pom
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Post by pom on Mar 11, 2017 20:02:30 GMT
As a complete aside - fuelled by a couple of drinks in the aftermath of allegedly working today (good day tho, didn't have to talk to anyone upset, walked 10miles and made what should turn out in the morning to be a batch of excellent sourdough) - it suddenly occurred to me that if I'm gonna do this I'm gonna have to take p2p a lot more seriously...and probably change my avatar to reflect....and having just played around with the editor I really didn't like the possibilities... Time for another drink - have a great weekend everyone
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Post by saraph on Mar 11, 2017 23:34:52 GMT
I'm sure most of what I have to say has been said in this thread already, but I'm gonna try anyway. I sure could retire early and sure plan to. Some people would say "so you just wanna do nothing?", but that's very wrong way to look at it. It's really all in our heads. Just like JamesFrance said, it's all about having a plan. I think this cursed circle explain it quite well: "I don't have time for that, because I have to spend the time in work so I have the money to afford to do that."Why haven't we travelled to all the beautiful places in the world we ever wanted? Why haven't we gotten really good at a sport we like? Something to think about. For most people, answers to these questions would probably involve something with their work limiting them. Thus, I think some people would translate "not going to work" to "doing nothing" just because they don't really know better. Over the years of their lives it's become such a routine and now it's unthinkable to just break it off. Is working 8 hours a day, and then waiting for another day to come, really all the world has to offer? My idea of work is doing something that benefits me, not my boss. You make money for your boss and then, even if you're 90% of the reason that money was made, you only get a fraction of it. I realized this after following event: I work as a software engineer and a major company sent us a contract for a piece of software they needed in ~5 months. It wasn't anything big, so I alone was sufficient for it. How much money from the invoice went to my pocket? Less than 30%. Sure, managers, accountants, etc. had their part in this, but in retrospective there was that feeling: "if the company done the contract directly with me, we could've agreed on much lower price and I'd still have much more". That's what you get for working for your boss. It may be hard transition for some, but I'd say it's ultimately a transition to much much better life.
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r00lish67
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Post by r00lish67 on Mar 12, 2017 0:08:00 GMT
"I don't have time for that, because I have to spend the time in work so I have the money to afford to do that." Or to put it less succinctly, the classic Mexican fisherman parable: An American investment banker was at the pier of a small coastal Mexican village when a small boat with just one fisherman docked. Inside the small boat were several large yellowfin tuna. The American complimented the Mexican on the quality of his fish and asked how long it took to catch them. The Mexican replied, “only a little while.” The American then asked why didn’t he stay out longer and catch more fish? The Mexican said he had enough to support his family’s immediate needs. The American then asked, “but what do you do with the rest of your time?” The Mexican fisherman said, “I sleep late, fish a little, play with my children, take siestas with my wife, Maria, and stroll into the village each evening where I sip wine, and play guitar with my amigos. I have a full and busy life.” The American scoffed. “I have an MBA from Harvard, and can help you,” he said. “You should spend more time fishing, and with the proceeds, buy a bigger boat. With the proceeds from the bigger boat, you could buy several boats, and eventually you would have a fleet of fishing boats. Instead of selling your catch to a middle-man, you could sell directly to the processor, eventually opening up your own cannery. You could control the product, processing, and distribution,” he said. “Of course, you would need to leave this small coastal fishing village and move to Mexico City, then Los Angeles, and eventually to New York City, where you will run your expanding enterprise.” The Mexican fisherman asked, “But, how long will this all take?” To which the American replied, “Oh, 15 to 20 years or so.” “But what then?” asked the Mexican. The American laughed and said, “That’s the best part. When the time was right, you would announce an IPO, and sell your company stock to the public and become very rich. You would make millions!” “Millions – then what?” The American said, “Then you could retire. Move to a small coastal fishing village where you could sleep late, fish a little, play with your kids, take siestas with your wife, and stroll to the village in the evenings where you could sip wine and play guitar with your amigos.”
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elliotn
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Post by elliotn on Mar 12, 2017 6:00:36 GMT
Oh, very tricky for some financial applications as I retired in my 30s - unless it says 'living by independent means' l'm forced to choose 'unemployed' and then I get rejected - it's financial discrimination of the young of today at its very worst. Maybe I'm missing something, but can't you just say "retired"...? Anyone else put this for late 30s/early 40s? I thought it might raise more questions, especially when they saw my income!* *Which tbf has risen a tad since last applications by moving out of RS
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Post by GSV3MIaC on Mar 12, 2017 8:20:23 GMT
I put it in late 40s .. although sometimes I put MYOB, when appropriate. 8>.
BA Ceng? Surely by now that should be MA, a freebie from those places, if you can survive in the world for a few years.
