Retire In The Philippines With $200,000 Of Savings?

[scott h]

My Sister in Law

 

Same with my Brother in law.......took lump sum at around 55 years of age. Used the balance for some silly stuff then get his daughters through nursing school. He gets a small SSS pension, but his real retirement plan is the Girls. Right now both daughters living in the states, he lives with one taking care of the grand kid, his wife is still here in the Philippines taking care of mother in law, but plans to join the girls sometimes this year.

 

The attitude is "Live long enough to become a burden to your children". Alien to us, kind of like the western world in the early part of last century.

[Ynot]

Interesting topic, its possible I suppose to live on 200,000 but I will have more and it will be conservatively invested, in managed super fund paying me monthly income, and when not if there is another downturn, then i will make sure i have sufficient funds to ride it out separate to the money in the super fund.  Unfortunately, how our system works when your money is invested in a retirement super fund the minimum you must draw every year is 4% up to age 65 then 5% after age 65 and it goes up as you get older.  so if there is a downturn, I will draw the compulsory % and invest it back in the stock market, in the bigger companies, the blue chip companies so that when their prices do recover hopefully my money has grown too.  But unfortunately, that money invested back in the stock market will be taxable whilst the money in the super fund will not be taxable provided you are over the age of 60 and the super fund you are invested in is a complying super fund.  Furthermore, the money I have to draw down on can not be put back into the super fund unless I start working again which I do not want to once I've retired.  So I will have to be content on paying tax on those funds I've had to reinvest, but at least in the recovery I would have bought the shares at the lower price (depressed price) when sometime later they have recovered and are worth more.     :)

[stevewool]

WOW all these super funds and investments, look what happened the last time,

My way of dealing with this is just to have enough cash to last you, i am not into investment here and there but hard cash in my hand that i can count one day and then next month its still the same or even year ,

I am not saying its wrong or right what others are doing but i cannot take a gamble on my cash losing , but hay ho it would be wrong for all of us to think the same and to be the same too,

Good luck to us all i say in what ever plans we make

[bows00]

My way of dealing with this is just to have enough cash to last you, i am not into investment here

 

I think most of us could benefit from understanding the "bucket strategy" when drawing down from your investments during retirement.  And I agree, you have to have a cash bucket to draw money from to pay your daily expenses, but you also need an investment bucket (like index stocks) to keep you above inflation and to prevent your principle from withering out. 

 

The strategy is quite simple - when your investment bucket is doing good, make withdrawals and pile up your cash bucket.  And when your investments are down, leave it alone and give it time to recover - in the meantime, hopefully your cash bucket is big enough to draw money and maintain your life style until your investments recover.  And when your investments recover, pile up your cash bucket again - rinse and repeat and your money lasts forever.

[expatuk2014]

For all you UK expats and those that are thinking of retiring  here to this lovely country,

just a little warning! if you are still working and you have taken out a private pension plan.

This is my Experience I worked for 19yrs at the Bowaters Paper Mill in the UK.

Which was Bought out by the Management ! And with the Unions working with the management

we had to transfer our company pension plans to private companys !! which with the threat of losing our jobs if

we didnt ! we did just that, with bad advice

ok yes I admit I took out the allowed sum of cash, and took the family to Disney in Florida.

But when I came to retire the nice people at the pension office told me that because I was contracted out of the

NI pension scheme I lose 58 pounds a week pension !! ( there was no mention of this in the private pension paperwork which I stiil have !! )

even with my UK monthly government pension and my 2 small private pensions I am still 1500 pounds a year worse off !!

luckily the little woman has her UK pension and here GSIS pension so we are still doing ok !

Edited May 12, 2015 by expatuk2014

[Call me bubba]

we had to transfer our company pension plans to private companys !! which with the threat of losing our jobs if we didnt ! we did just that, with bad advice ok yes I admit I took out the allowed sum of cash, and took the family to Disney in Florida.

 

But when I came to retire the nice people at the pension office told me that because I was contracted out of the NI pension scheme I lose 58 pounds a week pension !! ( there was no mention of this in the private pension paperwork which I stiil have !! )

 

 

 do you have any LEGAL RECOURSE? a class action as it effects many.

[expatuk2014]

 

we had to transfer our company pension plans to private companys !! which with the threat of losing our jobs if we didnt ! we did just that, with bad advice ok yes I admit I took out the allowed sum of cash, and took the family to Disney in Florida.

 

But when I came to retire the nice people at the pension office told me that because I was contracted out of the NI pension scheme I lose 58 pounds a week pension !! ( there was no mention of this in the private pension paperwork which I stiil have !! )

 

 

 do you have any LEGAL RECOURSE? a class action as it effects many.

 

regretfully no the " Pension advice company was taken over and later the company went bankrupt " even the paper company I worked for got sold off to a New Zealand company that no longer exists ! Yes this affects many UK pensioners I know of several in the UK who have also received the " Sorry but due to you being Contracted of the NI scheme your pension has been reduced by ********* amount " :th_unfair:

If I was in the UK now I would have to try and live on 135 pounds a week !! as being a UK pensioner thats all I would get now

still I could always go back to the UK as an Immigrant and get a house and benefits ! :hystery: