Questions for retiree’s from a young guy

[Offgrid Organic Farmer]

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Originally Posted by Beer-man 1. What has your annual spend been?

Around $18,000 a year.

My pension income is around $19k and we have been able to save and invest even on pension.

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... 2. Any of you downshift to reduced hours prior to RE? Anyone go back to work in some capacity?

The US Navy forced me out. I was not allowed to stay on in any capacity.

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... 3. Anyone RE with kids still in the house? How has that worked out?

Our children were still living at home, in highschool.

It worked out okay.

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... 4. What is your projected SS payout or current payout?

I have been on pension for 17 years.
I have another few years to go before I am eligible for SS.

[DrRoy]

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Originally Posted by Beer-man 1. What has your annual spend been? What did you forecast it being? 2. Any of you downshift to reduced hours prior to RE? Anyone go back to work in some capacity? 3. Anyone RE with kids still in the house? How has that worked out? 4. What is your projected SS payout or current payout? Or how close is your projected or real SS to your actual spending?

1. 1st year was a little higher than pre-RE. This year is a little higher yet, and planning to raise again next year (all the way to 2% WR).
2. No and No.
3. No
4. It will be the max, but we are too young. I'll let you know when I am 70. Actually, I have not included SS in my planning.

[iloveyoga]

No kids in the house here, our kids are 40ish. That had a lot to do with FI for us.

I do work from home about 9-10 hours a week, to help pay for our health insurance.

I would say our spending is not that much different than when we both worked, except of course no job expenses.

[Dawg52]

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Originally Posted by Beer-man 1. What has your annual spend been? What did you forecast it being? 2. Any of you downshift to reduced hours prior to RE? Anyone go back to work in some capacity? 3. Anyone RE with kids still in the house? How has that worked out? 4. What is your projected SS payout or current payout? Or how close is your projected or real SS to your actual spending?

1. Spending 15-20% higher than originally projected but offset by some inheritance. Wouldn't have pumped up the spending w/o that money.
2. Didn't downshift prior to retirement and didn't go back to work.
3. N/A. I'm single.
4. SS takes care of almost half of spending.

[Bir48die]

1) Spending is a little higher than when I was working because I was saving close to 50% of my salary. We're a bit higher at $115k per year of which about $20k is travel. My healthcare is by far #1 expense. No debt.

2) Did six months part time with full benefits. Just had lost my zeal for the business.

3) No kids at home. Four from 31-37. Five grandchildren. Doesn't mean we haven subsidize them over the years in one way or another.

4) SS for DW is $17/yr. Took at 62. I'm looking at either FRA of $33k or much more at 70 if I can last that long. Wife has pension of $30k.

[Huston55]

Quote:

Originally Posted by Beer-man 1. What has your annual spend been? What did you forecast it being? 2. Any of you downshift to reduced hours prior to RE? Anyone go back to work in some capacity? 3. Anyone RE with kids still in the house? How has that worked out? 4. What is your projected SS payout or current payout? Or how close is your projected or real SS to your actual spending?

FIREd in 2014 @ 58 & 56 yo.

1. Annual spend has been ~115% of pre-FIRE plan because we decided to move to a very high COL area (SF Bay Area). But, we’re still <3% WR.
2. Do a small bit of consulting for former Mega (~200 hrs/yr) because I enjoy it.
3. No kids, which helped us FIRE.
4. Our SS + two small pensions will cover ~half of projected spend when they’re all on line.

Not sure how much the info above helps you since everyone’s situation is somewhat unique. But, my advice would be:
- Semi-FIRE & work a reduced schedule for several years if you enjoy your work.
- Spend lots of time with your kids.
- Be sure to include kid costs & health care in your plans.
- Have a rock solid plan if you’re going to FIRE at such a young age; also have two levels of backup plans.
- Consider a “safety first” approach if you can make it work.

[Nature Lover]

Here you go:

1. Been retired now ~3yrs. Annual spend for recurring expenses, excluding taxes, ~$40k (single, no kids), and that's about what I forecast. I also budget ~$10k/yr to set aside or use for unusual health out of pocket costs and future asset replacements/major maintenance issues at the house.

2. No downshifting. Took a small consulting job with old employer....once (earlier this year). Learned that I didn't want to do that again, ever, if I can avoid it. I'm an "all in" kind of guy, and if I take a job, I think about it all day...so part-time or downshifting would likely have been a mistake for me. BTW, I have turned down more work/consulting opportunities that I ever expected to receive, and am glad I did. Time>money for me.

3. No kids.

4. As of today, I'm still likely 12 yrs out to SS, but didn't include it in my decision to retire @55. Pension income is sufficient to cover current basic expenses, and pensions have cola adjustments, so I was able to mostly discount SS in my retirement decision.

NL

[Teacher Terry]

Wow farmer I cannot believe 2 people can live on such a small amount. I am guessing no travel, eating out, etc.