"Typical net worth after 30 years is roughly years of service multiplied by base salary (rule of thumb)" ??????????That is what makes the post below "way off". Relying on extremely vague(not to mention mathematically flawed) rules of thumb that don't apply to everyone. Also cost of living varies extensively from place to place. And everyone saves and spends different amounts. Rules of thumb are useless and meaningless for most cases. Try again.
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Jeesh @bJwoi. Boy are you way off. I worked for the company for 26 years. Left in 2016. Half my career was hourly and the last half ended at PSG 20. My 401k retirement accounts including lump sum was $820,000. My paid off home value is $225,000, cash in banks $120,000, cars and furniture valued around $40,000 after depreciation. So that makes my net worth about $1.2MM today. Thankfully I have a part time job I enjoy that pays my utility and grocery costs. Social Security kicks in for me next year. Both wife and I are 61 years old. BTW, I’m not complaining. We’re doing just fine and are in great health.
Not too hard to work out. Figure average starting PSG is 18. Promos every four years. 30 years later, you retire at PSG 24. Someone posted the base salary for that. I forgot but let's say $150K. Typical net worth after 30 years is roughly years of service multiplied by base salary (rule of thumb), so 150x30=$4.5MM including pension lump sum, real estate, 401K, savings, etc. Subtract $.5MM for each kid you raised. Add $1MM for every five years overseas. Cut in half if you divorced late in life. Rinse. Repeat.
@bJfvp, I agree with you in that a couple can retire comfortably with just under $1MM in retirement and bank savings. My uncle worked for Chevron for about 28 years and retired 10 years ago in Houston. His house was paid off and he didn’t have any debts when he left the company. I’m certain he didn’t retire with a million, but probably closer to $650,000. Today, he lives comfortably, not lucratively. He and my Aunt enjoy life, travel a little and are always happy. They draw Social Security which I’m sure helps their standard of living. Money is not everything, people. Lacking money is the pitts but having enough is really all one needs, that and your health. So thanks @bJfvp for bringing up that comment. This site is anonymous. No need to pretend, just be real.
I think that the average net worth and savings of CVX retirees across the board is quite a bit lower and this board is being dominated by "humble brags" as they call them. Most of them by higher earners, as well, who like to post their figures. A lower earner or lower saver (due to PSG, kids, health, debt, expenses, etc) is not as likely to respond to such a post. Nothing wrong with being truthful, these posts are all anonymous. Forget about net worth, those figures can often be misleading and include non-fungible assets. The average savings for American retirees in the 50-60 age group is less than $200k across the board, according to most sources. Since CVX employees earn well above average I would put them in the range of $500k-$1MM in retirement savings. I am sure there are plenty who have much more than that but also, even more who make less and have less saved whom you will never hear from. The ones you hear from, I covered above. Many have retired extremely comfortably throughout history with much less than $1MM,(today's dollars) paid up home, no debt and a small pension + SS.
Get over yourselves.
Kudos, bIgqy. You are going very well too. Congrats.
Yes, I agree with you guys. There's no need to feel ashamed if you are a low PSG especially if you happen to be an exceptional saver. That's even more commendable. Congrats to you bHkhn for your exceptional savings record. You know what all the experts say, it's not what you earn, it's what you save. I just happen to be blessed with 3.2 MM invested and everything else paid off (thanks to the bull run), but it did come from tedious management of investments, and a decent amount of hard work. Also, I like my job enough to hang in there. Don't have any plans for retirement just yet, don't know what I would do. I have a ton of time as it is for biking, hiking, paddle-board, travel, things I love since the kids are moved out. I don't need couch potato time. Save that for when I'm old and useless lol! Cheers to you guys and I hope all of you survive any pending cuts that may be on the horizon.
@bHkhn, There’s no need to feel to bad, as most employees at Chevron are lower wage earners, in relative terms. We all thankfully earn better than average pay just being Chevron employees. But, yes, it’s very possible for any employee with 22 years on the job to have over $1MM in net worth. Many of us are intelligent enough to know to make the best of our good fortune and built a good nest egg for our future. Good luck to you. I am one of those fortunate ones who was a low earner and today am retired with a $2.51MM net worth and a comfortable cash flow.
