (SW Oregon). Like wise, while compensation was good (fortune 500 companies), there were certainly no extravagant salaries and (unfortunately) no stock options either.

I can't tell from the picture in your post below if the comely lady has a flat nose?
__________________

__________________
ejman 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 11-17-2012, 11:10 PM   #42
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
NW-Bound's Avatar
 
Join Date: Jul 2008
Posts: 19,431
I have been trying to tell my children to find their own grindstone and stick their nose to it. I hope they will follow this old tried-and-true method of becoming a millionaire.

There was a lady in the photo? Let me look again. Hmm... Her nose looks fine to me.

How about a different photo? This one shows that there is a body under those flat-nosed heads. How 'bout that?

__________________

__________________
"Old age is the most unexpected of all things that can happen to a man" -- Leon Trotsky
NW-Bound is offline   Reply With Quote
Old 11-18-2012, 10:02 AM   #43
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
pb4uski's Avatar
 
Join Date: Nov 2010
Location: Vermont & Sarasota, FL
Posts: 16,446
Quote:
Originally Posted by coolowl View Post
....I don't know how you all did it. I worked a steady 9-5 job, saved as much as I could and don't know how I could have saved/invested more. Those of you with millions....Jeepers. How'd you do it? You either had some super high-paying jobs, you inherited it, or what........
Quote:
Originally Posted by NW-Bound View Post
.....It does not come from inheritance, nor from being a small business owner, and only from our pay. ....My money came from a LBYM lifestyle, no marital problems, children attending public schools, regular 401k contribution, and also after-tax savings, etc... The wind on my back from the stock market in 1980-2000 also helped a lot. .....No stock options as that privilege at our established (stodgy!) megacorps started at about 2 or 3 grades of pay higher than we ever attained.

So, it's just money accumulated after 30+ years of nose-to-the-grind-stone work. .......
Same here. While I worked very hard and was paid very well, we lived below our means, regularly saved and invested in low cost index funds before they were fashionable (beginning in my late 20s), didn't panic and sell when the going got tough. No divorce and no jobs losses along the way really helped too.
__________________
pb4uski is offline   Reply With Quote
Old 11-18-2012, 01:43 PM   #44
Thinks s/he gets paid by the post
veremchuka's Avatar
 
Join Date: Oct 2010
Location: irradiated - too close to the nuclear furnace
Posts: 1,294
A $75k pension and with a COLA! Wow, that can go a long way indeed especially if you a LBYN person. But how safe is the pension? I have one that's 1/3 of that and no COLA and I have medical benefits that I pay what I consider a modest amount. But I hope my pension or medical aren't taken away, there are no guarantees with mega corp.

I really LBMN and there probably are some here that out do me but I'm really good at this by choice. I hope to not need much of my nest egg that is mid 6 figures, not even close to 1M. If I keep the retirement bennies and don't have a lot of big unexpected expenses, I may well do it. My desire is to leave as much as possible for my sister as she has next to nothing, I'm OK and I want to help her future to be secure.
__________________
veremchuka is offline   Reply With Quote
Old 11-18-2012, 02:05 PM   #45
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
Mulligan's Avatar
 
Join Date: May 2009
Posts: 7,381
Quote:
Originally Posted by veremchuka
A $75k pension and with a COLA! Wow, that can go a long way indeed especially if you a LBYN person. But how safe is the pension? I have one that's 1/3 of that and no COLA and I have medical benefits that I pay what I consider a modest amount. But I hope my pension or medical aren't taken away, there are no guarantees with mega corp.

I really LBMN and there probably are some here that out do me but I'm really good at this by choice. I hope to not need much of my nest egg that is mid 6 figures, not even close to 1M. If I keep the retirement bennies and don't have a lot of big unexpected expenses, I may well do it. My desire is to leave as much as possible for my sister as she has next to nothing, I'm OK and I want to help her future to be secure.
Since it is out of my control, there is always a little concern, but it is close to 90% pre funded for everyone, so it's in pretty good shape. They lowered the cola to fixed 2% instead of CPI match to protect it. I would guess if trouble loomed down the road they would do something like reduce the multiplier from 2.5% per year, back to what it was before the boom years for future employees. My "stash" is no where the size of yours, but I share the same philosophy. Probably a good thing because my DD, has taken a vow of poverty by declaring her intent on graduating with an art degree, despite my protest. I told her she better hope I live a long time so I can save up for HER retirement.
__________________
Mulligan is offline   Reply With Quote
Old 11-18-2012, 02:40 PM   #46
gone traveling
 
Join Date: Mar 2007
Posts: 559
Quote:
Originally Posted by coolowl View Post
I am so glad I happened on this thread today and especially am thankful to the folks who mentioned the amount of their net worth. I don't have nearly the numbers in my investments/savings that people in this forum have. Until reading this thread I thought I was alone. It's nice to know that there are some others who aren't millionaires.

I don't know how you all did it. I worked a steady 9-5 job, saved as much as I could and don't know how I could have saved/invested more. Those of you with millions....Jeepers. How'd you do it? You either had some super high-paying jobs, you inherited it, or what....

