Living on interest (LOI) is one way to living a less stress life.
Questions to ask your self is how much money one need to place in a less risky securities such as government securities to live and let money works for one self.
It could be very difficult at this point in time to use this formula given the low interest rates being offered as compared to private bonds, but if you got huge amount and could not risk at this stage wherein stability remains to be seen, it is a good option though.
Keep in mind, you want to live on interest but you wouldn't want to loose your capital funds. Keep it safe by investing wisely!
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