Older Guys (40+)

TheBoom

Sparrow
Gold Member
Dantes said:
If I stay in my present career position, I will be able to retire at 55 with a full pension of about 65-70k annual income. I would also have about 500-700k in home equity and 401k. This should put me a comfortable position for spending most of the year in South America with a few months of the year with my family in the US.

Retiring with more is always better than retiring with less. But in most of the places I've been to that are great for getting laid when you are older, I would feel like I was needlessly blowing money if I spending more than around 2K a month or maybe in a few places 2.5K. 2K puts you at the level of most of their highly paid professional elite. When places get more expensive, the attitudes get worse and then you really have to up the money you have to way more than 70K per year.
 

Caractacus Potts

Woodpecker
Gold Member
I have a question for our older members who are divorced: how long did it take you to recover financially?

A quick background: I am 45 years old and divorced with two girls. The ex got custody and gets child support. I have seven more years of paying child support. It is not hyperbole for me to say the divorce and it's aftermath have cost me in excess of $1 million.

I have been told/read that it takes 5 to 10 years to recover. Has that been true in your cases? What steps do you wish you had taken after the divorce was finalized to help speed along your financial recovery? I was thinking that a financial planner who's niche is divorced dads would be a great business idea.

I have three more payments to make to my former attorneys and then I am free of those leeches. It will be like getting a nice raise every month. I have no debt aside from the mortgage on my condo. I have been aggressively paying that off and will apply the additional funds that had been going to the attorneys to principal after the first of the year. I figure I should have my condo paid off by early 2018.

I lost nearly $300K from my 457b plan. I have less than $50K now between that account and my IRA's. I have not been funding either but have rather been applying that money towards my condo. Some people have told me that it is a mistake because I will be giving up my mortgage interest deduction. I don't care. I just want to be free of it.

Once I am done paying off my condo and the attorneys are paid off then what? Do I fund the accounts again or save the money for the downstroke on another condo in my building? I am very close to a university and never had a problem renting my place out.

As I have gotten older I have realized that working hard, saving your money and investing it is not the complete picture. Our largest expense our entire lives is taxes. What are the most intelligent moves I can make now financially to benefit me as I grow older?

Ideally I would like to retire in 10 years or less with 5 condos fully paid for. That should bring in $10K/mos. My pension- if it still exists- should bring in another $65-$70K.

Thoughts?
 

Rudeman

Pigeon
Caractacus Potts said:
Ideally I would like to retire in 10 years or less with 5 condos fully paid for. That should bring in $10K/mos. My pension- if it still exists- should bring in another $65-$70K.

Thoughts?

I'm a big fan of real estate investing for financial freedom. In my experience, condos don't provide the best ROI for investing in real estate. Of course, your market may be completely different than mine.

I would suggest looking at other real estate investments such as single family homes in your area Do some provide better ROI's? In other words, invest in the best ROI real estate investments, not just the one you are familiar with (your condo building). Also, is your area the best to be investing in? If you are putting a ton of money into real estate investing, why not pick the city or town with the best ROI prospects.

You also want to look at leverage. If you can retire in 10 years with 5 condos paid off, why not retire in 10 years (or less) with 10 condos 50% paid off? Which one is going to give you more cash flow and appreciation? It's definitely nice to not be leveraged up with debt in retirement. But if you've bought right, 50% L-T-V plus your pension income should be very comfortable for you.

If you are looking to put a major part of your net worth into investment real estate, do some research now on how to maximize that. For example, you are obviously looking to invest to maximize monthly cash flow in retirement - but appreciation actually makes up a greater part of your ROI than cash flow. So you don't won't to be myopic and just focus on cash flow. There are ways you can change the appreciation for cash flow, and it has better tax consequences too.

Out of curiosity, how much does a condo that rents for $2k/mo cost in your area?
 

kazz

Kingfisher
Ah, sometimes this forum makes me feel old. What are you guys going to do when you retire? Is it just me or doesn't retirement conjure up images of retirement homes and moving to Florida, or northern New South Wales in my case and playing golf.

