 |
|
11-08-2019, 08:07 AM
|
#61
|
Thinks s/he gets paid by the post
Join Date: May 2014
Posts: 4,335
|
DS and DDIL know my bottom line but they're frugal and independent. My siblings are probably all doing as well or better, with the possible exception of one brother and SIL who are OK because DB has a good pension, they still have a lot of savings and they're also very frugal. I told the guy I was dating that if he used "millionaire" as a pejorative around me I'd be insulted. He hasn't asked for money. I think that's a very good sign.
I agree that it's possible to share what worked for you without sharing actual numbers.
__________________
|
|
|
 |
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!
|
11-08-2019, 08:13 AM
|
#62
|
Thinks s/he gets paid by the post
Join Date: Oct 2012
Location: Colorado Mountains
Posts: 2,786
|
As a single Hermit, I felt it reasonable and important to share my finances with DD and her husband who will be in charge if I cannot be in charge myself. The first reason is so they do not plan their life and finances as if they would have to contribute to my well being as I grow older. The second is so they know where all the details are kept and how to access them if and when the time comes. They do not have any interest or knowledge of my ongoing financial dealings, just the general amount and where the details are documented. They are LBYM people so that makes sharing info much easier.
__________________
|
|
|
11-08-2019, 08:18 AM
|
#63
|
Thinks s/he gets paid by the post
Join Date: Aug 2017
Location: Champaign
Posts: 2,216
|
My DB is our executor of our living trust. He has an idea but not specifics. His kids are beneficiaries as are other nieces and nephews. We don't discuss numbers.
Funny, DH thinks if nieces/nephews know they are beneficiaries, they will take care of us in old age (meaning help us with finding a good nursing home and care about us). I, on the other hand, think it may give them reason for our early demise...just kidding. I watch too many murder mysteries.
__________________
"If you want to go fast, go alone. If you want to go far, go together.
|
|
|
11-08-2019, 08:29 AM
|
#64
|
Recycles dryer sheets
Join Date: Oct 2017
Posts: 191
|
I tell nothing. FIRED at 50 and live a modest standard of living. I was in business in a small town and NOBODY likes a show off. I see no reason to tell anyone anything or even discuss it. I have had a few people talk with me about personal finances and ask what the secret to success is, almost like there's a magic method to accumulate wealth. When I tell them work hard, make a lot of money and invest at least 30% of it each year in a stock index fund for 30 years and you'll have enough to live like you have for life. They look at me with a very disappointed look on their faces. I don't know of anyone that has actually started this. It reminds me of asking someone how to get in shape and you tell them they need to watch what they eat and exercise. People want immediate, easy, painless results. I do have a very detailed list of our assets in our new wills/trusts. Our children each know where it it located. Our attorney also has a copy to help with our future estates. I don't like to hear other people talk about their money (except on this forum, but we're different) so I make it a point to never talk about mine.
|
|
|
11-08-2019, 08:30 AM
|
#65
|
Thinks s/he gets paid by the post
Join Date: Jul 2015
Location: Beaverton
Posts: 1,211
|
Now that everyone is one in the spirit again I have attempted to explain to my wife our financial status and continued plan. She has a partial understating but just wants things to be okay.
I have had a number of discussions with my best friend who's a banker. He is not aware of the specifics of actual numbers but he'll tell me everything about his. We are a couple years apart but he has not changed his spending habits to accumulate a decent amount of money. His reckoning will be after he retires and that he'll have about a 40% spending reduction so less whiskey and cigars. I think I've vaguely talked with both my brother and sister.
__________________
Jump in, the water's warm.
|
|
|
11-08-2019, 08:42 AM
|
#66
|
Thinks s/he gets paid by the post
Join Date: Aug 2016
Location: Northern Virginia
Posts: 1,208
|
We do not discuss, even with family. Perhaps I should say ESPECIALLY not with family.
In general, I think most people are unable to deal with such info very well. Since I am retired (a fact I do not broadcast) and have never been in a pension type job (and DW mostly not employed outside the home until recent years) those who know us can put things together. But most have no idea what resources are needed to do it. They can't fathom it.
I do discuss financial strategies with our son and a very few interested close friends. But never any details on net worth etc. Nothing good can come from that in my view.
|
|
|
11-08-2019, 08:50 AM
|
#67
|
Thinks s/he gets paid by the post
Join Date: Apr 2015
Posts: 1,076
|
My parents discussed financial wisdom, specifics came late in life.
I have done the same with our kids. DH is the only one who I share specifics with, but our kids know in general that "we are OK". We do gift off and on. They know where our "life planning" books are as they are listed executors and healthcare reps, so they know where to go if all of a sudden both of us are injured or dead.
Day to day net worth they do not know. I would not have a problem telling them if they asked, they just never have.
__________________
Give me a fish, I will eat for a day. Teach me to fish, I will eat for a lifetime.
|
|
|
11-08-2019, 09:02 AM
|
#68
|
Full time employment: Posting here.
