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#**8028** (**permalink**) 02-07-2015, 07:24 AM

Thank you sir for this great advice. It motivates me to know that we are on the right track and can actually retire by 55. We will work hard and try to save as much as we can. We can start investing now.

Have a great day, sir! :-)

Quote:

Originally Posted by Unregistered

Hi,

It is possible for you to retire at 55 based on these assumptions and conditions when you reach 55

1. Your condo fully paid
2. Kids are grown up and working, hence no more expenses for the kids
3. Your parents are no longer around, hence no more parental allowance for them
4. You don't drive, hence no more expenses on car
5. Insurance expense halved as kids will pay their own insurance

So, expenses cut will be $(2400 + 1800 + 1000 + 1400 + 800) pm = $7400 pm

Your expenses will be say $4000 pm or $48k pa, including holidays.

Since you save $59k pa, over 15 years, you will save $885k. You then invest in 5% dividend yield stocks to give you $44k pa. Your kids will each give you $1k pm, so in total you get $24k pa. Passive income total $68k pa. You can save $20k pa.

At 65, you will get an extra $3500 pm or $42k pa from CPF Life. You can save this or spend more on holidays or buy a car.