Is $60kPA really enough to retire comfortably?

Discussion in 'Investor Psychology & Mindset' started by peastman, 23rd Oct, 2017.

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  1. larrylarry

    larrylarry Well-Known Member

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    Looks like I am over spending... hmm... coffee on you next time Terry.

    My in laws are retired so their budget is $100K a year which includes costs for medicals. I'm sure they spend much less than that but that's how they budget it.
     
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  2. MTR

    MTR Well-Known Member

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    No kids on this, separate. I think we pay around $50 each child, each month

    I know we are paying too much, just need to
    work through process, you guys cleaning up. i need to pay attention

    We also pay $25 per month basic foxtell plan, need my forensic fix

    Just checked our Telstra bills, its actually $120 each month (2 mobiles), allows unlimited international calls. Terryw... help
     
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  3. D.T.

    D.T. Specialist Property Manager Business Member

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    I think this is the bit that a lot of people forget about. Most mortgages, or at least the ppor one, are gone which is a big chunk of our working incomes.

    After that, lots of activities are actually free or cheap, as you mention. Last couple of weekends I've taken the dog to the beach, rode our bikes, etc
     
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  4. larrylarry

    larrylarry Well-Known Member

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    True but in recent years, many have big mortgages to live in Sydney. It will take a long time to pay them off if they are not disciplined. I still need my $100K pa. :)
     
  5. Sackie

    Sackie Well-Known Member

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    I think its a blessing to be able to find peace and contentment and be happy with a modest amount. I really believe ppl on 400k for example, are definitely not necessarily happier and enjoying life more than someone living on alot less.
     
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  6. larrylarry

    larrylarry Well-Known Member

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  7. Marg4000

    Marg4000 Well-Known Member

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    $60K in retirement will give you a pretty good lifestyle, so long as you have paid off your house and car. And all kids have left!

    Depending on how capital is invested, it should be tax free.
    Marg
     
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  8. Snowball

    Snowball Well-Known Member

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    Ha!

    I think that comfortable retirement assumption is ridiculous. There is some crazy spending built into that.

    Assumptions should be questioned.

    Sure it's comfortable, but then people think it's necessary... After all, we don't want to be 'uncomfortable' so that must mean we need to spend that much to live well. Nonsense!

    We retired earlier this year and our spending is about 45k with a mortgage.
    We're going to start renting next week in a different location and our spending will then be 40k.

    The choice to move was based on having more peace and quiet, backyard and more nature around. Lower cost is a bonus.

    It's a nice comfortable life we live :)

    Higher spending is an option but it doesn't really interest us at this stage.
     
  9. MTR

    MTR Well-Known Member

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    But...but.... but you are making assumptions.

    ...So many posts/threads on similar subject ......makes it crystal clear that one shoe does not fit all.

    Its also dependent on many other factors that may be out of our control....what State you live in, cost of living can vary, housing, children etc. etc. etc.

    Something that may be considered.... use a mix of income, equity, part time work to substitute lifestyle and achieve early retirement.

    MTR:)
     
  10. hammer

    hammer Well-Known Member

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    @MTR you're paying too much.

    Check out boost prepaid mobile. $40/month unlimited Oz + US calls and heaps of internet...It's a helluva deal. Also you never have to call a call centre. Ever.
     
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  11. Angel

    Angel Well-Known Member

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    MTR, your phone costs are that much because you run international businesses. That is not exactly what they had in mind regarding "retirement".

    We could get by on one decent Mobile, say $40 or $50 a month and a second pre-paid for when we are not together. Internet will go down as our kids have moved out and I haven't gotten around to reducing it yet.

    We intend to do some overseas travel but that will diminish as we get older. Local travel will mostly be driving ourselves and budget accommodation (camping) - other than the cost of fuel, it will cost not much more than staying at home. My mother has finally ceased overseas travel now that she is in her 80s. I imagine I would give up flying long before that age.

    Saving $2000 a year allows us to buy a $20K car every ten years. There are some awesome $10k cars around too.
     
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  12. MTR

    MTR Well-Known Member

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    thanks, just added up these expenses.... I already know, a mixture of laziness and cant be bothered trying to work with Telco companies, end up on the phone for hours.
     
  13. MTR

    MTR Well-Known Member

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    But after reading some posts I think I could do better.

    On the flip side its a tax deduction.
     
  14. Lacrim

    Lacrim Well-Known Member

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    Liar
     
  15. Gockie

    Gockie Life is good ☺️ Premium Member

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    Free movies. Google "Showfilmfirst".
    I just saw Three Summers (as a pre-release for free!!!)
     
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  16. Lacrim

    Lacrim Well-Known Member

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    Goal is to travel 6 to 9 months a year without restriction. $60K prob won't cover that.

    And as much as I'd like to excise all kid related expenses past a certain date, am not sure expectations = reality on that front.

    So aiming for $80 to $100K min.
     
  17. Ouchmyknees

    Ouchmyknees Well-Known Member

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    I will move to Thailand during the cold months each year which will be awesome and saves money. ;)
     
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  18. Terry_w

    Terry_w Lawyer, Tax Adviser and Mortgage broker in Sydney Business Member

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    Optus for the mobile and I think it is one of the more expensive plans now. Yes international calls included - but who uses those these days when you can call via apps such as viber, line and facebook messenger.
     
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  19. MTR

    MTR Well-Known Member

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    Very funny:p
     
  20. MTR

    MTR Well-Known Member

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    Thanks for the tip