One Million Dollars: food for thought

[ABV]

What does $1,000,000 mean to you today? A lifetime without worries? A new car, in a new garage, attached to a new house? What will $1,000,000 mean to you when you retire? Will it have the same meaning? Will you someday be worried that you only have $1,000,000 to live your life with?

I was looking at an inflation calculator today, and found some interesting (if not slightly depressing) info. If I were to retire at age 65 (39 years from now) with $1,000,000 assuming a 3.0% inflation rate, that money would only be worth roughly $300,000 in today's dollars. Punch in 3.5% inflation, and the amount drops to $250,000. That's a little scary considering that you would be depending on that money to live off of for up to 25 years (or more).

Of course there's other factors that come into play, it's not a cut and dry scenario for the future, but I thought it was interesting. Just food for thought.

The calculator that I used is right here. http://www.simplejoe.com/web-calculators/inflation-calculator.htm

[Kracka]

Even today $1 million cash is not that much money, the key is to take that million and have it spread out in investments and hopefully match or beat the index rate of ~4% return. That would give you aproximately $40,000 per year to live off of which would be pretty good considering most retirees have their homes paid-off, plus recieving a SS check every month of at least a few hundo. Keep in mind the less you spend, the larger the return will be the following year. Every year you of couse could start tapping in to that $1 million and if all goes well you'll be down under $100k when you die (just enough to pay for funerals and give an inheritance to family members who hopefully deserve it).

[dylan]

I would invest it all in real estate and let other people pay me for the rest of my life.

[Matt D.]

The only way to stay ahead in that game would be to invest... Split it up between things like CDs, but also have some aggressive investments as well.

[ABV]

I guess it's all relative too. As I get older, my salary will increase as well, along with the cost of living. And if I look at my investments as a percentage of my salary, rather than a fixed annual amount, then it makes everything look alot better.

But think about this. Wether you like it or not, the day will come when a McValue meal will cost you $20. :rolleyes: People will say "Shit son, I remeber when gas only cost $2.00 a gallon. and $20 got you a lap dance". Yeah, that's what I'm going to say to my granchildren. :D

[Raptor]

I will never make retirement age so I don't really care. If by some medical miracle that happened, I will live at Caterburry smoking the young pukes at holdem and shagging the occasional waitress ;) with the required daily break to go drifto in the parking lot!

[Shotgun!]

I will never make retirement age so I don't really care. If by some medical miracle that happened, I will live at Caterburry smoking the young pukes at holdem and shagging the occasional waitress ;) with the required daily break to go drifto in the parking lot!

You are my idle Raptor!

[Raptor]

Funny Reid, glad I am someones!

[Shotgun!]

"*cough* sevens *cough*" - My very favorite Raptor quote!

[niterydr]

"*cough* sevens *cough*" - My very favorite Raptor quote!
That was fucking awesome.
I forgot the way u and i would go out..i think i'd hit a wall at some godaweful speed yelling 'truck motor!'
1 million? Def invest.