No. of Recommendations: 3
JimA759s writes,

<<"By my calculations, to live 'comfortably' (not extravagantly) during retirement, costs anywhere from $3600-$4500/month, including taxes.">>

I would have to disagree with this. My father retired 20 years ago, gets somewhat less than $15,000 per year in SS and a small pension, owns his own home and lives very comfortably, and saves most of his income each year. When he retired he had about $20,000 in savings; he now has about $70,000 in savings - He wants for nothing and does what he wants, when he wants.

I'll be lucky to have half of the resources of the sob story guy when I retire - probably less than $150,000 in assets, no home, and SS & 401K of about $24,000 per year - but I expect to live comfortably as well - I have no idea how this guy ended up with such a loss, but he was probably not paying attention for seven years.

Here's an interesting quote from Paul Farrell's The Lazy Person's Guide to Investing

The sixth chapter "Frugal Savings Wins" demonstrates that managing your living expenses is as important as maximizing your investment returns. Farrell recounts an illustrative story from one of the attendees at Berkshire Hathaway's annual shareholder's meeting, perhaps the largest gathering of multi-millionaires in America.

Most people with money ain't talking. They don't drive flashy cars or live in big houses, but they're very comfortable. And they don't need a six-figure income to survive. They live very comfortably on $15,000 to $30,000 per year and still save lots of money. [even though they're already millionaires]



Print the post  


The Retirement Investing Board
This is the board for all discussions related to Investing for and during retirement. To keep the board relevant and Foolish to everyone, please avoid making any posts pertaining to political partisanship. Fool on and Retire on!
What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and Glassdoor #1 Company to Work For 2015! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.