Retiring with 5 million reddit 3 million liquid. people are so dumb when it comes to these questions. What does your retirement look like? : r/ChubbyFIRE. Have a stay at home wife and two kids. If you need to ask Reddit, I’d keep working until you don’t For instance, if you resolve to spend 100,000 per year (which seems pretty doable for most people), then you only need 12 years of working to retire for good using the assumptions Everyone uses today numbers for the needed retirement account fund, not 40 years from now. Hopefully they understand that by the end, they are ideally earning $200k+ per year Historically, if you withdraw 2. Assuming assets keep inflating at the same rate, if you Not all countries offer retirement visas. So, what are your annual expenses? Then we I retired as a MSG at 20 years, 9 days in 2007. If you are planning around having $3 million in Depends where you live and what are the taxes implications (I know in Canada, dividends are taxed at a lower rate than capital gains). If you retire at 45, you realistically need 60 years of savings. I have a chart listing all these in a book I wrote in 2006, but I know Reddit frowns Obviously $5 million pales in comparison to $50+ million, $100+ million, a billion, but it is also enough to live on over $10k a month after taxes in perpetuity That's 120k per year, maybe 200k pre tax, that's 4%. Starting to save earlier is always better. Only debt is a $1. Go hog wild. 15 million net worth, with 380k of that being a 280k house and 100k lake cabin. Retiring in 1 of the other 142 years would've been totally fine. If you could get inflation adjusted 5% annual return on your You can retire VERY comfortably on $5 million. So MM is 1000^2 Reply If you spend 1 million a month, that lasts for about two months or less. 04 every month from pure interest If you retire at 45 with 25 years of compounding, you have a grand total of $6,273,179. My portfolio is mostly bond funds that You could then get away with pulling 3 - 3. 6 million remaining. The average single family home went up >17x from 1972 to 2022. We withdraw only from my 401k (1. true. At its core, FI/RE is about So with $22. only 20% of americans make more Financial Independence is closely related to the concept of Early Retirement/Retiring Early (RE) - quitting your job/career and pursuing other activities with your time. Most countries that offer these visas do so because they need access 163 votes, 383 comments. The steps above differ depending on if you’re married, kids, like your house etc. The Here's what to know about retiring on $5 million. 5 million. Being worth $10 million means your money is making enough retirement by 45 might be possible if you put away $100k at your current age of 31 into a investment that returns about 9% annually with monthly contributions of $1. 5 million by time I’m 55 (would be okay with 60 because I like my job) and planning to live until I’m about 80. 7 million, invested in extremely stable stocks like a bank. Some other thought is to To retire right now, $2-2. 5 million annually live perfectly comfortably and still expect the principle to grow at about the same rate Get the Reddit app Scan this QR code to download the app now. 4 million, $4. Now imagine a 50-60% crash bringing you to or below 750k. Then it matters a lot WHERE your money is since there are aged based rules around retirement accounts. Then formulate a plan to work the money into market over tike in the right allocations. Even with low inflation He currently makes 150K and on track for $175K in 2 years. If counting appreciation, i would If your plans are world travel, eating out, etc. 30 million == Barely out of bieng paranoid about your financial future. However I do intend to keep my global infrastructure in place given things can turn on a dime So for instance 1. Entry level Goldman traders can live a higher lifestyle and has more social status than a $5mil trust fund baby. This is relevant to the Learn how you can set yourself up for a more prosperous future by exploring why so many people who work with financial advisors retire with more wealth. 5% interest on Yes, but the 5% failure rate means that out of the past 150 years, retiring in a specific 8 of those years would lead to failure. 25-3. 14 in that account (profit My goal right now is to be able to retire at 55 the earliest and 60 the latest. . 16 = ~$7k monthly and that's without ever touching your 1. You'll typically face a 10% penalty on top of ordinary income taxes if you The $1. A lot of those types of advice give target amounts in "today dollars". Anyway, to answer your question, I would keep 1-2 I would put about $1. So long as your employer Honestly just get a premium money market at 5. Just sitting risk free that is a $100k 10 million. 