Join Early Retirement Today
Reply
 
Thread Tools Search this Thread Display Modes
Old 03-19-2017, 07:55 PM   #21
Recycles dryer sheets
 
Join Date: May 2014
Posts: 99
I will still get you....lol
__________________

__________________
Ohio/Florida
Floridatennisplayer 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 03-19-2017, 08:01 PM   #22
Moderator
rodi's Avatar
 
Join Date: Apr 2012
Location: San Diego
Posts: 8,400
MIL is 90 and has the proceeds from her home sale. After SS she's burning about $4k/month for her memory care/assisted living. She's good for another few years. And at 90, she'll likely leave an inheritance (in other words - not outlast her money). If not... well, medicaid will kick in.

I guess it all depends on how much you spend above SS. I know you're in a CCRC - but I'm unclear on the financials of what happens when you or your wife can't live independently... do you both move to the next level of care, and the house gets turned over for sale?
__________________

__________________
Retired June 2014. No longer an enginerd - now I'm just a nerd.
micro pensions 7%, rental income 18%
rodi is offline   Reply With Quote
Old 03-19-2017, 10:14 PM   #23
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
bbbamI's Avatar
 
Join Date: Dec 2006
Location: Dallas 'burb
Posts: 9,032
Hmmmm...age 80, huh? I'll get there (maybe) in 21 years. When/if I do, I'll let ya know...stay tuned.
__________________
There's no need to complicate, our time is short..
bbbamI is offline   Reply With Quote
Old 03-19-2017, 10:37 PM   #24
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
NW-Bound's Avatar
 
Join Date: Jul 2008
Posts: 19,098
Quote:
Originally Posted by bbbamI View Post
Hmmmm...age 80, huh? I'll get there (maybe) in 21 years. When/if I do, I'll let ya know...stay tuned.
Sure. I will tune in if I am still around. And if I remember.
__________________
"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 03-19-2017, 10:54 PM   #25
Thinks s/he gets paid by the post
Sunset's Avatar
 
Join Date: Jul 2014
Location: Chicago
Posts: 4,046
I really don't know.

However I do know some older folks who sometimes needed to spend quite a bit for health care even on medicare, so they were glad to have available a stash. Each time it was about $10K -> $20K.

Then there is the time of needing to get a another car, which costs quite a few thousand...
The ongoing prescription even with insurance (which is not cheap) costs $1,300 per year.

It's the unknown, unpredictable events that throw a person off.
__________________
Sunset is online now   Reply With Quote
Old 03-20-2017, 03:05 AM   #26
Full time employment: Posting here.
 
Join Date: Dec 2010
Location: Midwest
Posts: 767
Think of income, not net worth. If your investments are returning 7% and have been for decades (examples could be rental real estate, or 30 year T-bonds purchased in the late 90's), you will need much less than someone who is counting on 3-4%.

Then, set aside your liquid emergency fund ($100k might be enough, especially if you have long term care insurance).
__________________
brucethebroker is offline   Reply With Quote
Old 03-20-2017, 07:27 AM   #27
Thinks s/he gets paid by the post
 
Join Date: May 2014
Posts: 2,742
Being in a CCRC makes a big difference and, as Rodi said, so does the additional cost (of any) of skilled nursing care if you need it. My grandpa was in a CCRC and, although the nursing home was part of the deal, stubbornly insisted on staying in his apartment with 24/7 home health care aides at $10K/month (this was maybe 10 years ago) till he pretty much ran out of money and HAD to check into the nursing home section.

I'd go with $1 million depending on other sources of income such as SS and pensions. So much depends on your living circumstances. I'm hoping to stay in my house for many years and eventually lawn-mowing and housecleaning will be too much for me and I'll hire it out. There are probably a few more dental implants in my future and likely some hearing aids- happens to all of us. I really liked the home health care agency I used in DH's last days but they were $22/hour. They were able to parcel out prescriptions but did no other nursing-type care, and were willing to clean and prepare meals, although I mostly wanted them to keep DH company and make sure he didn't fall while I was out of the house. That could add up. In Dh's case it wasn't tax-deductible, either.
__________________
athena53 is offline   Reply With Quote
Old 03-20-2017, 08:18 AM   #28
Thinks s/he gets paid by the post
imoldernu's Avatar
 
Join Date: Jul 2012
Location: Peru
Posts: 4,520
To all... thanks for the responses. Certainly more varied than I would have expected.

