vagabonding
Confused about dryer sheets
Hey, I'm Kris, 53, and next spring plan to liquidate all of my belongings and travel the US and World for the next several years. I'm single and my financial situation looks like this: The market in my area is pretty good, so I plan to sell my house and liquidate most personal items, so should have around $ 550K cash which I will need to invest, with zero debts. I have $ 685K in a 401K, $ 100K in a mutual fund account, and $ 18K in Prudential stock, for a total of just over $ 800K currently in what I consider retirement accounts.
My plan is to invest most all of the $ 550K and live off the gains and whatever I may need to draw down for the next 10 years while letting my retirement accounts grow until I reach somewhere in the 62 to 67 age range. I gather from extensive internet research (dangerous, I know) that backpack type slow budget world travel, especially to LA, SA, and SEA can be done for much less than $ 35K per year. With that, FIREcalc is giving me 83% probability at $ 45K withdrawal per year over 10 years. I can live with that. (If it does not work, I stop traveling and get a job part time some years). FWIW, FIREcalc shows 100% success of retirement at the 12 year mark with 100K per year withdrawal for 20 additional years assuming the $ 550K is gone, and the $ 800K goes untouched to grow until 2030 (the 12 year mark). I have not included SS in my calcs.
So, a big key is obviously keeping close watch on first 3 or 4 years to make sure plan is working. While I can build roads and bridges, and am very adept at budgeting and estimating, I know practically nothing of investing in the stock market. My options are to turn over my portfolio to a manager (yuck at 1% per year!), or do it my self, which fits my personality. I will be traveling out of the country 80% to 90% of the time, so internet security concerns me, and I don't want to spend 10 hours a week on a computer trying to manage my money anyway. I would like to set up accounts where a set amount is automatically deposited monthly into an account(s) I can use via ATM's. How do I do this? Advice is welcome please!
My plan is to invest most all of the $ 550K and live off the gains and whatever I may need to draw down for the next 10 years while letting my retirement accounts grow until I reach somewhere in the 62 to 67 age range. I gather from extensive internet research (dangerous, I know) that backpack type slow budget world travel, especially to LA, SA, and SEA can be done for much less than $ 35K per year. With that, FIREcalc is giving me 83% probability at $ 45K withdrawal per year over 10 years. I can live with that. (If it does not work, I stop traveling and get a job part time some years). FWIW, FIREcalc shows 100% success of retirement at the 12 year mark with 100K per year withdrawal for 20 additional years assuming the $ 550K is gone, and the $ 800K goes untouched to grow until 2030 (the 12 year mark). I have not included SS in my calcs.
So, a big key is obviously keeping close watch on first 3 or 4 years to make sure plan is working. While I can build roads and bridges, and am very adept at budgeting and estimating, I know practically nothing of investing in the stock market. My options are to turn over my portfolio to a manager (yuck at 1% per year!), or do it my self, which fits my personality. I will be traveling out of the country 80% to 90% of the time, so internet security concerns me, and I don't want to spend 10 hours a week on a computer trying to manage my money anyway. I would like to set up accounts where a set amount is automatically deposited monthly into an account(s) I can use via ATM's. How do I do this? Advice is welcome please!