I plan to be an active part of the world and work and make money till the day I die, talk of retirement to me sounds like you are no longer moving forward. What will be your purpose in life when you retire?

I cant think of a faster turn off for younger women when they ask you what you do and you tell them your retired.

If you guys are talking about actively managing investments, property and business and taking it a bit more easy then Im all with you on that.
 

Caractacus Potts

Woodpecker
Gold Member
Rudeman said:
Caractacus Potts said:
Ideally I would like to retire in 10 years or less with 5 condos fully paid for. That should bring in $10K/mos. My pension- if it still exists- should bring in another $65-$70K.

Thoughts?

I'm a big fan of real estate investing for financial freedom. In my experience, condos don't provide the best ROI for investing in real estate. Of course, your market may be completely different than mine.

I would suggest looking at other real estate investments such as single family homes in your area Do some provide better ROI's? In other words, invest in the best ROI real estate investments, not just the one you are familiar with (your condo building). Also, is your area the best to be investing in? If you are putting a ton of money into real estate investing, why not pick the city or town with the best ROI prospects.

You also want to look at leverage. If you can retire in 10 years with 5 condos paid off, why not retire in 10 years (or less) with 10 condos 50% paid off? Which one is going to give you more cash flow and appreciation? It's definitely nice to not be leveraged up with debt in retirement. But if you've bought right, 50% L-T-V plus your pension income should be very comfortable for you.

If you are looking to put a major part of your net worth into investment real estate, do some research now on how to maximize that. For example, you are obviously looking to invest to maximize monthly cash flow in retirement - but appreciation actually makes up a greater part of your ROI than cash flow. So you don't won't to be myopic and just focus on cash flow. There are ways you can change the appreciation for cash flow, and it has better tax consequences too.

Out of curiosity, how much does a condo that rents for $2k/mo cost in your area?

I have thought about single family homes. I will get to them in a second. First, let's cover my reason for choosing condos.

My building is two blocks from the picturesque front gate of an Ivy League school. It is two blocks from the train station. It is three blocks from restaurants, bars and shopping. I rented it out for 10 years and always had multiple people want it.

There are 26 units in my building. The most recent one sold last year for around $200K. The building was built in 1958 so it doesn't have the vintage charm of other buildings in the area built at the turn of the century.

Neither is it brand new so it can't offer high end finishes. Other condos in the area are more than twice what mine cost and most homeowners associations do not allow for rentals.

So why buy here?

There are a number of reasons.

1. Location
2. I am on the condo board.
3. Investors cannot buy to rent out. If you buy one you have to live in it for two years before you can rent it.
4. The other condo members have the right of first refusal to purchase a unit if someone wants to sell.

In the years that my divorce was dragging out three units were sold. One belonged to the mother in law of an electrician friend. He asked me if I wanted to buy it since she was going into a nursing home.

They wanted to sell quick. He said I could have it for $170,000. :s Unfortunately I could not take advantage of it.

I am very familiar with student housing. I owned multiple properties for years; two flat, three flat, SFH and condos. The condos were the least amount of headaches. At one point I had 21 tenants spread across the properties. On paper I made money when I sold the buildings but when you factor in my time spent cleaning, repairing, etc I was working for peanuts.

The university close by is an Ivy League school that charges $52,000 tuition per year. Not counting books, housing, etc. Many of the kids that attend are from wealthy families and money is not the major concern. I remember pulling up to do work on my three flat and parked out front was a Hummer, Lexus SUV, Porsche Carrera, etc. These are college students!

I figure if the economy hits the skids again there will be even more parents who want their kids to go here.

There is a brand new apartment complex a mile away from me. We call it the two towers. Doorman in the front. Workout facility including an indoor basketball court! Rooftop (16th floor) party deck, etc, etc. A three bedroom is renting for $3800/mos.

I have the location and convenience factor on my side.

