Very true, I'm 59 and turning 60 soon. I got laid off with a bunch of other people at my firm. I was a little down (for about a day) because I was one of those people who did the right thing over the last 30 years. I'm now retired and love it. my assets being supervised for 8years plus has impacted a lot of exposure in nest egg (in excess of 2.8m), I say that because over those 30 years I was a personal finance junkie and listened to all my mentors (John Bogle, Warren Buffett, David Bach, sometimes Dave Ramsey) haven't spent any of my 401k, Roth IRA, or brokerage cash account. My SS and pension is so far adequate to meet my expenses. I don't want for anything, anyway. My kids will get my swag.
Having a great savings and more streams to earn makes life goal’s easier but our way of life needs better alternative, at the same time, people also need to be more responsible. I know for a fact that there's a lot of people that simply don't make enough, I make roughly hundred plus a year and in California, rent inflation alone eat up almost all of what I make, with dependents and other obligations included, it's easy to end up with zero. however it’s a good time to add to existing asset holdings as follow -on opportunities how did you go about touching base with yours, kudos on your growth so far.
you only have to put in the simplest terms to help you understanding tax, mortgage, emergency funds for cashflow interest. If you're looking for nest egg options or if you have any questions about financing your next property or assets building.
Then feel free to write Suzana markasevic her incredible earning interest will support you in making your home buying and benefits journey as smooth and stress-free as possible. Good luck staying debt free as much as possible in the future.
I like the reward tip! My wife and I are working on paying off our mortgage fast, and I think that will help motivate us. I can't wait to be mortgage free! We have a plan, and should be able to get there in 5 years or so, with extra effort.
I have a lot of money but my husband just passed away suddenly. I give all the money just to have him back with me. I have no debt. My husband was my protector and my life. I found out that money isn't all that important. Hold on to your loved ones.
Thanks. My wife and I were on active duty in the Navy. She died on active duty nearly 10 years ago and I retired at nearly 30 years. I retired in 2021 and started getting SSA survivor's benefits at my age of 62. I retired shortly after that from all employment. I will convert from her benefits to mine between age 67 (full retirement age for me) or at age 70 with added benefits. I really wish she could be here so we could retire together but life sends you a lot curve balls. God bless all of you.
I have savings of $1,000,000 and I'm ready for retirement, only concerned about the soaring inflation. Is this enough to retire comfortably, or do I need some sort of money management?
I believe the average life expectancy in the US is around 77.5 years, but many individuals live into their 80s. Therefore, $1 million needs to cover all those years as well as any unexpected expenses. While $1 million is a solid beginning, I recommend seeking financial advice just to be safe.
I retired 7 1/2 years ago at age 62. My wife followed two years later, also at age 62. We are having zero issues doing anything we want to do on just our Social Security. The key for us is we won't pay rent and everything, including our house, is paid for. We own Six licensed vehicles that are also paid for. We can can pretty much do anything we want any time we want. It's not that complicated. It's important to remember that more per month is not the same as more money total. Less per month does not mean less total. All three rates come even around 80 years old. (79 years 8 months for me) Leaving work early means more quality time in retirement. It's just that simple.
@@pointman8739 In our world we have two seasons. Hockey and Camping. This works pretty good because one season starts right around the time the other one ends. One of our licensed vehicles is a 35 foot tripple slide travel trailer. The key for us was being debt free by the time we both retired. No house payment, No truck payment, No RV payment, No SUV Payment, No 4 door sedan payment. Can't stay long, we are off to purchase a big screen TV for the Basement.
In these uncertain times, it's more important than ever to have a solid understanding of how to manage your finances, invest wisely and navigate economic downturns. But my primary concern is how to grow my reserve of $240k which has been sitting duck since forever with zero to no gains, sure I'm all in on the long term game, but with my savings are lying waste to inflation and my portfolio losing gains everyday, I need a remedy.
8 years to go till 62...if market does not kill my 401k. Wife and I retire with 4 mil in 401k. Self employed and doing the catch up and started the ROTH part this year.
Planning for early retirement involves strategic financial decisions. A key aspect is choosing between taxable and tax-advantaged accounts. While a traditional brokerage account allows flexibility, tax-advantaged options like a Roth IRA or a 401(k) can offer significant advantages. The choice depends on factors like current and future tax implications, investment preferences, and withdrawal flexibility.
When referencing corporate America, he said “They don’t really care about you as they make it seem” realest thing he said...I’ve seen experienced it first hand in the DMV. Black ppl aren’t really respected in corporate America. Glad that he was able to get out of there and become his own boss Pbatesltd
My plan is to take retirement at 62 in 2027. We will have saved about this same amount by then. Then we are off to South America where $750K has the power of 1,500,000 in Pesos. No more toxic USA to deal with either. Better food, better people, culture, etc. We could easily live off SS alone and even save a portion if we choose to.
@@bruceang82 Oiga mano, estoy fluente en Espanol a pesar de que soy americano. Mi esposa es de un pais que no voy a nombrar porques no quiero gringos en este zona, capiche?
Everybody wants to know if they can retire at 62 and take Social Security. One of the most important things I think you need is life insurance. If you’re worried about not taking your Social Security, so your wife will have a higher amount when you pass you are giving up years of free money. I have a term life insurance policy and a whole life insurance policy. My term policy will last me till I’m 83. My whole life insurance policy with my saved up accumulations I won’t have to make a payment for 13 years. I’m not worried about my wife getting my Social Security. She’s going to get$500,000 in life insurance
At 7-minutes into the video you will see what this is all about - Annuities. First, longevity rates have decreased actually. The vast majority of us are not going to live into our 90's. Second, when drawing Social Security, there is a cost of living adjustment. So, your check is going to go up in future years and keep up with inflation. And, this goes for your investments as well. That 750K investment will double in 10 years if achieving a 7%, return because of compounding.
Ss is forecast to be insolvent by 2035. Payments will have to drop about 20% in adjusted dollars. Inflation is also going to average at least 3.5 . This guy is delusional.
For a few months now I have been searching tirelessly for information on how to start investing. I even payed $400 for a course that I now regret. It appears that there is no structured guided for beginners on how to get started in this realm. I’ve came across several investors making well over $250k/annual and I would be grateful if anyone on here could provide insights on how to get started, identity potential stocks, when to make an entry, exit etc
FOO Look up The Money Guys Their financial order of operations will give you a guide path. It won’t get you wealthy quick though. If that’s your wish then good luck wishing your whole life away.
The industry that teaches people to make money is basically making money from people who want to make money. It seems inexplicable. If they have good ideas and can make a steady profit, why not do it themselves
Invest in S&P 500 index fund (like at Vanguard, Fidelity, or Schwab). You won't beat the market, but you will essentially match the market. Over time, your money will grow.
I’d be retiring or working less in 15 years, and considering this financial recession, I’m curious to know best how people split their pay, how much of it goes into savings, spendings or investments, I earn around $250K per year but nothing to show for it yet.
With 15 years to go, you must pay yourself first and a rough estimate is around 20% of your income. Have to fit the rest of your lifestyle into the remaining 80%. The most important thing is to setup direct deposit as soon as your paycheck arrives. Or simply adjust your 401k contribution to 20% of your income and then once you max out, you can shift to direct deposit into an investment account. Investing 50k per year, averaging 7%, gets you to 1.25m at retirement. Good luck!
