Quinn’s grand new way to plan for a secure retirement. It’s called the McDonalds strategy

Last year I earned $16.68 an hour – sort of. That’s more than the minimum wage in all but the District of Columbia and for California fast food workers who earn $20 and hour. Fast food workers are mostly part-time, I on the other hand are no time.

That hourly rate is my dividends and interest converted to a equivalent full-time employment. 🤑 I suspect capital gains would boost that a bit- or maybe not this year.

Given I don’t do a thing to earn that income, it is truly passive and a pretty neat system if you think about – and nearly everyone can do it-create passive income that is. 

Have I stumbled on a new retirement planning concept? A new income replacement theory? What is a good passive hourly income rate relative to working hourly income rate? Can Monte (or even a spreadsheet) handle such a complex concept? 🤑

The only thing is, how do you, in advance, determine the passive income that will be generated from your aggregate investments? I guess if you dump cash in bonds, you know the interest to be paid. If you buy stocks for dividends you know that rate. 

By George! There it is, and capital gains are icing on the cake – just like OT or a bonus.  😃

Oh wait, ✋we still need your income replacement needs, how much of your working hourly rate do you need in retirement? Please don’t ask me.

However, at the next meeting with your financial advisor just say you want to earn 50% more per hour than a McDonalds employee in California. Or maybe 75% or 100%. $30.00 an hour gets you $62,400 a year. 😱

Careful, the minimum wage goes up most years.