Re:In Investing, It’s When You Start and When You Finish (2011)
by Retric on Monday October 17, 2016 @05:50PM
(#12730115)
@50 and @40 was shorthand for 50 years old and 40 years old.
The point was the older you retire the less money you need. But, also retiring ASAP is often a poor idea as you tend to worry about cash more the less you have. If you are going to keep working then it's a purely theoretical exercise and you can quickly get far more savings than your lifestyle will ever spend.
I would also say 65 can feel rather young when you hit 65 or you might not make it. However, planning to have money indefinatly adds peace of mind even if you never spend it.
@23 just dump it all in a low cost index fund and ignore it, in 10 years you can rethink the situation. You could easily be married with kids or something. Also, get a solid understanding of the tax implications of what your doing. Some people say having X months of cash on hand is important but selling stocks is hardly the end of the world the real issue is tax deferred accounts can have withdrawal penalties.
The point was the older you retire the less money you need. But, also retiring ASAP is often a poor idea as you tend to worry about cash more the less you have. If you are going to keep working then it's a purely theoretical exercise and you can quickly get far more savings than your lifestyle will ever spend.
I would also say 65 can feel rather young when you hit 65 or you might not make it. However, planning to have money indefinatly adds peace of mind even if you never spend it.
@23 just dump it all in a low cost index fund and ignore it, in 10 years you can rethink the situation. You could easily be married with kids or something. Also, get a solid understanding of the tax implications of what your doing. Some people say having X months of cash on hand is important but selling stocks is hardly the end of the world the real issue is tax deferred accounts can have withdrawal penalties.