Retirement money worries

[Atomoa]

Just wondered when it became the Governments responsibility to look after us?

The minute you were born and had to submit to their authority.

Social contract. Look it up.

The way the system is going there is going to be nothing left for CPP, no pension jobs left and more than half of Canada currently doesn't even have 1000 dollars saved. There will be a massive revolt because it's not like people are going to stand by and let the majority of Canadians die broke and desolate in hallways of overcrowded nursing homes. The only reason the boomers can afford it currently is because of their home values that they bought for 32K and liquidated for 655,000 in order to pay off the nursing home monthly bills. Boomers wages increased steady most of their adult working lives. That whole generation was actually able to save money - while Mom stayed at home!

Do you have the 4-7 grand a month it's going to cost you to live in a retirement home to have your adult diapers changed by Chinese TFW's making 5.50 a hour?

[Ka-El]

Sounds like you've had some crappy brokers.

Nope, I'm well diversified and quite secure (I am very close to owning my own home outright even). I've been smart enough to recognize the difference between good advice and crappy advice and done well. Thanks for your concern tho

[Smurf]

Static wrote:
Sounds like you've had some crappy brokers.

Nope, sounds like life. Some times *bleep* just happens and there is nothing you can do about it. If it happens at a time in life when
you are unable to come back from it you are in trouble. How about the tens of thousands of people in the states who through not fault of their own lost their homes to the crooked dealings of the financial markets. It is happening in small doses in Alberta right now.

[Nom_de_Plume]

You may think you're good now, sitting where my parents were 20-30 years ago at the beginning or before of their retirement....pre grand children or great grandchildren, 20-30 years ago my folks were sitting where you are now, bragging with all their friends that they'd planned well for their retirement furtures more than adequately.... had good investers/investments and had put away waaaay more than needed so that they could possibly help their grandkids buy a house or travel for years, never did it enter their heads that they'd be pinching penny's and not being able to do the things they'd planned.
Maybe some of you will be just fine, interest rates HAVE to go up, but no one can predict what utility or other day to day bill that doesn't exist now that will eat up more income than you have planned.

[Ka-El]

That is true. In addition to our financial health people should not neglect their physical and emotional health. We will be well-served to remain (or become) flexible and adaptable, and ready to change our expectations and approach when confronted with new circumstance. There is no reason, for example, that a person needs to remain residing in Canada. There are countries we like to call "third world" all over Central and South America, for example, that are even more progressive politically than Canada is, have health care systems just as good (in some ways better) and far more affordable, are just as safe (and sometimes safer) and have an overall cost of living that is a fraction of ours. People who are willing to adapt can continue to live very comfortably, and probably even more healthily with a new but more simple, stress-reduced lifestyle.

It is an option my wife and I have and still do consider but we will just have to wait and see. There is no way to know exactly what the future will bring. I believe we can only prepare as best we can, and much like investment strategy, diversify our mindset and create and entertain as many options as possible. Be flexible, be adaptable, be prepared for as much as possible.

[Nom_de_Plume]

Some friends of the family moved to Ecuador for their retirement, they love it.
Their money goes much further there

[Ka-El]

Some friends of the family moved to Ecuador for their retirement, they love it.
Their money goes much further there

Yes, so I've heard. And an excellent health care system. Panama also apparently has excellent health care. My wife and I have been looking at Belize. Not quite as affordable as Ecuador or Panama, but English is the official language and the snorkeling is said to be incredible. I guess their health care needs to catch up a bit but apparently the new government is addressing that. Then there is Costa Rica. So many options. Life can be an adventure. Be flexible, Be adaptable. Be prepared.

[dirtybiker]

Not to worry, make sure it's a job you enjoy!!

The Freedom 84 plan, there are a few variables in it....

[Ka-El]

That is also definitely an option for some, and not always because of not having the choice. I know a few people (work with them) who have continued to work at their careers well into their late sixties, and even seventies, and not because they need the money. Others have gone on to pursue different challenges. Golfing and snorkeling though ... hmmm.

[Donald G]

I think that a lot of people who were relying on investment income for a percentage of their pension last year may be getting a bit worried about the investment markets going the same NEGATIVE route this year. Whay was a 12% return two years ago turned into a (2 year 8% return) and a (3 year) 5% at the end of last year. Last year resulted in a small NEGATIVE LOSS on many financial investments. Even commercial property rentals in Kelowna were standing empty for extended periods of time.

IMO things are very tight for a lot of Canadians at the moment. Both those retired and those working at retirement supplementing jobs.

[Nom_de_Plume]

The only thing that would make retiring to a different country hard, would be the not getting to see your family as often as you'd like. Aside from my eldest daughter and her husband, all my family now live within a 4 hour drive of my location

[Ka-El]

Yes, the distance from home would be a big factor, and as you suggest, the most demanding adjustment. The kids can always travel to visit you, and barring that there's always Skype (not quite the same, I know).

[Smurf]

My wife and I have always thought it would be nice to live elsewhere, but have also found that as we get older family gets more and more important and fulfilling. Having spent well over a decade snowbirding in the winter we have also learned how important family contact can become and it makes you wonder if you would truly want to move away at a time when you might easily never travel home again. Have seen more than a few get into some trouble living the snowbird lifestyle and realize how disheartening and lonely it can be without family support. Just some personal thoughts.

[Ka-El]

It will be a big decision to make one way or the other. Good to have options.
Always good to hear as many perspectives as possible. Thanks.

[twobits]

It will be a big decision to make one way or the other. Good to have options.
Always good to hear as many perspectives as possible. Thanks.

Keep a home base. Either a modest condo left empty in your absence or a home with a revenue suite or carriage house that you can return to for six months of the year and still have a revenue stream from. Flight connections are critical. Try to stay west coast or make sure you are in a location with frequent flights to a major US hub with direct flights to Vancouver. Better yet, a hub that is popular for charter vacation traffic. Outside of the very peak seasons, charters are rarely sold out and one can buy the air only portion for a few hundred bucks and get right to K town.