/biz/ - Business & Finance

>>53732039
it’s called the 4% rule and all the replies will be seething about tradfi

>>53732039
You didn't pay your 50% capital gains tax did you?

most "people" here are mentally retarded bro. they have no idea

>>53732039
1.2 million wouldn't last me 5 years where I am living my lifestyle with 3 kids. Sorry I don't want to live like some deprived hermit and actually want to provide my family with a half decent lifestyle.

>>53732039
to be fair assuming a 10% return is a bit optimistic, but yeah most index funds can do that.

weirdly my 'number' is $1.2m exactly as you said. With the 4% rule, that's a conservative $48,000 of withdrawals I can make from that amount of money, and the rest should grow or at least break even, so i should be able to live off it forever.

that said, for most people $1.2m is near unattainable when you consider college debt, cost of rent etc. and if you want or have kids, double it to like $2.5m as they will drain resources at a much higher rate.

>>53732138
Capital gains tax would not apply, because the amount withdrawn would not exceed 89k and the investment would be long term (held for more than a year)

>>53732167
fuck your niggerstyle lifestyle

many users here have inferiority complexes and condition themselves into a set of behaviors and lose sight of the obvious truth you laid out, OP. You niggers did well with nothing, live and act like you're all broke anyway, so yes you don't need that much to live. Money can only change your life so much the same way a paper towel can only be saturated by so much water. If you were born poor you're going to have those patterns with you forever, and no amount of DMT and LSD and mushrooms will erase it. It will however help you realize that you're identifying with your assets more than you ought to, which then allows you to be more free and be who you really are before you became obsessed with crypto.

>>53732167
didn't ask nigger

>>53732167
If you have 3 kids, then fair enough, but if you're single then 70k per year is more than enough to comfortably live off of. You wouldn't be a deprived, ultra-frugal hermit by any means.
>>53732173
Yeah, I agree, it's not as if making 1,200,000 is an easy task, just easier than the figures /biz/ usually throws around (2 mil+). And with kids the equation totally changes. I hope you make it, anon.

Making it is when you have a (nice) house and only like 50K savings/investments. Now you can tell whoever you want to fuck off and you'll be alright.

>>53732039
That only applies if you already own your own place. You need more otherwise.

>>53732285
I am just inheriting my parents place and their rentals, they are stubborn about investing in index funds though, dad is still working to repay mortgage despite us having 10:1 ratio of assets/debt

>>53732039
$1.2M? Not even close. One serious medical emergency can wipe that down to zero even with insurance. I'd say you need at least $8M at age 65 to barely squeak out the remaining years of your life

>>53732821
Just dont pay lmao

>>53732039
It's always just anons/glowies fudding. Wanting anons to succumb to greed over reason. Or to demotivate anons who are just starting.
But as other anons pointed out, it really depends on how many dependents you have & the medical situation in your country/state.

Get divorced your fucked. Have kids you’re gonna struggle with 70k. What about bear markets? You won’t be too comfy at 1.2m unless you plan to live frugally and neet the rest of your life.

I'm so glad I'm a millionaire living in a third world shithole. Must suck being an American.

>>53732039
>I had made it in 2021 but was too dumb and greedy to see it
it hurts bros

>>53732972
What was your ATH and where are you at now?

>>53732929
>Retire
1.2M would let me pursue whatever retarded career I want and let me go 100% without worrying about dry spells. I could go be a coom artist or nature blogger and not worry about food and shelter if I need to take some time to get things running. It's not about lying down and doing nothing, it's about not needing to get up at 4am in the morning every fucking day and getting talked down to by the boss.

>>53732039
You know the dumb money has arrived when threads like this start appearing.

>>53732039
Lol. Ure gonna be lucky to get 3-4% per year.

That being said 1 million is enough to make it if all u desire is a small apartment and simple life

>>53732039
>You need 1.2 million at most. Assume you put that into a fund that returns 10% per year, which most do. That's 120k gained per year.

Its not that simple although its not that much more complex.

If the markets drop 30% a year after you deposit your 1.2MM into a fund you are no longer earning 120K. You need something that produces cashflow outside of it as well. Maybe some real estate. The cash flow from rent isn't 100% guaranteed during hard times in the economy but it isn't dependent on the house value. I.E. the value of your rental drops 30% but the rent stays the same or even increases.

Maybe REITs would be better Idk. You can also get relatively decent returns through stable coins. Even right now 5-12% although it takes a little maintenance if you don't have bots running. Uniswap V3 or Synapse bridge liquidity. A little higher risk on those I suppose but not as much as you'd think.

You could still probably do it with 1.2MM but I'd expect 8-10% returns and suggest the 4% withdrawal rule.

2MM would be significantly more comfortable considering market volatility.

>>53732039
Test