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All about South Korea => Life in Korea => Topic started by: obwannabe on December 09, 2020, 02:00:48 am

Title: Lifers...how do you plan to retire?
Post by: obwannabe on December 09, 2020, 02:00:48 am
Serious question

For those who plan on staying in Korea until the end of their working days, how do you plan to retire?

Have you been investing for years? Hope that what you've contributed to the Korean pension scheme will be enough? Hope to win the lotto???

Would love to hear from veterans, not joe blows who are here for a a few years before heading off to their next adventure.
Title: Re: Lifers...how do you plan to retire?
Post by: gogators! on December 09, 2020, 04:39:24 am
Invested. I took the pension in a lump sum to pay for my re-entry into the US.
Title: Re: Lifers...how do you plan to retire?
Post by: SPQR on December 09, 2020, 07:33:51 am
I'm retiring in nine years. Can't wait. It will be the end
of a 35 year teaching career in Korea. I'm relying on
five things:

1/ Canadian pension - About CAD200.00/month
2/ Korean pension - About KRW1-1.5M/month
3/ Apartment equity - Currently about KRW700,000,000
4/ Inheritance - Not sure, maybe GBP200,000-300,000
5/ I also work at home doing web services for a Korean company.
     I will continue to do that as I enjoy it. - KRW400,000-500,000/month

I'm looking forward to spending summers on Koh Samui playing disc
golf and winters in Korea hot tenting.
Title: Re: Lifers...how do you plan to retire?
Post by: hangook77 on December 09, 2020, 07:51:55 am
Invested. I took the pension in a lump sum to pay for my re-entry into the US.

You have to pay to enter your own country now?
Title: Re: Lifers...how do you plan to retire?
Post by: D.L.Orean on December 09, 2020, 07:54:31 am
You have to pay to enter your own country now?

Yes. Americans who have declared residency in foreign countries for 12 months or longer are required to pay a resettlement fee of $5,000.
Do other countries not do the same?
Title: Re: Lifers...how do you plan to retire?
Post by: hangook77 on December 09, 2020, 07:57:43 am
I'm retiring in nine years. Can't wait. It will be the end
of a 35 year teaching career in Korea. I'm relying on
five things:

1/ Canadian pension - About CAD200.00/month
2/ Korean pension - About KRW1-1.5M/month
3/ Apartment equity - Currently about KRW700,000,000
4/ Inheritance - Not sure, maybe GBP200,000-300,000
5/ I also work at home doing web services for a Korean company.
     I will continue to do that as I enjoy it. - KRW400,000-500,000/month

I'm looking forward to spending summers on Koh Samui playing disc
golf and winters in Korea hot tenting.

How'd you end up with such a large amount of Korean pension?  They tell me if I stay and wait till 65 and collect pension I will get 850,000 a month.  Less than yours but better than a kick in the pants or those eslers that go from contract to contract and countryhop.  Those guys will have nothing.  I prob will also have 200 bucks in Canadian funds.  I may have to go to the US once corona gets recovered, but depending on the outcome of the election (just to build up some cash).  It's clear Korea isn't the place for money anymore. 
Title: Re: Lifers...how do you plan to retire?
Post by: hangook77 on December 09, 2020, 07:59:44 am
Yes. Americans who have declared residency in foreign countries for 12 months or longer are required to pay a resettlement fee of $5,000.
Do other countries not do the same?

No.  Sounds like extortion to me.  I mean what do you get in return for this "fee"?    You shouldn't have to pay to re enter your own country especially if you didn't use it's services in your absence.  I am just shocked.  Usually the US is a low tax low fee place. 

I guess if you come here for only a year or two, most of your cashout - pensions and bonuses and such will be eaten up by this BS fee.  Even less incentive to come over here for Americans to teach then.  (Add in typically bad exchange rate and low wages; not good for them at all.  Only good for the rich kids who didn't have to take out student loans I guess.) 
Title: Re: Lifers...how do you plan to retire?
Post by: D.L.Orean on December 09, 2020, 08:01:40 am
No.  Sounds like extortion to me.  I mean what do you get in return for this "fee"?    You shouldn't have to pay to re enter your own country especially if you didn't use it's services in your absence.  I am just shocked.  Usually the US is a low tax low fee place.

It's optional. But if you choose not to pay you will not qualify to be resident in the US. This has far reaching consequences. It would be virtually impossible to start life as a non-resident citizen while living in the US.
Title: Re: Lifers...how do you plan to retire?
Post by: hangook77 on December 09, 2020, 08:05:45 am
It's optional. But if you choose not to pay you will not qualify to be resident in the US. This has far reaching consequences. It would be virtually impossible to start life as a non-resident citizen while living in the US.

What do you mean?  For someone immigrating there?  I mean citizens usually don't have to pay to enter their own country.  I couldn't see how the government would be allowed to deny it's own citizen.  I thought I knew the US pretty well, having spent quite a bit of time there as a youth.  Guess curve balls always surprise you.  (Never heard of this for other countries.  You may or may not have to pay some tax though.  But otherwise, it's usually free to enter your own country.)  A 5K fee would make coming over to do ESL pointless cause your fee would eat up your bonuses. 
Title: Re: Lifers...how do you plan to retire?
Post by: D.L.Orean on December 09, 2020, 08:11:23 am
What do you mean?  For someone immigrating there?  I mean citizens usually don't have to pay to enter their own country.  I couldn't see how the government would be allowed to deny it's own citizen.  I thought I knew the US pretty well, having spent quite a bit of time there as a youth.  Guess curve balls always surprise you.  (Never heard of this for other countries.  You may or may not have to pay some tax though.  But otherwise, it's usually free to enter your own country.)  A 5K fee would make coming over to do ESL pointless cause your fee would eat up your bonuses.

It's not a fee to enter the country. Americans that choose to live and work abroad for 12+ months have the option to declare themselves non-resident. Maintaining resident status while working abroad has tax implications. So, many people give up their residency status (nothing to do with citizenship). American citizens are free to enter and leave the country as they please with or without residency status. But once you have given up residency status there is a fee to regain it. Changes to residency status are optional. However, if an American citizen is living and working in the US it makes life much easier to regain the residency status. Simple things like access to new bank accounts, health insurance, etc require this status.
Title: Re: Lifers...how do you plan to retire?
Post by: thunderlips on December 09, 2020, 08:12:06 am
Yes. Americans who have declared residency in foreign countries for 12 months or longer are required to pay a resettlement fee of $5,000.
Do other countries not do the same?

What? Is this a joke? Is it APril? I've never heard anything about this.  Please provide a link
Title: Re: Lifers...how do you plan to retire?
Post by: hangook77 on December 09, 2020, 08:18:53 am
It's not a fee to enter the country. Americans that choose to live and work abroad for 12+ months have the option to declare themselves non-resident. Maintaining resident status while working abroad has tax implications. So many people give up their residency status (nothing to do with citizenship). American citizens are free to enter and leave the country as they please. But once you have given up residency status there is a fee to regain it. Changes to residency status are optional. However, if an American citizen is living and working in the US it makes life much easier to regain the residency status. Simple things like access to new bank accounts, health insurance, etc require this status.

Sounds like extortion to me.  In Canada nothing.  I went non resident years ago.  I don't have to pay anything.  (One friend who went back from living in China in his province anyways got re instated for full residency from day one meaning health care, government services, etc.  I was surprised as some provinces may make you wait 3 or more months to be eligible for all government services.)

Ticking a form shouldn't cost 5 grand.  But, at least you explained it well.  (I'm not shooting the messenger.) 


More of you young Americans should be aware of this fee.  If you come over for a year or two, this "fee" will eat up your severance (bonus and pension payout.  Ask yourself if it's still worth it then?
Title: Re: Lifers...how do you plan to retire?
Post by: hangook77 on December 09, 2020, 08:20:31 am
What? Is this a joke? Is it APril? I've never heard anything about this.  Please provide a link

Gators said he had to pay it?
Title: Re: Lifers...how do you plan to retire?
Post by: VanIslander on December 09, 2020, 08:21:45 am
Never retire.

Always stay active, at least part time, at something productive. It's good for the soul. Golfing gets old quick. At least take up gardening and sell produce at the farmer's market. Tutor two days a week. Something.
Title: Re: Lifers...how do you plan to retire?
Post by: D.L.Orean on December 09, 2020, 08:23:42 am
Sounds like extortion to me.  In Canada nothing.  I went non resident years ago.  I don't have to pay anything.  (One friend who went back from living in China in his province anyways got re instated for full residency from day one meaning health care, government services, etc.  I was surprised as some provinces may make you wait 3 or more months to be eligible for all government services.)

Ticking a form shouldn't cost 5 grand.  But, at least you explained it well.  (I'm not shooting the messenger.) 


More of you young Americans should be aware of this fee.  If you come over for a year or two, this "fee" will eat up your severance (bonus and pension payout.  Ask yourself if it's still worth it then?

Those working in the public school system have a 2 year window with which they can claim special status. This allows them to avoid any issues if returning after 2 years. I suspect most people don't give up residency status. In practical terms, this has no effect on their lives here. However, the IRS will eventually catch up with them as they have probably avoided some of their tax requirements while keeping resident status but living and receiving their pay in Korea.
Title: Re: Lifers...how do you plan to retire?
Post by: hangook77 on December 09, 2020, 08:24:03 am
Never retire.

