How much money is needed in your retirement account to actually retire?

[lz]

True in many cases, but certainly not all. Pretty much everyone I used to work with either has or has had a part time job, but not because they NEEDED the money, but because that they liked getting out and having something to go to. Hell, I retired at 56 two years ago, and in that time I've had 4 part time jobs, and turned two others down that I would have liked to have had, but didn't like the hours. I liked those jobs, but one was seasonal, one turned from a perfect 3 days a week into a 4-5 days a week, and the other I just left for a better job with the company I retired from. I spent the last 5 months working part time for the company I retired from and loved it. I could basically name the days and hours I wanted to work. Will probably do that again next year and may pick up something in between if it looks like something I might enjoy. We're looking for a condo in Florida to do the snowbird thing for a few years and then maybe move permanently. If we find a place, I'll look for something there, like maybe a part time job in a marina. Just something to get me out and meet new people.

My advice for anyone wanting to retire....

* Put as much as you possibly can into a 401K

* Live within your means.

* Have your home, vehicle(s) and pretty much everything else paid off before you retire.

My wife and I were very fortunate. We both have pensions, had 401K's that we put a lot into, our kids have been out and gainfully employed for 12+ years, and we didn't owe anything when we retired. We don't live extravagantly, but we do things we like to do.

Very similar to me, though no part time work for us, Hoss, glad you shared, there’s no cookie cutter situation for humans...like my older brother, your skills allowed you to pick and choose part-time work in retirement, a great situation. Some of my former co-workers are still at their old jobs fulltime at age 70 because they admit they have no hobbies, decent health and still like their work, more power to them! A few worried about money, retired around late 60s, then realized they liked retirement and regretted they didn’t do it sooner as health problems arrived.

 

[fuzz77]

One thing for sure, if we all knew exactly how long we would live and how our health would hold up it would make a lot of these decisions a heck of a lot easier. My mother-in-law died at 71, my dad at 85 and my mother at 95. My maternal grandmother died at 72, my maternal grandfather and paternal grandmother both lived to 97. If I knew I was going in my early 70's I'd retired yesterday...

 

[lz]

One thing for sure, if we all knew exactly how long we would live and how our health would hold up it would make a lot of these decisions a heck of a lot easier. My mother-in-law died at 71, my dad at 85 and my mother at 95. My maternal grandmother died at 72, my maternal grandfather and paternal grandmother both lived to 97. If I knew I was going in my early 70's I'd retired yesterday...

Having good genes is a big help, though it seems so many children get cancer, etc, earlier than their parents did based on my family and friends, key is to catch them early, much better to chance to beat them, of course.

 

[JDHoss]

One thing for sure, if we all knew exactly how long we would live and how our health would hold up it would make a lot of these decisions a heck of a lot easier. My mother-in-law died at 71, my dad at 85 and my mother at 95. My maternal grandmother died at 72, my maternal grandfather and paternal grandmother both lived to 97. If I knew I was going in my early 70's I'd retired yesterday...

You just never know. Longevity for the male members of my family on both sides isn't very good, although lifestyle (workaholic, alcoholism, heavy smokers, black lung) has played a big part in that. I've had 2 male members who lived past 70. One who died at 72 after retiring from US Steel after 35 years with a respiratory problem, and the other who ironically lived to be 96, yet worked 43 years in the mines, drank and smoked since he was a kid. You can never take anything for granted. I've worked with a lot of guys who never made it to 65. One wanted to put off retiring until he was 65, then at 64 decided to do it. He had a massive heart attack three months later while he was raking leaves.

 

[JDHoss]

Very similar to me, though no part time work for us, Hoss, glad you shared, there’s no cookie cutter situation for humans...like my older brother, your skills allowed you to pick and choose part-time work in retirement, a great situation. Some of my former co-workers are still at their old jobs fulltime at age 70 because they admit they have no hobbies, decent health and still like their work, more power to them! A few worried about money, retired around late 60s, then realized they liked retirement and regretted they didn’t do it sooner as health problems arrived.

Yeah, people retire/keep working for different reasons. The boss I had when I came back to my old employer is 64, and is thinking about retiring at the end of the year, but dreading it just the same. He has enough money to burn a wet mule, but said he was going to miss coming in and seeing everybody. He had a crew of 8 regular mechanics and 4 retirees like me and we were responsible for the HVAC/small chillers/coolers/ice machines around the plant. It was a close knit group, and I had a blast working with them. Guys I've worked with that retired and didn't work again at something part time have been pretty rare. Unless we find a place in Florida soon, I'll may work for a few weeks to fill in for guys who take vacation for hunting or the holidays. If not, I may volunteer at the food bank or something.

 

[AlbanyWildCat]

More up my alley...

