How much money would it take for you right now to retire for good?

[xSauronx]

Originally posted by: holden j caufield
you guys must live high on the hog. 1 million is good enough for this simple guy. Course I'm single with no kids. Married guys with kids need a whole lot more.

id go with 2, id prefer 3 or 4 million because id like to be able to travel and own small homes in 3 or 4 places, but for 2 id probably be fine

 

[mchammer187]

Originally posted by: spidey07

Originally posted by: thatguy82

Originally posted by: ahenkel
I could retire on 2 mil if I was guaranteed an investment return of 3% per year with zero loss.

30 year treasury bonds will give you 4.23% now, there's no chance of loss if you hold it to maturity

I don't think people understand a million or two wouldn't be worth much in 40 years let alone any returns you've been scalping off it.

3 million
40 years to grow
4.5% interest rate compounded monthly

will equal

18,087,945.15


3.0 million in 1969 equals 10 million in 1989 ~6.4%

however

3.0 million in 1989 equals 5.2 million in 2009 ~2.98%

Inflation varies immensely

and if you have inflation like the latter 1989 to 2009 you will win BIG

if it is the former 1969 to 1989 you are screwed though

source: http://data.bls.gov/cgi-bin/cpicalc.pl

 

[thatguy82]

Originally posted by: spidey07

Originally posted by: thatguy82

Originally posted by: ahenkel
I could retire on 2 mil if I was guaranteed an investment return of 3% per year with zero loss.

30 year treasury bonds will give you 4.23% now, there's no chance of loss if you hold it to maturity

I don't think people understand a million or two wouldn't be worth much in 40 years let alone any returns you've been scalping off it.

yep, expect to lose 3% per year to inflation. So whatever you expect to have 35 years from now, divide it by about 3( 1.03^35) to guess what it's worth at today's prices. This is really a crude estimate so ymmv