How far into the future does your plan go?

[quoll]

Was wondering about retirement planning, many people are looking at as generate assets then at a nominated age retire and live off the assets, income excetera, but how long will your assets last for and the big question is how long will your plan allow you to draw the nominated income?

So with your current plan at what age will you run out of money/income ?

Lets take the average Joe who retires at 65 with $250k of super which might last 10 years. So they will pick the 70-79 bracket because the financial planners has told them they need 250k in super.

 

[boomtown]

As long as my portfolio grows more than 2 percent pa on average I will never cut into it.

 

[BayView]

With our plan we will never run out of money or income.

Our plan is to continue to keep on investing indefinitely, and only into "cashflow pos after tax" properties, businesses and eventually smaller subdivision projects that will result in us selling the bulk of the subdivision, using the proceeds to pay out the bulk of the debt and and keeping one cfp property, then repeat. Each project will yield no less than one cfp property which we retain with loads of equity, to be used on the next one.

Our plan is to shortly have our investment income replace our earned income therefore taking away the need to work. Almost there.

I suggest you broaden your thinking Quoll - don't think of having an amount at retirement age that might eventually run out.

Instead, plan on acquiring assets that continue to pay you passive income indefinitely.

 

[quoll]

I suggest you broaden your thinking Quoll - don't think of having an amount at retirement age that might eventually run out.

Instead, plan on acquiring assets that continue to pay you passive income indefinitely.

Did that years ago, I think I might have posted it on here one day when I had that Ahhh moment and realised I didn't need to retire and live off super/cash/annuity/rent etc.

Was trying to get others to find that AHHH moment if they haven't.

Thanks
Graeme

 

[quoll]

As long as my portfolio grows more than 2 percent pa on average I will never cut into it.

Boomtown, how are you going to make sure that the portfolio grows? Many people retired this year with super and have just seen their portfolio drop by 50%. How is yours different?

Cheers
Graeme

 

[quoll]

Had to do a bit of work so the POLL didn't get posted with the question, sorry about that but I'm getting paid to work not surf the net.

Actually I am getting paid to surf the net!

Cheers
Graeme

 

[Rob Williams]

Actually I am getting paid to surf the net!

Wish I had a job like that
Hang on .. I do!

 

[Sunfish]

I plan to survive tomorrow, both physically and financially.

'Twasn't an option but.

 

[BayView]

Boomtown, how are you going to make sure that the portfolio grows? Many people retired this year with super and have just seen their portfolio drop by 50%. How is yours different?

Cheers
Graeme

Anyone who is only invested in super is in big trouble.

They have very little control over their money, it's not leveraged, it's locked away, it's linked to the stock market which can crash (and recently has) and the Govt will always be tinkering...tinkering.

By retirement age, those people who've done no other investing will be unlikely or not able to invest in other vehicles, because their investor knowledge will be zip, they won't have the courage to do anything slightly risky at that stage of their life.

All they will probably do is whack it in the Bank and hope their capital and post tax interest will survive longer than they do.

 

[boomtown]

I don't want to turn this into a discussion of direct property versus other asset classes but simply note that houses and units located close to public transport in established blue chip suburbs close to the CBD have maintained their value in what can only be described as oppressive credit conditions. If those properties can weather this storm then they should be ok in future storms as well (unless we all think global financial volatility is only going to increase over the next decade - but I think the wall of regulation that is about to hit banks and quasi-banks will put paid to that).

My super will never be more than 5 percent of my asset base.

 

[steveadl]

and the Govt will always be tinkering...tinkering.

That's one of the scariest features. I wouldn't be comfortable having super as a major part of my retirement strategy. OK, now you can get it at what, 60/65? What happens to me in 30 yrs with improvements in health/life expectancies and what ever the needs of the govt. of the day in relation to workforce are? They decide to push it to 70/75?

What happens if I want to retire at 35?

 

[lizzie]

where's the infinity option? don't plan on running out at all, so choose 250+. who knows, be the time i'm 110 scientists may have developed methods for us to "reborn".

 

[Rockstar]

who knows, be the time i'm 110 scientists may have developed methods for us to "reborn".

Havn't the new age Christians worked that one out already Lizzie???

 

[BayView]

That's one of the scariest features. I wouldn't be comfortable having super as a major part of my retirement strategy. OK, now you can get it at what, 60/65? What happens to me in 30 yrs with improvements in health/life expectancies and what ever the needs of the govt. of the day in relation to workforce are? They decide to push it to 70/75?

What happens if I want to retire at 35?

I heard just yesterday that Chairman Redd (good one WW) was talking about a scheme to access OUR super to use the funds to finance various schemes and projects around the place.

Now, all please bend over and kiss your toosh bye-bye.

 

[lizzie]

Havn't the new age Christians worked that one out already Lizzie???

yes - but their way you can't take the money with you ... have to park it in the church gold tap fund.

from what i have heard, the govmt is also discussing being able to drawn out your super for a house deposit ... problem is that most of those that need the initial deposit (late 20, early 30-somethings) will have stuff all super anyhow.

 

[Rixter]

where's the infinity option? don't plan on running out at all, so choose 250+.

I ticked Assets/Income continuing to grow Lizzie - the claytons infinity option

(same as the majority)

 

[Monopoly]

I ticked Assets/Income continuing to grow Lizzie - the claytons infinity option

(same as the majority)

Ditto for me too!!

Don't get me wrong, I'm not planning on sticking around till I'm 120 years of age but....

If I AM still here, believe me, (after taking care of my kids, grandkids, and the great grandkiddies) I'm going to spend my last remaining dollars on some heavy duty plaster-of-paris strength makeup to camoflauge what will most likely be some pretty full on wrinkles!!

Hold on to you walking frames fellas.....

I plan on being one of the hottest looking senior centurions in the nursing home!!!

 

[The Y-man]

Was wondering about retirement planning....

Not planning to retire.....

Cheers,

The Y-man

 

[pursefattener]

Ditto for me too!!

Don't get me wrong, I'm not planning on sticking around till I'm 120 years of age but....

If I AM still here, believe me, (after taking care of my kids, grandkids, and the great grandkiddies) I'm going to spend my last remaining dollars on some heavy duty plaster-of-paris strength makeup to camoflauge what will most likely be some pretty full on wrinkles!!

Hold on to you walking frames fellas.....

I plan on being one of the hottest looking senior centurions in the nursing home!!!

Won't that be a dazzling sight to behold

 

[Monopoly]

Won't that be a dazzling sight to behold

Heck yeah!!!

But sadly I'll have to settle for another "toy boy" because there won't be many senior gents of the same vintage to do the beholding!!!