BajaNomad

When not to retire to Baja?

fishbuck - 3-15-2017 at 08:38 PM

Well, I applied for and was approved for a Voluntary Lay Off that the conpany is offering.
Kind of a tinfoil parachute the company occasionlly offers to the employees to try and thin the old people out of the workforce.
My layoff/retirement would have been Apr. 22.
I say would have been because at the last moment I withdrew my request.
This was virtually tailered to me because I turn 58 next month on the 10th and that makes me eligible for full pension.
The dummies here voted out their pension a few years back under the false promise that it would save their jobs. So acrueing pension end last november.
So now that they got 1500 union employees to take VLO rumor has it the real pink slips start next week.
I made it through the last layoff so probably will survive the next.
I chickened out on retiring. I just haven't saved enough and need money for all my fishcamp stuff like a fancy septic tank and a solar system etc. 20Gs right there.
I have watched 2 guys in my little neighborhood make the mistake of retiring too soon. Both have lost their houses and both houses sit abandoned and looted. 1 was the 1st house built in Del Morro and the other the last.
1 guy inherited his house from his dad but didn't have money to keep it. He was breaking into the other houses and selling the stuff in town.
The other is about my age and just flat out had dullosions of grandeur and built a 2 story mansion.
Last I heard of him he is trying to sell it and rents a house in La Salina.
So I'm hoping to learn from their mistakes.
I'm hoping for a trip south soon. But until it looks like another 4-5 years of 50-60 hours and counting my pennies while dreaming of taking trips to middle of nowhere old spanish missions or visiting some of the places I haven't been to yet.
So the morale of the story is be an ant and not a grasshopper. But I gotta tell you that being a grasshopper has been a lot of fun.


bajabuddha - 3-15-2017 at 08:56 PM

first and foremost, read your own 'signature' at your page bottom. Then put these into play:

No guts, no glory.

He who hesitates is LUNCH.

Grab them by the balls, and their hearts and minds will truly follow.

Do something, even if it's wrong.

Life's too short to drink cheap beer.

Go for it.

Kowabunga, Dude.

Down-size.

Not what you need, but what you can do without.

.... Other than that, I suggest an inexpensive therapist to hash your dilemma over with. I suggest motoged, I hear he works on the sly these days, at least for free beer and pizza. :coolup:

BajaBlanca - 3-15-2017 at 09:26 PM

I bet this meandering over what to do really made you lose sleep. It is a very tough decision and I wish it had worked out for you to retire now.

MitchMan - 3-16-2017 at 12:45 AM

Consider all factors. Do a good job of budgeting and be what accountants call "conservative", meaning, over estimate your future expenses a bit. Then, retire as soon as you can.

Many people go back to work after they retire because they get bored. But, if you have imagination, love new challenges, love new experiences, are not afraid to learn new skills, not afraid of new languages, and are generally curious about everything, you should find an endless number of projects and endeavors to keep you busy for 5 lifetimes. But, if you have no interests or few if any hobbies, retirement may be a downer for you. The real trick is to turn a hobby into something that makes money for you...now you have arrived.

fishbuck - 3-16-2017 at 01:44 AM

This is all great thanks. And yes Blanca it keeps me awake thinking it over.
I just couldn't get past where I had the fantasy of telling the company to take this job and .... and then just driving south. It sounded good but then I pictured myself sitting in my truck on my dirt patch and saying " now what?"
Where would I sleep? How would I shower etc.?
I still haven't figured that stuff out. But I know it will take a truckload of money to live comfortably.
And yes all my Bajanomad brothers and sisters are my psychologists. I owe you all a beer:cool:

woody with a view - 3-16-2017 at 05:36 AM

Are you saying you havent saved 20k yet? I just had 2.7kW system installed in SD for $8k. A toilet for an additional $12k would make momma happy, but C'MON, Mang, you can't tell me you need that much money for those items.

ehall - 3-16-2017 at 07:43 AM

After you get your place built what do you expect to need a year to live comfortably? Sorry you had to postpone.

pacificobob - 3-16-2017 at 08:23 AM

i retired early and left a lot of money on the table, and took my pension.(btw a union negotiated contract. yeah ALPA) never regretted it for a second. the difference? my cars are not as new, i eat out less often. no big deal , i love everyday being saturday.

[Edited on 3-16-2017 by pacificobob]

BajaTed - 3-16-2017 at 08:36 AM

Irregardless of the $$$
You can't just retire one day, it is at best a transition process you have to go through first.
You literally have to become a 2.0 version of yourself.
Kinda like a being a teenager again with just a different kinda angst.
Gotta cowboy up all over again.

