Net worth goal to retire

[hillpalash]

What is your net worth goal to retire on and in which country?
e.g 2m€ invested with 4% return p.a. = 80k p.a. would be largely sufficient in a rural town in Spain.

EDIT: 80k p.a. today not in X yrs

 

[j3r3m3]

@hillpalash I’m Spanish. 100k a year in rural Spain is huge money

 

[jasonwrites]

@j3r3m3 Yes, but you have to consider that OP will be bored as hell as a retiree in rural Spain, and will start spending 10€k per month travelling.

 

[ultimateitalian]

@j3r3m3 Yes, 100k is far excessive for any rural area in Spain and it's also quite a lot even in the big cities.

 

[urban_legend]

@ultimateitalian in italian big cities MAYBE you can buy a small studio apartment

 

[glitcher]

@urban_legend You wouldn’t be buying a small studio apartment every year, though. We’re talking annual return on investment here.

 

[urban_legend]

@glitcher speaking of investments, you will certainly not have 100,000 euros to invest ready liquids. Currently, ECB interest rates are high, housing costs are low. If you have sufficient liquidity to buy a house, you could speculate, if you have luck and timing, but this is not investing. To beat inflation, the stock and bond market makes sense, even if Italian bonds they do not yield more than 3% (approximately) net, considering that for Italians there are tax breaks if you buy them (already considered in the percentage)

 

[cabinmom2012]

@urban_legend That’s not how you FIRE my friend

 

[urban_legend]

@cabinmom2012 if you buy a house and live in it, you can compare the cost of the house with the cost of rent by applying an increase in the rent over the years. Is it convenient for you? maybe.

 

[cabinmom2012]

@urban_legend In my view, renting decreases risk as you’d pay the (exact) same (potentially some indexation) cost every month. Easier to budget & control cost

 

[urban_legend]

@cabinmom2012 and when will the contract be renewed?

 

[cabinmom2012]

@urban_legend fair point. Negotiate a LT (9 years) renting contract with decent break fees

 

[urban_legend]

@cabinmom2012 there are contracts in Italy that sometimes benefit the owner, with an increase in the rent every x years

 

[brainstormer]

@j3r3m3 for real, even in Madrid and Barcelona you can support a family very comfortably at 100k/year.

 

[sadmemories20]

@j3r3m3 I think it's good in most Europe

 

[martyw]

@j3r3m3 It’s enough to live in the major cities too

 

[margent7]

@j3r3m3 Also, it's huge NOW. Probably not in 30-40 years.

 

[ayopaul]

@margent7 The 4% rule takes inflation into account

 

[margent7]

@ayopaul Nice. Nevermind then

 

[sonofmatthew]

@j3r3m3 With 100k after tax in Spain you would be close to the top 1% of earners in the whole country.. so yea… that’s a lot