The RETIREMENT thread

[shock888]

There are a ton of misconceptions regarding what "retirement" actually means. I've been giving advice with regards to the subject over the years but it's scattered all over this forum (and the previous one) and has never been consolidated into a thread dedicated to the subject.

As I've finished my summer and autumn projects, I now have a bit of time on my hands over the next week or so and I'll my spare moments to share my ideas on what I consider to be the most pressing issues facing Sinkies over the coming years.

I'll be writing whatever comes to mind so the thread won't be well organised to start off with. However, as time goes by, I'll do my best to edit the contents to make them as coherent as possible.

Here goes:

Thanks Boss Sam for sharing this. Much appreciated.

 

[Leongsam]

How to start cycling in retirement​

Durand Coldicott | Fri 19th Apr 2024 15:23

Cycling in retirement offers countless benefits for seniors, from improving physical health and fitness to promoting mental well-being and providing opportunities for adventure and exploration. By following the tips and advice outlined in this guide, you can embark on your cycling journey with confidence, knowing that you have the knowledge and skills to ride safely and enjoyably. So dust off your bike, pump up your tires, and get ready to experience the joy and freedom of cycling in retirement!

Welcome to the world of cycling in retirement! Retirement marks the beginning of a new chapter in life, offering ample opportunities to explore hobbies, stay active, and enjoy the freedom that comes with newfound leisure time.

Cycling, with its myriad health benefits and sense of adventure, is an excellent activity to embrace during this stage of life. In this guide, we'll delve into everything you need to know to start your two-wheeled journey, from choosing the right bicycle to staying safe on the road and building confidence as a cyclist. If you’re new to cycling in your senior years, this guide is for you.

Health Benefits of Cycling for Seniors​

One of the greatest advantages of cycling in retirement is its positive impact on health and well-being. Regular cycling offers a multitude of benefits for seniors, ranging from improving cardiovascular health to enhancing mental clarity and mood.

Improving cardiovascular health: Cycling is an excellent aerobic exercise that gets the heart pumping and blood flowing, helping to strengthen the heart muscle and lower the risk of heart disease and stroke.

Boosting joint mobility and flexibility: Unlike high-impact activities such as running, cycling is gentle on the joints, making it an ideal exercise for seniors looking to maintain mobility and flexibility without causing undue strain.

Enhancing mental well-being and cognitive function: The rhythmic motion of cycling has a calming effect on the mind, reducing stress and anxiety. Additionally, regular exercise has been shown to improve cognitive function and memory, reducing the risk of age-related cognitive decline.

Managing weight and promoting overall fitness: Cycling burns calories and helps to build muscle, making it an effective way to manage weight and improve overall fitness levels. It's a low-impact exercise that can be easily tailored to individual fitness levels, making it suitable for seniors of all abilities.

Choosing the Right Bicycle​

Before embarking on your cycling journey, it's essential to choose the right bicycle for your needs and preferences. With a wide array of options available, ranging from traditional bicycles to Electric Bikes, finding the perfect ride is key to ensuring comfort and enjoyment on the road.

Types of bicycles suitable for seniors: When selecting a bicycle, consider factors such as comfort, ease of use, and stability. Traditional road bikes are lightweight and efficient but may require a more aggressive riding position that can be uncomfortable for some seniors. Comfort bikes, with their upright riding position and cushioned saddles, are a popular choice for leisurely rides.

Considerations when selecting a bike: Comfort should be your top priority when choosing a bicycle. Look for features such as a comfortable saddle, adjustable handlebars, and a step-through frame for easy mounting and dismounting. Electric Bikes, with their pedal-assist technology, are a great option for seniors who may need a little extra help on hills or longer rides.

Importance of proper bike fit: A properly fitted bike is essential for comfort and safety on the road. Visit a local Evo Showroom to get professionally fitted for a bike that suits your body type and riding style. A bike that's too large or too small can cause discomfort and increase the risk of injury, so take the time to find the perfect fit.

Essential Gear and Accessories​

In addition to a reliable bicycle, there are several essential gear and accessories that every cyclist should have to ensure a safe and enjoyable riding experience.

Helmet: A well-fitting helmet is the most important piece of safety equipment for cyclists of all ages. Choose a helmet that meets safety standards and fits snugly on your head, with straps that can be adjusted for a secure fit.

