Hi everyone,
I’m 53, living in France and planning to stop working next year. I currently earn €2,600/month and I’ve saved up around €600,000, and I’m trying to figure out how to turn that into a stable income for the next 20+ years.
I live with my wife (she doesn’t work), and we have two kids — one will still be financially dependent next year. We don’t pay rent because we live in a family house that we rent out sometimes on Airbnb. It currently brings in €14,000/year, but I plan to rent it for 2 months instead of 1, which could increase the income to €24,000/year net.
I expect to receive a retirement pension of €1,200/month starting in 5 years.
I’m considering investing in:
– ETFs (especially dividend-focused and global ones)
– SCPI (French real estate funds)
– Assurance-vie (French life insurance with investment options)
– Keeping some cash/liquid funds for flexibility
My goal is to generate around €2,000 to €2,500/month without burning through my savings too fast.
I’d love to hear your thoughts on:
– How to structure my portfolio for income and security
– Which platforms or brokers you recommend
– How to optimize taxes (PEA, assurance-vie, etc.)
– Any lessons learned or mistakes to avoid
Thanks so much for your help!
Planning to stop working at 54 — how to build a sustainable income from savings?
byu/OkKaleidoscope4309 infinancialindependence
Posted by OkKaleidoscope4309
2 Comments
What’s your savings in currently? Cash?
The general rule of thumb is a 4% withdrawal rate/year to sustain a 30+ year retirement. Of course this varies depending on risk tolerance, asset allocation, etc but it’s a good starting point.
With €600,000, you’re looking at a €24k/year or €2k/month withdrawal. Combined with your pension of €1.2k, you’ll have an income of around €3.2k/month which seems very reasonable with your current income.
Can’t really answer your other questions as I’m not in the EU, but you seem to be in a good position to retire.