4 Years Update.

[ruf-porsche]

It was 4 years ago when I posted this thread about the economy.

What have you given up because of the economy?

So am I better off now then I was 4 years ago? I would have to say YES.

I am no longer on unemployment, but I am not working either. I have finally retired and became part of the 47% that Mitt talked about. Didn't know that my kids will also receive a monthly Social Security check. Because I'm on Social Security and they are under 18 and still living in my household, they are also eligible for Social Security. This was a nice surprise, and no, we are not going to blow their social security money on hookers and blows or a new PORSCHE. It's going into an investment account.

My 401K accounts have bounce back but I doubt if I would ever touch that money. My investments are doing great again, just sold Netflix at 191.00 which I brought at 51.

Went on a ski vacation with my brother earlier this year, most of the skiers that we met on the slope were also retired. Great to go skiing and not be tie down to a holiday or school schedule.

So I hope that everyone is better off now then they were 4 years ago.

[mb911]

ok I will bite how in the world do they get SS just because you retired?

[Christien]

Interesting to revisit. My business expansion was less than successful, though not due to the economy, more due to a difference in opinion with my business partner. (nothing major, we're still friends, just had different ideas on how to move things along) Following the dissolution of that partnership, I now actually make more on that end of things. Expenses were very high, which was expected at the outset, but revenues weren't keeping up. When the partnership ended, those expenses disappeared, but some of the revenue remained. More importantly, I'm not out of town 3-4 days/week.

In the aftermath, I decided cut back work (and pay) significantly, though my wife more than makes up for that. I'm down to about 25-30% income, but 1-2 hours a week and a few full days near month-end. And I'm home full time with the kids, which I love. We had a few fortunate bounces along the way, and now, even though there's less money coming in overall, we're finding ourselves in a much better position financially, but more importantly otherwise (whatever you want to call it, "happiness" quotient is one I like). We're travelling more, replaced windows in our house, stuff like that. I did cut track days back a lot back in 2009, and still only do 1 or 2 a year, though surprisingly I don't really miss them that much. Lapping days at Mosport have really gone through the roof lately - most open days are $500-600!

So we're definitely in a better position now than we were in 2009, in pretty much every way. I can't think of any aspect of those days I'd like to have back, compared to what our life is like now.

[ruf-porsche]

Originally Posted by mb911

ok I will bite how in the world do they get SS just because you retired?

You can find out more about SS for children here.

http://www.ssa.gov/pubs/10085.html

[widgeon13]

"My 401K accounts have bounce back but I doubt if I would ever touch that money."

What about required minimum distribution that you must take and pay taxes on at 70 1/2 years? Hopefully the government won't claim more than their share by then.

[ruf-porsche]

Originally Posted by widgeon13

"My 401K accounts have bounce back but I doubt if I would ever touch that money."

What about required minimum distribution that you must take and pay taxes on at 70 1/2 years? Hopefully the government won't claim more than their share by then.

By not touching that money, I meant I won't need to use it to live. Sure when the time comes, I'll have to take a distribution. But all that money will be for the wife and kids. I have enough income coming in monthly to pay my bills and save a little for the next big expense.

[Laneco]

I went back and reviewed that old thread. I had posted in February 2009. We had taken quite a few pre-emptive actions as we had seen the writing on the wall before most were willing to admit it. The best thing that we did was to unload two rentals for a loss of $40,000, very much against the advice of our realtor. Those who did NOT sell those (all individually owned rentals in a development) lost as much as $70,000 each. Good decision. The other cutbacks stayed in place...

2010 found Steve on a long path of unemployment (a year) that led to taking a one year stint as a contractor in Afghanistan. Money was good, but not great and a year away from home. That let us catch up back debt (e.g. the $40,000 rental loss), etc. He came back and took a job out of town for a year and a half, in our home state, but 3 hours away. That job is winding down now, so he has basically come home to stay. After being gone for nearly 2.5 years, he will still have no job here at home. College expenses for the kids, and expenses for my mother have been added. I took a second job. Pay is good, but erratic as it is consulting.

The 401K's have been climbing nicely, not that there was much when the improvement started, but I can say that is positive. The home values have stopped the downward death spiral, but even as conservative as we were, the residence is still probably $35,000 in the negative. The remaining rental/investment property is probably about break even if we dumped it today. Otherwise it is just a $1100 a month drain on the finances.

So a dim light of hope seems to be here. The problem is that I'm nearly at the end of my resilency and patience. About ready to say screw all of this and go live in my 25' camp trailer.

angela

[A930Rocket]

Good for you!

Am I better off? No, but I'm working again and trying to move up the food chain again. It's a long road starting back up this late in the game.

[ckelly78z]

I'd have to say that I am much better shape than 4 years ago. The 401K (through some creative selling/trading) is up 150% since Feb 2009. We have no other bills than the house mortgage, and I still have the same factory job, but making about $15,000 a year in mandatory overtime. My wife still has the same job, but is now making a flat $500 fee for every outside engineering job she does (about 3-4 a month), so money is flowing in but still have 3 teenagers at home finding ways to spend it.

5 years from now, I will be rolling in cash when the house is paid off and the 3 teenagers are out on thier own. I am currently looking at an empty 2 acre building lot right down the road from us in an un-zoned township. We are looking at placing a single wide trailer, or possibly a small double wide, with new septic, and water well for my daughter and her boyfreind. They will then be on a land contract to pay us back, but what better way to get them started.

[RWebb]

I refi'd my house at what seems to be an incredibly low interest rate; had the county lower my assessed value for property taxes, and bought some stocks at depressed levels.

[LWJ]

Better. Yes. It has been a grind however.