Hi .. Retiring Dec 31, 2014

[meperki]

Hi Everyone, I stumbled on Early Retirement.org while looking for sites that will help me feel more secure about my imminent (12-31-13) retirement. This site is fabulous!

I am just 59 years old; my DH is 62.5. We have $3M in investments (55% equities and 45% bond), house paid off about 7 years ago, no credit card debt, no car payment, no debt at all, a combined pension of $75,000/yr and my DH is taking a $1866/mo in early SS. We live very low key but we are travel junkies.

Call me neurotic, but after hearing several financial planners telling me we are fine, and running numerous retirement calculators including FIREcalc which gives a success rate of 100%.....I am still a nervous wreck. I just can't convince myself that I will not be eating cat food in 10 years.

Any advice about how to calm down and look forward to early retirement would be very much appreciated. My DH refuses to look at calculations, calculators, spreadsheets or have another financial discussion with me. I have worn out my welcome on this subject.

[REWahoo]

Quote:

Originally Posted by meperki Call me neurotic, but after hearing several financial planners telling me we are fine, and running numerous retirement calculators including FIREcalc which gives a success rate of 100%.....I am still a nervous wreck. I just can't convince myself that I will not be eating cat food in 10 years.

You are neurotic.

Barring an asteroid strike you are bulletproof. You have to understand most of us are living on less than the amount of your pensions and SS ($97K/yr). You have $3M on top of that.

Don't expect a lot of sympathy for your cat food fears with numbers like yours. Get on with enjoying retirement and worry about the weeds in your yard or some other equally bothersome life event....

[pb4uski]

Quote:

Originally Posted by REWahoo You are neurotic. Barring an asteroid strike you are bulletproof. You have to understand most of us are living on less than the amount of your pensions and SS. You have $3M on top of that. Don't expect a lot of sympathy for your cat food fears with numbers like yours. Get on with enjoying retirement and worry about the weeds in your yard or some other equally bothersome life event....

+1 unless you need much more than the rest of us live quite well on (since you don't indicate what you need to live on). If you need $300k a year to live on then you may have a problem but if you only need $200k or less, then you're golden.

Change is hard and many of us are uncomfortable with change, but after a year or two pass and the world hasn't imploded because you are not working, you'll get comfortable.

[Midpack]

Quote:

Originally Posted by meperki Hi Everyone, I stumbled on Early Retirement.org while looking for sites that will help me feel more secure about my imminent (12-31-13) retirement. This site is fabulous! I am just 59 years old; my DH is 62.5. We have $3M in investments (55% equities and 45% bond), house paid off about 7 years ago, no credit card debt, no car payment, no debt at all, a combined pension of $75,000/yr and my DH is taking a $1866/mo in early SS. We live very low key but we are travel junkies. Call me neurotic, but after hearing several financial planners telling me we are fine, and running numerous retirement calculators including FIREcalc which gives a success rate of 100%.....I am still a nervous wreck. I just can't convince myself that I will not be eating cat food in 10 years. Any advice about how to calm down and look forward to early retirement would be very much appreciated. My DH refuses to look at calculations, calculators, spreadsheets or have another financial discussion with me. I have worn out my welcome on this subject.

If you're eating cat food in 10 years with $3MM, no debt and a $75K/yr pension, either you're spending WAY too much or there's no hope at all for the rest of us. And I thought I was financially conservative!

I was a little nervous at first, but after 2½ years I'm really not nervous at all. I am sure I'll get nervous again during the next inevitable market downturn, but after a few of them I am sure I'll be OK - just as I was through all the downturns during my working/accumulation years where I didn't panic sell and slept like a baby for the most part.

Oh, and welcome to ER.org. It's been very helpful to many, self included.

[braumeister]

Actually, you probably won't even be able to afford it.

World's most expensive cat food sells out in an hour

Seriously, just relax, take a deep breath, and enjoy life. You're doing fine.

[Live And Learn]

Welcome to the forum !

I sympathize with the neurosis - its keeping me working when I probably don't need to.

Take it from another neurotic type - with your numbers I'd be sleeping like a baby !

[meperki]

Wow! Thank you all for your responses. It helps to hear that I am not the only one who found entering retirement nerve wracking. I am sure in a year from now I will be embarrassed about this post.

BTW, I have found this website to be enormously educational. Thanks to all how have so freely shared their wisdom and advice. I hope I will be able to do the same.

[MRG]

Welcome to the forum. If you run short of money many here will to, including us. We can then advise on best brands.

Seriously it gets easier, I can relate, you spend all those years saving. It's hard to think of spending. I'm only retired since May, spent the first few months worried. It gets easier every month. Appointment yourself a new 'title', like Chief Life Enjoyment Officer. Then start working on a job description, once you accept the responsibility it will get better.
If that doesn't work, try Zanax!
MRG

[jclarksnakes]

Welcome to the forum. Your numbers are golden. Stick around and tell us all how you have done so well.

