How Long $500K Will Last in Retirement in Each State.

[Scarpozzi]

thats kinda creppy

Satire my friend....It was meant to be. Are any roller skating rinks in existence anymore?

Honestly, I know a few guys in their 40s and 50s that retired early from their careers because they had a working spouse that was the breadwinner... One guy married a doctor and quit his job to work at Dick's Sporting Goods...he only had good things to say about working a retail job when he didn't have to. He became an assistant manager overnight (mainly due to his age and experience) and got to set his own schedule, working less than full time. Not a bad deal.

 

[TXHokie]

I know I'd have to work for a while into my 60's before I can even think about retiring. So I moved to Florida near the beach so I can pretend to retire when 5pm rolls around and on weekends. Work still can be stressful and a lot of it, but I do find my daily stress level going down a lot vs living in the big city.

 

[snoopy7548]

thats kinda creppy

How? He said over the age of 18.

 

[Scarpozzi]

How? He said over the age of 18.

Yeah....I wanted to be clear that I wasn't a scary creeper.

I was thinking more of the good looking roller girls....not thinking about that Jim Croce song....."Roller Derby Queen"

Lyrics:
She is a five foot six and two fifteen
A bleached-blonde mama with a streak of mean
She knew how to knuckle
And she knew how to scuffle and fight
And the roller derby program said
That she were built like a 'fridgerator with a head
The fans called her "Tuffy"
But all her buddies called her "Spike"

 

[IndyColtsFan]

My plan has always been to make good money until I hit my early 50s or so and then grab a government job where the pay is "OK" but the benefits are good and I'll vest in another pension after 10 years or so. After that, maybe do part-time consulting gigs to keep the cash rolling in if I feel like it.

 

[JTsyo]

Move to developing countries (especially Asia) and you would be to live very well with USD. Of course, you will have to deal with the unpleasant stuffs such as excessive noise, air and water quality, and horrible traffic, just to name a few.

That's only if you live in a urban place. You find a palce about an hour out from a city and things can be quiter and then once every two weeks or so you can head into the city to get what you need.

 

[ponyo]

Dirt cheap seafood and dirt cheap prostitution - you could totally pay me to move to the philippines.

I'm with you there. There are lot of islands there. I'm sure there's an island I would like. But I heard you can't own land as foreigner in Philippines. So that's a big negative. I think I would prefer Vietnam or Thailand but I could live on the beach in the Philippines or Indonesia.

But how come no one says they want to retire somewhere in Africa? There has to be some nice coastal beach towns somewhere in Africa. It's a big continent with lot of coastline. And I imagine it's pretty cheap there. Or maybe not.

 

[tortoise]

Spending is coming strictly from savings and doesn't take SS into account.

On the other hand . . $500K invested in VWEAX would provide around $2,000 before-tax monthly dividends . . PLUS Social Security . . PLUS other retirement plan savings.

 

[sportage]

Thing to do right away is to spend what is necessary to get one to the point their monthly expenses can be controlled once retired.
I.e. paying off the house, moving into an more affordable house with paying cash.
If you like new cars then trade for the car of your hearts desire by paying cash and plan on keeping that new car for the rest of you life.
Pay off all debt like loans and cards and etc etc.
Then, hopefully one can easily live off a limited retirement income.
Possibly even living off ones social security alone just as long as one is content not taking expensive vacations or buying shit they don't really need.

If you have an SS income of say $2000 a month, and own everything you currently have, and have no debt or loans or credit cards, then $2000 = $24000 a year.
As long as you like your home and your location (city/state), own the car you always wanted, and have no debt then SS income of $24000 a month is doing pretty good.
If one retires at 66+ years old, and you have no debt, then an income of $24000 should be just fine.
With anything that remains in your 401K or savings account ONLY to be touched in an emergency.
Wanting a new boat, RV or new fancy car is not an emergency.
Where most people on retirement screw up is still wanting to spend lots of money. And suddenly that 401K is just sitting there looking awfully appealing as a cash cow.

Time goes sooooooo fast when retired.
Suddenly you're 67, then 70, then 72, 75, then looking at 80.
Time goes much faster when retired than it did when one was working.
So, just keep busy, have a lot of little home projects that involve very little or no cost, take short trips, join some groups, join clubs, volunteer your time, take long walks and maybe get a pet or two.
Life can be and should be quite relaxing during retirement. Just as one might have imagined.

And as a last resort, one could always take on a part time job or take an online class teaching some "work from home" skill.
Learning a skill one can do from home, part time or on your own time.
And believe it or not, there are a lot of work from home jobs out there. Especially in the medical and legal field.
Learn something new!
Screw Europe. Try discovering your own neck of the woods.
And should monthly income become an issue, downsize your living or get a roommate.
Or work part time at something you never tried before. Something enjoyable with no stress.
Heck! Drive for UBER. Deliver pizzas. Work in a video store if you like movies.

If you must return to the work force part time, do something creative and do something that you like. Not like it was when you were making a living in the rat race.
I have heard that people can actually get paid for simply researching cemeteries, and hunting down deceased relatives for families in search of.
You find a grave, take a photo, and you get paid for successfully finding the resting spot of a deceased loved one. Someone that maybe moved away and lost all contact with.
That family who one day asked, where is great grandma actually buried? Hmmmm?

 

[Raincity]

I'm with you there. There are lot of islands there. I'm sure there's an island I would like. But I heard you can't own land as foreigner in Philippines. So that's a big negative. I think I would prefer Vietnam or Thailand but I could live on the beach in the Philippines or Indonesia.

