much money do you need to move to and retire in a new
country? That question might seem like an obvious starting
point for planning a retirement adventure overseas, but I
suggest another tactic.
Rather than figuring out how much money you need to retire,
I suggest asking yourself how much money you have for
retirement. Regardless of where you dream of enjoying your
retirement years, you need to take stock of how much
retirement income you can generate. The easiest way to
approach this is to calculate what your retirement nest egg
amounts to on a monthly basis.
minimum amount you're going to need to be able to retire
overseas and live a reasonable, comfortable life is about
$700 per month. If this is your budget, your choices are
limited, but you have some good ones. But if your Social
Security income is less than $700 a month and you have no
other pension to count on, you still have another option for
retirement overseas: Calculate how much you would have if
you sold everything.
Don't be shocked. Stick with me. This is only an exercise.
But I think that, once you've walked through it, you'll see
the beauty of this straightforward approach. Think about it
this way: If you were to liquidate every asset you own, what
lump sum of capital would you net? And if you invested that
money, what level of yields and dividends might that capital
generate on a monthly basis? That's how much money you have
Begin by detailing the value of every asset you hold,
including cash deposits, retirement and investment accounts,
real estate, vehicles, collectibles, coins, precious metals,
antiques, jewelry, and insurance policies. Next, itemize
your liabilities. Then balance the two figures to determine
your current bottom line. This is your starting point.
To calculate your total potential retirement income, first
you want to eliminate all debt. Then you want to convert as
many of your fixed assets to current assets as possible. You
do this by selling them off. This is the total amount of
capital you could have to put toward funding your retirement
Step two is converting that lump sum into a monthly overseas
retirement budget. You accomplish this by determining the
level of yields and dividends your total retirement nest
egg, once invested, might generate on a monthly basis. You
can then add in whatever Social Security or other pension
income you're expecting. Armed with this figure, you can
begin to consider where best you should plan to launch your
new life overseas.
retiring overseas from the comfort of your living room
with this comprehensive new guide from Kathleen
Peddicord, a true expert on the subject who has actually
retired abroad. Save time, money and energy by
learning from her experiences. Learn how you can
comfortably retire abroad even on a limited income!