How can you value a pension? My pension exists for my lifetime and I have no idea how long that will be.
As for medical I’m covered by VA(although I also pay for Medicare just in case Congress cuts me off).
My wife’s Medicare Plus policy is $45 per month.
I retired at age 55. My income is over $100,000 per year.
I have no debt. I own 5 acres with two houses and a large workshop in Hawaii, with an ocean view.
How much am I worth? I have no idea. I just know I’m comfortable, have good medical care, lots of food and beer,
on site care giver, and spare funds for emergencies.
What is that worth? In dollars, I have no idea. In terms of quality of life, God has blessed me beyond the normal
city apartment dweller so prevalent in our Democrat dominated population.
“How can you value a pension?”
I’ve considered a pension payment as roughly the inverse of the “4%” calculation when looking at the sustainable payout of an IRA or similar retirement fund.
So a $1,000,000 IRA would support a $40,000/yr payout. Inversely, if I need to have a $40,000/yr income, I would need to have saved $1 million.
That said, you have found the key - gratitude for enough to support a quality of life that you find very satisfying.
Congratulations! (Especially on the debt-free and plenty of beer side!)
The most conservative way to value a pension is through capital mute the yearly benefit amount and divide that by the ten year t bill rate. Example if your pension pays 20000 a year, divide that by the t bill rate os say 4% (.04), 500k. Of course you don’t have the cash and more than likely there is no residual to include in an estate.
When retired, the prime thing to consider is income, not assets like a home. A home is a place to live and while the MTG may be paid, it has expenses to maintaining n maintain plus utilities and taxes.