Join Early Retirement Today
Reply
 
Thread Tools Search this Thread Display Modes
Who's got the least?
Old 06-23-2014, 11:11 PM   #1
Thinks s/he gets paid by the post
 
Join Date: Jun 2014
Posts: 1,035
Who's got the least?

Who around these parts had the guts to retire on the least amount of money? Would love to hear yhose stories.

While saving up a couple mill and retiring is impressive, i think the person who maximizes time over money wins. Thats a gamble of course as you try to cut it razor thin to being a pauper.


Sent from my iPhone using Early Retirement Forum
__________________

__________________
dallas27 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 06-23-2014, 11:33 PM   #2
Recycles dryer sheets
 
Join Date: Dec 2013
Posts: 366
Playing you bet your life... prudent might be good.
My fallback progression is, sell the house for funds, and then if needed move to a lower cost location. That could be Arkansas, Panama, Thailand...

I should have a lot of company if things go that far. Although I might do this anyway because I would rather be traveling, seeing the world.
__________________

__________________
springnr is offline   Reply With Quote
Old 06-24-2014, 08:31 AM   #3
Thinks s/he gets paid by the post
 
Join Date: Nov 2009
Posts: 3,873
I ERed in late 2008 when the markets were crashing (which was a huge windfall for me BTW). I had about $830k at the time with $600k of it in my taxable accounts, the accounts I have been living off for the last 5 1/2 years. That $600k which is about 2/3 bond funds has grown to $860k while the $830k overall amount has grown to $1.3M.
__________________
Retired in late 2008 at age 45. Cashed in company stock, bought a lot of shares in a big bond fund and am living nicely off its dividends. IRA, SS, and a pension await me at age 60 and later. No kids, no debts.

"I want my money working for me instead of me working for my money!"
scrabbler1 is offline   Reply With Quote
Old 06-24-2014, 08:42 AM   #4
Moderator
rodi's Avatar
 
Join Date: Apr 2012
Location: San Diego
Posts: 8,817
You don't ask about other income streams.
Those with pensions or rental income don't need as big a stash as those funding their ER with nothing but their nest egg. There are a couple of posters here who have been pretty upfront that their nest egg is small, but have a pension that more than covers their spending.

I'm sure I'm not the lowest. My plan assumes SS will be there (there are lots of folks who refuse to include SS). My plan assumes our rental income from our granny flat will reduce the WR. Without those two factors my firecalc run goes from 100% to about 50%.

And my plan has the plan-B option of a paid for house that can be cashed out and add a HUGE sum to our stash. Cali real estate is obscenely expensive... but we don't plan to sell.
__________________
rodi is offline   Reply With Quote
Old 06-24-2014, 08:55 AM   #5
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
 
Join Date: Sep 2005
Location: Northern IL
Posts: 18,299
Quote:
Originally Posted by dallas27 View Post
... i think the person who maximizes time over money wins.
Really? I don't. I would think the person who finds the right personal balance between time/money comes the closest to 'winning' - but we may never know until the game is over.

Quote:
Thats a gamble of course as you try to cut it razor thin to being a pauper.
Gambling with becoming a pauper does not sound like 'winning' to me.

And as rodi said, w/o taking pensions/SS into account, there is no real comparison.

-ERD50
__________________
ERD50 is offline   Reply With Quote
Old 06-24-2014, 08:56 AM   #6
Recycles dryer sheets
 
Join Date: Apr 2011
Location: Castro Valley
Posts: 402
I ERed in mid 2009 with $900K ($540K after tax, $360K 403b). Age 51 with no pension. Annual cost of living $55K.

With the Real Estate crash, I was able to purchase three rental properties for $290K yielding a net return of $25K per year.

Five years later, I know have $925K ($200K after tax, $725K 403b) and three rental properties worth $500K.

It was cutting close early, but now all is ok.
__________________
jkern is offline   Reply With Quote
Old 06-24-2014, 09:12 AM   #7
Thinks s/he gets paid by the post
 
Join Date: May 2014
Location: Utrecht
Posts: 2,213
Quote:
Originally Posted by dallas27 View Post
I think the person who maximizes time over money wins.
Bill Gates and Warren Buffet must be the biggest losers in your book

Haven't FIREd yet, but consider myself roughly able to. A bit over $800k usd total assets last count. No pension, no SS to speak of. 34 years old.

