Anonymous wrote:Think of saving for retirement as a form of insurance premium. You might need it and use it, or you might not. But better to have it and not need it than need it and not have it.

My parents wanted to keep working, but ill health forced them into retirement whether they liked it or not (they didn't).

right. except that this "insurance premium" is very expensive, and one also needs to live. nobody here is against retirement savings, it's just a matter of how much at what cost. according to this forum, one is supposed to live cheaply his whole life so he can address his end of life period with not a care in the world. i disagree with that.

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Anonymous wrote:Why so snarky? Most people don't save *enough* for their old age. You have no idea what kind of health you'll be in, or your spouse, or your children. Some people are forced to take time off from working to care for a child or other relative. Many people plan to work for a lot longer than they actually are able to. Cancer, injury, disability, disease can all make it impossible to carry on working. Then what?

I've known a LOT of old people, some indigent and some wealthy, some completely with it, and some completely demented. NOBODY has said, wow, I wish I had saved less for retirement, and there are many, many who wish they had planned better. Having money at the end is a big, big help.

OP here. The snarky messages don't belong to me.

I understand making sure I'll be able to afford health care. I believe in great insurance and have savings to take care of medical issues. It seems like so many talk about retirement as a goal and save for it as though it is their lifelong dream but if you aren't planning to need money beyond healthcare and incidentals, why continue saving money? It may be entire naive but I think its worth discussing.

Stopping saving when you have $2 mil is a lot different than not saving for retirement. Everyone needs money to live one when you are not working. Many people have to stop working at some point unless they die prematurely or are one of the lucky few who can work into their 80's. Everyone else needs money.

My MIL was healthy and fit her whole life. At age 84 she was still volunteering, walking each day for exercise, living in her own home and driving. At age 85 she had a stroke and started to be forgetful. A few months later she had another stroke and we moved her into assisted living. One month after that she had a major stroke that almost cost her her life. But she survived and is now living in a nursing home hooked up to a feeding tube. Thankfully, she had money saved for assisted living. And thankful even more that she had long-term care insurance. We could have never predicted one year ago this vivacious, active woman would be dependent on others for her care. Her mother lived to age 93 in her own home until she died. One never knows.

Anonymous wrote:I'm the pp with the FIL with Alzheimer's. You may also want to setup automatic payment of bills for things like long term care insurance. When my FIL started to lose his mind, he let his LTCI lapse. His lawyers and my bil are trying to get it reinstated but who knows. He had been paying the premiums for 30+ yrs.

Yes, yes, yes!

THANK GOD my father had his long-term care insurance on auto-pay. because otherwise we'd be up the creek without a paddle.

Anonymous wrote:I'm the pp with the FIL with Alzheimer's. You may also want to setup automatic payment of bills for things like long term care insurance. When my FIL started to lose his mind, he let his LTCI lapse. His lawyers and my bil are trying to get it reinstated but who knows. He had been paying the premiums for 30+ yrs.

Whoa! Things are fully automated for now and I'll make sure it stays that way. Sorry about your situation and I hope you FIL gets things worked out

I'm the pp with the FIL with Alzheimer's. You may also want to setup automatic payment of bills for things like long term care insurance. When my FIL started to lose his mind, he let his LTCI lapse. His lawyers and my bil are trying to get it reinstated but who knows. He had been paying the premiums for 30+ yrs.

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Anonymous wrote:I agree that we are sometimes too quick to outsource these questions, but shouldn't you ask a financial planner? If you have or are on track to have $2 million, you probably could benefit from having someone look over your portfolio and insurance.

No I don't have a financial planner. I've used someone before to give me some advice on investments but I think I'll do well to continue managing it myself. Of course a planner is going to tell me to save for retirement but my question wasn't about whether I should have ANY savings as much as it is about whether I should STOP saving for the unforeseen expenses once I reach a certain number.

Right, and a professional can ask you the right questions about percentage of your current income, whether you want to travel, where you'd like to live, etc. and make sure you lock in your long-term care insurance at the right time. Your certain number isn't going to be the same as my certain number since I have children and some serious, disabling diseases in my family (Parkinson's, Alzheimers).

Believe me, I am all in favor of enjoying the good life while you are able, but I am another one who has seen the ghost of Christmas future in my own family and it has made me very conservative. A pro can help you separate emotion and wishful thinking from fact. Just my opinion.

