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Retire by 40, 45, 50

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    #92
    [Deleted User]
    Posts: 18,749 ✭✭✭✭ [Deleted User]


    mariaalice wrote: »
    You would have 31 pension years by 54, so would you really be getting a pension of 300 euro a week at 54 and plus a lump sum? it would be a great pension scheme.

    I'm honestly not sure what it is per week, but it is public service


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    #93
    Revit Man
    Registered Users Posts: 63 ✭✭Revit Man


    If I was left to my own devices, I think I could be retired by mid 50s.

    However, I have a wife and family who don't share the "careful with money" mentality, so I'll probably need to work until 85... I'm mid 30s now. Pension pot of about 30K. Not great, but at least it's underway. I started it aged 30.


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    #94
    [Deleted User]
    Posts: 2,078 ✭✭✭ [Deleted User]


    Revit Man wrote: »
    If I was left to my own devices, I think I could be retired by mid 50s.

    However, I have a wife and family who don't share the "careful with money" mentality, so I'll probably need to work until 85... I'm mid 30s now. Pension pot of about 30K. Not great, but at least it's underway. I started it aged 30.

    You need to put your foot down. If they complain, say it's 2020, nothing stopping you all earning your own money.


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    #95
    Revit Man
    Registered Users Posts: 63 ✭✭Revit Man


    Deleted User wrote: »
    You need to put your foot down. If they complain, say it's 2020, nothing stopping you all earning your own money.

    You're probably right. To be honest, it's hard and wearing to always be saying no, no, no, no to people. I come across the bad guy when I'm just trying to be sensible at times. No we can't go there for 2 nights, it's too expensive. No we can't buy that, we don't have the money for it. Etc.


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    #96
    JimmyVik
    Registered Users Posts: 5,368 ✭✭✭JimmyVik


    So today what do people reckon would do them during their retirement.
    For me €500 per week would be loads.


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    #97
    ILoveYourVibes
    Registered Users Posts: 15,176 ✭✭✭✭ILoveYourVibes


    40!


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    #98
    Revit Man
    Registered Users Posts: 63 ✭✭Revit Man


    Among others I suppose it depends if you're paying a mortgage or rent.
    500 sounds like a lot, but, you still have utility bills, health insurance won't be cheap, you'll presumably like to go for a holiday or weekend break now and then, eat your dinner or lunch out sometimes etc. I think 500 would be fine, but not a lot less if you want to enjoy a quality of life.

    That said, some don't like eating out, some don't want to go anywhere and are more than happy at that, in which case you might get away with much less.

    Too subjective.


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    #99
    lisasimpson
    Registered Users Posts: 1,830 ✭✭✭lisasimpson


    Hope to have the mortagage paid off early. Wouldnt mind retiring around 60 to enjoy travel and me time but kids could still be in college so prob wont happen. Wouldnt mind cutting down to a parttime less pressure job


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    #100
    s1ippy
    Banned (with Prison Access) Posts: 2,980 ✭✭✭s1ippy


    893bet wrote: »
    What kinda livestock do you think you could keep on a 1/4 acre? While also growing yourself food at the same time?
    https://www.google.ie/url?sa=t&source=web&rct=j&url=http://files.diydharma.org/other/John_Seymour-The_Complete_Book_of_Self_Sufficiency.pdf&ved=2ahUKEwi_l5aO7q7pAhXbQhUIHeepA8kQFjARegQIEhAB&usg=AOvVaw1W_pEdk_jUCMp3_ZpvQ3uZ
    Have a look at this, John Seymour's complete guide to self-sufficiency. There are great tips about space management and rotating crops and animals in any size plot.

    You'd keep goats to maintain a small wilded area and for milk/meat, and/or pigs for waste management and compost. A small enclosed duck pond. A few laying hens a and a rooster. Bees would be another important asset and you could also ask anyone with land nearby if you could do some pest control on their land if you wanted game, and fishing would supplement your intake if there was somewhere you could go.

    A polytunnel would be important if you wanted to grow certain things reliably and then a herb and seasonal vegetable garden sorts out the rest. It wouldn't cover everything but it would take care of most things.

    The bigger the space the better, but you can get a lot done with very little.


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    #101
    bilbot79
    Registered Users Posts: 1,980 ✭✭✭bilbot79


    JimmyVik wrote: »
    Some people spend a lifetime doing that.
    A man works hard for 30 years and then takes 10 years on the dole I think I could forgive him.

    You wouldn't be forgiving him you'd be paying him


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    #102
    bilbot79
    Registered Users Posts: 1,980 ✭✭✭bilbot79


    Revit Man wrote: »
    If I was left to my own devices, I think I could be retired by mid 50s.

    However, I have a wife and family who don't share the "careful with money" mentality, so I'll probably need to work until 85... I'm mid 30s now. Pension pot of about 30K. Not great, but at least it's underway. I started it aged 30.

