How do retirees still earn FF Points, and optimise travel?

[TiredOldFlyer]

We have a simple retirement - we haven't. !!!

Just take more holidays whilst we still can, fortunately we are healthy and pay managers to run our business whilst we are away.

We still enjoy the lifestyle we want and receive a better income (and many more points ) than we could through any retirement arrangements.

 

[Flying mermaid]

I'm saving Australia for when I'm in a less healthy state and don't want to worry about health insurance travel. Pretty much covered Qld but not much at all of the Top End.

We feel the same, although we use Australia as fillers when I get travel itches but not up to another overseas trip. Having taken one trip to Uluru and Alice Springs and two to the Darwin area, our focus is now Tassie. - we spent 10 days in Hobart and Bruny Island recently and will move to another bit next time.

 

[Flying mermaid]

We have a simple retirement - we haven't. !!!

Just take more holidays whilst we still can, fortunately we are healthy and pay managers to run our business whilst we are away.

We still enjoy the lifestyle we want and receive a better income (and many more points ) than we could through any retirement arrangements.

There are many different strategies! We did what you are doing from when we were around 40. I had an employee who over the years became integral to the business. She stayed with me for 20 years and I was able to leave everything to her when we took extended holidays. It enabled us to travel and be with the kids and although I am sure cost in terms of the business not being as successful as if we were driving it, we gained hugely in quality of life. It is even easier now with Internet, online banking etc.

 

[ChrisDPom]

Thank you ChrisDPom for your contribution. That was excellent in many ways.



Though if I may just a couple of tweaks to you latter points:

Walk or cycle where you can.
See the real Australia, and World, outside the cities. (It often amazes me how many people travel from city to city, missing what is in between, though noted if like Cove you have medical reasons not too)

Indeed on the last point many travellers actually only visit in the main the 'tourist" sites gain just an ersatz view of everything.

Sorry I left out the cycling - with minimal knee cartilage left it is one that I avoid (ditto jogging which I always found boring anyway).

Agree on see the world but so many Australians haven't seen their own country.

Pushka's comment is valid (save it for when starting to become more decrepit), but we don't know how quickly we physically will fall apart.

Also it is just as much of an issue when you don't have good medical facilities overseas and have health issues vs being 500km from the nearest hospital in some of the Outback.

Each to their own on this.

Chris

 

[ellen10]

So much good information in this thread.
Hubby has retired but I am still working to fund the holidays!

 

[ChrisDPom]

Originally Posted by Flying mermaid Thank-you for a very comprehensive list - both super and thoughts on retirement. Just one thing to add on property. If you run your own business, your business premises can be put into the super fund and you can rent them back to your business. On retirement they can be sold and no capital gains is paid by the super fund. We did this and it was very advantageous all the way through.
Has been one of the best investment strategies we've implemented

Has been one of the best investment strategies we've implemented

Remember there is still capital gains tax in the super fund if the property is sold in accumulation phase. 15% CGT if held less than 1 year (highly unlikely), 10% if held more than year.

Once in pension phase (transition or full), then no CGT.

Another great rule for business owners is the capital gains rollover relief. Sell the business and rollover to super avoiding the concessional caps rules.

It is a bit tricky (15 year rules, ownership rules, net values etc), but a good accountant can check this to determine if you meet the rules and can then use this to enhance your super retirement assets.

The ATO website is down as I write this (and explains it rather poorly anyway).

The below link covers it reasonably well - open all the little "+" signs to get the info.

If a couple own the business, these lifetime CGT cap is for each of you
https://www.selectingsuper.com.au/employer_central/cgt_small_business

Cheers

Chris

 

[Deleted member]

The general advice disclaimer would be 3 times longer than the post - really, really not going to miss all the compliance bumf.

Next Bali visit will be April and or May (got a house to sell) then again in July/August probably after a month in Europe. Back in Europe September/ October for rugby World Cup and then Bali/ Perth again until December. Repeat until dead.

Got to sort out property in Perth & Bali - probably rent in both while I sort out purchases so while retiring still lots to keep me occupied for a year or so just on that.

Cheers

Chris

I'm there again in July.
Around the 21st as I recall

 

[drron]

I'm saving Australia for when I'm in a less healthy state and don't want to worry about health insurance travel. Pretty much covered Qld but not much at all of the Top End.

That's where I am lucky.I am being paid to see Australia.
This year-2 weeks in Geraldton.
3 weeks in Armidale,NSW.
4 weeks in North west Tasmania.
Next month 10 days in Broken Hill.
After which I will need a 7 week vacation!

 

[ChrisDPom]

We will also be in Europe on a TRP from our smsf; living the dream!

Thanks also for the post on super; far better than any explanation I could have put together, and covering the critical aspects without getting bogged down on some of the more obscure details.

I hope you are able to attend the AFF annual get-together in Cairns; if so, an information session on super would be a great benefit to members.

JV

Hmmm.. just read the thread on that.

I am unsure what people actually do at these get-togethers (eat, tours or golf & then pub crawl until last AFF'er collapses?).

