Poll: FIRE funds to cover monthly costs come from?

[W2R]

The periodic SIRE v FIRE poll, nothing wrong with that.

IMO it is incorrect to assume that our members spend every last cent we can get our hands on.

I voted for 75%+ covered by the sum of pension + SS. That covers my present monthly spending.

But if I spent what FIRECalc says I can spend, my funds would be mainly from my portfolio with 25%+ covered by the sum of pension + SS.

So to my way of thinking this is not a FIRE or SIRE poll.

 

[Midpack]

The periodic SIRE v FIRE poll, nothing wrong with that.

IMO it is incorrect to assume that our members spend every last cent we can get our hands on.

I voted for 75%+ covered by the sum of pension + SS. That covers my present monthly spending.

But if I spent what FIRECalc says I can spend, my funds would be mainly from my portfolio with 25%+ covered by the sum of pension + SS.

So to my way of thinking this is not a FIRE or SIRE poll.

Huh? It's a poll asking to what degree we're all FIRE, SIRE or in between. Who said anything about spending

 

[W2R]

Huh? It's a poll asking to what degree we're all FIRE, SIRE or in between. Who said anything about spending

Follow up to the earlier Fat FIRE II poll. Lets get a pulse on where you draw your monthly funds to cover living costs (which means everything from light bill to that Christmas Leg Lamp).

"Poll: FIRE funds to cover monthly costs come from?"

(my emphasis) I only spend enough to cover my monthly costs, plus a little extra. I have lots extra that I could spend but that wouldn't be necessary to pay monthly costs. Did I misunderstand? eek

I guess everyone here COULD live off their pension + SS, but I don't think that makes our entire membership SIRE since they spend more than that. I think spending is the key factor. I am under the impression that very few of us have retired before building a substantial investment portfolio.

 

[FIREd]

50% Rents and 50% withdrawals from financial investments.

 

[EastWest Gal]

100% securities. I'm making some Roth conversions between now and 72 as well. I'll either pay taxes now or later. Tax rate is likely to go up in 2026, if not before. About half of our income is from sold securities and half from dividends.

 

[Dinker01]

Deferred comp and inherited annuities for the first five years. Then expecting a combination of variable annuity and securities/dividends. DH could opt for pension but I think he will take the lump sum option.

 

[Nature Lover]

Regular recurring costs are covered by stable income, with a little usually left over each year that I add to investments; more infrequent - larger discretionary costs are covered by investments when they occur.

 

[Midpack]

"Poll: FIRE funds to cover monthly costs come from?"

(my emphasis) I only spend enough to cover my monthly costs, plus a little extra. I have lots extra that I could spend but that wouldn't be necessary to pay monthly costs. Did I misunderstand? eek

I guess everyone here COULD live off their pension + SS, but I don't think that makes our entire membership SIRE since they spend more than that. I think spending is the key factor. I am under the impression that very few of us have retired before building a substantial investment portfolio.

Maybe I'm mistaken. I just took it to mean if you can fully cover your monthly costs (whatever you choose) with a pension + social security, you're 100% SIRE. If you have funds over and above that, as undoubtedly many do, you're still 100% SIRE.

IMO it is incorrect to assume that our members spend every last cent we can get our hands on.

I wasn't thinking or assuming what members spend vs available income.

 

[brett]

100% in covid.

Less in pre/post covid due to travel costs.

 

[bada bing]

I'm early in the process of transitioning from 100% FIRE to 100% SIRE. I'm deferring all income streams as long as possible while making Roth conversions, but different streams have different mandatory start dates.

Age 62 (today) - 75% taxable savings + 25% summer gig work
Age 65 - first pension starts - 55% taxable savings + 25% summer gig work + 20% pension
Age 70 - SS starts - 55% SS + 25% Summer gig work + 20% Pension #1
Age 71.5 - 2nd pension starts - 50% SS + 30% Pension #2 + 20% Pension #1
Age 75 (if SECURE II passes) RMDs on remaining tIRA get re-invested, slowly replenishing taxable
Age 80 - they perfect cellular rejuvenation, I elect to rewind to age 25 and go back to work

Like most here, it has a few moving parts to juggle. And of course Man plans and God laughs.

 

[Green Papaya]

Currently spending money saved up prior to FIRE + dividends + IRA distribution. Not taking SS yet. No pension either.

 

[rk911]

100% pension AND SS.

 

[Bossman]

Found it interesting to break my monthly expenses by category.

Pension (30%)
Social Security (25%)
IRA Withdrawals (25%)
Dividends (15%)
Savings (5%)

 

[old medic]

My pension alone will cover 100% of our monthly living expenses with some play money left over.
The wifes income is more than my pension, and 30% of that is going into her 401K over the next 5 years when she retires with a similar pension, and I (maybe) start drawing SS.
We figure our combined 401K savings will be around 300K without growth.

 

[DrRoy]

75-80% securities.

 

[gomo]

100% qualified dividends since 2012.

 

[ncbill]

My pension alone will cover 100% of our monthly living expenses with some play money left over.
The wifes income is more than my pension, and 30% of that is going into her 401K over the next 5 years when she retires with a similar pension, and I (maybe) start drawing SS.
We figure our combined 401K savings will be around 300K without growth.

I make my spouse work as well...convincing them that it was their idea was the hard part.

 

[tmitchell]

100% securities. Never given the option for a pension!

Maybe SS if it’s still there.

 

[pacergal]

Fully SIRE/pension and ss more than covers bills at this point.

 

[Katsmeow]

interesting that on a site for "early"retirement 75 percent (current poll) draw pensions.

I'm 100 pct securities.

We got older. When I joined here and semi-retired and DH retired, I wasn't eligible for SS. Now, I am.

The way I answered the question is that I assumed we first spend our SS (not a pension) and then the rest of our spending come from our investments. I said it was 75% ss but it is really more like 66% although that can vary a bit from year to year.

 

[MrsHaloFIRE]

Pensions and rental income. If that won't do it we'd pull from savings. Then RMD and SSC will hit at the same time I think.

If something happens to DH it would be my reduced part of his pension and rental income, savings, then start a 1pct or so draw from taxable. Until that ran out then pull some more on an as needed basis. That's the plan until I get in the ring and get punched in the face.

 

[audreyh1]

Our annual living funds come from only investable assets so I chose 100% securities, but in terms of mechanics, these are drawn annually from up the retirement investment accounts, put in high yield savings and monthly funds are drawn from savings as needed.

 

[audreyh1]

interesting that on a site for "early"retirement 75 percent (current poll) draw pensions.

I'm 100 pct securities.

They retired early, but stayed around here as they got older.

I joined in 2006 but the forum had already been around for a while. And I had already been retired for a while.

 

[cat4ever]

In my case at 56 it makes all the sense in the world to start taking my pension now. Many may be in the same boat. Holding off adds <2% per year so why wait? It’s also not COLAd which is the case for most pensions I think.

 

[RobbieB]

My SS allowance is about 10% of spending. The rest is all draw from savings.