Believe it or not, I was not asking for advice. I know where I stand, and am comfortable our financial position.

The thought behind the post, was to move you (or someone else ) to think in terms of what your outlook might be, later on in life... when your interests and abilities have changed. The reason the house was excluded, is that most here don't like count it as an asset for planning purposes.

As to planning (long term... 10 to 30 years) my theory is to plan in terms of today, so trying to pad one's assets to account for inflation is virtually impossible. The billion dollar estimate might not be adequate in the case of infinite inflation. I've just assumed parallel asset growth. When we first retired, our own projections for 30 year needs w/o inflation (1989 to today) leave us almost exactly on plan.

So... in terms of real dollars, we've been very surprised that since age 75, with the exception of two low value 2nd homes which we'll divest from this year, our actual cost of living has dropped from about 50K to well under 30K.
The greatest cost differences come from auto expense, travel expense, entertainment, eating out, buying "for the house", clothing and utilities, maintenance and upkeep (for our other "homes"). I think that the posts above that discussed older relatives who are living on markedy lower, ongoing incomes, is closer to our situation. The Social security base is a godsend. While much lower than what it would be today, taking SS at age 62 was a good deal for us, since from age 53 to 62 we were burning through cash.

As a comment to newer members who may not have been exposed to the idea of using an "owned house" to use medicaid to protect a surviving spouse, you need to explore this as an option to renting. It might change some of your plans.

Lower costs during the later years, made me look back, a change my original thoughts about retiring (detail in some other posts)... to include retirement as a two phase process, with the understanding that actual, later year expenses would be less. We are not investment savvy, as most of our assets are in IBonds. Nonetheless, those dollars are almost exactly where they were more than ten years ago.

Thanks again for a fun exercise.
__________________
imoldernu is offline   Reply With Quote
Old 03-20-2017, 09:47 AM   #29
Recycles dryer sheets
Taxman59's Avatar
 
Join Date: Sep 2014
Posts: 473
20x the annual essential expenses in investable assets. Add on SSI income, and you should be in good standings for your retirement.
__________________
Taxman59 is offline   Reply With Quote
Old 03-20-2017, 09:57 AM   #30
Give me a museum and I'll fill it. (Picasso) Give me a forum ...
REWahoo's Avatar
 
Join Date: Jun 2002
Location: Texas Hill Country
Posts: 41,373
Quote:
Originally Posted by Taxman59 View Post
20x the annual essential expenses in investable assets. . Add on SSI income, and you should be in good standings for your retirement.
At age 80? I think that's more than many would see as sufficient at age 60 with SS to come - but then we have posters who have accumulated many millions wondering if they have enough to retire...
__________________
Numbers is hard

When I hit 70, it hit back

Retired in 2005 at age 58, no pension

REWahoo is offline   Reply With Quote
Old 03-20-2017, 02:00 PM   #31
Recycles dryer sheets
 
Join Date: Feb 2015
Posts: 117
Quote:
Originally Posted by REWahoo View Post
At age 80? I think that's more than many would see as sufficient at age 60 with SS to come - but then we have posters who have accumulated many millions wondering if they have enough to retire...
Here's the thing. The OP has just the home and SS. Say he goes into a nursing home and they can "shield" the home from MEdicaid thru an irrevocable trust or by other legal means. Is the spouse still going to be able to live there? MEdicaid will use his SS to help pay the cost of the nursing home. SSI is exempt but not regular SS benefits. MAybe the wife does not have her own SS? Now how does she pay the bills for the home...taxes, insurance, maintenance, etc.

