Several wealthy Americans are making their way through the golden years with millions of dollars in savings by saving in places but keeping things like housing and cars modest.
According to researchers, the top 0.1 percent of households start out with a retirement savings account of about $5 million.
It was discovered in profiles of several wealthy retirees that they had more money than they could spend, but also liked to be frugal.
Some of them still work part-time despite traveling and are very concerned about family and medical care.
Money doesn’t necessarily bring happiness, even if you just have to spend it, according to one Wall Street Journal profile of these retirees.
Pilot, $6.1 million: Says 13 years in the US Air Force helped him strategize for retirement
Paul Shemwell retired in December after flying commercial airliners and jets for four decades
After flying commercial jets and serving 13 years in the Air Force in a career spanning 40 years, Paul Shemwell, 65, was well prepared for his December retirement.
Despite the millions he had ready for the rest of his life, he has struggled to adjust to a more casual lifestyle.
“My plan is to stay within or below my means, stay invested and leave something for my children,” he said.
Paul Shemwell retired in December after flying commercial airliners and jets for four decades.
He claims his military service has led him to try to be pragmatic and prudent as he retires, with a Texas home valued by Zillow at only about $724,000, for which he still has about $300,000 on the mortgage.
Shemwell continues to travel after retirement, with four trips totaling about $12,000 for the fall, while still giving the government and insurance companies $9,000 a month.
His other passions are tennis, sports, skiing and diving. Shemwell, a divorced woman with two children, spends time with them visiting school and hanging out with friends.
The former pilot has been asked to return to work several times but says he doesn’t need the money, especially after $40,000 a year in Social Security once he reaches full retirement age.
“I like to keep things simple,” he added.
He claims his military service led him to try to retire pragmatically and prudently, with a home in Texas valued by Zillow at only about $724,000, for which he still has about $300,000 on the mortgage.
Vet and nurse, $6.1 million: more money than they can spend in a lifetime
Bob Frey, 80, and wife Pat, 75 were able to save $6.1 million despite years of worrying about money and at one point borrowed $150,000 to start his veterinary practice.
He also spent 26 years as a reserve officer after graduating from West Point, maxing out his contributions to the retirement plan in his 30s, earning $60,000 a year in military retirement and $14,000 in disability from hearing loss when he served in Vietnam .
Bob and Pat collectively collect $56,000 in Social Security and have a total of $6.1 million in retirement accounts.
“We have more money than we can spend in a lifetime,” Bob said.
The couple moved into a $1.2 million home in Bozeman, Montana 30 years ago to be with nature, while both continued to work, Pat as a nurse, while Bob switched careers to become a financial planner.
The couple, who have five children together, don’t spend lavishly, and Bob points out that he hasn’t even bought a new sports coat in 20 years.
They prefer to live in jeans and sneakers and be in nature, rather than wearing formal clothes.
Under their $35,000 a year travel expenses, Bob often goes on hunting trips with friends, while Pat often takes a friend on treks to Europe.
What are they going to spend some of that money on? About $1.5 million to educate their nine grandchildren and $40,000 a year to charity. Their plan is to donate $1 million when both die.
The Freys are debt free and don’t mess with retirement investments, even though they invest 70 percent in stocks.
The couple has no debts and does not tinker much with their investments, 70 percent of which are in shares.
Bob Frey, 80, and wife Pat, 75 were able to save $6.1 million despite years of worrying about money and at one point borrowed $150,000 to start his veterinary practice
The couple moved into a $1.2 million home in Bozeman, Montana 30 years ago to be with nature, as both continued to work, Pat as a nurse, while Bob switched careers to become a financial planner
Doctor, $4.1 million: Still working part-time, earning $300,000 a year
Dr. Henry Hwu follows a slightly different tactic than Shemwell and still earns a six-figure salary every year, despite millions in savings when he retired in 2016.
Hwu, 72, admits he “likes traveling” away from his home in Irvine, California, and now schedules trips around his part-time job, which is far fewer than the 80 hours a week he used to put in.
His wife, with whom he emigrated to America in 1979, died shortly after his retirement and said that the feeling of ‘not liking’ he did not know what to do with himself.
The widower has picked up popular senior sports like golf and pickleball and tried to rekindle his love of guitar and hiking.
He has traveled many countries in Europe – a visit to Switzerland got him enough chocolate to break his suitcase – but he still sees his mother, 98, in Taiwan.
Hwu, who lives in a California estate on an estimated $2.3 million Zillow – missed work and started taking assignments in his former practice.
Dr. Henry Hwu follows a slightly different tactic than Shemwell and still earns a six-figure salary every year despite millions in savings when he retired in 2016
Hwu, who lives in an estimated $2.3 million estate in California according to Zillow, missed work and began accepting assignments at his former practice
Software engineer and dental nurse, $4.1 million: “Buy what they know” with stocks
A husband and wife who have spent their lives preparing for this moment, retired software engineer Jay Myer and his wife Anita have enjoyed maximum contributions to his 401(k) for decades.
Jay Myer, 61, began preparing for retirement at age 25 by reading books that led him to dabble in the stock market, scoring big on Home Depot at an original price of $3 per share, on the advice of ‘buy what you know’.
‘I was young to read about retirement, but I found it very logical. When you lower your investment costs, you keep more of the profits,” Myer said.
Both he and his wife Anita, 60, worked on a strict budget that led to them driving used cars.
It allowed Jay to retire early, but not necessarily give up their wasteful ways, especially when the pandemic hit.
Retired software engineer Jay Myer and his wife Anita, a husband and wife who have spent their lives preparing for this moment, have enjoyed maximum contributions to his 401(k) for decades.
The Myers live in a $925,000 home in North Carolina after selling their first home in Atlanta
He was initially concerned and flagged every purchase he and his ex-dental assistant wife made before realizing it was foolish with so much saved and a $925,000 home in North Carolina after selling their first home in Atlanta.
The couple spends about $20,000 a year on travel and $130,000 a year, with $5,000 in property taxes.
They still remain somewhat limited, with $700 in food and $1,000 in health insurance per month.
While they love to cook and garden, Jay Myer claims he’s learning to do nothing at all.
“Now that I have more time, I’ve learned to embrace and slow down boredom and sometimes accept that reading a book or riding a bike is enough,” he said.