Seniority and a contract saved you this time.
BTW brother after the layoffs are done comes the strategic divestiture of your corporate division, no buyouts then. Please read the writing on the wall.





chuckie - 3-16-2017 at 08:59 AM

Another issue being over thought.....sad...

chuckie - 3-16-2017 at 10:02 AM

that's the way! Bravo

Sweetwater - 3-16-2017 at 10:33 AM

Quote: Originally posted by soulpatch  
Jajaja, it's been an interesting ride!

I am still wanting to know what percentage of a full time salary a full pension is.... what does that really mean?


Some people live to work, some people work to live.
I can live easily on my own without any problems.
My time is now worth more than your money.

motoged - 3-16-2017 at 11:31 AM

Quote: Originally posted by bajabuddha  


.....Life's too short to drink cheap beer........ Other than that, I suggest an inexpensive therapist to hash your dilemma over with. I suggest motoged, I hear he works on the sly these days, at least for free beer and pizza. :coolup:


BB,
Thanks for the referral.....I can sometimes be found at the third palapa to the left....dispensing free opinions.....as usual.

The recent fee of pizza has been upgraded to camarone tacos...the beer component remains the same....and when Chuckie gets his burro outta the plains of Kansas or Oklahoma or wherever he perches these days, he can collect the promised cervezas...

Imagine the two of us sharing our views of the world.....on second thought, that's not a fantasy I should promote...:lol:

woody with a view - 3-16-2017 at 11:39 AM

Frank, sounds like your mind was made up before you finished talking to yourself! Good man!

rts551 - 3-16-2017 at 11:42 AM

Early retirement usually takes long term planning..Its not a snap decision.

Best done with all of life's large bills taken care of...ie no debt and the house paid for etc. You can't enter into the expense of a new house unless you have a lot of capital stuck away.

bajagrouper - 3-16-2017 at 11:43 AM


all the retirement calculators are helpful but with Mexico now a days you almost have to be a mind reader...Who would have thought Mexico would raise the fuel prices over 20% in one month, what other necessities can or will be raised that may ruin a retirement budget.

TMW - 3-16-2017 at 12:49 PM

Quote: Originally posted by soulpatch  
Jajaja, it's been an interesting ride!

I am still wanting to know what percentage of a full time salary a full pension is.... what does that really mean?


That depends on who you are working for. Is it a public or private sector job. Public sector jobs have the best pensions, military, police, firefighters, city, county, state and federal. Police and firefighters usually get 2% per year for each year they work. The 2% is usually based on the last 3-5 years they work with overtime often included. They also often include an annual COL increase. For example, in Bakersfield a cop and firefighter can retire after 30 years with 60% of his salary based on the last 3 years he worked which includes overtime. Some places offer a 401K type system like the school system.

Private sector jobs use to be the best (usually union related) and some are still good but the difference is they usually don't include an annual cost of Living increase. What you get when you retire stays the same. 401K systems have pretty much replaced the normal pension in the private sector. This can be a good way to retire especially if there are matching funds from the employer. But you have to use it to make it work.

I was probably lucky to work for a couple of companies that had both a pension and a 401K plan. My biggest change when I retired was the increased medical and drug cost over what my employer offered. My medical insurance with McGraw-Hill was $115/month to cover both my wife and I. When I retired Medicare and our insurance was about $700/mo. Basically it was the same coverage.

rhintransit - 3-16-2017 at 01:11 PM

Sorry you can't make retirement work yet, but better too know that now before you're committed. Someday....

fishbuck - 3-16-2017 at 01:11 PM

Thanks all.
Full pension just means no early retirement penalty.
The company offered VLO 2 years in a row now so I might get another chance next year or maybe even get a regular layoff.
So that's one reason I decided to wait.
I applaud anyone who had the courage escape the rat race by retiring early. And if you saved money for it then your just smarter than me that's all.
The "take this job..." part was just a metaphor. I am truely grateful to the company. I've lived a very good life thanks to them.
My thoughts are that I can tolerate a few more years. 401k at 59 and Social Security at 62. So 4 more years of clearing my debts and squirreling every penny should do it.
So for now I will take trips down and patrol my dirt patch and dream a bit. Maybe May is my next fix.

sancho - 3-17-2017 at 01:57 PM

Quote: Originally posted by motoged  

the beer component remains the same....











What is that, 1 caguama/ballena for initial, then 1 for any
partial hr. incremant thereafter?

pauldavidmena - 3-17-2017 at 03:09 PM

Part of the goal of retirement is to put the worries of life as a worker bee in the rear-view mirror. If you're only going to replace those worries with how you're going to make ends meet after the paychecks stop coming, then I have to agree that the time may not be right for you.

I'm 57 1/2 and am targeting 60 as a retirement age. Whether I make it that long - or go beyond that by another year or two - depends less upon whether or not I've stashed enough away than how long the New England IT job market is willing to keep me around for my experience and "tribal knowledge".