I think this guy makes money selling annuities? He did not mention the go-go years, slo-go years and no-go years and how that will effect the amount pulled from accounts. He kept it the same ($60k per year - with inflation).
He's delusional if he thinks inflation will be 2.5 percent. Its likely to remain at least at 3.5 percent and probably much more since the fed will have to start money printing again soon to bail out our government which has to pay a trillion a year in interest on 34 trillion of debt. We're going to see inflation rates of 10 to 12 percent in many years ahead just to devalue the currency and the national debt.
Man, I hate how disingenuous these types of videos are. You talk about longevity, then completely ignore the fact that retiree spending drops after the first few years, irrespective of whether or not one of the people in a married scenario passes away. Spending does go up again as folks get older, because of medical expenses, but the inverted spending curve means a very high likelihood of growth during those middle years. None of this is speculation (as most of your video is), it's well-documented results from actual retirees, over the last several decades. The final point I'll make is about AUM (assets under management) and how "advisors" very carefully avoid talking about the "B" word (budget) because that undermines their efforts to convince people to have more and more AUM. For those who know how to create and follow a budget, inflation is not terrifying and they don't fall for the financial advisor market lies about how much money they'll need during retirement.
@@MrBobochow I hope to retire at the end of '24 with my wife still working through '27 to get her pension up and to keep us in California until I turn 65 (My company keeps us on the medical plan until 65 which is very cheap in Cal but much more expensive elsewhere). Looking forward to having her work while I am retired. 🙂
You and your crew consistently provide the best content I see on RUclips. It's easy to see you know what you're talking about. The details you provide have really helped me think about the things I need to be mindful of as retirement approaches for me (12-15 years out). Thank you!
750k is a more realistic retirement savings, ty. My plan is to also work a seasonal job from home in my profession until age 72. I'm already working that job. I estimate 26k take home. It will alleviate boredom, and allow for downtime, too. The biggest risk from your presentation was not knocking over that aqua blue vase on the top shelf. 😂 I think I'm in line with your assumptions here. A big thank you.
That threw me too! I subscribe to NewRetirement software and the success rate of my retirement plan can plummet if the future rate of return on my portfolio is only 4% vs 6%. I think he needs to elaborate on this ststement 🤔
You missed half of what he said. He said rate of return matters when you're working and saving to build the nest egg but not when you're retired and withdrawing.
@@basementstudio7574 I heard it all. I disagree when he said returns doesn’t matter when you are withdrawing in retirement. You need growth on your portfolio when taking money out over a long period of time
@@basementstudio7574 well that makes no sense either. That money might need to last 25 years. If you’re taking out 4% a year, and also losing 10% , it’s gonna run out pretty fast. That comment is ridiculous
He said its the "sequence of return" that matters post retirement...no longer the "rate of return" which was important preretirement. This is consistent with what jrm2383 points out. And i would say an underlying assumption to all these advisors is you are generally not investing new monies post retirement, so "returns" are not part of what their models show. If you are investing more/new monies post retirement, then i suppose returns would apply to that money...but I think keeping that new money separate from portfolio based income money might be important, so your drawdown is based on assumptions of sequence of returns risk and can be (more likely) stable long term income source.
I just sold a property in Portland and I'm thinking to put the cash in stocks, I know everyone is saying its ripe enough, but Is this a good time to buy stocks? How long until a full recovery? How are other people in the same market raking in over $450k gains with months, I'm really just confused at this point.
@RobertDennison411 How can I participate in this? I sincerely aspire to establish a secure financlal future and am eager to participate. Who is the driving force behind your success?
People need to understand, they will not be spending the same amount of money at 90 years of age that they did at 62. Money will be spend differently for sure. Such as medical vs enjoyment. But it is well known that ones income needs will be less as they age. Probably starting at around 75 or so. Don't let advisors make you believe you need the same amount of income from the day you retire until the day you die. If they insist you will, they are being dishonest, and they know it.
I lost interest as soon as he mentioned Annuity. Realized this is just a fancy way of selling high-commisioned annuities. I think I will stay with the tried and true Warren Buffett and other stock investors. index ETFs and some (not much) bonds.
I am single 61 1/2 year old male, single, no kids and ZERO debt, with $965,000 in retirement savings. I recently switched to a more conservative allocations of 48% equities/52% fixed. My expenses in retirement will be right around $3800 a month. Can I retire at 62 and NOT run out of money? I plan to work part time in retired to generate about $12,000 a year.
Oh, my gosh, you can do so easily. You have way more money than me saved, and I figured out I could (and did) retire by 62. Wait as long as you can to collect benefits. It really will be worth it to wait. Put as much of your retirement savings into interest accounts that generate as much interest as possible. (CDs, Certificate of Deposits, for example are paying about 5% right now. With that much in savings, it's probably best to keep some of it in stocks. Keep your expenses low, as low as possible. When you do finally collect SS benefits, that, and the the interest you earn, and any part time income you continue generate should be WAY more than enough to cover your monthly expenses, and last you at least into your early to mid 90s.
You lost me at the last scenario where John starts SS at 70 and Jane starts at FRA. Why is her first year benefit $0? And a non-working spouse cannot start benefits until the working spouse does. What am I missing there?
@@Dave-sw2dm No, it's not. It is showing various methods to retire early with a smaller savings. He explained the risk of collecting SS early, and how it will work if you wait and take SS later. The annuity is a different method to reduce the risk of running out of money. If he was pushing annuities, he would have made every other senarios as a failure.
@@jdgolf499 When he incorrectly stated spousal benefits my ears perked up. The focus was on annuities and there was a lead up to them. Give $300k and defer for 10 years, then over 10 years take out something like $480k. Over the last 10 years my 401k grew from $200k to $968k in a balanced portfolio.
@@jdgolf499 Yes, it is. He's being realistic in showing not everything scenario fails. But he is selling his annuity by showing how the success rate goes up to 99%.
Since she didn’t qualify for social security benefits and she only qualifies for spousal benefits, she can only claim social security once her spouse claims social security benefits!
I'm retiring at 62 my husband is retiring at full retirement age he is already on medicare. Can I get a decent health plan, without breaking the bank. Neither of us have had a job that had health insurance previously? Is the best time to get good health insurance during open enrollment? My social security is only going to be 1100 dollars and his is only going to be 2400 dollars.
How does a pension play into this? First year I'll make $50K with annual COLA raises. SS should be around $25K annually. We're planning on moving out of CA to NC, SC, VA area to reduce expenses and own a home free and clear. We have just shy of $300K in 401K/IRA money. It seems we'll be good to go for retirement at 62 in 2025. What say you?
Are your expenses less than pensions + SS after taxes? If yes you are good. Accurately forecasting expenses is the key to any retirement strategy. Many neglect tax planning and medical expenses that can negatively impact your retirement plan. What is your long-term care plan if one or both of you need living assistance or nursing home care?
Rather than recommending an annuity to cover the projected income gap, why wouldn’t you recommend building a TIPS ladder? They remove sequence of return risk, and the cost is much much cheap let than paying the costs of an annuity.
If a person stops working at 62 but opts not to start receiving social security benefits until age 65 or 67, will the benefit amount increase even though the person is no longer working and contributing?
