I decided to semi retire about a year ago, I've stepped down from a senior corporate role to do a simple role working 3 days a week. Best decision ever!
[AMA] Semi Retired at 34, Ask Me Anything!
jaseredpanda on 28/11/2018 - 13:44
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Nope, completely different industry - from banking to now consumer analytics. I've worked in government and management consulting also, and by far the most toxic industry is banking.
Well I did plan on joining my friend who has several restaurants, he wanted to start a poke bowl business with me before the poke bowl boom was happening. However what turned me off was he said he is extremely busy and wanted me to handle the business and he would just provide advice. Which is still a golden opportunity for most people, but for me I just left my high stress role and needed some time to cool down. Since then I haven't put much thought about it, but what I have noticed is people who have their own businesses is a labour of love. There is no time clock on and off, it consumes them which is great if they love it - but I don't want to be like that. So to answer your question, no plans! but whatever it is for my own selfish reasons it'll be a very hands off investment if i diversify haha (probably does not exist)
I feel about 50% confident, but I think if i were to go back it would be at the senior manager level instead. I didn't spend enough time at the exec manager level, unless the role was a starting exec manager role. The difference between the 2 roles besides pay, is a tonne more crazy work hours. It pains me just thinking about the endless emails and pointless power point decks to make
What were you feeling when you were 26 and invested all you had (70k)? Did you have concerns that it might not pay off?
I was working in a management consultancy firm (one of the big 4) doing workforce planning type of role. I was a bit nervous, as the place was a fibro house and needed some work done to it.
My mum even visited the place and questioned why would I buy it and also to knock it down and build a duplex straight up. Which wasn't possible since I was already leveraged and my salary wasn't strong enough to pay for the build at that stage.
What i initially did was move in there myself and patched things up over the next 6 months, then I rented out 2 of the rooms there. Eventually I moved out and rented out the whole place before deciding to knock it down. I almost didnt want to knock it down because the rent was so good. The loan was 405k and the rental income was 530 a week with the best tenant (no complaints!)
I almost didnt want to knock it down because the rent was so good. The loan was 405k and the rental income was 530 a week with the best tenant (no complaints!)
Does indeed sound like a good deal.
I'm assuming the reason you therefore decided to move out was due to a change in life circumstances?
Yes I wanted to be closer to work at that time
Hey buddy
Usually when I see trolls I actually pity them.
The fact that you think someone would make up a thread to get off on living a fantasy life is sad. Probably reflects that you are one of those sceptical people that views the world as glass half empty.
Maybe i'm feeding the troll now by responding, but I wish you the best and to just find what makes you happy in life rather than bring people down.
A quote I read somewhere was "lighting anothers candle with your own fire doesn't diminishes your own"
Very much doubt jaseredpanda signed up to ozbargain 7 years ago (24/12/2011) in order to troll!
Just wanted to say, well done to jaseredpanda. I am the female equivalent to you, we have very similar stories including current net wealth. I'm a year younger than you but I drove the IP acquisitions (hubby is not interested but signed where I told him to sign). We have 4 IPs now. Did you ever participate on the somersoft or property chat forums? Just wondering if we've bumped into each other there before
Hey! good to hear! No I have never been to any chat forums or anything else, just been doing my own thing hehe. Good to hear you've done very well too and congrats on your financial freedom journey!
Great reply!
does retirement change your bowel movement schedules?
I was wondering the same thing!
i can answer this
i work from home, most days 0-1 hour a day. Anyway, i shit once or twice in the morning, ranging from 9am to 10am. Usually after the morning coffee - the lactose in the milk gets it going. I can say my shits are 'deeper' as in i feel my bowels 'more thoroughly empty' afterwards compared to when I had a schedule to keep. Some mornings I shit twice - the 2nd one more runny than the first. Those are the best - i feel balls-deep empty afterwards. Sometimes, after my usual morning shit(s), I shit a little shit at night if I had a big dinner + 11pm snacks.
