lazygood4nothinbum
Thinks s/he gets paid by the post
- Joined
- Feb 27, 2006
- Messages
- 3,895
ok, well, not really, but i think maybe i broke some fire rules. single guy quits work at 48 (just turned 49) with about 100k in 401k and a few k in savings. owes 60k on 500k house. leases current car & has $s put aside for the next one. has no other debts or obligations. will inherit minimum 1.2mm within a few months or more $s in max 2-3 years (hospice now onboard). to reduce estate, currently tax-free-gifting family members (plus insurance premiums for me). between 401k, savings & gifting, i have enough to remain in my house without working for about 6 years if i also include taking 100k equity towards the middle of that period. likely i will inherit before that draw.
having lurked your forum for the past month, i’m delighted by the knowledge you have about instruments of investment, distribution and making money last a lifetime. the generosity with which you have shared your information encouraged this post. though financially careful, i am far from savvy and so hope to glean some modicum of this board’s wisdom.
my plan is (or was, subject to new info i’m gathering) to sell house at age 55 and move onto a trawler or motorsailer for a life of cruising. i figure by then i’ll have about 1.5mm plus a house worth between 650k & 875k, house could be less but likely more as this locale is just now revving up. before quitting my job, i hadn’t even considered inflation over time (i figured 15k of ss & pension at 65 would pick that up) but you have certainly opened my eyes to that. so, though i’m not in as good of financial shape as i thought i was, i hope my plan is still doable.
i have some questions. please forgive me if i am not familiar with proper terminology. i've been a working stiff till 6 months ago and am just now learning this new stuff.
of the 4% magical number, is that 4% after taxes? that entire 4% is disposable? does that presume preserving all the capital to the end of my life? if i wasn’t trading the house for a boat, or if i buy a boat that maintains much of its value, will i die leaving all that cash on the table? just how well are my niece and nephews gonna make out here to assure my secure future? not to be selfish (they’ll get some boat rides in) but don’t i get to spend that money?
also i think i’ll have a few options which i’m not sure how to play. i could sell house and buy very nice boat to live on full-time. or sell house and buy pretty nice boat and a piece of property. then sell boat to build modest house on property when i'm too old to cruise. or sell house, buy a reasonable boat to live on part time and get a modest house maybe on big island hawaii. then use what’s left of boat later in life to renovate house (this option to protect against rising construction costs). not that i’m sure of any of this, but the next option gives me the most question especially after reading past posts on this board.
assuming i have 1.5mm. would it be reasonable to take 500k of that, buy boat, keep my current house (expenses are minimal here), live on the 1mm taking 6% or so per year. then, later, either sell house, boat or both and have enough for that hawaii house and some comfortable ending years. i figure this might be possible considering that over the next 30 years, the big island is expected to gain 30,000 population total whereas my current (already built-out) area expects to grow by 30,000 each year. supply & demand seems to indicate that holding this house would afford me well into the future.
sorry for such a long post. i look forward to your illuminating & humbling replies. thank you.
having lurked your forum for the past month, i’m delighted by the knowledge you have about instruments of investment, distribution and making money last a lifetime. the generosity with which you have shared your information encouraged this post. though financially careful, i am far from savvy and so hope to glean some modicum of this board’s wisdom.
my plan is (or was, subject to new info i’m gathering) to sell house at age 55 and move onto a trawler or motorsailer for a life of cruising. i figure by then i’ll have about 1.5mm plus a house worth between 650k & 875k, house could be less but likely more as this locale is just now revving up. before quitting my job, i hadn’t even considered inflation over time (i figured 15k of ss & pension at 65 would pick that up) but you have certainly opened my eyes to that. so, though i’m not in as good of financial shape as i thought i was, i hope my plan is still doable.
i have some questions. please forgive me if i am not familiar with proper terminology. i've been a working stiff till 6 months ago and am just now learning this new stuff.
of the 4% magical number, is that 4% after taxes? that entire 4% is disposable? does that presume preserving all the capital to the end of my life? if i wasn’t trading the house for a boat, or if i buy a boat that maintains much of its value, will i die leaving all that cash on the table? just how well are my niece and nephews gonna make out here to assure my secure future? not to be selfish (they’ll get some boat rides in) but don’t i get to spend that money?
also i think i’ll have a few options which i’m not sure how to play. i could sell house and buy very nice boat to live on full-time. or sell house and buy pretty nice boat and a piece of property. then sell boat to build modest house on property when i'm too old to cruise. or sell house, buy a reasonable boat to live on part time and get a modest house maybe on big island hawaii. then use what’s left of boat later in life to renovate house (this option to protect against rising construction costs). not that i’m sure of any of this, but the next option gives me the most question especially after reading past posts on this board.
assuming i have 1.5mm. would it be reasonable to take 500k of that, buy boat, keep my current house (expenses are minimal here), live on the 1mm taking 6% or so per year. then, later, either sell house, boat or both and have enough for that hawaii house and some comfortable ending years. i figure this might be possible considering that over the next 30 years, the big island is expected to gain 30,000 population total whereas my current (already built-out) area expects to grow by 30,000 each year. supply & demand seems to indicate that holding this house would afford me well into the future.
sorry for such a long post. i look forward to your illuminating & humbling replies. thank you.