You Retirement Goals?

[rx7boi]

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Post better numbers then?

Wouldn't really matter if he did. People who don't get it just find ways to complain when presented with a budget that makes sense but is hard to stick to.

Just for starters, I would buy a cheap Honda civic or equivalent in cash. That alone saves you from having a car payment year-to-year. Second, mortgage is reasonable for a DINK couple but I don't how anyone could possibly be paying 10k a year in insurance unless you're either a dipshit or a high roller with expensive cars.

Third, your perspective is all wrong when you put savings at the bottom of the list. You need to pay yourself first and then find a way to live on the rest.

Budgeting 101.

[ercchry]

2x$60k salaries, $120k DINKs

$120k-$29.5k......taxes
$90.5k-$18k.....average mortgage in AB of $300k
$72.5k-$2.5k.....property taxes
$70k-$4.2k....utilities & home insurance
$55.8k-$2.7k... Internet & 2 cells
$53.1k-$9.6k......car payments/repairs (if payments, repairs covered by warranty)
$43.5k-$4.8k..... 2x cars gas & oil changes @20k kms each
$38.7k-$3.6k..... 2x full coverage car insurance
$35.1k-$2k..... clothes
$33.1k-$4.4k....food
$28.7k-$2.5k..... annual vacation
$26.2k-$3k..... dinner/night out (2x once a week)
$23.2k-$22k..... rrsp contributions
1.2k+$8k.... tax return
9.2k-$9.2k....tfsa contributions

$31.2k annual retirement savings @8% return, from 22yrs till 65yrs, $10.28m saved for retirement, mortgage would be replaced with home repairs so I’m calling that a wash

[vengie]

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2x$60k salaries, $120k DINKs

$120k-$29.5k......taxes
$90.5k-$18k.....average mortgage in AB of $300k
$72.5k-$2.5k.....property taxes
$70k-$4.2k....utilities & home insurance
$55.8k-$2.7k... Internet & 2 cells
$53.1k-$9.6k......car payments/repairs (if payments, repairs covered by warranty)
$43.5k-$4.8k..... 2x cars gas & oil changes @20k kms each
$38.7k-$3.6k..... 2x full coverage car insurance
$35.1k-$2k..... clothes
$33.1k-$4.4k....food
$28.7k-$2.5k..... annual vacation
$26.2k-$3k..... dinner/night out (2x once a week)
$23.2k-$22k..... rrsp contributions
1.2k+$8k.... tax return
9.2k-$9.2k....tfsa contributions

$31.2k annual retirement savings @8% return, from 22yrs till 65yrs, $10.28m saved for retirement, mortgage would be replaced with home repairs so I’m calling that a wash

$8k tax return?

Wouldn't that be nice.

[ercchry]

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$8k tax return?

Wouldn't that be nice.

$4k each for contributing $11k each in rrsp

[vengie]

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$4k each for contributing $11k each in rrsp

Ahh yes, 2x people. Makes more sense

[BavarianBeast]

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$8k tax return?

Wouldn't that be nice.

Just donate to charity more, $8k returns are easy.

[vengie]

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Just donate to charity more, $8k returns are easy.

You don't count.

[msommers]

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Just donate to charity more, $8k returns are easy.

Plus you can save the fucking spotted owl.

[M.alex]

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2x$60k salaries, $120k DINKs

$120k-$29.5k......taxes
$90.5k-$18k.....average mortgage in AB of $300k
$72.5k-$2.5k.....property taxes
$70k-$4.2k....utilities & home insurance
$55.8k-$2.7k... Internet & 2 cells
$53.1k-$9.6k......car payments/repairs (if payments, repairs covered by warranty)
$43.5k-$4.8k..... 2x cars gas & oil changes @20k kms each
$38.7k-$3.6k..... 2x full coverage car insurance
$35.1k-$2k..... clothes
$33.1k-$4.4k....food
$28.7k-$2.5k..... annual vacation
$26.2k-$3k..... dinner/night out (2x once a week)
$23.2k-$22k..... rrsp contributions
1.2k+$8k.... tax return
9.2k-$9.2k....tfsa contributions

$31.2k annual retirement savings @8% return, from 22yrs till 65yrs, $10.28m saved for retirement, mortgage would be replaced with home repairs so I’m calling that a wash

So you're more-or-less agreeing - I said $22k savings (RRSP), you're saying $31k, $10k is a hill-a-beans difference and easy to slop away

I guess on paper if you saved $30k/yr for 40yrs and could average 8% over the long-run it does get to $10m, but that's a long time and pretty easy to get de-railed, especially when bad shit happens like new roof, furnace, etc.

Add in kids though and you're down to nothing.