@bHjdf, Yes, thanks, as I posted (deleted) I mentioned that I guessed the net worth of the average CVX retiree to be between $1MM and $2MM, or roughly 1.5, including all assets. I am not a fan of comparing net worth as it is not as meaningful in retirement as investable assets, IMO. Cash flow and expenses are much more important factors, agreed upon on most retirement sites' forums. I also mentioned that I am a bit below average as I am a lower earning employee, just managed to save a bit well for my low pay grade.
Thanks for responding to my innocuous, non-offensive post below that was deleted by the moderators for some unknown reason, they do that a lot, yet leave posts that are offensive and have personal attacks in them(see below). They are obviously not real humans or Americans, but it is performed by bots with no intellect, brain, or reasoning.
@bHfvk, I’d also suppose the average CVX Retiree with at least 22 years of service to have a net worth around $1.5MM. And I’m not counting employees below PSG 20 or higher than PSG 24.
Since when is a vehicle an asset of stable and reliable value? Ever heard of depreciation?
I found the first M a real b--ch, because you are building out of active taxed income that is taxed at 35%. The second was a bit easier. By the tenth it is a no brained, because your day to day expenses become separated from your working capital. Your nominal tax on long term cap is %15, but true effective annual tax is much lower. That is because good investments are held and grow many years without being liquidated to see tax liabilities. All things considered I calculate my long term tax rate is about 2.5%. Stick to a long term plan, when you get your base up to investment levels thepath gets easier.
@bCozs, I agree in that $1MM in retirement accounts could be enough to retire on, so long as as you also have a paid-off mortgage, a recent model vehicle and sufficient positive cash inflow every month. As far as “net worth” is calculated, it’s simply the net difference between the value of assets and liabilities. The term “hard assets” refers to assets of stable or reliable value which can be liquidated to cash easily, i.e. real estate, bank accounts, cars, etc. The value of a life insurance policy is typically not included in “net worth”. But, it can listed as a footnote only.
I personally would be happy to get to $1MM invested, but of course I consider myself at the lower end of the food chain so I consider that an amazing feat - lol! What are you guys including in your net worth, houses, cars? I never include them in typical investment discussions(or see them included) unless it is rental property as most of those items are not income producing. Also, many people, particularly in retirement, move to locations where you can go without owning a car. It can save you quite a bit on insurance and other costs.
I hope to end up with a $2M net worth and $6750 monthly cash inflow when I retire. I should reach that goal with another 7 to 8 years at Chevron when I plan to retire at 63 to 65 years of age. I also will opt for the Chevron pension annuity and take social security at my earliest chance after retirement.
My investments have performed extra well too -bAygn. Don’t be such a douche. I was the single earner in my household while my wife raised our 2 boys the traditional way from babies to independent men, both with successful businesses of their own. I was not a college graduate, put in a lot of years at Chevron and retired after being laid off. My ending pay grade was only a PSG 20, but most of my years were below that pay grade. Don’t knock the success that I built and earned, sonny. My net worth of over $2M and a $6,750 monthly cash flow is nothing to sneeze at. Best than most who were supervisors for most of their long career.
Yes, that’s all -bztbr. More than enough for me.
My net worth is about $2,150,000 in hard assets— home, value of retirement investments, cash in banks, cars and furniture. That amount does not include $6,750 in monthly cash flows from my Chevron pension annuity and social security. I manage to live on that very easily.
@bxsrx, You got your facts backwards. The reason life has gotten more expensive is precisely because the global order has been pushing an agenda that essentially breaks up families. Women leaving the household to pursue careers along with the man has placed the children without the proper upbringing and other social problems. It’s all by design. The enemies of America have been using every tool in the book since World War II to undermine the greatness we built.
Chevron wages haven't kept up with inflation?? Time for a new calculator! Are you from ETC perhaps?
Wages haven’t kept up with inflation. That’s why most families need both spouses to work.
I can’t think of many coworkers who have working spouses. House and kids are too much work!
