How long can you live off $1 million?

Discussion in 'The Pub' started by Laelaps, Dec 4, 2017.


  1. ksandvik

    ksandvik Member

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    You will be surprised.
     
  2. jomama2

    jomama2 Member

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    I prefer to think reality, thanks.


    1. The "NE corridor" is hardly all the same (and a HUGE swath of territory), so that's a rather pointless broad brushstroke.
    2. "Retirement" normally assumes one has a house paid off. If someone can't live on $80K/yr without that monthy house payment, I don't care where they live, they are idiots.

    On what planet? Rates vary obviously but average about 1% or less yearly, which means about a $350K house based on your LOW end of $4000.

    Also on the high end.....
     
  3. rsm

    rsm Member

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    But Mousie, thou art no thy-lane,
    In proving foresight may be vain:
    The best laid schemes o’ Mice an’ Men
    Gang aft agley,
    An’ lea’e us nought but grief an’ pain,
    For promis’d joy!

    Still, thou art blest, compar’d wi’ me!
    The present only toucheth thee:
    But Och! I backward cast my e’e,
    On prospects drear!
    An’ forward tho’ I canna see,
    I guess an’ fear!
     
  4. ksandvik

    ksandvik Member

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    The problem with thinking reality is to stay stagnated in a model that does not work anymore. This is not 1950s.
     
  5. edgewound

    edgewound Member

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    In the 1950s people struggled, too. The average income was about $3,500.00/year.
     
  6. ksandvik

    ksandvik Member

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    Yes but the pace of technology, interconnection between countries, interchange of ideas, destruction of the environment and much more was far slower than what is happening today. Not to speak of this planet having far more people. There's a need for new ideas.

    And it will happen. Just need to move out the old generation (which I'm part of.)
     
  7. edgewound

    edgewound Member

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    New ideas are happening every day. The big one is blockchain. The big banks are either scared shitless or getting on board. Jamie Dimond is one who's scared shitless, because his reign is quickly being rendered obsolete.
     
  8. Davy

    Davy Supporting Member

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    America must be hellishly expensive to live in. If I had a million pounds in the bank I'd pack in my job tomorrow and be comfortable for the rest of my life. I sure wouldn't be waiting around till my retirement age.
     
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  9. edgewound

    edgewound Member

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    That's because you'd have an extra $337,630 extra in your account.
     
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  10. wire-n-wood

    wire-n-wood Member

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    If you already own your home, you can invest $1m and live off the interest.
    (If your country has universal health-care.)
     
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  11. Davy

    Davy Supporting Member

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    Yeah, but we get parity with the dollar on US imports so if I spend it all on American guitars it'll be more or less the same :)
     
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  12. mlongano

    mlongano Member

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    This is TGP!! The average guy here will retire with $10 million!!

    Actually, probably half of the guys on this forum won't earn one million dollars in their lifetime, much less retire with $1 million.
     
  13. 100JH

    100JH Member

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    Good number!
     
  14. CRAIG4FSU

    CRAIG4FSU Don't quote me... Silver Supporting Member

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    Give me the $ and I'll let you know.
     
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  15. Aran

    Aran Member

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    Easy, anywhere from 1 to 1 million days depending how fast I spend it. :)
     
  16. Yam the BOMB

    Yam the BOMB Silver Supporting Member

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    People who live to retirement age are going to live much longer (on average) than the average age of life expectancy of the General population. That is where your calculation is wrong.

    If the question is how long does the average person in the USA live (including people who die in childhood or as a younger adult) the average age would be 79.

    If the question is how long does the average person who has already made it to age 62 live then the answer is going to be closer to 84.

    I know one statistic for sure is that if a husband and wife have made it to age 65 and both are in fair health, the odds of one of them living past age 90 is 50%.
     
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  17. wahfreak

    wahfreak Silver Supporting Member

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    My house will be paid in 3 years (I'm 52), we save 15% of our salary and have been for 30 years and I'm still worried it won't be enough!

    I hope you can save more than 5%
     
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  18. circle_o_5ths

    circle_o_5ths Member

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    I purchased our home @ $475,000 and received permits for four projects that pushed me from a $7,800 tax bill to to my current cost of $9,200. I have not been re-accessed yet, but if they saw I did another 200k worth of work without permits, I'd go to $11,500 easily. My parents pay $14,800 on their home, their neighbor pays $48,000!

    These numbers, among other costs are why I said 80k would be struggling. 11.5% of your gross income would go to real estate taxes alone.
     
  19. Bob Maximus

    Bob Maximus Silver Supporting Member

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    ^^^that's a lot circle. I thought living in VA was pretty expensive, but your property taxes far exceed what we were paying there on a % basis.

    You must really love it there to pay that much.
     
  20. circle_o_5ths

    circle_o_5ths Member

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    I am here as long as parents are alive. However, the standing joke of $2,500/week is what you need to make minimally if you intend on eating, saving for retirement, go on vacations, buy cars, etc. We are not talking lap of luxury living, a 2,000 sq ft home in a safe neighborhood with great schools.
     
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