Plus this relies on making more-or-less reasonable decisions, not the 'I want the best of shit right now, gimmie gimmie gimmie' ... once you apply that, and kids, you're easily negative

[Brent.ff]

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So you're more-or-less agreeing - I said $22k savings (RRSP), you're saying $31k, $10k is a hill-a-beans difference and easy to slop away

I guess on paper if you saved $30k/yr for 40yrs and could average 8% over the long-run it does get to $10m, but that's a long time and pretty easy to get de-railed, especially when bad shit happens like new roof, furnace, etc.

Add in kids though and you're down to nothing.

Plus this relies on making more-or-less reasonable decisions, not the 'I want the best of shit right now, gimmie gimmie gimmie' ... once you apply that, and kids, you're easily negative

and a 300k mortgage.... hope you like living in red deer

[ercchry]

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and a 300k mortgage.... hope you like living in red deer

Haven’t been paying attention for a couple years or something? There is almost 200 listings for detached homes in this city in the range of $300-$350k

[killramos]

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Plus you can save the fucking spotted owl.

Fuck there goes my coffee all over my desk...

[max_boost]

I don't understand this long term marth and does anything ever go as planned but I do hope you guys make it to keep the humble bragging going lol it makes for a great read.

Myself I'm hoping for 100k+ TSX and Dow boom when I retire lol

[Xtrema]

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Unless you're making bank or get lucky, how can one afford to even get ahead in Alberta, let alone retire?

Let's say you're a DINK couple making $120k. After taxes, mortage, car loans, general living and RSP you're left with nothing.

$120,000
$ 72,000.....-$48,000........40% to taxes
$ 47,000.....-$25,000........Mortgage
$ 37,000.....-$10,000........Insurance
$ 32,000.....-$5,000.........Car loan
$ 27,000.....-$5,000.........Gas/Car repair
$ 22,000.....-$5,000.........Food/Entertainment
$ 0.....-$22,000.......RSP

DINK at $60K each ($120K total)

They would have $45.5K each or $91K combined after tax income. So there is $19K more to spend in your scenario.

https://turbotax.intuit.ca/tax-resou...calculator.jsp

Some of your numbers are also quite high but other are quite low....

$10K - Insurance -- I think for DINK at that leve you are probably looking at $7K = $4K house + $2K car * 2
$5K - Food -- if you eat out a lot, this is probably closer to $12K.
$5K - Car Loan -- Even a Civic is now close to $400/mth now so this is probably closer to $10K if you got 2 of them.

So $25K+$7K+$10K+$5K+$12K = $59K. You still have $32K to invest, and they can fully commit on TFSA/RRSP if they want to ($22K RRSP would yield $6700 in refund)

It's not as dire as you think. And there is plenty of fat to cut in that budget if you prefer to invest for the future. Like switching to 1 car family will immediately save $5-$7K/year.

[danno]

Can you guys write up one for having 3 kids, money wise I wish we were still dinks

[88CRX]

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Can you guys write up one for having 3 kids, money wise I wish we were still dinks

Take ercchry's numbers minus all savings and throw that in "kids black hole" and "daycare"

I don't have kids but I imagine that's the case.

[ExtraSlow]

Do people really have two brand new cars they make payments on when they earn 120k/yr combined? The sounds crazy as hell to me.

[Xtrema]

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Can you guys write up one for having 3 kids, money wise I wish we were still dinks

You are broke and your kids are your retirement. You better have a single income of $120K or more and a stay at home partner or all you $$ will go to child care.

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Take ercchry's numbers minus all savings and throw that in "kids black hole" and "daycare"

I don't have kids but I imagine that's the case.

If day care is $1000/kid, you are looking at $3K per month or $36K per year. You lose all your RRSP/TFSA contribution AND then some if you are DI at $120K.

Or if we are using the $60K each scenario, basically 1 partner is only making $10K per year after child care cost and the other is pulling in $45K after taxes.

With 3 kids, the partner that makes less than $50K per year should just stay home and take care of the kids.

[Disoblige]

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Do people really have two brand new cars they make payments on when they earn 120k/yr combined? The sounds crazy as hell to me.

2 brand new cars with payments on over 3% interest, mortgage payment on 5% down payment on $750,000 house, shops at LV, Tiffany, etc. frequently.

Success never felt so good.

[ExtraSlow]

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2 brand new cars with payments on over 3% interest, mortgage payment on 5% down payment on $750,000 house, shops at LV, Tiffany, etc. frequently.

Success never felt so good.

I might just be some unemployed bum, but wow, even when I made that sweet double-meat sub money, I was never one of those people. Biggest car payment me or my wife has ever had was $350/mo and I hated having that. Paid it off early. Everything since then has been cash.