Comfortable clothing: When cycling, wear lightweight, breathable clothing that allows for freedom of movement and wicks away sweat to keep you dry and comfortable. Avoid loose-fitting clothing that can get caught in the bike's moving parts.

Safety accessories Make yourself visible to other road users by outfitting your bike with lights, reflectors, and mirrors. Front and rear lights are essential for riding in low-light conditions, while reflective clothing and accessories help increase visibility during the day.

Optional accessories: Consider investing in additional accessories such as water bottle holders, saddlebags, and bike locks to enhance your cycling experience. Saddlebags are perfect for carrying essentials such as snacks, water, and a first-aid kit, while a sturdy bike lock provides peace of mind when parking your bike in public places.

Getting Started: Tips for Beginners​

Starting a new activity like cycling can be intimidating, but with the right approach, it can also be incredibly rewarding. Here are some tips for beginners to help you get started on your cycling journey:

Start slow and gradually increase intensity: If you're new to cycling or returning to it after a long hiatus, start with short, easy rides and gradually increase the duration and intensity as your fitness improves. Listen to your body and take rest days as needed to avoid burnout and injury.

Set realistic goals and track progress: Whether it's riding a certain distance, mastering a new skill, or participating in a charity ride, setting achievable goals can help keep you motivated and focused on your progress. Keep a journal or use a fitness app to track your rides and celebrate your accomplishments along the way.

Plan routes: Before heading out for a ride, take some time to plan your route and familiarise yourself with the area. Choose routes that are safe, well-lit, and free of heavy traffic, and consider exploring local parks, bike paths, and scenic trails for a more enjoyable riding experience.

Listen to your body: Pay attention to how your body feels while cycling and don't push yourself beyond your limits. If you experience pain or discomfort, take a break and assess the situation before continuing. Remember that cycling should be enjoyable, so don't be afraid to take it easy and go at your own pace.

Building Confidence and Skills​

Building confidence and skills as a cyclist takes time and practice, but with patience and determination, you'll soon feel comfortable and competent on the road. Here are some tips to help you build confidence and improve your cycling skills:

Practice basic cycling skills: Before hitting the open road, spend some time practicing basic cycling skills such as starting, stopping, and turning in a safe, controlled environment. Find an empty parking lot or quiet street where you can practice without the distraction of traffic.

Ride in different environments: To become a well-rounded cyclist, it's important to ride in a variety of environments, including roads, bike paths, and parks. Each environment presents its own set of challenges, from navigating traffic to dodging pedestrians and obstacles, so practice riding in different settings to improve your skills and confidence.

Learn proper hand signals and road etiquette: Familiarise yourself with the rules of the road and learn the proper hand signals for indicating turns and stops. Always ride predictably and follow traffic laws, signalling your intentions to other road users to avoid accidents and misunderstandings.

Join group rides or cycling clubs: Riding with others is a great way to build confidence and learn from more experienced cyclists. Consider joining a local cycling club or participating in group rides organised by your community or bike shop. Riding with others provides opportunities to learn new techniques, share tips and advice, and enjoy the camaraderie of fellow cyclists. Plus, group rides often follow predetermined routes, taking the guesswork out of planning and navigation.

Safety First: Rules of the Road​

Cycling can be a safe and enjoyable activity when done responsibly and in accordance with traffic laws and regulations. As a cyclist, it's essential to prioritise safety at all times and take measures to protect yourself and others on the road.

Understanding traffic laws: Familiarise yourself with the traffic laws and regulations that apply to cyclists in your area. In most places, cyclists are required to follow the same rules of the road as motorists, including obeying traffic signals, yielding to pedestrians, and riding in the same direction as traffic.

Staying visible and predictable: Make yourself visible to other road users by wearing brightly coloured clothing and using lights and reflectors on your bike, especially when riding in low-light conditions. Ride predictably and avoid sudden movements or erratic behaviour that can catch motorists off guard.

Defensive cycling techniques: Adopt a defensive mindset when riding in traffic, anticipating potential hazards and taking proactive measures to avoid accidents. Always be on the lookout for hazards such as potholes, debris, and parked cars, and leave plenty of space between yourself and other vehicles.

Importance of regular bike maintenance: A well-maintained bike is essential for safety and performance on the road. Schedule regular tune-ups and inspections to ensure that your bike is in good working order, paying special attention to brakes, tires, and gears. Replace worn or damaged parts promptly to prevent accidents and breakdowns.

