Here is the good news: You want to retire at age of 50. If you already have $200K USD cash today (whether it’s the equity in your house or the cash in your investment somewhere), you just need to have additional $300K to have a comfortable living at Sensato Living till you die at age of 88. That means you don’t need to work after 50 and actually can retire!
In a nut shell: if you have total case of $500K today, you can retire at age of 50 and live till 88 without needing to worry about working again.
Here is the detailed breakdown of your monthly expenses to show you the truth. Remember I totally ignored the tax effect and all the other crazy things in Canada to simplify the calculation.
What it tells you? Even if you have $200K equity in your Calgary home, you would need additional $1.4Million to retire at 50 and live till 80, without inflation considered. But you only additional $310K to do the same. Quite shocking huh? Living in Calgary is simply too expensive.
|water & waste water||$180||$0|
|Retire at 50 and living till 88 year old||38|
Disclaimer: assume you would use the $200K equity you have in Calgary house to buy a house at Sensato Living.
So if you have $500K and you really want to retire young, you can do it! Not in Calgary, but you will do totally ok in Mexico, at Sensato Living.
Life is better than you thought. You just need to know where to find the life you want.