Thanks, that's really insightful!
no worries mate, doing a midnight crap as I write this. The rain outside tip-tapping on the metal roof of our porch really encourages the bowel to push that little bit more, giving me a deep existential-pondering level of emptiness feeling in my bowels. It's good.
doing a large #2 and having that "empty stomach, i just lost 5kg feeling" is pretty sweet
i too also do a 2nd #2 after my morning coffee, but i only drink black coffee
i used to only do 1 mega dump right after i woke up, but my body doesnt do that anymore. those were the days.
my wife was just reading this and yelled "ITS SO DETAILED, WHY DID YOU TELL THEM EVERYTHING".
I had to correct her that i didnt write this bowel movement autobiography lol!
"tell them everything" hahahaha I laughed way too loudly at the them (us)
This is a fantastic AMA - your life is my goal!
lol! some great answers here.
Don't answer your question, nothing has changed - I've always been a morning crapper. Particularly after my morning tea around 9.30-10am
Well done and thanks for sharing ! Reminded me of this video I saw recently https://www.youtube.com/watch?v=RyF40JydVNU&t=16s and makes me think we could do achieve something similar by adjusting our life choices. Starting with staying off Ozbargain :-)
Oh i've recently heard of them when someone asked me if i'm part of the FIRE movement which I had to google. I'm not but these guys seem hardcore on saving pennies, very inspiring but i'm not as frugal as these guys - they are next level haha
I'm very interested in your analytics executive role. Do you mind telling me more?
hey no problems!
well i've been working in the field of workforce planning my whole career. This involved optimising the right amount of staff to forecasted demand (who we need to hire, what skills we need to train for gaps), and also educating leaders on measuring productivity. I did this in government/management consulting/ and banking roles. I then moved and became an EM to introduce a similar concept for an analytics based company but the role became way too stressful for me to handle. This analytics company is based on actuarial type forecasting using statistical models.
Q?
What are you going to do in a couple of years with the housing market collapsing another 20% probably wiping 40% of your net wealth?
Will you go back to your high paying job or just work more days?
I've already accounted for that, it won't really affect my future plans too much. I've already sat down with my broker and did the numbers before taking this leap e.g. double digit interest rates etc. Also net worth doesnt matter in the next few years as I have 300k in cash and good rental income, it will only matter when I sell and I can ride the wave until the next property cycle
If only more people remain as calm as you when it goes to the proverbial!
as I have 300k in cash and good rental income
Can I have like 5 bucks for the bus mate?
Thanks for sharing! My question is, have you achieved your property portfolio by having interest only mortgages on your properties or have you paid principal and interest? What structure do you have currently?
Currently interest only as i'm quite risk adverse, however been throwing in money in there as if it were principal and interest anyway. So even if it does switch to principal and interest it'll be fine.
Since this is the 2nd time you've made the same error, the word you mean is "averse" not "adverse". :)
Whoops yes! Averse my bad!
get io but then:
however been throwing in money in there as if it were principal and interest
And thats how property investors should be doing it.
It’s interesting what you have done. Takes lot of courage to leave a well paid job especially when you are young and looking to start a family
On granny flat, I wanted to build one but my property agent advised me against it as we have good tenant plus will reduce the rental for main house due to loss of backyard and privacy.
What do u think about it? Learning from granny flat that I build already?
Yeah that was a tough one, I had a decent tenant in the main house and I told him what I had planned. We discussed and negotiated a lower rent which he was happy with, in the end he had to move due to work anyway and I put an advert out saying a granny flat will be built. The old tenant ended up asking his sister to move in which worked out well. Also the granny flat built was done in a spot where the main house and granny flat wouldnt have to interact i.e. I had a fence built up and they use separate entrances. In the end the main house lost about 20 dollars a week but the granny flat brought in an extra 350 which is great. I'll definitely look at doing that again. I always tell people that granny flats have the best yield out of all housing types!
What do you do when you are not working to fill up time?
