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HomicidalHushPuppy t1_j9vjxdq wrote

Many sources say you should have at least $1M set aside to retire comfortably. So being a millionaire means you can retire by yourself. Doesn't mean you can support a kid.

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hedgehogging_the_bed t1_j9vndwh wrote

I had heard this often too but it's being reported this week that it's now being recommended you should save at least $3 million for retirement.

Just more fiscal goalpost moving.

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sutisuc t1_j9w0su0 wrote

Good thing it doesn’t look like I’ll ever retire

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Weary_Ad7119 t1_j9wjo5l wrote

3M is enough for 145k a year until you are like 95. You'll be just fine with less even accounting for inflation.

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hedgehogging_the_bed t1_j9wk6xw wrote

This was the article that's being reported on: https://www.bloomberg.com/news/articles/2023-02-21/saving-for-retirement-investors-say-you-ll-need-3-million-to-be-comfortable

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Pink_Slyvie t1_j9xlyjt wrote

People really underestimate how expensive late-in-life healthcare is. My grandmother was fairly well off, not rich, but they did well. Her healthcare is going to eat all of her assets, leaving nothing left, she has pretty much exhausted her Medicare, and now they start taking from her assets before she gets more. She could live another decade, but it's not going to be a pleasant existence, I wish I had a way to help.

3M (in today's dollars) is honestly about the minimum, because you will likely reach a point where you will need to spend tens, possibly hundreds of thousands a month in healthcare.

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SneedyK t1_j9y2xms wrote

You’re hitting upon a problem that’s going to explode the infrastructure of living facilities and home health care as older Americans continue to live longer. I have an online pal who studies gerontology and she says about 80% of the cost of healthcare ends up going to end-of-life care.

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hedgehogging_the_bed t1_j9yqk07 wrote

My mother worked in ICU care. She told me roughly 85% of the money spent on your healthcare in your lifetime will be in your last month of life.

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Weary_Ad7119 t1_j9xt2vo wrote

Shitty article. If you actually read that 3m number isn't based on anything but a shitty pole from wealth managers with zero context for the person.

The math isn't hard and of you don't believe you can live off of 100k a year + ss then you might have a life style issue and are spending too much.

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AskMoreQuestionsOk t1_j9yu9nw wrote

True. But 3m allows you to maintain a lifestyle at a certain level indefinitely as well as buy other financial products so you can pass your wealth to your children via life insurance or pay for long term care. It’s also the level at which you can start to do rich people money shenanigans.

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drxdrg08 t1_j9vqevk wrote

Doesn't matter. You will read this low effort class warfare fluff piece and upvote it. Or else.

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egJohn t1_j9wfjy6 wrote

i mean, there is a class war going on, what's your point

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Er3bus13 t1_j9wk7vg wrote

Temporarily embarrassed millionaire thinks he isn't one of us. One day he'll be rich too.

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drxdrg08 t1_j9wlmxz wrote

You do know that more than 10% of all households are millionaires without even counting their house?

When you factor in being able to spell, use of proper punctuation and computer literacy, the percentage is much higher. Don't assume everyone is broke on Reddit.

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worstatit t1_j9yflbh wrote

Not to mention, a house in that area will probably take you a long way towards your "million".

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