I will be 62 next month. I spoke to a SS agent this year with ????. I was told that my SS payment will be based off of the average of my Highest 5 yrs of earnings. So whatever that looks like for you. It will not increase if not working. Working with increased earnings should increase the amount.
I would like to see you do a financial analysis of our government debt to income, future liabilities and current interest rate. I think inflation is not only under estimated but just getting started.
Yes that's Great assuming that you have a large near egg to live on. If you are still working that is capped or goes away if not FRA (2:1) for every $2 you make they take $1
My back of the napkin calculations on delaying SS was a real eye opener. If I take @ 62 and die at 92, I'll get 870K whereas @ 70 I'll get 1.68 million over the 30 years. It hurts to think of taking from the 401 nest egg (so as to be able to defer) but I'll sit down with a planner to design an allocation strategy that can fill the 8 year gap. Healthspan between 62-72 is significant vs 72-82. I've seen that with my own eyes as my parents retired early and had a wonderful first decade.
Hey there Michael! Thanks for sharing these thoughts with us - we're happy to hear that you'll be getting some help with your allocation strategy - wishing you the best for your retirement!
I retired at just over 57. How? Covid was my savior and totally changed my life. The key has been to eliminate all debt. I've made it just fine on my pension alone. Just starting to receive 401k draws then last will be Social Security. With no debt, you can do it. Could not have retired without it.
Well, I'm by myself. If $750k is entry level, I'm out already. I have no debt, BUT I do not own a home. I sold it years ago, but the $ is not near enough to buy another one at the ungodly prices of houses today.
Hey Lynn! We wouldn't consider $750k 'entry level,' its just one of the many scenarios we chose to do a video on this time. We have a new playlist we just created with some of the scenarios we've done with singles, if you want to check it out! Thanks for watching and commenting!
40% underestimate their life expectancy -- which means that MOST -- 60% -- OVERestimate it. This argues more for spending like a drunken sailor, not for planning for a decrepit and very distant future.
Hey Steve, thanks for watching and weighing in! Everyone has different risk tolerances and goals in mind for retirement, but we always tend to recommend airing on the side of caution because we never want anyone to be stuck in the situation where they've run out of money.
Why do you always compute an increased expense when you get older? Is it supposed to be the opposite? Less travel and entertainment expenses when you get older therefore you can extend your portfolio longer
They have their place as insurance for outliving your money. If you don’t have a pension an annuity can help you. I wouldn’t consider one until my 80s.
That scenario is very easy if you're debt free. I'd recommend living off your portfolio, maybe $3k/month and delaying S.S. to 67 or 70. Keep 650K in the S&P 500 and the rest in a stable, high yield account/fund. If you had a good job, you will be able to spend even more when you begin S.S. Stay fit and enjoy a long/healthy retirement on your terms!
If you take 1168 a month at 62 vs 1380 at age 65 it will take you 15 years to catch up. You get 3 years of payments that add up to $42,048 (not including any interest or other gain). The person who takes at 65 gets zero. When both people are just over 80 years old they would of received the same amount of money except one retired at 62. By the time you reach 90 the difference in net income would be 23,951.
With these senarios, such as Monte Carlo, can it take into account if you have say, three years of cash, so when that sequence of returns hits with low returns during the first couple years, you don't tske anything out of your equities? The cash carries you through the couple down years.
Troy, your Fixed Annuity example shows the couple withdrawing from their 401K/IRA during the first few years of retirement and then stopping withdrawals as they get their income solely from SS and the Annuity, but what about RMDs which would require that they withdraw funds from their retirement account??
Most Americans find it hard to retire comfortably amid economy downtrend. Some have close to nothing going into retirement, my question is, will you pay off mortgage as a near-retiree, or spread money for cashflow, to afford lifestyle after retirement?
"Average Rates of Return Mean Nothing". That is a hard pill to swallow. Suppose you had two sequence of return graphs that look identical, except for scale. I tell you one is associated with a 10% average (e.g. CAGR) rate of return and the other is associated with a 1% average rate of return. You wouldn't prefer the 10%? I think most people think of sequence of returns to mean not the nominal rates each year, but the yearly deviation from the average.
I feel investors should be focusing on under-the-radar stocks, and considering the current rollercoaster nature of the stock market, Because 35% of my $270k portfolio comprises of plummeting stocks which were once revered and i don't know where to go here out of devastation.
Safest approach i feel to tackle it is to diversify investments. By spreading investments across different asset classes, like bonds, real estate, and international stocks, they can reduce the impact of a market meltdown
Dont sell; then you have no chance of recovery. There are tutorials that tell you what else to do. Unless you were heavily in all tech stocks it will recover
I like the idea of stable income Floor? Soc Sec, a modest pension and Annuity so I will never completely run out of money, 3 checkS every month for LIFE! And IRA
If I have a pension that pays $50K in the first year with COLA increases every year would that put me over 1.5 million saved? 50K over 34 years without COLA would be 1.7Mill total right?
There's some factors that go into if somebody will rely and definitely need SS retiring at 62 with $1.5 Mil...Like if the house paid off, no loans or big bills, 2 yrs of emergency money, live within your means, etc..then you should be good and not just depend on SS...It'd be nice for people to get $50k yr pensions, sweet!
Can’t we just tap on interest earned on our 401k and use that to supplement the rest of our income. I hope to get rid our our house payment and move to our new off grid home. We could have $9,000/month income in retirement.
I am watching your RUclips videos on TV and I can hardly see/read the numbers and phrases from your presentation because the color and background are on light fonts and background. Please use either dark background and light font or vice versa. Thanks
Pet peeve: 'You've saved a million dollars'. Is that net worth? Is that a million in your checking account (post-tax)? Is that a million in a 401K (pre-tax)?
I retired at 62. Luckily I worked a couple good union jobs, so I have a bit of a pension above SS. I am moving to Thailand in July (retired in March) where my budget for a good life is less than my combined pensions which will allow traveling without touching my savings.
Hi there! Thanks for watching and commenting. We have another video that explains how annuities work that you might want to watch: ruclips.net/video/IDvdBV8i-KY/видео.html
Why do you always have to introduce a spouse into every scenario? There are a lot of single people out there who match the profile you start your conversation about then totally derail it for them. That makes the scenario more complicated and doesn’t end up helping me with my retirement planning as a single adult male in their early 60’s.
Hi Michael, thanks for bringing this up! We use married scenarios a lot because we do run into it more often than not - but we understand that's not the same for everyonem so we have many videos that run scenarios specifically for single people! We appreciate your feedback and will continue to create more content with singles in mind. Thanks for watching and being a part of our community.
I would love to retire I just don't think it's going to happen. We know real inflation is nowhere near 2 or 3%. It's more like 18% percent. We also know that they gave up on the war on inflation. We've already stopped raising interest rates even though prices are still rising. We have stagflation. They've been giving our money to migrants and wars. That money needs to be paid back plus interest. There are a lot of investment funds that are top heavy overleveraged , and when this unwinds People are gonna see huge losses in their retirement. I'm not so sure if there's any way to even stay in the united states and be a u s citizen anymore. They're talking about cutting social security and at the same time implement a new way of taxing people with a Wealth Tax. Government is completely out of control. I used to think you needed 1.6 million to retire. I think it's more like 5 mil. I think we will see prices double in three years. If not we will have a seventy percent correction so either way we'll be broke. You'll own nothing and you'll like it. I think that's their new motto. They'll throw out the term minimalist and tiny house cute terms.