Always stay active, at least part time, at something productive. It's good for the soul. Golfing gets old quick. At least take up gardening and sell produce at the farmer's market. Tutor two days a week. Something.

Good advice.
Title: Re: Lifers...how do you plan to retire?
Post by: thunderlips on December 09, 2020, 08:48:58 am
Those working in the public school system have a 2 year window with which they can claim special status. This allows them to avoid any issues if returning after 2 years. I suspect most people don't give up residency status. In practical terms, this has no effect on their lives here. However, the IRS will eventually catch up with them as they have probably avoided some of their tax requirements while keeping resident status but living and receiving their pay in Korea.

Oh so if you take the 2 year tax exemption then you have to paya fee to retain resident status? Wow never knew. Does the IRS just send you a notice or what? I've literally never heard anyone having to pay this $5,000 fee until now.

** Form 8802 to get form 6166, is certifying that you are a tax resident of the US, so how can you lose you resident status by asking to certify your tax status? This doesn't make any sense and I am seriously doubting this $5,000 fee is legit.

Quote
Use Form 8802 to request Form 6166, a letter of U.S. residency certification for purposes of claiming benefits under an income tax treaty or value added tax (VAT) exemption. You cannot use Form 6166 to substantiate that U.S. taxes were paid for purposes of claiming a foreign tax credit.

I ain't paying sh!T
Title: Re: Lifers...how do you plan to retire?
Post by: CO2 on December 09, 2020, 08:51:08 am
Yeah, this is complete news to me.
Title: Re: Lifers...how do you plan to retire?
Post by: Kurt Sorensen on December 09, 2020, 09:48:33 am
What VanIslander said. No plans to fully retire. I like gardening and baking, and I get out on my bike when it's warm. Being retired in korea would just be a little too boring for me, so 3 or 4 days teaching would be perfect. In fact I've only been working 4 days a week for the past 2 or 3 years but in the last month added speaking classes on Fridays and Saturday mornings. Back to 5 and a bit days, over winter anyway. My wife is also not interested in full retirement. She wants to take over her sister's food stand in the next year or two. She loves being occupied.
Title: Re: Lifers...how do you plan to retire?
Post by: yolopopo on December 09, 2020, 11:09:03 am
Does anyone contribute to a private pension fund (not the KTP), be it a private Korean one or one based in their 'home' country?

I contribute to my UK state pension, the NPS, and have a private UK pension set-up (admittedly haven't contributed to this one since leaving my previous job in the UK).

Sorry obwannabe, not trying to derail this thread. To answer, while I love living in Korea, the thought of retiring here does not appeal.

Hopefully, I/we will end up in a warmer climate (all year round) towards the end of my/our careers. I definitely do not want to just retire to a new place but hope to work their for the last 5-10 years, so I feel some what part of the community. As others have pointed out, I hope to never 'fully' retire and work to some degree until I drop dead.

I know this will depend on your nationality somewhat, but what platforms or brokers do people use here to invest?

Also...$200 a month for a state pension, really? I thought the UK state pension was terrible. Is that because you do not contribute to it when abroad?


Title: Re: Lifers...how do you plan to retire?
Post by: stoat on December 09, 2020, 11:39:21 am
Does anyone contribute to a private pension fund (not the KTP), be it a private Korean one or one based in their 'home' country?

I contribute to my UK state pension, the NPS, and have a private UK pension set-up (admittedly haven't contributed to this one since leaving my previous job in the UK).

Sorry obwannabe, not trying to derail this thread. To answer, while I love living in Korea, the thought of retiring here does not appeal.

Hopefully, I/we will end up in a warmer climate (all year round) towards the end of my/our careers. I definitely do not want to just retire to a new place but hope to work their for the last 5-10 years, so I feel some what part of the community. As others have pointed out, I hope to never 'fully' retire and work to some degree until I drop dead.

I know this will depend on your nationality somewhat, but what platforms or brokers do people use here to invest?

Also...$200 a month for a state pension, really? I thought the UK state pension was terrible. Is that because you do not contribute to it when abroad?




I don't think the OP was talking about retiring in Korea, he was talking about working in Korea until you retire. I'll qualify for the minimum UK state pension which is around 60 quid a week, I think, I decided it wasn't worth paying in to get the max - 175. I also qualify for the minimum Korean pension which I assume will be peanuts, haven't bothered to check it out. I'll be relying on properties and a private pension. I was thinking of using that to buy a second home in Europe somewhere but apparently there are new Brexit regulations saying you can only stay there for 3 months a year, so might rethink that one.  Or get an Irish passport.
Title: Re: Lifers...how do you plan to retire?
Post by: Lazio on December 09, 2020, 11:46:31 am
3/ Apartment equity - Currently about KRW700,000,000

700,000,000 - outstanding debt...
Didn't you say a couple of months ago that it was 550,000,000?
Title: Re: Lifers...how do you plan to retire?
Post by: Lazio on December 09, 2020, 11:51:35 am
What VanIslander said. No plans to fully retire. I like gardening and baking, and I get out on my bike when it's warm. Being retired in korea would just be a little too boring for me, so 3 or 4 days teaching would be perfect. In fact I've only been working 4 days a week for the past 2 or 3 years but in the last month added speaking classes on Fridays and Saturday mornings. Back to 5 and a bit days, over winter anyway. My wife is also not interested in full retirement. She wants to take over her sister's food stand in the next year or two. She loves being occupied.

That is a good plan.
But when you are looking at the financial side of things, you'd better be prepared for a situation where your physical or mental capabilities will not allow you to work.
I think the original question was more about this part rather than how you are planning to keep yourself occupied during your old years.
Title: Re: Lifers...how do you plan to retire?
Post by: Kurt Sorensen on December 09, 2020, 12:11:19 pm
That is a good plan.
But when you are looking at the financial side of things, you'd better be prepared for a situation where your physical or mental capabilities will not allow you to work.
I think the original question was more about this part rather than how you are planning to keep yourself occupied during your old years.

My wife takes care of our money and invests here and there. We don't  contribute to the National Pension Scheme. There's always enough for bits and pieces, and hopefully if one or both of us are forced to fully retire, there is enough to see us through. If not, we have 2 son-in-laws who make way more than us. They've always threatened us with living together.
Title: Re: Lifers...how do you plan to retire?
Post by: yolopopo on December 09, 2020, 01:18:51 pm
My bad OP if I interpreted the question differently. How do I plan to retire would be when I feel I have built up enough through various pensions and investments (I hope property will be a large part of the latter).

The value of the UK state pension really depends on if you are considered class 2 or class 3. I think it works out at 170 quid a year for class 2, so 14 quid a month. Even if you started contributing (class 2 needs a minimum of 3 years already paid in to qualify) in your 50s while living abroad it would be worth it.

The NPS contributions are sent out a few times a year in the post. I don't really hold too much value in it either being British and never having known any UK person to have drawn the NPS once retired.

I have family living in mainland Europe, but have no idea about post-brexit regulations on 2nd/3rd homes. I just can not see countries like Greece, Spain, France, and Italy having policies in the long-term that would put off retirees living there for extended periods of time. I base this on nothing more than logic:)

Playing the Lotto is my 'fail safe'...peanuts here though of a mil ($). Be nice to have won the Euros the other day though...


Title: Re: Lifers...how do you plan to retire?
Post by: SPQR on December 09, 2020, 01:46:34 pm
700,000,000 - outstanding debt...
Didn't you say a couple of months ago that it was 550,000,000?

Actually we bought it about 4 years ago for KRW440,000,000. Thanks
to Mr. Moon, it has appreciated about 60-70 million a year since
then. Nice of you to take such a keen interest in my posts, though.
You might learn something.
Title: Re: Lifers...how do you plan to retire?
Post by: Liechtenstein on December 09, 2020, 01:59:33 pm
Never retire.

Always stay active, at least part time, at something productive. It's good for the soul. Golfing gets old quick. At least take up gardening and sell produce at the farmer's market. Tutor two days a week. Something.

No man, golfing does not get old quick. That is a ridiculous statement. Golfing is one of the few activities that one can play from a very young age to a very senior age. It's exercise, it's outdoors, it's social, you can golf with friends or spouses or both, and it is incredible.
Title: Re: Lifers...how do you plan to retire?
Post by: stoat on December 09, 2020, 02:23:19 pm
Quote
I have family living in mainland Europe, but have no idea about post-brexit regulations on 2nd/3rd homes. I just can not see countries like Greece, Spain, France, and Italy having policies in the long-term that would put off retirees living there for extended periods of time. I base this on nothing more than logic:)

There's an article about it here. I'm not sure it affects retirees who want to live there permanently, just people who have holiday homes there, which was my plan.

https://www.dailymail.co.uk/news/article-9019917/Half-million-Brits-stay-holiday-homes-three-months-time-2021.html

Title: Re: Lifers...how do you plan to retire?
Post by: yolopopo on December 09, 2020, 03:18:36 pm
There's an article about it here. I'm not sure it affects retirees who want to live there permanently, just people who have holiday homes there, which was my plan.

https://www.dailymail.co.uk/news/article-9019917/Half-million-Brits-stay-holiday-homes-three-months-time-2021.html


Unfortunately, this is simply down to where you decide your primary residence will be, and how that decision will impact your taxable income in that country (and the UK). Yes Brexit is a sh*tshow, but most people in these positions will have to decide on which cake they want to eat in the short-term. Long-term, as the article suggests, the individual EU states will most likely make their own regulations around residency/non-residency which will likely favour the 180 in one go.