Hmm. Perhaps I need to revisit this. It is not unusual for entrepreneurs to be adverse to listening to non-entrepreneurs when it comes to managing money. Difficult to take advice from a person who hasn't made something from nothing. I wonder if I can find an entrepreneur turned financial advisor or someone who knows the type in the DC area. Ghost of Christmas future...that's a bit frightening.

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Anonymous wrote:I agree that we are sometimes too quick to outsource these questions, but shouldn't you ask a financial planner? If you have or are on track to have $2 million, you probably could benefit from having someone look over your portfolio and insurance.

No I don't have a financial planner. I've used someone before to give me some advice on investments but I think I'll do well to continue managing it myself. Of course a planner is going to tell me to save for retirement but my question wasn't about whether I should have ANY savings as much as it is about whether I should STOP saving for the unforeseen expenses once I reach a certain number.

Right, and a professional can ask you the right questions about percentage of your current income, whether you want to travel, where you'd like to live, etc. and make sure you lock in your long-term care insurance at the right time. Your certain number isn't going to be the same as my certain number since I have children and some serious, disabling diseases in my family (Parkinson's, Alzheimers).

Believe me, I am all in favor of enjoying the good life while you are able, but I am another one who has seen the ghost of Christmas future in my own family and it has made me very conservative. A pro can help you separate emotion and wishful thinking from fact. Just my opinion.

Anonymous wrote:I agree that we are sometimes too quick to outsource these questions, but shouldn't you ask a financial planner? If you have or are on track to have $2 million, you probably could benefit from having someone look over your portfolio and insurance.

No I don't have a financial planner. I've used someone before to give me some advice on investments but I think I'll do well to continue managing it myself. Of course a planner is going to tell me to save for retirement but my question wasn't about whether I should have ANY savings as much as it is about whether I should STOP saving for the unforeseen expenses once I reach a certain number.

I agree that we are sometimes too quick to outsource these questions, but shouldn't you ask a financial planner? If you have or are on track to have $2 million, you probably could benefit from having someone look over your portfolio and insurance.

Anonymous wrote:You are incredibly naive, OP.

Yes this!!!!!

Anonymous wrote:Do you simply save the same amount or do you just have a general savings/investments?

How old are you now?
You are very stupid.

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Anonymous wrote:What do you mean you don't plan to retire? Are you just going to die at 65?

In what world does a person have to either die or stop working at 65?

It means I plan on working until I'm dead or close to it.

You might not have a choice. If you become sick or develop dementia etc, you won't be able to do your job and will need long term care. Alzheimer's patients can live a long time with decreased mental capacity. It's really sad.

My FIL is 88 and does not remember his own name much less his wife's whom he's been married to for the past 60+ yrs. Luckily he can afford the 20k month assisted living facility he and his wife are living at. It's very nice but still an old age home.

You don't want to be old and poor and have to go to a medicare paid for facility - not the kind of place to live out your golden yrs.

So he is lucky to be wasting to much money at the time where he has no clue who he is. Interesting.

If you can think of a better solution, please let me know.

I should add that all the males in the family usually died in their 60ties of a heart attack but medicine has improved greatly (statins and BP med really work!) and FIL, other than the fact that he doesn't remember anything like his name, how to shave, etc., is in excellent health for his age. He does need 24/7 round the clock nursing care, however.

Sucks to get old and you can never predict the future...

Anonymous wrote:OP, I herby give you permission to stop saving when you have $2 million in the bank. That is much, much more than most people will ever save for retirement, and will ensure that you won't be eating cat food in the dark for two decades. I'm the PP whose parents retired early (and not willingly) due to Parkinsons, and it was the first time it had happened in my family, either. I come from a long-lived family, and people have been healthy into old age. But shit happens, you know? But if you have $2 million in the bank, you can manage the shit quite well.

That put a big smile on my face. Things do happen and I plan to have my "in case shit happens" fund but I'm also trying to put an upper limit on the savings so I can feel free to indulge myself without thinking I'll be eating cat food someplace in a dark hole.

Thanks for sharing

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Anonymous wrote:What do you mean you don't plan to retire? Are you just going to die at 65?

In what world does a person have to either die or stop working at 65?

It means I plan on working until I'm dead or close to it.

When your employer downsizes you and you can't get another job. WTF, how is this even a question?

It's a question because not everyone has the same circumstances as far as work/life/savings is concerned.

the majority of people can't work until the day the die.

Think of saving for retirement as a form of insurance premium. You might need it and use it, or you might not. But better to have it and not need it than need it and not have it.

My parents wanted to keep working, but ill health forced them into retirement whether they liked it or not (they didn't).