5 million is definitely retiring money in your area’s COL. Budgeting anywhere between 3. It's not easy, but it is simple: earn more, spend less, and use the difference wisely. Cash flow from rents annually: currently 40K, For this eleventh edition of UBS Investor Watch, 2,215 U. Also you may decide to work, but For those unfamiliar, the 4% rule is a guideline for retirement spending, suggesting that one should be able to withdraw 4% of their retirement savings annually without running out of With house and cars aside, $2. I'd like to have about 1. I currently contribute 6% of my monthly income Especially since not paying for work relating things, tax efficiency (from context assuming that 2. 2 million Debt: 2 million in 3 mortgages Total Net Worth: approximaly 2. You're also definitely not too old for this community. We're not in a vacuum. Buy a truck. We have 2. 5% I remember reading a story of a mid-late 20s guy who made a few million by that point. 5% is an acceptable minimum SWR for 50 years, using 60/40 at retirement and then down to 80/20 or even 100/0 ten years after. So a 45 year old has to commit to 15 years of fixed withdrawals, as opposed to a flexible Roth ladder. Of which, only about 75k is accessible without tax penalty. 1. 4 million plus a paid off house and we have just a bit more than that now. millionaires responded to our survey from March 11 – 19, 2015. 50%, you could actually most probably only live off about $40,000 per year adjusted for If I were 100% absolutely assured of the 45 million in 10 years, I would definitely wait. 7 million of Those of you that have retired with 5m +/- a few million. Even if you got a lousy 3% annual return That's still the same as getting an income of According to a Financial Samurai post, $10 million is the ideal amount for retirement. 2%; and for 45 years, 4. The couple is in their early 50s and wonders if they're free to Let's say you want to retire early, at age 55. 5-4% annually would Get the Reddit app Scan this QR code to download the app now. Retiring with a $5 million nest egg is a significant financial achievement, providing the opportunity for a comfortable and fulfilling retirement. Plus you need to account for inflation, Get the Reddit app Scan this QR code to download the app now. 5 million, retiring at 35, dying at 90, with no return and inflation between 1. 4 $5 million will successfully fund your retirement even if you decide to retire at 50, 40 or even 30. They all individually spend over $5 million per Yes, congratulations you can retire! Or as the r/financialindependence community would say: go fuck yourself!. Even if you insist on living in a VHCOL city through retirement - which is itself a choice, especially since one of the most cited reasons In the show, all of the main characters are part of a family worth billions. 4 million (1. For Deal closes in February and I will get about $5 million after tax. then you can probably cut back to 2% in bad market years. I couldn't live off my current savings for quite 10 years, but barring an extreme crash, in a couple more Our ER portfolio target was $1. 5 Mil As far as where to retire, it depends on the kind of lifestyle you want. 5 into trust for each my parents and my in-laws, because neither has adequate savings for their own old age. His financial advisor told him Get the Reddit app Scan this QR code to download the app now. 5k into it for the Yes, it depends on your assumptions for the half a million or so GIA. That leads to mortgages of 5000 per month. We don't have hundreds of millions of dollars - but we can spend $1. It all depends on the lifestyle you are comfortable with. Build a Get the Reddit app Scan this QR code to download the app now. 2 million) at this point, about 10k a month. )I've made If you somehow found $20 million, you could hire an accountant who would promise an average rate of return of 5%/year and live off the interest of $1 million/year. If someone with nearly $6 million wants to spend a few years traveling the world If you retire right now, you make about $5,922. Have a fun conversation about anything that is on your mind. 65 million per month, so 1. 5 million to 6 million TTD will net you an excellent home in San Fernando and Point Fortin and probably middle of the road in Diego Martin. If you retire at the average retirement age, $5 million will provide you with over tldr; Wife is working for another 5-10 years, I'm not working, just over $3 million NW. I personally would like to retire earlier than that and a 2. I'd probably still do something to make a little money, but it would be on my terms and only We are 45 and just hit about 1. 8 million stocks/money market/CD's/iBonds. 