Sidenote: Well done Mr and Mrs Wood. Bought a 72K 2-bed in Charente. With average house prices in the UK 230K (outside of London), I'd sell up and tell the kids they get an Easyjet ticket on me once a year as long as they bring the oxo cubes.

.


Title: Re: Lifers...how do you plan to retire?
Post by: hangook77 on December 09, 2020, 03:25:33 pm
Does anyone contribute to a private pension fund (not the KTP), be it a private Korean one or one based in their 'home' country?

I contribute to my UK state pension, the NPS, and have a private UK pension set-up (admittedly haven't contributed to this one since leaving my previous job in the UK).

Sorry obwannabe, not trying to derail this thread. To answer, while I love living in Korea, the thought of retiring here does not appeal.

Hopefully, I/we will end up in a warmer climate (all year round) towards the end of my/our careers. I definitely do not want to just retire to a new place but hope to work their for the last 5-10 years, so I feel some what part of the community. As others have pointed out, I hope to never 'fully' retire and work to some degree until I drop dead.

I know this will depend on your nationality somewhat, but what platforms or brokers do people use here to invest?

Also...$200 a month for a state pension, really? I thought the UK state pension was terrible. Is that because you do not contribute to it when abroad?




You referring to Canada pension of 200 dollars?  Well, that is because a couple of us didn't live and work many years in Canada?  We didn't pay much into the system and had very little residency there.  Obviously, if we lived there for years and paid into it regularly, we would be getting much more.  (You did say you were still paying into your UK pension even now?)
Title: Re: Lifers...how do you plan to retire?
Post by: obwannabe on December 09, 2020, 10:09:38 pm
I'm retiring in nine years. Can't wait. It will be the end
of a 35 year teaching career in Korea. I'm relying on
five things:

1/ Canadian pension - About CAD200.00/month
2/ Korean pension - About KRW1-1.5M/month
3/ Apartment equity - Currently about KRW700,000,000
4/ Inheritance - Not sure, maybe GBP200,000-300,000
5/ I also work at home doing web services for a Korean company.
     I will continue to do that as I enjoy it. - KRW400,000-500,000/month

I'm looking forward to spending summers on Koh Samui playing disc
golf and winters in Korea hot tenting.

How did you go about figuring out your Canadian pension? I assume you are referring to CPP?

Why would you want to spend winters here? lol
Title: Re: Lifers...how do you plan to retire?
Post by: obwannabe on December 09, 2020, 10:14:50 pm
Invested. I took the pension in a lump sum to pay for my re-entry into the US.

You invested enough to retire? Care to give any more specific info?

Couldn't find anything on Google about reentry fees for US citizens. Only for greencard holders.
Title: Re: Lifers...how do you plan to retire?
Post by: obwannabe on December 09, 2020, 10:18:59 pm
Never retire.

Always stay active, at least part time, at something productive. It's good for the soul. Golfing gets old quick. At least take up gardening and sell produce at the farmer's market. Tutor two days a week. Something.

I'm asking about finances. How do you plan to live a comfortable lifestyle when you either choose to not, or cannot, work anymore. Or want to work less.
I'd retire today if I could. I'd be more than busy enough trying to satisfy my interests.
Title: Re: Lifers...how do you plan to retire?
Post by: obwannabe on December 09, 2020, 10:23:21 pm
That is a good plan.
But when you are looking at the financial side of things, you'd better be prepared for a situation where your physical or mental capabilities will not allow you to work.
I think the original question was more about this part rather than how you are planning to keep yourself occupied during your old years.

Lazio, you are exactly right
Title: Re: Lifers...how do you plan to retire?
Post by: gogators! on December 09, 2020, 10:38:18 pm
You have to pay to enter your own country now?
I was referring to the expense of moving, buying cars, etc.
Title: Re: Lifers...how do you plan to retire?
Post by: gogators! on December 09, 2020, 10:42:34 pm
You invested enough to retire? Care to give any more specific info?

Couldn't find anything on Google about reentry fees for US citizens. Only for greencard holders.
Vanguard mutual funds, mostly. Check out Bogleheads. org for information on investing and suggested books. By re-entry, I meant the costs of moving and starting life in the US.
Title: Re: Lifers...how do you plan to retire?
Post by: VanIslander on December 10, 2020, 12:15:15 am
Old people don't care about money.

They usually struggle for RELEVANCE.

I never met an old person who said they wished they saved more money. They don't give a **** what brand name they wear.

Scientists say old people regret opportunities lost and experiences foresaken, not money spent instead of saved.

I'd rather take 2 years off work in my early fifties and travel than put money into retirement funds. But that's just me. You do you. Whatever floats your boat.
Title: Re: Lifers...how do you plan to retire?
Post by: JNM on December 10, 2020, 12:19:29 am
Old people don't care about money.

They usually struggle for RELEVANCE.

I never met an old person who said they wished they saved more money.

Scientists say old people regret opportunities lost and experiences foresaken, not money spent instead of saved.

I'd rather take 2 years off work in my early fifties and travel than put money into retirement funds. But that's just me. You do you. Whatever floats your boat.


Old people (60+, my parents) say that.

Middle aged people (40s and 50s, me) worry about not having enough to retire. Divorce, bad investments, 2008... I am legitimately concerned that I wonít have enough to enjoy retirement.
Title: Re: Lifers...how do you plan to retire?
Post by: KimDuHan on December 10, 2020, 12:33:58 am
How did you go about figuring out your Canadian pension? I assume you are referring to CPP?

Why would you want to spend winters here? lol

Canada CPP might not exist in 10 years, Canada as a country is struggling.
Title: Re: Lifers...how do you plan to retire?
Post by: JNM on December 10, 2020, 12:46:39 am
Canada CPP might not exist in 10 years, Canada as a country is struggling.

In my planning, I have always assumed CPP and OAS would be zero.
Title: Re: Lifers...how do you plan to retire?
Post by: KimDuHan on December 10, 2020, 01:01:21 am
In my planning, I have always assumed CPP and OAS would be zero.


That's a safe bet! The current situation in Canada with throwing money at everyone will definitely effect Canada for generations.

It's sad but Canada may bankrupt itself
Title: Re: Lifers...how do you plan to retire?
Post by: L I on December 10, 2020, 03:53:03 am
https://m.youtube.com/watch?v=Pe0Kdg7EaPk

In this clip, Booise reacted to actor Geoffrey Owens going viral after being found working at a local Trader Joe's. Boosie said that he believes Owens didn't have much hustle in him as far as acting goes because he hasn't heard anything about him acting since the Cosby show. He and Vlad also talked about how they're hustling now to avoid having to work at an advanced age.

Title: Re: Lifers...how do you plan to retire?
Post by: VanIslander on December 10, 2020, 04:36:50 am
It's sad but Canada may bankrupt itself
Nah. The gov't is shrewd. Most of the huge land mass is "Crown Land" which does not mean owned by the person wearing the crown, but Ottawa... which means the national gov't has no shortage of funds to milk to pay for whatever: retirement pay, especially if they vote!

I am from Canada, a country that's a successful pyramid scheme. It ain't ending soon (though California water needs and WTO challenges have put it in danger).
Title: Re: Lifers...how do you plan to retire?
Post by: yolopopo on December 10, 2020, 07:53:10 am
You referring to Canada pension of 200 dollars?  Well, that is because a couple of us didn't live and work many years in Canada?  We didn't pay much into the system and had very little residency there.  Obviously, if we lived there for years and paid into it regularly, we would be getting much more.  (You did say you were still paying into your UK pension even now?)

Yes, I was. With the UK state pension you can make voluntary payments when living abroad which I am currently doing.

Title: Re: Lifers...how do you plan to retire?
Post by: SPQR on December 10, 2020, 08:06:36 am
I'm retiring in nine years. Can't wait. It will be the end
of a 35 year teaching career in Korea. I'm relying on
five things:

1/ Canadian pension - About CAD200.00/month
2/ Korean pension - About KRW1-1.5M/month
3/ Apartment equity - Currently about KRW700,000,000
4/ Inheritance - Not sure, maybe GBP200,000-300,000
5/ I also work at home doing web services for a Korean company.
     I will continue to do that as I enjoy it. - KRW400,000-500,000/month

I'm looking forward to spending summers on Koh Samui playing disc
golf and winters in Korea hot tenting.

How did you go about figuring out your Canadian pension? I assume you are referring to CPP?

Why would you want to spend winters here? lol

I sent CPP a letter and they replied. They took nine months.

I like camping.  But camping in Korea sucks in the summer. The
weather is too hot and rainy. Also the herd mentality of Koreans
means every campsite will be jam packed and overpriced. No thx.

