# Retirement plan



## moneymakeover (21 Nov 2019)

Retire early when rental property is paid off


But wait until normal retirement age to draw down private pension
And get the state pension then also

Current rental income 1800

But obviously it will increase over time
1800 could be tight but manageable


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## jim (21 Nov 2019)

I like it. I like it a lot. 
Is it 1800 pm net sfter tax etc? 
Would that be your only income?
Risky in that rental income aint guaranteed and can fluctuate with market.


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## Oisin19 (21 Nov 2019)

You should think about what you want from retirement and then use your assets to reach those goals? If you have a rental prop, private pension and state pension you could be in a good position to reach these goals in fairness


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## moneymakeover (21 Nov 2019)

jim said:


> I like it. I like it a lot.
> Is it 1800 pm net sfter tax etc?
> Would that be your only income?
> Risky in that rental income aint guaranteed and can fluctuate with market.


It's before tax
But expenses would be minimal
No interest
Just insurance and repairs
And if income was low (no other income) eg say net 1500 per month gives annual income of €18,000
Shouldn't trigger much in the way of income tax


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## Ndiddy (22 Nov 2019)

How long do you have before you could access other retirement funds? ( ie how long do you need to live on 1800?)
Also I assume you have other easily accessible funds in case of non-payment of rent or tenancy changes where the house can be empty for awhile?


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## Laughahalla (23 Nov 2019)

You could also just semi retire or take a part time/seasonal job to supplement your rental income.
Ease Yourself out of full time work.


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## moneymakeover (23 Nov 2019)

Ndiddy said:


> How long do you have before you could access other retirement funds? ( ie how long do you need to live on 1800?)
> Also I assume you have other easily accessible funds in case of non-payment of rent or tenancy changes where the house can be empty for awhile?




At a max, it would be maybe 3 years
And I agree with what you say, it will be important to have deep pockets


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## fistophobia (15 Dec 2019)

Apologies if this was answered already;

What if one only had rental income, say 10K for example.
How is that treated by Revenue for income taxation?

thanks,


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## LDFerguson (15 Dec 2019)

fistophobia said:


> Apologies if this was answered already;
> 
> What if one only had rental income, say 10K for example.
> How is that treated by Revenue for income taxation?
> ...



Certain expenses - e.g. insurance on the property, maintenance or repair of the property, 75% of interest on any mortgage used to buy or improve the property, agency / letting fees - can be deducted from the rental income before calculating tax.  What's left is taxable as if it was earned income / salary.  I'm not an accountant so check with an accountant or tax professional to be sure, but if the only income you have is €10,000 per year I think that you'd pay no tax.


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