Quote:
Originally Posted by BlueStarAirlines
What you describe to me sounds like surviving..... You've adapted your lifestyle to fit your income.
You "chuckle at the million dollar figure", but if you had a million wouldn't you live differently?
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In behavioral economics, satisficing describes a decision-making strategy where individuals choose an option that is "good enough" rather than striving for the absolute best. This contrasts with the traditional economic assumption of rational actors who always seek to maximize outcomes. Satisficing recognizes the limitations of human cognitive capacity and the costs associated with extensive decision-making.
That is why everyone is different, and they aren't you.
I hit my career limit aspirations in my late 30s, very early 40's. After that, my career was satisfying enough that i didn't need any more income, was a low/mid level manager, and that was just fine. And I saved, invested, worked at that level so that I paid off all my college loans from my kids, paid off my cars, and had a rebuilt 401K enough to retire without alot of fries. . and my salary was always just $1 or $2 above the max social security level for my entire career, so that means my retirement is not going be lavish, and the house has zero mortgage, as I paid down our mortgage off in 5 years. . I don't have a million adding the IRA and taxable account together. . but we can live just fine, meaning, you don't have to be a rich earner throughout your life either to save enough to buy a house, and retire to the villages either.
So everyone has limits, not everything is maximized in dollars, maximum financialization can be a trap as it's harder to maintain. . some fall into it, others desire it, many avoid it. .
My fidelity advisor said that she has people retired on $250K IRA and doing just fine.
Retirement is all about the lifestyle you want to lead, and are satisfied with. .
although one can live in the villages until you can't afford it, and sell the highly appreciated house and move to Alabama, or a lower cost of living area. .
or you might not live that long anyways.