I've broken it down to a few categories - Health, Wealth, and Hobbies
Health - meditation a few mins each morning, gym - i've set up a home gym with just a bench and some dumb bells, I go for 1km swims at my local pool, and I walk alot to play pokemon go from time to time lol, oh also health includes relationships so i'm trying to improve relationships with friends and family a bit more. Lastly my favourite is signing up for a mentor program to help disadvantaged high school kids
Wealth - work on reducing expenditures such as utilities and other things like budgeting, admin for existing houses, house chores, and thinking about the next thing which will likely be another granny flat.
Hobbies - i love comic books so i have a lot to catch up on (marvel fan), i'm also 80% of the way finishing up my UCS millennium falcon build, thinking of learning to play the guitar perhaps! netflix is also one of my kryptonite as well as anime such as one piece, boruto etc
Don't forget leg day bro.
Was fantasising about duplex a few years ago but gave up due to the enormous costs. Was looking in the old Bankstown Council and they had a floor space ratio of 0.5 which if I understand correctly meant that 600 sqm block could only have 300 sqm living spaces for both duplexes. Is that true or am I missing something?
That would be correct, but you would be surprised at how much space you can get out of a duplex if done correctly. Also use an architect and not those masterton type places, you'll get a custom design to suit your land shape rather than a vanilla template, plus they know tricks of the trade e.g. I have an outdoor patio that extends beyond the 0.5 because its not closed off. You can also ask architects to show similiar places they have done or similiar sized blocks or just check out domain/real estate.com.au and visit duplexes in your area for inspections.
yeh it's a dumb game. For bankstown council you need 15m frontage and at least 600sqm. A knockdown site today costs maybe 700-800k in bankstown. Build costs haven't gone down so you're looking at 700-750k to build a duplex turnkey. After all that, you have 2 shiny new fast depreciating dwellings that you're best off hocking asap for maybe… 800k each. Tiny ass profit margin - make 1 mistake and it's gone, 2 mistakes and you're in the red. If I had 2 sets of 700k to spend, and I HAD to buy property, why wouldn't i buy 2 duplex sites and save a bit more and put grannyflats into the backyards and hold them long term? Duplex only maeks sense for builders who want to buy themselves a job for a year, their profits are in savings basically. Real money is in multidwelling developments but then you'd need min 22m frontage on r3 zoning so thats' at least 2 blocks together, usually individuals don't have access to that sort of capital and the lack of competition is why there's still money in townhouses.
Yep agree. Duplexes are not meant for the short term game. Definitely bigger money to be made for r3s town houses
In Melb you can do 3 townhouses on a block the size OP has talked about (my neighbor just did his block). I don't think the lifestyle you are affording people in that is great though. They built a big one out the front which they sold for 900k and live in one out the back and rent the other, so I think they probably covered their costs with that one sale (or have a very small amount to pay off).
yeh melb has crazy relaxed development controls compared to sydney. It's all priced in though - in the melb scenario say you spend 500k on a knockdown site, 600sqm, u can fit 3 townhouses on it, build cost maybe 900k, might be able to sell each townhouse for 500k. It's not easy, too much competition from other little guys.
@echelon6: It depends on the council in Melbourne.
Bayside and you will be lucky to sub divide at all, and if you can, the rules are extremely.
Glen eira has a 50% rule
Not sure about the other councils
while you are semi-retired now, just await the tsunami about to enter your life when you become a parent. you will wonder what was your life before. Sounds like a good project to get started on, especially as most couples tend to have 2 kids. 34 /35 is a good age to start, you will be 55/56 when they have their 21st and older for the second. Looking long term, late 60's/70 if you become a grandparent. This assumes no miscarriage or cancer/heart attack. The clock is ticking.
the good news is i have another friend who is retired now, so I can see how he is balancing his life - i see how lucky he is that he gets to spend so much time with his kids compared to others that work. I'll be really grateful if and when I get that opportunity
What would you say are you 5 top skills that have helped you succeed in your career to be that ahead?
