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Fun fact: Save 70% of your income and use it to buy ticker VOO (Vanguard's S&P 500 fund) and you can retire in under 10 years http://www.mrmoneymustache.com/20

Fun fact: Save 70% of your income and use it to buy ticker VOO (Vanguard's S&P 500 fund) and you can retire in under 10 years http://www.mrmoneymustache.com/2012/01/13/the-shockingly-simple-math-behind-early-retirement/ http://www.mrmoneymustache.com/2012/01/13/the-shockingly-sim...

schwap 10y ago
> Save 70% of your income Oh, is that all?! ;)
shshhdhs 10y ago
How close to FI are you?
- baccredited 10y ago
  5 yrs 11 months. You?
fibbery 10y ago
And if the S&P drops like it did in 1987, 2000, 2008, then what...?
- RestlessMind 10y ago
  Then just wait for a few years and it will recover again. https://www.google.com/finance?q=INDEXSP:.INX https://www.google.com/finance?q=INDEXSP:.INX
  - apr 10y ago
    Who will pay the bills in the meantime?
- kyteland 10y ago
  Just run your projections through http://www.firecalc.com/index.php http://www.firecalc.com/index.php and project what your historical odds of going bust are.
davidw 10y ago
... if the market does well ...
notadoc 10y ago
But first you'll need to invent a time machine to start investing in a period when the S&P didn't have a whopping 25x P/E. And then you'll need to find a way to intervene in central banks and global markets so that a 4% withdrawal rate is sustainable in the new era of ZIRP and NIRP where projected future returns for nearly all asset classes are close to nothing and often negative after inflation. Good luck!
bluGill 10y ago
I always tell anyone thinking about retirement: buy a safe annuity that will cover all your income needs before you retire. That way you will never outlive the money you need to survive. You can [probably should!] keep the rest of your money in more aggressive investments, but since you don't know how long you will live you should insure that you will have enough to live on for the rest of your life. If you can't afford such an annuity you can't afford to retire.

schwap 10y ago

> Save 70% of your income Oh, is that all?! ;)

shshhdhs 10y ago

How close to FI are you?

baccredited 10y ago
5 yrs 11 months. You?

fibbery 10y ago

And if the S&P drops like it did in 1987, 2000, 2008, then what...?

RestlessMind 10y ago
Then just wait for a few years and it will recover again. https://www.google.com/finance?q=INDEXSP:.INX https://www.google.com/finance?q=INDEXSP:.INX
- apr 10y ago
  Who will pay the bills in the meantime?
kyteland 10y ago
Just run your projections through http://www.firecalc.com/index.php http://www.firecalc.com/index.php and project what your historical odds of going bust are.

davidw 10y ago

... if the market does well ...

notadoc 10y ago

But first you'll need to invent a time machine to start investing in a period when the S&P didn't have a whopping 25x P/E. And then you'll need to find a way to intervene in central banks and global markets so that a 4% withdrawal rate is sustainable in the new era of ZIRP and NIRP where projected future returns for nearly all asset classes are close to nothing and often negative after inflation. Good luck!

bluGill 10y ago

I always tell anyone thinking about retirement: buy a safe annuity that will cover all your income needs before you retire. That way you will never outlive the money you need to survive. You can [probably should!] keep the rest of your money in more aggressive investments, but since you don't know how long you will live you should insure that you will have enough to live on for the rest of your life. If you can't afford such an annuity you can't afford to retire.