For many, the monthly social security check is a welcome sight. Part of the social contract for ages, it helps pay rent and grocery bills, put some gas in the Cadillac, and provide for the occasional trip to Florida. With all of the press about the underfunding of the Social Security trust, it still takes in more in employment taxes than it pays out, and is part of retirement planning for the majority of future retirees
Like many retirees (early and otherwise), we paid no Social Security tax in 2013 (and don’t plan to ever again*.) This raised a great question on the recent post where we shared our 2013 taxes.
“The one downside to not paying social security tax going forward is that your payout when you retire will be lower than a person paying as they continue to work….am I correct about this? If so, then the loss of a “annuity product for life” can be a major problem.”
Let’s see if this is a major problem, or even a problem at all.
Our post on how you can Never Pay Taxes Again has been quite popular. It has been linked to, shared, cited, viewed, searched for, and commented upon more than any other post. Many people love it, and are excited about the possibilities. Others wonder, “Is it real?” After all, if it sounds too good to be true, it usually is.
Let’s see what happens when the rubber meets the road. And what better example than to review our very own 2013 Taxes?
The eastern coast of Taiwan is beautiful, with mountains rising straight out of the sea to enormous heights. Over centuries, the Liwu river has carved through the marble and granite to create the stunning Taroko Gorge.
The engineering feats required to build roadways, tunnels, and bridges along the gorge are nothing short of miraculous, and are rivaled only by the incredible natural beauty of the sheer cliff faces, raging river, and abundant waterfalls. And yet access to the gorge is only a few hours outside of Taipei.
Following one hiking trail might lead to a hidden temple in the mist, straight out of Crouching Tiger, Hidden Dragon. Another trail might bring you to a remote waterfall, and yet another to a cascade of water inside a dark cave.
Home sweet home for the next few months is a great 1-bedroom apartment in the Song Shan neighborhood in Taipei, Taiwan. Tree-lined pedestrian-only streets allow us to wander through the neighborhood, and we are only a block away from major bus lines and a couple blocks from the subway. Restaurants, food stands, and convenience stores are liberally sprinkled about, and right next door is a large traditional produce market.
Rent is 30,000 TWD a month, which roughly converts to $990. I think all Taiwan building complexes have a management fee, and this holds a special place in the minds of landlords. “Hey, can you include electricity in the rent?” No problem. “How about water and sewer and garbage?” OK. “Internet? Can you include Wifi in the rent?” Of course, that is included.
“How about the building management fee?”
“Oh, No, No, No, No, NO! You have to pay that yourself!” And so we pay an additional 1,500 TWD monthly (~$50), which as far as I can tell pays the salary of the guy that sits in the basement and receives any packages you may have ordered.
Nestled in the mountains of western Cuba, amongst the soaring cliff faces and tobacco fields, is the bucolic valley hamlet of Viñales. With the exception of the tourists, life is much the same as it has always been, with men working the fields with the combined power of brawn, determination, and draft animals.
The town has embraced tourism and healthfully merged the old ways with the new. The main town square hosts music and dancing and peddlers hawk their crafts and tours. The restaurants offer quality local food at reasonable prices. (We had probably our best meal in all of Cuba here.) A hop-on/hop-off tour bus plies its way throughout the valley, past the numerous caves, underground rivers, tobacco plantations, and valley view points, all arranged nicely for your touring pleasure
