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Old 01-23-2018, 07:33 AM   #21
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I was seeking a certain value of the quickly growing company stock I held. That amount, when cashed out, would be invested into a specific bond fund and buy enough shares to generate a desired monthly dividend income to pay my expenses with a decent cushion left over.


This target kinda sneaked up on me through 2007 and into 2008, as the markets began falling in 2008. The falling markets actually helped me reach my target sooner because the targeted bond fund's NAV dropped while the company stock price didn't.


Of course, being childfree (and single) helped make my plan very much doable, too.
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Old 01-23-2018, 07:33 AM   #22
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At one time I had a “number” of 4m. (Never got there). Number wasn’t based on anything concrete - just a WAG number. As I got older, a “number” wasn’t important to me anymore. LBYM replaced the number. The number we finally settled on was DW’s age in which she maximized retiree benefits.

OP - you’re only 37 - and doing well in real estate. The tone of your post doesn’t show that you are ready for retirement. You’ll know when you’re ready when you don’t have the fire to accomplish any new financial goals. Keep up your real estate investments, and gradually diversify out of real estate as your desire for more $ wanes.
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Old 01-23-2018, 08:08 AM   #23
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Not needing to worry about the stock market crashing. I'd prefer not, but NBD.
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Old 01-23-2018, 09:07 AM   #24
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The definition of "enough" will vary greatly depending on your retirement age, expenses, AA risk tolerance, pension/SS and when you plan to die. I'm sure you will see a wide range of answers to this question since each person situation is different. For me it was 36X expenses w/ a AA of 60/40. I was 49 when I ER'ed and I assumed no SS and my plan has me living until 95. Now (5 years later) we are at 47X expenses thanks to Mr Market. Will not increase "plan" spending until age 60 when I "hope" to have a better understanding what to expect from SS.
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Old 01-23-2018, 12:33 PM   #25
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OP, does your $85k involve effort, like being a landlord, or is it strictly passive? Do you have another job on top of this?

Our stopping point was a target age, we reached FI before we qualified for healthcare and pensions. We saved a lot while working, plus the small pensions, my retiree healthcare covered both of us and we each received a sizable inheritance.

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For me, enough came when the income gains just didn't seem worth it. In other words, spending 10-14 hours over 2 days to paint a house, isn't worth the stress of squeezing it into my day or giving up my cocktail hour, so I gladly pay $300-$400 to somebody else.
I asked my spouse last night how much it would cost to hire someone to clean our house since we both hate to do it. She said she saw ads for $20 and $30 an hour and my response was, well why aren't we doing it! We are only drawing 1% per year from our portfolio (tho the market is really high right now) and that is without Social Security.
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Old 01-23-2018, 12:47 PM   #26
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When you get to the point you can confidently tell the boss to take this job and shove it.

Then, wait a few more years (known as the one more year(s) syndrome, which is more contagious around here than the flu) and tell him/her.
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Old 01-23-2018, 01:03 PM   #27
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If you like buying properties why stop? I suspect you would probably need to explore other hobbies and find one you enjoyed more in order to stop, otherwise you would be bored.
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Old 01-23-2018, 01:51 PM   #28
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I got my first job in engineering at 35. Graduated at 36. I wasn't quite ready to think about retirement at 37.

I did start saving serious money at about 41 when the little ones came along.
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Old 01-23-2018, 02:38 PM   #29
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Enough money, or enough bull$hit?
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Old 01-23-2018, 02:42 PM   #30
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Enough money, or enough bull$hit?
I think the quote is, "You have a money bucket in one hand and a bullsh!t bucket in the other. When both are full, you are done".
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Old 01-23-2018, 02:55 PM   #31
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To the OP, at 37 there is now way I could have known what "enough" was. I was still young enough to be getting raises and promotions on a regular basis, I enjoyed by job, including the travel component which at times was more than 50%, and I was not sure the house or location we lived it was where we wanted to stay.

However, over time, time became more important than money. I started seeing that a larger house in most cases meant more time and effort. While I liked my job, seeing what the cost of getting further promotions was did not seem worth it. Being very LBYM but living comfortably, we were already saving/investing at a high rate so raises did not matter much more.

Yes, we did look at what our desired retirement expenses would be, and from that came up with a "target" for FI - but we reached that while I was still mostly having fun at the job and time was not yet that important. But now, a few years later, I prefer to use my time as I wish, and being able to afford the things that we want without having to choose to work probably means that I am at the "enough" level.

