"will have a lifetime monthly retirement check of $3,100 with a 3% yearly cola, After taxes and health insurance, I think I should have about $2,100. My husband gets a SS check of only $1000. We get about $1,300 for two rentals. To cover maintenance, insurance and property taxes on the rentals and my home, I plan to put the $1000 SS away in a separate account to cover it.
I do have about $250K in 403 b Accounts, 250K In real estate, 50K in the bank which is earning me practically nothing."
Carla, congratulations and welcome! The million dollars in PV (stands for "Present Value", how much cash today all your pension and SS future money would be worth if someone were buying the rights to it)
The simple rule is 4% or rule of 25, which means for every $100 you have, you can get $4 (which is 4%) each year from it pretty safely, probably without running out in 30 years. the other way, is if you have $1000/month SS, ($12k/year), the value of that is as if it were 4% of money you had put away, of 25 times the value ($12,000x25=$300,000).
Where someone was saying that you have value of over one million gets there by adding up your pension ($3100/month) SS ($1000/month) and assets. You wouldn't count both the real estate and the rental income from the real estate, since one depends on the other.
So I'd get (roughly): 3100x12x25 + 1000x12x25 + 250000 (investments) +250000 (real estate) +50000 (bank cash) -19000 (mortgage) = $1,761,000!
So congratulations!! I think that you can safely consider yourself in the millionaire club! It looks like you have a very reasonable budget, and you are in good shape to relax and enjoy your well earned retirement!