Love your videos but you don’t cover things like younger dependents like I’ve got as the medical insurance alone for my younger non-working wife and two kids is horrendous
how in the heck did you manage to get -20.55 return in 2023? or -7.62% in 2024 ??? i get that 2022 was negative, but the past decade is +174% which included some 'bad' years.
I've been keeping a substantial amount of my savings in cash. It feels safe, but I wonder if it's the right approach for retirement. I want to invest roughly $400K in stocks since I've heard that even in challenging times, investors may turn a profit. Any excellent ideas for stocks?.
It's incredible that you managed to save so much money while you were working. Few people can accumulate that much savings over the course of a lifetime. Redistributing your capital is a good idea now that you are retired and rely on your investments, as it will protect you from losing everything in the event of a market downturn or recovery. You could assign your resources with the assistance of a financial advisor to streamline the process.
My wife and I have a specific future scenario starting in 2026, which is when we plan to start social security. Our total projected income needs will be 90K annually. Projected social security for me and my wife should be close to 60K annually, so the remainder of 30K will be drawn from traditional IRA(20K) and a Roth IRA(10K). So in our calculation of provisional income, half of SS(30K) + traditional IRA(20K), or 50K, should leave us nearly zero in federal income taxes, given that standard deductions will continue to increase by 2026. Thoughts?
@@OakHarvestFinancialGroup Because I am single and 68. I just ran the numbers as if I had more than 750K. I determined that I would run out of money. The taxes and cost of living in CT are too high. The overall inflation over the past few years has also taken a high toll. I am going to leave Ct and the possibly the USA when I retire.
I always laugh when they show that sequence of return graph. Almost everyone shows a bad two first years as a worst case example. What if they retired two to five years earlier. This is why everyone should use a Monte Carlo simulation software. My intent is not to be the richest person in the graveyard. Everyone’s situation will be different no two households are the same.
Good point. 2024 is 3.2%, 2023 is 8.7%, likely between 1 to 2% in 2025. When the usual higher income man dies first, the women will live with a big cut of income. I have retired and will live in Asian countries for some years and save money. No more property. Reinvest in these high dividends to make sure I have enough cushion to live to 90s or even 100.
I did this 4 years ago during COVID-19. Moving to the Philippines, I escaped the feminist agenda and am able to use my reproductive rights and begin my new life. The Philippines has what America doesn't.
I’m sure you’re good at what you do, but it’s hard to take you serious and trust your attention to detail when you can’t spell portfolio (poftfolio) or even your own company name Harvest (Havest)
How do you figure you will spend the same dollars at 62 than you will at 92? You certainly won’t be leaving the house at 92. Even though you figured for inflation, that number is not real.
Hi there Ernie! These are just examples that we use to show what the possibilities are for people at certain asset levels, and it's based on real life examples we see on the daily with many of our clients. It really all depends on the goals, situations and and risk tolerances of each individual. We also go much further in-depth when income planning with our clients to make sure we're tailoring their plan to what makes sense for them. Thanks for watching and commenting!
Most Americans live paycheck to paycheck and very little in retirement savings. Those are the facts.
Very true, I'm 59 and turning 60 soon. I got laid off with a bunch of other people at my firm. I was a little down (for about a day) because I was one of those people who did the right thing over the last 30 years. I'm now retired and love it. my assets being supervised for 8years plus has impacted a lot of exposure in nest egg (in excess of 2.8m), I say that because over those 30 years I was a personal finance junkie and listened to all my mentors (John Bogle, Warren Buffett, David Bach, sometimes Dave Ramsey) haven't spent any of my 401k, Roth IRA, or brokerage cash account. My SS and pension is so far adequate to meet my expenses. I don't want for anything, anyway. My kids will get my swag.
Having a great savings and more streams to earn makes life goal’s easier but our way of life needs better alternative, at the same time, people also need to be more responsible. I know for a fact that there's a lot of people that simply don't make enough, I make roughly hundred plus a year and in California, rent inflation alone eat up almost all of what I make, with dependents and other obligations included, it's easy to end up with zero. however it’s a good time to add to existing asset holdings as follow -on opportunities how did you go about touching base with yours, kudos on your growth so far.
you only have to put in the simplest terms to help you understanding tax, mortgage, emergency funds for cashflow interest. If you're looking for nest egg options or if you have any questions about financing your next property or assets building.
Then feel free to write Suzana markasevic her incredible earning interest will support you in making your home buying and benefits journey as smooth and stress-free as possible.
Good luck staying debt free as much as possible in the future.
I like the reward tip! My wife and I are working on paying off our mortgage fast, and I think that will help motivate us. I can't wait to be mortgage free! We have a plan, and should be able to get there in 5 years or so, with extra effort.
I have a lot of money but my husband just passed away suddenly. I give all the money just to have him back with me. I have no debt. My husband was my protector and my life. I found out that money isn't all that important. Hold on to your loved ones.
We're sending you our sympathies, Nancy - We're so sorry for your loss. Your words are wise - hold your loved ones tight! Wishing you the best.
Thanks.
My wife and I were on active duty in the Navy.
She died on active duty nearly 10 years ago and I retired at nearly 30 years.
I retired in 2021 and started getting SSA survivor's benefits at my age of 62.
I retired shortly after that from all employment.
I will convert from her benefits to mine between age 67 (full retirement age for me) or at age 70 with added benefits.
I really wish she could be here so we could retire together but life sends you a lot curve balls.
God bless all of you.
Semper fi brother IKE CVN 69 crew member 89-91. Current VA employee.
So sorry for your incredible loss. Thank you both for your service 🇺🇸
Sorry for your loss and I thank you both for your service and sacrifice. My husband and father are Marine Veterans.
I am so sorry for your loss. Live a joyous life in her memory
So sorry for your loss from 26 year AF AD retiree.
I have savings of $1,000,000 and I'm ready for retirement, only concerned about the soaring inflation. Is this enough to retire comfortably, or do I need some sort of money management?
I believe the average life expectancy in the US is around 77.5 years, but many individuals live into their 80s. Therefore, $1 million needs to cover all those years as well as any unexpected expenses. While $1 million is a solid beginning, I recommend seeking financial advice just to be safe.
@@Camila.Gomes1 this is huge! your advsor must be grade A, mind sharing more info pleas? in dire need of proper asset allocation
I retired 7 1/2 years ago at age 62. My wife followed two years later, also at age 62. We are having zero issues doing anything we want to do on just our Social Security. The key for us is we won't pay rent and everything, including our house, is paid for. We own Six licensed vehicles that are also paid for. We can can pretty much do anything we want any time we want. It's not that complicated. It's important to remember that more per month is not the same as more money total. Less per month does not mean less total. All three rates come even around 80 years old. (79 years 8 months for me) Leaving work early means more quality time in retirement. It's just that simple.
What state do you live in?
Car / vehicle insurance must eat a quarter of your social security. You must not do much but sit around the house and cook meals.
