re: Bonds/Retirement question

quote:

---

It is funny you say that. That day, when the financial group said someone around my age would need 3 million to retire, Afterwards, I was talking to our CFO (who was my boss), and I was like "There is no way I will hit that mark". He broke it down very well for me - first off, he said the type of people that use that financial firm need 3 million - I most likely would not.

---

Something similar happened where I used to work (and happily retired from about a year ago - I was 58). Almost as if the financial advisor had memorized a script, he also said something along those lines. So, me being me (and figuring that he was just there to hawk his company’s mutual fund products) I asked, “$3 million (let’s say) in what asset classes?”

“I could have $3 million in debt free land that produces no income, $3 million in rental real estate that kicks off $100K in net income per year, $3 million in non-dividend paying stocks, $3 million in equity products or debt instruments that yield 3.5%, etc., etc. So where does your “needed asset” figure come from or what does it refer to?”

It had been awhile, but the look he gave me (in that room full of people) reminded me of the look that teachers would give me in high school when I’d ask them to give a deeper explanation of some generalized, blanket statement they’d made. Most, like this guy, just got defensive.

Like I said, I made the decision to retire from corporate life and enter semi-retirement (I still run my index options business) when I determined that the income produced from my assets and/or efforts would financially support me… it had virtually nothing to do with the net value of those assets.

quote:

---

I will turn 59.5 at the end of January 2025 so I am in the final stretch of the tough part right now

---

What are you doing for health insurance until you are Medicare eligible? If you have a working spouse who can provide it, bonus.

I’m interested in how people get these “working spouses?” Mine only has hobby side gigs and spends $300 a month on nails and lashes.

quote:

---

What are you doing for health insurance until you are Medicare eligible? If you have a working spouse who can provide it, bonus.

---

I am using Obamacare. Since I lost my job during the Covid era it was free for a couple of years and because I can leverage my Roth contributions, I am able to keep my taxable income low enough so that it is the best and lowest cost option for me.

I am single/no kids. Easier for me than most. I took the HSA option to try to build more assets for retirement.

I'm not touching corporate debt if a simple tbill will yield north of 5%