Also, is there a desire to leave a legacy? Even a million dollars will quickly evaporate if both spouses need LTC at the same time. It's not so cut and dry.
__________________
MrLoco is offline   Reply With Quote
Old 03-20-2017, 02:12 PM   #32
Thinks s/he gets paid by the post
2017ish's Avatar
 
Join Date: Apr 2012
Posts: 1,803
Quote:
Originally Posted by MrLoco View Post
Here's the thing. The OP has just the home and SS. Say he goes into a nursing home ....
I don't recall the exact details, but imoldernu and his wife reside in a CCRC, which helps.

If you haven't read this all-time great thread that he started, it is worth the time: Sharing 23 years of Frugal Retirement (post 282 in that thread discusses the CCRC community)
__________________
OMY * 3 2ish Done 7.28.17
2017ish is offline   Reply With Quote
Old 03-20-2017, 02:49 PM   #33
Full time employment: Posting here.
 
Join Date: Aug 2013
Location: North
Posts: 618
Quote:
Originally Posted by RobbieB View Post
I know it was a sorta "jokey post"

I never want to feel safe. I want to have fun!

If I wanted to feel "safe" I wouldn't own 4 motorcycles.
my dad high-sided my bilke on an overly aggressive turn. 6 surgeries later they had his foot back on his ankle.

This was two summers ago. He's finally retiring this month. If near death motorcycle accident doesnt force it...who knows what will. He's already 65.
__________________
AA (Stock/Bond/Cash ): 99/0/1% MIX (Small/Mid/Large): X/Y/Z% BLEND(US/Foreign): 100/0%, (Value/Growth/Blend): X/X/X% REIT (Real Estate Equity): 50% of Assets

FIRE in 2031 @ 50yrs old (+/- 2yrs) w/ a hypothetical $2.5mil portfolio, 3 appreciated homes worth $1.0mil and rental income to fund my gap years until RMD. Assets will go to an inherited IRA where I plan on watching the investments grow until I die or the trust gets executed.
kgtest is offline   Reply With Quote
$$$ to be safe?
Old 03-20-2017, 04:30 PM   #34
Full time employment: Posting here.
 
Join Date: May 2014
Posts: 936
$$$ to be safe?

I suppose you mean safe from running out of money. You know a good number of people are bankrupted by medical expenses. They can spring up from nowhere. 'Safe' kinda means to me like I don't appreciate how quickly it all could change. No ill never feel that kind of safe ... but I am definitely ready to take the chance and retire. Maybe the way I feel about safe is because I was poorer then a church mouse growing up?

I think I'll just focus on a good day that I had today. Went to work, had a good lunch and I have a warm cup of coffee sitting next to me along with with my adoring dog. I'll guess I'll take it one day at a time - safe? Really? Never? Happy yes, content yes, but most of blessed.
__________________
rayinpenn is offline   Reply With Quote
Old 03-20-2017, 04:42 PM   #35
Moderator Emeritus
Bestwifeever's Avatar
 
Join Date: Sep 2007
Posts: 16,285
Quote:
Originally Posted by 2017ish View Post
I don't recall the exact details, but imoldernu and his wife reside in a CCRC, which helps.

If you haven't read this all-time great thread that he started, it is worth the time: Sharing 23 years of Frugal Retirement (post 282 in that thread discusses the CCRC community)
We don't have all that information in the OP's OP, though

Quote:
Just for fun... You are my age... 80.
You own your home, value $200K.
You don't do much traveling or live high.
You're married, and both in good health.
No extraordinary other ongoing obligations
No pension or other income stream other than Social Security.

How many dollars of net worth (excluding home) would make you feel safe?
So based on this, there is no existing nest egg, continuing care community, LTI, whatever--just a question that given you are 80 years old, are married, have $200K in your paid for home, etc., etc. OP isn't asking for what new worth we think he should have beyond what he's stated, but what WE would feel safe having.
__________________
“Would you like an adventure now, or would you like to have your tea first?” J.M. Barrie, Peter Pan
Bestwifeever is offline   Reply With Quote
Old 03-20-2017, 04:57 PM   #36
Thinks s/he gets paid by the post
imoldernu's Avatar
 
Join Date: Jul 2012
Location: Peru
Posts: 4,520
Quote:
Originally Posted by MrLoco View Post
Here's the thing. The OP has just the home and SS. Say he goes into a nursing home and they can "shield" the home from MEdicaid thru an irrevocable trust or by other legal means. Is the spouse still going to be able to live there? MEdicaid will use his SS to help pay the cost of the nursing home. SSI is exempt but not regular SS benefits. MAybe the wife does not have her own SS? Now how does she pay the bills for the home...taxes, insurance, maintenance, etc.