Incorporating Cycling into Your Retirement Lifestyle​

Cycling isn't just a form of exercise – it's a lifestyle that offers countless opportunities for adventure, exploration, and socialisation. As you embark on your cycling journey in retirement, consider how you can integrate cycling into your daily routine and make it a central part of your lifestyle.

Making cycling a social activity: Cycling is more fun when shared with others, so consider riding with friends, family members, or fellow cyclists in your community. Plan group rides, organise cycling outings, or join social media groups and online forums to connect with like-minded individuals who share your passion for cycling.

Exploring new places: One of the greatest joys of cycling is the ability to explore new places and discover hidden gems right in your own backyard. Use cycling as an opportunity to venture off the beaten path, explore scenic routes, and immerse yourself in the beauty of nature.

Participating in organised rides: Consider participating in charity rides, organised cycling events, or bike tours as a way to challenge yourself, support a worthy cause, and connect with other cyclists. These events offer opportunities to push your limits, set new goals, and experience the thrill of riding in a group setting.

Using cycling as transportation: Embrace cycling as a practical and environmentally friendly mode of transportation for running errands, commuting to work, or simply getting around town. Invest in a sturdy bike rack or cargo trailer to carry groceries, supplies, or other essentials, and enjoy the convenience and freedom that cycling provides.

Embracing the joy of cycling: Above all, embrace the joy of cycling and the sense of freedom and liberation that comes with it. Whether you're cruising along a scenic coastal route, tackling a challenging mountain climb, or simply enjoying a leisurely ride through the neighbourhood, savour every moment and revel in the simple pleasure of being on two wheels.

 

[Laguna123]

Is it common for ppl to use REITs for their dividend as retirement from passive income? Like around 5-6% dividend yearly? But there is also risk of the principle fund gone if the company goes into bankruptcy?

 

[shock888]

I have an ex-colleague who retired by using REITS as an investment vehicle. He found the returns to be inadequate. I told him to use Covered Call Option Strategy instead based on Apple stock. With a capital about US$20k, he can get a return of around 10pc every 6 months.

 

[bart12]

Is it common for ppl to use REITs for their dividend as retirement from passive income? Like around 5-6% dividend yearly? But there is also risk of the principle fund gone if the company goes into bankruptcy?

S-Reit has performed badly in the last 5 years ,,Earned 30% in 5 years but wiped out by capital loss. However, right now is a good time to buy some good reits for long term

 

[Laguna123]

S-Reit has performed badly in the last 5 years ,,Earned 30% in 5 years but wiped out by capital loss. However, right now is a good time to buy some good reits for long term

View attachment 200354

Mean over 5 years mostly shares price dropped? I see most red.

 

[bart12]

Mean over 5 years mostly shares price dropped? I see most red.

yes dropped on average >30%.. I remember many reits around 6-7% yield 5 years ago but DPU have also dropped sharply during covid. Now, with the higher interest rate , yield will trend down again putting pressure on Reit price. Therefore, you cannot expect Reit to be a regular investment income to support retirement.

 

[Laguna123]

yes dropped on average >30%.. I remember many reits around 6-7% yield 5 years ago but DPU have also dropped sharply during covid. Now, with the higher interest rate , yield will trend down again putting pressure on Reit price. Therefore, you cannot expect Reit to be a regular investment income to support retirement.

I guess to protect principle and to earn some interest the safest bet would be to invest in SG gov T-bill and SSB?

 

[bart12]

I guess to protect principle and to earn some interest the safest bet would be to invest in SG gov T-bill and SSB?

That's right.. However, no risk no gain. At this point, some S-reits are at 10 years low.. Good time to buy if you think interest rate is going to be cut.. If not sure what to buy, Reit ETF will be safer

 

[Leongsam]

I guess to protect principle and to earn some interest the safest bet would be to invest in SG gov T-bill and SSB?

The key to a financially secure retirement is to not put all your eggs in one basket.

I have divided my retirement savings into 1/3 term deposits, 1/3 property investments and 1/3 in a medium risk managed fund.

Over a period of a decade the returns pretty much even out to about 5% ROI. The best returns this year have been term deposits and managed funds 7% and 10% respectively. However when interest rates are up property values invariably drop because housing loans become expensive.

During the Covid years property and shares soared while term deposits plunged to less than 1% return. You can't win them all and it is impossible to read the market no matter what the "experts" tell you. Switching portfolios mid stream can be even more disastrous.

 

[shock888]

The key to a financially secure retirement is to not put all your eggs in one basket.

