Retirement planning - where do you see yourself

[Edward64]

Originally Posted by Kodos

Wow. Lot of pessimistic people in this thread.

I was thinking that myself. Lets redirect this a little -

Where do you want to retire to?
What do you want to do with your free time?

[lynchjm24]

Originally Posted by sterlingice

Wouldn't another huge consideration be how much is the dollar worth then versus today?

I mean, great, my parents could have been excited in 1970, if such a calculator existed, to be pulling $10K per year out. Turns out that doesn't go nearly as far as it did then.

You can plan to, say, spend $50K per year then. But if, in 2050, $50K is worth what $10K is now, the calculation isn't worth a whole lot.

SI

Um... there are calculators that will make interest assumptions and tell you what you'd have in today's dollars as a frame of reference...

[Mac Howard]

One thing that might upset your calculations: on a "Vision of Tomorrow" tv program it was said that the first person to see 150 is probably alive today and a molecular biologist argued that the state of research on ageing processes meant that there was a 30% chance that someone now in their forties could live to be a thousand.

Perhaps more realistically, while you're proably thinking that you may have to fund your retirement to the current lifespan of around 80, many on this board may well find that, if they retired at 65, they would need to fund a retirement for 40 years or more.

Better up your superan

[sabotai]

In that case, I'll just save up enough to have a clone of myself made and force it to work for me. It wouldn't be slavery because it's a well known fact that clones don't have souls or free will.

[Fonzie]

Originally Posted by lighthousekeeper

this thread will be sad to revisit after the zombie apocalype hits in a few years.

Me, I'm planning to spend my retirement chasing the living and eating their brains.

[sterlingice]

Originally Posted by Mac Howard

One thing that might upset your calculations: on a "Vision of Tomorrow" tv program it was said that the first person to see 150 is probably alive today and a molecular biologist argued that the state of research on ageing processes meant that there was a 30% chance that someone now in their forties could live to be a thousand.

I heard Ray Kurzweil talking about that concept on NPR Science Friday a while back and he was pitching this idea too (and a new book). I'm not at all buying that we're advancing technology fast enough to get someone much past current lifespans. I could see 150. I just don't see 1000 at all.

There are supposedly records of centenarians going back over 2000 years, tho I realize that's hard to validate. We have added a lot to average human lifespan over the past 100 years but we haven't really pushed the maximum lifespan much. More people are living to 90 or 100, for instance, but the world's oldest people still are not getting past 120. The body just can't structurally make it that far.

SI

[Apathetic Lurker]

Originally Posted by Mac Howard

One thing that might upset your calculations: on a "Vision of Tomorrow" tv program it was said that the first person to see 150 is probably alive today and a molecular biologist argued that the state of research on ageing processes meant that there was a 30% chance that someone now in their forties could live to be a thousand.

Perhaps more realistically, while you're proably thinking that you may have to fund your retirement to the current lifespan of around 80, many on this board may well find that, if they retired at 65, they would need to fund a retirement for 40 years or more.

Better up your superan

Although at that point the mandatory retirement age will probably be around 80 so its still possible to set a retirement fund for about 20 or so years post retirement just as it is now....

[lordscarlet]

Originally Posted by lynchjm24

Um... there are calculators that will make interest assumptions and tell you what you'd have in today's dollars as a frame of reference...

Yeah, I just wish there was an "all-in-one" calculator. Perhaps one day I will take the time to make one (doubtful).

[Poli]

I got a contract on my house this week which eliminates the only real debt I have remaining. I am enjoying the Financial Peace University, though I've known the entire time I'm really just here to get my budget (with my newly found money that's no longer going to a house I didn't live in) in order and to work repetition into that plan.

It's nice to know I am saving to the emergency fund and that I can just pour this extra cash into it without much regard to bills. At the moment, I have a roommate and I'm living a charmed life. I pay less than a fourth of my monthly income to housing, which covers my rent and utilities. I feel very fortunate in that regard.