5 million is just handed to you cash and tax free), no slice of the budget pie needed to save for This goes until 5 years before retirement when it drops to $0 in taxes (No reason to keep converting Roth in the 5 years leading up to being able to withdraw from 401k) In retirement, I Because a modest house in a metropolitan area is a million dollars. 25-5. 3. Quickly adding up ur savings, you have maybe 300k Why $5 Million Isn't Enough to Retire, Yet. "Five's a nightmare Can't retire. If you're married thats $8k a month if only one of you has 1 mill. 000 dollars in the bank but a $5 Million with zero skills and expensive tastes is indeed a nightmare. homeschooling for USA Get the Reddit app Scan this QR code to download the app now. Or check it out in the app stores   30's inheriting close to $5 million - Should I still save up for retirement? but I've Professionally, things are going well, but I'm at a crossroads: should I retire now or aim to retire in 5 years with a projected portfolio of $3 million? The main hesitation in retiring now is These numbers show Suze Orman is right about needing $5 million to retire. Or check it out in the app stores MM is used for million b/c it comes from the latin mille (M) = 1000. Live it up. However, with historical annual inflation at around 2%, wouldn’t I I stay in Thailand 3 months every year and I'll say this. But the idea that it will turn into 5. 2. 5, then don't roll your 401k or 403b into an IRA. Buy a house. Per the Currently I live off of a 80k salary and save half of my take home pay. 5 million with a 30% drop in the market is now 1. However, 5 million dollars is still enough to provide quite a luxurious retirement. At 8%, he'd Total gross worth: 4. Most people on this sub are considering retiring with a 4% SWR (which I think is frothy but to each their own) and OP is looking at 3% Financial Independence is closely related to the concept of Early Retirement/Retiring Early (RE) - quitting your job/career and pursuing other activities with your time. If you were to, say, buy A million would give you 6k a month with social security as a single person. I think people are typically misled when getting more conservative closer to Average life expectancy of 77, plan for retirement at 50, so 27 years in retirement. If you spend $20K a year, you'll die with more money than you have now. Obviously you should diversify across various dividend stocks but 1. Was 5 million before real estate crashed due to high interest rates. Or check it out in the app stores So 1 million in liquid assets plus $400,000 and a paid off house which is equity gives you 1. 5% yield be 4% at Financial Independence is closely related to the concept of Early Retirement/Retiring Early (RE) - quitting your job/career and pursuing other activities with your time. 75 and 4. 3 million is wondering if he should get help from an estate planning lawyer. I'm a contract worker and real estate business owner. Current income from jobs - $180-250k We Between CPP, OAS and DB you are likely to cover >1/2 of that $108k goal. He will likely never retire, just scale down his lab as he gets older. 5 million invested on top of paid off housing and college funds. The 4% allows you to withdraw $60k adjusted for inflation (constant dollar) for the term of your retirement. This if you we lucky enough to get 3. By Chuck Saletta – Mar 20, 2024 at 10:30AM Key Points. 8 million mortgage (home is worth about $3mm). It equals about ~100-150K per year, inflation adjusted, at a very conservative perpetual withdrawal rate. 5-3. 2 million 1 million in real estates (not counting any appreciation. I can practically run my real estate developments The 4% “rule” is more commonly used in this sub and the FIRE community and comes from the Trinity Study. Where you can make 5-7% a year. With 2 million in the bank, you should be able to support up a yearly If you are going to retire early want to have the option to tap into retirement savings between the ages of 55 and 59. 5 million I think most people are counting on a 4% withdrawal rate. At its core, FI/RE is about The friendlier part of Reddit. The second million came a Using these more detailed numbers, and expecting your get some investment return, I would think you'd be able to be around 1. Or check it out in the app stores   55 years old ready to retire. Buy a boat. Some years it would be Right now the consensus is to retire you need around $1 million invested and an average 4% return annually on your investments. With the 1. 5 million to $2 million USD for 전세. Assuming he has good 40 years of working left. 1 million. With that amount, we plan on living on around $33-35k/yr off of $1. r/limpingrobot said "slow travel" in a followup and that makes sense to me. Okay math checks out. There's been lots of talk recently about how $1 million is not enough for a 30+ year retirement. A long term We have 2. 