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Threats and Solutions to retirement
Old 09-07-2005, 01:01 PM   #1
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Threats and Solutions to retirement

The sudden spike in the price of gas/natural gas has gotten me thinking about what threats exist to ER (aside from stock market tumbles) and what can be done to mitigate those risks.* I'm talking about price increases that are well beyond regular inflation.

I'd be curious in what others think.*

Some threats/impact/solutions that come to mind

Threat: Large increase in cost of natural gas
Impact: Dramatic increase in cost to heat home
Solutions:
1) Heat primarily with wood, geothermal heat pump.
2) Move some place warm.
3) Buy R2000 house with active or passive solar.
4) Buy a smaller house
5) Be invested in natural gas to hedge.

Threat: Large increase in cost of gas
Impact: Dramatic increase in cost of driving
Solutions:
1) Reduce driving
2) Buy vehicle that gets high mpg.
3) Move closer to frequent destinations
4) Be invested in oil to hedge.

Threat: Large increase in electricity costs.
Impact: Increase in cost of Heating/Lighting
Solutions:
1) Heat primarily with wood.
2) Move someplace warm
3) Invest in solar electric panels/wind turbines to reduce dependency on grid.
4) Go fully “off the grid” with solar/wind.
5) Change all lighting to high efficiency fluorescent.
6) Buy a smaller house
7) Be invested in power companies to hedge.

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Re: Threats and Solutions to retirement
Old 09-07-2005, 01:08 PM   #2
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Re: Threats and Solutions to retirement

"It's always something!" Rosanne Roseannadana

Where is you signature quote from?
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Re: Threats and Solutions to retirement
Old 09-07-2005, 01:09 PM   #3
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Re: Threats and Solutions to retirement

Threat: *Greatly increased cost of medical insurance

Solutions: *
1.* Obtain high deductible catestrophic coverage at a lower cost
2.* Live a healthy lifestyle and stay in shape
3.* Seek less expensive medical care out of the US
4.* Shield your assets to avoid loss due to medical bills
5.*


Threat:* A close family member has "problems" and you feel obligated to help when they ask.

Solutions:
1.* Tell them to buzz off.
2.* Help them in a limited way that does not interfere with ER.
3.* Live with the illusion of a very modest lifestyle so they don't ask for help in the first place.
4.* Live somewhere far away and leave no forwarding address.
5.* Keep your assets in a trust or some other vehicle so you can honestly say "I'd like to help but I don't have the money."



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Re: Threats and Solutions to retirement
Old 09-08-2005, 06:52 AM   #4
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Re: Threats and Solutions to retirement

Its part of a song called "Little Bones" by a Canadian band called The Tragically Hip. Being self-employed and billing by the hour, it seemed appropriate.

There's another verse in one of their other songs which I love:

"You gotta get to know your cage; stress points, corrosive age.
The keeper's hours throughout the day; his habits, weaknesses and ways"

Quote:
Originally Posted by dex
"It's always something!"* Rosanne Roseannadana

Where is you signature quote from?
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Re: Threats and Solutions to retirement
Old 09-08-2005, 08:46 PM   #5
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Re: Threats and Solutions to retirement

"New Orleans is sinkin' man, and I don't wanna swim..."
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