What you listed below is quite accurate for a simple lifestyle. For us, in addition to what you listed, we have the following items:
1. Maid - $1000 pm (salary, levy, insurance, medicals and air tickets)
2. Car - $1,800 pm (depreciation, road tax, insurance, petrol, maintenance,
erp). We dont have to pay for car park in our condo.
3. Life concerts and shows - $100 pm (averaged out - maybe 2 such shows a year)
4. Parents allowance - $400 pm
We estimated we would need $7k pm or $84k pa. to support our retirement lifestyle. Currently our passive income is almost $150k pa, but we are not retiring yet as we are in the accelerated savings stretch of our working life. Where our liabilities and financial obligations are tapering off and our salaries have peaked. We will try and maximise this golden period for as long as we can. Imaging saving $350k to $400k a year is a lot to give up.
Quote:
Originally Posted by Unregistered
By the time we retire at 55, we have cash savings of $750k. We calculated that from 55 to 65 years old, our total retirement expenses will be $500k. This takes into account inflation.
At age 65 onwards we will receive $48k pa from our CPF Life and another $12k pa from stocks dividends. In total our passive income from 65 onwards is $60k pa.
We will be retiring in place in our paid up 3 bedroom condo (worth $1 million). We do not need to downgrade to retire. We are now 46 & 48 years old.
At age 55, this is our expected expenses per month
Food, groceries, utilities & condo fees $1500
Public transport (our condo is near an MRT station) $200
Medical insurance & fees $800
Entertainment & holidays $500
Miscellaneous $500
Total $3500 pm or $42k pa |