@@pointman8739Doubt it! I did the same thing at 56-1/2. Got a car, two trucks, motorcycle, sailboat and 26' travel trailer. Insurance is $2k/ year.
@@anthonynewhouse5695Anywhere but California it's easy!
@@pointman8739 In our world we have two seasons. Hockey and Camping. This works pretty good because one season starts right around the time the other one ends. One of our licensed vehicles is a 35 foot tripple slide travel trailer. The key for us was being debt free by the time we both retired. No house payment, No truck payment, No RV payment, No SUV Payment, No 4 door sedan payment. Can't stay long, we are off to purchase a big screen TV for the Basement.
In these uncertain times, it's more important than ever to have a solid understanding of how to manage your finances, invest wisely and navigate economic downturns. But my primary concern is how to grow my reserve of $240k which has been sitting duck since forever with zero to no gains, sure I'm all in on the long term game, but with my savings are lying waste to inflation and my portfolio losing gains everyday, I need a remedy.
I have my cash reserve in money markets and a CD ladder. All are yielding over 5%, inflation this year should be around 3.5%.
They are spending our retirement on Migrants and War.
I'm sorry to hear that, but you're not the only one losing money. My portfolio collapsed during the covid.
If you're 62 and retiring, you're not retiring early.
When full retirement age is 67 you are
My idea of retiring early is no later than mid-50's.
according to SS you are though haha
According to the government, who doesn't want you to take YOUR social security, it is.
Wish I had another way! I really do. So many friends are retiring they choose professions where it's 25 and out. Not me unfortunately 😢
8 years to go till 62...if market does not kill my 401k. Wife and I retire with 4 mil in 401k. Self employed and doing the catch up and started the ROTH part this year.
Planning for early retirement involves strategic financial decisions. A key aspect is choosing between taxable and tax-advantaged accounts. While a traditional brokerage account allows flexibility, tax-advantaged options like a Roth IRA or a 401(k) can offer significant advantages. The choice depends on factors like current and future tax implications, investment preferences, and withdrawal flexibility.
I’m 51 and been paying taxes over 30 years and I would like to retire now while I’m still young. My 401k doesn’t know when I will die 😮
Ikr... I want out at 57🎉
When referencing corporate America, he said “They don’t really care about you as they make it seem” realest thing he said...I’ve seen experienced it first hand in the DMV. Black ppl aren’t really respected in corporate America. Glad that he was able to get out of there and become his own boss Pbatesltd
No one is respected in corporate life. Not new news.
Why should they care about you? You are responsible for yourself... Expecting others to worry about your financial circumstances is parasitism.
My plan is to take retirement at 62 in 2027. We will have saved about this same amount by then. Then we are off to South America where $750K has the power of 1,500,000 in Pesos. No more toxic USA to deal with either. Better food, better people, culture, etc. We could easily live off SS alone and even save a portion if we choose to.
Get out now please
@@rayosullivan4398 I'll go when I am good and ready to go, when I have siphoned as much USD out of the USA as I can carry with me.
I'll bet you don't....
@@bruceang82 Oiga mano, estoy fluente en Espanol a pesar de que soy americano. Mi esposa es de un pais que no voy a nombrar porques no quiero gringos en este zona, capiche?
Have you scoped out countries and locations? Visted them?
Everybody wants to know if they can retire at 62 and take Social Security. One of the most important things I think you need is life insurance. If you’re worried about not taking your Social Security, so your wife will have a higher amount when you pass you are giving up years of free money. I have a term life insurance policy and a whole life insurance policy. My term policy will last me till I’m 83. My whole life insurance policy with my saved up accumulations I won’t have to make a payment for 13 years. I’m not worried about my wife getting my Social Security. She’s going to get$500,000 in life insurance
At 7-minutes into the video you will see what this is all about - Annuities. First, longevity rates have decreased actually. The vast majority of us are not going to live into our 90's. Second, when drawing Social Security, there is a cost of living adjustment. So, your check is going to go up in future years and keep up with inflation. And, this goes for your investments as well. That 750K investment will double in 10 years if achieving a 7%, return because of compounding.
Yes, many many, most will never see 90. At least if you are close to retiring.
true -it's just an add for annuities
Many more people live well into their 80s. And ss certainly didn’t keep up with inflation under this president.
Ss is forecast to be insolvent by 2035. Payments will have to drop about 20% in adjusted dollars. Inflation is also going to average at least 3.5 . This guy is delusional.
For a few months now I have been searching tirelessly for information on how to start investing. I even payed $400 for a course that I now regret. It appears that there is no structured guided for beginners on how to get started in this realm. I’ve came across several investors making well over $250k/annual and I would be grateful if anyone on here could provide insights on how to get started, identity potential stocks, when to make an entry, exit etc
Try the Bogleheads forum for investing ideas.
@NoahFlemming???
FOO
Look up The Money Guys
Their financial order of operations will give you a guide path.
It won’t get you wealthy quick though. If that’s your wish then good luck wishing your whole life away.
The industry that teaches people to make money is basically making money from people who want to make money. It seems inexplicable. If they have good ideas and can make a steady profit, why not do it themselves
Invest in S&P 500 index fund (like at Vanguard, Fidelity, or Schwab). You won't beat the market, but you will essentially match the market. Over time, your money will grow.
RETIRED 62 POINT!!!!
What happens when the annuity firm goes bankrupt?
Depends on the State. Insurance protections are different, it pays to split a large annuity between several companies to reduce risk.
I’d be retiring or working less in 15 years, and considering this financial recession, I’m curious to know best how people split their pay, how much of it goes into savings, spendings or investments, I earn around $250K per year but nothing to show for it yet.
With 15 years to go, you must pay yourself first and a rough estimate is around 20% of your income. Have to fit the rest of your lifestyle into the remaining 80%. The most important thing is to setup direct deposit as soon as your paycheck arrives. Or simply adjust your 401k contribution to 20% of your income and then once you max out, you can shift to direct deposit into an investment account. Investing 50k per year, averaging 7%, gets you to 1.25m at retirement. Good luck!
I think this guy makes money selling annuities? He did not mention the go-go years, slo-go years and no-go years and how that will effect the amount pulled from accounts. He kept it the same ($60k per year - with inflation).
I know he can’t include every scenario but I was also thinking that Go go/ slow go / no go would have made a difference.
true - what the heck will I be doing at 90 yrs old? I'm taking SS at 62
Of course he does
@@cpa2011 Probably paying for nursing home care. I plan on not being warehoused in a crappy Medicare nursing home if the time comes.
He's delusional if he thinks inflation will be 2.5 percent. Its likely to remain at least at 3.5 percent and probably much more since the fed will have to start money printing again soon to bail out our government which has to pay a trillion a year in interest on 34 trillion of debt. We're going to see inflation rates of 10 to 12 percent in many years ahead just to devalue the currency and the national debt.
This is why I always avoid annuities.
it's only 6-8% commission. What a deal...
Man, I hate how disingenuous these types of videos are. You talk about longevity, then completely ignore the fact that retiree spending drops after the first few years, irrespective of whether or not one of the people in a married scenario passes away. Spending does go up again as folks get older, because of medical expenses, but the inverted spending curve means a very high likelihood of growth during those middle years. None of this is speculation (as most of your video is), it's well-documented results from actual retirees, over the last several decades. The final point I'll make is about AUM (assets under management) and how "advisors" very carefully avoid talking about the "B" word (budget) because that undermines their efforts to convince people to have more and more AUM. For those who know how to create and follow a budget, inflation is not terrifying and they don't fall for the financial advisor market lies about how much money they'll need during retirement.
