80% Rule?

[John Galt]

A "Virgin" phone is one that has never been plugged in.

A short story. We need a bed or futon to accommodate
visitors. We had a fairly nice bunk bed (bought used)
but in my zeal to liquidate stuff and raise cash, I sold it.
Anyway, in my pre-ER days I would have maybe shopped a little and then just bought something.
This time around, my wife found an old iron bed frame
in the attic. Then she hauled home a pretty nice mattress from the nursing home where she works.
(They were replacing them). I picked up some perfectly sized wooden slats off the neighbor's burn pile.
When completed, we'll have a nice single bed. Total
cost of $2.00 (for paint) and maybe a half hour's work.
ER, you gotta love it !

John Galt

 

[Bob_Smith]

Here's what I decied to do 40 years ago and it has worked better that I could have expected: save as much as you can until it hurts.  If it continues to hurt, back off a bit on the savings, but still continue to save but at a lower rate.  Once you feel comefortable again, increase the saving % and keep doing so until it hurts again. Then back it off, etc., etc.

The entire process is so simple. Making projections 17, or 27 or 37 years into the future is crazy.  You have no idea what lies ahead but you do know what you have now (today) and that is the only thing that you can realistically control.

Economist Adam Smith came up with his "invisable hand" theory hundreds of years ago and it sorta works with my plan.  Save/invest as much as you can along the way.  Over a 40 year period it somehow works out.

regards,
mickeyd :

Hey mickeyd, great post! I agree 100% and followed the same strategy you are describing.

 

[skay]

Cute, John :
Now, What's the Virgin mobile phone plan?

 

[John Galt]

A "Virgin mobile phone" is one that will go with anyone in their car and still not get plugged in. Happy to be
able to explain this stuff.

John Galt

 

[Traveler]

I'll do more research on the Virgin mobile phone plan since it seems to be an object of derision...as well it should since it wears the "Virgin" moniker. ;-)

John and anyone else out there looking for an extra bed for guests: forget a space-consuming bed or futon. We went to Costco and bought a $40 (if it was even that much) inflatable mattress. Very good quality. Size of a queen-size mattress. Durable and more comfortable than anything else we've tried: sofa beds, reconditioned mattresses, et. al. Folds up into a small package. Comes with an automatic inflation device. You can put the mattress on a frame (home-made or bought) or right on the floor. Great for camping, too.

 

[unclemick]

I believe my first inflatable matress came mail order from Playboy 30 yrs ago. Have used them for 30 yrs in lieu of an 'expensive' bed(my single days), camper era, and curently have a queen size(from Walmart) for overflow guests at the camp. Also have the plug in pump. And that's one thing(in a single suitcase) brought with us during Hurricane evacuation time.

 

[mickeyd]

FYI the Marines call an inflatable mattress a "rubber lady". makes sense to me!

 

[John Galt]

I was driving around today and noticed someone putting
a mattress, box spring, and dresser out by the curb.
Naturally I stopped and asked. Yes they said, they
were mine if I wanted them, which I certainly did.
Sooooooooooooo, I hauled them all home where my wife informed me that they were the wrong size. DOH!!
The mattress and box spring have now been burned,
but I think I can make money on the dresser. BYW,
my spouse thinks I have now gone too far and is
lobbying for a new futon from BIG LOTS. I think she
has a point. Free is good, but it can be taken to excess.

John Galt

 

[gayl]

I took a couple of years to decellerate

Still decellerating here ... hope it ends in a few years.

I read an article online a few months back and it made perfect sense. Basically it stated to subtract FICA (7.25%), Medicare (.65%?), and retirement savings (average 10 -20%) from income. This leaves most needing 72 - 82% if they want to be able to spend as much money in retirement as they had pre-retirement. The spendable income will actually be more than before as the tax bracket will be lower. But that is harder to put in general terms.

Of course, if you are able to dump your mortgage then you could subtract that too.