[Options]

I wouldn't know what to do with 3M in retirement. I plan to travel extensively after FIRE (one year from now!) but won't need a lot to do it (in fact, I've probably budgeted a lot more than I will need). I don't have to be neurotic or nervous about FIRE because I can always LBMM. In fact, my retirement "lifestyle" will be better than my preretirement lifestyle (quite by accident, but more because experiences, not money or things, make me happy).

[aja8888]

If I saved 3M for retirement, I would be pi$$ed at myself for not pulling the plug sooner!

[jclarksnakes]

Quote:

Originally Posted by aja8888 If I saved 3M for retirement, I would be pi$$ed at myself for not pulling the plug sooner!

Well said.

[NW-Bound]

Quote:

Originally Posted by meperki ... a combined pension of $75,000/yr and my DH is taking a $1866/mo in early SS. We live very low key but we are travel junkies. ... My DH refuses to look at calculations, calculators, spreadsheets or have another financial discussion with me. I have worn out my welcome on this subject.

You have pension and also taking SS early. So, which of you are still working, if any?

If your husband wants to work, let him.

If he's retired and you are still working, then, well, it's your own fault.

PS. I now see that you are going to retire on 12/31/2013. Good for you!

[yukon]

Appears golden but I have no idea without knowing how much you spend annually.

[meperki]

I finally got Quicken to see how much and where the $$ was going. 2013 will go down in history as an expensive year. Knowing that retirement will be 12/31/13 we did some needed house repairs, prepaid the bulk of 2014 travel, etc. I think we will close out the year in the $130K - $140K range. YIKES!

I was shocked but I know where the leaks are, who is responsible for them (mostly me!) and how to fix. Besides, travel we live frugally, heat the house mostly with a wood burning stove which we cut and split and stack ourselves. We eat out about once every 2 months, grow and can most our of vegetables, I make most of the curtains, drapes, and re-fashion consignment shop finds which is the majority of my wardrobe, etc. You get the idea.

The biggest expense will be healthcare (Cobra for 18 months) and taxes. We will in NYS so we really get walloped.

A big THANK YOU to all you who have responded. Last night I slept without waking up in a panic. For that, I am forever grateful.

[gozer]

Quote:

Originally Posted by Midpack If you're eating cat food in 10 years with $3MM, no debt and a $75K/yr pension, either you're spending WAY too much or there's no hope at all for the rest of us. And I thought I was financially conservative!

I bet it's really expensive cat food though.

Apparently expensive pet food is better tasting than we think. Study: Dog Food Tastes Just Like Pâté - CBS News I hate pate, but my sister-in-law and her husband like it. I think I'll show them this link. It could save them a fortune.

To the OP, some of us over planned like you did. I fall into that camp. I was quite paranoid. Kept working until I could beat the paranoia into submission by having far more than actually needed. One more month of work to go for me. This appears similar to where you are. I think you are doing quite well. Welcome aboard.

[kimcdougc]

Most of us retire with way less than you. My husband is where you are at. I keep telling him
it is time to spend the money we saved. He just doesn't seem ready to retire, although he can. Welcome to the forum.

[Katsmeow]

Quote:

Originally Posted by meperki I finally got Quicken to see how much and where the $$ was going. 2013 will go down in history as an expensive year. Knowing that retirement will be 12/31/13 we did some needed house repairs, prepaid the bulk of 2014 travel, etc. I think we will close out the year in the $130K - $140K range. YIKES! I was shocked but I know where the leaks are, who is responsible for them (mostly me!) and how to fix. Besides, travel we live frugally, heat the house mostly with a wood burning stove which we cut and split and stack ourselves. We eat out about once every 2 months, grow and can most our of vegetables, I make most of the curtains, drapes, and re-fashion consignment shop finds which is the majority of my wardrobe, etc. You get the idea.

I'm not sure if you need to fix them. With $3 million with a 2% withdrawal rate, you could withdraw $60k. That is a really low withdrawal rate.

Then, there is a pension of $75k. So, even without SS that adds up to $135k. Retirement probably does reduce some expenses. I don't know if the $130-140 includes taxes. However, you did say it was unusually high spending due to one time expenses. So I'm not sure that you really need to cut any of your expenses.

I did wonder about your DH taking early SS. Is your SS higher than his where you plan to take a spousal benefit at FRA and then take your full benefit at 70? If so then it probably does make sense for DH to take early SS.

Quote:

Originally Posted by meperki Call me neurotic, but after hearing several financial planners telling me we are fine, and running numerous retirement calculators including FIREcalc which gives a success rate of 100%.....I am still a nervous wreck. I just can't convince myself that I will not be eating cat food in 10 years.

I'm not going to say you are neurotic because I don't think that is helpful at all. On the other hand, sometimes people really are sidelined by unwarranted anxiety. For some people (not saying this is true for you), the anxiety can go beyond what is really functional and they may benefit from professional help in managing their anxiety.

[meperki]

I didn't want DH to start SS early but all the neighborhood retirees did, so without researching or talking to me, he filed. Our SS benefits are about equal so I don't plan to take mine until 70 now.

This forum has gone a long way in validating my retirement plan (anxiety is way down) and I am starting to look forward to starting this new chapter of our lives.