Oooh interesting question.
In no particular order:
- being assertive
- I believe I'm an articulate communicator
- I'm a really structured person, to a point where it's a bit OCD. E.g. for my wedding I planned the whole thing and told my wife just show up please
- I'm quite strategic so I like the think about the end game a lot. Side note - I'm really good at board games haha
- I take calculated risks, a lot of people are risk adverse but to the point where the numbers work out in their favour but they take no action. On the flip side there are people who love risk and get in too deep with no home work done.Of course with these 5 top attributes I also have top 5 terrible attributes too lol
That was an awesome question and a pretty sweet answer.
Of course with these 5 top attributes I also have top 5 terrible attributes too lol
Could you share what you think these are?
Top 5 bad attributes:
- I'm actually extremely lazy so I have to constantly fool myself to get anything done. E.g. i need to accomplish small tasks first to build momentum to tackle bigger tasks, it could be the smallest thing like get a hair cut and then later i'll have the momentum to paint a house haha. But if I had to do a big task first i end up taking naps and distracting myself saying I will do it later but the day finished so i'll tell myself tomorrow is another day
- I can be stubborn and opinionated, but I know this so I tend to listen a lot more to understand viewpoints
- I'm not a shopper but once in a blue moon i'll splurge on something big
- I'm bad at organising social catch ups, generally I've been more reactive. Meaning people reach out to me to catch up and I don't really reach out to people which I'm trying to make a conscious effort
- I have an addictive personality so I need to stop myself from doing things e.g. I haven't drunk any coffee for over 5 years, before I used to have about 4 shots a day
@jaseredpanda: You could be my twin (with the bad attributes)…
Great AMA mate & well done.
Land tax is a killer here in VIC and I'm not even sure about the granny situation either. I do something similar to you (without being semi-retired) and invest in Display Homes. Great returns & when it comes time to offload, either rent it or move on.
@khomeini: Thanks buddy! glad there are others with similiar bad attributes haha!
Congrats on your investments so far! sounds like a good plan
@jaseredpanda: Word of advice for your addictive side…. Paint by Numbers - give it a shot ;)
(Gives you time to reflect/think & you get a cool piece you've actually done yourself). Helps if you have a competitive streak - both my wife have this & the addictive personality so it's fun (until an accident happens).
@jaseredpanda: Painting kit which you can do sent out to you - only costs $10-15 so great for the frugal-minded. You don't have to be an artist - but does give you inspiration & meditation aspects. Would be suited to you as I'm sure you have some time to kill. :)
See here Paint by Numbers
@khomeini: oh wow thanks man!
i thought you had to paint literally using just numbers. So a bunch of say "7's" again and again until you paint an elephant lol
This makes more sense now
Hey congrats on the high level of achievement man. Well done. You took risk and it paid off, don't let people make you feel 'lucky' or whatever - everything in life is chance and we're making bets all the time - doing nothing is a bet - getting wealthy is about making the right bets more often than not, sustained over a long time period. I see that one hater that didn't believe you - that's the best feeling, it's like if you're playing a game and you're really good and get accused of hacking - it's simply the best compliment. Well done.
Questions
1) dialing back at work - can you elaborate more? personally interested in this. Was it starting to affect your mental health? Did it affect personal relationships? Health?
2) 1.6m networth, impressive though it may be, is probably insufficient for a life in Sydney, especially if you eventually want kids. At a swr of 4% that's only 64k pa pretax. What's your long term plan? I guess this depends on your answer for the first question but if you left because it was so toxic to your wellbeing, can you see yourself going back eventually? and if not, what other wealth-building plans do you have, long term?
3) why not build the grannyflats asap? no asset class yields 15-20% and thats' before negative gearing the depreciation
4) is your partner supportive of your semi-retirement? does she see it as weakness?Again, well done.
Thanks dude for the kind words!
