I am retired and have a question...

[muwarrior69]

Are most of you students and just post between classes or just taking a study break? Are you guys at work when you post? If so, do you work from home? Or do you travel and post while your in the air or on the train going to and from work?  Perhaps some of you own your own business? I know today that your time and work time overlap and can be a grey area. Just curious how you guys balance work/school time and Scoop time. Ok, now tell me to mind my own business and stop being a prick for asking such a personal question. I can take it!

[brandx]

I don't work anymore.  At a corporate meeting for our company prez who was retiring, he stated he was doing so because there were other things he wanted to do in life.

That hit home with me -  so I quit shortly after.

[Coleman]

brandx, curious to hear more about your decision. How old are you? How did you know when your nest egg was big enough?

OP, I have a regular office job (I work in IT). We have a pretty liberal computer usage policy. It basically goes like this: if you get your work done, do what you like (with some exceptions obviously, certain things are off limits, such as many of Keefe's picture posts), but Scoop, Facebook, CNN, Yahoo Finance, etc. are all sites I will peruse 1-2 times a day with no fear of what my boss will say. He does the same thing. Just get your work done, and life is good.

Personal and work life overlap all the time. I can take personal calls at work, or run errands at lunch, knowing that I may very well get a work call at 9 pm if something goes wrong. I can work from home occasionally, but I might also have to stay late a couple nights a week. I will browse the internet at the office, but also do some work from home on the occasionally weekend. It evens out. The key is flexibility. If you are flexible, your boss will be flexible back with you (at least in my case).

[brandx]

brandx, curious to hear more about your decision. How old are you? How did you know when your nest egg was big enough?

OP, I have a regular office job (I work in IT). We have a pretty liberal computer usage policy. It basically goes like this: if you get your work done, do what you like (with some exceptions obviously, certain things are off limits, such as many of Keefe's picture posts), but Scoop, Facebook, CNN, Yahoo Finance, etc. are all sites I will peruse 1-2 times a day with no fear of what my boss will say. He does the same thing. Just get your work done, and life is good.

Personal and work life overlap all the time. I can take personal calls at work, or run errands at lunch, knowing that I may very well get a work call at 9 pm if something goes wrong. I can work from home occasionally, but I might also have to stay late a couple nights a week. I will browse the internet at the office, but also do some work from home on the occasionally weekend. It evens out. The key is flexibility. If you are flexible, your boss will be flexible back with you (at least in my case).

I worked IT as well. And it sounds like we worked in a similar environment.

My dad was terrible with money, but he taught me one thing from the time I got an allowance as a kid. He always told me to put away 25% of the money I got and it is something I always continued to do. So by early 50's, the nest egg was there. And my wife always made good money (and still works part-time), so even putting a couple kids through college left us in pretty good shape.

I realize most people don't put away that kind of money, but just check with your financial advisor and he'll run the numbers for you. You're probably in better shape than you think.

[Galway Eagle]

I used to be on here in class when I was a student, I'm so adhd the actual class time was always in one ear out the other anyways.  

My last job I'd be checking here on my phone while traveling to work or at lunch. Now I'm in sales and basically make my own schedule so I check for a minute here or there and exit out.

I worked IT as well. And it sounds like we worked in a similar environment.

My dad was terrible with money, but he taught me one thing from the time I got an allowance as a kid. He always told me to put away 25% of the money I got and it is something I always continued to do. So by early 50's, the nest egg was there. And my wife always made good money (and still works part-time), so even putting a couple kids through college left us in pretty good shape.

I realize most people don't put away that kind of money, but just check with your financial advisor and he'll run the numbers for you. You're probably in better shape than you think.

Did you start saving right out of college? Or pay off loans first? Orr...

[Benny B]

Like Bleuteaux, my job is task driven independent of what day/time it is.  That said, the nature of my job saddles me with hours of downtime on some days (especially when travelling), while other days I barely have time to hit the head.  But I find that most of my Scooping from work is merely the result of my needing some sort of release between jobs/calls/meetings etc. just to clear my head & refresh before the next item on the calendar - and Scoop has proven to be the perfect receptacle in that regard.

[Spotcheck Billy]

I post from work and my boss can suck it if he ever finds out! He has threatened us for 15 years with "software" that will track our browsing but is too cheap to buy it apparently.

[4everwarriors]

I can do my work blind folded. So postin' ain't no big thang.

[Coleman]

Did you start saving right out of college? Or pay off loans first? Orr...

Do both.

