Financial advisers love to ask how much you think you need a year once you retire, expecting you to quote a figure about the same as your current salary. But once your house is paid off and your kids move out, how much are you really spending maintaining your things, feeding yourself, and going on a holiday once a year? 20k do you think? More?
Percentage of income is a crude tool, but the realistic flat amount to live can easily be 50% of retirees’ working income. Personal taste and family situation add to that.
For early retirement I would want more, because you have your whole life to live. Places to see, mountains to climb, forests to explore.
But this is the interesting point, if you think you can retire with with 500k rather than 1M in the bank, you can spend the difference while you are young.
Traveling during the off-season. Short-term rentals in apartments instead of staying in hotels. Or even house-sitting or house swaps. Buying food from local grocery stores, and cooking at the apartment, instead of eating out every meal. Taking public transit or walking or cycling instead of renting a car.
Older people get concessions and discounts on tickets in a lot of places.
Hostels don't have age limits so you sure could. And some do, though understandably it's not that common.
Ah, a concept from the Before Times...
Are you insane? Insurance, rates, food, utilities are already more than $30k and that’s with zero travel or other expenditure.