Yes. See the “Can I retire on $300 000?” link above.
What about a $1b salary?
Your net worth can be $250,000 – $300 000 in total – depending on your expenses. That includes $250,000 for a mortgage or rent, and $300,000 to fund retirement. If you put aside a $1b salary that is lower than your expenses you can retire (it has to be $500k to be eligible) with net worth at $2.5-3.0 million.
See this example:
You have been employed for more years than you are currently retired, and you have $2.5 million net worth. You have $250,000 saved up (not necessarily in a Roth IRA) to pay your mortgage or rent on time and have retirement at a $300k-plus net worth.
Example: If you have $250,000 saved up and retire with $3,250,000 you’ll generate $735,000 – more or less – net worth over 30 years.
If you have $1,000 saved up and retire with $2.5 million you’ll generate $550,000 – a 50 per cent difference.
If your net worth is smaller than the $300,000, you might consider a lower percentage of your income. See the “Should I focus a great deal of my income towards retirement?” discussion above.
Note that when doing your monthly math – which will be required if you are retiring while living in your car – you need to factor in the “net worth” of any rental. For example, if you have $1,000 for your car, you need to subtract that from “net worth” to determine how much you need.
Note also that you can only retire when living in your car. Not necessarily if you have a house, or are currently in a housing market where rent has grown substantially (which is typically the case in a rental or rental-to-own arrangement).
If you don’t have a house and you have $0 to invest, but want to retire on $1+000 a month, don’t worry. Your net worth can cover just about everything you need:
You will probably not need to pay as much as $3,600 a month
Your expenses will be relatively low relative to income
You can use a 401K and Roth IRA to supplement your income
best stock swing trading books, definition swing trading, swing trading strategy guide ally auto, ibd swing trading method, swing trading stock picks newsletters examples for education