I respect Dave Ramsey and agree with a lot of his stuff, but the idea that you should put off saving for retirement until you are debt free seems insane to me. My student loans have a 5% interest rate and I would have left a ton of money on the table (work 401k match and an average of about 10% annual returns in the stock market since I have started working) if I followed his advice.

Pay your debts and save at the same time.

[Coleman]

I worked IT as well. And it sounds like we worked in a similar environment.

My dad was terrible with money, but he taught me one thing from the time I got an allowance as a kid. He always told me to put away 25% of the money I got and it is something I always continued to do. So by early 50's, the nest egg was there. And my wife always made good money (and still works part-time), so even putting a couple kids through college left us in pretty good shape.

I realize most people don't put away that kind of money, but just check with your financial advisor and he'll run the numbers for you. You're probably in better shape than you think.

Good for you. 25% is very admirable. I'm only 29, so nowhere close to retirement, but I love hearing success stories.

[muwarrior69]

Do both.

I respect Dave Ramsey and agree with a lot of his stuff, but the idea that you should put off saving for retirement until you are debt free seems insane to me. My student loans have a 5% interest rate and I would have left a ton of money on the table (work 401k match and an average of about 10% annual returns in the stock market since I have started working) if I followed his advice.

Pay your debts and save at the same time.

Good Advice. My wife and I have no debt. At present we live off our pensions and social security and have more than enough money to pay our bills and living expenses. Next year we will start taking distributions on our 401ks and do not have to worry that we will out live our money. It's just so sad that we reward borrowing and punish saving in this country.

[Badgerhater]

Do both.

I respect Dave Ramsey and agree with a lot of his stuff, but the idea that you should put off saving for retirement until you are debt free seems insane to me. My student loans have a 5% interest rate and I would have left a ton of money on the table (work 401k match and an average of about 10% annual returns in the stock market since I have started working) if I followed his advice.

Pay your debts and save at the same time.

You pick the percentages but you should do both.  The money saved earliest is the money that works the hardest.  That $5K you save at 28 is worth more because of all the years it works for you than that $25K you save when you are 60 and will be spending at age 65.

Also, always pay additional principal each month on your debts, even if $50/month.

And finally, work your tail off the first 3 years out of college -- no cars, trips or other luxuries.   You will be amazed how much debt you can pay and how much you can sock away.

[brandx]

Good Advice. My wife and I have no debt. At present we live off our pensions and social security and have more than enough money to pay our bills and living expenses. Next year we will start taking distributions on our 401ks and do not have to worry that we will out live our money. It's just so sad that we reward borrowing and punish saving in this country.

THAT is the key. Everything is cash for me (Debit card & PayPal same as cash).

The only reason I even have a credit card is for travel - never a good practice to use a Debit Card on the road.

[NWarsh]

I agree with almost everything you said brandx.  The only thing I will point out is you should never use your debit card as a debit card with a PIN entry.  I am part of a PCI Compliance team and it is 100% recommended by experts in the card security industry that you use credit cards when not paying in cash and just pay off the balances of those credit cards every month.  Given the sophistication and creativity of hackers it is becoming easier for them to get account information.  Since your debit card provides direct access to your bank account it is essentially giving hackers an open door to your account when they get your data.

[GGGG]

I agree with almost everything you said brandx.  The only thing I will point out is you should never use your debit card as a debit card with a PIN entry.  I am part of a PCI Compliance team and it is 100% recommended by experts in the card security industry that you use credit cards when not paying in cash and just pay off the balances of those credit cards every month.  Given the sophistication and creativity of hackers it is becoming easier for them to get account information.  Since your debit card provides direct access to your bank account it is essentially giving hackers an open door to your account when they get your data.

I put about 90% of monthly charges on my credit card - which I pay in full every month. 

[warriorchick]

You pick the percentages but you should do both.  The money saved earliest is the money that works the hardest.  That $5K you save at 28 is worth more because of all the years it works for you than that $25K you save when you are 60 and will be spending at age 65.

Also, always pay additional principal each month on your debts, even if $50/month.

And finally, work your tail off the first 3 years out of college -- no cars, trips or other luxuries.   You will be amazed how much debt you can pay and how much you can sock away.

Two of the biggest money wasters:  Cars and vacations.

jsglow and I buy modest, reliable vehicles a couple of years old and drive them until they die.  Right now I am driving a 10-year-old Mazda 3 with 125,000 miles on it.  We did splurge about nine years back and bought a 2-year-old Miata that had 11,000 miles on it as a "summer car".  We found the original price sticker in the glove box and discovered we paid exactly $11,000 less.  In other words, the depreciation on the car was $1/mile for the first owner.  We have since put on over 100,000 miles more on it (less that 15 cents/mile).  Never had to do anything much more than regular maintenance to either car.

