…which is on top of the CHF 100,000 currently held as cash?
But if I understand correctly serves to fund your savings rate? I.e. you’re saving 5,400 more for the next five years due to tax breaks on pillar 2 buy-ins?
160k are used for the first 7 years toghether with dividends from IBKR. Of course I could split this amount in fixed termed deposits. 100k are my safety net for unexpecting things like crashes. It’s like an insurance, that is not for free neither. Here the price is the inflation. At least there is no other risk.
You’re right. The cash reserve of 100k and the buy in of 150k in total are already here. The buy-ins are reducing my tax respecitvely the tax reduction is used for building up the portfolio.
Thank you for your thougts. My calculation is based on a indexed spending side. That’s why I don’t index the income side.
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Thank you for your time and your worthfull feedbacks!
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withdrawal rate: we really have to think about that!
Annuity only has derisking advantages for the points noted. But disadvantages as well. If I had to choose between DIY or annuity only I would maybe hire VZ instead
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good points
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good points too
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it depends who has the divorce issues
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We maybe could save more, but would have to downsize already today, what we don’t want.
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Buying: No way in Switzerland with my situation. France could be an alternative, yes. Not only buying, but renting as well.
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Almost nobody in Switzerland can afford longtime treatment himself. As swiss citizen or with a C-licence you will get “Ergänzungsleistungen” as soon as your assets are nearly zero.
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life insurance? No. Hospital is covered by health insurance. High healthcare costs later in life: see above.
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Your gut feeling is probably right. But the reasons of the high spendings in high age will be different. And as mentioned above: most people run out of money in case of longtime treatments in the end of life. I hope I will die before…
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right. Like everything in the future, we just don’t know…
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Taxes are inclueded. Like written in the topic, I’m living in AG
A market downturn in the near future would be helpfull, yes . Without we probably have to downsize our budget when we’re retired.
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TLDR: Looks really comprehensive (did you write it with AI?), best to put it into an Excel and show that. Detailed plans for 20+ years in the future are a bit fanciful to spend much time on, too many variables. Also, it’s worth considering the timeless comments of the legendary Mike Tyson “Everyone has a plan until they get punched in the face.”