Will a million dollars be alot of money when you retire?

Similar questions: million dollars alot money retire.

If you are retiring today, $1,000,000 can provide a comfortable retirement as long as your retirement standard of living is not to high. If your accustomed to spending $100,000 a year, you may have a problem in the later years using $1,00,000 as an example. Or, if you have 20 years till retirement, at a 2.5% inflation rate, the $1,000,000 would only be worth $610,271 in today's dollars.

But, if you can average a 2.95% investment rate of return over the 20 years, you would have $1,788,657 that would have the buying power of $1.091,565 in today's dollars. For example, if the million dollars were in a Roth IRA, you would be able to do a pay down over 25 years, (age 65 to age 90) of $61,550 a year, tax free at a 4% investment return. If you were able to accumulate $1,000,000, your income level was probably high enough to generate about $24,000 a year is Social Security benefits.So since Roth distributions are not counted when taxing Social security benefits, the $24,000 might be tax free as well.

That is a retirement income of $85,550. Inflation would erode some of the buying power in the later years, but if you were able to improve your investment return to say, just 5%, you could take almost $70,000 a year, or take less now and more later. If that money had been in a 401(k), the $61,550 would have been subject to income tax and 85% of the Social security benefit would be subject to tax.

That would give you a taxable income of $81,950. That would push your tax bracket to 25%. So you would owe $12,738 in tax and net $69,212Of course, this is just an example, your taxes could be lower if you have medical expenses or mortgage interest deductions.

But, you can see, if you do the proper planning, if retiring now or in the future, $1,000,000 can go a long way in providing a comfortable retirement.

If you had a $1,000,000 should you buy an four plex, live in one unit, and gather income from the other three units. With $1 million in assets is it possible earn $90k a year? GoldenLion 5 months ago .

You could, but it would depend on your risk profile, health and ability to be a landlord. Are you sure you could keep the other three units rented all the time? Do you have the physical stamina to be a landlord?(Be on call all the time to make repairs, etc.)Will the property maintain or grow in value?

Would in be easy to sell if you needed to turn your retirement dollars back into cash? You could earn $90,000 a year, but rent is considered income. The tax on that would be about $15,000.

Of course, any expense associated with the rental units is also tax deductible. So maybe you would net $100,000 after tax including Social Security.In the example I gave above you would clear about $86,000. You would have to decide if it was worth $14,000 to become a landlord.

If the property were to appreciate dramatically and you sold it you also might wind up with a massive capital gain tax bill. You would have to weight the pros and cons.

It sounds like I convinced you that my scenario is better GoldenLion 5 months ago .

Nope. A million dollars is really nothing, in todays economy, and will be even less when I retire.

When it takes well over a quarter million just to buy a modest decent home,what do you think,and $80 just to fill your gas tank,I'm going to say NOPE.

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" "if you had a million dollars what would you do with it?" "If you were offered a Million Dollars Cash? " "If you had won million dollars what would youdo with it? " "how do I make my million dollars?" "If you had a million dollars given to you ..what would be the FIRST thing you would buy?

Mitt Romney, it has been revealed, spent at least 35 million dollars of his own money on his campaign last year.

What would you do with 100 million dollars.

I cant really gove you an answer,but what I can give you is a way to a solution, that is you have to find the anglde that you relate to or peaks your interest. A good paper is one that people get drawn into because it reaches them ln some way.As for me WW11 to me, I think of the holocaust and the effect it had on the survivors, their families and those who stood by and did nothing until it was too late.