Join Date: May 2011
Location: Twin Cities
Posts: 504
|
Most of our friends are doing well financially so we had no problem discussing our early retirement with them (3 years ago - 57 now). Don't feel there's any jealousy. Now we have a few of them starting to plan it as well so we discuss things like how to pay for healthcare, travel budgets and withdrawal strategies. Not specific numbers but it's a pretty decent chance they have similar net worth's as we do.
Our oldest (DD - 31) knows we are doing well and is personal representative. I have put together a guide for her showing who to contact and how to get access to our accounts but not told kids details on the "number". Fortunately, she has said she knows she'd be a millionaire if we died but prefers that we don't
We have recently taken over finances for both sides of our 80 year old parents so we know all of their details.
|
|
|
11-08-2019, 09:11 AM
|
#69
|
Dryer sheet aficionado
Join Date: Nov 2015
Posts: 26
|
I have mentioned to coworkers my goal of retiring early. Some have admitted retirement just never crosses their mind. That's something you do in your 60's. This has also lead to some questions as to how I could do that. I do let them know that my spouse and I started saving very young and put away as much as we could. Half of every raise was used to increase the amount put away until we maxed out our accounts. Some of them are now talking about putting away more.
My parents never talked about money even when we asked. Oldest child has no interest in money at all. I've shared details with our youngest. It started when they were 16 and wanted to fill out the FAFSA. That lead to how much we make, save, and how we spent our money. We now talk about how much they want to save when they get their first real job out of college and how they are going to semi-retire early.
My siblings and I talk about money and saving for retirement also. When asked I'll give details. We all as family units make pretty much equal amounts, some of them more than us, so they know they can do it too. One sibling in particular calls me cheap since I don't spend like my other siblings. I don't care, we spend what we want and enjoy our life as is. We don't need a second house or to spend thousands on vacations every year. It's just not what we would enjoy. I tell them I'm glad their enjoying themselves. I just have a goal of stopping work earlier in life than them. We are all good with each other.
|
|
|
11-08-2019, 09:27 AM
|
#70
|
Recycles dryer sheets
Join Date: Jun 2013
Posts: 58
|
Our kids have a general idea of salaries and assets, but they also know the setbacks we've faced and that they are getting none of the dough. Some extended family members know we've always tried to LBYM and have FIRE plans so probably think we have more than we actually do.
Our nextdoor neighbor told me he & his wife's salaries a while back and was clearly fishing for ours. I make about 2x what he does and my wife makes about 2.5x what she does, so I wasn't going there. We dress in clothes from the Goodwill and drive worse cars than our teenage kids' friends, but it's no secret in the 'hood that we plan to FIRE. Mostly they think we are just weird, which is fine by us.
|
|
|
11-08-2019, 10:00 AM
|
#71
|
Recycles dryer sheets
Join Date: Jun 2016
Posts: 411
|
Quote:
Originally Posted by nancyfrank232
I plan to tell my child everything. Money isn’t a taboo topic in our family. We already discuss amounts, strategies, returns, expectations, psychology, debt, etc openly
|
Exactly. Different strokes for different folks. Unless there are potential issues it doesn’t have to be a secret.
People should just remember you can’t untell the details and people talk so if you tell a few people you have told a lot of people.
|
|
|
11-08-2019, 10:29 AM
|
#72
|
Thinks s/he gets paid by the post
Join Date: May 2014
Posts: 4,335
|
Quote:
Originally Posted by Stormy Kromer
When I tell them work hard, make a lot of money and invest at least 30% of it each year in a stock index fund for 30 years and you'll have enough to live like you have for life. They look at me with a very disappointed look on their faces. I don't know of anyone that has actually started this. It reminds me of asking someone how to get in shape and you tell them they need to watch what they eat and exercise. People want immediate, easy, painless results.
|
You mean... you didn't get there through regular purchases of Powerball tickets?
|
|
|
It's a mad, mad, mad, mad world
11-08-2019, 10:35 AM
|
#73
|
Thinks s/he gets paid by the post
Join Date: Oct 2016
Location: The Shire
Posts: 1,363
|
It's a mad, mad, mad, mad world
Quote:
Originally Posted by Bir48die
I have had a number of discussions with my best friend who's a banker. He is not aware of the specifics of actual numbers but he'll tell me everything about his. We are a couple years apart but he has not changed his spending habits to accumulate a decent amount of money. His reckoning will be after he retires and that he'll have about a 40% spending reduction
|
Did I read that right? A banker who can't be bothered to accumulate dough? What comes closer to being purely The Business of Money than banking? And, surely anybody who is in the Business of Money would be energetically building his own giant pile of it? But no...
It's incongruous, like a physician who smokes. Or a vegan who runs a cattle ranch. Or a woman publishing a magazine that exploits women (BTW, happy birthday, Christie Hefner!) However, while it's a stunning bit of data, it's also not surprising. The planet is full of folks who ought to know better not letting their expertise influence their own decision-making.
