Quote:
Originally Posted by Untamed
Education. In this economy, investing doesn't guarantee you enough money to live off of. You would need far more than 400k to generate enough interest to cash in on a regular basis for living expenses.
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but an education does guarantee you enough money to live off of? that's quite a stretch. i know college graduates working at mcdonald's.
as i see it, 400k in a nominal interest, fairly risky money market fund returning 10% is 40k per year. if you don't spend all of it, then you are adding to the principal every year instead of depleting it.
let's throw another variable in, since amsterdam came up. you do have the option of moving to another country, where the cost of living is considerably less than it is here. say, 25% of what it takes to live here, for the sake of the argument. mexico, in addition to other countries, falls into this category, so don't think it's far fetched to live in a country where it costs only 25% of what it costs to live here.