18 yrs 9mos and 22 days but who's counting??

[Cameron1038]

Hello!

My wife and I are 36 and targeting retirement at 55. Our combined annual base pay is about 92k/yr. My job has mandatory overtime which pushes that figure to about 110k/yr. Both of our jobs have a pension plan, and I currently put $834/mo (about 10k/yr) into my 401k. As this is a recent adjustment (6 months ago) I only have 20k in there now. According to a retirement calculator on our pension plan web site, our combined pension should be in the neighborhood of 3k to 3500/mo.

We are planning to retire to her home town in the Philippines. We expect the monthly cost of living to be around 2k. We do not have children and that is not going to change (not up for discussion).

We owe about 150k on our house and we pay extra on the mortgage every month so that it will be paid off 1 year before retirement. Both of our cars are paid off but I expect we will need another one within a few years. We do have about 10k in CC debt (due to needing a roof on the house earlier than expected) which is my current focus.

The best laid plans*of mice and men often go awry, I know, but I still believe that it's wise to start with the best possible plan.

This year our focus is to pay off the cc and save enough money to buy a plot of land to build a retirement house on.

Thank you for reading, constructive criticism welcomed, and I look forward to chatting with you!

Cameron

 

[MBAustin]

Welcome, Cameron! Glad to have you. What you have going for you is a goal and a reasonably long time to get there.

You are wise to get rid of the credit card debt ASAP. Personally, I'd put the extra $$ you're paying on your mortgage to the cc debt to get rid of it faster (I suspect the interest rate is much higher on the cc debt). When it's gone, you can go back to paying extra on the mortgage.

 

[Nick12]

Hello!

My wife and I are 36 and targeting retirement at 55. Our combined annual base pay is about 92k/yr. My job has mandatory overtime which pushes that figure to about 110k/yr. Both of our jobs have a pension plan, and I currently put $834/mo (about 10k/yr) into my 401k. As this is a recent adjustment (6 months ago) I only have 20k in there now. According to a retirement calculator on our pension plan web site, our combined pension should be in the neighborhood of 3k to 3500/mo.

We are planning to retire to her home town in the Philippines. We expect the monthly cost of living to be around 2k. We do not have children and that is not going to change (not up for discussion).

We owe about 150k on our house and we pay extra on the mortgage every month so that it will be paid off 1 year before retirement. Both of our cars are paid off but I expect we will need another one within a few years. We do have about 10k in CC debt (due to needing a roof on the house earlier than expected) which is my current focus.

The best laid plans*of mice and men often go awry, I know, but I still believe that it's wise to start with the best possible plan.

This year our focus is to pay off the cc and save enough money to buy a plot of land to build a retirement house on.

Thank you for reading, constructive criticism welcomed, and I look forward to chatting with you!

Cameron

I know of guys from the USA that retire in the Philippines and live like a king. Hired help is easy to find there and everyone speaks English. Just get ready for the only season of the year - hot, steamy and wet.

 

[Cameron1038]

I know of guys from the USA that retire in the Philippines and live like a king. Hired help is easy to find there and everyone speaks English. Just get ready for the only season of the year - hot, steamy and wet.

Lol yeah I have been a few times but not yet in the worst season (although I will be doing that within the next few years). It certainly has its pros and cons but I absolutely love it over there.

 

[Cameron1038]

Welcome, Cameron! Glad to have you. What you have going for you is a goal and a reasonably long time to get there.

You are wise to get rid of the credit card debt ASAP. Personally, I'd put the extra $$ you're paying on your mortgage to the cc debt to get rid of it faster (I suspect the interest rate is much higher on the cc debt). When it's gone, you can go back to paying extra on the mortgage.

Thank you for the warm welcome!

I will certainly take a look at this and talk it over with my wife. My current plan is to work voluntary overtime (in addition to the mandatory) to pay off the cc. It may end up being some combination of the two though, burn out is tough!

 

[friar1610]

I know of guys from the USA that retire in the Philippines and live like a king. Hired help is easy to find there and everyone speaks English. Just get ready for the only season of the year - hot, steamy and wet.

I was stationed in the Philippines with the Navy about 50 years ago. We were in a rural location in Zambales Province. In those days, Filippinos could join the USN as stewards and use that as a path to citizenship. Many stayed in for a career and returned to the Philippines and lived very comfortably on their Navy pensions. Those who were lucky enough to get stationed in the Philippines also lived very well because they tended to live on the Philippine economy while earning USN pay and allowances.

In our area the homes on the economy were fairly basic and simple. But every now and then you would see a very nice contemporary home. The standing joke was that the nicer homes either belonged to a politician or a retired Navy chief.

Getting back there for a visit is on my bucket list.

 

[Nick12]

Thank you for the warm welcome!

I will certainly take a look at this and talk it over with my wife. My current plan is to work voluntary overtime (in addition to the mandatory) to pay off the cc. It may end up being some combination of the two though, burn out is tough!

You are on the right track. I paid off my home in year12 of a 30 year fixed mortgage by working my butt off working 2 jobs for several years. Then the next 13 years I invested more in the market. Retired early at age 51 last year. It was all worth it.