Regarding vacations, you don't have to go to Jamaica or visit The Mouse every year.  We did have the occasional big trip, but we also have done a lot of camping.  I have acquaintances who went on lots of elaborate, expensive vacations who are now complaining that they can't afford to send their kids to the college of their choice.  But yeah, they have some great snapshots.

[RushmoreAcademy]

I'm 34. I usually just post from my phone during a break on occasion or before or after work.

[JWags85]

Regarding vacations, you don't have to go to Jamaica or visit The Mouse every year.  We did have the occasional big trip, but we also have done a lot of camping.  I have acquaintances who went on lots of elaborate, expensive vacations who are now complaining that they can't afford to send their kids to the college of their choice.  But yeah, they have some great snapshots.

This is very much personal preference.  Some of those trips are incredible memories.  I went to London when I was in my mid-20s and could barely afford it, but I wouldn't trade it for another $1500 in savings or an iPad.  Life is short, I don't want to get to a point where I wish I could have seen things but didn't cause I was socking away money.  Especially when young with earning potential ahead.

I'm not pointing out anyone on here, but the WSJ just had some glowing article about a 92 year old "great stock picker" who was a janitor but died with $8MM in his portfolio.  He wore ragged old clothes and drove a rusty beater.  The article praised his frugality.  Sounds absolutely stingy and miserable.  I'm totally in agreement with the over-reliance on debt and general financial irresponsibility in the US right now, but I'm never gonna side eye living for the moment.

On topic, I'm 29, work for a large company, but my days are ebb and flow and I work better when I take 10-15 min breaks here and there.  Its all good as long as work gets done.

[brandx]

I agree with almost everything you said brandx.  The only thing I will point out is you should never use your debit card as a debit card with a PIN entry.  I am part of a PCI Compliance team and it is 100% recommended by experts in the card security industry that you use credit cards when not paying in cash and just pay off the balances of those credit cards every month.  Given the sophistication and creativity of hackers it is becoming easier for them to get account information.  Since your debit card provides direct access to your bank account it is essentially giving hackers an open door to your account when they get your data.

I know you're right as I also did some work with the PCI Compliance team in my job. When I set up a dept. to monitor and record their rep's phone calls, PCI Compliance came into play because of Credit Card information being recorded.

I've gotten better and use it less than I use to - but I'm just a lazy guy. The good thing is that I just transfer a small amount of money whenever it gets low so there is never more than a couple thousand in it.

[warriorchick]

This is very much personal preference.  Some of those trips are incredible memories.  I went to London when I was in my mid-20s and could barely afford it, but I wouldn't trade it for another $1500 in savings or an iPad.  Life is short, I don't want to get to a point where I wish I could have seen things but didn't cause I was socking away money.  Especially when young with earning potential ahead.

Agreed, but if you do it once or twice every year, and start having a wife and kids in tow, and you are doing it with money that would have otherwise gone into your 401(k), you increase the risk of being one of those guys who are still working when you are 70 because you can't afford to retire.

[brandx]

Two of the biggest money wasters:  Cars and vacations.

jsglow and I buy modest, reliable vehicles a couple of years old and drive them until they die.  Right now I am driving a 10-year-old Mazda 3 with 125,000 miles on it.  We did splurge about nine years back and bought a 2-year-old Miata that had 11,000 miles on it as a "summer car".  We found the original price sticker in the glove box and discovered we paid exactly $11,000 less.  In other words, the depreciation on the car was $1/mile for the first owner.  We have since put on over 100,000 miles more on it (less that 15 cents/mile).  Never had to do anything much more than regular maintenance to either car.

Regarding vacations, you don't have to go to Jamaica or visit The Mouse every year.  We did have the occasional big trip, but we also have done a lot of camping.  I have acquaintances who went on lots of elaborate, expensive vacations who are now complaining that they can't afford to send their kids to the college of their choice.  But yeah, they have some great snapshots.

I've always kept one new car (relatively speaking) for my wife and an older car for myself. A waste of money to have 2 brand new cars all the time.

And we always traveled a lot, but even on three week go across the country trips, we camped most nights. With kids, why would anyone even want to be tied to an expensive hotel room? Get 'em outside. They love it.

[Pakuni]

This is very much personal preference.  Some of those trips are incredible memories.  I went to London when I was in my mid-20s and could barely afford it, but I wouldn't trade it for another $1500 in savings or an iPad.  Life is short, I don't want to get to a point where I wish I could have seen things but didn't cause I was socking away money.  Especially when young with earning potential ahead.

