http://tinyurl.com/3555jc
why, i feel so sorry for all the challenges these middle class millionaires face
why, i feel so sorry for all the challenges these middle class millionaires face
Mansions and yachts are out. The mMillionaires who want to retire before age 65 or 72, find they must live in three- and four-bedroom homes and drive mid-priced four-door sedans and mini-vans.
is a certified financial planner and president of D.B. Root & Company Wealth Management in Pittsburgh
at least the author had no motive or hidden agenda ...
at least the author had no motive or hidden agenda ...
Well, 4% SWR on a 2 mil portfolio produces 80K per year. That certainly isn't poverty but I wouldn't call it being rich, either....
Do they really believe this stuff? Sure, rising health care cost and general inflation is a problem for everyone but I think I can manage just fine on a 2 mil portfolio.
Well, 4% SWR on a 2 mil portfolio produces 80K per year. That certainly isn't poverty but I wouldn't call it being rich, either.
No 2 pencil - 25 times expenses(preferably multiplyed out longhand) - you don't like the answer! - Duh. - change expenses!
The cost of being rich just keeps going up and up. Just check out the Forbes "Cost of Living Extremely Well" index. The index clearly shows that the cost of being rich is racing ahead of the normal cost of living as measured by the CPI....
The chart below shows the Forbes "Cost of Living Extremely Well" index in yellow and the CPI in purple. Check out the article : The Cost Of Living Extremely Well Index - Forbes.com.
It sounds like you mis-read the article. It says folks with 2 mil bux find themselves retired with middle class amenities like three bedroom houses and minivans, and not with mansions and limo's like you might expect from millionaires. In fact, it sounds like you'll be retiring in a similar fashion to the folks referenced in the article. Perhaps you're drastically overestimating what you need to retire and should be considering RE sooner and with less? Otherwise, you'll be just like the folks in the article!Hmmm. My plan still calls for me to retire at 52 in a three bedroom house with a hair under $2M. I better call that wealth management firm and find out what is wrong with my spreadsheet.
Hey, unclemick, can I be a junior curmudgeon? I don't have a number 2 pencil, but I can do longhand multiplication...
2Cor521
Well, 4% SWR on a 2 mil portfolio produces 80K per year. That certainly isn't poverty but I wouldn't call it being rich, either.
For a person living in a low cost part of the U.S., with no debt or unusual expenses, it's pretty nice. For someone who lives in a high price area and has extra medical expenses, kids still in college, home mortgage, etc it can be just one step above dog food.
It sounds like you mis-read the article. It says folks with 2 mil bux find themselves retired with middle class amenities like three bedroom houses and minivans, and not with mansions and limo's like you might expect from millionaires. In fact, it sounds like you'll be retiring in a similar fashion to the folks referenced in the article. Perhaps you're drastically overestimating what you need to retire and should be considering RE sooner and with less? Otherwise, you'll be just like the folks in the article!