New institute aims to make Toronto an ‘intellectual centre’ of AI capability

Re:New institute aims to make Toronto an ‘intellectual centr... by davidgay on Wednesday March 29, 2017 @11:48PM (#13992709)

You seem to be assuming that the SF and Toronto workers will retire to the same place, so the extra savings of the SF worker will go further. Conversely, if you assume that the SF worker retires to a place with a 50% higher COL than the Toronto worker, the difference disappears.

Personally, my backup plan is to retire to Bulgaria based on SF savings ;)

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Re:New institute aims to make Toronto an ‘intellectual centr... by lewisl9029 on Thursday March 30, 2017 @12:01AM (#13992778)

If we take into account the time-value of money (which would be natural since we're talking about savings/investments that are subject to inflation and compound interest), higher income + higher COL remains favorable even if the cost of living ratio remains constant upon retirement.

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Re:New institute aims to make Toronto an ‘intellectual centr... by davidgay on Thursday March 30, 2017 @01:40AM (#13993201)

Hmm, no. Each per-year saved amount is compounded by the same multiplier k after N years (assuming the same interest rate), so if you start with 1.5x more, you end up with 1.5x more.

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Re:New institute aims to make Toronto an ‘intellectual centr... by lewisl9029 on Thursday March 30, 2017 @01:54AM (#13993245)

You're totally right. I clearly wasn't thinking straight when I made that comment.

There is still plenty of inherent value in accumulating wealth at a faster pace though.

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