[quote=deadzone][quote=Coronita]For me, I’m not fully disengaging from the markets. I’m just moving money around to buy hard assets because I like things that are tangible. I like property. I don’t really get stocks,bonds, indexes, and certainly can’t live in them. Also, I don’t care as much as if the value of the hard assets move up or down. What I care about is can each year, these assets generate a consistent return so that if I decide to quit my job or get fired or both, I continue to still have a steady stream.
Once I have a steady stream of income the replaces my engineering “salary”, I don’t care whether those assets go up and down as long as my annual income is roughly the same. I’m done at that point. Getting close. The thing I’m not convinced about high quality stocks that pay a dividend. is they are high quality…until they aren’t….Those banking on dividends from ATT were recently given a dose of reality ala dividend cut. so not exactly predictable.[/quote]
You are definitely on the right track. And avoiding stocks is great for your mental health, stock market is nothing but a casino. I am curious though, when it comes to “retiring” from your engineering job, why do you feel you need to have enough rental income to fully replace your salary? From the way you talk you could live pretty well right now without the job, and if you later realized you needed/wanted more income, you could always go back to work.[/quote]
1. I want to generate about $150k/year from cash flow and $50k/year in passive income from dividends, as my fvckyou money. Not quite there yet or combinations there of.
2. Any surplus upfront is extra cushion for bad times that could happen over the next 30+years for which things underperform…Hence, if I can continue working and drawing a nice compensation package without being killed and overworked to death is extra financial capacity to frontload more of that fvck you up front with a larger fvckyou, so if somewhere along the line of that 30+years of retirement, things underperform, I don’t need to go back to work ever when I’m older. ever…
3. I like working now, even if my current company is frustrating. So I’d like to work as long as I can while I still can.
4. I haven’t figured what else I would rather be doing right now, and don’t want to stay home and get obese.
5. Medical insurance is another consideration, when you have a preexisting condition. Things *could* get incredibly expensive once you get off of a group insurance plan.
6. I’d like to do the bare minimum so I get my maximum social security benefit when I can get it. Because at least in principle, I paid for my social security taxes all along, I should be able to get the full benefit… Maybe that means taking a cushy government job or something along the lines. Don’t know.
I don’t think I will be one of those people that will have $30-50million in the bank. That’s just not my luck and ain’t going to happen based on my past near misses with large scores… I think reality is I’ll probably end up somewhere around the $8-10million by the time I’m 55-60. So that leaves a moderate lifestyle, not necessary luxurious, again given what I could possibly be spending on a pre-existing condition, assuming no/shitty insurance coverage.
1 MRI + 1 GI scope exam annually costs roughly $30k and $25k respectively without insurance, so that’s a $55k/year bill that I need to foot alone assuming nothing else…. x2 if my kid needs the same thing done….That’s with after tax dollars, (well I think above a certain amount 7% AGI, medical expenses are itemized deductions).