__________________
Paying it forward is the best investment.
|
|
|
11-08-2019, 11:25 AM
|
#74
|
Dryer sheet aficionado
Join Date: Oct 2011
Location: Houston, TX
Posts: 38
|
Just one person. It just slipped out during conversation. I asked him to promise not to share. We have had a couple of conversations since then comparing performance.
|
|
|
11-08-2019, 11:40 AM
|
#75
|
Give me a museum and I'll fill it. (Picasso) Give me a forum ...
Join Date: May 2006
Location: west coast, hi there!
Posts: 6,680
|
Quote:
Originally Posted by DawgMan
So, here is another area I struggle. I could start gifting my kids (4) every year X$, but then I feel like they will start expecting Papa Bear donations every year effectively stifling their drive which makes them stronger (what it did for me). I have chosen to be very selective in how I "fix" kid financial issues (i.e. in their eyes loans, special 1 time gifts). IMO, human nature takes over and entitlement gland starts pumping. I would rather them get a big lump when they are 50+ something assuming they have adopted the same principles.
|
We have one son who is getting married soon. We are helping somewhat with the wedding costs but they both have good jobs. We have a very nice house and take longish vacations. So he knows he will inherit a good amount and would probably be a bit surprised at the total.
Over the years we plan to help them in some ways. We might help them with part of the down payment on a house but that is in the future, after the wedding. No loans, just gifts with no strings attached.
I've started trying now (he is 35) to teach him more about investing. He is really into his work and that is a good thing. So investing will be a small business on the sideline for him. Started out with a chart showing a few brutal market crashes because that is what I defend against. Then a spreadsheet showing how getting good returns and incrementally adding money will grow over the years.
--------
Regarding talking to others about investing: most would not like my investing style. It is basically a very carefully researched trend following technique run by some fairly complicated spread sheets and monthly data. I have used it since 2009 with several modifications as I improve the methods. It has not signaled to get out of the market so in that sense is indistinguishable from buy-hold.
Almost no one would pick it up even if I made it public. That is because it requires monthly updates, is fairly complex, and requires patience. So I'm an outlier in the investing space. Oh well.
What to show my son? He probably won't follow it but I could present a simpler model. Or I could provide him results and actions to act upon while I still have my cognitive senses (I think I still do  ).
|
|
|
11-08-2019, 11:48 AM
|
#76
|
Thinks s/he gets paid by the post
Join Date: Apr 2010
Posts: 3,021
|
Our children know only three things about our finances.
We paid for their education and one wedding (so far).
We have made arrangements in our wills and in edu savings plans to pay for each our grandchildren's post secondary education. Funds come right off the top prior to any other distribution.
We lead a conservative retirement and our financial situation allows us to travel frequently wherever and whenever we desire.
That is the extent of the factual information they have about our finances other than knowing that one of us has a workplace pension. Don't really think that they need more data at this point in time. Nor does anyone else.
|
|
|
11-08-2019, 12:48 PM
|
#77
|
Dryer sheet wannabe
Join Date: Nov 2016
Posts: 13
|
Quote:
Originally Posted by grasshopper
My Mom worries that I am "blowing that dough". She is always asking why I don't have photos on FB of our travels. Hey no one has to know.
|
Ditto. Social media in general causes too much pain for many in seeing how the "Jones" are doing. I'd rather live under the radar, 0 posts on what we bought or destinations we have travelled to... and to the chagrin of my wife and kids my weekend work clothes get worn throughout the week.
|
|
|
11-08-2019, 01:52 PM
|
#78
|
Full time employment: Posting here.
Join Date: Oct 2007
Posts: 680
|
Agree - no FB, no Twitter, no Reddit and no anything else similar. Unlike Cheers,where everyone knew your name, I don’t want anyone to know mine
__________________
Mission accomplished - not necessarily ER, but certainly R.
|
|
|
11-08-2019, 07:06 PM
|
#79
|
Full time employment: Posting here.
Join Date: Jun 2017
Location: Chicagoland
Posts: 818
|
The only thing I did was require my kids to read "The Richest Man in Babylon" when they were in high school, and tell them that compound interest was the second most powerful force in the universe so often that they got sick of hearing it.
I would be happy to discuss LBYM principles with any members of our extended family, but none have expressed any interest, so I keep quiet.
|
|
|
11-08-2019, 07:17 PM
|
#80
|
Full time employment: Posting here.
Join Date: Oct 2012
Location: Reno
Posts: 778
|
I discussed investing with the two sons when they were in jr high and high school and share the general outlines of our strategy and the general total worth. The emphasis was to invest in the 401k at the very least to maximize the match and it will pay off over time.
They are both doing quite well in their investments, although the younger quit his job in Microsoft a few weeks ago and is selling his house, to cash in on the 40% gain in 3 years. He's looking in Seattle and NoCal; he can live with his former roommate/college friend for a while if he sells successfully.
__________________
|
|
|
 |
|
Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)
|
|
Thread Tools |
Search this Thread |
|
|
Display Modes |
Linear Mode
|
Posting Rules
|
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts
HTML code is Off
|
|
|
|
» Recent Threads
|
|
|
|
|
|
|
|
|
|
|
|
|
» Quick Links
|
|
|