FREE NEWSLETTER
Go to main Forum page »
We recently watched a Netflix series, The Beast In Me. A looked down upon family member, was asked why he didn’t want in on the greedy wealth that his brother and nephew had. His answer, “I’ve got something that they don’t; enough”.
I think that sentiment holds a lot of wisdom for many of us as well.
The entire retirement equation is about “enough”. Some are happy to gorge well over it just in case (and in a regime like the US with generous estate allowances it’s not necessarily daft), others more in the hoping that what they have will suffice. Probably no-one gets it exactly right, prinicipally because we cannot know specifics of longevity, future returns and non-routine costs.
What we can do is adopt a satisficing mindset of “close enough to enough” and the compromises we’re prepared to make to see that out.
I reassure myself every day that it’s enough. Usually, but not always, successfully. My insecurity is well controlled but incurable.
I get that. I’d be a liar if I claimed to be any different.
I also watched the series. I thought it very good, but maybe a little too on the nose. Not enough mystery.
We just finished watching the series tonight!
I feel those of us who retired early, potentially giving up many more years of high income, have made a deliberate judgment call about what constitutes “enough”.
I bet that most of these early retirees have a nice pension, probably from the a Gov/state/university.
For the rest of the population only savings can provide that and why they must work many more years.
Exactly. If I had continued working, instead of retiring at 53, I would have more money and a bigger Social Security check, although not a bigger pension. But, in addition to missing out on fifteen great years of travel, what would I do with the money? I would have gone on living in the same house and driving the same car. I would have moved to the same CCRC. The apartment I have is bigger than I need, I can easily afford a new car, and I hate shopping.
Sometimes when I read what you write Kathy there seems to be conflicting feelings. You talk about the CCRC not throwing you out should you run out of money, you mention no COLA on your pension as a concern and now you mention easily affording a new car.
I get the different feelings at different times, I am the same way. Anyone looking at our finances would say “enough,” more than enough, but I can’t get myself to feel that way. It’s always what if … we need money for this or that.
Right. My thinking when I posted this one, was that many of us feel like we have enough. Your reply and that of Mike Gaynes above, have made me add an asterisk to the sentiment. It’s like there’s a little gremlin in the back of my head whispering “what if”.
Dan, do you think it’s the unknown, but potentially massive, cost of US long-term care that drives that feeling?
In my case it’s the specter (spectre) of ’70s level inflation.
I had enough the year I retired. I had enough for the twenty five years since I retired. I have enough for the ten year market decline you wrote about. I very much doubt I have enough to last through ten years of double digit inflation, especially as health care inflation exceeds “regular” inflation.
It doesn’t cost me sleep, but it’s why the lack of a COLA on my pension is a continual annoyance/concern. My CCRC is my safety net.
As I have mentioned before my pension does not have a COLA either. In fact, I don’t know of any private sector pension with a COLA. The state of NJ has one, but it’s been frozen for several years because the state couldn’t fund the pension adequately.
Surely, in your planning to retire at 53 and spend money traveling (which I envy) the lack of a COLA was considered in your planning.
I built a defacto COLA with municipal bond funds, and dividends, but I have yet to tap them.
Just a tiny correction if I may. State of NJ Pension has been frozen since 2011 – 14 years. I know because I retired in 2010. At that time, the COLA did not kick in for the first 2 years of retirement. Supposedly, once the pensions are funded at a certain level (80 % I think) the COLA will kick back in. Many think that level will never be reached.
It should be at 80% that the acceptable standard for private pensions. NJ has been mismanaged for decades caused by both politicians and public unions and their alliance. The state workers are the losers.
I’ve often thought an interesting and informative stand-alone post could be created by expanding on the actual consequences and specific financial mechanics that occur when residents in the non-profit CCRC world run low on funds and are still permitted to stay.
My CCRC has a benevolent fund which provides some of the necessary money. We have a fund drive every year and some people leave money in their wills. However, the CCRC is also required to spend a certain amount on charity to maintain its non-profit status. Some of that goes to fund care for those who run out of money.
I know very little of the mechanics or the size of the benevolent funds but it strikes me even the most robust CCRC may be vulnerable if a particular cohort falls in need of high intensity care at the same time (e.g. another pandemic disease with after effects) or e.g. more cynically chooses to distribute its assets prematurely. Presumably there are rules about willful deprivation of assets.
For us, yes. Someone with a very high net worth can afford to self insure potential LTC costs. Someone with little or no assets will qualify for Medicaid. For those in the middle, like us, LTC in the US can drain the piggy bank. This is especially true for maladies such as Alzheimer’s that result in years of care.
LTC is a generic term often misinterpreted. The worst case is inpatient full time care, but that is not the norm. Most LTC is provided in home and much if not most is uncompensated care by relatives. Nevertheless in-home care by a service is still expensive. Live in or round the clock home care in NJ ranges from $10,000 (live in) to $25,000 (three shifts of nurses) per month.
All true, Dick. In home care is very expensive. As for free care provided by relatives, I have known care-givers ruin their health when taking care of loved ones.
That Netflix presentation may very well be based on the famous “enough” quote which isn’t directly by Vonnegut but comes from an anecdote he shared about his friend Joseph Heller: At a billionaire’s party, Vonnegut noted the host had everything, and Heller replied, “Yes, but I have something he will never have… Enough.”.
The anecdote is in the Introduction for John Bogle’s book “Enough“.
“At a party given by a billionaire on Shelter Island, Kurt Vonnegut informs his pal, Joseph Heller, that their host, a hedge fund manager, had made more money in a single day than Heller had earned from his wildly popular novel Catch-22 over its whole history. Heller responds,“Yes, but I have something he will never have . . . enough.”
“Enough. I was stunned by the simple eloquence of that word—stunned for two reasons: first, because I have been given so much in my own life and, second, because Joseph Heller couldn’t have been more accurate. For a critical element of our society, including many of the wealthiest and most powerful among us, there seems to be no limit today on what enough entails.”
Well noted Cheryl.
Bogle’s book “Enough“ is on my financial must read list and perhaps will appear on my annual reread list. Having read Bogle’s book I also found my way to Mike Piper’s 2023 Bogle inspired “More than Enough” which I found to be practical modern guidance for implementing Bogle’s foundational financial writings in my decision making process.
I started rereading “Enough” this morning… didn’t plan it; just couldn’t put it down. I’m glad you mentioned Mike Piper’s book. It sounds like the ideal companion book to read next.
Now, my curiosity is piqued – what books are on your annual reread list?
I have recently completed reading both Two Sticks, One Path (2025) by Darrow Kirkpatrick and Benjamin Franklin’s Last Bet (2022) by Michael Meyer. I enjoyed both books and will likely reread them at some future date as time is available.
I am currently reading Pathfinders (2023), a recent book by J L Collins that reminds me of his first book that I read titled The Simple Path to Wealth. I borrowed his first book from my public library and I will check it out again to revisit some parts related to his thinking about keeping his simple investing plan related to equities to an all US broad based index fund. For my own equity investing I have been moving towards a total world equity index fund which in his Pathfinders book he recommends for non US investors.
I have bought Beth Pinsker’s recent 2025 book My Mother’s Money but have only read the first thirty or so pages. The book focus is about her experiences being the financial caregiver for her mother. This is a topic I am concerned about.
My reread I am currently planning is to reread in full is The Psychology of Money (2020) written by Morgan Housel. Not surprisingly the third chapter is titled Never Enough (When rich people do crazy things).
Best, Bill
Much appreciated!
I bet that’s correct, Bill
Aye, that it is!