Rukh O'Rorke
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Post by Rukh O'Rorke on Jan 30, 2021 12:12:38 GMT -5
I have a spreadsheet with my current annual budget on it and for fun, I went in and zeroed out the line items I wouldn't have to pay in retirement. (specifically FICA, life insurance, employer health insurance, retirement savings, college savings, private school tuition, childcare and mortgage), and was left with a bare bones budget of 18K/year! Even if I have to pay $1000/month for medical insurance it's still less than half what I take home now between work, child support and tax credits. But, I was playing around on the exchange the other day and I think I could get a decent plan for a lot less than $1000/month especially with the subsidies. Honestly, one comparable to what I had was $450/month before subsidies. My plan is to keep income low to qualify for all that, then hit up the Roth for big ticket stuff. I always seem to come up with 40K/year as a comfortable number. to cover the mortgage and student loan payments - that starts at 40k a year for me, lol! The PI and SLs will go away at some point, but starting off with a new 30 year right now, seems a perma-number. Once SLs settle, I may look into a similar, long term low rate payback and just keep that as a perma number too.
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laterbloomer
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Post by laterbloomer on Jan 30, 2021 12:49:46 GMT -5
I have a spreadsheet with my current annual budget on it and for fun, I went in and zeroed out the line items I wouldn't have to pay in retirement. (specifically FICA, life insurance, employer health insurance, retirement savings, college savings, private school tuition, childcare and mortgage), and was left with a bare bones budget of 18K/year! Even if I have to pay $1000/month for medical insurance it's still less than half what I take home now between work, child support and tax credits. But, I was playing around on the exchange the other day and I think I could get a decent plan for a lot less than $1000/month especially with the subsidies. Honestly, one comparable to what I had was $450/month before subsidies. My plan is to keep income low to qualify for all that, then hit up the Roth for big ticket stuff. I always seem to come up with 40K/year as a comfortable number. That's the way I'm going, except I don't have to worry about basic health care. I'm going to look into a plan to subsidize it for eye care, dental and extraordinary stuff.
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Blonde Granny
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Post by Blonde Granny on Jan 30, 2021 13:10:58 GMT -5
Are any of you willing to share your numbers? Just of expenses, I don't really care about your income for this. I will when I get back from having lunch with friends. (mine expenses are only for 1 76 y/o widow.
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NastyWoman
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Post by NastyWoman on Jan 30, 2021 13:32:31 GMT -5
This seems lime as good a place as I have seen to ask a question of my own. Can someone tell me how long it takes approximately between applying for SS and receiving your first payment? I am thinking of retiring in October and would like SS to start paying in November, so I am trying to figure out when I should apply.
It would not be a big deal financially at all if I did not hit November, but I know myself and I would get very stressed out if I get ofc too far. It is one thing to know you have enough, it is something else to see an income stream not start as expected. I am one of those "what if I never get this right" panicky persons
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CCL
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Post by CCL on Jan 30, 2021 13:51:13 GMT -5
The one thing I would most advise is to reduce your necessary expenses as much as possible. It is very freeing to not have any financial stress and to know that all you have to do in rough times is cut back discretionary spending a little bit. And if times are good, it is more fun to spend on things you want to spend on rather than on things you have to spend on. That, and have a large cushion in investments! If I cut the "frills" to zero- travel, charity, restaurants, house upgrades, etc.- I get to about $40K/year and that's with no attempt to reduce groceries or utilities. My cell plan is $17/month and Internet + Netflix is $84/month total. I'm also assuming taxes would be cut back if my actual income were that low, and no IRMAA surcharges on Medicare. My fixed income (SS + 2 non-COLA pensions) would just about cover it all. If the market tanks I can reduce my withdrawals from investments and still keep going. I think what happens to many people who "lost all their retirement savings in the last market crash" is that they were taking an unsustainable % out of their savings to meet basic needs and couldn't cut back. I don't even keep track of gains vs withdrawals. Some years the balance goes down. Other years it goes up. Oh, I watch mine like a hawk! My most reassuring metric: since my retirement in May, 2014, the investments have increased in value by an average of 4%/year AFTER withdrawals. That tells me that it's sustainable. Don't forget, all-in-all, the markets have done great the last several years. My plan was always to cover our fixed expenses with fixed income: SS and pension. Retirement accounts are for extras. I've never cared about paying my house off. I've done better keeping $$$ in the markets. We did downsize after hubby retired, but that was mostly because we got tired of a big house we didn't need.