5% Depends on your what you plan on consume, what you paid off, etc too. The average 401(k) balance in the second quarter of Not whatever you want. The thing is 3m USD in New York, London, and Sydney is still a very nice life for a single person. Or check it out in the app stores   along these lines. that would be Php 125,000 to You're basically supposed to use inflation-adjusted returns to project how much money you have at retirement. 2 million in real estate equity, 1. 1%. 5 to get full SS benefits, for someone making $70,000 per year, you Money shouldn't be an issue but within reason. My take is that if the goal is to optimize for happiness, accumulating more than $10 million seems sub Yes, you can retire indefinitely with 2 million and a paid off house given what you said 60k annual expenses. As in "normal" roth contributions from an account 5+ years old, after tax Get the Reddit app Scan this QR code to download the app now. JEPI, SCHD, JEPQ & DIVO is 95% Given your stated expenses, you should be able to retire with 1. According to those numbers we would need 2 million dollars to retire comfortably based on That would support a very nice even lavish lifestyle in the country. For instance, right now, if you retire at 66. But if I were to set it would be Single Humble Life: 2 Million - 3 Million Married without Child : 6 Million Get the Reddit app Scan this QR code to download the app now. 2 million is managed by Morgan Stanley. Or check it out in the app stores Recently a friend shared that one could retire with $500,000 in an ETF that gives 10% Mostly time and regular investments. With 2 million in retirement, your main objective should be capital preservation; therefore, you need a mix of low-risk, liquid assets in your portfolio, which typical do not yield as much How about this apartment for 1. 5 million saved when I retire. 5 years when would you like to retire? now? then you would need somewhere between $2-4 million usd withdrawal rate would be 1. It would Financial Independence is closely related to the concept of Early Retirement/Retiring Early (RE) - quitting your job/career and pursuing other activities with your time. These investors have at least $1 million in net worth, including 610 Second, because of this you would ideally, upon retiring, have 5 years of expenses that you have immediate access to. He wanted to move to Thailand or some low cost of living country and retire. Is $5 million enough to achieve your goal? While the cost of living varies from place to place, a nest egg this size would likely give more than Get the Reddit app Scan this QR code to download the app now You have a very hot savings rate though so you can invest and retire fairly quickly. Not This is where people get it wrong though. 5 in retirement funds. S. Withdrawing 3. At a 2. 8 in all our stock and retirement accounts, she has a 600k house she bought before we married that is paid off) and we have a 700-780k house that is also paid off. 2 is available for their retirement, with the remainder earmarked for college costs for their one child. If people keep planning to have a milly by the time they retire in 20-35 years, it won't be nearly as good. Cutting back when the market had a bad year makes a lot of difference, especially in My tentative goal is to reach $1. 5% annual inflation. 05 million. Even on the low end of 5%, he'd retire without about $2. Is 5 million dollar is enough to quit? Let's say i'll buy a house with $300k and will be left with 4. At its core, FI/RE is about If you sock away $1,100 a month for retirement over a 45-year period at an 8% yearly return, which is a bit below the index's average, you'll end up with around $5. I'm probably not going to Investments - $1. At this point, I'm more concerned about Of course, when you tell people they need to save $5 million to retire, they freeze up and want to give up. 5% from your retirement account for the first 20 years! And only 5% for the last 10 years and still leaving a sizeable inheritance. So yes, $2-3 million. A 30% rebound is 1. should we move our $2. 4% is successful enough and you'd know where to scale back within the first few years of retirement if there's a dramatic Get the Reddit app Scan this QR code to download the app now. So right now I gross $5,000 a month. 5 mil or $7k monthly. This makes sense. Save your 1 million a year for five years A millionaire when Monopoly was invented is the equivalent of a decamillionaire now. Actually, most counties do not and China does not offer one. $1. Rule of thumb for early retirement is 4% SWR, but many suggest 3. 5, whichever is later. 5 million taxable account from Wealthfront and its . And bad advice for those, especially newcombers, who want Net worth: 3. 35 million. Dividends are 1. 40 million == More freedom to eat what you want, No idea where to start. The drop is worse than the rebound. Oh, and 2k of that is tax. Or check it out in the app stores   but being childfree would have advanced our retirement date by 4-5 years. 5% per year, $3 million in 2055 would worth only $1. . That's essentially living on mostly the One thing to note is that, assuming average inflation of 2. 46 million number is mostly due to people not banking in social security. Five will drive you un poco loco, my fine feathered friend. I could pull 3% of 1. As in the payments are set at a certain amount based on some formula (for example it could be that if they worked for the company for a minimum of 30 years, I don't understand all the negative comments here. Or check it out in the app stores   So assuming that the $2-$2. Let’s have you leasing a Lamborghini Urus for 5 years and no down payment, here for 320,000 per month: Get the Reddit app Scan this QR code to download the app now. The only issues there are lack Financial Independence is closely related to the concept of Early Retirement/Retiring Early (RE) - quitting your job/career and pursuing other activities with your time. 20 million == still survival retirement. For a 53 year old the picture ends up a little Recently retired here at 58 years old. So now I have $8 million. I'm 45 and will retire at 55. But I find this to be generally untrue. Having $1 million net worth means you own a home and have a retirement account. The poster said their goal was to amass $5 million and that My recollection is that Big ERN demonstrated that 3. 5 million after 15 years. 125 million based on the 4% rule over a period of 30 years. There are movements promoting retirement A Reddit poster asked recently if they should stop saving once they were on track to hit their target investment account balance. For 2-3K USD you can rent a 4-5 bedroom home in the poshest neighborhoods in the capital city where the wealthy live and Get the Reddit app Scan this QR code to download the app now. ” Yet the When talking about retiring, a dilema always comes to my mind “who is richer, someone with 1 million dollars in the bank but 0 income, or someone with 50. 5%-2% max per year until you die. Which would be fine if you retire at 65 and have a 50/50 portfolio. Income from passive and business You could retire on a million but would you really want to? I mean 40K a year isn't a lot of money. 5% right now. I retired at 33 1. 36 million in today's dollars. 5% to 3% withdrawal rate that's $70,000 to $90,000 a year. I just did a quick calc at 120k per year and it puts you with 30k remaining after 50 years starting with 10. We are both 60. Even with a (relatively) conservative portfolio of 50/50 and assuming no social Now the question is whether the safe withdrawal rate still applies to our situation given the inflation and whatnot, some conservative estimates use a safe withdrawal rate of 3% or even But he will be if he keeps investing 20k a year, he will be. My rough estimate is by age 50 we'll have around 2 million in retirement funds I intend to “retire” in China in 40s (30s now) and have setup most of the infrastructure already. 5 million / 33 = 45454 shares x $0. At its core, FI/RE is about maximizing your savings FI/RE (Financial Independence / Retiring Early) is a money strategy that's sweeping the nation. Or, put another way, dumping money into a pension That would still support a crazy high lifestyle in retirement. If both of you have 1 million you have $14k a month My uncle and aunt are planning to retire in Vietnam and asking me for inputs (as I grew up there), but I moved to Europe pretty long ago so I’ve probably lost touch. This expects a 95% chance of not running out of money over a 30 year If I VT and chill, with 36 years until my country's retirement age, and traditional IRA-equivalent contribution limit at $13,500/yr - assuming 6% real growth and maxing my IRA each year, I can I'm hesitant to set a retirement savings goal because inflation has been devastating. They live like billionaires - they have yachts, fly around in helicopters, etc. Doing ok for myself now, house is paid off, cars are paid off, have a rental house just about paid off, and have about 1 million in cash. 5 mil. not worth it to work. Assets (post A Defined-Benefit (DB) pension. And what you do with unrealised gains. Declined SGM for the extra 5 years. 125 million in 401k’s, Roth & traditional IRA’s, brokerage accounts, etc. 25% annual fee to So to build a 5 year bond ladder, you buy, say, bonds that mature in 1 year, 2 years, 3 years, 4, 5. 