I have friends on Koh Samui. If I go off-season, I can pay 50-75%
less than peak season. I can stay in five star resorts for months at
a time for the same price.
Title: Re: Lifers...how do you plan to retire?
Post by: Kayos on December 10, 2020, 08:12:35 am
Yes. Americans who have declared residency in foreign countries for 12 months or longer are required to pay a resettlement fee of $5,000.
Do other countries not do the same?

Nope, at least NZ doesn't
Title: Re: Lifers...how do you plan to retire?
Post by: Kayos on December 10, 2020, 08:40:15 am
For those who have gone the investment route, did you invest in Korea or your home country?
I've been looking to start investing myself - however, all the investment companies, and even banks, within NZ need me to be in NZ or planning to relocate back to NZ in the very near future before they will let me invest. :o
Title: Re: Lifers...how do you plan to retire?
Post by: shostager on December 10, 2020, 08:50:11 am
For those who have gone the investment route, did you invest in Korea or your home country?
I've been looking to start investing myself - however, all the investment companies, and even banks, within NZ need me to be in NZ or planning to relocate back to NZ in the very near future before they will let me invest. :o

I'm also curious on how to invest in the US while not residing there. Every online option I've looked into doesn't allow Americans living abroad to make an account. Any suggestions? (My husband is big into investing recently - along with his brother and dad - and wants to teach me the basics, but it'd be better for me to have my own account, rather than giving him the money to put into his, maybe. I'd be a conservative investor.)
Title: Re: Lifers...how do you plan to retire?
Post by: thunderlips on December 10, 2020, 08:57:10 am
I'm also curious on how to invest in the US while not residing there. Every online option I've looked into doesn't allow Americans living abroad to make an account. Any suggestions? (My husband is big into investing recently - along with his brother and dad - and wants to teach me the basics, but it'd be better for me to have my own account, rather than giving him the money to put into his, maybe. I'd be a conservative investor.)


Iíve opened accounts from Korea as long as you have an address in the USA. Etrade, stockpile, webull and robinhood.

*look into a roth ira and keep your money under your name!!
Title: Re: Lifers...how do you plan to retire?
Post by: stoat on December 10, 2020, 09:16:04 am
Quote
   at 08:40:15 am Ľ
For those who have gone the investment route, did you invest in Korea or your home country?   

I know f all about investing but do people usually decide what country they want to invest in? I just give my money to a company and they decide what to invest in. Some of the stocks are in China, some India etc. I don't really pay attention as long as it's going up
Title: Re: Lifers...how do you plan to retire?
Post by: thunderlips on December 10, 2020, 09:50:55 am
I know f all about investing but do people usually decide what country they want to invest in? I just give my money to a company and they decide what to invest in. Some of the stocks are in China, some India etc. I don't really pay attention as long as it's going up

Yeah if you donít want to bother with it then having someone else do it is fine. If you have specific stocks you want or markets to enter you can open a brokerage account or an ira account. I have a Roth IRA and a few brokerage accounts. Here is a referral link for webull to get free stocks

 https://act.webull.com/pm/l9SHzkKLB43N/whv/inviteUs/recommend_1546_A_advert
Title: Re: Lifers...how do you plan to retire?
Post by: SPQR on December 10, 2020, 10:32:06 am
Yeah if you donít want to bother with it then having someone else do it is fine. If you have specific stocks you want or markets to enter you can open a brokerage account or an ira account. I have a Roth IRA and a few brokerage accounts. Here is a referral link for webull to get free stocks

 https://act.webull.com/pm/l9SHzkKLB43N/whv/inviteUs/recommend_1546_A_advert

Can I do this with no western country address?
Title: Re: Lifers...how do you plan to retire?
Post by: 745sticky on December 10, 2020, 10:35:42 am

Iíve opened accounts from Korea as long as you have an address in the USA. Etrade, stockpile, webull and robinhood.

*look into a roth ira and keep your money under your name!!

I messed around a bit with Robinhood but haven't put any money in it for a while. Been considering starting to invest in a few stocks each month or something.

How does webull stack up vs robinhood?
Title: Re: Lifers...how do you plan to retire?
Post by: thunderlips on December 10, 2020, 10:43:09 am
I messed around a bit with Robinhood but haven't put any money in it for a while. Been considering starting to invest in a few stocks each month or something.

How does webull stack up vs robinhood?

Similar but webull has more analytics. I joined for the free stock but will add to the portfolio as i go.
Title: Re: Lifers...how do you plan to retire?
Post by: shostager on December 10, 2020, 10:47:38 am

Iíve opened accounts from Korea as long as you have an address in the USA. Etrade, stockpile, webull and robinhood.

*look into a roth ira and keep your money under your name!!

The couple places I've tried have rejected me because of my foreign residency. Do all of those places let Americans with residency abroad invest?

As for those websites - do they send lots of physical mail to the address? The only address I have in the US is my mother's, and she's already overwhelmed by all the mailings she gets from places I've signed up for (and my siblings). I've tried contacting the banks etc. to stop the mailings, but that hasn't done much. She's also thinking about moving soon.

I do have a bank account in the US as well, if that makes any difference.
Title: Re: Lifers...how do you plan to retire?
Post by: thunderlips on December 10, 2020, 10:52:24 am
The couple places I've tried have rejected me because of my foreign residency. Do all of those places let Americans with residency abroad invest?

As for those websites - do they send lots of physical mail to the address? The only address I have in the US is my mother's, and she's already overwhelmed by all the mailings she gets from places I've signed up for (and my siblings). I've tried contacting the banks etc. to stop the mailings, but that hasn't done much. She's also thinking about moving soon.

I do have a bank account in the US as well, if that makes any difference.

Yeah you have to use a us based address to register but some will let you enter a different mailing address. Also look for estatments rather than paper statements. You will have to provide a picture of your passport to prove your identity also.

https://www.stockbrokers.com/compare/robinhood-vs-webull
Title: Re: Lifers...how do you plan to retire?
Post by: shostager on December 10, 2020, 11:02:49 am
I have a Roth IRA and a few brokerage accounts.

Sorry for asking so many questions, but I looked into the Roth, and it says that you can't contribute if you don't make more money than the FEIE (foreign earned income tax exclusion).  I'm pretty sure I don't make more than that, since I've never had to pay any US taxes while here (though I've filed). So do you have to make a lot of money to contribute?
Title: Re: Lifers...how do you plan to retire?
Post by: hangook77 on December 10, 2020, 11:41:24 am
That's a safe bet! The current situation in Canada with throwing money at everyone will definitely effect Canada for generations.

It's sad but Canada may bankrupt itself

Trudeau may be a hack.  But I thought the CPP was independantly managed and at arms length from his free spending government.  The CPP was in fine shape, though if it starts making bad investments or the amount paid out is raised without extra premiums or investments to pay for it, that could be.  However, the Old Age Pension (OAP) which is not a contribution pension could be reduced if Canada experiences a debt crises 10 to 15 years from now.  Perhaps the Guaranteed Income Supplement (GIS) with prescription drug coverage, which is attached to OAP could be vulnerable too.   

But, the CPP, which is individually contributed to, would probably be fine, even with an incompetent free spending borrowing PM.  My guess is the OAP and GIS would get cut back or reduced if not eliminated completely.  So, we will all get something.  No politician would gut it entirely.  They would have to cut other things in the future though to make up for all the free wheeling spending today. 

This said, it may be better for me to get Korean Pension too.  The public would revolt against their political leaders here if they tried to get rid of it.  That said, we will need to work longer or get some other income or investments to add onto these.
Title: Re: Lifers...how do you plan to retire?
Post by: thunderlips on December 10, 2020, 11:50:13 am
Sorry for asking so many questions, but I looked into the Roth, and it says that you can't contribute if you don't make more money than the FEIE (foreign earned income tax exclusion).  I'm pretty sure I don't make more than that, since I've never had to pay any US taxes while here (though I've filed). So do you have to make a lot of money to contribute?

Ah right sorry I forgot that part. I claim my income here and get a refund from the child tax credits. If you use the feie then you canít contribute to a roth.
Title: Re: Lifers...how do you plan to retire?
Post by: shostager on December 10, 2020, 12:04:54 pm
Just looked at the Webull application - I've applied before, and was rejected. They don't say why, so no idea there.

Btw, they want a "Resident Registration Number" (when you have "Country of Current Residence" as South Korea).  Is that my Korean alien card number, my SSN, or what? I couldn't find any clarification when I Googled it. Maybe it was that number being wrong that tripped me up.
Title: Re: Lifers...how do you plan to retire?
Post by: aej310 on December 10, 2020, 12:31:57 pm
It's not a fee to enter the country. Americans that choose to live and work abroad for 12+ months have the option to declare themselves non-resident. Maintaining resident status while working abroad has tax implications. So, many people give up their residency status (nothing to do with citizenship). American citizens are free to enter and leave the country as they please with or without residency status. But once you have given up residency status there is a fee to regain it. Changes to residency status are optional. However, if an American citizen is living and working in the US it makes life much easier to regain the residency status. Simple things like access to new bank accounts, health insurance, etc require this status.