If I had 1 mil right now, I'd FIRE for sure.
__________________
Totoro is offline   Reply With Quote
Old 06-24-2014, 09:17 AM   #8
Thinks s/he gets paid by the post
 
Join Date: May 2014
Location: Utrecht
Posts: 2,213
Quote:
Originally Posted by jkern View Post
With the Real Estate crash, I was able to purchase three rental properties for $290K yielding a net return of $25K per year.
In Belgium (home country) it is impossible to find real estate yielding anything over 7% gross right now. Most actually yield 4% gross or so.

Waiting for the inevitable meltdown there.

Wish I could short the Belgian housing market somehow ..
__________________
Totoro is offline   Reply With Quote
Old 06-24-2014, 09:24 AM   #9
Recycles dryer sheets
 
Join Date: Dec 2011
Location: Chicago area
Posts: 427
I applaud those who RE on a shoestring. I couldn't of done it, though. I enjoy creature comforts and a sense of financial security.

I think the ideal is to maximize the following:

Portfolio at retirement / Age at retirement
__________________
AnIntentionalRoad is offline   Reply With Quote
Old 06-24-2014, 09:33 AM   #10
Thinks s/he gets paid by the post
 
Join Date: Jan 2006
Posts: 2,975
I'm not FI or RE yet but I quit my full-time job and now do very limited contract work to cover my low expenses. I work about 80 days per year to earn $20K which covers my regular expenses plus a little extra to go towards future large expenses like a car. I have less than $250K in investable assets. I'm 34, single, and have a paid off home in low cost of living area.
__________________
aaronc879 is offline   Reply With Quote
Old 06-24-2014, 09:36 AM   #11
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
NW-Bound's Avatar
 
Join Date: Jul 2008
Posts: 19,449
To find account of people who retire on a shoestring, search the Web for blogs of full-time RV'ers who live in small RVs, even vans and cars. They boondock in national forests to avoid camping fees.

The posters above would all be considered rich by these hardy RV'ers. I am sure I do not want to live like the poorest of them, but the better-heeled among them are not doing so bad, and spend about the same as the thriftiest posters here. I think many survive on not much more than SS when they get older and exhaust their own stash.
__________________
"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 06-24-2014, 09:47 AM   #12
Thinks s/he gets paid by the post
 
Join Date: Apr 2005
Location: Midwest
Posts: 1,577
Quote:
You don't ask about other income streams.
Those with pensions or rental income don't need as big a stash as those funding their ER with nothing but their nest egg. There are a couple of posters here who have been pretty upfront that their nest egg is small, but have a pension that more than covers their spending.
I guess I'm one. My funding, including the market value of a small pension, totaled a sneeze under $650,000.00. I once calculated the market value of the medical insurance at ~ $200,000.00 but that was a long time ago and I no longer have the details on that.

John Greaney, the retired engineer who has his own blog says he retired with $500,000.00 all his own stash and was paying for his own medical insurance from that.

As far as a pension goes, I consider it the money they were supposed to pay me anyway to secure my future but decided to withhold it hoping I would die instead. I didn't die so now they're just paying me those wages after all.
__________________
razztazz is offline   Reply With Quote
Old 06-24-2014, 10:02 AM   #13
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
 
Join Date: Feb 2013
Posts: 5,328
Quote:
Originally Posted by aaronc879 View Post
I'm not FI or RE yet but I quit my full-time job and now do very limited contract work to cover my low expenses. I work about 80 days per year to earn $20K which covers my regular expenses plus a little extra to go towards future large expenses like a car. I have less than $250K in investable assets. I'm 34, single, and have a paid off home in low cost of living area.
That is a very interesting concept. I suspect with not needing a full time job for health insurance these days, the ACA will allow more people to choose to live this way in the future, valuing free time over a standard 40+ hours work week.
__________________
daylatedollarshort is offline   Reply With Quote
Old 06-24-2014, 10:06 AM   #14
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
haha's Avatar
 
Join Date: Apr 2003
Location: Hooverville
Posts: 22,387
Quote:
Originally Posted by dallas27 View Post
Who around these parts had the guts to retire on the least amount of money? Would love to hear yhose stories.

While saving up a couple mill and retiring is impressive, i think the person who maximizes time over money wins. Thats a gamble of course as you try to cut it razor thin to being a pauper.