Single Family Homes

I recently started giving more thoughts to buying one because my older daughter has asked how much longer we are going to live in the condo. Her mother is renting a sfh in the best school district in the state. The house is literally across the street from the best high school in the state. She is paying $4400/mos rent!

Down the street from my ex a house sold in June for just shy of $1,000,000. The house wasn't anything special. There are a fair number of $800,000 - $1,000,000 homes in the area. They all need work. People are paying that for the school district.

The second best school district in the state is 15-20 minute ride from where I am at now. I saw a house online for sale in the district for $300,000. It had recently been reduced. I could tell by the pictures that the house needed everything; including roof.

I know several realtors buy in those areas for themelves. They in turn rent them out to people who want their kids in those school districts.

I need more money to play in that arena. I can see how it may be easier since I most likely won't have the tenant turnover. Plus they probably won't be as hard on the property as college kids. I am going to explore the idea some more.

I have read some of the investing threads. What I really want to focus on here is what are the most tax advantageous things I can do right now to set myself up for retirement?

Mods, should we make this a separate thread?

Maybe I will buy condos in Medellin and in the Phillipines and rent them to RVFers!:idea:
 
Was thinking of a little jaunt back to my old stomping grounds, Eastern Europe and Spain, where I lived for 10 years. Now I have more "semi-retired" money, but I'm older.

Nevertheless , I have more gusto for the cold approach, with all the techniques I have learned online. When I was living there it was easy bar game and social circle.

In the meantime, Stateside, was thinking of putting up an ad for a sugar daddy-type arrangement. As I never had kids, my financial resources could be put to use for my extended bachelorhood. Not looking exactly for a traditional gold digger, as I could not afford that; but I could devote some money to a "mutually beneficial" relationship.
 

MY DETROIT PLAYAS

Ostrich
Gold Member
Some potent info within these pages. Been checking out the ani-aging thread too, and I have to say a lot of guys have the right attitude. Being in my mid-40's, I'm working on strategies to keep myself feeling younger. My true passions have always been music and athletics, so I have rededicated myself them. I am trying to up my mentoring game as well. It's true that keeping your mind engaged goes a long way in maintaining your sharpness. One of my tricks is continue to seek out people/places who will challenge some of my long held beliefs in hopes that I will not only learn but perhaps even change my perspective. This year alone I've grown in some aspects as a man, and as a human being. Not suprisingly, some of the posts I read in various threads as part of this community have affected the way I do some things.

Even though I may not openly comment or reply, I'm reading, absorbing and applying them daily.
 

Caractacus Potts

Woodpecker
Gold Member
MY DETROIT PLAYAS said:
Some potent info within these pages. Been checking out the ani-aging thread too, and I have to say a lot of guys have the right attitude. Being in my mid-40's, I'm working on strategies to keep myself feeling younger. My true passions have always been music and athletics, so I have rededicated myself them. I am trying to up my mentoring game as well. It's true that keeping your mind engaged goes a long way in maintaining your sharpness. One of my tricks is continue to seek out people/places who will challenge some of my long held beliefs in hopes that I will not only learn but perhaps even change my perspective. This year alone I've grown in some aspects as a man, and as a human being. Not suprisingly, some of the posts I read in various threads as part of this community have affected the way I do some things.

Even though I may not openly comment or reply, I'm reading, absorbing and applying them daily.

The same goes for me. I began teaching at the Community College nearby and really enjoy it. This is only the second semester I am teaching but the department head has already asked me how many classes I want to teach next semester!

It has been an eye opening experience teaching. I never realized how much wisdom/experience I have gained over the years. When I talk to some of the students about some relatively innocuous things they look at me and I realize it is the first time they are ever hearing such things.

For instance, my 20 year old plate (different school) was having problems with getting her classes. I told her to print up the email that was favorable to her and ignore the one that declined her requests. I told her to go in and act like she never got the second.

I told her when you are in the office they will pull it up and see that you were declined and instructed to contact so and so to set up a time for an appointment. If she did that all of the classes that she needed would have been filled.