While I don't know all of the details of this person's situation, there seems to be a lot of misinformation here.  If you are a citizen of the US, you cannot give up your residency status to avoid being subject to US taxation.  US citizens and residents are taxed on their worldwide income and therefore required to file a tax return every year to report their worldwide income.  It does not matter how long you have lived abroad, or where you are considered a resident abroad, as long as you maintain your US citizenship, you will be taxed on your worldwide income.  You can of course, apply the foreign tax credit or the foreign earned income exclusion to mitigate double taxation.  As a green card holder or non-citizen, you may be able to give up your permanent residency in order to avoid taxes in the US, but as a citizen, you would not have that right unless you gave up citizenship.  As to re-establishing your residency in the case you gave up your permanent residency, I can imagine that the fee would be around 5,000 USD, because you would be reapplying for permanent residency.  As a US citizen, this would not be required, and giving up citizenship would probably not be advised if you were planning on moving back to the US in the future.   If you are a citizen, I am not sure who is charging you this fee to "establish residency," but I would consult a CPA before paying anything.  Also, as a US citizen you cannot file a nonresident tax return in order to mitigate US taxation.
 In order to file a nonresident tax return, you would have to expatriate (give up your US citizenship). 

Additionally, the South Korea-US tax treaty also allows for Americans to avoid Korean taxation for 2 years if teaching English at a public school in Korea, but technically they can not avoid US taxation.  An individual still needs to file a US tax return and declare their foreign income, although they would most likely qualify for the foreign earned income exclusion, eliminating any taxes owed to the IRS unless they make over approximately 100,000 USD.
Title: Re: Lifers...how do you plan to retire?
Post by: KimDuHan on December 10, 2020, 01:30:33 pm
Trudeau may be a hack.  But I thought the CPP was independantly managed and at arms length from his free spending government.  The CPP was in fine shape, though if it starts making bad investments or the amount paid out is raised without extra premiums or investments to pay for it, that could be.  However, the Old Age Pension (OAP) which is not a contribution pension could be reduced if Canada experiences a debt crises 10 to 15 years from now.  Perhaps the Guaranteed Income Supplement (GIS) with prescription drug coverage, which is attached to OAP could be vulnerable too.   

But, the CPP, which is individually contributed to, would probably be fine, even with an incompetent free spending borrowing PM.  My guess is the OAP and GIS would get cut back or reduced if not eliminated completely.  So, we will all get something.  No politician would gut it entirely.  They would have to cut other things in the future though to make up for all the free wheeling spending today. 

This said, it may be better for me to get Korean Pension too.  The public would revolt against their political leaders here if they tried to get rid of it.  That said, we will need to work longer or get some other income or investments to add onto these.

Canada is on the brink of a revolt. Alberta and Saskatchewan have separatist parties that are gaining popularity. If either province has a referendum on leaving it honestly could pass.

The USA is getting close as well but the two party system is holding it together somewhat.
Title: Re: Lifers...how do you plan to retire?
Post by: thunderlips on December 10, 2020, 02:32:51 pm
While I don't know all of the details of this person's situation, there seems to be a lot of misinformation here.  If you are a citizen of the US, you cannot give up your residency status to avoid being subject to US taxation.  US citizens and residents are taxed on their worldwide income and therefore required to file a tax return every year to report their worldwide income.  It does not matter how long you have lived abroad, or where you are considered a resident abroad, as long as you maintain your US citizenship, you will be taxed on your worldwide income.  You can of course, apply the foreign tax credit or the foreign earned income exclusion to mitigate double taxation.  As a green card holder or non-citizen, you may be able to give up your permanent residency in order to avoid taxes in the US, but as a citizen, you would not have that right unless you gave up citizenship.  As to re-establishing your residency in the case you gave up your permanent residency, I can imagine that the fee would be around 5,000 USD, because you would be reapplying for permanent residency.  As a US citizen, this would not be required, and giving up citizenship would probably not be advised if you were planning on moving back to the US in the future.   If you are a citizen, I am not sure who is charging you this fee to "establish residency," but I would consult a CPA before paying anything.  Also, as a US citizen you cannot file a nonresident tax return in order to mitigate US taxation.
 In order to file a nonresident tax return, you would have to expatriate (give up your US citizenship). 

Additionally, the South Korea-US tax treaty also allows for Americans to avoid Korean taxation for 2 years if teaching English at a public school in Korea, but technically they can not avoid US taxation.  An individual still needs to file a US tax return and declare their foreign income, although they would most likely qualify for the foreign earned income exclusion, eliminating any taxes owed to the IRS unless they make over approximately 100,000 USD.

(https://media.tenor.com/images/be3620b828fb8519a0e33780a6858712/tenor.gif)
Title: Re: Lifers...how do you plan to retire?
Post by: pkjh on December 10, 2020, 03:36:10 pm
Canada is on the brink of a revolt. Alberta and Saskatchewan have separatist parties that are gaining popularity. If either province has a referendum on leaving it honestly could pass.
There is absolutely no way a separatist party would win in Saskatchewan, or Alberta, today. Remember like 80% of people live in urban areas, and there is no way a separatist party would  get more than maybe 10% in metro Calgary, or Edmonton, voting to separate.
Title: Re: Lifers...how do you plan to retire?
Post by: VanIslander on December 10, 2020, 05:59:59 pm
I went to university in Alberta.

Albertans love Texas.
Title: Re: Lifers...how do you plan to retire?
Post by: gogators! on December 10, 2020, 06:37:38 pm
For those who have gone the investment route, did you invest in Korea or your home country?
I've been looking to start investing myself - however, all the investment companies, and even banks, within NZ need me to be in NZ or planning to relocate back to NZ in the very near future before they will let me invest. :o
Get a NZ bank account and invest through it.
Title: Re: Lifers...how do you plan to retire?
Post by: hangook77 on December 11, 2020, 07:51:18 am
Canada is on the brink of a revolt. Alberta and Saskatchewan have separatist parties that are gaining popularity. If either province has a referendum on leaving it honestly could pass.

The USA is getting close as well but the two party system is holding it together somewhat.


I have a cousin living in Alberta.  I think he joined the separatist party the day after the Federal election.
Title: Re: Lifers...how do you plan to retire?
Post by: KimchiNinja on February 20, 2021, 09:31:03 am
Korea is a great for retirement in that here, unlike in the Anglosphere, the older you get the more youíre respected. Plus functional healthcare. Safe. Healthy food. Saw a report that Korea is projected to become the highest life expectancy in the world. Just in general, once you have money Korea works for you, all becomes possible!

I'm asking about finances. How do you plan to live a comfortable lifestyle when you either choose to not, or cannot, work anymore.

Same as anywhere else. First buy an apartment, ours has appreciated almost 100% since 2017. Pay off any mortgage. Then you need 1B won in financial investments that pay 5%, so 50M per year living expenses (or less if you can supplement this with social security payments, or donít mind digging into your lump sum).

Also everyone should be preparing for WWIII and the collapse of the American Empire. Yes, this is clearly happening and when the crazy monetary policy of the West implodes, many of our assets are going to return to their real price, which is MUCH LOWER than current prices. A lot of wealth is going to evaporate (personally I donít trust my apartment price, or any American stock valuations). Best to be conservative and prepare for the worst.
Title: Re: Lifers...how do you plan to retire?
Post by: L I on February 20, 2021, 11:15:06 am
ďThe average selling price for an apartment in Seoul exceeded 1 billion won.Ē

https://koreajoongangdaily.joins.com/2020/09/28/business/economy/apartment-price-jeonse-Hong-Namki/20200928180300534.html

1.03 billion is average; less than that is below average?!

Mind blown  :shocked:

How many of us are gonna spend a billion won on an apartment?
Title: Re: Lifers...how do you plan to retire?
Post by: L I on February 20, 2021, 11:19:17 am
Most English teachers live in below average apartments- small, noisy, and sometimes / oftentimes moldy. Maybe bugs inside, too.
Title: Re: Lifers...how do you plan to retire?
Post by: Lazio on February 20, 2021, 02:26:01 pm
Most English teachers live in below average apartments- small, noisy, and sometimes / oftentimes moldy. Maybe bugs inside, too.
ďThe average selling price for an apartment in Seoul exceeded 1 billion won.Ē

https://koreajoongangdaily.joins.com/2020/09/28/business/economy/apartment-price-jeonse-Hong-Namki/20200928180300534.html

1.03 billion is average; less than that is below average?!

Mind blown  :shocked:

How many of us are gonna spend a billion won on an apartment?


That article is from 5 months ago. That figure must be higher by now. However, ''average'' is a not a great tool to measure things. The most expensive places pull up that figure a lot. Just like with average salaries. You will find that the majority of people make below average and many make significantly less.
Also, this figure only includes apartments in the Korean interpretation of the word. So it doesn't include other, typically cheaper forms of housing like villas and 3 storied houses. Moreover, this is the price of a particular size, not all apartments.

There are also plenty of significantly cheaper areas outside Seoul, but still close enough.
Title: Re: Lifers...how do you plan to retire?
Post by: L I on February 20, 2021, 06:05:14 pm
Moreover, this is the price of a particular size, not all apartments.