Intelligent or entertaining comments on any topic are always welcome. Personal rants don't belong.
Way more than the average Jane or Joe in America.
Take a look at your paycheck stubs, past and present. All of them show you had FICA taxes withheld. That’s your social security money. It’s your choice when you decide to apply for your benefits. I’m retired, so when I turn 62, I’m going to start collecting.
It’s the baby boomer motto, “I got mine, f everyone else. “
You have to live a really long time to get the same NPV taking SS at 70 versus 62. Plus older people are less active and need the money less. Take it at 62 when you can still move enough to enjoy yourself.
Hgwx..thanks for that vote of confidence. Kinda what I was thinking. The annuity is a uk pension scheme. To be honest I don't know if it's inflation protected. I know I'm in good shape but I had planned for better. But really, what is better? I'm feeling pretty good just now !
@9rmh, congratulations to you and your wife who have done so well. You sound like a well grounded, educated and considerate person. You are the kind of person Chevron needs to hold on to. Keep doing well for yourself and others, my colleague.
I entered the company workforce 20 years ago wth college debts. Spouse hasn't worked but we didn't have kids so the budget was never too strained. We like saving money and seem to have piled up over $5 million somehow, if I include the current lump sum value and some home equity. Feel like I should retire and give the chair to someone who needs it more than I do, but the work is still fun every day. Has certainly been very enlightening to work through my first major downturn. As a frugal sort, I like reigning in the waste and regret that we hired a lot of good people we really didn't need and ultimately couldn't afford. Let's remember this bust next time and not staff up so recklessly.
Those of you out of work at the moment should take stock of your blessings. Nobody on this board is going to be homeless or hungry, that's for sure. Most of you never need to work again if you can get your expenses under control. Tighten your belt just like Chevron!
I was an engineer (drilling) with 35 years experience when I retired last March. I worked the rigs in some of the worst sh!t holes around the world. I was never more than a company rig supervisor. My base when I retired was was $225K/yr plus uplift for working international rotational sh!t holes. My wife was a teacher in the Houston District at $49K. She retired when I did. Our house is paid for. No debts. The kids have been released. Not counting the value of our home, our net worth is $2.8M (in cash for me, job changes were the norm. If you're getting laid off, don't lose hope! I'm an average 'joe', nothing special ... if I did it then there is a good chance that you can as well. Good luck, keep safe!!
Hey @9xwv, don't BS us with your $45mm or even $4.5mm. Can't you be honest?
Castrated at 46 with $100k. Yes it's true, they took my nuts.
Retired at 61 with $0.8mm total
Laidoff at 57 with $45mm total as a butthurt loser
Retired at 54 with $6mm total
Retired at 56 with $4mm total
-8bcl, I am black and an operator and I live in a very nice trailer. My invested assets are $1.87 million including 401k and after tax savings but not including my fully paid for double wide and lot that it's on. I save every penny that I can. I do not consider myself a "redneck" in any way but I do love a six-pack of craft brews or even cheap stuff like Shiner occasionally. Some of my friends here would probably consider themselves rednecks but they are certainly not trashy and many earn more than me. Thanks for making that totally off-the-wall racist comment as an anonymous coward though. It truly shows just who you are, a piece of the trash that you know so much about.
@8cby, There's nothing wrong with being an operator. All jobs are needed at Chevron, particularly the employees who show pride and professionalism on the job. I am @6tqx, the PSG 19-20 employee who previously posted a few comments down in this thread. If I can retire financially well, so can you and most employees. Keep up your good work and never lose sight of your plan.
-8byg, I'm sure that she/he, as everyone else was posting and giving their pay grade, commented based on the table below which indicated net worth based on pay grade. Why did you not make that comment about all of the other posters who gave their Pay grade or O&M? Your net worth AND paygrade would seem more valuable to the OP and the thread readers. It tells you that there is no direct relationship between income and savings all the time. It's not how much you make, it's how much you save, is the lesson. I am an operator and no where near a net worth what anyone else listed here but it's good to read and I have goals to reach that I know are reachable.