Yes it did affect me mentally a lot. At first it was such a relief but people around at work did question my work commitments since stepping down to a junior role and then to 3 days a week, but over time they realised I love this company with what they do and the people are great. I still get the occasional comment that I'm so lucky, which I shrug off as "yep just got lucky" haha. Then being at home 4 days a week, I'm quite the home body - didn't work out too well. I felt like a recluse haha. It felt easy to fall into that like a Netflix vortex where you watch another episode until the sun sets. So I made sure I went out to do things like stay active and talk with people. After a while of doing productive things I still felt empty and hence signed up to mentor kids which feels really great to contribute back to society. So there were different stages i felt, being aimless, then being productive but feeling a void, to now helping society a bit and feeling good. However I'm still learning about what I am passionate about in life, don't have that answer yet but at least i know what I don't like.
The net worth is ok and agree not sustainable. The main thing I'm trying to sustain and grow is the cash flow, so regardless of the equity - if I can get good income it won't matter. To grow I am building another granny flat in the future and also selling a house in the next property cycle to reduce debt. That'll help a tonne.
Yes in the process, I wanted to test how the first one went which was a success. Wasn't sure about the appetite for the area. Next one in the beginning phase to plan.
She was a bit concerned at first but definitely wanted my mental health in check. The toxic work place was in banking, my current place in analytics is great just to be clear. It helped that she can also semi retire too right now but she loves her job. Comes up a fair bit when we meet new people or talk to friends, they turn to her and say well what about you how do you feel about this? Haha every time.
Comes up a fair bit when we meet new people or talk to friends, they turn to her and say well what about you how do you feel about this? Haha every time.
It sounds like those people are not really your friends.
How much do you trust your partner and your understanding of her values?
Some women are impressionable, vain, materialistic, expect to be provided for, and will start looking for the next branch when faced with a cut in income and/or social status. Provider beware.
Yeah my wifes amazing, she was with me before I had anything and also she's the type who wants to keep working full time despite winning the lotto. She's passionate about her job which I don't know that many people who are.
Also I might have phrased the above wrong but people are usually just having a laugh. Our friends always give each other stick which I'm a huge culprit at doing so lol
What are some of the big mistakes you made shopping the way?
Any regrets?
Do you feel like you've made any sacrifices to get to this position?
Big mistakes I made were not executing sooner when I had a plan in place. I was ready to buy potential places in Lidcombe back in the day for around 500k with great land sizes and because of my laziness of doing it later I was priced out. It wasn't a rushed decision as I already did my homework but I just didn't act on it. Oh also just remembered I painted a house myself which took several months when I should have paid someone to do it and move tenants in sooner haha
I don't feel like I've made big sacrifices, I just managed to fool myself by putting good sums of money away from my eyes. I still had enough to live humbly. I spent a lot of time hoarding annual leave so I could take really big trips of up to 8 weeks. So a trip every 2 years overseas, that was tough with no holidays for 2 years but I still really enjoyed my time and still prefer doing it this way.
Nice one OP. Good job.
My question: During your main working years (26-35 by the sounds of things), on a scale of 1-10 where 1 = not very tightarse and 10 = very tightarse, how TA were you?
What I have in mind with this question is how much time did you spend on thinking of how to save money (reduce your expenses), or did you tend to spend more time looking at how to grow money? By the sounds of things, your investments are not very diversified as you yourself admit, so I get the impression you didn't spend a huge amount of time looking at how to grow your money other than through property.
One of the criticisms I tend to get is being too much of a saver rather than a grower, but I ultimately do have aspirations to be in a position like you.
I would say a 3 to 4. I still managed to go on holidays, do social things, and splurge once in a while. But my friends who were opening up businesses would check in if I wanted to jump in but I never wanted to commit to big amount like 100k plus. But that's probably not a TA thing anyway. I think I have been fortunate to work up the ranks and never felt too much of a need to be TA
What are your views on credit card? Keep it or scrap it?
