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    If you're still poor at 35, you deserve it!

    Just realised I am a stupid, lazy coward.
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    Finance risk while growing a large portfolio

    Even a bigger hit if you have refinanced all your loans at the same time and they come out of I/O together. Or if it happens while you're retired! Excellent advice Redom
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    You "Only" Need $1m to retire comfortably.

    No problem Highlygeared. We have an offset account that covers our PPOR loan so it's paid off in practice. We have substantially more than 1M and the 4.8% that it generates allows the two of us to live quite comfortably. However for somebody with 1M and the same yield I assume they could feel...
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    You "Only" Need $1m to retire comfortably.

    Ha ha... where did you read that? :)
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    You "Only" Need $1m to retire comfortably.

    There have been hits and misses. Property The good: sold Brisbane in 2007 and 2010, Melbourne in 2010 and 2014. The ordinary: sold Adelaide 2005-14. The bad: sold Sydney 2010-12. The ugly: offloading a vacant CIP. Shares The good: switching to LICs as the main strategy, holding...
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    You "Only" Need $1m to retire comfortably.

    Mainly AFI (3.5% net yield), ALF (9.4%), ARG (3.6%), CDM (7.0%), DJW (5.7%), MIR (4.0%), MLT (3.9%), WAM (6.7%), WAX (6.2%). + MFF for international exposure - negligible yield but excellent growth. That was my line of thought 10 years ago, now completed.
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    You "Only" Need $1m to retire comfortably.

    Virgo and HiEquity, you have a valid point, a better balance needs to be found between capital growth and income, however the devil is in the detail. Look at these 3 scenarios: Scenario 1 (as above): one 310K unencumbered property producing a net yield of 3.2% or $9920 pa. Scenario 2: Leverage...
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    You "Only" Need $1m to retire comfortably.

    And another comment. With this particular mix you can probably increase the weight of shares to generate a better income. The rationale is that with 230K in cash you have more than enough to cover 3 years of living expenses and therefore you're well insured in case of a sharemarket slump.
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    You "Only" Need $1m to retire comfortably.

    Your figures are about right Terry, except that the yield I quoted for property is 3.2% net of all expenses. So yes, 1M would generate around 48K. In our case the income flow is quite stable regardless of asset prices going up or down. Resi rents and fixed interest are almost "guaranteed"...
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    You "Only" Need $1m to retire comfortably.

    Our future is firmly here in Oz. There's too much aggro with our Vietnam links due to the injustice we suffered and the depravity of the ruling class. We're still travelling there from time to time to do charity work despite their best efforts to obstruct us unless we grease their bottoms. :eek: :D
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    You "Only" Need $1m to retire comfortably.

    We're currently retired with > 1M of investible assets. 46% in shares yielding 7.1% (incl. franking) 31% in property yielding 3.2% net 23% in cash and fixed interest yielding 2.5% Overall yield approx 4.8%. That would be tight if we had only 1M. We'd have to eat into the assets or take...
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    There is such thing as haunted houses?!

    http://www.outerplaces.com/science/item/8722-stephen-hawking-comforts-heartbroken-one-direction-fans-with-theoretical-physics If Hawking was replying to this thread he could well have said: In that universe that dead person is still alive. :eek: :D
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    Can someone tell me if this is legal please?

    Not a lawyer myself, but the way you're asking your question here is indicative of a scheme under Part IVA. Get legal advice. https://www.ato.gov.au/General/Gen/Part-IVA--the-general-anti-avoidance-rule-for-income-tax/
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    You "Only" Need $1m to retire comfortably.

    True but only in part. Many retirees chase higher yields but on a smaller part of their assets. This being my case.
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    You "Only" Need $1m to retire comfortably.

    Too many issues with this strategy the 3 obvious ones being: - Too little income with a leveraged property - One single point of failure. Over a 30 year time frame it's almost certain your CIP will experience a prolonged vacancy period with nil income but still paying interest. - Over 30...
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    You "Only" Need $1m to retire comfortably.

    Be careful when planning your old age with the mind of a young person. For most people there's a change in risk acceptance around the time you go into retirement. When previously >6% investment income was the norm, at age 65 you'd be likely looking at 3-5%. Fixed interest nowadays earn only...
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    buffer - How much is eonugh

    Other posters have given you a fairly good idea, however if you want to take an analytic approach here's the gist of it. Basically there are 2 categories of risks: known unknowns (things that you have identified as risks e.g. job loss, interest rate increase, tenant default...) and unknown...
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    When is enough?

    Lovely quote. Frame it up but don't mention Lao Tzu because I don't think he said it :). The Tao Teh Ching used to be my favourite study book when I was learning Chinese and I can't remember anything like it in there. The words don't feel right anyway. "Peace" sounds very New Age, which Lao...
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    When is enough?

    There have been quite a number of studies on the correlation between income and happiness and if my memory serves me right it's been found that: - The correlation is low. For example in developed countries the huge income growth in the last 70 years has resulted in little change in overall...
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