RetireJapan

Hi, I need some advice.

I'm in my mid 40s, and I'm thinking about retirement .

I have a government pension. and a company pension, but that won't be enough to live on.

I also have 2 mortgages, both of which I intend to pay off by the time I retire.

My company (a large Japanese company) offers a DC too.

So I'm wondering what's most cost effective. Start putting into a DC? Or pay off my mortgages (one is costing me about 90,000 a year in interest payments). Or put the minimum (5,000) into the DC and pay off the mortgages?

Or something else?

Any advice would be greatly appreciated.

Just lots of questions--things to consider (and go back and forth on ). I don't expect answers, just tossing out some things that I'd be thinking about.

What are the DC investment options--broad/limited, funds that are cheap (fees) or not, and then is there any matching contribution from your employer? Would you get (eligibility) severance anyway? And have you had a look at that depending on how long you work for your company? Chance of an early buyout someday anyway (if they want to downsize)? Are you saving otherwise, e.g., in a taxable account?

Your properties. Consider your mortgage rates vs the return you'd get in your DC plan. With two properties, maybe you're living in one and renting out the other? What does the income on the rental cover (or not)? Are one or both well-located for the mid/long term (or not)? Are they here/abroad? With two, is selling one an option?

What do you want, what's your priority list for the property, investments, and thoughts about what kind of retirement picture(s) you've had in mind?

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Again, just points to consider.

What are the DC investment options--broad/limited, funds that are cheap (fees) or not, and then is there any matching contribution from your employer? Would you get (eligibility) severance anyway? And have you had a look at that depending on how long you work for your company? Chance of an early buyout someday anyway (if they want to downsize)? Are you saving otherwise, e.g., in a taxable account?

I'm at my company to retirement. It's a very big company, so I'm likely stuck here until the end. I have savings in a General asset savings (一般財形貯蓄).

Your properties. Consider your mortgage rates vs the return you'd get in your DC plan. With two properties, maybe you're living in one and renting out the other? What does the income on the rental cover (or not)? Are one or both well-located for the mid/long term (or not)? Are they here/abroad? With two, is selling one an option?

One is where my ex-wife and kids live. So I basically pay them to live there.

The other I'll keep until I retire. I'll pay off both mortgages by retirement. My property should have a fairly decent value when I come to sell.

What do you want, what's your priority list for the property, investments, and thoughts about what kind of retirement picture(s) you've had in mind?

I plan to retire at 60, then do some part time/consulting work/translating/proofreading for a few years.

Sell the property where I live, buy a cheaper place in the countryside (where there are some incredible bargains, but it's impossible to commute to work from).

I'll have income from my part time work, my savings, any money I get from the property sale and what I end up buying, my government pension and my company pension. But I earn a good wage, so I have money each month to invest/pay off the mortgage early, so I'm looking to make my retirement more comfortable.