In an era of high inflation a $ amount is meaningless. What matters is how many times living expenses do you have in the net worth (and don't forget to account for taxes and health care costs which are silently covered now by tax deducted at source and employer subsidized health plan). It might be more interesting to see what is happening with that multiplier over time -- is it going up/down/staying the same?
My net worth has gone up a lot in the last 5 years, more than 50%, but my living expenses have also gone up 50% or so. So I don't really feel any closer to retirement. I keep hitting my "magic number" in $ terms, but when I do the analysis, I find it comes up short. And to generate larger $ of living expenses will put me in a higher tax bracket, which means the earnings on my savings won't go as far.
My net worth has gone up a lot in the last 5 years, more than 50%, but my living expenses have also gone up 50% or so. So I don't really feel any closer to retirement. I keep hitting my "magic number" in $ terms, but when I do the analysis, I find it comes up short. And to generate larger $ of living expenses will put me in a higher tax bracket, which means the earnings on my savings won't go as far.
Statistics: Posted by anoop — Wed Apr 10, 2024 12:59 am — Replies 192 — Views 31710