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CCL
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Post by CCL on Jan 30, 2021 14:03:25 GMT -5
I have a spreadsheet with my current annual budget on it and for fun, I went in and zeroed out the line items I wouldn't have to pay in retirement. (specifically FICA, life insurance, employer health insurance, retirement savings, college savings, private school tuition, childcare and mortgage), and was left with a bare bones budget of 18K/year! Even if I have to pay $1000/month for medical insurance it's still less than half what I take home now between work, child support and tax credits. But, I was playing around on the exchange the other day and I think I could get a decent plan for a lot less than $1000/month especially with the subsidies. Honestly, one comparable to what I had was $450/month before subsidies. My plan is to keep income low to qualify for all that, then hit up the Roth for big ticket stuff. I always seem to come up with 40K/year as a comfortable number. That's the way I'm going, except I don't have to worry about basic health care. I'm going to look into a plan to subsidize it for eye care, dental and extraordinary stuff. Here in the US, I would not count on finding a plan thru the exchange. That could change at any time. Healthcare costs seem to be a moving target, so plan accordingly.
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CCL
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Post by CCL on Jan 30, 2021 14:08:18 GMT -5
This seems lime as good a place as I have seen to ask a question of my own. Can someone tell me how long it takes approximately between applying for SS and receiving your first payment? I am thinking of retiring in October and would like SS to start paying in November, so I am trying to figure out when I should apply. It would not be a big deal financially at all if I did not hit November, but I know myself and I would get very stressed out if I get ofc too far. It is one thing to know you have enough, it is something else to see an income stream not start as expected. I am one of those "what if I never get this right" panicky persons I took us 2 months, but I think it could have been done in 5-6 weeks. We wanted to see the exact amount, so signed up as soon as eligible, then had to wait til turned 62 to actually get it. Once signed up SS called the next week just to verify former employer info was correct. They questioned a few of the dates and locations since hubby had worked in multiple states.
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laterbloomer
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Post by laterbloomer on Jan 30, 2021 14:11:03 GMT -5
This article makes me more hopeful for 60 link, for me 65 is now a given (thank you very much folks, it wasn't before I joined these boards) and if I bring in a bit more income for the next few years for retirement savings 60 is possible.
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bookkeeper
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Post by bookkeeper on Jan 30, 2021 14:13:31 GMT -5
This seems lime as good a place as I have seen to ask a question of my own. Can someone tell me how long it takes approximately between applying for SS and receiving your first payment? I am thinking of retiring in October and would like SS to start paying in November, so I am trying to figure out when I should apply. It would not be a big deal financially at all if I did not hit November, but I know myself and I would get very stressed out if I get ofc too far. It is one thing to know you have enough, it is something else to see an income stream not start as expected. I am one of those "what if I never get this right" panicky persons We just signed DH up yesterday. You can register up to 4 months in advance of the date you want to begin taking your payment. DH has a birthday in a few weeks, so we are to expect an April payment after he turns 62 in March. We had the option to begin payments in May as well. I would also recommend a few months of cash reserves to cover your expenses. To cover any interruptions in your income stream. We have had a few hiccups in cash flow, but DH took a lump sum distribution of his pension, so we only take about 2 draws a year. The social security payment will be the first monthly income our house has seen in six years.
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jerseygirl
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Post by jerseygirl on Jan 30, 2021 14:23:05 GMT -5
Don’t forget to sign up fir Medicare at 65. I didn’t take SS till 66 and thought signed up for both SS and Medicare same time. NO, you’re penalized forever after if don’t sign for Medicare at 65. Around $190 yr penalty right now and will probably increase with time
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bookkeeper
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Post by bookkeeper on Jan 30, 2021 14:28:50 GMT -5
I would add a budget line for personal health expenses. Eye glasses, contact lenses, dental work, prescriptions, gym membership, and so forth. DH and I both wear glasses, so that's $2000 -$3000 annually right there.