Well I spend more in retirement just tell the wife work harder key make that woman earn her keep.
@@MrBobochow I hope to retire at the end of '24 with my wife still working through '27 to get her pension up and to keep us in California until I turn 65 (My company keeps us on the medical plan until 65 which is very cheap in Cal but much more expensive elsewhere). Looking forward to having her work while I am retired. 🙂
You and your crew consistently provide the best content I see on RUclips. It's easy to see you know what you're talking about. The details you provide have really helped me think about the things I need to be mindful of as retirement approaches for me (12-15 years out). Thank you!
Hey Scott! We love to hear that - thank you! And thanks for being part of our community on YT.
750k is a more realistic retirement savings, ty. My plan is to also work a seasonal job from home in my profession until age 72. I'm already working that job. I estimate 26k take home. It will alleviate boredom, and allow for downtime, too. The biggest risk from your presentation was not knocking over that aqua blue vase on the top shelf. 😂 I think I'm in line with your assumptions here. A big thank you.
You lost me when you say the average rate of return doesn’t matter in retirement. If that is the case why would you invest in retirement?
That threw me too! I subscribe to NewRetirement software and the success rate of my retirement plan can plummet if the future rate of return on my portfolio is only 4% vs 6%.
I think he needs to elaborate on this ststement 🤔
You missed half of what he said. He said rate of return matters when you're working and saving to build the nest egg but not when you're retired and withdrawing.
@@basementstudio7574
I heard it all. I disagree when he said returns doesn’t matter when you are withdrawing in retirement. You need growth on your portfolio when taking money out over a long period of time
@@basementstudio7574 well that makes no sense either. That money might need to last 25 years. If you’re taking out 4% a year, and also losing 10% , it’s gonna run out pretty fast. That comment is ridiculous
He said its the "sequence of return" that matters post retirement...no longer the "rate of return" which was important preretirement. This is consistent with what jrm2383 points out. And i would say an underlying assumption to all these advisors is you are generally not investing new monies post retirement, so "returns" are not part of what their models show. If you are investing more/new monies post retirement, then i suppose returns would apply to that money...but I think keeping that new money separate from portfolio based income money might be important, so your drawdown is based on assumptions of sequence of returns risk and can be (more likely) stable long term income source.
I just sold a property in Portland and I'm thinking to put the cash in stocks, I know everyone is saying its ripe enough, but Is this a good time to buy stocks? How long until a full recovery? How are other people in the same market raking in over $450k gains with months, I'm really just confused at this point.
@RobertDennison411 How can I participate in this? I sincerely aspire to establish a secure financlal future and am eager to participate. Who is the driving force behind your success?
Not good. I suggest you consult a professional agency
People need to understand, they will not be spending the same amount of money at 90 years of age that they did at 62. Money will be spend differently for sure. Such as medical vs enjoyment. But it is well known that ones income needs will be less as they age. Probably starting at around 75 or so. Don't let advisors make you believe you need the same amount of income from the day you retire until the day you die. If they insist you will, they are being dishonest, and they know it.
Did you account for old folks home. You don’t spend much on fun but home will clean you out.
@@rgarri6396 The average "home" stay is about 6 months before you die. Usually less than 100k.
I lost interest as soon as he mentioned Annuity. Realized this is just a fancy way of selling high-commisioned annuities.
I think I will stay with the tried and true Warren Buffett and other stock investors. index ETFs and some (not much) bonds.
I am single 61 1/2 year old male, single, no kids and ZERO debt, with $965,000 in retirement savings. I recently switched to a more conservative allocations of 48% equities/52% fixed. My expenses in retirement will be right around $3800 a month. Can I retire at 62 and NOT run out of money? I plan to work part time in retired to generate about $12,000 a year.
3800-1000=2800-SSI= seems doable. Simplistic. Get a financial plan done similar to this
Oh, my gosh, you can do so easily. You have way more money than me saved, and I figured out I could (and did) retire by 62.
Wait as long as you can to collect benefits. It really will be worth it to wait. Put as much of your retirement savings into interest accounts that generate as much interest as possible. (CDs, Certificate of Deposits, for example are paying about 5% right now. With that much in savings, it's probably best to keep some of it in stocks. Keep your expenses low, as low as possible.
When you do finally collect SS benefits, that, and the the interest you earn, and any part time income you continue generate should be WAY more than enough to cover your monthly expenses, and last you at least into your early to mid 90s.
Yeah you can wait until 70 hoping to live to 92 or you could just up and die at 71 never having had the chance to enjoy retirement.
Works for singles, more complex if there is a spouse, every situation is unique.
You lost me at the last scenario where John starts SS at 70 and Jane starts at FRA. Why is her first year benefit $0? And a non-working spouse cannot start benefits until the working spouse does. What am I missing there?
This video is an advertisement for an annuity.
@@Dave-sw2dm No, it's not. It is showing various methods to retire early with a smaller savings. He explained the risk of collecting SS early, and how it will work if you wait and take SS later. The annuity is a different method to reduce the risk of running out of money. If he was pushing annuities, he would have made every other senarios as a failure.
@@jdgolf499 When he incorrectly stated spousal benefits my ears perked up. The focus was on annuities and there was a lead up to them. Give $300k and defer for 10 years, then over 10 years take out something like $480k. Over the last 10 years my 401k grew from $200k to $968k in a balanced portfolio.
@@jdgolf499 Yes, it is. He's being realistic in showing not everything scenario fails. But he is selling his annuity by showing how the success rate goes up to 99%.
Since she didn’t qualify for social security benefits and she only qualifies for spousal benefits, she can only claim social security once her spouse claims social security benefits!
I'm retiring at 62 my husband is retiring at full retirement age he is already on medicare. Can I get a decent health plan, without breaking the bank. Neither of us have had a job that had health insurance previously? Is the best time to get good health insurance during open enrollment? My social security is only going to be 1100 dollars and his is only going to be 2400 dollars.
Once I hit 80 who cares..I’ll be drooling on myself by then
don't worry by that time the way technologies are going they will have super wheelchairs.
Like our current president 😂😂😂
@@stopper90004 We have a president who is working hard and not retiring
Humanoid will help you stay to 100
How does a pension play into this? First year I'll make $50K with annual COLA raises. SS should be around $25K annually. We're planning on moving out of CA to NC, SC, VA area to reduce expenses and own a home free and clear. We have just shy of $300K in 401K/IRA money. It seems we'll be good to go for retirement at 62 in 2025. What say you?
Are your expenses less than pensions + SS after taxes? If yes you are good. Accurately forecasting expenses is the key to any retirement strategy. Many neglect tax planning and medical expenses that can negatively impact your retirement plan. What is your long-term care plan if one or both of you need living assistance or nursing home care?
Rather than recommending an annuity to cover the projected income gap, why wouldn’t you recommend building a TIPS ladder? They remove sequence of return risk, and the cost is much much cheap let than paying the costs of an annuity.
Great advice, especially in the current TIPs market!