Also, is there a desire to leave a legacy? Even a million dollars will quickly evaporate if both spouses need LTC at the same time. It's not so cut and dry.
Some detail on the shielding of the healthy spouse... here post #34.

Sharing 23 years of Frugal Retirement
.................................................. ...

Thanks bestwifeever... I think that got lost in translation
__________________
imoldernu is offline   Reply With Quote
Old 03-20-2017, 05:52 PM   #37
Recycles dryer sheets
CaliKid's Avatar
 
Join Date: Apr 2016
Location: Cali
Posts: 492
a mil.
__________________
______________________
Hoping to get out around September 1, 2022... I hope, I hope, I hope. Until then off to work I go....
CaliKid is offline   Reply With Quote
Old 03-21-2017, 05:47 AM   #38
Recycles dryer sheets
 
Join Date: Sep 2008
Posts: 352
250k earning 3% should get you to 93 with 23k a yr to spend.
(On top of SS)
Just don't live past 93. Plan to live to 100? Cut back a bit.
(Knowing how much your SS is would be good to know)

See below link
Retirement Spending Calculator

Things to consider: No car or auto insurance in the future.
Shopping? Food is about it.
Entertainment? Dr. visits & TV & walking. (Buying and selling on ebay)


My dad is 83. In great shape. (Like a 60 yr old)
But only spends about $1500 - $2000 a month.
Could spend much more a month. But doesn't.
No debt, $1500 prop tax etc.......
Lives on a small SS $600 payment and CD interest.
Its all how you set your self up. Not that I could do it.
But know a lot of folks who do.
__________________
"I couldn't wait for success, so I went ahead without it." Ret. 2013 @ 51.
almost there is offline   Reply With Quote
Old 03-21-2017, 06:48 AM   #39
Recycles dryer sheets
cooch96's Avatar
 
Join Date: May 2014
Location: Lakewood
Posts: 402
Quote:
Originally Posted by aaronc879 View Post
At age 80? I would feel comfortable with just SS. Maybe an extra $100,000. I think there is less than a 50-50 chance of even living to that age for me. If I still have multiple hundreds of thousands left then I worked longer than I needed to.
+1. If I needed more money, I could sell the house.
__________________
Why be normal when you can be yourself?
cooch96 is offline   Reply With Quote
Old 03-21-2017, 07:18 AM   #40
Recycles dryer sheets
Taxman59's Avatar
 
Join Date: Sep 2014
Posts: 473
Quote:
Originally Posted by REWahoo View Post
At age 80? I think that's more than many would see as sufficient at age 60 with SS to come - but then we have posters who have accumulated many millions wondering if they have enough to retire...
OOPS, I missed the age 80 In that case 7-10x the expenses.
__________________

__________________
Taxman59 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


Similar Threads
Thread Thread Starter Forum Replies Last Post
Safe Deposit Boxes - not so safe? plsprius Life after FIRE 29 06-07-2015 11:48 AM
Can 95% Safe = 100% Safe? halo FIRE and Money 3 10-14-2008 06:56 PM
"Is the Safe Withdrawal Rate TOO Safe?" Nords FIRE and Money 13 10-20-2004 10:36 AM
Jaye Jarrett Safe Withdrawal Study intercst FIRE and Money 25 05-01-2003 06:46 AM
Assets to include in Safe Withdrawal studies RedOscar FIRE and Money 12 07-10-2002 01:29 AM

 

 
All times are GMT -6. The time now is 11:31 PM.
 
Powered by vBulletin® Version 3.8.8 Beta 1
Copyright ©2000 - 2017, vBulletin Solutions, Inc.