 

[BlueRaider22]

In relation to the OP's original question.

https://www.msn.com/en-us/money/ret...ast-you-decades/ss-BBLXC0E?li=BBnb7Kz#image=1

 

[Chuckinden]

Enjoy your CDs. If you’re lucky, a local credit union can probably get you 1.25% for 18 months!!!

I got 2.55% on a 1 yr CD from Goldman Sachs just a couple weeks ago.

 

[Chuckinden]

What I have come to find is wealthy people are use to paying more for certain things. Like financial advisors. However, the results from utilization of such financial advisor is no better than investing money into Vanguard funds

Large pensions use to turn to hedge funds thinking they would be able to quickly grow their funds...only to find out this was not the case, while they payed through the nose for such flimsy guidance.

I don't use a financial advisor, but I have a very good tax accountant. Maybe you are confusing the two, but financial advisors are needed for people who have very little sense with their money.

How much does your tax accountant charge for his financial advice?

 

[Chuckinden]

Ever notice how wealthy people use financial advisors and the less wealthy don't?

Hmmm...

I'm not an experienced investor, nor do I want to take the time and effort to learn. That's why I don't mind paying a financial advisor.

It's kinda like a guy that pays to have his yard work done. He could probably do it himself, but just doesn't want to.

 

[fuzz77]

In relation to the OP's original question.

https://www.msn.com/en-us/money/ret...ast-you-decades/ss-BBLXC0E?li=BBnb7Kz#image=1

I could be on board for doing something like that...my wife? Never!

 

[BlueRaider22]

I could be on board for doing something like that...my wife? Never!

Same boat. If I have internet and the ability to watch my sports, then I could move to another country in retirement. And it's likely that by the time we retire that just about every single country will be able to achieve those goals. But my wife wouldn't be up for it. She couldn't leave the kids or extended family.

 

[PTI (pti)]

I got 2.55% on a 1 yr CD from Goldman Sachs just a couple weeks ago.

Wow!!!!!!!!!!!!

 

[Chuckinden]

Wow!!!!!!!!!!!!

Where would you have put it that is safe and secure, ole wise one?

 

[Bill Cosby]

Where would you have put it that is safe and secure, ole wise one?

AMZN

 

[AlbanyWildCat]

How much does your tax accountant charge for his financial advice?

Not sure I said anything about going to my tax guy for financial advice.

 

[AlbanyWildCat]

I'm not an experienced investor, nor do I want to take the time and effort to learn. That's why I don't mind paying a financial advisor.

It's kinda like a guy that pays to have his yard work done. He could probably do it himself, but just doesn't want to.

I guess equating the cutting of your grass to managing your money is a good way for you to sleep at night.

I tend to think of my money to be fair more important than keeping my yard looking nice.

 

[Chuckinden]

I guess equating the cutting of your grass to managing your money is a good way for you to sleep at night.

I tend to think of my money to be fair more important than keeping my yard looking nice.

Then you should use a money professional.

 

[AustinTXCat]

I got 2.55% on a 1 yr CD from Goldman Sachs just a couple weeks ago.

Good job. Chuck. Hell, I'm earning 2.5% from a lowly local credit union on 18-month CDs.

Laddering is your friend until dumping into stocks.

 

[Get Bucket$]

Good job. Chuck. Hell, I'm earning 2.5% from a lowly local credit union on 18-month CDs.

Laddering is your friend until dumping into stocks.

Money markets are currently paying at least 2%.

 

[AustinTXCat]

Money markets are currently paying at least 2%.

True. My Vanguard MM pays 2.05%, perhaps more.

Depends on your outlook. I'm happy with my current hedge strategy. Looking at 3% going forward.

Edit: Current Vanguard Prime MM pays 2.15%. I'll take it for now. Moving more into VWEHX later.

 

[ekywildcat]

Some great sites for help:

https://www.bogleheads.org/forum/index.php

http://www.early-retirement.org/

https://www.evansonasset.com/

Lot of good information on Bogleheads. I'll have to try the other one's. Another site I found pretty interesting is http://www.mrmoneymustache.com/
If you register, they ask two questions about the forum. You can google the answers.

 

[Ephcat]

Financial advisors are almost always the conduit to hedge funds for the well heeled.

Even institutional investors go thru FA's to get to the hedge funds.

This is generally untrue for large institutional investors. They go direct to HFs.

 

[Ephcat]

True, but I didn't see that specified so didn't assume so. That said, outside our IRA's we have munis & KY ones only. We use the Dupree KY specific funds to some degree & in both cases avoid KY income taxes too.

Dupree does a good job for a conservative part of any portfolio. I used to work there so I can vouch for them.

 

[AustinTXCat]

Dupree does a good job for a conservative part of any portfolio. I used to work there so I can vouch for them.

I maintained an account for my daughter with Dupree for 18 years. Plan on opening another for my granddaughter very soon.