I told her to say "since I am here now what can we do?" It worked. The course counselor met with her then rather than her having to wait a week. She was so excited after she thought she would have to spend another semester there to get those classes.

If she were not having sex with me she would not known to do this and it would have cost her at least another semester and thousands of dollars. I am sending good karma out to the universe! :angel:
 

Quintus Curtius

Crow
Gold Member
Caractacus Potts said:

The same goes for me. I began teaching at the Community College nearby and really enjoy it. This is only the second semester I am teaching but the department head has already asked me how many classes I want to teach next semester!

It has been an eye opening experience teaching. I never realized how much wisdom/experience I have gained over the years. When I talk to some of the students about some relatively innocuous things they look at me and I realize it is the first time they are ever hearing such things.

That's it right there. A great thing to hear, and something we forget so often. When you're on a train moving forward, you don't feel the forward movement. And then when you're around other people you just realize, "Wow...you've come a long way."

As I see it, it's still really important to be going abroad as often as you can as you get older. Aging in the US can be cruel for single guys, no matter how good you look. Always have to have that escape plan in place, so that when the time comes you can "pull up chalks" and dust off.

.
 

Engineer

Kingfisher
Gold Member
Caractacus Potts said:
I have a question for our older members who are divorced: how long did it take you to recover financially?

A quick background: I am 45 years old and divorced with two girls. The ex got custody and gets child support. I have seven more years of paying child support. It is not hyperbole for me to say the divorce and it's aftermath have cost me in excess of $1 million.
snip
Ideally I would like to retire in 10 years or less with 5 condos fully paid for. That should bring in $10K/mos. My pension- if it still exists- should bring in another $65-$70K.

Thoughts?

Some questions then I have some ideas. Where does your income come from now? Are you locked into your location because of the child visitation schedule?

My answer to your original question is that I got divorced relatively cleanly and it did not take any time at all to recover financially. I did make some small mistakes, mostly traveling and spending on silly things I didn't need. Fortunately I refused to pay alimony and she did not press for it. We had a mediator so no lawyer expense. The relative goodwill we tried to maintain for the sake of coparenting the kids paid off in some ways financially.

I like your idea of rentals in good locations to University kids. A good friend is a millionaire on paper with 6 single family homes subdivided into rentals. He has an ironclad lease agreement for them that favors the landlord heavily.
 

Dantes

Pelican
Gold Member
Caractacus Potts said:
Rudeman said:
Caractacus Potts said:
Ideally I would like to retire in 10 years or less with 5 condos fully paid for. That should bring in $10K/mos. My pension- if it still exists- should bring in another $65-$70K.

Thoughts?

I'm a big fan of real estate investing for financial freedom. In my experience, condos don't provide the best ROI for investing in real estate. Of course, your market may be completely different than mine.

I would suggest looking at other real estate investments such as single family homes in your area Do some provide better ROI's? In other words, invest in the best ROI real estate investments, not just the one you are familiar with (your condo building). Also, is your area the best to be investing in? If you are putting a ton of money into real estate investing, why not pick the city or town with the best ROI prospects.

You also want to look at leverage. If you can retire in 10 years with 5 condos paid off, why not retire in 10 years (or less) with 10 condos 50% paid off? Which one is going to give you more cash flow and appreciation? It's definitely nice to not be leveraged up with debt in retirement. But if you've bought right, 50% L-T-V plus your pension income should be very comfortable for you.

If you are looking to put a major part of your net worth into investment real estate, do some research now on how to maximize that. For example, you are obviously looking to invest to maximize monthly cash flow in retirement - but appreciation actually makes up a greater part of your ROI than cash flow. So you don't won't to be myopic and just focus on cash flow. There are ways you can change the appreciation for cash flow, and it has better tax consequences too.

Out of curiosity, how much does a condo that rents for $2k/mo cost in your area?

I have thought about single family homes. I will get to them in a second. First, let's cover my reason for choosing condos.