    That's about what I had mid 30s you'll be grand especially if your wages rise


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    #103
    JimmyVik
    Registered Users Posts: 5,368 ✭✭✭JimmyVik


    bilbot79 wrote: »
    You wouldn't be forgiving him you'd be paying him


    Maybe he paid tax enough to cover himself :)


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    #104
    mrcheez
    Registered Users Posts: 13,637 ✭✭✭✭mrcheez


    shuyin1 wrote: »
    If you could retire early, how old and where? Early 40's and SE Asia for me, nice weather and lots of motorbikes to choose from.

    Kinda throwing that idea around at the mo in my head, though it'd be 50s probably.

    Mortgage will be paid off, pension coming into play, could rent out my place for a nice lil' earner even if I have to use an agency to manage it.

    Me "love the idea long time"!


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    #105
    mrcheez
    Registered Users Posts: 13,637 ✭✭✭✭mrcheez


    Holy crap OP, you've started me researching this ... goddamn this looks good

    https://www.youtube.com/watch?v=XuTow8dbWno


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    #106
    Beasty
    Administrators, Social & Fun Moderators, Sports Moderators Posts: 75,594 Admin ✭✭✭✭✭Beasty


    Happy to stick around until 60. Still have over 5 months to go mind.....


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    #107
    JimmyVik
    Registered Users Posts: 5,368 ✭✭✭JimmyVik


    I found out there are countries, such as Portugal, where you dont pay any tax for 10 years if you retire there and are living off only pension or investments.

    Im changing the goal from 55 to 50 :)


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    #108
    stratowide
    Registered Users Posts: 565 ✭✭✭stratowide


    I more or less retired by 46.Just turning 51 at the end of summer.

    Never really planned it that way.Things just happened the way they did with an amount of good luck thrown in.And when they did I grabbed the chance with both hands.

    I now work part time and can work the hours to suit myself.Usually about 10-15 hours a week.

    The luck came in the shape of..

    Getting divorced at the right time(Gave away a house in the process but cest la vie)

    Buying a new house right at the slump after the boom.A steal really.

    Being let go and getting a lump sum and paying off the mortgage.
    No mortgage is like winning the lotto.

    Falling into a part time job that I can come and go as I please.

    All kids grown up and working themselves.

    A lot of luck involved..But am now living the dream as they say.

    Another big plus is that I can fix almost everything around the house and car etc from previous experience as a tradesman.

    Vastly brings the cost of living down.


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    #109
    JimmyVik
    Registered Users Posts: 5,368 ✭✭✭JimmyVik


    I just mentioned to the other half that we could retire on €500 per month.
    She asked me what about money for myself. She will spend that €500 herself :)


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    #110
    shuyin1
    Registered Users Posts: 369 ✭✭shuyin1


    JimmyVik wrote: »
    I just mentioned to the other half that we could retire on €500 per month.
    She asked me what about money for myself. She will spend that €500 herself :)

    That's prob just her entertainment money :)

    You'd prob have to be wholly sustainable for 500e a month. Grow your own food, off grid energy, DIY style living.

    Assuming it's irl that's a tough challenge. Even in SE Asia it's around 1200 usd per month.


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    #111
    mrcheez
    Registered Users Posts: 13,637 ✭✭✭✭mrcheez


    shuyin1 wrote: »
    That's prob just her entertainment money :)

    You'd prob have to be wholly sustainable for 500e a month. Grow your own food, off grid energy, DIY style living.

    Assuming it's irl that's a tough challenge. Even in SE Asia it's around 1200 used per month.

    I remember in the 4,000 Islands in Laos you could pay to build a hut and it became a sort of "permanent" residence (in that you could use it for free when you visited, on condition that the island authority could rent it out when you weren't there).

    Price was something like €100 ... but that was back in 2003, so inflation might bring it up to €200 :rolleyes:


    So I guess it is *technically* possible to live there cheaply... sure the locals get by fine on less than €500 per month too


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    #112
    garbanzo
    Registered Users Posts: 741 ✭✭✭garbanzo


    Good thread, thanks to all so far. This US article from last year suggests around €28,000 pa is what you'd need to live reasonably well. Not sure if that is for a single person or couple though?

    https://www.investopedia.com/articles/personal-finance/102615/how-much-money-do-you-need-retire-ireland.asp

    I've always thought, for a couple with kids reared and mortgage paid off, you'd need around €24k to live a basic enough life. €36K for a better one and €48k + for a reasonably extravagant one.


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    #113
    ArmaniJeanss
    Registered Users Posts: 13,313 ✭✭✭✭ArmaniJeanss


    garbanzo wrote: »

    I've always thought, for a couple with kids reared and mortgage paid off, you'd need around €24k to live a basic enough life. €36K for a better one and €48k + for a reasonably extravagant one.

    So if the state pension gives you (current figure) €13K from aged 68....
    Then to retire at say 54 you'd need 14 x €24K = €336K to get you to 68.
    And then €11K by however many more years you live. Lets say to aged 88.
    So another €220K.

    So €336K + €220K = €556K. Just for the 'basic enough life'.

    It's a stark enough sum of money really. Outside my league sadly.

    ******
    Would be interested in where you get €24K from. Something like this perhaps.
    €1500 Health Insurance. Basic Plan.
    €6000 Utilities.
    €5000 Food.
    €2000 Clothes.
    €2500 Dental/Medical outside of health cover.
    €2000 General house maintenance.

