Realistically, when do you think you can retire?

I'm in my 40s and shooting to "retire" when I'm 55. I don't ever see myself not working though. I need to constantly evolve and be productive.

I haven't been too focused on real estate but i would live to get into the rental business.

 

I thought about renting out my house in Chicago but decided not to in the end - real estate is only a marginal part of my retirement strategy. I bought some land in FL but I don't want to rent out anything. By the time I retire I will be long mortgage free and that's all I plant in terms of real estate...sell whatever I live in by then and build on the lot in FL, or sell the lot and current home and buy a condo.

 

I do not see myself ever truly retiring. I will always be working, right up until I can't any more. I have a very simple and cheap lifestyle, so it probably wouldn't be hard to make enough now to support myself later, but I'll always be working. I go crazy if I don't work!!

 

What kind of retirement do you all have. Our company merged with another and are doing away with the traditional retirement plan. They are going to a 401-k. They give you 2.5% a year Match you on your first 5.00% contribution and then you can contribute up to a total of 12.50%. We have always had a similar plan in addition to the retirement benefit. But now they are basically making you take a pay cut so to speak from take home pay so you can retire. I am fortunate as I fall under a grandfather clause which allows me to stay in the traditional plan another 5 years. I feel sorry for younger guys though who can't really afford to save that much. Who knows how much our insurance is going to go up next year.

 

I'm on the self employed make your own way plan

 

I was always on 401k (young guy) and maxed it out since the beginning. I don't understand the 12.50%? You should be able to put in $18k of your own money plus the match. You can also do an IRA if you are eligible and put another $5500 in there. Pension plans and 401k both have their pros and cons...I don't know if I would prefer one over the other

 

Both for me, company and 401(K). Plan limits are set by the employer but, the federal limit for pre tax is $18k with $6k catch up if you're 50 or more for 401(k). I'm guessing the 12.5% is set to help keep the plan balanced between the HCE and non-HCE groups.

 

But the traditional retirement plan is just payed for by the employer. I didn't pay a dime into it ( not counting 401-k) but the new plan takes money out of your check so in a sense the people not grandfathered in are going to take a big pay cut to pay for their retirement.

 

I plan on retiring at 55 and never working another day in my life (providing I live that long being a very active LEO). Anyway, I have a pension (which probably wont be worth shit, around 60k a year) but, here's the real kicker, when I started 13 or so years ago, They offered medical till the day I die....Well, I signed up woooooo hooooo. also, my wife, an electrical engineer at Lockheed, gets a pension, 401k (which we max out every year) and medical till the day she dies woooooo hooooo. Plus I invest heavily into my 457 and every tax return we get for over 15 years has been put into roth/IRA's. When I retire I will drop a few years which should give me more than enough to pay the house off if we wish. It's kinda funny, I worked for the City of Columbia Mo. where I went to college and an old timer there told me to invest in the 457 there. I thought he was crazy but I did anyway (despite cutting into my party funds) well, the City I work for now uses the same retirement company and I was able to roll that money into the same 457 I have now wooooo hoooo. gave me a good start on things when I enetered L.E. Anyway, we did the prepaid college thing for my son while it was still cheap and started another 4 something or whatever for his room and board. SO 55 it is. son should be done with college I'm off to a condo on the beach drinking beer and fishing on my shearwater..........

 

I think realistically, with the later age in which social security eligibility starts, I don't think will ever 'retire'

My generation is going to work till the very end...

 

Retired 3 months ago

 

Just finished reading this several years old thread with great interest. There's quite a few posters who have done a lot of planning, so my question is, how much do you have, or plan to have, to retire?

I posed this question to a couple of friends and the conservative one said his house paid off + $700K. He says he doesn't believe much in what the financial planners tell you to save. Another one, who lives quite frugally, said his house paid off + $300K.

Apologies if this is a tangent to the OP's original question, but the thread is a few years old.

 

Hard to say, some are on pension plans and require a lot less "in the bank" to retire because they get a fixed monthly check.


For me (32) with no pension plan it would be, house paid and $1.5 mil at a minimum in todays money- with no other income than interest out of 1.5mil
Since I plan to retire around 50 in the year 2033 I aim for (at least) $2.5 mil but again - if there's income from other sources that number can be significantly lower.

If retiring early, you also have to consider when you will be able to access what pocket of money, 401k, (Roth) IRA and SS all have restrictions on what and when you can take money out.

 

Oops - Wrong thread.

 

For those who have retired (or plan to retire) in your 30s or 40s, how much did you have (or plan to have) saved up in your nest egg to make that happen? I can't fathom how much you'd have to have set aside to ensure your savings lasted 40-60 more years.

 

Tuff question. Tho I don't think I'll ever actually retire until I can't work anymore. I will without doubt have no mortgage or bills other than monthly maintenance type stuff.

I pay out my social security so that will be max for whatever age I draw it*. I'd like to have 1m in my 401 + I have my company pension. I have other investments as well (rental properties...low & long term) and some other smaller things. So & but, with the dynamic of & in several sources it's hard to put an exact date on it for me right now but, I think not prior to reaching full SS benefit.

* One thing to consider for those who do plan ahead and do save...certain individuals (on both major sides) in the positions to change it are advocating a "means test" for SS benefits. They're pushing the idea of reducing SS to those who they think can afford to have it reduced. In other words, for those of us who are proactive and save for our future there are factions who want to reduce or remove your pay out yet continue charging you for it...in my case that could be > $3,000 a month swing in my planned income...to the negative BTW so not in my favor.

 

These are people who are talking military retirements. Government pensions and healthcare for the rest of their lives.

Given the current times, the healthcare is the biggest kicker in the retirement for them. Western Medicine is expensive!

Their pension otherwise won't be the best it "could be", but won't be bad either; rank and time in service will dictate their final pension. A lot however, depends on if they've invested otherwise within their career. i.e. Thrift Savings, or other investment accounts of sorts, and simply a savings account.

Most won't be able to draw any of those investment accounts until a certain age limit without being taxed up to and including 30% right off the top. Thats a big hit if you can't wait until the age of 64. Twenty more or less, odd years is a LONG time to limp along if your are 'retired' from the military.

Not including if any of these folks own a home, or intend on owning a home; OR a car/truck payment; spouse not working; kids in college; kids not working; I mean the list could go on and on.

Life happens honestly, and frankly those of us in the twenties to thirties category will probably never truly "retire", but we can save today and hope for a better future!

 

stock mark dropping like this it will be longer tan I want before I retire

 

Yea it is hard to have compound interest if the market keeps correcting.

 

Can't rely just on 401K or GOV pension....

It depends on future inflation but I think I have that covered...
I still plan on 60-65 but it will be hard in the future to live on 0 income...
So I plan on having a part time business, so not full retirement but more free time...
Plus I like too many toys....