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  • FIRST POST
    • Marine_life
    • By Marine_life 5th Nov 10, 10:46 AM
    • 899Posts
    • 1,630Thanks
    Marine_life
    Early-retirement wannabe
    • #1
    • 5th Nov 10, 10:46 AM
    Early-retirement wannabe 5th Nov 10 at 10:46 AM
    I would like to create a topic (don't see it at the moment - other than the NUMBER thread).

    Who is aiming for early retirement (or who has retired early already)?
    When did you begin planning and what drove the decision?
    What is the strategy for getting there?
    How much of a relative decline in income are you prepared to take / did you take?
    What are your main concerns?
    For those already in early retirement - how is it progressing? What have been the good and bad surprises (financial and otherwise)?

    I will post my strategy but wanted to get some thoughts
Page 205
    • Marine_life
    • By Marine_life 14th May 18, 10:58 PM
    • 899 Posts
    • 1,630 Thanks
    Marine_life
    I think for most people cars are the single biggest waste of money through their lives.
    Originally posted by Anonymous101
    I'm not sure about that......cigarettes, beer, fast food?

    Its only a waste of money if you derive no utility from it (and that utility can include fun and peace of mind). As I'm now a private buyer I would not buy a new car but I would (and did) buy a one year old car which has already lost around 30% of its list price (and with only 3,000 miles).

    Its possible to be both flash and frugal
    Money won't buy you happiness....but I have rarely if ever been in a situation where more money made things worse!
    • Anonymous101
    • By Anonymous101 15th May 18, 8:30 AM
    • 1,148 Posts
    • 553 Thanks
    Anonymous101
    I'm not sure about that......cigarettes, beer, fast food?

    Its only a waste of money if you derive no utility from it (and that utility can include fun and peace of mind). As I'm now a private buyer I would not buy a new car but I would (and did) buy a one year old car which has already lost around 30% of its list price (and with only 3,000 miles).

    Its possible to be both flash and frugal
    Originally posted by Marine_life
    Ok, that's a fair point about fags, booze and take away's. They're also hugely wasteful. Once you add in deposits, balloon payments, depreciation and monthly payments new and nearly new cars can be well over £500 a month. You'd be hard pushed to spend that on most other things.

    I agree though its about finding a balance. I bought a 18 month old car myself and did lose a large amount initially. I don't however feel that I've got to keep up with the Jones's and change my car every 2 years. Luckily for me my company car policy accepts cars up to 10 years old so I have a certain amount of flexibility.
    • cobson
    • By cobson 15th May 18, 9:46 AM
    • 31 Posts
    • 19 Thanks
    cobson
    The words of the frugal guru...

    http://www.mrmoneymustache.com/2013/04/22/curing-your-clown-like-car-habit/
    Last edited by cobson; 15-05-2018 at 1:23 PM.
    • AnotherJoe
    • By AnotherJoe 15th May 18, 11:18 AM
    • 10,589 Posts
    • 12,119 Thanks
    AnotherJoe
    Ok, that's a fair point about fags, booze and take away's. They're also hugely wasteful. Once you add in deposits, balloon payments, depreciation and monthly payments new and nearly new cars can be well over £500 a month. You'd be hard pushed to spend that on most other things.

    I agree though its about finding a balance. I bought a 18 month old car myself and did lose a large amount initially. I don't however feel that I've got to keep up with the Jones's and change my car every 2 years. Luckily for me my company car policy accepts cars up to 10 years old so I have a certain amount of flexibility.
    Originally posted by Anonymous101
    I'm paying a tadge over £200/month for a brand new car. No depreciation as it's PCH. No petrol or diesel costs at all as it's electric which is 20% the price of those. Maintenance minimal. And a far better smoother drive.
    • atush
    • By atush 15th May 18, 12:27 PM
    • 17,178 Posts
    • 10,741 Thanks
    atush
    i've had new cars- they are nice.

    But I prefer to buy late model used fromd emos to up to 2 years old. Less depreciation, still in warrenty.
    • atush
    • By atush 15th May 18, 12:28 PM
    • 17,178 Posts
    • 10,741 Thanks
    atush
    I'm not sure about that......cigarettes, beer, fast food?

    Its only a waste of money if you derive no utility from it (and that utility can include fun and peace of mind). As I'm now a private buyer I would not buy a new car but I would (and did) buy a one year old car which has already lost around 30% of its list price (and with only 3,000 miles).

