Tuesday, September 01, 2020

Retirement

I got a little frustrated last night with conditions here in the DPRK (Democratic People's Republic of Kalifornia).  So much so, in fact, that I hopped onto the State Teachers Retirement System retirement calendar tool and had it calculate how much I'd get in retirement pay if I retired at the end of this year.

$2700/month.

If I went one more year, till 2022, it would be $3100/month.  

These compare to the numbers I ran a couple years ago, retiring in 2028, with an income of $5000/month.

Part of me wonders if it wouldn't be worth it.  I've been researching overseas living, and I've read several articles that state that a couple could live nicely in Portugal on only $2000/month.  I'm not a couple, and I'd have a little more than that.

Yes, I think about it.

10 comments:

guest said...

You could tutor high school math online from anywhere in the world as a side gig. In demand tutors can ask over $100/hour.

Pseudotsuga said...

That is assuming, of course, that the CalSTRS system actually has the money available...

Steve USMA '85 said...

Not only could you live on $2,000/month easily, you would live in a country that loves Americans. Everywhere I have gone in Portugal the people light up when they find out I'm from the United States. In a country almost the size of Indiana, you have wonderful ocean beaches, rich farmland, beautiful mountain ranges and history that dates back to pre-Roman times. I've even driven over original Roman bridges that have never been rebuilt or repaired, amazing.

My wife and I have toyed with the idea of buying a retirement/vacation home in the north where she comes from but haven't decided for sure as yet. If you go to one of the smaller towns surrounding one of the three main cities (Lisbon, Porto, Faro) you could buy a nice place for ~$100K and live well. Good local restaurants cost $15-$20 for a lunch with wine if you get the Plata do Dia (plate of the day).

I suggest seriously considering it but you may not want to move too close to Madonna (she's in downtown Lisbon now).

ObieJuan said...

I was going to retire at 60. I'm now 62 and just might retire on my 63rd birthday in Sept. of next year. As I'm sure you've calculated, the CALSTRS age factor is huge.
That being said, friends of mine are in their mid-forties and wondering if they can make it to age 60. I don't remember feeling that way 20 years ago, but California education has changed ALOT since then - and this is the effect on teachers.
On another note, the admin knows I'm about to retire and so they pretty much leave me alone. I'm skipping a lot of the stuff I don't feel has ever been important and not catching any flak for it.
Hmmm...maybe I'll stick around a few more...

Ellen K said...

You would be surprise how your expenses drop when retiring. Sure there's housing and insurance, but many of the expenditures that are related to working, and especially to teaching, go away. I highly recommend it and I feel fortunate that I didn't extend my time into the last school year.

Darren said...

I'm considering Faro right now. Everyone says the Algarve is gorgeous, so when I go to recon, that's the first place I'll go.

Darren said...

Unknown: a little side hustle never hurt anyone!

BTW, in Summer 2018 I was on a cruise that stopped on Madeira and in Lisbon. Both of them impressed me tremendously. I read a lot of "international retirement" columns and Portugal is always on the list....

Anonymous said...

No 403b?

Darren said...

I have an IRA, but it's not enough to live on for more than a couple years.

Ellen K said...

Retirement doesn't have to mean you quit working entirely. My husband drives high end cars all over the five state region. He loves to drive and he loves cars. A friend has begun a jewelry design business and is selling online. Still another friend is helping rich people decorate their houses for events and holidays. I'm working on my paintings and plan to stars an online gallery. With your skills in math, you could easily teach at a community college or online. I've been recruited to teach English online to elementary aged children in China. The only drawback is waking up at four in the morning! Again, you'd be surprised how little you can live on once the expenses of working get out of the way. BTW, California is a very expensive location, I would move to Nevada or Arizona if I were you. Or Florida or Alabama if you still want the beach experience.