I do have food and minor expenses. I like the idea and have started the process of putting money away for specific areas of my life that I've never thought of before. Car repair and replacement fund, clothing fund, even a football coaching fund. Seriously, I never considered ever "funding" any of that. I just took money where I could and made it happen. I'm very excited about all of this.

The rest goes to the emergency fund. Once that gets completed, I'll work to bigger and better things, like maxing out my 401k. I'm contributing a small amount now, but I'm very excited about maxing that bad boy out.

Even with this new cash from the house, I'm looking at getting rid of things I don't need. College textbooks, my Wii (roommate and girlfriend each have one), and my old wedding ring. Found it the other day when tossing some old stuff in the trash and nearly threw it out. I stopped when I figured I might get a little cash out of it instead.

Next up: Cashing in my piggy bank. Figure I'll get 75 bucks out of that pig that will make my emergency fund even happier.

Life sure is sweet right now.

[Marc Vaughan]

Incredibly boring answers I'm afraid ...

Originally Posted by Edward64

Where do you want to retire to?

I really don't care - people are people, so long as the place is pleasant (and to be honest I've generally managed to find beauty where ever I'm located) then I'm cool ...

I'd prefer to be somewhere that people speak English because I'm lazy, but again to be honest part of me would see living somewhere that they don't speak English as a challenge to overcome and interesting.

What do you want to do with your free time?

Write computer games, play soccer* and chill with my wife and our animals (both human offspring and otherwise ) .... basically same as now.

*My wife is petitioning for me to slow down on the soccer front at the moment because I'm nearing 40 and my body isn't recovering from knocks as fast as it used to (took a kick to my calf muscle last friday and was kinda slow moving for a couple of days afterwards) ..... I kinda figure I'll be good to play until I'm around 70 ... heck Stanley Matthews played competitively until he was that age so I reckon I should be able to cope with amateur footie until then

[Subby]

Lake Tahoe

[Poli]

I sat down with my girlfriend last night after football practice and we went through all the budgeting forms together. Mind you, she's not hurting for money whatsoever. However, she's never budgeted her money. I felt I completed my budget forms with relative ease but it was like pulling teeth for her.

I think she realized how much in "debt" she really was, even though she has the more than enough cash in the bank to pay those debts off (debts being over 25k).

She's all pumped up now to turbo-pay those debts off. Kind of neat to see her mindset change.

On my side, it's really great to see that I'm saving money for the first time in years. Free of the house, free of the ex-wife. It's almost amazing to me to see how fast I'm saving thanks to the budget and a few restrictions. For example I try not to take my debit card with me. If I do, I know it only has 40 dollars in that account anyhow.

[molson]

Originally Posted by Mac Howard

One thing that might upset your calculations: on a "Vision of Tomorrow" tv program it was said that the first person to see 150 is probably alive today and a molecular biologist argued that the state of research on ageing processes meant that there was a 30% chance that someone now in their forties could live to be a thousand.

Perhaps more realistically, while you're proably thinking that you may have to fund your retirement to the current lifespan of around 80, many on this board may well find that, if they retired at 65, they would need to fund a retirement for 40 years or more.

Better up your superan

I would endorse the Logan's Run plan.

[Karlifornia]

Mexico....I wanna be like Bill from Kill Bill. Have a little pile for a bungalow, raise my kids, teach them Spanish, have enough for a few shots of nice tequila or whiskey before I go to bed.

[Marc Vaughan]

Originally Posted by molson

I would endorse the Logan's Run plan.

I second that so long you mean driving around with a cool solar powered car and saving the day

[Edward64]

7 secrets to a richer retirement - Sep. 22, 2010

Secret #1: Get a good picture of the future you
You probably imagine that when you're retired, you'll be pretty much like you are now -- maybe with a new fondness for early-bird specials and PBS wellness shows. But studies show that the present-day you doesn't really identify with this future person very much.

In fact, "your mind creates neural patterns similar to those created when you think about a stranger," says Northwestern University researcher Hal Ersner-Hershfield. That disconnect means you're reluctant to trade rewards today for rewards tomorrow -- the biggest hurdle to saving for retirement.

[Glengoyne]

Originally Posted by Poli

... I am enjoying the Financial Peace University, ...

