Read? Beyond The Edge of Financial Independence
Be careful and pay serious attention when we are reading a lots from the cyber world on investing. We must learn how to differentiate between Data And Information.
We should seek useful Information so that we can act on them for our own sake and avoid those Data that are trying to seduce us to act on them; but later we regret and blame our own foolishness.
Uncle8888 has reached the Edge of His Financial Independence on Jan 2013; but he realized that it is NOT going to be sustainable over the next 20 years due to inflationary impact on his future household expenses so he decided to spend another few more years stepping deeper into the Land of Financial Independence to build up more Sustainable Retirement Income For Life - Three Taps Solution model.
Now in 2016, he is counting down to enter into the Land of Distribution/Decummulation where he is prepared to slowly deplete his accumulated wealth over his remaining lifetime based on Assets Draw-down strategy and be less dependent on volatile stock market and economic cycles to generate the desired cash flow from his investment portfolio.
So far from his regular reading from other investment/finance bloggers in the cyber world; this Assets Draw-down strategy is NOT in the mainstream retirement planning strategies.
How did Uncle8888 achieve his financial independence in Jan 2013 at age of 56+ when he only began his SERIOUS investing for retirement planning at age 44+ in Jan 2000 and took about 13 years to achieve it?
What can you learn from him?
The Tip. The Hint. The Clue. The Secret.
What do you know?
What do you think?
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Yes. Very few people talk about this. Because only uncle generation just stepped into this area. For older generation, their drawing down is from human capital of many children via family allowance. Uncle generation is the first of mindset change in kids being more self centred or parents being more aware to be more self dependent than children dependent. In the US, there is a lot of studies on this. Because their social change happened earlier. Will be interesting to keep following your blog. Not to influence you, but hope to see how your strategy differ from mine.
ReplyDeleteDue to high cost of residential home, this generation parents should be preparing harder not to burden their children.
Delete30 yr housing loan is no joke and end up as home slave.
i tend to think of the loan being a rental of sorts while your body is here on earth. i notice that most average people around the world tend to have rentals or long mortgage terms. the only exception are examples of fast developing countries whereby the real estate prices has not caught up with the fast increasing incomes of its population (incomes increased due to higher valued work of population). this only happens in certain generations. of course, not forgetting the influence of increased immigration, dropping interest rates, lax government policies, increased perception of people equating real estate (that one is staying in) to an asset.
Deletetemperament, forever. unless you want to see the reversal happen. lol
Deletei am referring to the discussion of withdrawal rates in a semi-academic sense by uncle. not referring to retirement. if you refer to retirement, now the teenagers are talking about doing a mark zuckerberg and retiring at 25 years old.
ReplyDelete