My building is two blocks from the picturesque front gate of an Ivy League school. It is two blocks from the train station. It is three blocks from restaurants, bars and shopping. I rented it out for 10 years and always had multiple people want it.

There are 26 units in my building. The most recent one sold last year for around $200K. The building was built in 1958 so it doesn't have the vintage charm of other buildings in the area built at the turn of the century.

Neither is it brand new so it can't offer high end finishes. Other condos in the area are more than twice what mine cost and most homeowners associations do not allow for rentals.

So why buy here?

There are a number of reasons.

1. Location
2. I am on the condo board.
3. Investors cannot buy to rent out. If you buy one you have to live in it for two years before you can rent it.
4. The other condo members have the right of first refusal to purchase a unit if someone wants to sell.

In the years that my divorce was dragging out three units were sold. One belonged to the mother in law of an electrician friend. He asked me if I wanted to buy it since she was going into a nursing home.

They wanted to sell quick. He said I could have it for $170,000. :s Unfortunately I could not take advantage of it.

I am very familiar with student housing. I owned multiple properties for years; two flat, three flat, SFH and condos. The condos were the least amount of headaches. At one point I had 21 tenants spread across the properties. On paper I made money when I sold the buildings but when you factor in my time spent cleaning, repairing, etc I was working for peanuts.

The university close by is an Ivy League school that charges $52,000 tuition per year. Not counting books, housing, etc. Many of the kids that attend are from wealthy families and money is not the major concern. I remember pulling up to do work on my three flat and parked out front was a Hummer, Lexus SUV, Porsche Carrera, etc. These are college students!

I figure if the economy hits the skids again there will be even more parents who want their kids to go here.

There is a brand new apartment complex a mile away from me. We call it the two towers. Doorman in the front. Workout facility including an indoor basketball court! Rooftop (16th floor) party deck, etc, etc. A three bedroom is renting for $3800/mos.

I have the location and convenience factor on my side.

Single Family Homes

I recently started giving more thoughts to buying one because my older daughter has asked how much longer we are going to live in the condo. Her mother is renting a sfh in the best school district in the state. The house is literally across the street from the best high school in the state. She is paying $4400/mos rent!

Down the street from my ex a house sold in June for just shy of $1,000,000. The house wasn't anything special. There are a fair number of $800,000 - $1,000,000 homes in the area. They all need work. People are paying that for the school district.

The second best school district in the state is 15-20 minute ride from where I am at now. I saw a house online for sale in the district for $300,000. It had recently been reduced. I could tell by the pictures that the house needed everything; including roof.

I know several realtors buy in those areas for themelves. They in turn rent them out to people who want their kids in those school districts.

I need more money to play in that arena. I can see how it may be easier since I most likely won't have the tenant turnover. Plus they probably won't be as hard on the property as college kids. I am going to explore the idea some more.

I have read some of the investing threads. What I really want to focus on here is what are the most tax advantageous things I can do right now to set myself up for retirement?

Mods, should we make this a separate thread?

Maybe I will buy condos in Medellin and in the Phillipines and rent them to RVFers!:idea:

This thread has really picked up. I can see why you would want to invest in these condos, despite the fact that condos are generally not the best investment.

What do you want to be doing and where would you like to live in ten years?

I imagine the prospects for young, attractive women to be pretty bleak for most men 50 plus living in the US. I am thinking of relocating to Colombia or DR in 10-15 years. My dating and social life would be significantly better. I would also be a short plane ride away to visit my family or do some short-term job contracts.
 

Caractacus Potts

Woodpecker
Gold Member
Engineer, yes I am tied to the area because of visitation arrangements as well as my job. I only started teaching at the Community College last year but if I keep it up by the time I retire I will have 8 years of teaching experience. I may look into getting my TEFL/TESL certification. I know there are some threads on the forum about teaching English abroad.

Dantes asked "What do you want to be doing and where would you like to live in ten years?"