As I mentioned earlier, I've just started this as well. The fact of the matter is that it has turned around my whole perspective on finance and retirement. The simple concept that if you don't have your money allocated to a set of monthly strokes, you can really use it to do the important things.

I went into the FPU looking for some help with a straight forward way to budget and some advice on how to supplement my retirement a bit, but it really has changed my perspective on money.

After a month or so of actually living by a sensible budget, we're going to start plowing through our debt. In short order we'll be able to start paying off the car. Once that is paid off, then we're down to the mortgage, and using funding our future(college for the kids and retirement).

[DaddyTorgo]

Is this financial peace university some sort of system or something? or just a cute lil name you guys are using?

[sabotai]

Originally Posted by DaddyTorgo

Is this financial peace university some sort of system or something? or just a cute lil name you guys are using?

See: Dave Ramsey

[JonInMiddleGA]

FPU = Dave Ramsey
Financial Peace University - daveramsey.com

[DaddyTorgo]

Aaah

[Glengoyne]

Originally Posted by DaddyTorgo

Is this financial peace university some sort of system or something? or just a cute lil name you guys are using?

Something I think is important to note about the whole Ramsey thing, is that there is a religious element to it. That said, it isn't central to the concepts he advocates. This isn't like the Christian weight loss programs, where someone tells you to pray and fast your way into smaller jeans. In other words, this isn't BS. He advocates common sense, some of it rather radical, but this is common sense stuff.

I'm attending the class in my own church, but most of the class are people from the community that have heard about Dave Ramsey, and want to understand for themselves.

[Poli]

Most of my class are from my church but we have someone driving in from 30 miles out to attend as well.

Still jacked up about saving...and selling stuff. Loaning the Wii to my girlfriend's sister, but selling or sold everything else. I even listed and sold coaching books. I went through my library and asked myself, "Have I opened this book in the past three years? Could I see myself opening it in the next three? If the answers were no it got listed.

Yesterday it hit me I still have a serialized 2006 World Series Champs St. Louis Cardinals bat (w/ autographs of all the players etched into the wood) in my closet. It's of no worth to me...my ex-father in law bought it for me. I couldn't help but think, "Why the heck do I still have this?"

I'm thinking of boxing up and listing all my football and baseball cards next.

I do agree, Glen, I wanted the budget and to understand the concepts. I've come away with a completely new way of thinking, though. It reminds me of my time as a teenager when I could stretch 10 dollars through a week.

I'm super-excited. It's great to see my girlfriend share in the enthusiasm as well. I hope this excitement never burns out because I'm loving it. I don't see it burning out, either. I have no real reason to get discouraged since I'm essentially debt free now.

[SportsDino]

Getting debt free is always a good start, unless you have an awesome 401k match or incredible investment skills, debt paydown is guaranteed rate of return at rates much higher than you can usually get.

I've considered retiring recently (at 28), but I'm finding that not working is exceptionally boring. I've finally finished a novel and I'm making good progress on my game engine (gotta learn how to build a good octree though, or break down and use something public and license it)... but I won't be happy until I have my giant company of doom. And an army of atomic powered monsters, gotta have that.

I hope to retire on my own small island somewhere with a nice boat, a tiny airstrip, and lots of kids. Maybe go on a semi-retirement in my mid 40's and write novels all day long (kind of relaxing, but not enough excitement or difficulty to keep my current ambitions satisfied).

[Poli]

Update: Things are going great. Got the baby emergency fund (baby step 1) complete. Baby step 2 is a non-factor for me.

I'll be working to Baby step 3, the fully funded emergency fund next...but I'll have a wedding to contend with. Shortly after funding the baby emergency fund, I bought my girlfriend an engagement ring. We're planning on getting married in May, which would then pool our funds together.

In fact, since we're paying for our own wedding, my emergency fund will be going to the wedding.

Once we're married, I'll be back at step 2, sort of. She has the money to pay off her student loan and car, but she likes having the money in the bank. We'll finish that off and then move on to Baby step 3.

Life's pretty grand right now.

[Kodos]

Congratulations on the engagement!