Does this have formal/ informal sessions? (I note the 2nd post says Itinerary to be announced but the #8 Melbourne one was social stuff).

Does however seem a good travel option for my retirement (Cairns is tick box on my bucket list as not been there for 20+ years).

Chris

 

[JohnM]

I'm saving Australia for when I'm in a less healthy state and don't want to worry about health insurance travel. Pretty much covered Qld but not much at all of the Top End.

While I broadly agree with that sentiment, I would offer a word of caution.

One of the most sensational trips I've ever done was a 14-day Kimberley coast cruise from Broome to Wyndham (and then by land to finish at Kununurra). It was a 12 passenger/5 crew vessel. Lots of activities means it is desirable to have good mobility and a reasonable degree of fitness to make the most of it. IMO it is an absolute bucket-list trip worth doing sooner rather than later.

(Thinks) - I must do a belated TR...

 

[Pushka]

Sure. Agree about doing the Kimberleys when fit. But as fast as I tick something off my bucket list I start filling it up again.

 

[ChrisDPom]

Sure. Agree about doing the Kimberleys when fit. But as fast as I tick something off my bucket list I start filling it up again.

Occupational hazard of being an AFF'er

 

[lovetravellingoz]

As for Oz Travel vs International Travel

Personally I will mix and match between the two, and do not see it as an either/or. At present my longer trips are international ones with weekends and long weekends in Oz. In part influenced by being in an era of FF subsidised flying in J/F and so am taking full advantage of it in case it does not last (I still keep pinching myself that this "too good to be true" lerk is in existence to the generous level that it is).

Once I crank down the % time I am working I intend to add in some longer Australian holidays, whilst also doing international trips each year. ie
> two weeks sailing in the coughberland Group (Whitsundays) - I could easily do one domestic sailing trip each year
> various walking and cycling holidays which would be hard to do later


When eventually I stop work completely I would expect to maintain the International Oz blend, hopefully only slowly morphing into physically restricted destinations and trips.


Some of the things I want to do include:
> Buying a live-aboard yacht. At present I am thinking of rather than semi-permanently do this to instead do it in chunks where I buy a yacht and use it in a region for a while. Then sell it. Do something else for a while, and then buy a yacht in a different region. Rinse and repeat. So that may entail say Qld Coast for 6 months. Mediterranean fora season. Canada/USA fora season etc. One could also charter as well for shorter periods. But the idea of wandering around for longer spells appeals to me.

> Actually living in other countries for extended periods, as opposed to just travelling through. Say season in Tuscany for example. So may 6 months in one spot, then back to Oz for various things.

 

[wandering_fred]

Decrepit may come some day. Knees and hips are likely to go first, but modern medical technology can normally fix those.

A bit harder though, to find travel insurance that covers "the more elderly". At least at reasonable costs. When the insurance runs out, it's time to seriously tour Australia.

Happy wandering

Fred

 

[JohnM]

A bit harder though, to find travel insurance that covers "the more elderly". At least at reasonable costs. When the insurance runs out, it's time to seriously tour Australia.

The insurance is also the aspect that concerns me. I keep in reasonable shape but it seems that insurance premiums go up sharply around 70 irrespective of fitness and health - although still being a few years shy of that age I haven't looked in detail at that.

One problem for me, though, is that I travelled very extensively throughout Australia during my working life so there are not a lot of unique 'must do' things left.

 

[drron]

With 70 less than 2 years away I certainly have been looking at Insurance.At 75 the annual policy will be about x10 that of 65.

 

[JohnM]

With 70 less than 2 years away I certainly have been looking at Insurance.At 75 the annual policy will be about x10 that of 65.

I didn't want to hear that drron .

 

[wandering_fred]

Are there travel only (ie no medical) policies for the 70++ age group?

Any discounts if you have USA Medicare Part A?

Happy wandering

Fred

 

[cove]

I have been thinking that if I started living in California for longer periods I might look at getting health insurance in the US rather than thinking Medivac cover is the way to go to evacuate in the event of a health crisis. Has anyone tried getting cover that is comprehensive in the US?In the UK we are covered by reciprocal Australia/ UK rules so that is not a problem as far as I can see.

 

[MEL_Traveller]

The insurance is also the aspect that concerns me. I keep in reasonable shape but it seems that insurance premiums go up sharply around 70 irrespective of fitness and health - although still being a few years shy of that age I haven't looked in detail at that.

With 70 less than 2 years away I certainly have been looking at Insurance.At 75 the annual policy will be about x10 that of 65.

It doesn't have to be that much of a penalty!

ANZ Platinum credit card insurance ($79 annual fee, but no points or anything, just $250 spend on your credit card for travel expenses to qualify) covers passengers up to the age of 80 (might actually be 81 as it says you must be 80 at the time of ticket purchase). Fully comprehensive!

But failing that, I was surprised while shopping around that sky-high premiums are not a 'given'. Some companies have just a modest surcharge for even 80 years+. A trip to America came in at something like $30 more (for a week).