Retired Living aka The Lilly Pad

[Birchtree]

I've been scouting western North Carolina for a summer home at higher elevations in the Blue Ridge mountains. Looking forward to the pain the real estate market will experience next year - becomes a buyers market with much discounting. There is always somebody to take opportunity of anothers problems - this time it's me.

 

[Spaf]

You gotta have others around i.e., Who do you ask about getting your golf cart fixed! Where are all the good fishing holes!

The kids can come visit during Christmas and the Summer....What that really means is you get all the Halloween candy and there is one turkey you don't have to fight over!

I'm bad, I know it!........:cheesy:

 

[Want2retire]

I've been scouting western North Carolina for a summer home at higher elevations in the Blue Ridge mountains. Looking forward to the pain the real estate market will experience next year - becomes a buyers market with much discounting. There is always somebody to take opportunity of anothers problems - this time it's me.

Good luck with that! Sounds like a great plan.

I'd love to buy my retirement home early, but (as you can see by my "handle") I'm not retired yet. Taking care of a house a day and a half's drive away (that I therefore can't visit very often) seems like it would be hard to do. I'd hate to have the pipes freeze solid, or something like that.

Are you retired yet? Do you live close to the Blue Ridge mountains? What do you plan to do, to take care of your summer home there when you are away? I would assume that you'd hire someone to cut the grass in the summer, and maybe someone to shovel the snow in the winter.

 

[Spaf]

Been doing some figuring (Spaf math)
You gotta love the TSP program!
Using TSP, if you saved right, you should be able to retire and withdraw 4% or less annually.
Now the G-fund (the Lilly Pad) will replace the 4%.
So in a bear market you will survive.
In a bull market you need to off set inflation. Really your trading for a COLA.
Following tsptalk minimum investment: risk v reward; 50% (G/F) and 50% (C/S/I). You should be able to pick up the COLA at minimum risk, following the leaders on the MB at 50% of their risk.
Granted anytime in stocks there is a risk!
Maybe "rokid" could better analyze the probability factors.
However, it seems to me that TSPTalk members have a great advantage to manage their funds sucessfully, especially in retirement.
Just MHO!
Reards....and be careful!........Spaf

 

[clester]

I like your thinking Spaf. One problem I have is that I'll retire well before I can choose a monthly payment. I have to use 72t rules, which is great, but no "cola" until age 59 1/2 when I can change to a dollar amount per month. I plan on using 4-5% for my withdrawal rate.(reasonable interest rate). Hope to make 7-10% on TSP to make up for inflation so the allocations look good to me. Not too risky.

 

[Wheels]

...but no "cola" until age 59 1/2 when I can change to a dollar amount per month.

You'll get a cola on your pension though so that'll keep you close to inflation.

 

[rokid]

Maybe "rokid" could better analyze the probability factors.

I'm taking a little "in-house" annual today. :cheesy:

This is one of many Monte Carlo simulators on the web. It literally runs thousands of scenarios to determine the probability of success of your retirement plan. http://fireseeker.com/firecalc.php

The default values show you need $750K, with 75% invested in stocks, to draw $30K a year (4% withdrawal rate), for 30 years, with a 95% probability of success. If you change the stock percentage to 25%, your probability of success drops to 78% (I hope you like cat food).

Invest in stocks and you risk a bear market at the wrong time. Put it all in safe investments and lose out to inflation. You need a balanced plan - both stocks and fixed income investments. It's rough out there!

 

[Spaf]

Thanks Rokids!

Retirement: So far, so good!

Now is not the time for retirees to be in a lot of stocks! The market is overbought and risk are high! It's not even the right season!

TSPTalk Premium Service gives advice on when funds should be more in cash than equities.

Retirees should be holding cash, maybe some in equities, but not more than the L-2010 fund. The risk is too high! Unless you are like BT with a financial strong-hold.

Retirement needs a long term plan, one with council from an accountant, to develop individual needs i.e., income, expenses, taxes, cost of living increases, etc.

If you want to be a "trader" you have to be careful! There is no need to risk your TSP account in retirement.

We have some very good moderators, might have to take some time off for a boat trip to Alaska! Never been there!

fapS
Regards and be careful

 

[Spaf]

Rug Rat Invasion!​

Home invaded by rug rats!
All cookies devoured.
Refrigerator depleated of all ice cream.
Three fishing pole completely discombobulated.
Dog has lost 5 pounds.
The boat is out of gas.
and they are still at it!​

View attachment 1643​

Gads I love dem rug rats!.....​

 

[nnuut]

You are one lucky man!!!

 

[GGal]

Cutest little rats I've seen lately! Ain't life grand!

I think I detect a little Barbie Doll Deficiency in their little eyes though.

 

[Show-me]

Good look'n crew there Spaf! Keep'em sugared up for when Mom and Dad pick them up. lol

 

[rokid]

CUTE KIDS!!!!!:laugh:

 

[Spaf]

Retirement Planning!​

I forgot to include in living expenses, a ICE CREAM depletion allowance. I had the COOKIES covered but forgot the ice cream!

I might have to sell some socks to recover from this one!......

View attachment 1644​

I did discover that it was Rug Rat # 3 that inflicted the huge losses to ice cream holdings!

Amazing: a 25 lb RR can eat her weight in ice cream!........:cheesy: