Income If You Retire Today

[RetireAge50]

Here are the 5 results so far:

$67,000 Age 47 Not Retired
$539,000,na,na
$100k+ Age 58 Retired
$84k Age 53 Retired
$191k Age 35 Retired

No sense in listing the SWR answers as this can be generated from a computer for any given age. Actual income levels people attain and desire is what I thought this group might find interesting (although gauche).

I wanted to keep the spending out of the equation for this exercise although I agree it is very valid.

 

[Major Tom]

You are so gauche, RetireAge50!

I didn't understand LOL!'s original comment, unless it was a joke that went way over my head. Not everyone here wants to fully disclose dollar amounts, preferring to talk in terms of percentages, but there are plenty here who do. Many have commented that this is one of the few places they actually can talk candidly about money because such conversations, if had with their real-life acquaintances and friends, are usually considered "gauche".

I won't add to the data pool in this thread though, as I have spent a little too much time in previous threads telling the other members how little I have and besides - my results would bring the average waaay down That would be terribly gauche of me (good grief, I'm getting fed-up with that word!)

 

[daylatedollarshort]

Here are the 5 results so far:

$67,000 Age 47 Not Retired
$539,000,na,na
$100k+ Age 58 Retired
$84k Age 53 Retired
$191k Age 35 Retired

No sense in listing the SWR answers as this can be generated from a computer for any given age. Actual income levels people attain and desire is what I thought this group might find interesting (although gauche).

I wanted to keep the spending out of the equation for this exercise although I agree it is very valid.

The Consumer Expenditure Survey has income by age, area, etc. as well as expenses. I guess I am not sure how anything people post here would be more helpful as a benchmark.

 

[eta2020]

Here are the 5 results so far:

$67,000 Age 47 Not Retired
$539,000,na,na
$100k+ Age 58 Retired
$84k Age 53 Retired
$191k Age 35 Retired

No sense in listing the SWR answers as this can be generated from a computer for any given age. Actual income levels people attain and desire is what I thought this group might find interesting (although gauche).

I wanted to keep the spending out of the equation for this exercise although I agree it is very valid.

I have a hard time to believe 539k. For my allocation type (equities only) it would require 15 Million dollars.

And even if you mix in some bonds you will need over 10 million. (I did not play with FIRECalc to get exact number)

 

[NW-Bound]

Apparently, many people still are not aware that LOL's secret to riches has been spilled for everybody to follow in his free Market Timing Newsletter published on this very Web site: http://www.early-retirement.org/forums/f44/lol-s-market-timing-newsletter-57042.html.

Yes, you too can spend $539K/yr, if you have the guts.

So set up an anonymizing poll.

And I wasn't joking about $539K as I clearly stated in that post.

OK, enough kidding. LOL was not joking as much as lying, as he stated in his initial post.

It is generally considered gauche to try to make comparisons like this … even on an anonymous message board.

So I will just lie about it: $539,000.

 

[RetireAge50]

The Consumer Expenditure Survey has income by age but that has nothing to do with the expected income for the rest of your life. Someone may have a $200,000 income but whenever they quit their job their income will be zero.

This poll/thread is to see how much income people here expect to average in retirement.

 

[growing_older]

This poll/thread is to see how much income people here expect to average in retirement.

So, if all of my expenditures in retirement are to be paid by withdrawals from savings, do you count that as zero income or income in the amount of the withdrawal. Or is my income the interest the account earns, whether I spend it or not. I don't understand the question.

 

[RetireAge50]

Income meaning how much they have to live on EACH YEAR on average for the rest of their life.

For example someone age 70 and expected to die at 90, $20,000 in social security and a portfolio of $300,000. Their yearly income would be $35,000 (computed as $300,000/20 years +$20,000 SS=$35,000

This would be a conservative income only expecting investments to keep up with inflation. Or something like FIRECalc or other tools will give an estimate.

So they would list:
$35,000 Age 70 Retired

 

[daylatedollarshort]

The Consumer Expenditure Survey has income by age but that has nothing to do with the expected income for the rest of your life. Someone may have a $200,000 income but whenever they quit their job their income will be zero.

This poll/thread is to see how much income people here expect to average in retirement.