Where are you getting that? Nowhere in the article does it say that.
Title: Re: Lifers...how do you plan to retire?
Post by: L I on February 20, 2021, 06:10:16 pm
The article said average apartment price in Seoul:
2017: 0.6 billion
2018: 0.7 billion
2019: 0.8 billion
2020 March: 0.9 billion
2020 September: 1 billion

Prices are goiní up!
Title: Re: Lifers...how do you plan to retire?
Post by: L I on February 20, 2021, 06:18:55 pm
Rereading the article I can see how it could have been referring to apartments of a specific size, that is, average size. Still, the point remains- spend less than a boatload of money on an apartment in Seoul and itíll be way below average- smaller, dirtier, moldier, and noisier.
Title: Re: Lifers...how do you plan to retire?
Post by: L I on February 20, 2021, 06:26:44 pm
Also, the above poster is correct that housing outside of Seoul is cheaper... but in rural areas there are fewer big money making opportunities. Less people speak English. Hospital quality is lower there. Etc.
Title: Re: Lifers...how do you plan to retire?
Post by: Lazio on February 20, 2021, 06:40:27 pm
Also, the above poster is correct that housing outside of Seoul is cheaper... but in rural areas there are fewer big money making opportunities. Less people speak English. Hospital quality is lower there. Etc.

I meant places like Anyang, Suwon, Bucheon etc. I wouldn't call them rural.
Title: Re: Lifers...how do you plan to retire?
Post by: L I on February 20, 2021, 06:58:36 pm
Ēaverage'' is a not a great tool to measure things. The most expensive places pull up that figure a lot. Just like with average salaries.

Yeah, not really. People like to say that to themselves and others because admitting to being below average would be too painful. Itís a coping mechanism.

Article from a year ago:

ďthe median price of Seoul apartments reached 912.2 million wonĒ

https://www.google.com/amp/m.koreaherald.com/amp/view.php%3fud=20200130000643

ďThe median price has nearly doubled in the past decadeď
_____
Average and median, pretty much the same.


Title: Re: Lifers...how do you plan to retire?
Post by: L I on February 20, 2021, 07:03:34 pm
For an outlier - massive house much bigger that others - to pull up average prices significantly, thereíd have to be A LOT of them. But there arenít. So theyíre not swaying prices in huge way. Rather, housing prices in general in Korea are going way up. (So are salaries across the board. Except for English teachers.)
Title: Re: Lifers...how do you plan to retire?
Post by: Lazio on February 20, 2021, 08:33:13 pm
For an outlier - massive house much bigger that others - to pull up average prices significantly, thereíd have to be A LOT of them. But there arenít. So theyíre not swaying prices in huge way. Rather, housing prices in general in Korea are going way up. (So are salaries across the board. Except for English teachers.)

Indeed they are going up, I'm not arguing with that.
My point is, there are still some affordable areas even within Seoul. They are less desired by most, hence they are cheaper. Although I would argue with your statement that they are dirtier or noisier or lesser quality. They are built with the same technology. The location makes all the difference.

You don't need to have a lot of expensive houses to pull up the average. Say they average is near 1 million dollars. It doesn't really start at 0 because even the cheapest one will be a couple hundred thousand dollars. So there is only so much the cheapest apartments can affect the average. On the other hand, there are plenty of apartments in the 2 million dollar+ range. And there are many more expensive ones. If there is one that's worth 4 million, you will need 9 other ones worth 650k to bring the average down to a million. So yes, the crazy expensive ones do a lot of pulling.
Title: Re: Lifers...how do you plan to retire?
Post by: hangook77 on March 02, 2021, 08:35:22 am
I know f all about investing but do people usually decide what country they want to invest in? I just give my money to a company and they decide what to invest in. Some of the stocks are in China, some India etc. I don't really pay attention as long as it's going up

Wow!  Good luck with that.  If you can trust the Chinese numbers.  When it crashes on a corruption pile and your money is gone.  Time to get a bit more educated boy!
Title: Re: Lifers...how do you plan to retire?
Post by: stoat on March 02, 2021, 08:58:32 am
Quote
Time to get a bit more educated boy!

Yeah, I guess I could use my limited free time to learn more about the stock exchange than a 40 year old company with 400 employees managing 120 billion pounds worldwide. Or I could just be satisfied with the 80% increase on my savings they've managed so far.
Title: Re: Lifers...how do you plan to retire?
Post by: hangook77 on March 18, 2021, 10:36:38 am
The couple places I've tried have rejected me because of my foreign residency. Do all of those places let Americans with residency abroad invest?

As for those websites - do they send lots of physical mail to the address? The only address I have in the US is my mother's, and she's already overwhelmed by all the mailings she gets from places I've signed up for (and my siblings). I've tried contacting the banks etc. to stop the mailings, but that hasn't done much. She's also thinking about moving soon.

I do have a bank account in the US as well, if that makes any difference.

TD waterhouse which also owns Ameritrade in the US lets me have an investment account based in Canada from here.  I haven't used yet.  But I had to go into a TD branch back home to sign up for it using my sisters local address plus giving them my Korean address.  I haven't done anything with it yet due to tax fears.  But probably will soon. 

A friend said he uses some Nonghyup app for buying shares but his wife has to translate for him.  He said fees are less insane than back home.  Moral of the story, don't be a day trader.  Also buy some place to rent.  (I suspect those waygooks who came here years ago when the salary was worth something could save a lot and invest a lot assuming they also didn't have to repay too many student loans.  Much smaller starting place today due to less savings potential.) 
Title: Re: Lifers...how do you plan to retire?
Post by: SPQR on March 18, 2021, 11:02:03 am
Philippines for sure.  Waaaay hawt and skinny P-girls. Huge pay
packets. Great weather. Amazing food. Unstable government.
Title: Re: Lifers...how do you plan to retire?
Post by: CO2 on March 18, 2021, 11:33:17 am
Philippines for sure.  Waaaay hawt and skinny P-girls. Huge pay
packets. Great weather. Amazing food. Unstable government.

(https://media.tenor.com/images/333218d8bfc2b48f60976802f2c3c2d9/tenor.gif)

But, good on ya for rolling with it. hahaha
Title: Re: Lifers...how do you plan to retire?
Post by: Aristocrat on March 18, 2021, 12:39:44 pm
Philippines for sure.  Waaaay hawt and skinny P-girls. Huge pay
packets. Great weather. Amazing food. Unstable government.

Curious, are you "way hawt and skinny"?
Title: Re: Lifers...how do you plan to retire?
Post by: VanIslander on March 18, 2021, 01:07:58 pm
Retire...

"Re" comes from "again"

To tire is to put new rubber on a wheel, a laborious task that became known as "tiring", hence "I'm tired" being a feeling of having done a repeated activity (in need of retiring).

As long as you are not tired of teaching, you do not need to retire.

I worked with a spunky teacher from South Africa who was 71 or 72 years old, a longterm public school teacher who came here for the experience, and her students here loved her. When she went back home after a year, a few students actually cried (shed tears). It took me 18 dang years and several hagwons to get more than one crier at the news of my departure.


My point initially: Re-tire don't quit. That is retread, put on a new layer of rubber suited to the new terrain you'll be traversing in your 60s or 70s.

Golf, cards and naps may sound good but are more of a holiday treat than a recipe for a long thriving life.
Title: Re: Lifers...how do you plan to retire?
Post by: SPQR on March 18, 2021, 01:26:45 pm
Retire...

"Re" comes from "again"

To tire is to put new rubber on a wheel, a laborious task that became known as "tiring", hence "I'm tired" being a feeling of having done a repeated activity (in need of retiring).

As long as you are not tired of teaching, you do not need to retire.

I worked with a spunky teacher from South Africa who was 71 or 72 years old, a longterm public school teacher who came here for the experience, and her students here loved her. When she went back home after a year, a few students actually cried (shed tears). It took me 18 dang years and several hagwons to get more than one crier at the news of my departure.


My point initially: Re-tire don't quit. That is retread, put on a new layer of rubber suited to the new terrain you'll be traversing in your 60s or 70s.

Golf, cards and naps may sound good but are more of a holiday treat than a recipe for a long thriving life.


Whatever.

Anyway, retire means to retreat. NOT the spurious, fanciful
definition you cooked up.

I retire in nine years and am looking forward to it. Thirty-five
years of teaching in Korea will be more than enough. Also, there
are much better places to chill than here. So, I'm not hanging around
Korea so I can teach a few hours a week.
Title: Re: Lifers...how do you plan to retire?
Post by: hangook77 on March 18, 2021, 01:49:33 pm
Retire...

"Re" comes from "again"

To tire is to put new rubber on a wheel, a laborious task that became known as "tiring", hence "I'm tired" being a feeling of having done a repeated activity (in need of retiring).

As long as you are not tired of teaching, you do not need to retire.

I worked with a spunky teacher from South Africa who was 71 or 72 years old, a longterm public school teacher who came here for the experience, and her students here loved her. When she went back home after a year, a few students actually cried (shed tears). It took me 18 dang years and several hagwons to get more than one crier at the news of my departure.


My point initially: Re-tire don't quit. That is retread, put on a new layer of rubber suited to the new terrain you'll be traversing in your 60s or 70s.

