how much to fall before you are in trouble

  1. 14,053 Posts.
    lightbulb Created with Sketch. 70
    it all depends on how much you need to live.

    I reckon I would need about $26,000 or $500 a week

    you can probably organise your finances to get a return of 7%
    eg CBA would give you around 9% with franking credits

    4% would go in inflation
    that would leave you with 3%

    $26,000/.03 = $866,666

    if say you had $1,000,000 in the stockmarket, it would probably have to fall another 13% before you get into trouble

    you may need more or less than this amount

    if you need say $30,000 a year and you only have $1,000,000 you are in trouble already

    anyone like to say how much they need to live?

 
arrow-down-2 Created with Sketch. arrow-down-2 Created with Sketch.