And therein lies the rub, as the bard said. lol I need to think about this some more. I think Doc Holliday and Ball Don't Lie have the right idea. Live most of the year outside the US and come back to visit during the summer months.

I was only half joking about buying a condo in Colombia or the Phillipines. I think it would be a viable business to rent to RVFers in many of the cities that are discussed in the data sheets here. I imagine property would be much cheaper in second and third tier cities as well.

How about you guys? Where do you want to be and want do you want to be doing in 10 years? What are you doing to advance your dreams?

Before I forget can someone explain to me or direct me to the thread that explains how to cut snippets from others' posts? I am sure many here get tired of reading my long walls of text that are responses from other posters. :-/

Also, what is the button with the green + symbol between Reply and Report do/mean? :-/

CP
 

doc holliday

Pelican
Gold Member
For me in 10 yrs? I'll still be working, running my business, accumulating as much cash as possible and most likely should have most of my business debt gone by then (my business required serious capital investment to start up). I also plan to travel extensively, particularly to some of these "pussy paradises" along with creating an extensive social network here at home. Definitely want to find some way of paying it forward as MDP said, mentoring some younger guys and gals in some capacity. Physically, staying fit and looking younger than my actual age (so far so good on that front). So much stuff left to do in this life, I feel so excited that the best days of my life are ahead. And of course, last but not least, slamming as many vaginas as possible by whatever means necessary before I finally croke. After all, the man who dies with the most pussies slammed wins right? :banana:
 

Zep

Kingfisher
Please understand, I can't keep this here. Thanks guys.

 
I have a chronic neurological illness, which hinders my life a fair bit, and my "retirement plan" currently is to end myself at some point, unless nature does it for me before that. Or a cure comes, but I'm not keeping my hopes high.

I don't have much income, have limited energy to do things, but I do have a high libido. That's a bitchy equation.
 

TheBoom

Sparrow
Gold Member
Quintus Curtius said:
Caractacus Potts said:

The same goes for me. I began teaching at the Community College nearby and really enjoy it. This is only the second semester I am teaching but the department head has already asked me how many classes I want to teach next semester!

It has been an eye opening experience teaching. I never realized how much wisdom/experience I have gained over the years. When I talk to some of the students about some relatively innocuous things they look at me and I realize it is the first time they are ever hearing such things.



That's it right there. A great thing to hear, and something we forget so often. When you're on a train moving forward, you don't feel the forward movement. And then when you're around other people you just realize, "Wow...you've come a long way."

As I see it, it's still really important to be going abroad as often as you can as you get older. Aging in the US can be cruel for single guys, no matter how good you look. Always have to have that escape plan in place, so that when the time comes you can "pull up chalks" and dust off.

.

That is why I like doing the executive coaching in Taiwan. Clients greatly appreciate the insight and techniques I've gained from decades of work and I am out of the toxic US culture.
 

JayJuanGee

Crow
Gold Member
HungJohnson69 said:
I have a chronic neurological illness, which hinders my life a fair bit, and my "retirement plan" currently is to end myself at some point, unless nature does it for me before that. Or a cure comes, but I'm not keeping my hopes high.

I don't have much income, have limited energy to do things, but I do have a high libido. That's a bitchy equation.


It is quite common that we do not want to think about death, but some situations force us to think about death, and possibly this 40+ thread is as good as any place to consider that death sometimes could come prematurely.

I have had injuries and even forms of illness - depending on how you look at the matter, that debilitated me for considerable periods of time, and even caused me to wonder how such a seemingly little thing can cause so much life disruption.

I can imagine that if you know that there is little to no recovery and limitations in the extent of recovery, then perspective about everything is going to be changed in a large number of ways.

Actually, I think that when I was in my 20s and 30s, I gave very little thought to death, but then if you think about the reality of statistics, 40 puts us at more than half way done with life if we are average. I know that when I had a severe illness, I was considering why I had not written a will and I had put that as a high priority, and I was thinking that I had only a few years left, but then I recovered.. so back to thinking about life's enjoyment, or at least attempting to do so.
 
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