LogFAQs > #960466222

Zeus posted...

Molitheus posted...
It takes more than a million dollars to retire.

Depends on how much money he has now, and how he spends it, and how old he is.

Lol, even without investing you can retire on 1 mill easily even if your 20 years old, although you won't be living on easy street.

Seriously though a studio apartment many places is 500-600$ a month, you have your own place, spend another $400 on expenses (utilities/internet/transportation and food) and your spending 12k a year. 10 years is 120k, 80 years is about 1 mill without investing anything or any interest etc all that time.

I have lived on less then $1k a year since my wife passed 4 years ago, it's not hard.

That will go up over time of course, but then again if your starting at 18-20, you don't actually probably need to spread it out over 80 years (as not many live to be 100).

So yeah, you can retire on 1mill easily (especially if you invest it).

Even 5% interest per year on 1 mill is 50k a year, without touching the principle, although there are some things that make more sense to spend the money on.

Best bet would be to do the following.

A: Buy a mobile home on it's own land (no mobile home park fees), then only thing you pay is taxes on the property (usually around $100/year). No housing costs at all, and you can still get mobile homes like that for under 50k in many areas.

Invest in solar pannels on your mobile home so you have no electricity or very little electricity costs ever, not that expensive at all, and long term would save you even more money.

Your costs are now down to internet,water and sewage pretty much, probably less then $100/month.

Invest the rest (950k or so) and get at least 5% on average (stock market could work for that if you don't find a better investment). Then live (well) on the 50k a year+ you get from the principle (I mean, spend a bit less at first to get back up to a mill invested just so it's an even number, then just take out the gains every year over 1 mill (don't take anything if the stock market drops, only if it goes up). Live off the money you take out, so don't spend it all every year in case there are years the market goes down in a row.

Travel the world, go on cruises, eat really well, have lots of lovers whatever, you'd have a safe place to live your whole life that costs nothing, and plenty of money to enjoy yourself with.

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Tacobot 3000 "Saving the world from not having tacos."
Friends don't make their friends die Hanz. Psychopathic friends do.