    That's 19K (and surely there's scope to reduce some of them) leaving a decent €5K for entertainment and holidays etc.
    Doesn't seem terrible but maybe I've missed out obvious things.


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    #114
    mrcheez
    Registered Users Posts: 13,637 ✭✭✭✭mrcheez


    Interesting question though, can you still claim the state pension while living in South East Asia?

    Does it go direct into your account?


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    #115
    lalababa
    Registered Users Posts: 1,726 ✭✭✭lalababa


    A good way of 'retiring' early is to downsize, adjust/accept frugality, buy out of consumerism and status buying, and find a part/full time job that you love! It takes a strong willpower finding and doing things when you suddenly go from 40+ hours to nothing!
    Owning your own place is top of the agenda. No mortgage/rent.
    All you then need is food/heat/medical insurance (if your income is more than 200pw)


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    #116
    BrianD3
    Registered Users Posts: 8,294 ✭✭✭BrianD3


    lalababa wrote: »
    A good way of 'retiring' early is to downsize, adjust/accept frugality, buy out of consumerism and status buying, and find a part/full time job that you love!
    Frugality and lowering expectations of what lifestyle you "should" have are very important. With frugality, savings build up more quickly and then when you start living off the savings/investment income, as you are accustomed to a frugal lifestyle you need less capital, less income and/or can take less of a risk with your investments.

    A double whammy - if both earn the same, the frugal person needs less than the spendthrift but has more. This can knock many years off retirement age.

    Also, Hedonic Adaptation - lots of people out there who could be much more frugal but are not willing to take 6 months of "pain" to adapt to a new normal. Time passes, one year runs into the next and suddenly they are heading towards age 60 with feck all saved and wondering if they're still going to be working in a job they dislike when they are 70. Then they start questioning whether slaving in work so they could buy a new Audi every 2 years was really worth it - but by now it's far too late.

    https://www.mrmoneymustache.com/2011/10/22/what-is-hedonic-adaptation-and-how-can-it-turn-you-into-a-sukka/


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    #117
    JimmyVik
    Registered Users Posts: 5,368 ✭✭✭JimmyVik


    shuyin1 wrote: »
    That's prob just her entertainment money :)

    You'd prob have to be wholly sustainable for 500e a month. Grow your own food, off grid energy, DIY style living.

    Assuming it's irl that's a tough challenge. Even in SE Asia it's around 1200 usd per month.


    I know. I guess it will have to be €1000 per month now :(
    And that works out at €750 for her

    On a serious side though, i guess that both of you have to be all-in on the idea to retire early or it wont work.


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    #118
    JimmyVik
    Registered Users Posts: 5,368 ✭✭✭JimmyVik


    I figure there are about €15,000 worth of expenses I can get rid of when I retire.

    eg
    Wont be buying a new car ever again and will only buy with savings.
    Have two at the moment. If we retired one would do us.
    Petrol and tolls costs €500 per month. Could probably reduce that to €100.
    Lots of other stuff too.

    There are so many expenses that will be gone when you are ready to retire.

    Just to list a few of them. I dont have all of these but most people do.
    Any others anyone can think of?

    Mortgage - Dont retire until that is cleared

    Childcare - Children should be grown up.

    Holidays - We personally spend a lot on these, so this is big. if you holiday in the summer months you are paying double if not 3 times the price. My company only let me take my holidays in July and at Christmas. Also there is school term time. So holiday costs would be reduced.
    Take for example my Ryanair flights to Barcelona. €580. In September that would be about €100. The accommodation for that holiday is €2400 for 2 weeks. Same place is €700 for 2 weeks in September.

    Weekends away could become midweeks away. More than halves the cost.

    Cars - If you have 2 reduce to one. I couldnt reduce to zero myself. Dont buy new cars again :)

    Loans - If you have any you would probably have them cleared before even thinking of retiring.


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    #119
    fits
    Registered Users Posts: 13,271 ✭✭✭✭fits


    stratowide wrote: »
    .
    No mortgage is like winning the lotto.

    .


    This! My god I would love not to have a mortgage.

    I love these threads though and reading everyone's plans. I have no major desire to retire at all but I don't ever want to work a 5 day week again. Currently doing 4.


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    #120
    [Deleted User]
    Posts: 0 ✭ [Deleted User]


    lalababa wrote: »
    A good way of 'retiring' early is to downsize, adjust/accept frugality, buy out of consumerism and status buying, and find a part/full time job that you love! It takes a strong willpower finding and doing things when you suddenly go from 40+ hours to nothing!
    Owning your own place is top of the agenda. No mortgage/rent.
    All you then need is food/heat/medical insurance (if your income is more than 200pw)

    Sounds more like an existence than living.

    I'd much rather stay working than have to live frugally.


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    #121
    Geuze
    Registered Users Posts: 13,110 ✭✭✭✭Geuze


    mrcheez wrote: »
    Interesting question though, can you still claim the state pension while living in South East Asia?

    Does it go direct into your account?

    Yes, assuming it's a Contributory SP.


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