I am not the OP but if you are savvy about cards - you can make it work in your favour, easily.
I agree with the drunk guy lol
But for me I never had a credit card as I never saw the need to use money that wasn't mine the risk that I would pay interest.
Also an interesting fact is what ever is your credit card limit, is marked as expenses when you get a loan. So e.g. 1000 credit card limit means you're down that much a month. The bank sees things as the worst possible outcome. So consider that if you need to get a loan, speak with your broker.
However I do have friends who use their credit cards for everything and enjoy their points they gather and save on travel insurance etc. So like Mr drunk says it can work in your favour if you're diligent and don't need to scrape by on a loan
The only credit card I have is 28 degrees for overseas travel
Well done, I'm 34 and working more hours and making less than ever before :D go me!
All have our own paths and timelines! Try and find something on the side you enjoy that could make you some money or some financially savvy mates who you trust for advice
Have you ever done it on a pile of money??
Only monopoly when I win
What are you buying your wife for Christmas?
Hmm we usually limit ourselves to 100 bucks or so and it's not much of a surprise when we ask each other what we want. She's been wanting earphones so i'll have to scope that out hehe
How about you?
I was hoping to get some inspiration from you :)
I'm closely monitoring OzBargain deals looking for a bargain gift. I almost pulled the trigger at a Dyson Hair Dryer, but still needed to be a bigger bargain (don't have Amex).. :)
I might end up just getting her some roses from the garden.
lol! sorry cant help you there but i might steal your idea on roses from the garden!
There's a gap with your financial situation here…
Great, by 33 you were earning 190K, but that still, in no way allows you to retire, even if you're saving like crazy.
The Tax system will ensure you only get almost half that, so i'd average around $2,150 / week net wage.The point i'd like to focus on is this:
I invested in properties at the age of 26 (no parental help, they are actually really bad with money)
This is probably what allowed you to retire early on, yet no mention on how many 'propertie(s)' you bought and how you managed to pay them all off when 75% of your income was going to a Net Saver.
Having said that you were also earning 60K at 22, so what did you get in 4 years to go out on a property buy binge?hey buddy
i think i mentioned it somewhere else on this thread, but essentially i started off with one by 26 with 70k savings just a 450k fibro house, after 2 years or so i was able to draw equity and purchase 2 more out west where the places then doubled again. They were only about 380k each, all houses with land. I've put a granny flat on one and soon hopefully on another, then i knocked down original fibro house for a duplex. So to answer your question it wasn't a binge, it was one that built upon more through equity. I was working in retail so had about 20k or so i recall and the other 50k must have been when i started corporate.
Paying off a 450K house (presumably principle left = 390K after your deposit of 60K)…2 years later will not have driven the 390K principle down to anything more $350K, so equity wouldn't be more than $50K
So say had a $350K liability on your first purchase… and Bank also allowed you to purchase 2 properties totaling $760,000??
I understand property prices went up later, but at least for the 1st year or purchase, how did you manage a million dollar debt with income less than ~110K?I cant recall how many years when I purchased the next 2, but it might have been 2 or 3ish years by then i recall house prices in that area rose to about 600 to 650k. by then my salary had also risen from about 100k at age 26 to about 140k i recall age 28, i had no credit cards, no other debts and I had strong tenants. I was able to show the bank on market rental rates in the area too. My broker was also a good friend so he gave me good advice, I do recall being gobsmacked when my preapproval to purchase places was so high - i think banks were quite lenient back then. Being risk averse I didn't even borrow up to that max limit.
wife income, combined applications. I assume his nw figures are household figures not him individually. Also pre apra lending environment etc.
@echelon6: Dual income makes everything doable.
Single income in sydney = total pain.Also living at home, so no rent on application and saving $ too?
Dude 4 days weekends every week is the fn dream! Congrats! Stressfree > high salary
Dude exactly right!