Golf, cards and naps may sound good but are more of a holiday treat than a recipe for a long thriving life.


I thought Korea forced retirement at age 62 even for the foreign teachrs.  Some of you long term expatrs who are lifers should get on that and maybe challenge it along with other Korean contract workers.  I can see regular permanent workers being made to retire then, as they have a pension.  But contract and foreign teachers will not have that same pension.  So, maybe some of you should push to let you work till 66 or something more.  I am still a ways away from that and prob will at an older age migrate back or elsewhere so less of an issue for me.  Actually retirement age for most here will be 62 but the pension will only be collected now at 65.  So, that clause is actually discriminitory.  Anyways, some of you longer term vets should complain about that.
Title: Re: Lifers...how do you plan to retire?
Post by: SPQR on March 18, 2021, 03:55:13 pm
I thought Korea forced retirement at age 62 even for the foreign teachrs.  Some of you long term expatrs who are lifers should get on that and maybe challenge it along with other Korean contract workers.  I can see regular permanent workers being made to retire then, as they have a pension.  But contract and foreign teachers will not have that same pension.  So, maybe some of you should push to let you work till 66 or something more.  I am still a ways away from that and prob will at an older age migrate back or elsewhere so less of an issue for me.  Actually retirement age for most here will be 62 but the pension will only be collected now at 65.  So, that clause is actually discriminitory.  Anyways, some of you longer term vets should complain about that.


Ageism is a problem in Korea.  I've known this for a while.  That is
why I have been self-employed for about ten years.  I also, luckily, own
my own house. Therefore no Korean can tell me when to work or
not work, or where to live and not live. It makes a big difference.
Title: Re: Lifers...how do you plan to retire?
Post by: hangook77 on March 19, 2021, 11:36:36 am
Ageism is a problem in Korea.  I've known this for a while.  That is
why I have been self-employed for about ten years.  I also, luckily, own
my own house. Therefore no Korean can tell me when to work or
not work, or where to live and not live. It makes a big difference.

You were very fortunate to come to Korea when they paid high salaries (in relation to the cost of living).  It was easier to save and build something up making your life easier today.  But as Korea ages and many new eslers want to stay, they will be screwed unless the government raises the retirement age.  Most salaries won't be enough for them to retire on or raise a family anymore.
Title: Re: Lifers...how do you plan to retire?
Post by: VanIslander on March 19, 2021, 09:11:34 pm
There is no mandatory retirement age.

I mean, I have met 67-, 68- and 71-year old English language teachers working in South Korea on E-2 visas.
Title: Re: Lifers...how do you plan to retire?
Post by: Lazio on March 19, 2021, 09:34:51 pm
You were very fortunate to come to Korea when they paid high salaries (in relation to the cost of living).  It was easier to save and build something up making your life easier today.  But as Korea ages and many new eslers want to stay, they will be screwed unless the government raises the retirement age.  Most salaries won't be enough for them to retire on or raise a family anymore.

Not quite. Took him over 20 years to make a down payment  of 33%.
That means, you also have hope.

I bought a 440,000,000KRW apartment in November.  Financed the max out of it. (like 2/3 the asking price)

I've been here since 1996. 
Title: Re: Lifers...how do you plan to retire?
Post by: confusedsafferinkorea on March 20, 2021, 05:56:24 am
There is no mandatory retirement age.

I mean, I have met 67-, 68- and 71-year old English language teachers working in South Korea on E-2 visas.


The limit is 62 for public schools so I guess they must be at hagwons.
Title: Re: Lifers...how do you plan to retire?
Post by: L I on March 20, 2021, 06:22:58 am
Limit at universities is 65 (from what Iíve heard).
Title: Re: Lifers...how do you plan to retire?
Post by: VanIslander on March 20, 2021, 07:00:00 am
Yes, hagwons.

I have met 65+ year olds who teach at hagwons.

I worked with a 70+ year old woman who was full of energy. She was a retired public school teacher from South Africa who decided to travel the world. The funny thing is: my hagwon on Jeju said they had to meet her in person to hire her (she applied to the big hagwon when we had two vacancies and her son was going to be hired, yet her 40something year old son turned out to.be a lazy boring teacher.but she was beloved by her students and they expressed their unhappiness when her year-long contract ended and she went back home (with.her bum of a son, good.riddance).
Title: Re: Lifers...how do you plan to retire?
Post by: KoreaBoo on March 21, 2021, 11:41:05 am
The pension system here is horrid.  If you think you will be able to scrape by, just wait until you get sick and your medical bills will reduce your life savings to near zero in record time.  I've seen it happen.

As for retirement, I will be retiring at 60 in just over a decade.

Military pension will be 26% of approx 120k/yr (indexed to inflation) or $31,200 + inflation increases.
CPP = approx 10% of my income (it's measured to be approx 30%, but I was out of the country and maxed out my contributions for 13 years).  So $12,000
OAS = $919 x 12 = $11,028/yr (based on current OAS value)

Investments approx 850k - 1.2M with an avg return of 9.78%.  Assuming to withdraw approx 3.5%/yr to supplement my income.  So I'll put in a value of $25,000/yr.
My property value + investments are over half the desired minimum number.

So my retirement will be $54,228 on pensions + $25k = $79,228/yr based on current numbers.

My wife has nearly 20 years as a Korean federal officer @ Rank 5.  She made approx 57M last year and assuming she'll retire with 20 yrs @ 2%/yr = $63,333 x .4 = $25k/yr from the Korean gov't.

She will receive OAS from Canada + whatever CPP she earns from her work here.

We are in decent shape at this point.  I am going to assume we will rent when we retire in an area within B.C. that is cheaper, a little less crowded and enjoy a comfortable and modest lifestyle.   

Canada does not have medical expenses, but we do have dental.  Medications are covered by B.C. based on income over a prescribed amount based on your income.  But all in all, the military pension + CPP is the real stress reliever.  I may choose to work as a contractor at 60 and work for a few more years if I am interested or offered an extension by the CAF.  However, the military system ensures those who retire at 60 receive a bridge benefit prior to CPP eligibility.

You cannot have this in Korea.  Retirement in Korea is serious poverty if you rely only on the national pension system and do not participate with a better one.  You also won't have to work in hogwans @ 70.  That would be just awful.
Title: Re: Lifers...how do you plan to retire?
Post by: hangook77 on March 22, 2021, 07:49:42 am
Not quite. Took him over 20 years to make a down payment  of 33%.
That means, you also have hope.


Well he had about 18 to 20 years of a cheaper living cost where the salary went further.  You wouldn't be able to save that amount starting out today on a 2 million salary over the next 20 years unless you earned signifigantly more.  A shame for the new teachers.  Maybe they'll get wise.
Title: Re: Lifers...how do you plan to retire?
Post by: hangook77 on March 22, 2021, 07:51:08 am
There is no mandatory retirement age.

I mean, I have met 67-, 68- and 71-year old English language teachers working in South Korea on E-2 visas.

All my contracts say mandatory retirement at 62.  Which is weird because you will only be able to collect the pension at 65.  Something isn't connecting here.

Title: Re: Lifers...how do you plan to retire?
Post by: Lazio on March 22, 2021, 10:19:54 am
Well he had about 18 to 20 years of a cheaper living cost where the salary went further.  You wouldn't be able to save that amount starting out today on a 2 million salary over the next 20 years unless you earned signifigantly more.  A shame for the new teachers.  Maybe they'll get wise.

E-2 visa holders rarely come here with the intention to buy real estate. And those that are married to locals, have much better earning potentials. Let alone having dual income.

But hypothetically, even on 2 million won, one could save that amount very easily over the course of 20 years. Unless they are terrible with finances.
Title: Re: Lifers...how do you plan to retire?
Post by: hangook77 on March 22, 2021, 01:26:09 pm
E-2 visa holders rarely come here with the intention to buy real estate. And those that are married to locals, have much better earning potentials. Let alone having dual income.

But hypothetically, even on 2 million won, one could save that amount very easily over the course of 20 years. Unless they are terrible with finances.

The point is he came over and started as an E2 and saved for 20 plus years and got into the market.  A single person can save 400 US dollars a month on a 2.1 million salary as opposed 1400 US in the past.  With a family, that savings drops to nothing and maybe even some debt taken on.  But over the next few years, I suspect if the wage stays the same, that savings will drop to 100 dollars a month or nothing.  I don't see someone buying a property here.  Plus they are going up by a lot.  Unless you are a savy investor and get into something that explodes  in huge growth, I don't see today's E2 being able to own a mdoern apartment here (even if they want to which many may not). 

If someone came over here in the 90's and had huge savings potential due to not having student loans or debt to repay, you could save a lot.  Even with the Asian crisises if you kept your money in Korea.  Plus for Koreans and maybe foreigners married to Koreans a lot of banks offered higher interest savings accounts until recent years.  Like 8 or 9 per cent interest.  So, those in the past with the cheap living cost here definately has the potential that new teachers coming in 2021 for the same or even slightly higher wage do not. 

Let's assume over 10 years starting now using an average savings potential of 200 US dollars a month (higher now and lower in a few years) if salaries still stay the same.  Well 200 times 12 is 2400$.  Times 10 is $24000 which in 2031 will be worth less than now.  I was able to save more than this in 2 years here when I started.  This of course assumes that person has no student loans or other debt to repay. 