    Its possible to be both flash and frugal
    Originally posted by Marine_life
    yep thats what I do. Didnt read this until after i posted as was on a different page lol
    • michaels
    • By michaels 15th May 18, 12:51 PM
    • 21,248 Posts
    • 98,390 Thanks
    michaels
    I'm paying a tadge over £200/month for a brand new car. No depreciation as it's PCH. No petrol or diesel costs at all as it's electric which is 20% the price of those. Maintenance minimal. And a far better smoother drive.
    Originally posted by AnotherJoe
    There is always someone he who got a better deal through. Our leccy car was 130pm all in but still much more expensive than our second car that had only petrol in the 2 years we had it and was just written off for exactly what we had paid for it 2 years previously.
    Cool heads and compromise
    • OldMusicGuy
    • By OldMusicGuy 15th May 18, 2:16 PM
    • 552 Posts
    • 1,110 Thanks
    OldMusicGuy
    I bought a 47 year old car and so far it's gone up in value by about 25% since I have had it........
    • jimi_man
    • By jimi_man 15th May 18, 2:36 PM
    • 119 Posts
    • 117 Thanks
    jimi_man
    Ok, that's a fair point about fags, booze and take away's. They're also hugely wasteful. Once you add in deposits, balloon payments, depreciation and monthly payments new and nearly new cars can be well over £500 a month. You'd be hard pushed to spend that on most other things.
    Originally posted by Anonymous101
    I used to smoke Benson and Hedges when I was in my 20ís and when I gave up they were about £1.80 a pack. I note that now they are over £11 a pack. At 20 a day, thatís £4K a year, which makes a huge dent (sorry!) into the costs of a car.
    • tigerspill
    • By tigerspill 15th May 18, 3:04 PM
    • 329 Posts
    • 115 Thanks
    tigerspill
    I think for most people cars are the single biggest waste of money through their lives.

    It took me several mistakes to learn that lesson!
    Originally posted by Anonymous101
    Not if you buy the right car.
    I have been driving a 911 now for four years for free due to the value increasing. Has covered all costs - fuel, insurance, maintenance etc.
    Not bad.
    OK not a new car - it was a few years old, but still not a bad drive.
    I have a friend has driven nice cars all his driving life and has never lost a penny on any of them.
    • Snakey
    • By Snakey 15th May 18, 3:25 PM
    • 1,074 Posts
    • 1,289 Thanks
    Snakey
    Off the topic of "early" retirement, but...
    A vaguely-car-related point that springs to mind is that unless you have a convenient devoted daughter living next door I can't imagine a rural late-retirement phase is going to be much fun. As such, you might be better off with a flat in town (like wot I got ). And people say you shouldn't be leaving it too late to make a big move like that because it's more stressful after (say) seventy. So when would you make that move? A bit - or a lot - earlier than "the last possible moment" so that you can save on what looks like a massive cost of running cars for those extra years? You could use the extra money to help you get settled socially, maybe.
    • AnotherJoe
    • By AnotherJoe 15th May 18, 3:33 PM
    • 10,589 Posts
    • 12,119 Thanks
    AnotherJoe
    There is always someone he who got a better deal through. Our leccy car was 130pm all in but still much more expensive than our second car that had only petrol in the 2 years we had it and was just written off for exactly what we had paid for it 2 years previously.
    Originally posted by michaels
    Nice was that one of the early Nissan Leaf "give it away" leases? I missed out on those.

    And with the previous cars you had to visit petrol stations, pay 5x as much for fuel and have a nastier ride .
    I couldn't go back now.
    • OldMusicGuy
    • By OldMusicGuy 15th May 18, 5:33 PM
    • 552 Posts
    • 1,110 Thanks
    OldMusicGuy
    A vaguely-car-related point that springs to mind is that unless you have a convenient devoted daughter living next door I can't imagine a rural late-retirement phase is going to be much fun. As such, you might be better off with a flat in town (like wot I got ). And people say you shouldn't be leaving it too late to make a big move like that because it's more stressful after (say) seventy. So when would you make that move?
    Originally posted by Snakey
    Our plan - we are moving now to a smaller 3/4 bed house with lower running costs in a cheaper part of the country. We won't be rural, we plan to be in a town with a mainline station and all facilities in walking distance. We are both 60 and we hope we will be able to stay in our next place for at least 20 years.

    70 is too early for us to consider going into a flat, I would say 80 to 85 is probably the time frame for a flat, depending on health of course. We will be renovating our next place and kitting it out for a retired couple that will hopefully last into their 80s (eg walk in shower, easy to open units, lever taps etc).