DH and I own two houses. Our annual spend is around $100,000 which is what we planned for. We could cut back to one house and live a good life on half of that amount. Our largest expense is of course, health insurance at $1900/mo. Gas in the vehicles used to be our #2 expense, but we are traveling less during the pandemic.
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bookkeeper
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Post by bookkeeper on Jan 30, 2021 14:31:11 GMT -5
Don’t forget to sign up fir Medicare at 65. I didn’t take SS till 66 and thought signed up for both SS and Medicare same time. NO, you’re penalized forever after if don’t sign for Medicare at 65. Around $190 yr penalty right now and will probably increase with time Believe me, I will remember! Medicare will drop his health insurance cost by 2/3.
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Deleted
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Post by Deleted on Jan 30, 2021 14:32:29 GMT -5
And my tip for SS is to remember that it is paid the month after it is earned on a Wednesday based on your birthday. In other words, I got my December check on January 27, the 4th Wednesday of the month. That was based on my birthday, which just happened to coincidentally be January 27. DH got his on the second Wednesday of the month because his birthday was the 9th. There's a chart somewhere, I'm sure.
So if you file to start in, say, September, you won't receive a check until sometime in October. Mine is so late that I just consider it as income for the following month.
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Post by Deleted on Jan 30, 2021 14:35:38 GMT -5
Don’t forget to sign up fir Medicare at 65. I didn’t take SS till 66 and thought signed up for both SS and Medicare same time. NO, you’re penalized forever after if don’t sign for Medicare at 65. Around $190 yr penalty right now and will probably increase with time But you are only required to sign up for Medicare Part A. If you are still working and want to stay on your employer's health plan, you can delay signing up for Part B until you do retire. Medicare Part A is actually free so it's no cost to you to sign up on time. Part B costs. Of course, your work insurance may have requirements of their own.
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plugginaway22
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Post by plugginaway22 on Jan 30, 2021 14:39:23 GMT -5
Bookkeeper, if you have had no income for years, why aren't you able to get health insurance subsidized on the exchange?
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Rukh O'Rorke
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Post by Rukh O'Rorke on Jan 30, 2021 14:52:55 GMT -5
oh....
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Rukh O'Rorke
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Post by Rukh O'Rorke on Jan 30, 2021 15:05:28 GMT -5
oh well - relooked.....
Total spend was nearly 99k for 2020.
Again - not including insurance coming out of paychecks.
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Blonde Granny
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Post by Blonde Granny on Jan 30, 2021 15:58:53 GMT -5
Are any of you willing to share your numbers? Just of expenses, I don't really care about your income for this. I will when I get back from having lunch with friends. (mine expenses are only for 1 76 y/o widow.) These figures are for what I call "Escrow Account" not Sinking Fund These are based on total year figures: Earthquake insurance $142 Exterminator $247 Dentist $ 1200 House Repair $500 House Insurance $650 Car Insurance $1135 - 2020 Cadillac Midsize SUV Travel $500 Car Repair $300 Xmas $450 for 3 grandkids 2 adult one teen Birthdays $300 Grandkids only CPA $300 To do Taxes HOA $ 1096 TOTAL $ 6520 Div by 12 $533/mo YNAB Budget Monthly for Monthly bills non-negational ADT Security $70 ATT 165 Black Hills Gas 49 - level billing Electricity 102 - level billing Escrow 200 current amount Verizon 108 Cell phone Water 41 Everyday Expenses TOTAL $440 Car Wash $32.00 Clothes 100 (variable) Computers 25 for ink & paper Fuel 50 (variable) Groceries 150 Hair Cut & color currently 0 Household Goods 33 Lawn Care 30....HOA does most work, this is for Fairway Lawns Misc 25 My DH was Financial guy from his corp. He always told me there is so such thing as Misc.....Psstt I don't agree Pedicare 45 Personal Items variable Restaurants 32 (now) previous to Covid it was $100 Medical Various 45 I have Medicare, paid out of Social Security my supplement is covered by VA Medical as is my RXs Medical 50 for Chiropractor once per month
Hobbies 15 but varies for sewing supplies Gun Range 100
Hope this gives you an idea of what I choose to spend my money on....