Anyway, good for you.

my wife and i have 750,000 in 401k/savings. and a paid off condo. i am 62 she is 66. we have ltci. we think we can live well at 60,000 per year. i am retiring feb.

by the way second marriage for me 3rd for her been married now 24 years.when we married she had debts. it can be done but it requires heavy savings and relatively frugal living below means


no pension for me 6000 a year for her. will be ss and savings for us
__________________
gerrym51 is offline   Reply With Quote
Old 11-18-2012, 02:47 PM   #47
Recycles dryer sheets
 
Join Date: Jan 2007
Posts: 140
I remember reading this forum around 2004 where most of the folks lived off $30,000 to $50,000 per year and were proud of it. The ER forum topics were often focused on the pursuit of a free lifestyle not a "big" lifestyle. Interesting how this forum has changed. Where is cutthroat anyway
__________________
janeeyre is offline   Reply With Quote
Old 11-18-2012, 03:50 PM   #48
Moderator
Alan's Avatar
 
Join Date: Jul 2005
Location: Eee Bah Gum
Posts: 21,113
Quote:
Originally Posted by janeeyre View Post
I remember reading this forum around 2004 where most of the folks lived off $30,000 to $50,000 per year and were proud of it. The ER forum topics were often focused on the pursuit of a free lifestyle not a "big" lifestyle. Interesting how this forum has changed. Where is cutthroat anyway
Hi Jane,

Cut-Throat is still around and has been posting quite recently.

It has been a year or so since you last posted. Have you made it to Bronte Country yet?

Long vacation in England
__________________
Retired in Jan, 2010 at 55, moved to England in May 2016
Now it's adventure before dementia
Alan is online now   Reply With Quote
Old 11-18-2012, 04:40 PM   #49
Recycles dryer sheets
 
Join Date: Jan 2011
Location: Lake City
Posts: 131
So, after reading all of the posts.....

HS grad (1 year college), raised a kid (who graduated from college with no debt), own a home F&C, and just relocated to be less than 3 miles from the ocean, after retiring at 58 with a net worth just north of 7 digits. Wife stopped working outside the house when my kid was born and "total" inheritances from both sides combined at less than $60000.

How?

Simply lived within my means and always paid myself first, did without the fancy dinners out, owned a very modest but comfortable home, always drove a used car, sent my kid to a community college and then two years to a state college, spent vacations simply by visiting friends and relatives (while always staying in low cost motels). In other words, paid my dues when I was young.

Was smart enough to exit the market before the last crash (saw too many people being greedy), and reinvested in corporate bonds when the crash happened in companies like Verizon, GE, and Disney (paying net values of 5 to 7% on a long term basis) and some preferred stock. Drawing about $9000 annually on a pension and about $3800 per month in interest and dividends.....have absolutely no debt .....and thoroughly enjoying life.

As Ramsey says "live like no one else other tomorrow you can live like no one else."
__________________
jflynn4 is offline   Reply With Quote
Old 11-18-2012, 05:20 PM   #50
Recycles dryer sheets
 
Join Date: Jan 2007
Posts: 140
No, Alan, I have not. Although the dream still lives. My DH has been ill and unable to travel. He needs chemo every week and tlc. But thank you for remembering and I still have your information ready when the time for Bronte country arrives.
__________________
janeeyre is offline   Reply With Quote
Old 11-18-2012, 05:45 PM   #51
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
Mulligan's Avatar
 
Join Date: May 2009
Posts: 7,381
Quote:
Originally Posted by veremchuka
I read that article before I came here today. I can't imagine having just $300k and I own my house and I have a pension and I LBMN and I have not spend any investments in 5+ years except for $21k to help pay off the mortgage. $300k? You better have one heck of a pension!
I was thinking Veremchuka, that in the dinosaur world of government pensions that I come from, most people I know that have retired have considerably less assets than I even have. I know some who still have considerable debt still, and head into retirement. I think the reasoning is retirement is viewed as a continuation of the working years except you don't have to work. The system is set up to after 30 years your take home pay is the same as your take home pay was while working even though your pension is 75% of salary. While working, you have about 20% of check with held because you are "taxed" 15% of your monthly pay AND value of your benefit package. Subtract the Medicare tax, and add a $2k state income tax credit for retirement income and you are not missing a beat in terms of monthly take home income.
__________________
Mulligan is offline   Reply With Quote
Old 11-18-2012, 06:55 PM   #52
Moderator
Alan's Avatar
 
Join Date: Jul 2005
Location: Eee Bah Gum
Posts: 21,113
Quote:
Originally Posted by janeeyre View Post
No, Alan, I have not. Although the dream still lives. My DH has been ill and unable to travel. He needs chemo every week and tlc. But thank you for remembering and I still have your information ready when the time for Bronte country arrives.
All the very best to you and your DH. Her house will await your visit, whenever that may be
__________________
Retired in Jan, 2010 at 55, moved to England in May 2016
Now it's adventure before dementia
Alan is online now   Reply With Quote
Old 11-19-2012, 12:43 PM   #53
Full time employment: Posting here.
ESRwannabe's Avatar
 
Join Date: Mar 2010
Posts: 630
Quote:
Originally Posted by janeeyre View Post
I remember reading this forum around 2004 where most of the folks lived off $30,000 to $50,000 per year and were proud of it. The ER forum topics were often focused on the pursuit of a free lifestyle not a "big" lifestyle. Interesting how this forum has changed. Where is cutthroat anyway

There are probably still lots of people on the forum like that. I haven't been here very long and just lurk 99% of them time anyway. So, maybe there are more people like me, just lurking as well.

Anyway, I live off around $24k per year. If I didn't rent, it would probably be around $15k per year. My w-2 income + investments bring in around $80k. I'm 36 and plan to early semi-retire by 45 or so.
__________________

__________________
ESRwannabe is offline   Reply With Quote
Reply


Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)
 
Thread Tools Search this Thread
Search this Thread:

Advanced Search
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


 

 
All times are GMT -6. The time now is 03:08 AM.
 
Powered by vBulletin® Version 3.8.8 Beta 1
Copyright ©2000 - 2017, vBulletin Solutions, Inc.