Poll: Target monthly retirement income

[steadystate]

Monthly retirement income after retirement is such a fundamental number that I thought it would be interesting to see the histogram for this select population. Based on folk's introduction posts, with items like "130k pension" and "5M nest egg", I suspect I get blown out of the water. Anyway, let's see!

Q: What is your planned, or actual, after-tax monthly income for retirement? This includes everything ... nest egg withdrawals, rentals, part time work, the whole kaboodle.

This means household income.

Both pre and post retirees can reply.

 

[REWahoo]

What's yours?

 

[2017ish]

No poll included.... OK--I posted too soon.

Our semi-annual "target" is 2% of portfolio value at 7/31 and again at 1/31.... So far, we aren't paying that close of attention though and don't have a budget; probably will do a retrospective look on the first anniversary.

If portfolio goes down by more than 50%, we'll revisit and think about counting on Social Security.

 

[JoeWras]

For those with free healthcare, do you include the imputed income?

 

[jebmke]

I don't have a target. I try to keep it as low as I reasonably can, subject to discretionary income decisions like ROTH conversions.

 

[Amethyst]

Before or after tax? After-tax, I figure, since that's what you can actually spend?

 

[Meadbh]

Before or after tax? After-tax, I figure, since that's what you can actually spend?

The OP clearly states after tax.

 

[audreyh1]

It's not really a target, it totally depends on the value of my my retirement portfolio on Dec 31 each year.

 

[Meadbh]

For those with free healthcare, do you include the imputed income?

I have no idea what you are asking. Could you please clarify your question?

Where I live, we have universal healthcare. It is not free. It has to be paid for somehow. We pay for it with taxes. Current projections for healthcare spending are CDN$6604 per person for the year 2017. That’s US$5184.80 at today’s exchange rate.

As the OP requested, I calculated my desired monthly income based on lifestyle costs, but excluding taxes. I’m not sure I was “imputing” anything. FWIW, I came up with a figure of US$5000 per month, which is what I desire, though I generally spend less. That figure includes everything except income taxes.

 

[audreyh1]

The OP clearly states after tax.

Oops, missed that.

 

[Teacher Terry]

$4750 not counting about 10k extra on vacations a year.

 

[JoeWras]

I have no idea what you are asking. Could you please clarify your question?

Where I live, we have universal healthcare. It is not free. It has to be paid for somehow. We pay for it with taxes. Current projections for healthcare spending are CDN$6604 per person for the year 2017. That’s US$5184.80 at today’s exchange rate.

As the OP requested, I calculated my desired monthly income based on lifestyle costs, but excluding taxes. I’m not sure I was “imputing” anything. FWIW, I came up with a figure of US$5000 per month, which is what I desire, though I generally spend less. That figure includes everything.

Canada, eh? No problem, ignore the request. You are all on equal footing.

 

[foxfirev5]

Monthly not too much. However I pull out the big stuff - Taxes, Insurance, Vacations and Capital Expenses as a lump sum. The annual budget is all I calculate.

 

[W2R]

OK, I used this sentence as my guideline:

What is your planned, or actual, after-tax monthly income for retirement? This includes everything ... nest egg withdrawals, rentals, part time work, the whole kaboodle.

I divided my annual income by 12 to get monthly.

My spending is less than my income, and FIRECalc says I can spend more than my income. So, either of those would have been in a different category.

 

[scrabbler1]

I didn't count the very erratic cap gain distributions I sometimes receive, only the more steady dividends, monthly and quarterly (divided by 3). Kinda tough to figure out the taxes on only the dividends because the taxes I pay are on all the income. Most of the cap gains are taxed very lightly anyway. It's still well under $3,000 a month.

 

[Danmar]

I am really not sure what people hope to learn from a poll like this? Other than there is a wide distribution of incomes, just like everywhere else? Nonetheless, looks like the top choice is too low given the distribution so far.

 

[aja8888]

I'd like to see the list of seven members here (so far) that chose "more than $20,000". Are these Boglehead's transferees?

 

[W2R]

I'd like to see the list of seven members here (so far) that chose "more than $20,000". Are these Boglehead's transferees?

They were probably thinking, "desired monthly income? Oh yeah, that's going to be high...."

 

[REWahoo]

They were probably thinking, "desired monthly income? Oh yeah, that's going to be high...."

Yep, why not desire the max?

 

[zack59]

First post here, Great site! 3k to 4k for me, I try and live fairly simple.

 

[W2R]

First post here, Great site! 3k to 4k for me, I try and live fairly simple.

Hi Zack59, and welcome to the Early Retirement Forum! Feel free to start a thread on the "Hi, I am.." subforum when you are ready, and maybe tell us a little about yourself if you feel comfortable doing that. Glad you like it here.

 

[Luck_Club]

It's all relative.

I have a pretty high monthly number, but the monthly expenses are high as well. $33K in annual property taxes and insurance. Of course it is only estimated cash flows until 2027, and doesn't take into account inflation.

Not surprisingly I have a net annual number left over after major fixed expenses, and a generous discretionary spending.

 

[steadystate]

I am really not sure what people hope to learn from a poll like this? Other than there is a wide distribution of incomes, just like everywhere else? Nonetheless, looks like the top choice is too low given the distribution so far.

It's just interesting to learn the characteristics of this very special population. NOT representative of the nation as a whole! Anyway if you don't like it no need to vote or look.

 

[Meadbh]

It's just interesting to learn the characteristics of this very special population. NOT representative of the nation as a whole! Anyway if you don't like it no need to vote or look.

The only thing that I can discern so far is wide variation. The question was imprecise, as are the narrative responses. The poll cannot represent “the nation as a whole” since this is the Internet, and there be furriners about!

 

[rodi]

5-6k - but that is for a family of four. So per person it's <1500 per person.... But we all know there is economy of scale... 4 live together cheaper, than they would separately... But then again 2 of the 4 are teenage boys - so our grocery bills are horrendous.

I guess all this is to show that the data, in the form you asked it, is kind of useless.

I suspect if it were just DH and me we'd be comfortable with $4k/month... and that would allow for lots of travel.