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Rukh O'Rorke
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Post by Rukh O'Rorke on Jan 30, 2021 16:07:23 GMT -5
I'm getting close to "Financial Independence" which will eventually flow into "retirement" - as in from 58 to 65 I need to use my "saved up money - either taxable or tax advantaged" and may have to do some paid work - at least between 58 and 62. Once I hit 65 the bulk of my income will come from a Pension. And then SS kicks in at 67 or 70 or later depending on if I need it or not. I'm currently 57. The only "expenses" I see that you haven't accounted for are the once that will most likely occur 10 years or more from TODAY. So, maybe you'll need new appliances or want to paint/re carpet/new furniture (like a couch or matresses). Your house may also be due for a big expense - like a new roof or tuckpointing or something else. On my 5 years from now and 10 years from now time line I have the following: Roof will be 25 years or 30 years old - I have 30 year shingles so odds are good at the 25 year mark I will need to reshingle. Furnace will be 25 and 30 years old - I may need to deal with the furnace after 10 years (30yo) A/C will be 15yo and 20yo - I will definitely have AC issues in the next 10 years. Vehicle will be 13yo in 5 years - I will definitely need a vehicle at or before the end of 5 years. There are some other issues - appliances, new mattress set and other odds and ends that may reach the end of their life in the next 5 to 10 years. If enough of the smaller expenses hit during the year they can add up to a Big Expense. I have built in a "loan repayment" line in my "FIre" budget. It's currentlly $250 which just goes to savings for these known future expenses. Once I use my saved money for the expense (downpayment or full payment) I can serially allocate that $250 a month to which ever thing I had to "borrow" for - say a 0% offer on appliances? or to repay my HELOC for the roof? I will probably need to account for more than $250 a month for that but it's a start. I'm not really comfortable pulling the 40K a year I need from my retirement money and then having to pull an additional $10K or $20K or $30K during a year when something on my "Oppps it broke and needs to be replaced" list. I'm sure doing those kinds of big pulls will mess with my taxes as well. Yes I’m thinking new roof, new kitchen and baths, new car before pulling the plug. Need to start a comprehensive list.
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Rukh O'Rorke
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Post by Rukh O'Rorke on Jan 30, 2021 16:11:25 GMT -5
That, and have a large cushion in investments! If I cut the "frills" to zero- travel, charity, restaurants, house upgrades, etc.- I get to about $40K/year and that's with no attempt to reduce groceries or utilities. My cell plan is $17/month and Internet + Netflix is $84/month total. I'm also assuming taxes would be cut back if my actual income were that low, and no IRMAA surcharges on Medicare. My fixed income (SS + 2 non-COLA pensions) would just about cover it all. If the market tanks I can reduce my withdrawals from investments and still keep going. I think what happens to many people who "lost all their retirement savings in the last market crash" is that they were taking an unsustainable % out of their savings to meet basic needs and couldn't cut back. Oh, I watch mine like a hawk! My most reassuring metric: since my retirement in May, 2014, the investments have increased in value by an average of 4%/year AFTER withdrawals. That tells me that it's sustainable. Don't forget, all-in-all, the markets have done great the last several years. My plan was always to cover our fixed expenses with fixed income: SS and pension. Retirement accounts are for extras. I've never cared about paying my house off. I've done better keeping $$$ in the markets. We did downsize after hubby retired, but that was mostly because we got tired of a big house we didn't need. That is an excellent plan. With only one persons ss and no pension, not possible for me.