But how come no one says they want to retire somewhere in Africa? There has to be some nice coastal beach towns somewhere in Africa. It's a big continent with lot of coastline. And I imagine it's pretty cheap there. Or maybe not.

Seafood is really expensive there. But the girls can be had for really cheap if your into the bar girl scene. Pretty sure that land ownership in Thailand and Vietnam is illegal also. Most expats will buy a home or condos on a long term land lease. My wife has dual citizenship. She is not longing to go home because she is home sick or sick of life in the US. We both know that retiring in the area that my in-laws are from will be beneficial for us. There is alot to explore in South East Asia for travel in our retirement. Been there enough time to know that safety and health care wont be an issue for us.

 

[Svnla]

That's only if you live in a urban place. You find a palce about an hour out from a city and things can be quiter and then once every two weeks or so you can head into the city to get what you need.

Agree with most of your points...but only if you do not have to go to the city/urban area to work/do business daily. And not sure if the internet would be decent if you are 1 hr away. And you will miss all of the "fun" in the city.

Goodness, I thought traffic in NYC was bad until I did visit a few large cities/urban areas in Asia. Scooters were everywhere, the noise, the polluted air, the craziness of traffic "laws"... Yike.

 

[ponyo]

Seafood is really expensive there. But the girls can be had for really cheap if your into the bar girl scene. Pretty sure that land ownership in Thailand and Vietnam is illegal also. Most expats will buy a home or condos on a long term land lease. My wife has dual citizenship. She is not longing to go home because she is home sick or sick of life in the US. We both know that retiring in the area that my in-laws are from will be beneficial for us. There is alot to explore in South East Asia for travel in our retirement. Been there enough time to know that safety and health care wont be an issue for us.

I would catch my own seafood. What else I'm going to do if I'm retired? I'm happily married so no bar girl scene for me. I did plenty of that when I was young and single so I know how cheap it is. I had my fun when I was young. I travel for food and culture now.

 

[DigDog]

Retiring as a bachelor and retiring with kids aint the same, and no amount of stashed cash can prepare you for the equivalent amount of fuckup your kids can get into.

If i had half mil and had to "retire" id just open a teeny 6ft shop in central Boston where work consists mostly of sitting down and reading the papers because as previously stated, all these countries are (as Trump puts it) notgood countries. I think thats the term the President used.

I dont want to deal with corrupt cops in thailand or home invasions in jamaica. Jeez, i dont even wanna deal with the Carabinieri in italy, so if a retirement prospect involves getting shot by the brasilian police, thats gonna be a firm NO from me.

Whats more, i dont get the idea of early retirement. If you got money, surely theres got to be a business you want to do?

Work is fun. Not ALL work is fun but once you no longer need to kiss ass for a living, you can experience the joy of working for yourself.

I would have a restaurant just so i can see people gaze in awe at my food. Not to ment..hell, lets mention, i gotta open both a club and a music studio to rectify the trend of modern music being garbage.
Its not work, its a mission.

Bachelor retirement is something which is on every boy's mind. Go somewhere, get hard, and pound every hole you can afford.
Or otherwise do drugs, whatever your idea of heaven is. But it gets boring after a while, being the great white hunter gets boring, to be happy you need to be challenged, you need to feel like you are doing something with your life, always moving forward.

Now accepting investments for a food business!

 

[JEDI]

https://www.msn.com/en-us/money/ret...l-last-in-retirement-in-each-state/ss-AAzw8YK

Spending is coming strictly from savings and doesn't take SS into account. Also, there are a ton of variables to consider. People tend to spend less. They don't go on as many trips when they're older. But, illnesses and accidents start to become more pronounced which offsets the trips and spending lifestyle of a young person. Also, it doesn't count assets like owning a home, stocks, rental property. That's why IMO passive income is a muist when you're younger, so you have money coming in while you're retired. Hell, even when you're asleep so you're not trading your time for money. But, that's for another discussion.

The worst state is Hawaii. $500K will last a little over 5 years. The best state is Mississippi to retire in with $500k lasting about 12 years. The cost of living in Mississippi is super cheap. That could all change by the time you retire though. The average is between 8-10 years for most states.

I always say that you should do the math. I had a coworker who was bragging that he could reitre at 45. He has about $250k in the bank and lives in a trailer. So, his expenses are low. But then I told him to do the math. If you lived for another 30 years, that's 250/30 and it's alittle over $8k a yea. I guess if he wants to eat dog food for the rest of his life then he should go for it. Maybe I'm wrong but it just seems that most people are underestimiating what they'll need to retire on, and many think that theu can somehow get thru with ZERO-little savings at 60, and then they'll start to save. It doesn't work like that. The compound effect is an amazing tool, but it takes years, even decades until you start seeing results.

So, how much should you have before making the leap into retirement? IMO, at least $1m dollars. If $500k is going to last about 10 years. Simple math, that's $50k. That's not including taxes, illnesses not covered by insurance, things going wrong in life, and inflation. That's from 65 to 75. If you live to 85 which is very possible with our health care system today, then you should have at least $1m, and maybe even a bit more to take you to 85 plus. So then, you're not a burden on the government and your family when and if you do run out of money.

BTW, the cost of living in the states is why I saw so many old expats in SE Asia.The dollor goes much farther so you could get by with a smaller amount of savings or pension. Not idea, but doable.

If your friend's expenses are 4% of his expenses, then there is high probability that his funds will out last him IF the funds are in a tax free/deferred retirement account 40% stock/60% bond mix.

Ie: 4% withdraw rate

The problem is keeping expenses at 4% or less at age 45.
Ie: that self driving Tesla looks good right now