If a person stops working at 62 but opts not to start receiving social security benefits until age 65 or 67, will the benefit amount increase even though the person is no longer working and contributing?
I will be 62 next month. I spoke to a SS agent this year with ????. I was told that my SS payment will be based off of the average of my Highest 5 yrs of earnings. So whatever that looks like for you. It will not increase if not working. Working with increased earnings should increase the amount.
I would like to see you do a financial analysis of our government debt to income, future liabilities and current interest rate. I think inflation is not only under estimated but just getting started.
We just retired at 62 400k but have no debt we will make due
Tuned out when he said annuity.
We don't recomment annuities to everyone, but we do believe they can be a powerful tool for many! Thanks for watching and commenting, @MrCPPG
If you don’t need your social security to retire, is t it best to take it at 62 and invest the money?
Yes that's Great assuming that you have a large near egg to live on. If you are still working that is capped or goes away if not FRA (2:1) for every $2 you make they take $1
My back of the napkin calculations on delaying SS was a real eye opener. If I take @ 62 and die at 92, I'll get 870K whereas @ 70 I'll get 1.68 million over the 30 years. It hurts to think of taking from the 401 nest egg (so as to be able to defer) but I'll sit down with a planner to design an allocation strategy that can fill the 8 year gap. Healthspan between 62-72 is significant vs 72-82. I've seen that with my own eyes as my parents retired early and had a wonderful first decade.
Hey there Michael! Thanks for sharing these thoughts with us - we're happy to hear that you'll be getting some help with your allocation strategy - wishing you the best for your retirement!
I retired at just over 57. How? Covid was my savior and totally changed my life. The key has been to eliminate all debt. I've made it just fine on my pension alone. Just starting to receive 401k draws then last will be Social Security. With no debt, you can do it. Could not have retired without it.
Hey @34dawgsgo! Thanks for watching and sharing your perspective! Congrats on retirement, we hope you're enjoying it!
You do good work very informative
Well, I'm by myself. If $750k is entry level, I'm out already. I have no debt, BUT I do not own a home. I sold it years ago, but the $ is not near enough to buy another one at the ungodly prices of houses today.
Hey Lynn! We wouldn't consider $750k 'entry level,' its just one of the many scenarios we chose to do a video on this time. We have a new playlist we just created with some of the scenarios we've done with singles, if you want to check it out! Thanks for watching and commenting!
40% underestimate their life expectancy -- which means that MOST -- 60% -- OVERestimate it.
This argues more for spending like a drunken sailor, not for planning for a decrepit and very distant future.
Hey Steve, thanks for watching and weighing in! Everyone has different risk tolerances and goals in mind for retirement, but we always tend to recommend airing on the side of caution because we never want anyone to be stuck in the situation where they've run out of money.
Dont stop investing. Stocks!
It all seemed so reasonable aaaaand there it is about 75% in, the good ol' annuity scam.
Why do you always compute an increased expense when you get older? Is it supposed to be the opposite? Less travel and entertainment expenses when you get older therefore you can extend your portfolio longer
Other stuff costs more and I would think older people travel more in retirement then when they were working
Probably health care related costs or if you need assisted living arrangements.
Inflation
No financial expert I listen to recommends annuities. Except those that sell that product.
They have their place as insurance for outliving your money. If you don’t have a pension an annuity can help you. I wouldn’t consider one until my 80s.
That scenario is very easy if you're debt free. I'd recommend living off your portfolio, maybe $3k/month and delaying S.S. to 67 or 70. Keep 650K in the S&P 500 and the rest in a stable, high yield account/fund. If you had a good job, you will be able to spend even more when you begin S.S. Stay fit and enjoy a long/healthy retirement on your terms!
What do you consider high yield?
I use VYM ETF by Vanguard. @@BRK-B-all-the-way
If you take 1168 a month at 62 vs 1380 at age 65 it will take you 15 years to catch up. You get 3 years of payments that add up to $42,048 (not including any interest or other gain). The person who takes at 65 gets zero. When both people are just over 80 years old they would of received the same amount of money except one retired at 62. By the time you reach 90 the difference in net income would be 23,951.
With these senarios, such as Monte Carlo, can it take into account if you have say, three years of cash, so when that sequence of returns hits with low returns during the first couple years, you don't tske anything out of your equities? The cash carries you through the couple down years.
I, too, am aiming for three years in cash above my emergency fund to ride out stock market drops.
Troy, your Fixed Annuity example shows the couple withdrawing from their 401K/IRA during the first few years of retirement and then stopping withdrawals as they get their income solely from SS and the Annuity, but what about RMDs which would require that they withdraw funds from their retirement account??
The lifetime income payments count toward the RMD since IRA money is used to fund the FIA. Thanks for watching!
Most Americans find it hard to retire comfortably amid economy downtrend. Some have close to nothing going into retirement, my question is, will you pay off mortgage as a near-retiree, or spread money for cashflow, to afford lifestyle after retirement?
Yes!
Excellent scenario - you do these real world plan overviews better than anybody else.
🥺 Thank you, @M22Research
I'm 58 almost to be 59 when I get 62 on my retire because my job is way too stressful
Hey Kenny! We're sorry to hear that :( Thanks for watching and commenting!
I've noticed that those who work later in life have quicker declines in health. Looks like the stress has a larger impact.
Great video
"Average Rates of Return Mean Nothing". That is a hard pill to swallow. Suppose you had two sequence of return graphs that look identical, except for scale. I tell you one is associated with a 10% average (e.g. CAGR) rate of return and the other is associated with a 1% average rate of return. You wouldn't prefer the 10%? I think most people think of sequence of returns to mean not the nominal rates each year, but the yearly deviation from the average.
Who could afford to retire at 62 and pay for their medical?
I’m stuck working till 65
So, I assume people retiring earlier self insure medically until they reach 65 years of age when they can then qualify for Medicare?
I feel investors should be focusing on under-the-radar stocks, and considering the current rollercoaster nature of the stock market,
Because 35% of my $270k portfolio comprises of plummeting stocks which were once revered and i don't know where to go here out of devastation.
Safest approach i feel to tackle it is to diversify investments. By spreading investments across different asset classes, like bonds, real estate, and international stocks, they can reduce the impact of a market meltdown
Dont sell; then you have no chance of recovery. There are tutorials that tell you what else to do. Unless you were heavily in all tech stocks it will recover
Retiré early.. especially if your job in a nightmare. Move to another country with a higher quality of life.. that's easy outside the USA.
I disagree with you when you state average rate of return doesn’t matter once retired! Of course it matters!
So what about health insurance for the 3 yrs before medicare kicks in? I dont wanna work till 65😢
I like the idea of stable income Floor? Soc Sec, a modest pension and Annuity so I will never completely run out of money, 3 checkS every month for LIFE! And IRA
Hi Joseph! Thanks for watching!
I’m 43 with $850k. Can I retire? Oops I already did 7 years ago.
Anything under 1.5 million saved and you want to retire at 60 or 62, you'll definitely need to depend on your social security.
If I have a pension that pays $50K in the first year with COLA increases every year would that put me over 1.5 million saved? 50K over 34 years without COLA would be 1.7Mill total right?