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tskeeter
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Post by tskeeter on Jan 30, 2021 16:12:44 GMT -5
Yeah, this is obviously a situation where everyone's "enough" is going to be very different. I also recently refied my mortgage, 30 year fixed, and took out all the money they would let me. Unfortunatly not as much as I would have liked as there is a house very similar to mine a block or 2 over that was left to rot for 30-50 years, and when finally sold the ceilings were falling into the rooms from water damage. So apparently that is impacting our property values? There are very few houses in the area like mine, and they aren't up for sale very frequently and so I think this is putting a lot of pressure on our values. That place is currently undergoing a gut rehab down to studs, will probably sell for a packet and all our property values will soar up and over what they were previous - but right now my property value is down about 50k. Anyway - I doubt I'd refi again, unless the rates are equi-low/lower and the property value goes up by about 100k. but anyhoo - so I am incorporating the mortgage payment as a permanent budget item for my retirement strategy. While it does make it more difficult to get to the saving goal it is also nice to not have to try to pay something big off either. I was still at nearly 250k mortgage before the refi anyway, so it was big before that. It is a bit of risk as I plan to be about 100% stocks right up until retirement. Not sure how I might hedge that before pulling the trigger - but with a robust mortgage, big student loan balanaces, and high investment risks, I am going to need to address that someone. Sidebar: I lost over 100k this week in the kitty, so retirement is feeling a little farther away than it has been. So - back to the grind on Monday for sure! Rukh, the way I compensate for an aggressive portfolio allocation is by having at least three years of planned retirement account withdrawals in cash or money market accounts. This means I’ll never have to sell investments in a down market to fund living expenses. So a major market correction won’t force a change to my retirement plans.
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Deleted
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Post by Deleted on Jan 30, 2021 16:56:57 GMT -5
I will when I get back from having lunch with friends. (mine expenses are only for 1 76 y/o widow.) These figures are for what I call "Escrow Account" not Sinking Fund These are based on total year figures: Earthquake insurance $142 Exterminator $247 Dentist $ 1200 House Repair $500 House Insurance $650 Car Insurance $1135 - 2020 Cadillac Midsize SUV Travel $500 Car Repair $300 Xmas $450 for 3 grandkids 2 adult one teen Birthdays $300 Grandkids only CPA $300 To do Taxes HOA $ 1096 TOTAL $ 6520 Div by 12 $533/mo YNAB Budget Monthly for Monthly bills non-negational ADT Security $70 ATT 165 Black Hills Gas 49 - level billing Electricity 102 - level billing Escrow 200 current amount Verizon 108 Cell phone Water 41 Everyday Expenses TOTAL $440 Car Wash $32.00 Clothes 100 (variable) Computers 25 for ink & paper Fuel 50 (variable) Groceries 150 Hair Cut & color currently 0 Household Goods 33 Lawn Care 30....HOA does most work, this is for Fairway Lawns Misc 25 My DH was Financial guy from his corp. He always told me there is so such thing as Misc.....Psstt I don't agree Pedicare 45 Personal Items variable Restaurants 32 (now) previous to Covid it was $100 Medical Various 45 I have Medicare, paid out of Social Security my supplement is covered by VA Medical as is my RXs Medical 50 for Chiropractor once per month
Hobbies 15 but varies for sewing supplies Gun Range 100
Hope this gives you an idea of what I choose to spend my money on.... No mortgage even though your house is relatively new? I wanna be you when I grow up.
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Blonde Granny
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Post by Blonde Granny on Jan 30, 2021 17:01:13 GMT -5
These figures are for what I call "Escrow Account" not Sinking Fund These are based on total year figures: Earthquake insurance $142 Exterminator $247 Dentist $ 1200 House Repair $500 House Insurance $650 Car Insurance $1135 - 2020 Cadillac Midsize SUV Travel $500 Car Repair $300 Xmas $450 for 3 grandkids 2 adult one teen Birthdays $300 Grandkids only CPA $300 To do Taxes HOA $ 1096 TOTAL $ 6520 Div by 12 $533/mo YNAB Budget Monthly for Monthly bills non-negational ADT Security $70 ATT 165 Black Hills Gas 49 - level billing Electricity 102 - level billing Escrow 200 current amount Verizon 108 Cell phone Water 41 Everyday Expenses TOTAL $440 Car Wash $32.00 Clothes 100 (variable) Computers 25 for ink & paper Fuel 50 (variable) Groceries 150 Hair Cut & color currently 0 Household Goods 33 Lawn Care 30....HOA does most work, this is for Fairway Lawns Misc 25 My DH was Financial guy from his corp. He always told me there is so such thing as Misc.....Psstt I don't agree Pedicare 45 Personal Items variable Restaurants 32 (now) previous to Covid it was $100 Medical Various 45 I have Medicare, paid out of Social Security my supplement is covered by VA Medical as is my RXs Medical 50 for Chiropractor once per month
Hobbies 15 but varies for sewing supplies Gun Range 100
Hope this gives you an idea of what I choose to spend my money on.... No mortgage even though your house is relatively new? I wanna be you when I grow up. No, last house payment we had was in 1996 and it only lasted about 3 months before we paid it off. Don't have any car payment either and no credit card debt.
