I'm 35 in Norway (might move somewhere cheaper), and after getting an inheritance I have about 590 000 usd in savings. With safely investing that money, living somewhat frugaly, could I retire on my investment?
I've tried doing the math myself, and it seems doable?
Looking for tips on how to do that safely, and maybe the maths on if it would be enough.
Posted by Tapas91
6 Comments
What would your estimated annual living exoenses be?
Dont really see how it would be enough. You need to have it both grow and keep up with inflation, but you also need to withdraw enough each year for a reasonable salary/pension. At least for anywhere in Europe.
Also try r/eupersonalfinance
Norway never struck me as a place that you could retire for 65 years on only half a million.
Most of the people on Reddit are from the states. You will probably have to go to Norway specific subs for this answer.
If you move somewhere cheap like SEA definitely, that’s basically 12k usd a year for every year left of your life, you’re norwegian so I imagine you’ll get a pension or something after 60, so definitely achievable.
I wouldnt do it but you do you! Maybe a mid-life retirement/ break if you just need a reset
I think it all depends on your expected cost of living. Retire in Norway or any other place in western Europe? Probably not. I had a long chat with one of the robots about this, and determined I could live comfortably on $40k per year in Colombia, with regular visits back to Europe. You can also live much cheaper in places like that, say $20k/year, but life will be a lot different from what you are used to. If you invest the $590k now in a global ETF like VI or something, project a conservative average annual return of 5-6%, you can crunch some numbers and see how long it will last. You will have to touch principle, as the return is not guaranteed every year, so it gets a little math-y.