I have divided my retirement savings into 1/3 term deposits, 1/3 property investments and 1/3 in a medium risk managed fund.

Over a period of a decade the returns pretty much even out to about 5% ROI. The best returns this year have been term deposits and managed funds 7% and 10% respectively. However when interest rates are up property values invariably drop because housing loans become expensive.

During the Covid years property and shares soared while term deposits plunged to less than 1% return. You can't win them all and it is impossible to read the market no matter what the "experts" tell you. Switching portfolios mid stream can be even more disastrous.

Indeed the key is risk management first before gains.. diversification and allocation of assets to different types of investments is the best approach..

 

[Papsmearer]

The key to a financially secure retirement is to not put all your eggs in one basket.

I have divided my retirement savings into 1/3 term deposits, 1/3 property investments and 1/3 in a medium risk managed fund.

Over a period of a decade the returns pretty much even out to about 5% ROI. The best returns this year have been term deposits and managed funds 7% and 10% respectively. However when interest rates are up property values invariably drop because housing loans become expensive.

During the Covid years property and shares soared while term deposits plunged to less than 1% return. You can't win them all and it is impossible to read the market no matter what the "experts" tell you. Switching portfolios mid stream can be even more disastrous.

I am 100% in real estate. In Singapore in beats term deposits and any managed fund by a far margin

 

[Leongsam]

I am 100% in real estate. In Singapore in beats term deposits and any managed fund by a far margin

My Singapore assets are 100% real estate too. The stock market and cash return next to nothing there.

 

[shock888]

My Singapore assets are 100% real estate too. The stock market and cash return next to nothing there.

The SG Gov is the largest landlord in SG and it will not allow SG properties to crash.

 

[Papsmearer]

The SG Gov is the largest landlord in SG and it will not allow SG properties to crash.

Wrong. FamiLee and the PAP elites are the biggest group of property owners in Singapore. They have a vested interest in making the property market continue to go up

 

[Leongsam]

 

[winners]

S-Reit has performed badly in the last 5 years ,,Earned 30% in 5 years but wiped out by capital loss. However, right now is a good time to buy some good reits for long term

View attachment 200354

One should be into REITS just for their annual dividends payout. Don't expect spectacular capital gains, otherwise, will be disappointed.

 

[bart12]

One should be into REITS just for their annual dividends payout. Don't expect spectacular capital gains, otherwise, will be disappointed.

Yeah ..but if you lose 30% of capital for 5-6% yield, then your total return for 5-6 years is 0 ..Might as well put in bank or CPF to earn interest

 

[winners]

Yeah ..but if you lose 30% of capital for 5-6% yield, then your total return for 5-6 years is 0 ..Might as well put in bank or CPF to earn interest

That's why REITS are like fixed deposits with long term tenor, but some good REITS do pay better than FDs annually. Their capital appreciation however, is peanuts.

CPF can only withdraw after 55 years old and ONLY the excess from whatever has been pledged and deducted for the Minimum Sum. Also, the CPF rules (goal posts) will change at their discretion and whenever they want. You won't know what new rules they will implement every few years later.

Furthermore, I don't believe in the CPF LIFE scheme. The monthly payouts are already pre-calculated so that the total depletion of your capital will be spread out to about 12 years. So, one will only benefit if one were to survive beyond this period, but how many can live beyond 77 years old? LOL. Also, once you start taking your payouts (eg: upon 65 years old), there will be no more interests credited annually. They are very smart right?

 

[shock888]

That's why REITS are like fixed deposits with long term tenor, but some good REITS do pay better than FDs annually. Their capital appreciation however, is peanuts.

CPF can only withdraw after 55 years old and ONLY the excess from whatever has been pledged and deducted for the Minimum Sum. Also, the CPF rules (goal posts) will change at their discretion and whenever they want. You won't know what new rules they will implement every few years later.

Furthermore, I don't believe in the CPF LIFE scheme. The monthly payouts are already pre-calculated so that the total depletion of your capital will be spread out to about 12 years. So, one will only benefit if one were to survive beyond this period, but how many can live beyond 77 years old? LOL. Also, once you start taking your payouts (eg: upon 65 years old), there will be no more interests credited annually. They are very smart right?

I reached 55 about 2 years back. I withdrew all I can from CPF and left it with the minimum retention sum. I opened an investment account and learn how to trade US derivatives. Never regretted. The only regret is that I should have started earlier.