Net worth Poll

[Moemg]

Quote:

Originally Posted by kcowan I resent the big spread between 2-5 million. Why not give us credit for achieving an important milestone in between. Poll must have been designed by a member of the lumpen proletariat!

That would be me not Lumpen Proletariat but sadly middle class. Sorry ! I did not know how to divide the numbers but if you are somewhere in that category good for you !

[steelyman]

It's too bad there is not a choice labeled "Enough". That's what I think most people are after.

[traineeinvestor]

Quote:

Originally Posted by steelyman It's too bad there is not a choice labeled "Enough". That's what I think most people are after.

Since surveys consistently show that most people believe that a number which is quite a bit higher than what they have would be sufficient, you might not get many takers....but then again this board is populated by people who retired early which implies either deciding that they have enough or belief in the Mayan calendar.

[NW-Bound]

Quote:

Originally Posted by Purron Don't recall that one NW. Please do tell the story. I'd love to hear it. I adore stories about people supporting each other

Thank you for the interest, but perhaps it is my fault for making it sounded more exciting that it really was.

We had been continuously working since we got married, and we never thought we would retire early. She first supported my desire to quit the megacorp where I had a really secure position to pursue my dream, which of course later turned out to be a mirage. So, it was simply my turn to tell her that it was OK for her not to suffer fools at her workplace, and we would find a way to survive financially, even if I myself would have to go back to a megacorp full-time.

So far, she has been happy being home, and I am still doing some part-time work now and then.

Quote:

Originally Posted by Moemg That would be me not Lumpen Proletariat but sadly middle class. Sorry ! I did not know how to divide the numbers but if you are somewhere in that category good for you !

I think Kcowan was just hinting that he had more than 2 but still less than 5, and had to be lumped in with a lower class.

But look at the distribution. With each breakpoint nearly doubling the previous, it turns out to be nearly a textbook log-normal distribution. Equal intervals may not result in such a beautiful Gaussian curve.

Quote:

Originally Posted by steelyman It's too bad there is not a choice labeled "Enough". That's what I think most people are after.

Yes, but in a way, in the end, we have to be happy with what we've got. Or we have to learn to be.

[Spanky]

Quote:

Originally Posted by steelyman It's too bad there is not a choice labeled "Enough". That's what I think most people are after.

I suspect this choice may get the lowest vote.

[Geoffrey]

Numerous discussions have revolved around the question of "how much" does it take to comfortably retire. While this poll does not directly answer that question, it appears that those on this Board who have successfully retired (and presumably done so comfortably) have a typical net worth of over $1M, and that a substantial number have NWs well in excess of that. Further, few members report lavish lifestyles. Perhaps, then, this poll is the best evidence of "how much" it takes to retire and enjoy a comfortable, but not lavish, lifestyle. N'est pas?

[calmloki]

As others have pointed out the comfortable, but not lavish (if I may add - LWBYM) lifestyle may be a primary reason for the net worth rather than an effect of it.

[Westernskies]

Quote:

Originally Posted by steelyman It's too bad there is not a choice labeled "Enough". That's what I think most people are after.

I'm looking for "more than enough"- I don't like the idea of working the high steel without a safety net.

[MasterBlaster]

Quote:

Originally Posted by Westernskies I'm looking for "more than enough"- I don't like the idea of working the high steel without a safety net.

I concur, Especially when the inflation, taxation, SS, and Medicare outlook are so questionable.

[GregLee]

Net worth need have nothing to do with lifestyle during retirement. My wife and I, e.g., own our home and have pension income more than sufficient for our needs, so our savings/investments are for other purposes than day-to-day living.

[accountingsucks]

I voted and it has gotten me abit down. My # is something I know puts me well ahead of the curve for my age group, but it only makes me realize how so far I have to go for a realistic retirement nest egg.

[kcowan]

Quote:

Originally Posted by NW-Bound I think Kcowan was just hinting that he had more than 2 but still less than 5, and had to be lumped in with a lower class. But look at the distribution. With each breakpoint nearly doubling the previous, it turns out to be nearly a textbook log-normal distribution. Equal intervals may not result in such a beautiful Gaussian curve.

I rent my residence NOTB and own in Mexico. So I need the extra portfolio to support another $40k of rental in expensive Vancouver real estate. So it is just a scoreboard win. In fact, it enabled me to retire 5 years earlier than if I owned my Vancouver condo.

(And BTW the $40k is one hell of a deal for a property valued conservatively at $2.5 million!)

And to Nords question: I do NPV my pensions but the key question is when am I planning to die?!

[NW-Bound]

Quote:

Originally Posted by GregLee Net worth need have nothing to do with lifestyle during retirement. My wife and I, e.g., own our home and have pension income more than sufficient for our needs, so our savings/investments are for other purposes than day-to-day living.

+1 regarding pension income.

If I remember correctly, in earlier polls, people were instructed to add 25X their annual income, if COLA'ed, or 20X if it is not.

I am above average in the poll, but I do not feel rich due to lack of other income or health benefits. And then, people keep talking about SS being reduced.

[calmloki]

Pension value. SS value. how depressing. I've mentioned that while no pension beckons me my anticipated SS monthly benefit should be just about enough to feed a single cat?

Our net worth is a tad on the guesstimation side. Do I use the tax man's value of property? Zillow's? Eppraisal's? Had a real estate agent give her guesstimate on what one of our places would sell for - which was substantially less than I thought was a reasonable price. Suspect that I may become one of those old grizzled landlords, to the benefit of whomever reaps the gain of inheriting at a stepped up basis. Be like one of those land poor farmers.

edit. Wait - health benefits? what are those?

I guess size does matter. I have 4 children, 11 grandchildren & 4 great grandchildren. No brag, just fact.

[Westernskies]

Quote:

Originally Posted by calmloki Wait - health benefits? what are those?

You obviously didn't work in the public sector.

[NW-Bound]

Quote:

Originally Posted by calmloki Wait - health benefits? what are those?

Well, due to your, er, more advanced age , you are both closer to the magic age of Medicare than we are, if it is of any consolation.


PS. And here's another silver lining for you. Because you do not expect much SS, you do not need to worry about being "means tested" out of it.

Gee, my sense of humor is so perverted, I am so proud of it!

[jacob]

From a retirement perspective, the ratio between net worth and expenses is more interesting as this can be compared directly with withdrawal rates. $1M may sound like a lot, but not if you spend $80k/year.

[Amethyst]

All the discussions of net worth and withdrawal rates are beginning to remind me of the characters in Jane Austen's novels - who "have" 500 pounds a year, or 5,000 pounds in the case of a very rich person (and poor widows who have only 10 pounds a year and must take in boarders, sewing, etc.) The "have" is their inherited income...nobody in these novels ever works, except farmers and servants.

P.S. It was from this board that I learned to guess-timate the value of my pension by researching what it would cost me to buy an annuity that produced the same yearly amount. Turned out to be just about 20x, even though my pension will supposedly be COLAd and I am a woman, which I'd think would push up the cost of the annuity.

Amethyst

[Spanky]

Quote:

Originally Posted by GregLee Net worth need have nothing to do with lifestyle during retirement. My wife and I, e.g., own our home and have pension income more than sufficient for our needs, so our savings/investments are for other purposes than day-to-day living.

Your pension can also be considered as part of your net worth.