So, as others have said, it is not just about money, a number of of factors have to come into play to determine when one has had "enough". My work "B.S." bucket is hardly full. I am not running from that, I am running towards more personal time freedom.
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Old 01-23-2018, 02:58 PM   #32
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Whatever I had in my account when Megacorp downsized me was the 'right number' for me.
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Old 01-23-2018, 03:05 PM   #33
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To the OP, at 37 there is now way I could have known what "enough" was. I was still young enough to be getting raises and promotions on a regular basis, I enjoyed by job, including the travel component which at times was more than 50%, and I was not sure the house or location we lived it was where we wanted to stay.

While I liked my job, seeing what the cost of getting further promotions did not seem worth it.
This was and is a big factor for me. Incremental increases in income appear to be less and less. If I was still seeing big leaps in income every year or two I might continue. But how I see it I've peaked. So I keep a careful eye on the BS bucket, so I know when to dump it before it gets all over my shoes.
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Old 01-23-2018, 03:07 PM   #34
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I had enough when my job at mega corp began to require making trips to China and having conference calls with them on their time ... my time 10PM. I remember having a beer, floating on a lounge chair in our lake after a grueling day at work and realized "I don't have to do this anymore". 37 years of 401k contributions plus a company pension helped, but wasn't the deciding factor.
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Old 01-23-2018, 05:59 PM   #35
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I think the quote is, "You have a money bucket in one hand and a bullsh!t bucket in the other. When both are full, you are done".
Sadly, my money bucket is not quite full ...
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Old 01-23-2018, 06:08 PM   #36
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I'm not retired yet, but for me, it won't be a number... I think the number originally was $3 million in non-real estate monies, but I won't get there before I retire. I already know when I'm retiring because it'll be based on our company's retirement benefits... it's when I qualify for retiree medical benefits and eligible to withdraw from pension plan.

Based on what we have (or will have by then), and the numbers run by the financial planner, our only child may end up with $3 million when we're dead, to which I said, "Oh, she doesn't need that much money!" which means we may get to spend more than we think. That was also one driver of retiring as soon as we can.
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Old 01-23-2018, 06:14 PM   #37
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Greetings,

I'm 37 years old, married, no children (but we will likely have one child within a year or two). I have real estate investments that produce approximately $85,000 of taxable income per year after business deductions. I live in the Great Lakes region, so aside from high taxes it's a low cost of living relative to most metropolitan areas. Intellectually I know that I could survive for the rest of my life on this amount of cash flow. I find myself pursuing the purchase of more and more rental property with the sole intent of increasing my eventual "retirement income." I live a lot like a retired person right now, but I'm always thinking that more is better and thus continue to buy.
If more is always better, then, sadly, you will never have enough.

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For those who have already retired, what was your "enough" number? How did you settle on that,
I approached it backwards. I wanted to retire on 11/7/2009 (the first day I qualified to officially retire with benefits), and decided that whatever I had on that date would have to be enough. Then I worked like crazy and lived like a student trying to save all I could by that date.

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and how did you reign in the inevitable temptation to increase your passive income--even if you didn't really need it to live comfortably? I don't care about fancy cars or other status symbols, but I do have an unnatural obsession with passive income (e.g. the more the better).
Well, like I said, I was living like a student for years in advance trying to prepare for retirement. By the time I retired, I was used to a certain lifestyle and that was enough. But I have more income than that, so I am trying to learn how to spend more.
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What is "enough" for you? Any advice on how to slow down?
I'm always saying this on the forum, but I don't know if others can relate to it at all or not:
Meditate, look inwards, search within yourself for hours each week to discover what you really, really want. And then to the extent that you can afford it, buy/experience that which you really, really want. Don't waste your time and money on the rest.

For me this led to a feeling of contentment and "enough". Hope this helps.
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Old 01-23-2018, 06:53 PM   #38
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Old 01-23-2018, 07:06 PM   #39
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I had enough when my job at mega corp began to require making trips to China and having conference calls with them on their time ... my time 10PM.
I had the same experience late in my career, but it actually was a positive! In my case I could mostly schedule the trips around my schedule, they were a defined duration (one week to 10 days) and had a defined purpose (contract negotiation or technical presentation). I enjoyed the people, and the fact I was, mostly, treated very well.

When I retired, I actually told my boss that I would consider coming back to make these kinds of trips, but I was tired of the day to day project management and artificial deadlines.

To the OP: IMHO you should stay the course for a while. DW has a cousin that started in RE as a sideline (storage, then apartments). Eventually it became the full time job. They have since retired and sold everything, and cruise about 100 days a year.
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Old 01-23-2018, 07:35 PM   #40
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Sadly, my money bucket is not quite full ...
Well, that's normal. The bull$h!t bucket normally fills up first.
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