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laterbloomer
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Post by laterbloomer on Jan 30, 2021 17:02:50 GMT -5
I will when I get back from having lunch with friends. (mine expenses are only for 1 76 y/o widow.) These figures are for what I call "Escrow Account" not Sinking Fund These are based on total year figures: Earthquake insurance $142 Exterminator $247 Dentist $ 1200 House Repair $500 House Insurance $650 Car Insurance $1135 - 2020 Cadillac Midsize SUV Travel $500 Car Repair $300 Xmas $450 for 3 grandkids 2 adult one teen Birthdays $300 Grandkids only CPA $300 To do Taxes HOA $ 1096 TOTAL $ 6520 Div by 12 $533/mo YNAB Budget Monthly for Monthly bills non-negational ADT Security $70 ATT 165 Black Hills Gas 49 - level billing Electricity 102 - level billing Escrow 200 current amount Verizon 108 Cell phone Water 41 Everyday Expenses TOTAL $440 Car Wash $32.00 Clothes 100 (variable) Computers 25 for ink & paper Fuel 50 (variable) Groceries 150 Hair Cut & color currently 0 Household Goods 33 Lawn Care 30....HOA does most work, this is for Fairway Lawns Misc 25 My DH was Financial guy from his corp. He always told me there is so such thing as Misc.....Psstt I don't agree Pedicare 45 Personal Items variable Restaurants 32 (now) previous to Covid it was $100 Medical Various 45 I have Medicare, paid out of Social Security my supplement is covered by VA Medical as is my RXs Medical 50 for Chiropractor once per month
Hobbies 15 but varies for sewing supplies Gun Range 100
Hope this gives you an idea of what I choose to spend my money on....
It gives me a good idea of the incidentals that come up. Thank you.
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laterbloomer
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Post by laterbloomer on Jan 30, 2021 18:09:45 GMT -5
I'm considering this one of my more successful threads. I've gotten a lot of great feedback. Thanks everyone. Keep it coming!
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Post by The Walk of the Penguin Mich on Jan 30, 2021 18:31:24 GMT -5
The biggie we have had has been dental expenses. It hasn’t been too bad for me....I think between my root canal and crown it was about $1500 after insurance last year. TD is looking at dropping about $10k in 2021. He had a couple teeth break, and is getting implants.
For eyes, between the 2 of us we’d be looking at around $1000/year for glasses and contacts. Last year, he had cataract surgery and got a corrective lens implant. I think his lenses were about $8k. I’m getting it done this year, likely the same cost. This will take care of our expensive need for glasses and contacts for the rest of our lives.
Also, when we travel we no longer travel coach. Between RLS and my hips, neither of us can deal with long hauls in coach anymore. We have accounted for this in our travel budget.
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bookkeeper
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Post by bookkeeper on Jan 30, 2021 19:42:05 GMT -5
Bookkeeper, if you have had no income for years, why aren't you able to get health insurance subsidized on the exchange? We haven't had any W-2 income for several years. We are living on withdrawals from our 401k and traditional IRA. The IRS will tax your retirement withdrawals as ordinary income. We have to take less than $60,000 from our accounts to qualify for any subsidy and it still wouldn't be that much. We paid $0 for family coverage for the last 16 years of our working careers. We decided we will just pay for it rather than try to maximize a plan to get a subsidy for the ACA. Mind the dollars and the cents will take care of themselves
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djAdvocate
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Post by djAdvocate on Jan 30, 2021 22:59:15 GMT -5
I'm a bad person to answer this because I don't really even need my investments to get by. My SS benefit already covers all of my normal and necessary expenses and even those should be cut by a third shortly. Other income will cover house projects at least into the near future. For as long as GF and I are together my travel expenses will probably be substantial, but IRA withdrawals will more than cover that even without getting into income tax territory each year. The one thing I would most advise is to reduce your necessary expenses as much as possible. It is very freeing to not have any financial stress and to know that all you have to do in rough times is cut back discretionary spending a little bit. And if times are good, it is more fun to spend on things you want to spend on rather than on things you have to spend on. I don't think that you are a bad person to ask at all.