Either way, the vets who got in when the getting was good have probably found a way to make it for themselves and can handle the lower wage now due to the savings they built up I think.  As for new teachers, they'd be wise not to stay for too long. 
Title: Re: Lifers...how do you plan to retire?
Post by: D.L.Orean on March 22, 2021, 01:42:00 pm
The point is he came over and started as an E2 and saved for 20 plus years and got into the market.  A single person can save 400 US dollars a month on a 2.1 million salary as opposed 1400 US in the past.  With a family, that savings drops to nothing and maybe even some debt taken on.  But over the next few years, I suspect if the wage stays the same, that savings will drop to 100 dollars a month or nothing.  I don't see someone buying a property here.  Plus they are going up by a lot.  Unless you are a savy investor and get into something that explodes  in huge growth, I don't see today's E2 being able to own a mdoern apartment here (even if they want to which many may not). 

If someone came over here in the 90's and had huge savings potential due to not having student loans or debt to repay, you could save a lot.  Even with the Asian crisises if you kept your money in Korea.  Plus for Koreans and maybe foreigners married to Koreans a lot of banks offered higher interest savings accounts until recent years.  Like 8 or 9 per cent interest.  So, those in the past with the cheap living cost here definately has the potential that new teachers coming in 2021 for the same or even slightly higher wage do not. 

Let's assume over 10 years starting now using an average savings potential of 200 US dollars a month (higher now and lower in a few years) if salaries still stay the same.  Well 200 times 12 is 2400$.  Times 10 is $24000 which in 2031 will be worth less than now.  I was able to save more than this in 2 years here when I started.  This of course assumes that person has no student loans or other debt to repay. 

Either way, the vets who got in when the getting was good have probably found a way to make it for themselves and can handle the lower wage now due to the savings they built up I think.  As for new teachers, they'd be wise not to stay for too long.

How long have you been here? Why are you still on an e2 visa? People with long term ambitions to stay in Korea will move onto an F visa and this will open opportunities to make more money.
Title: Re: Lifers...how do you plan to retire?
Post by: tylerthegloob on March 22, 2021, 01:42:35 pm
A single person can save 400 US dollars a month on a 2.1 million salary
ah man i really wish you'd quit your bullshit. you can eaaaasily save TWICE that
Title: Re: Lifers...how do you plan to retire?
Post by: chimp on March 22, 2021, 01:54:04 pm
This lolgook77 character doesn't seem very savvy at all.

Tell us in detail about your savvy investments, lolgook77. We must know.
Title: Re: Lifers...how do you plan to retire?
Post by: OnNut81 on March 22, 2021, 03:19:39 pm
You wouldn't be able to save that amount starting out today on a 2 million salary over the next 20 years unless you earned signifigantly more. 

If you were earning significantly more, you would not be starting out on a 2 million salary.  You just keep finding new ways to make no sense, don't you? 
Title: Re: Lifers...how do you plan to retire?
Post by: OnNut81 on March 22, 2021, 03:24:28 pm
A shame for the new teachers.  Maybe they'll get wise.

And thank you for adding that last bit.  It's your subtlety that impresses.  You have to read in between the lines, but if you look carefully you get the sense Hangook is trying to tell the new teachers something.  Besides, letting them know the exact amount of money they can expect to save from a 2.1 million salary, that is.  Although, it helps those newbies with their budgeting to know ahead of time they will be saving $400 per month. 
Title: Re: Lifers...how do you plan to retire?
Post by: 745sticky on March 23, 2021, 07:54:41 am
With a family, that savings drops to nothing and maybe even some debt taken on.
I would assume that anybody on 2/2.1 mil probably isnt having a kid unless their partner also has a job, when you say that savings "drops to nothing and maybe even some debt taken on" are you accounting for a second income? Genuine question btw. I have no idea how expensive childcare, etc. in Korea is.
Title: Re: Lifers...how do you plan to retire?
Post by: SPQR on March 23, 2021, 08:08:22 am

Even with the Asian crisis if you kept your money in Korea. 


Are you kidding? The 1997 Asian currency implosion was a license to make money.
We all had US dollars put aside for travelling.  The Korean won went from about
750 per dollar to 1800 per dollar inside a month.  We all cashed in our greenbacks
and doubled our money.  One guy in our school had about US$15,000 saved up. He
cashed that in for over 30,000,000 won.

Koreans in the bank were swearing at us.  But hey. We didn't cause the crisis. It was
caused by nearsighted Korean ajoshis who put more time into soju, cigarettes, brothels
and dog soup, than properly caring for the economy.
Title: Re: Lifers...how do you plan to retire?
Post by: OnNut81 on March 23, 2021, 11:31:07 am
Are you kidding? The 1997 Asian currency implosion was a license to make money.
We all had US dollars put aside for travelling.  The Korean won went from about
750 per dollar to 1800 per dollar inside a month.  We all cashed in our greenbacks
and doubled our money.  One guy in our school had about US$15,000 saved up. He
cashed that in for over 30,000,000 won.

Koreans in the bank were swearing at us.  But hey. We didn't cause the crisis. It was
caused by nearsighted Korean ajoshis who put more time into soju, cigarettes, brothels
and dog soup, than properly caring for the economy.

I was here then and didn't know anyone who had their money in dollars, so you're using the term ALL pretty anecdotally.  I know that about five of the ten people that worked for our after school company did the midnight run as they were having to spend almost all of their salaries to meet debt payments.  It was good if you stuck around as you became a more valuable commodity with so many people up and leaving. 
Title: Re: Lifers...how do you plan to retire?
Post by: Kyndo on March 23, 2021, 11:51:32 am
Genuine question btw. I have no idea how expensive childcare, etc. in Korea is.
It's pretty reasonable. The Korean government heavily subsidizes child related costs.
Expenses depend on the age of the kiddo. We spend around 150,000 to 200,000 won on diapers, food, clothes, and toys for our 20 month old kid. The biggest cost right now is sending the little gremlin to daycare, which comes out to around 450,000 per month (although if one of the parents is Korean, public daycares are free).
Of course there are some one-time costs to be considered as well. Car seats, cribs, floor padding, etc etc can quickly add up.
Title: Re: Lifers...how do you plan to retire?
Post by: SPQR on March 23, 2021, 12:51:35 pm

I was here then and didn't know anyone who had their money in dollars, so you're using the term ALL pretty anecdotally.  I know that about five of the ten people that worked for our after school company did the midnight run as they were having to spend almost all of their salaries to meet debt payments.  It was good if you stuck around as you became a more valuable commodity with so many people up and leaving. 


The long timers had money in both currencies.  Like I said, from traveling.

As for debt collectors we had a simple solution for that.  We told them they
ain't gettin' nuttin' until this financial phenomenon was over. They told us,
"You can't do that!" We said, "Watch us." Nothing they could do. It probably
hurt our credit rating. We didn't care.

Yeah, I remember the midnight run. Kind of a misnomer. Idiots thought
they could be stopped at the airport for leaving their job. NOT.
Title: Re: Lifers...how do you plan to retire?
Post by: hangook77 on March 23, 2021, 01:19:45 pm
The long timers had money in both currencies.  Like I said, from traveling.

As for debt collectors we had a simple solution for that.  We told them they
ain't gettin' nuttin' until this financial phenomenon was over. They told us,
"You can't do that!" We said, "Watch us." Nothing they could do. It probably
hurt our credit rating. We didn't care.

Yeah, I remember the midnight run. Kind of a misnomer. Idiots thought
they could be stopped at the airport for leaving their job. NOT.

Even when I got here years later, I heard there were a lot of credit delinquents here amongst the English teachers.  many chose to skip out and not repay.  I repaid mine and have a good credit rating back home. 
Title: Re: Lifers...how do you plan to retire?
Post by: L I on March 23, 2021, 01:35:49 pm
Repaying debt is not just about having good credit, itís about doing the right thing. (Not stealing.)
Title: Re: Lifers...how do you plan to retire?
Post by: SPQR on March 23, 2021, 01:48:15 pm
Repaying debt is not just about having good credit, itís about doing the right thing. (Not stealing.)

I think you should brush up on basic law, laddie.  Debt repayment is covered
under civil law. Theft is covered under criminal law.  They are very different
things.
Title: Re: Lifers...how do you plan to retire?
Post by: L I on March 23, 2021, 01:50:59 pm
How is not paying back money you borrowed not stealing?

Repaying loans is the ethical thing to do.
Title: Re: Lifers...how do you plan to retire?
Post by: OnNut81 on March 23, 2021, 03:19:42 pm
Yeah, I remember the midnight run. Kind of a misnomer. Idiots thought
they could be stopped at the airport for leaving their job. NOT.

I think when I've worked with people that have done the midnight run, it was because they wanted to screw over the management.  It was tough when someone told you about their plans first, and then you had to play stupid and pretend you were just as shocked as everyone else.  One of my favourites was a guy who got yelled at by a higher up in the staff room in front of everyone.  Management totally overestimated their power.  The guy never returned from lunch.  The guy who did the yelling got bitch slapped hard by the owner for that one.