Budget Be Damned

[pt49]

Originally Posted by Trimaran Ken

At least RealEstate.com had some small chance of turning into a profitable business, as opposed to Bitcoin which can never make money or produce anything.

Tell me please... how can gold make money or produce anything?

[pt49]

Originally Posted by sailorboy1

- we have spend approximately $120,500 in this time, all in no "not countings", starting Sept 16, 2016
- we started with about $475,000 in real assets like cash, 401ks, and some stocks
- the only "income" we have had in this time is about $4500/yr in a rental house the past 1.5 years
- our total asset reduction for this time period is about $10,274 and as of April 29, 2019 we still have $464,726 in same basic mix of assets
- this is the difference of our current assets of real time 401ks, stocks, cash, rental value at the purchase price

So it has cost us in real "money" about $10,274 to cruise 31.5 months.

These are the facts and are what they are. It is just something to consider if you get into some "you need $XX" financial manager BS story. Not saying I'm right or wrong in my approach, just that this is a hard $$$$ fact FOR ME. And just wait till what happens in 3 years when I start tapping into whatever is in the Social Security Fund (my money I was made to "invest")

I'm providing this info to help planners. I'm NOT interested in the peanut gallery questioning or spinning some story about my numbers, I have an MBA and understand my numbers. I haven't done anything "special" I feel and have taken a moderate to above average level of risk, which included a slam a couple of years ago that I stuck out.

So go forth and cruise before you are old. It's your money so be sure YOU get to spend some of it instead of leaving to your "heirs".

I'm sorry Sailorboy that I turned your thread into a Bitcoin rant, however, if you had placed just 1% of your assets into Bitcoin in 2016 you would have paid for everything in its increased value.
On Sept 16th 2016 Bitcoin closed at $837.00
1% of your assets would have bought you 5.67BTC valued at $4,746
When you wrote the OP on Apr 29th Bitcoin closed at $7,360... giving you a net profit of $36,985
BTC has had an up n down sort of year to date but is currently at $8,443... up about 140% since Jan 1st.
All the negs and naysayers argue that BTC is pure speculation... I agree. I have only suggested a 1% allocation of assets because of this.
Amazon has had a similar ride to Bitcoin, having dropped as much as 95% at times along the way to success.
Of all the original investors in Amazon stock only Jeff Bezos and his mother remain, everyone else jumped ship along the way.
When Christopher Columbus set sail across the Atlantic 99% of people said he was mad, and would never be seen again.

[a64pilot]

Originally Posted by Dockhead

Rising markets are a marvelous thing . . .



Glad it worked out for you!

I guess the cycles are a thing of the past?
Last time people were telling me you can’t lose money in something, it was houses pre 08.

I just hope the rising continues too as I’m worth more now that when I Retired as well, but I’m withdrawing just under 4% too.

SB, you drawing SS yet? If not, then I predict that will be what saves you if and when the market “corrects”

[sailorboy1]

Predicting that SS “saves” me is a silly comment. SS is and has always been part of my plan just like it is part of most retires financial planning

[daletournier]

A rising tide float alll boats. Yep, I got richer this year , its great, just keep sailing and get richer , that's the way to wealth, everyone should do it.

Sailor boy I respect your posts and appreciate the numbers but I wouldn't temp fate......I'm one of those naysayers, when you dig into what's driving markets it dosen't instill confidence....but hey ,I hope it keeps just going up for you, truly.

[daletournier]

Originally Posted by sailorboy1

Predicting that SS “saves” me is a silly comment. SS is and has always been part of my plan just like it is part of most retires financial planning

It's not part of my plan, it's a bonus if I get it.

[a64pilot]

No, I don’t think it is, however I hope that when and or if the market takes a down turn, you will be able to ride it out and not have to sell off at the bottom by having your SS.
I have seven years before so should begin to take SS myself, and am just now actually learning the rules of it.

[sailorboy1]

Sorry if my plan bugs some.

I’m not giving, and certainly not requesting, financial advise on a sailing forum. That would truly be silly.

[daletournier]

Why do you think your plan bugs some? If your happy with it then great, go for it.

[Lost Horizons]

Originally Posted by a64pilot

I guess the cycles are a thing of the past?
Last time people were telling me you can’t lose money in something, it was houses pre 08.

“It is different this time.”

[a64pilot]

It certainly doesn’t “bug” me, in fact I was giving you some credit believe it or not, having SS as a safety net makes risky decisions, less risky.
Gives you a plan B.

[a64pilot]

Originally Posted by daletournier

It's not part of my plan, it's a bonus if I get it.

That is my thought as well. And to explain why it’s possible for me to not, is I can imagine if things get bad that the feds won’t pay Military Retirement and SS, even though of course the whole time I was in, I paid into SS.
Just being conservative is all.
In fact I just learned how much I’ll get, in truth it’s a lot more than I expected, with my Retirement I can stop taking money from my Retirement monies and let them sit.

[pt49]

Originally Posted by a64pilot

That is my thought as well. And to explain why it’s possible for me to not, is I can imagine if things get bad that the feds won’t pay Military Retirement and SS, even though of course the whole time I was in, I paid into SS.
Just being conservative is all.
In fact I just learned how much I’ll get, in truth it’s a lot more than I expected, with my Retirement I can stop taking money from my Retirement monies and let them sit.

The FEDS will simply print trillions more and pay you your SS... it just won't buy as much when they do that as it would today.

[CaptTom]

Originally Posted by pt49

The FEDS will simply print trillions more and pay you your SS... it just won't buy as much when they do that as it would today.

I think this is the biggest misunderstanding in most folks' financial planning.

When I was a kid, a cantaloupe melon cost $0.25. Now they're well over $2.50. Same for a gallon of gas. My house is also worth 10 times what I paid for it 40 years ago.

I don't know what the official inflation rate is, but if things I buy went up 1,000 percent in the past 40-50 years, then I can't help but wonder what the next few decades will bring.

[KTP]

This year has been really exceptional with the S&P500 up over 25%.

Don't count on that every year though.