What age do you plan to retire?

To me, retirement is having the choice to get up and go to work or not, or go in when you feel like it, and still earn plenty of dollars - more than you need.

This event looks to be an occurance for me in around 18 months time; I'll be 49.

I don't plan on ever not working - I did that for the last 3 years in the US and it was a bit boring. We still did lots of stuff, went places etc, but this was on the w'ends when the wife was off work.

Humans need to be kept busy - have projects, keep the brain and body stimulated.
 
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When I was in highschool, unrealisticly it was 25, but I expected 35-40 at the earliest.

But when I realise how much I enjoy working towards something, I figure I'd like to keep working till I'm 55 at the least.

:)
 
Options (puts and calls) are like side bets at the twoup. Pat nudges the guy beside him and sys "Bet you a fin it's heads." and Mick says "Your on".

This bet is not part of the main game, nor are options. In the above example Pat "writes" the option and Mick buys it. The option's "life" is until the next toss. With puts on a options exchange Pat will place an offer in the market that says he will buy a thousand shares in the stock or index in question for a given price on a given day. Mick doesn't own any, not does he want any, but he will "buy" the contract because he believes it will go down. If he is correct and it drops below the "strike" price he happily buys the thousand shares on the market and sells them to Pat at the higher price. If it goes up he simply walks away, losing the premium he paid to buy the options contract in the first place.

The terms "naked" or "covered" refer only to the writer of the contract. He has no option, he is contractually bound. You are covered writing a call on shares you already own or if you are short those you write the puts on. You are "naked" when you have no offsetting position. Potentially dangerous with writing calls because a big news event could cause the price to double which means you must buy the thousand shares on the market to enable you to fulfill your contract to the buyer of the contract you wrote. (If they halve, the buyer exercises his "option" to do nothing)

I haven't studied why but writing naked puts is not considered as risky as naked calls.
 
I haven't studied why but writing naked puts is not considered as risky as naked calls.
Because a price can only drop to zero, but theoretically has unlimited upside. I only every write covered, naked is too dangerous unless it's part of a strategy with an opposing position.
 
Options (puts and calls) are like side bets at the twoup. Pat nudges the guy beside him and sys "Bet you a fin it's heads." and Mick says "Your on".

This bet is not part of the main game, nor are options. In the above example Pat "writes" the option and Mick buys it. The option's "life" is until the next toss. With puts on a options exchange Pat will place an offer in the market that says he will buy a thousand shares in the stock or index in question for a given price on a given day. Mick doesn't own any, not does he want any, but he will "buy" the contract because he believes it will go down. If he is correct and it drops below the "strike" price he happily buys the thousand shares on the market and sells them to Pat at the higher price. If it goes up he simply walks away, losing the premium he paid to buy the options contract in the first place.

The terms "naked" or "covered" refer only to the writer of the contract. He has no option, he is contractually bound. You are covered writing a call on shares you already own or if you are short those you write the puts on. You are "naked" when you have no offsetting position. Potentially dangerous with writing calls because a big news event could cause the price to double which means you must buy the thousand shares on the market to enable you to fulfill your contract to the buyer of the contract you wrote. (If they halve, the buyer exercises his "option" to do nothing)

I haven't studied why but writing naked puts is not considered as risky as naked calls.

Thanks for that Sunfish. Sort of got it.

So, in the context of what CRC was saying, due to the market dropping over the last year, the PUT is betting on the prices going down, and a CALL is betting on the price going up?

And Mick is basically betting on the price going down, but if it doesn't, he just loses his option premuim?
 
So, in the context of what CRC was saying, due to the market dropping over the last year, the PUT is betting on the prices going down, and a CALL is betting on the price going up?
Right! But you must be careful, he was BUYING puts. He could also "Sell to open" a put contract (ie "write" the contract) in which case he is hoping the price won't drop below the strike price.