I started at the macro level. I carefully observed my parents and inlawas in their end of life brigade. what I noticed was that they, toward the end, were spending $10k/month on retirement facilities. now, granted, it was for less than a decade in all cases, but you do the math. one of the four went bankrupt, basically, and dragged down the second of the four. one of the two died "suspiciously" 2 days before he went to a home. the other had a massive inheritance, which got about half eaten away.
I decided after watching that that I can't die, here, unless I want to die "suspiciously". And I don't. So, I started looking for places around the world to die that remind me of here.
I know a lot of you can't or won't do that, but I would urge you to consider it. My sister just moved to Cabo. She bought this insane house with a coastal view. I have no idea how much she paid for it, but she is set, now. I am not a huge Mexico fan, so I am looking "elsewhere". Where, doesn't really matter, because healthcare is half what it is here ANYWHERE ELSE.
Just go. They will visit you.
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Rukh O'Rorke
Senior Associate
Joined: Jul 4, 2016 13:31:15 GMT -5
Posts: 10,018
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Post by Rukh O'Rorke on Jan 31, 2021 0:13:46 GMT -5
I'm a bad person to answer this because I don't really even need my investments to get by. My SS benefit already covers all of my normal and necessary expenses and even those should be cut by a third shortly. Other income will cover house projects at least into the near future. For as long as GF and I are together my travel expenses will probably be substantial, but IRA withdrawals will more than cover that even without getting into income tax territory each year. The one thing I would most advise is to reduce your necessary expenses as much as possible. It is very freeing to not have any financial stress and to know that all you have to do in rough times is cut back discretionary spending a little bit. And if times are good, it is more fun to spend on things you want to spend on rather than on things you have to spend on. I don't think that you are a bad person to ask at all.
I started at the macro level. I carefully observed my parents and inlawas in their end of life brigade. what I noticed was that they, toward the end, were spending $10k/month on retirement facilities. now, granted, it was for less than a decade in all cases, but you do the math. one of the four went bankrupt, basically, and dragged down the second of the four. one of the two died "suspiciously" 2 days before he went to a home. the other had a massive inheritance, which got about half eaten away.
I decided after watching that that I can't die, here, unless I want to die "suspiciously". And I don't. So, I started looking for places around the world to die that remind me of here.
I know a lot of you can't or won't do that, but I would urge you to consider it. My sister just moved to Cabo. She bought this insane house with a coastal view. I have no idea how much she paid for it, but she is set, now. I am not a huge Mexico fan, so I am looking "elsewhere". Where, doesn't really matter, because healthcare is half what it is here ANYWHERE ELSE.
Just go. They will visit you.
While it does sound fun, I'm trying to hang onto the family homestead here for posterity. Sounds like it was difficult for your family in later years. My father had a brief illness (2 weeks) and we brought him home under hospice and he passed away peacefully with the family around him at 96. My mother is now 97 and living alone in their home right now. She had a stroke a few years ago, and recovered fully after about 3-4 weeks of hospital and rehab then 3-4 months of outpatient rehab. She hid it for 2 weeks but then I insisted we take her in as I knew something was wrong. I don't know of any of my grandparents having a prolonged nursing home experience either. One aunt did. I'm just really not worried about those issues for myself.
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Post by minnesotapaintlady on Jan 31, 2021 0:59:05 GMT -5
There are no long-timers in nursing homes in my family either. Everyone except my step-grandmother that got Alzheimers lived at home without any issues until they died, or there was just a short (few days to weeks) hospice stay. Before last year, my neighbors on both sides and across the road were all in their 90's and still taking care of their farms, 3 of the 5 died last year and one went into a nursing home. Staying here was always my plan...but this damn house. I don't know how I'll deal with spring flooding when I'm in my 80's and all the people that used to help me are in their 80's and 90's too. It's physically extremely taxing and mentally is too. I think I'm going to have to face the fact that I'm going to need to unload this place on someone willing to take on all it's issues. It's not something I need to worry about for awhile, but staying here until I'm 90 like the neighbors did probably isn't realistic...unless I'm willing to bulldoze the house down and start over.
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