Remember playing Monopoly and retiring a millionaire? It seemed so easy.
Now reality is setting in.
Take a deep breath because it is still possible. You have two options…start saving early or move where you can live like a millionaire!
How to Retire Like a Millionaire
Be a Millionaire – To live like a millionaire, well – you have to be a millionaire. A great job will help, but if you start saving at an early age it’s possible. If you start saving $200 a month for retirement at age 25, you work until you’re 65 and your money grows at a rate of 10% in superannuation funds like Suncorp…you’ll have a little over 1-million dollars in retirement savings. If you’re fortunate enough to work for a company with a 50% 401K match, that’s only $135 out of your pocket each month – now that sounds doable.
Now imagine this same scenario, but you didn’t start saving until age 30…you’ll need to put away $500 a month – yikes! You can only imagine what those numbers look like if you don’t get started until your 40’s, so we won’t even go there. Instead, let’s think about moving where the cost of living is low and the dollar will go far.
Pack Up and Move – That oceanfront condo might be out of reach in the United States, but here’s a list of 5 countries where you can retire like a millionaire and live the good life for less*. Of course, there’s lots of in-depth research that needs to be done before packing up and moving overseas, but these countries are tempting.
- Equador – Lunch for $1, gas for $1.48 a gallon – this sounds like the United States about 40 years ago, but it’s Equador today. How about a small condo for $40,000 and no worries about air conditioning or heating bills thanks to the perfect climate?
- Panama – Beaches, mountains, excellent healthcare, many English speakers and $400 to rent a home…not bad!
- Malaysia – Two people can enjoy a 3-course meal for $10, the golf is great, the weather is amazing and prescription medications cost about 1/5 of what they do in the United States.
- Nicaragua – You can live comfortably on just $18,000 a year, and that includes yoga classes, massages, a housekeeper and gardener! Now that sounds like the good life for a lot less.
- Mexico – It’s not far from home, and you’ll find familiar brands for as little as half of what you’d pay in the United States.
Want to stay in the US? According to Kiplinger, these cities have the lowest cost of living, and BestPlaces.net has a free calculator to compare how much it would cost you to live the same lifestyle in a different city.
- Fort Smith, Arkansas – If you’re living on $50,000 in New York, you could live the same lifestyle for $25,000 in Fort Smith.
- Pueblo, Colorado – If you’re living in Los Angeles on $50,000…enjoy the same lifestyle for just under $30,000 in Pueblo.
- Harlingen, Texas – Move from Chicago to Harlingen and instead of needing $50,000 a year, you’ll need $37,000.
- McAllen, Texas – Living in Miami? McAllen is warm and sunny, and $37,000 will get you a lifestyle comparable to $50,000 in Miami.
- Johnson City, Tennessee – Boston to Johnson City? It will cost you $20,000 less a year to live your $50,000 Boston lifestyle.
Dreaming about that beachfront condo again?
Image courtesy of arztsamui, FreeDigitalPhotos.net
*source: International Living
sponsored by Suncorp