INTJ10
Recycles dryer sheets
- Joined
- Feb 18, 2011
- Messages
- 141
Hi all, as you know, retirement planning is a big pain because there are so many moving parts. I have been putting together scenarios and it would be helpful to get some feedback. I know it is our decision but I want to make sure I am at least considering the correct issues.
I like to use Firecalc and try to make things simple enough that I can get my head around the issues. Here is where we are at this time.
Liquid Portfolio is a little over $3 Million. About $300K in taxable accounts. Total asset allocation is 7% Cash, 58% Stocks, 35% Bonds. Almost all in low fee Vanguard index funds.
We have been tracking expenses for 4 years or so. Decided we need $120K/year which includes $24K/year for healthcare. This would support out anticipated retirement lifestyle and is about what we live on now. Own primary residence/no debt.
SS estimates for me and spouse is $24K per year for each of us when we are 62. We are 59 and 58.
We have to buy healthcare and have minimal LTC insurance. Balancing no LTC is that we have about $200K in non primary resident real estate. Probably will get an inheritance of several hundred K.
I have been running Firecalc scenarios. 35 yr retirement, 100% success factor. The result number I have been focused on is the annual spending level supported (at 100% confidence).
Here are the scenarios with the Annual Spend Rate calculated by Firecalc:
Both Retire Now / No SS - $103K annual spend rate
Add husband SS - $125K
Add wife SS - $145K
Add delay retirement two years to 2019 - $157K
Wife is reluctant to retire now because enjoys her job but likely will want to in 2 years. I am more willing to retire now but not sure. I definitely have things I want to do but am nervous about this decision. I was a little surprised that delaying 2 years only added about $12K to our spend rate.
is there any other issues that I should be considering? Thanks in advance for your consideration.
I like to use Firecalc and try to make things simple enough that I can get my head around the issues. Here is where we are at this time.
Liquid Portfolio is a little over $3 Million. About $300K in taxable accounts. Total asset allocation is 7% Cash, 58% Stocks, 35% Bonds. Almost all in low fee Vanguard index funds.
We have been tracking expenses for 4 years or so. Decided we need $120K/year which includes $24K/year for healthcare. This would support out anticipated retirement lifestyle and is about what we live on now. Own primary residence/no debt.
SS estimates for me and spouse is $24K per year for each of us when we are 62. We are 59 and 58.
We have to buy healthcare and have minimal LTC insurance. Balancing no LTC is that we have about $200K in non primary resident real estate. Probably will get an inheritance of several hundred K.
I have been running Firecalc scenarios. 35 yr retirement, 100% success factor. The result number I have been focused on is the annual spending level supported (at 100% confidence).
Here are the scenarios with the Annual Spend Rate calculated by Firecalc:
Both Retire Now / No SS - $103K annual spend rate
Add husband SS - $125K
Add wife SS - $145K
Add delay retirement two years to 2019 - $157K
Wife is reluctant to retire now because enjoys her job but likely will want to in 2 years. I am more willing to retire now but not sure. I definitely have things I want to do but am nervous about this decision. I was a little surprised that delaying 2 years only added about $12K to our spend rate.
is there any other issues that I should be considering? Thanks in advance for your consideration.