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pom
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Post by pom on Mar 12, 2017 10:15:33 GMT
Maybe I'm missing something, but can't you just say "retired"...? Anyone else put this for late 30s/early 40s? I thought it might raise more questions, especially when they saw my income!* *Which tbf has risen a tad since last applications by moving out of RS Self employed investor/financial analyst etc maybe? Tho I suspect that opens another can of worms.
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pom
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Post by pom on Mar 12, 2017 10:50:00 GMT
Have had this stuck in my head for a few days now...so it seems only fair to share...with a few extra tweaks...but at least no-one's gonna dare say "don't give up the day job" With apologies both to those that I've left out and those that I've included !!!! Investors flying high you know how I feel (canary) Sun in the sky fasty wants to know how I feel Breeze driftin' on by elliotn knows how I feel. It's a new dawn It's a new day It's a new life For me And I'm feeling good Trapped in his whale jonah wants to know how I feel Tides running free JamesFrance knows how I feel (apple) Blossom on the tree mrclondon knows how I feel It's a new dawn It's a new day It's a new life For me And I'm feeling good Dragonfly out in the sun @bobo knows what I mean, don't you know Butterflies all havin' fun ramblin rose knows what I mean Sleep in peace when day is done that's what r00lish67 means And this old world is a new world And a bold world for me Stars when you shine moonraker knows how I feel Scent of the pines treeman knows how I feel Oh freedom is mine And I know how I feel It's a new dawn It's a new day It's a new life For me And I'm feeling good
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Post by Deleted on Mar 12, 2017 10:57:20 GMT
retired often gets you more expensive insurance Don't tell me things like that... CEng from a BA huh? Well aren't you a clever boy* (given there's only a couple of places that give BAs for Eng). BEng's are much better tho in my totally biased opinion (particularly as I refused point blank to apply to those places offering a BA) even if I did wimp and go for an easier option on my C *referring to "Count Bobo BA MBA CEng IMechE, FISMM (retired)" I thank you. My grasp probably exceeded my capacity
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Post by Deleted on Mar 12, 2017 11:00:20 GMT
I put it in late 40s .. although sometimes I put MYOB, when appropriate. 8>. BA Ceng? Surely by now that should be MA, a freebie from those places, if you can survive in the world for a few years. No, even I thought that was too much BS (as our american friends would say)
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Post by GSV3MIaC on Mar 12, 2017 11:13:51 GMT
I put it in late 40s .. although sometimes I put MYOB, when appropriate. 8>. BA Ceng? Surely by now that should be MA, a freebie from those places, if you can survive in the world for a few years. No, even I thought that was too much BS (as our american friends would say) Shame on you!! .. I had an American boss at the time who lapped it up. 8>. Free day off work and everything.
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pom
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Post by pom on Mar 12, 2017 12:42:22 GMT
No, even I thought that was too much BS (as our american friends would say) Shame on you!! .. I had an American boss at the time who lapped it up. 8>. Free day off work and everything. American's do amuse me. Considering all the fuss they made about freedom from the evil Brits and being leaders of the free world etc it's obvious that so many of them still have a right old inferiority complex towards us (which yes I have been known to exploit mercilessly) It's always so funny witnessing them go totally do-lally over an English accent, it almost always calms them down.
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pom
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Post by pom on Mar 12, 2017 14:13:53 GMT
.... And...whilst I'm positively profligate compared to our treehugging friend, it would appear that my post-tax p2p income will currently easily cover my living costs and also should allow a reasonably generous travel budget, without needing to raid the S&S earnings (except perhaps to cover the increased dividend tax, thank you Mr Hammond ). Then I panicked a bit about what happens when the sun stops shining on P2P and rates drop and/or defaults increase, and/or living costs increase - do I take more risks to increase gains while it's still sunny? And when my whole philosophy thus far has always been don't invest what you can't afford to lose, does being reliant on the income blow my whole strategy? And what about the next time the markets go nuts? .... Digressing again back to the OP. Have you run your numbers through some retirement planners like link or link (I prefer this one)? Taking my preferred "glass half broken" viewpoint having passive income cover your costs is a good starting point but if you're talking about a 60 year + retirement then it's simply not enough. You need to consider sequence of return risk, since you're vulnerable early on to a collapse in asset prices (especially P2P since it's credit debt and in a collapse the loss can be permanent, unlike equities). You also need to consider inflation (plus inflation volatility). Many people take the view that as long as their assets grow with inflation then that protects their cost of living. This is correct but you need your purchasing power to reflect the improvements in the standard of living. Being locked into a 2017 standard of living in 2067 may feel like relative poverty. In addition it helps to think about your personal consumption basket. We've had low CPI in recent years due to low goods price inflation. Service price inflation is running much higher (so medical services, care home costs, school/uni fees etc), as is luxury goods. The big global endowments, who think in perpetual terms, often use CPI+2-3% for this reason as their benchmark to reflect these impacts. Tax changes are also a major risk. Paying for the ageing demographics means the tax take has to rise (unless we get sensible and issue some more government debt). So you could see all debt income hit with NIC say (or basic rate income tax set to its real value at 32-33%). Dividend taxes may rise. Losing the 25% tax free amount on SIPPs seem inevitable, LTAs on ISAs are possible, wealth taxes like LVTs etc. Anyway that's my depressing permabear thought for today. Thanks...and no I hadn't. Have just had a play with the first one cos it looked simpler. I probably filled some of it in wrong...but even so, even tho I dialled the cash growth figures back to much less than I currently get, and didn't include any estimates for some of the potential sources of income I'm considering, I also had to push the spending figure a lot higher than actual in order to NOT get 100% success... Which I wasn't really surprised about, on a rational level I already knew that but fear of the unknown is rarely rational
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Post by slumberingaccountant on Mar 12, 2017 19:26:42 GMT
Only just seen this. First time in Chat. I took a very advantageous early retirement package when I was 53 and decided to be retired at least as long as I had been at work; 3 years to go. I was lucky in that, just before the offer was made, I had started a personal project in my spare time, so I was then able to devote full time to it. The result was an 1100 page book on W.G.Grace which was published in 1998 on the 150th anniversary of his birth. Having something engrossing to do over a long period meant that I was not properly in retirement mode for several years. I have never done a day of paid work since I retired. However, investment in 5 year fixed bonds (when that was worth doing) followed by P2P, plus living well within our means, has resulted in a huge increase in net worth. I always thought in the early years that it was important to have an obsession. If another one comes along later so much the better. The Other answers quoting spend of £18-25k a year for 2 people work for us too. In our 50s, we run a narrowboat/house/cars foreign holidays on this sort of figure. In the Uk its easy to pick up £180-200 once a year on Polling stations or election counting. Its quite interesting and a day away from p2p ! ( Just speak to the elections office at the local council.) For spending very little and a great time try your local U3a. I play golf for £12(18 holes), table tennis for a £1 for 2 hours and short mat bowls £2 for 2 hours. Younger fit members are welcome as we get the mats out which some of the older members struggle with.. There are also volunteering opportunities with wIldlife trusts, Inland waterways, and numerous other things. It doesnt cost much to keep fairly busy, but still get away when you want for holidays and travel.
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pom
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Post by pom on Mar 12, 2017 22:32:20 GMT
The Other answers quoting spend of £18-25k a year for 2 people work for us too. In our 50s, we run a narrowboat/house/cars foreign holidays on this sort of figure. In the Uk its easy to pick up £180-200 once a year on Polling stations or election counting. Its quite interesting and a day away from p2p ! ( Just speak to the elections office at the local council.) For spending very little and a great time try your local U3a. I play golf for £12(18 holes), table tennis for a £1 for 2 hours and short mat bowls £2 for 2 hours. Younger fit members are welcome as we get the mats out which some of the older members struggle with.. There are also volunteering opportunities with wIldlife trusts, Inland waterways, and numerous other things. It doesnt cost much to keep fairly busy, but still get away when you want for holidays and travel. Umm yeah... not really what I'm looking for in the near future, am thinking more along the lines of maybe trekking to base camp! Tho I expect once news gets out I'll be heading to speak at U3A as one of my dad's friends is on the committee of their local group and has already previously hinted (the logistics just don't currently fit too well with work + 200mile separation!). Ugh that's one conversation I'm not looking forward to having, my dad is sure to try talk me out of it, and I can't not tell him as I won't exactly be able to hide my work email address suddenly ceasing to exist
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pom
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Post by pom on Mar 19, 2017 20:56:07 GMT
Sooo... I'm wondering if anyone knows anyone (if it had applied directly I suspect it would have come up by now) who's either quit and then felt the need to go back (this applied to the blog r00lish67 mentioned I think, but to be honest I didn't find the guys style engaging enough to go read enough to work out why...) or alternatively took a sabbatical and then never went back.. ? Was chatting to a friend/colleague the other day who was all "don't go!!" and suggested I should initially just take a year off and see how I feel. My initial response was nah, once I go I'll go, and who do you know who's left who hasn't been glad to have done so? But thinking about it....and ignoring for a moment that there would be a very slim chance of there being a remotely suitable job for me to come back to...I wonder if he might have a point. Especially as I originally planned to take a sabbatical 2000/2001 but having recently become a homeowner re-focused the mind rather so it never happened. Keep the door open a crack perhaps? And then I think about all the ideas I have for stuff to do and I just think NAAAAHHHHH!!
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