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.
pearcider wrote: » 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. Unless of course you bought Altria in 2017 in which case you’ve lost half your investment.
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.
Mad_maxx wrote: » My aunt hasn't left me anything, I was just posing a question about the best way to put money to work should someone ever come into it but thanks for the info
Strumms wrote: » That’s mad, so if I go to my bank on Monday, a cheque for 50,000 to be lodged they are entitled to ask where I came by the dosh and if not altogether satisfied then go and ring the revenue ?
Leg End Reject wrote: » You'd need more than a million to stop working.
pearcider wrote: » Unless of course you bought Altria in 2017 in which case you’ve lost half your investment.
CelticRambler wrote: » Assuming I live another 50 years (which would be fairly good going, even if both my granddads lived into their nineties), that's 20k a year which is about twice what I need to live on at the moment. So I'd spend the first half of it on a property based retirement project that may or may not pay for itself, knowing that I'd still be able to maintain my current lifestyle.
nsi423 wrote: » This is true but not relevant to the OP's question. Let's say OP bought Altria in 2017 for $70. The dividend in 2017 was $2.54, a 3.6% return before tax, ahead of valeron's 3% target. In 2018, Altria paid out $3.00, a 4.3% return for OP's $70 investment. This year they look set to pay out around $3.28, 4.7% return for OP. OP's invested for cash flow, not capital gain and their income is increasing year on year.
Leg End Reject wrote: » What about inflation? €20k won't have the same buying power for ever. Property gains will be taxed to the hilt too.
CelticRambler wrote: » Any decent savings account or other low-risk investment vehicle would cover that. Chances are that my expenses will decrease as I get older anyhow - most of what I spend at the moment goes on diesel for long-distance travel.
Strumms wrote: » If I was to be on the end of a windfall, that’s what I’d do, buy an apartment with the dosh, rent out the gaff for a couple of years then sell it.
Still waters wrote: » You live on 10 grand a year ? How
Leg End Reject wrote: » I'm not sure it would cover it. Are you relying on the current pension not being decreased? 10k is a very small amount to live on for a year, I'm not sure how you do it.
Strumms wrote: » How will the state ‘know’ of your windfall ? Genuine question.
Leg End Reject wrote: » You'd be taxed on all profits minus expenses, capital gains at 33%. Taxed on rental income too ...
CelticRambler wrote: » By not living in Ireland, for a start! :pac: What pension? House is bought and paid for, half my food comes from the garden, every other expense is kept to a minimum by not allowing myself to be ripped off by greedy capitalist corporations. Can't do much about the cost of fuel, though, which is why my holidays account for about half my expenditure.
NSAman wrote: » The simple fact in ireland is that growing wealth is difficult. 33% transfer tax and other taxes on money earned mean that the average Joe, will not be able to grow. I have heard it said that anyone who does grow wealth in Ireland is either doing business internationally or is not being 100% honest. I know that is a generalization but it absolutely seems impossible to develop in Ireland compared to other countries.
Santino Chubby Munchies wrote: » NSAman wrote: » The simple fact in ireland is that growing wealth is difficult. 33% transfer tax and other taxes on money earned mean that the average Joe, will not be able to grow. I have heard it said that anyone who does grow wealth in Ireland is either doing business internationally or is not being 100% honest. I know that is a generalization but it absolutely seems impossible to develop in Ireland compared to other countries. This is all very true. My own secret weapon is a non-domiciled spouse.
Strumms wrote: That’s mad, so if I go to my bank on Monday, a cheque for 50,000 to be lodged they are entitled to ask where I came by the dosh and if not altogether satisfied then go and ring the revenue ?
Mad_maxx wrote: » My partner is from Limerick, not sure that will do ��
