Mad_maxx wrote: » Let's say a great aunt died and left you a million euro, could you retire and having put the money to work, live off it? If so, what would you do with the money - where would you invest it? Idea stems from stories you read about people who either build up enough of a nest egg to retire early, replace great aunt with won it on the 3.10 @ Cheltenham if you prefer.
Kyrie Tinkling Reimbursement wrote: » It's not hard, once you've built up decent capital, to find a range of options delivering a decent return and a steady income.
Mad_maxx wrote: » Let's say a great aunt died and left you a million euro, could you retire and having put the money to work, live off it?
Upforthematch wrote: » I dunno could someone in their twenties based in Dublin without their own home actually live off that million for the rest of their life with investment returns as they are. Sure they wouldn't starve but I don't think they'd have the "millionaire lifestyle" as they say.
valoren wrote: » Blue chip dividends. You'd get circa 3% average after tax so 30k a year. The dividend kings and aristocrats raise their dividends annually so the 30k would grow every year as well. Let's take an annual increase of 10% on that 30k every year. If you reinvested the 30k dividends and added more of your own cash to buy more stock then you accelerate the compounding process every quarter. Quick example. Take 10k of the million. Buy something like Altria (aka the old Phillip Morris) and you get 8.3% dividend or $830 before paying 15% withholding tax. When you get the dividend, buy more Altria. Wash rinse repeat with a diversified portfolio of blue chip legends.
BDI wrote: » Buy good property during the recession and sell it during the boom. Rent it out in between. That’s how old money works. New money buys gold chains during the boom and sells them when they broke during a recession to old money types in cash for gold shops.
Leg End Reject wrote: » You'd need more than a million to stop working.
Rows Grower wrote: » I know one particular chap who never did an honest days work in his life even though there is nothing physically wrong with him. He qualified for the pension recently which is an actual increase in state benefits every week for him. He has his own council house, free medical care and every other hand out you can think of. The council totally renovated the house as well about three years ago.
Santino Chubby Munchies wrote: » If your great-aunt left you the money, the first €32,500 would be tax-free, and then you would pay Capital Acquisitions Tax of 33% on the remainder. So your million euro would be down to €680,725 straightaway. One of the implications of the current Irish taxation system.
Strumms wrote: » How will the state ‘know’ of your windfall ? Genuine question.
Leg End Reject wrote: » Solicitor and probate. You wouldn't just be handed an envelope of cash.
Strumms wrote: » Sounds like a complete rip off on the behalf of the state. Majority of that money earned by the deceased will be what they earned after tax, now its being taxed again... If I had a relative who pulled me aside and said.... “ look, you know I’ve not been in brilliant health, well things are going to get worse and I’ve been given 6-9 months... I’ve no kids, here is a cheque, dosh is yours 50,000, going to keep a few grand back for incidentals here and what’s left of that I’ll give to charity... Could the state come after you for their claim of the 50,000 or how would they know ?
Leg End Reject wrote: » You'll have to lodge that cheque and the bank will ask questions and alert revenue.
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