Yes, this.
Loads of research out there shows that spending money on experiences - vacations, concerts, sporting events, etc. - makes us happier than spending money on material goods. It also builds closer bonds among those who share the experiences together.

http://www.theatlantic.com/business/archive/2014/10/buy-experiences/381132/

http://www.forbes.com/sites/hbsworkingknowledge/2013/08/05/want-to-buy-happiness-purchase-an-experience/

http://www.cnn.com/2009/HEALTH/02/10/happiness.possessions/

To the original question, my job alternates between periods of being extremely busy and periods of waiting for the next thing crisis to appear so I can be extremely busy again. So, a lot of hurry up and wait. I spend a lot, probably too much, of the wait time here.

[Badgerhater]

Yes, this.
Loads of research out there shows that spending money on experiences - vacations, concerts, sporting events, etc. - makes us happier than spending money on material goods. It also builds closer bonds among those who share the experiences together.

http://www.theatlantic.com/business/archive/2014/10/buy-experiences/381132/

http://www.forbes.com/sites/hbsworkingknowledge/2013/08/05/want-to-buy-happiness-purchase-an-experience/

http://www.cnn.com/2009/HEALTH/02/10/happiness.possessions/

To the original question, my job alternates between periods of being extremely busy and periods of waiting for the next thing crisis to appear so I can be extremely busy again. So, a lot of hurry up and wait. I spend a lot, probably too much, of the wait time here.

It's not an either or proposition.   There are a multitude of ways to keep travel expenses low and have a wonderful time.

To my original point -- no vacations for three years after college and save like crazy.  Starting life after college is expensive and full of change.  You need to put together an emergency fund and get a handle on the responsibilities and expenses of your new adult life.

Once you have a handle on those things and see how your money is working for you, then integrate some fun trips into the mix.

Oh, and the original point of the tread.   My job is essentially like writing term papers all day so its about 45 minutes of writing and 15 minutes of refreshing the brain.

[MU82]

I am in my mid-50s and semi-retired after a 30-year career. I write a little (freelance), coach and officiate youth sports. I do what I want to do and what makes me happy.

My wife is a year younger and works full-time. She was a stay-at-home mom until our kids were well into their teen years. Now the least she can do is be my Sugar Mama - ha!

I never made $100K in a year. My wife isn't close to that. We put one of our kids through Lawrence, an expensive liberal-arts college in Appleton. The other only went to college for one year; his choice. We usually have 2 new-ish cars but don't buy expensive wheels. We like traveling when we have time but we don't get to do it very often, and take only 3-5 day trips when we do. We love Hawaii and try to go every other year or so, but can't always manage it. When we do spend money on things, we try to buy quality but we don't spend frivolously on "stuff." It's just not important to us to have the latest and greatest. We have very little jewelry and don't buy tons of designer clothes/shoes/etc. We eat out with friends fairly often but we rarely go to high-end establishments.

We have zero debt, not even a mortgage.

How did we do it?

We have socked away the maximum in our 401(k)s since the mid-80s and in our Roth IRAs since those became law in 1998, and we mostly have been buy-and-hold investors.

During most of our kids' childhoods, we were very careful with what we spent without being ridiculously cheap. For example, while other parents were lavishing $1000 birthday "theme" parties on their pre-teen kids, we would have gatherings at our house, and our kids seemed to enjoy themselves just fine.

We have used credit cards for almost every purchase since we got married 30+ years ago but never once have we failed to pay off our balance at the end of the month. Never once. It's been a great way to accumulate airline miles and hotel points.

We did get lucky with our Chicago house, which we bought in 1994 and sold in 2004 for a nice profit, so that definitely helped our bottom line. We used proceeds from that sale to pay cash for our current home in N.C.

As you see, though, we're pretty much just regular folks. We're not cheap but we shop carefully and we think before we buy anything that costs more than $20. We hate debt. We save and invest whatever we can. We'll never be "rich," but we should have financial independence forever.

Here's to life!

[ChicosBailBonds]

Mid 40's, solo worker...wife takes care of the kids.  Looking to retire in the next few years.  Will definitely be moving out of California, but might keep the house to rent out...we'll see.

Max out on 401K, drive a used pickup truck 2006 with about 80K miles on it.  We don't buy super nice cars, our home is nice, but not insane.  I cut my own grass, carpool into work, have solar panels, give my son his buzz cuts.  Can't wait to get out of the giant money suck that is California.