An old boss of mine celebrated at becoming head of a department by buying a 30 ft yacht… in my mind i was like… dude you've just committed yourself to working even longer. He knew nothing about yachts and i think its a boasting piece he uses every time he speaks. Mean while I'm happy with just catching the train to work, that simple life haha
I had a boss who is from a rich family and bought a yacht when he hit a certain point in his career. He must use it less than 10 times a year. One good thing he does do every year is have his immediate team go on an xmas cruise one Friday arvo on him. But really, unless you are going to sail that thing around Sydney Harbour every weekend, it is a massive money hole!
Do you have any asset protection in place in the hopefully unlikely chance of a relationship breakdown?
Do you have any life insurance or income protection insurance?
he said his wife got with him before he had anything so it's fair she gets half if they split.
I was thinking the reverse scenario where his wife may try to claim more than half.
Are the assets in a trust? Under joint names?
Have you had the discussion of how things would be split if something were to happen? It can be a difficult topic to bring up and talk about. If you did how did you go about it?
I was in a similar situation to OP and had amassed a net worth of around 1.5 million by the time I was 28. I had put in an extra $87k at the start and did not have anything formal written down regarding a breakup. Luckily we parted on good terms and everything discussed was honoured and went smoothly. I started everything again at that age and now NW of around 2 million at age 36. I'm about to get married in a couple of months to someone with only $20k or so of assets. I'm very worried as even with all the correct prenups and structures there seems to be very little protection in my state after a breakup.
I have to say that my first relationship did break down because we started working towards that $1.5 mill very young and it was the main focus. Not having the life balance in there really killed it. At one point I was day trading on the share market with $200-400k in market at a time. It really had an effect on my mood for the day. Waking up and seeing your balance has gone down $6k overnight. That would carry throughout the day. I would be over the moon when the opposite happened.
I have to say at the end of the day mine has been a very bad story and I'm not in a great situation.
wow thanks for sharing. I feel like you're quite money savvy anyway so you'll be fine!
we've discussed this and my wife is a very prideful person and would only want a share thats fair. to me even if we went for half i'm fine with that anyway as she's been through all the blood sweat and tears of renovating and everything.
congrats on the wedding! all the best bud
NSW property held in a trust = land tax galore. Trusts get no land tax threshold so you end up paying 1.6% pa of land value. For a 500k crapshack in rooty hill, rated land value might be 300k, so 1.6% pa of that is almost 5k. That's probably 25% of the gross rent pa.
Not to mention other (profanity) like family court can set aside trust arrangements.
If you wanna protect yourself from your wife… keep her happy. Or, you know, don't marry in the first place. Or hide assets, but don't make a mistake, because family court can impose penalties (e.g. she now gets 70% because you tried to hide assets).
Wow I'd make sure I'm marrying the right person!
What echelon said, and no for either of those. I have considered it but maybe this is me living life on the edge? or poor planning lol
I do have land lords insurances in case anything happens with tenants
Who do you use for Landlord insurance?
Recently the quotes have gone up approximately 20%.
one of the big 4's
@jaseredpanda: Thanks.
My strategy to to spend less, and invest the remainder (eliminate debt first).
Hence why I asked, as essentially I try to pay the lowest price for a product, on every product (including insurance). So long as the product offerings are apple with apple (comparable).
@movieman: great strategy! i'm trying to do that too on my days off, look at ways I can save money whether thats utilities bills or insurances. right now i'm certain i'm paying more than other options out there for landlord insurance so keen to hear what you find!
Congratulations on your successes and semi retirement, and even better that you are still humble and thinking of yourself first. My father in law gave me the spiel about how family comes first and to live comfortably. I too am in the workforce planning gig with big4 and now government and hope to be where you are someday but have missed the mark in terms of property & savings so i guess ill be working for quite some time. Great tips (IE savings in your previous comments)
Thanks buddy! your father in law has sage advice. I'm still trying to focus on being closer to family and friends as a goal of mine too.
Good to see another workforce planner haha
Awesome and congrats on living life in your terms.