There's some factors that go into if somebody will rely and definitely need SS retiring at 62 with $1.5 Mil...Like if the house paid off, no loans or big bills, 2 yrs of emergency money, live within your means, etc..then you should be good and not just depend on SS...It'd be nice for people to get $50k yr pensions, sweet!
Getting out of the USA doubles your money power.
Can’t we just tap on interest earned on our 401k and use that to supplement the rest of our income. I hope to get rid our our house payment and move to our new off grid home. We could have $9,000/month income in retirement.
I am watching your RUclips videos on TV and I can hardly see/read the numbers and phrases from your presentation because the color and background are on light fonts and background.
Please use either dark background and light font or vice versa. Thanks
Why say I am 62 when it is we are 62. Big difference
Selling annuities?
I asked my boss for a less stressful job and he said I don't have that option
Hey Kenny, we're sorry to hear that! Thanks for watching and commenting.
Pet peeve: 'You've saved a million dollars'. Is that net worth? Is that a million in your checking account (post-tax)? Is that a million in a 401K (pre-tax)?
I retired at 62. Luckily I worked a couple good union jobs, so I have a bit of a pension above SS. I am moving to Thailand in July (retired in March) where my budget for a good life is less than my combined pensions which will allow traveling without touching my savings.
Congrats on your retirement, Brian!
So where does the annuity money come from?
Hi there! Thanks for watching and commenting. We have another video that explains how annuities work that you might want to watch: ruclips.net/video/IDvdBV8i-KY/видео.html
Why do you always have to introduce a spouse into every scenario? There are a lot of single people out there who match the profile you start your conversation about then totally derail it for them. That makes the scenario more complicated and doesn’t end up helping me with my retirement planning as a single adult male in their early 60’s.
Hi Michael, thanks for bringing this up! We use married scenarios a lot because we do run into it more often than not - but we understand that's not the same for everyonem so we have many videos that run scenarios specifically for single people! We appreciate your feedback and will continue to create more content with singles in mind. Thanks for watching and being a part of our community.
Dude only less than 10% of Americans have 750k or more at 62. They don't need advice. It's the other 90% that need help.
😁🤣👌👍
I don't think it's even 10% look around look at people in your apartment more like 5% or less if you have 750 at 62 your pretty good.
I'm 54 and retired at age 45.
I would love to retire I just don't think it's going to happen. We know real inflation is nowhere near 2 or 3%. It's more like 18% percent. We also know that they gave up on the war on inflation. We've already stopped raising interest rates even though prices are still rising. We have stagflation. They've been giving our money to migrants and wars. That money needs to be paid back plus interest. There are a lot of investment funds that are top heavy overleveraged , and when this unwinds People are gonna see huge losses in their retirement. I'm not so sure if there's any way to even stay in the united states and be a u s citizen anymore. They're talking about cutting social security and at the same time implement a new way of taxing people with a Wealth Tax. Government is completely out of control. I used to think you needed 1.6 million to retire. I think it's more like 5 mil. I think we will see prices double in three years. If not we will have a seventy percent correction so either way we'll be broke. You'll own nothing and you'll like it. I think that's their new motto. They'll throw out the term minimalist and tiny house cute terms.
Hey Sky, thanks for watching and sharing your perspective!
Love your videos but you don’t cover things like younger dependents like I’ve got as the medical insurance alone for my younger non-working wife and two kids is horrendous
how in the heck did you manage to get -20.55 return in 2023? or -7.62% in 2024 ??? i get that 2022 was negative, but the past decade is +174% which included some 'bad' years.
You overestimate how much people will spend those last 15 years
I've been keeping a substantial amount of my savings in cash. It feels safe, but I wonder if it's the right approach for retirement. I want to invest roughly $400K in stocks since I've heard that even in challenging times, investors may turn a profit. Any excellent ideas for stocks?.
It's incredible that you managed to save so much money while you were working. Few people can accumulate that much savings over the course of a lifetime. Redistributing your capital is a good idea now that you are retired and rely on your investments, as it will protect you from losing everything in the event of a market downturn or recovery. You could assign your resources with the assistance of a financial advisor to streamline the process.
My wife and I have a specific future scenario starting in 2026, which is when we plan to start social security. Our total projected income needs will be 90K annually. Projected social security for me and my wife should be close to 60K annually, so the remainder of 30K will be drawn from traditional IRA(20K) and a Roth IRA(10K). So in our calculation of provisional income, half of SS(30K) + traditional IRA(20K), or 50K, should leave us nearly zero in federal income taxes, given that standard deductions will continue to increase by 2026. Thoughts?
If you are 62, single, and you live in Connecticut you have no chance of retiring with $750K.
Hey @bobdadruma, thanks for watching! Why do you think so?
@@OakHarvestFinancialGroup Because I am single and 68. I just ran the numbers as if I had more than 750K. I determined that I would run out of money. The taxes and cost of living in CT are too high. The overall inflation over the past few years has also taken a high toll. I am going to leave Ct and the possibly the USA when I retire.
I always laugh when they show that sequence of return graph. Almost everyone shows a bad two first years as a worst case example. What if they retired two to five years earlier. This is why everyone should use a Monte Carlo simulation software. My intent is not to be the richest person in the graveyard. Everyone’s situation will be different no two households are the same.
What happens when annuity company goes bankrupt
Does your inflation model account for SS COLA?
Good point. 2024 is 3.2%, 2023 is 8.7%, likely between 1 to 2% in 2025. When the usual higher income man dies first, the women will live with a big cut of income. I have retired and will live in Asian countries for some years and save money. No more property. Reinvest in these high dividends to make sure I have enough cushion to live to 90s or even 100.
I did this 4 years ago during COVID-19. Moving to the Philippines, I escaped the feminist agenda and am able to use my reproductive rights and begin my new life. The Philippines has what America doesn't.
Who has this kind of money for retirement??? Seriously, how many people???
I’m sure you’re good at what you do, but it’s hard to take you serious and trust your attention to detail when you can’t spell portfolio (poftfolio) or even your own company name Harvest (Havest)
So.....I just give you my money, & WE BOTH GET RICH?
Where do I publish my ssn?
😂
I have a year and a half unill I retire @ 62. I am gonna collect off of my ex husband SS until mine matures
How about they only spend $40k per year? Their percentage of success goes up dramatically. Just reduce spending
Lost me at rate of return in retirement doesn't matter. Didn't hear anything else 😮😢
Let me fill you in, but an annuity from me. haha
Em cảm ơn ngài rất là nhiều
I have no savings how do I retire ,tell me that. If u have $$$$ ,u dont need advise. Help us who does not have any money
Just do it live life
You are wrong my husband's friends 10 have all died in their late 60's my husband died at 70.
Not if you cut all processed foods, alcohol and breads. That'll give you an extra 10
@stopper90004 No , i've seen people that do that and then they still die!
How do you figure you will spend the same dollars at 62 than you will at 92? You certainly won’t be leaving the house at 92. Even though you figured for inflation, that number is not real.
Hi there Ernie! These are just examples that we use to show what the possibilities are for people at certain asset levels, and it's based on real life examples we see on the daily with many of our clients. It really all depends on the goals, situations and and risk tolerances of each individual. We also go much further in-depth when income planning with our clients to make sure we're tailoring their plan to what makes sense for them. Thanks for watching and commenting!