How much money is enough?

How much money is enough?

  • Nothing, I don't need money

    Votes: 5 1.5%

  • R50,000

    Votes: 5 1.5%

  • R100,000

    Votes: 6 1.8%

  • R500,000

    Votes: 0 0.0%

  • R1,000,000

    Votes: 2 0.6%

  • R5,000,000

    Votes: 24 7.3%

  • R10,000,000

    Votes: 52 15.7%

  • R20,000,000

    Votes: 86 26.0%

  • R50,000,000

    Votes: 51 15.4%

  • More than R50,000,000

    Votes: 100 30.2%
  • Total voters
    331
R50m is "only" $2.6m which is a lot in SA, but probably ok in places like the US and not that much in coastal cities where houses are $1m+.
Keeping spending power intact is the hardest part of this number.
 
And for those saying R20m or r50m is not enough, just how close are you to achieving that number because I assume you must be close to know that? :ROFL:
 
hj007 said:
And for those saying R20m or r50m is not enough, just how close are you to achieving that number because I assume you must be close to know that? :ROFL:
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I'd assume it is people that want a figure that would allow them to stop working and live in luxury.
 
hj007 said:
R50m is "only" $2.6m which is a lot in SA, but probably ok in places like the US and not that much in coastal cities where houses are $1m+.
Keeping spending power intact is the hardest part of this number.
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Yeah, R50m is only enough for retiring overseas (first world) if you are very frugal.
 
Gaz{M} said:
FTFY
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20 million buys you a decently sized home in a good area which you could Eskom-proof; it gets you a good mid-range car; it pays off your debts (unless you have outrageous medical bills or something), and you'd still be able to come out with ~10 mil+ that could be invested. Using a bunch of random online interest calculators, you'd get around 60-70k per month in interest if you invest 10 mil. With no debts, that 60k is pretty good living. You could also buy a couple of cheap rentals in a prime location to generate further income streams and supplement the interest income.

I'd personally still work so I can instead accumulate the interest for a few years, but at least I'd be comfortable knowing my house, car and debts are settled and I'd have the peace of mind knowing I'd be immune to Eskom's rubbish. You are already living better than the vast majority of South Africans at this point.
 
Harold_Crick said:
20 million buys you a decently sized home in a good area which you could Eskom-proof; it gets you a good mid-range car; it pays off your debts (unless you have outrageous medical bills or something), and you'd still be able to come out with ~10 mil+ that could be invested. Using a bunch of random online interest calculators, you'd get around 60-70k per month in interest if you invest 10 mil. With no debts, that 60k is pretty good living. You could also buy a couple of cheap rentals in a prime location to generate further income streams and supplement the interest income.

I'd personally still work so I can instead accumulate the interest for a few years, but at least I'd be comfortable knowing my house, car and debts are settled and I'd have the peace of mind knowing I'd be immune to Eskom's rubbish. You are already living better than the vast majority of South Africans at this point.
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The R60-70k interest is before tax, it'll work out to R40-50k after tax if it's your only income.
 
Harold_Crick said:
20 million buys you a decently sized home in a good area which you could Eskom-proof; it gets you a good mid-range car; it pays off your debts (unless you have outrageous medical bills or something), and you'd still be able to come out with ~10 mil+ that could be invested. Using a bunch of random online interest calculators, you'd get around 60-70k per month in interest if you invest 10 mil. With no debts, that 60k is pretty good living. You could also buy a couple of cheap rentals in a prime location to generate further income streams and supplement the interest income.

I'd personally still work so I can instead accumulate the interest for a few years, but at least I'd be comfortable knowing my house, car and debts are settled and I'd have the peace of mind knowing I'd be immune to Eskom's rubbish. You are already living better than the vast majority of South Africans at this point.
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Your Fortress of Solitude.
 
sjm said:
The R60-70k interest is before tax, it'll work out to R40-50k after tax if it's your only income.
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Yes, I am aware.

Average take home pay in South Africa is R13,500.

20 mil pays off a house and car paid, removes your reliance on Eskom (possibly the single biggest negative impact on your life right now, plus saves money on electricity), no debts, enough cash to have one or two small rental properties paid off and bringing in another R5k-R10k+ passive income on top of that R40-50k. You are living way better than the average South African. Even better if you carry on working, then it is just R40-R60k of which you can spend freely or reinvest.
 
Harold_Crick said:
Yes, I am aware.

Average take home pay in South Africa is R13,500.

20 mil pays off a house and car paid, removes your reliance on Eskom (possibly the single biggest negative impact on your life right now, plus saves money on electricity), no debts, enough cash to have one or two small rental properties paid off and bringing in another R5k-R10k+ passive income on top of that R40-50k. You are living way better than the average South African. Even better if you carry on working, then it is just R40-R60k of which you can spend freely or reinvest.
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You're comparing it to being average in a very poor country though. Most people (I hope) aspire to more than that
 
hj007 said:
and inflation kills you.
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Who said you have to spend it all? I certainly didn't, specifically mentioning that once I have simplified my life, I'd carry on working and reinvest the interest on the balance of the capital.

Like I said, it is clearly a lifestyle thing here. Some people don't see 20 million as enough because they want to live a life that 20 mil won't sustain, but 20 mil very, very clearly can improve your life if you are smart about it.
 
In
Harold_Crick said:
Who said you have to spend it all? I certainly didn't, specifically mentioning that once I have simplified my life, I'd carry on working and reinvest the interest on the balance of the capital.

Like I said, it is clearly a lifestyle thing here. Some people don't see 20 million as enough because they want to live a life that 20 mil won't sustain, but 20 mil very, very clearly can improve your life if you are smart about it.
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Improve yes! Enough, no.
 
cguy said:
Yeah, R50m is only enough for retiring overseas (first world) if you are very frugal.
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>95% of Americans retire with less than that. You can live a very comfortable life in most parts of the developed world for less than half that.
 
JayM said:
>95% of Americans retire with less than that. You can live a very comfortable life in most parts of the developed world for less than half that.
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Perhaps at late retirement age, and even then they get Social Security, pensions, and such. I’m thinking that the general “How much is enough” question here is targeted for an unspecified, but much earlier age, where the is still the possibility of doing many years more work.

There are cheap houses too and cheap places to live, but if we’re talking comfortable, I would think of better houses/flats, and things like holidays, supporting elders, children, emergencies, etc.
 
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