Toronto woman single 55 wants to retire. can she afford it

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Financial Independence $400,000 At 55 Years Old and Retire Early

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We aim to create a safe and valuable space for discussion and debate. All comments will be reviewed by one or more moderators before being posted to the site. How to calculate withdrawal rates on your RIF. But Nathalie has three questions.

And if so, then I should sell some equities every year and buy a new five-year GIC rung to compensate for the GIC rung that has been spent in any given year, right? Or if not, then I feel like I should let the allocation gradually drift toward equities to finally reach a allocation at age What should I do? And she plans to spend all her money by age Here is his assessment of her retirement numbers. This just goes to show you that retirement modelling is a sensitive science. Most of her expenses are likely fixed expenses. Averages are a starting point—Nathalie knows best what she spends and can live on.

This 51-year-old woman wants to pay off her mortgage before retirement

How to make your TFSA and your work pension work together. She may buy three or more cars during the rest of her life, and that needs to be considered. She owns two properties, including a rural cabin. Ongoing repairs and renovations may be required and may not be factored into her budget.

At 51, and with a costly divorce behind her, Zoe wants to start planning for retirement. Short term, she wants to take a vacation in the Caribbean with her family and upgrade her two bathrooms. Longer term, she wonders whether she can afford to retire at the age of 58 or Her savings are modest. We asked Brent Soucie, a vice-president at T. Wealth in Toronto, to look at Zoe's situation.

How to retire at 55 with $586,000

Zoe's financial situation has been tight for a number of years, yet she has managed to build some savings, pay down a large portion of her mortgage, and amass a very healthy pension benefit, Mr. Her first priority should be to ensure that her mortgage is paid off by her retirement date, Mr. Soucie wonders how much Zoe can truly increase her mortgage payments. She shows a monthly surplus but she wants to travel and do some work on her bathroom, which will eat up any spare cash she might have for a while.

Whether Zoe stays put in her existing home until she retires, or downsizes, is a personal choice rather than a financial one, the planner says. When she retires, Zoe will likely have to sell and buy a less expensive place but she'll be in a better position to do so nine years hence. This assumes a modest annual growth rate in housing prices in her area.

It is important to note that inflation will also apply to her living expenses, Mr. Soucie has not included it in his calculations. Whether to pay down her mortgage or save for retirement.

How to retire at 55 with $, - MoneySense

When to downsize her home. Direct all surplus cash flow to the mortgage. Plan to work to the age of 60 and make the downsizing decision when she retires.