    Health is the big possible spanner in the works. Right now we are both fit, healthy and active (part of the reason for retiring early) but who knows if that will change sooner than we would like.
    • atush
    • By atush 15th May 18, 9:30 PM
    • 17,178 Posts
    • 10,741 Thanks
    atush
    A vaguely-car-related point that springs to mind is that unless you have a convenient devoted daughter living next door I can't imagine a rural late-retirement phase is going to be much fun. As such, you might be better off with a flat in town (like wot I got ). And people say you shouldn't be leaving it too late to make a big move like that because it's more stressful after (say) seventy. So when would you make that move? A bit - or a lot - earlier than "the last possible moment" so that you can save on what looks like a massive cost of running cars for those extra years? You could use the extra money to help you get settled socially, maybe.
    Originally posted by Snakey
    We arent going into town, but will be coming in fromt he countryside to outer walking distance suburbs. Dont want to be in a flat anywhere would be a shcok. Have 5 bedrooms and 2 acres now lol Maybe the next move?
    • Terron
    • By Terron 15th May 18, 11:15 PM
    • 288 Posts
    • 248 Thanks
    Terron
    Why? Why on earth?
    Originally posted by kidmugsy
    Because it will be fun and I will be able to afford it.

    It is not as if I buy a new one every year or two. My current car is 11 years old. I got ir new as a company car and bought it when the lease ended. I want to get a car that suits me perfectly that I can then keep for another decade or so.
    • michaels
    • By michaels 16th May 18, 10:19 AM
    • 21,248 Posts
    • 98,390 Thanks
    michaels
    Nice was that one of the early Nissan Leaf "give it away" leases? I missed out on those.

    And with the previous cars you had to visit petrol stations, pay 5x as much for fuel and have a nastier ride .
    I couldn't go back now.
    Originally posted by AnotherJoe
    Yes and definitely yes. In the end after the 2 years we had to buy from the finance co as no way was going back to Dino fuel an option. Total price to purchase from brand new was 12.4k. Prices seem to have bottomed out at 5k for the oldest ones now so even after 6 years ownership we are looking at about 1k pa depreciation and so far no maintenance costs beyond annual inspection and tyres. We got it before we found mr moneymoustache but he obviously had a similar idea. When we charge at home from the solar panels even the leccy is free. (and talking of solar panels the early deals were by far the best value annuity ever).
    Last edited by michaels; 16-05-2018 at 8:57 PM.
    Cool heads and compromise
    • kidmugsy
    • By kidmugsy 16th May 18, 12:36 PM
    • 11,588 Posts
    • 8,108 Thanks
    kidmugsy
    nd talking of solar panels the early deals were but far the best value annuity ever.
    Originally posted by michaels
    Don't rub it in. The rest of us are paying you those huge subsidies.
    Free the dunston one next time too.
    • lisyloo
    • By lisyloo 16th May 18, 12:44 PM
    • 22,498 Posts
    • 11,092 Thanks
    lisyloo
    My car is over 20 years old (it does creak a bit) but I prefer a 6-figure pension pot.
    Is there a prize?
    • michaels
    • By michaels 16th May 18, 8:58 PM
    • 21,248 Posts
    • 98,390 Thanks
    michaels
    Don't rub it in. The rest of us are paying you those huge subsidies.
    Originally posted by kidmugsy
    That would be my parents - whilst mine pays a great return it is only on a 5k investment - my parents who got in 4 years earlier are getting the same (tax free) return on a 24k investment....
    Cool heads and compromise
    • gfplux
    • By gfplux 17th May 18, 4:07 PM
    • 4,345 Posts
    • 3,803 Thanks
    gfplux
    Yes and definitely yes. In the end after the 2 years we had to buy from the finance co as no way was going back to Dino fuel an option. Total price to purchase from brand new was 12.4k. Prices seem to have bottomed out at 5k for the oldest ones now so even after 6 years ownership we are looking at about 1k pa depreciation and so far no maintenance costs beyond annual inspection and tyres. We got it before we found mr moneymoustache but he obviously had a similar idea. When we charge at home from the solar panels even the leccy is free. (and talking of solar panels the early deals were by far the best value annuity ever).
    Originally posted by michaels
    I am assuming you decided to buy the battery.
    Britain is racing towards March 29 next year.
    There is no Brexit dividend. "Brexit Blight of Uncertainty" sums it all up. Although "The Curse of a false Brexit" or ďBrexit Disaster" come close.
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