I am not following. My income isn't zero. We have pension income, investment income, hobby job income and of course my Bing rewards income for another whopping $4.50 a month. The CES has sources of income and personal taxes grouped by age of reference person:
http://www.bls.gov/cex/2013/combined/age.pdf

Here is a summary of a survey on retirement income Vanguard did this year:
Social Security and Pensions: Even Wealthy Retirees Depend on Them.

There is also the Survey of Consumer Finances:
http://www.federalreserve.gov/pubs/bulletin/2014/pdf/scf14.pdf

 

[RetireAge50]

Again not referring to income as defined by accountants or for tax purposes. I'm talking about (nest egg + total of all future streams of cash)/life expectancy.

Someone on the CE survey may have a high income but zero net worth.

 

[Dan4495]

$67K, 56 yrs old, not retired

 

[Sunset]

So set up an anonymizing poll.

And I wasn't joking about $539K as I clearly stated in that post.

Well, 539K/mo is quite a bit more than I spend. Good show old boy!

 

[robertf57]

I'm just a little less at 538K/mo (Indonesian Rp)

 

[Rick_Head]

I think that number is about 150% of what we spend assuming we use FC's default assumptions.

 

[Fermion]

I bought a powerball ticket so I want to change my answer to $6,000,000 a year (pending outcome of course)

 

[NgineER]

$32k age 39 not retired.
Found it interesting that if I changed my expense ratio from 0.2% (default) to 0.1% (actual) I could add $1k in withdrawal every year with the same outcome (0 cycles failed). I have yet to figure out a way to eliminate the final outcome (death).

 

[Grigori]

2011 (Age 55) : 3% withdrawal on assets alone (40% stocks) payed for our tracked expenses adjusted for retirement. (extras, vacations, one time things, etc).

2014 (Age 59) : 3% withdrawal rate on assets alone pays for 150% of our budget. Firecalc says we can pay for 200% of our budget when social security and pension are thrown in at 100% success rate.

I'll be making that last trip home from the office in mid-January, not a moment too soon !

 

[timemoveson]

Not retired but would be about $150K here at age 50ish.

100% firecalc success with multiple scenarios, so basically planning for an indefinite run based on dividends and other similar tax advantaged income produced, with no capital touched.

 

[Aiming_4_55]

Income, Age, Retirement Status

$83,100, Age 45, Not Retired

Family of 4. SAHM, 2 school age kids with 529's funded to our desired amount and primary residence not factored into Firecalc input.

Last few years, typical expenses ranged from $50 - 60k, starting to feel less self induced work stress, but still working and wondering if part time work is in the future.

 

[Live And Learn]

52, Not retired, ER date is 4 months away !

FIRECALC gives me 100% success at 117k annual spend for 35 years. ******** gives me 100% success at 97k for 40 years.

My budget is 100k (assumes 25k for Healthcare for 2). Discretionary expense rate is only 12% of budget.

Since we are currently covered by employer healthcare we've used the 25k on long term home care items (new roof, new floors, painting, windows, etc) so my actual spend over the past 3 years has been spot on to the 100k annual spend.

 

[mickeyd]

Don't know what my 100% # is but since I am retired now all of our income sources generate more than enough monthly income to pay all of our expenses and allow us to stash away monthly excesses on a pretty regular basis.

 

[Nomad4hire]

It is a insidious disease called OMY syndrome. You continue to find reasons to continue working until you die or get so sick that you can't work any longer.

Great point! OMY is eating me up, along with many others I suspect. The calculators give me some comfort, but then the market shifts, or I revert back to the OMY argument. Crazy! -- Nomad

 

[Mo Money]

Around 110K, age 53, aiming to retire in 2015. SS not included.

 

[Nomad4hire]

Again not referring to income as defined by accountants or for tax purposes. I'm talking about (nest egg + total of all future streams of cash)/life expectancy.

Someone on the CE survey may have a high income but zero net worth.

What does this estimate produce for an annual percentage draw or is the question irrelevant?

This is a great thread - been very helpful!

 

[robnplunder]

52, Not retired, ER date is 4 months away !

FIRECALC gives me 100% success at 117k annual spend for 35 years. ******** gives me 100% success at 97k for 40 years.

My budget is 100k (assumes 25k for Healthcare for 2). Discretionary expense rate is only 12% of budget.

Since we are currently covered by employer healthcare we've used the 25k on long term home care items (new roof, new floors, painting, windows, etc) so my actual spend over the past 3 years has been spot on to the 100k annual spend.

Me, too.