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Around the Internet => Antimustachian Wall of Shame and Comedy => Topic started by: Bullseye on June 22, 2012, 11:10:54 AM

Title: $600k in investable assets, paid off house, advisor says she can't retire yet!
Post by: Bullseye on June 22, 2012, 11:10:54 AM

http://business.financialpost.com/2012/06/22/single-entrepreneur-tries-to-plan-full-retirement-for-age-47/

Title: Re: $600k in investable assets, paid off house, advisor says she can't retire yet!
Post by: grantmeaname on June 22, 2012, 01:56:54 PM

Holy god. She saves $35 a month on $2423 of income? I want to say that's shockingly low...

...but then I realized that's 1.5%, more than the US national average.

Title: Re: $600k in investable assets, paid off house, advisor says she can't retire yet!
Post by: mechanic baird on June 22, 2012, 02:26:56 PM

Quote from: grantmeaname on June 22, 2012, 01:56:54 PM

Holy god. She saves $35 a month on $2423 of income? I want to say that's shockingly low...

...but then I realized that's 1.5%, more than the US national average.

What 's the US average now? I thought it was around 4%.. maybe my information is outdated..

Title: Re: $600k in investable assets, paid off house, advisor says she can't retire yet!
Post by: SoftwareGoddess on June 22, 2012, 03:29:13 PM

Quote from: grantmeaname on June 22, 2012, 01:56:54 PM

Holy god. She saves $35 a month on $2423 of income? I want to say that's shockingly low...

...but then I realized that's 1.5%, more than the US national average.

It's not quite that bad. TFSA = Tax Free Savings Account. She's saving CDN$417 there.

Title: Re: $600k in investable assets, paid off house, advisor says she can't retire yet!
Post by: iamsoners on June 22, 2012, 03:29:45 PM

 The bigger flag here is the idiocy of mainstream financial advice that doesn't even consider expenses.  The TFSA is a savings account as well.  So she saves a total of $452.  A non-mustachian 19% but I still think she could make the leap.  Yearly spending, minus the savings, is 23,652.  Firecalc says the portfolio success rate over 50 years is 86%.  She could either cut expenses by $3075 per year or work a few more years.  I'd take the former, which is why I'm here I suppose.

Title: Re: $600k in investable assets, paid off house, advisor says she can't retire yet!
Post by: arebelspy on June 22, 2012, 04:43:12 PM

Quote from: grantmeaname on June 22, 2012, 01:56:54 PM

Holy god. She saves $35 a month on $2423 of income? I want to say that's shockingly low...

Okay, but she only works 1 day/week.

I think many Mustachians who save 60% wouldn't mind dropping to one day/week and dropping their savings rate to 0 for an early semi-retirement.

Especially if one has significant assets which can be left to grow untapped to transition into full FIRE.

I don't have a big problem with someone who goes to semi-ER and ends up, due to that, not saving much - they're trading that savings money for time.