A Sense of Relief
I met with my new financial planner this morning. I wasn’t impressed with my last one – especially after she left the state and working with her became impossible. My new one is a lesbian (I wanted somebody familiar with the complexities of a gay person’s tax and inheritance concerns). This was our second meeting and I’m quite impressed.
Based on the numbers I gave her at the last meeting she came up with some scenarios for the future. Now, I’ve always feared that I’d become some single old man with no kids to help him out….eating cat food and heating myself by sitting in front of the oven. I’d also hum incessently and whine about modern technology.
Yeah, that’s a bit dramatic – but I never expected that my retirement would be comfortable financially. I suspect that social security will have exhausted itself and my only source of retirement income would be from investments I make today. And until recently, my investments were pitiful.
But after plugging in the numbers she showed me a graph that indicated that to maintain the exact lifestyle I live today (with expected inflation of 3%/year between now and then) I am putting aside enough money to live comfortably and travel as much as I do. Now, this is just taking into account what I am contributing today. This doesn’t take into account if social security still exists at that time (which would boost my monthly income up by about $1,700/month). It also doesn’t take into account the money Harvard contributes to my retirement plan each month. Basically, she ran the report on only the cash I’m contributing myself though payroll deductions or my Roth IRA.
If all goes as planned, I’ll have enough money to live this same lifetsyle from 65 until 95 years old (when the funds will have exhausted). I told her that I predicted I’d work until at least 70 or 72 (I think I’d get bored if I retired…I want to stay active). Those extra 5-7 years of work (full or part-time) will make a huge difference in the longevity and balance of my retirement funds.
For the first time – I feel comfortable about my life after 65. Even without Social Security – I’ll be able to survive. And with Social Security, I’ll survive…and travel! Look out world – you’ll be seeing a geriatric Karl all over Provincetown, San Francisco, Key West, Fort Lauderdale, Ogunquit, Sitges, and Chelsea. I’ll see you all at the Gray Party! WOOP WOOP! Just don’t trip over my cane on the dance floor since I won’t be able to hear you without my hearing aid.
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Man! She’s better than mine. I thought my guy was under control, but he never made any of these types of promises and that was after weeks of analysis for my income now and for the future. I wonder if I should reconsider. 🙂
I should really look into getting one of those. I have been managing my own money for some time now and I think I am doing a good job of divesting my investments and such. I’m sure that a professional would just laugh and tell me what a fool I am.
I would say that I see cat food in my future, except it would have to be the dry kind that comes from China and contains contaminated wheat products. Then maybe I could afford it, with a coupon.
Hmm…hey Karl – I may need to get her name from you…I’m thinking parakeet food (contaminated) may be do-able, now that I’m on the verge of bankrupting myself with this house purchase…