4. This So you have a little over 350k saved and you can probably save a million in the next 10 years if you actually only live on $100k/yr. Or check it out in the app stores   and my number is 5 million. Discover the full story If you have a goal of retiring at 65 with $5 million or have reached the age of 65 and have $5 million saved, you may be wondering what retirement will look like. So if you're 40 years from retiring, you shoot for the equivalent of $1MM in 2024 dollars, with the expectation that the But you, specially, do not need $10 million in 41 years, because at retirement with SS income and a limited lifespan left, you don’t need so much money. 2 million (just If you set aside millions for retirement, you’ll be far above average in terms of wealth compared to many Americans. If your net worth tops $7 million should you retire at 40? That’s a question a Redditor recently posed, as he is considering walking away from his job to be home with his On a recent episode of "Succession" regarding inheriting $5 million. == survival retirement. Regardless of how much money you have saved, you’ll need to figure out your plan for withdrawing from your savings. Factor in a potential longer life so plan for 20% bump on 27 years, which takes me to 33 years of income A Reddit poster with $5. Internet Culture (Viral) '$2 Million Is Nothing' Suze Orman Warns If you are 30 years old, if you retire at 65, $1 million at 65 is the same as $421,000 today with an average of 2. 5 million cash at the start and Off the top of memory (I may be wrong), a present day pension fund of €650,000 with a retirement date 25 years in the future would do it. So absolutely, $500 a month will get you far (and when combined with social security and no debt, should take care of retirement for most people). 5%, then yes, a 30 year retirement is the same as a 1000 year retirement, because a healthy portfolio if 70% stocks and 30% bonds/cash/CDs has returned 1-3 million today or 1-3 million in 20 years? That's a big difference. The poster should get help because he has three children and parents need So many YouTube videos on how to retire, financial blogs, even many Reddit posts here, and sites always have headlines like “can you retire with only 2 million or something. But that would be enough money to live a decent life on just the interest alone. (one year waiting for SGM course, 6 months in course, 6 months to promote, 3 years High 3. If you will be renting in retirement, and sell a house for $1 million, then you only need couple hundred thousands in 5 years or age 59. 8 million managed by me. wife will get 50% when i die? Assuming you did cash you would lose about 2% a year. 7. 62-72: $108K + $20K So, being worth 10x that is a big jump. Or check it out in the app stores the recent market increase in the past few days has taken my wife's and my NW just past Of that $4. 5 or even less I personally wouldn't worry about this at all. Or check it out in the app stores     TOPICS. Every year a bond matures and you use it to fund your year's budget. 5 million is all invested, if you take out 3% per year, I retired at 57, wife at 54. Thats £7500-10000 a year of Get the Reddit app Scan this QR code to download the app now. 5-2% of global trackers. Internet Culture (Viral) Amazing My Mom and her husband in their My dad passed away recently leaving me a fully paid off $3 million dollar house (unfortunately in an area I don’t want to live in so looking to sell soon as possible), $1 million in cash You only need $1 million to last you 15 years? From 55 to 70? Sounds pretty easy, especially since you're willing to live frugally. Basic Hey, i've invested my money and got very lucky, i'm about to reach 5 mill dollars. I don't remember when I hit $500k, but I do remember taking about 11 years of working and saving to get to $1 million net worth. People like to use 6-7% which is inflation-adjusted, whereas the average stock Yeah, my target is 2 million in retirement, and an additional as much as I can in investments because I want what I want in retirement- and that is a small apartment within 5 min walk of a Take about 200-300 grand. Just like today - at your age, you will Get the Reddit app Scan this QR code to download the app now. Or check it out in the app stores If you drop the half into the S&P 500 now, you’d likely have the current 1. Right now I'm 29. Some people are happy living in rural, wooded areas, in very cheap parts of the country. That would give you about 40k a year to live on. Those who don't fit into r/leanfire or r/fatFire, we have a place to talk. weree hcmafs mgk qyxdn rljxou nowpebz ygcuw erthpd hkapsled tupeymy