Another factor for me personally is "career fatigue", the angst I feel when the alarm goes off, beckoning all of the drones to the proverbial salt mine. When I combine that with a couple of recent health scares, I start thinking about how I can make retirement happen sooner rather than later.

At the end of the day, no one can make that decision except you. Enjoy the process! :cool:

fishbuck - 3-17-2017 at 07:32 PM

I'm right there with you on this. I don't want to retire only to find I need to keep working as a walmart greeter or something. It happens...
Quote: Originally posted by pauldavidmena  
Part of the goal of retirement is to put the worries of life as a worker bee in the rear-view mirror. If you're only going to replace those worries with how you're going to make ends meet after the paychecks stop coming, then I have to agree that the time may not be right for you.

I'm 57 1/2 and am targeting 60 as a retirement age. Whether I make it that long - or go beyond that by another year or two - depends less upon whether or not I've stashed enough away than how long the New England IT job market is willing to keep me around for my experience and "tribal knowledge".

Another factor for me personally is "career fatigue", the angst I feel when the alarm goes off, beckoning all of the drones to the proverbial salt mine. When I combine that with a couple of recent health scares, I start thinking about how I can make retirement happen sooner rather than later.

At the end of the day, no one can make that decision except you. Enjoy the process! :cool:

bajagrouper - 3-17-2017 at 08:27 PM

LOL, jajajajaja, that's funny, a walmart greeter, heck a bag boy / girl would make more than a greeter.........

Paco Facullo - 3-18-2017 at 06:55 PM

Heck , where's the dollar going to be in four years.?

Where's your health going to be ?
Where's your pension going to be ?
Where's the US economy going to be ?
Etc, etc, etc.

One thing FOR SURE is you will have lost four great years of retirement.

I retired four + years ago and it is the best thing I ever did !
Funny thing is that my expenses are less than I figured they would be.

Money can never replace time.

Paco Facullo - 3-18-2017 at 06:59 PM

Although one major caveat is you need to have NO DEBT. ...

[Edited on 3-19-2017 by Paco Facullo]

pauldavidmena - 3-19-2017 at 01:07 PM

Quote: Originally posted by Paco Facullo  
Heck , where's the dollar going to be in four years.?

Where's your health going to be ?
Where's your pension going to be ?
Where's the US economy going to be ?
Etc, etc, etc.

One thing FOR SURE is you will have lost four great years of retirement.

I retired four + years ago and it is the best thing I ever did !
Funny thing is that my expenses are less than I figured they would be.

Money can never replace time.


Last weekend a co-worker of mine lost his wife at age 38. When ever I hear news like that I seriously evaluate the money versus time trade-offs.

Leo - 3-20-2017 at 02:54 PM

I second Pauldavid... (too long name0 and Paco. Go for it.
There is a certain anxiety to it. But t5hat happens either way. Retired at 54 in 2001 and had some ups and downs. But things balance out, really.
Look for the retirement advice in
https://www.amazon.com/Living-Retiring-Mexico-need-before-eb...

pauldavidmena - 3-20-2017 at 03:16 PM

Quote: Originally posted by Leo  
I second Pauldavid... (too long name0 and Paco. Go for it.
There is a certain anxiety to it. But t5hat happens either way. Retired at 54 in 2001 and had some ups and downs. But things balance out, really.
Look for the retirement advice in
https://www.amazon.com/Living-Retiring-Mexico-need-before-eb...


I meant to buy this book from the Tecolote book store when I was in Todos Santos two months ago. I'll just have to get it from Amazon instead. :cool:

mtgoat666 - 3-20-2017 at 03:25 PM

Choose a career doing something you enjoy so you dont waste your working life "waiting" for retirement.
Sounds like many think they are in virtual prison waiting for release to retirement before they can start enjoying life.

chuckie - 3-20-2017 at 03:46 PM

"quiet desperation"

Paco Facullo - 3-20-2017 at 05:17 PM

The statistics for people liking there jobs are about 90% DO NOT . Hence the looking forward to " something better ".........

Just remember folks , less is more.


fishbuck - 3-20-2017 at 07:30 PM

If they weren't paying me so much I would step foot in this building. And I do enjoy my work.
I was reading the paper and there was an obit from a co-worker I didn't know.
Same age, 58, same job code, aircraft inspector, about same service time, 30 years. Retired and died.
So I certainly understand that part.
4 years is sort of my max that I think I can stay.
But if I hit loto...:light:


[Edited on 3-21-2017 by fishbuck]

woody with a view - 3-20-2017 at 07:56 PM

I had a rod buster tell me the average lifespan of a retired iron worker AFTER he retired was about two years. I'm about 15 years from that decision. Cmon lotto!