Sent from my iPhone using Early Retirement Forum
You first, Amigo.
__________________
"As a general rule, the more dangerous or inappropriate a conversation, the more interesting it is."-Scott Adams
haha is offline   Reply With Quote
Old 06-24-2014, 10:15 AM   #15
Thinks s/he gets paid by the post
 
Join Date: Jan 2006
Posts: 2,975
Quote:
Originally Posted by daylatedollarshort View Post
That is a very interesting concept. I suspect with not needing a full time job for health insurance these days, the ACA will allow more people to choose to live this way in the future, valuing free time over a standard 40+ hours work week.
I'm considered self employed so I can deduct expenses. My "official" income will likely be around $15000 per year. I currently pay $34/mo for a silver plan from the ACA. It has a $500 deductible. If I make just a couple thousand more it changes a lot so no incentive to make more since i'm used to living on $15K/yr.
__________________
aaronc879 is offline   Reply With Quote
Old 06-24-2014, 10:22 AM   #16
Thinks s/he gets paid by the post
 
Join Date: Jan 2006
Posts: 2,975
Quote:
Originally Posted by aaronc879 View Post
I'm considered self employed so I can deduct expenses. My "official" income will likely be around $15000 per year. I currently pay $34/mo for a silver plan from the ACA. It has a $500 deductible. If I make just a couple thousand more it changes a lot so no incentive to make more since i'm used to living on $15K/yr.
On the down side, since my state doesn't have medicaid, I have to make at least $12K/yr to qualify for a subsidy. If I make less than $12K then I have to pay the full $250/mo for my policy or go without healthcare. If I make $17K+ then my premium more than doubles and my deductible goes way up. So I have to try to plan my contracts so I make between $12-17K/yr after expenses. That's a pretty small window.
__________________
aaronc879 is offline   Reply With Quote
Old 06-24-2014, 10:29 AM   #17
Thinks s/he gets paid by the post
robnplunder's Avatar
 
Join Date: Nov 2013
Location: Bay Area
Posts: 2,124
Certainly an inspirational thread for those (me included) who are afraid to pull the trigger. 10 years ago, I was thinking about RE'ng at age 42 with just $1M. I am pretty sure I would have not made it. It's good to see others have made it with less.
__________________
Pura Vida
robnplunder is offline   Reply With Quote
Old 06-24-2014, 10:31 AM   #18
Full time employment: Posting here.
 
Join Date: Mar 2008
Posts: 704
My goal number was $250k and I retired with $350k, but both of us have pensions (wife still working). When SS streams and wife's pension come online, income is expected to exceed expenses for 15 years. So the pot just needs to cover the early years and inflation in the later years. We actually have another hedge in that I don't include the excess income during the 15 years in my plan.


Sent from my iPhone using Early Retirement Forum
__________________
akck is offline   Reply With Quote
Old 06-24-2014, 10:46 AM   #19
Thinks s/he gets paid by the post
martyb's Avatar
 
Join Date: Nov 2006
Location: Bossier City
Posts: 2,182
Our portfolio amount is only currently $400k. I am retiring next Thursday. I will have 2 pensions, both COLA'd. One is federal civil service, the other one doesn't start for another 3 1/2 yrs, and is military reserves. The pensions will more than cover living expenses, including a mortgage. Wife will continue to work until just before the military pension begins. I may or may not do some contract or part-time work. More likely not. I have too many fish to catch..... Wife will get smallish SS in another 9 yrs at 62. I'm affected by WEP, and will only see maybe $250/mo. SS at 62.
__________________
“Change is the law of life. And those who look only to the past or present are certain to miss the future.”
-John F. Kennedy

“Hard work never killed anybody, but why take a chance?” - Edgar Bergen
martyb is online now   Reply With Quote
Old 06-24-2014, 11:41 AM   #20
Thinks s/he gets paid by the post
 
Join Date: Jul 2005
Posts: 3,863
My MIL is living off of SS only as far as I know. Along with half of an inherited house, for which she is still making payments on the other half I believe. Definitely no portfolio. However she is doing fine and has family around. Not what I would chose, but something I could live with.
__________________

__________________
Animorph 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
At least we got an apology.... toofrugalformycat FIRE Related Public Policy 0 11-06-2009 12:24 PM
Got small kids? Got small grandkids? cute fuzzy bunny Other topics 5 09-10-2008 10:52 PM
Least amount someone has ER'd with dusk_to_dawn Other topics 19 04-29-2006 12:15 PM
govt. type jobs. *least amount of years one stays zuki FIRE and Money 8 02-03-2005 03:18 PM
Most & Least Corrupt States G_Mack Other topics 6 09-16-2004 12:49 PM

 

 
All times are GMT -6. The time now is 05:03 AM.
 
Powered by vBulletin® Version 3.8.8 Beta 1
Copyright ©2000 - 2017, vBulletin Solutions, Inc.