My husband has reached the big 60 and I'm following along at 52 and as we left our retirement planning very late in life, I was hoping for someone in with financial planning knowledge to do some sums for us.
Anyone willing to give us some direction?
G'day Jay,
Take comfort from one of Jan Somers stories, where she discussed an elderly couple in their very late 70's attending her talks about property investing, and after a while they approached Jan and excitedly told her that they had put a contract down on their very first IP, adding that it was an investment for the future when they got old....
Given that benchmark, I reckon you guys have started very early in life and have a good store of wealth to draw upon.
My parents have done the same as you guys, helping my sister into an IP. There was a written undertaking that the 1/3rd partner to the agreement slowly pay off the larger partnership via regular payments. This does two important things, # 1 it gives the daughter a sense of ownership and a definite goal to head towards. # 2 it gives the parents a reasonably secure source of income to rely upon as she pays off your 2/3rds. The bank is till there I suppose in the background, but that's OK.
It looks as though you have stumped up some of your PPoR equity to underpin the 2/3rds of the IP you have bought, so it's a form of LOE (Living off equity) without all of the complications.
Your super (presumably accessed via an allocated pension) along with the fully franked dividends of 5K p.a. or thereabouts should see you a bit more comfortable than just a straight Govt pension.
If your hubby works 'til 65, you'll be amazed what you can do in 5 years with both of you working.
My father retired at 65, and accumulated more in that 5 years that he did in the previous 60. He was a bit nervous about not having enough at retirement also. He is now pretty savvy when it comes to investments, and is now earning 20% more than what he was working. A little bit of rent, a little bit of shuffling stocks around, and little bit of golf and caravaning keeps him healthier and wealthier than when he was working.
I'm not as clever as a real fin. planner and not lawfully qualified to say one word to you, but would enjoy a chat if you wish. What I do probably wouldn't be appropriate for your ages and risk profiles, but who knows what may come out of the chat.
It sounds like you'll got a bright future ahead of you. Enjoy it !!!