Writing covered calls can give an easy 1 or 2%/month return on your stocks but I have never tried it because it seems to me you limit your up-side (selling the call transfers the up-side to the option buyer) but leaves you open to the whole of the downside. This is important in volatile markets such as now. Today I think it is safer to buy options, not write them, but I must stress my lack of experience here. Reading a book means little to me.
 
I hope it works for you , i found that when your young and retired/semi retired all those people ie freinds that didn't listen are still working and retirement gets real boring, keep your finger in the hole and scope your investments better!
This will keep you learning, and active, and luck to you!
 
I hope it works for you , i found that when your young and retired/semi retired all those people ie freinds that didn't listen are still working and retirement gets real boring, keep your finger in the hole and scope your investments better!
This will keep you learning, and active, and luck to you!

This is true, craig. I also know my husband would drive me INSANE if he didn't work. No point in retiring if you have no-one to play with.

We had planned to SEMI- retire him in 10 years, restricting his work to local jobs and renovating. I think I will work forever......at the moment I really love what I am doing....although I might have to give up my part-time job as a Group Fitness Instructor. Don't want some wrinkly old 70 year old giving you Boxing lessons!:eek::eek:

Regards JO

(I throw a good punch though! :p)
 
Hadn't even thought about retirement. We're both around the 30 mark.

All we're thinking about now is how the little house we bought earlier can give us enough cash to buy lots of software, artwork and music to push through our business idea, and/or some base rental income to keep the wolf from the door.

Be nice if the business takes off and we get to be happy little perverts running it (or a derivation of it ... or the next project ... with minions doing the real grunt work) for the next 50 years :D But then our business idea does fit the idea of hobby or play anyway so I guess it would just be high paid retirement ...
 
I enjoy what i do (own business) and will probably do it regardless of whether i need the money or not.
But I plan to have enough passive income to not be required to work by the time I'm 30 (26 now).
 
I'm 33 now, and hope to retire at 47. I'd originally wanted to retire at 45, but 47 will be more appropriate, as my semi-commercial units revert to residential (along within a 30% jump in value), and my son will turn 18 and finish school.

That gives me 6 years to buy 4 more IPs, meaning my IPs will sit for an average of 12-13 years before I 'need' the value in them. Also gives me another 14 years of contributing to my geared shares portfolio.
 
First started enjoying financial freedom about 12 years ago but then had to reassess after tying the knot. Have spent the last few years enjoying that freedom again.
 
I'm 23 now, so I have a 10 year plan to retire by the time I'm 33 at least.

Ideally, I would like to be semi-retired in 2-3 years time or so with enough equity built up that I can draw on it to turn it into cash flow... drawing down on $100k equity would allow me to live comfortably working part-time as I generate cash flow from the equity I've drawn down on.

In a few years time, I am going to go and live overseas off the cash flow I generate from my equity I draw down on... should find the cost of living much cheaper and having a ball at the same time, while at the same time I'll be letting my property portfolio grow and accumulating more.

I've only got a couple of years of sacrifice to get it rolling... after that, it'll all become so much easier.
 
I am retired/taking time off work now for probably the next 2 yrs but depends on serviceability, may need a part-time job before then but I think it's good too to have some structure and human interaction in my life and get away from the kids 1 or 2 days a week.

Like Louise, I am still developing houses.

Hubby is starting his dream job next year, he would rather work than retire. He absolutely loves it. It's good coz he gets 15 weeks holiday and I think that excludes built up annual leave. Which means we still have the time off w eneed to do lots of travelling. Only problem is hat it's during school holidays which is always more expensive.
 
Ah well, here's my problem.

Late fifties, could retire comfortably tomorrow (or yesterday!!) - if I wanted to.....

Trouble is, I love my job (work in large high school library). I've cut down to 3 days a week, but happy to continue on that basis. I get all the school holidays plus have extensive long service leave so can take time off whenever I want.

I plan to cut down to 2 days a week in 2010, but would be happy to continue on that basis indefinitely, or until my wheelie walker won't fit through the door!!
Marg
 
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