Kgryfon - 3-25-2017 at 12:53 AM

Quote: Originally posted by mtgoat666  
Choose a career doing something you enjoy so you dont waste your working life "waiting" for retirement.
Sounds like many think they are in virtual prison waiting for release to retirement before they can start enjoying life.


Yes, that's a nice idea. Not usually an option for most people. Instead, we settle for what pays the bills and keeps the kids with food in their mouths and a roof over their heads. And then we live for retirement.

Udo - 3-25-2017 at 08:14 AM

I had the same 2.7kW system installed in Ensenada, plus a backup generator, an auto-transfer switch and a whole house surge suppressor installed for $4,700 USD.

I know that a septic tank is about $800.00 USD.
Quote: Originally posted by woody with a view  
Are you saying you havent saved 20k yet? I just had 2.7kW system installed in SD for $8k. A toilet for an additional $12k would make momma happy, but C'MON, Mang, you can't tell me you need that much money for those items.

pauldavidmena - 3-25-2017 at 11:43 AM

Quote: Originally posted by soulpatch  

For me it breaks down to the following, shape your own path or have somebody shape it for you.

Of course, all that is quite possible having been born in the USA or other privileged countries, you just have to decide where your comfort zone is.


It's definitely a first-world problem to have to decide whether or not to retire at a certain age. My maternal grandfather didn't have that option, dying at age 46. My father, on the other hand, retired at 59, but now that he is taking care of my ailing mother at 84, I'm betting he wished he retired even sooner.

For me it's not so much that I hate my job, but rather that it's not nearly as easy for me to do it as it was when I started out 34 years ago. High tech is a young man's world, and I'm no longer a young man. I am, on the other hand, still young enough to have my health and the ability to enjoy life. That, for me, is the tipping point - leaving before I'm no longer capable of experiencing joy and adventure.

Russ - 3-25-2017 at 03:00 PM

When to retire?
My 2ยข ~ When you have completed your new home here.
I can get by with $1000 fairly easily for the basics. Home improvements really add up and so does the Amazon cart. Beer and wine are included in moderation. Oh, I'm including my addiction to cigarettes and that is equal to food costs now. :(
You will want a big garage for boat, quad, camper and truck :biggrin:
Good Luck!

TedZark - 3-26-2017 at 01:37 PM

SoulPatch wrote: "And, of course, all the other people over the course of a lifetime telling me "you just can't go do what you want", "you have be responsible", "you're going to fail", the list goes on and I am certain we have all heard these things before."

I joined the Peace Corps and went to Africa in 1989 and have not yet returned to live in the USA. I had a roommate at the time ('89) who told me it was the stupidest thing ever. But really it was the best decision of my life, with the last 27 years in Africa, Asia, the Middle East and Mexico. It was a great ride. Not a lot of money, but I have truly seen the world and much better than tourists, have lived around the world and experienced many cultures at work and in the neighborhood. Not a traditional life and no, it's not for everyone, but it quite suited me. And my patient, curious and loving wife.

You CAN do it if you want to. The decision to do it is the hard part. So many excuses. So many reasons not to do it. All valid. All real.

[Edited on 3-26-2017 by TedZark]

BajaTed - 3-27-2017 at 10:57 AM

Just a little story about another point of view to ponder also.
A 50 yr employee I worked with at a refinery in Oklahoma said to me sternly after asking him about retirement.
"I have read the Bible many times over, nowhere in there is the word retire mentioned anywhere"

fishbuck - 3-27-2017 at 12:16 PM

What, you don't consider being crucified, dying, coming back to life, and then accending to heaven retiring...

fishbuck - 3-27-2017 at 12:47 PM

Since, I withdrew my VLO, about 200 people have recieved involuntary layoffs.
So, if this goes according to my plan I should get a layoff notice some time next year... hopefully about 6 months after my 59th birthday. At 59.5 you can start taking 401k money without tax penalty.
We get 26 weeks pay plus 1 year unemployment pay on layoff.
And I keep my recall rights.
So ideally I would be recalled after a year's mini-retirement. Maybe a few years.
1 or 2 years should be enough to build my 1st small structure.
If I had accepted the Voluntarily layoff I would have needed to give up my recall rights.
So a 1-3 year mini-retirment would nice. And then I still have the option to return if recalled in case I need more money. Which I probably will.

BajaTed - 3-27-2017 at 01:54 PM

Do you have to keep paying monthly union dues for the recall rights?:?:

That NO tax penalty is only if you designated your 401k as after tax when you first set it up.

A medical clearance for rehire is required contractually with most recalls also. :o

(Past IBEW shop steward just making sure you got it right,
Here is my other advice)
"if you were sleeping and got caught, say Amen when you wake up or I don't have a chance"