Tokyo Expat
Confused about dryer sheets
- Joined
- Jun 25, 2008
- Messages
- 2
Hello from Tokyo,
I am a Tokyo expat planning on returning to Colorado Springs, after 3 years here, to retire in July 2010 when I will be 54.5 years old. My wife and I are getting nervous now that we are FI. 3 things worry me - 1 flat market from here in my early years of retirement, 2 rising medical costs, 3 rising college costs. I want to retire early to spend more time with my children who haven't seen enough of dad.
We have 3 kids (11,11,8), a small mortgage that we plan to pay off when we return, no other debt, a retirement budget of $93K per year (see monthly budget below), and no plan to access retirement funds until I reach 60 in 2017. We will have saved enough to live within our budget until 60 by the time I retire.
Here is our montly and yearly retirement budget.
Expenses
Housing
400.00
4,800.00
Tuition
1,250.00
15,000.00
Automobile
500.00
6,000.00
Insurance-Auto
100.00
1,200.00
Insurance-Medical/LTC
1,000.00
12,000.00
Braces
300.00
3,600.00
Phone
150.00
1,800.00
Utilities
200.00
2,400.00
Travel
1,000.00
12,000.00
Recreation
300.00
3,600.00
Taxes
800.00
9,600.00
Donations
500.00
6,000.00
Gifts
100.00
1,200.00
Food
600.00
7,200.00
Clothes/Personal Care
200.00
2,400.00
Miscellaneous
400.00
4,800.00
Total Expenses
7,800.00
93,600.00
Why I am nervous.
1-Flat market. Although we have put enough in to retirement saving vehicles if the market performs to historical averages - if the market stays flat we would likely have to significantly change our lifestyle planned for retirement. I also believe SS will be means tested which is about 20% of our planned income in retirement.
2- Rising medical costs. I will have to pay for my own medical insurance becaue i am leaving the company prior to the medical benefit age. This recently has me less worried now because of recent legislation to allow Military gray area retirees like me to buy into the Defense Department TriCare medical insurance. Although they haven't set the rates yet I believe they will be within my budget of $12K a year.
3-Rising college costs. We have set a side about $110K in college savings accounts, but I worry if the market stays flat that it will not be enough to cover our 50% portion of the kids college costs.
I am hoping that joining this site will help me mitigate those risks to our plan to RE.
Tokyo Expat
I am a Tokyo expat planning on returning to Colorado Springs, after 3 years here, to retire in July 2010 when I will be 54.5 years old. My wife and I are getting nervous now that we are FI. 3 things worry me - 1 flat market from here in my early years of retirement, 2 rising medical costs, 3 rising college costs. I want to retire early to spend more time with my children who haven't seen enough of dad.
We have 3 kids (11,11,8), a small mortgage that we plan to pay off when we return, no other debt, a retirement budget of $93K per year (see monthly budget below), and no plan to access retirement funds until I reach 60 in 2017. We will have saved enough to live within our budget until 60 by the time I retire.
Here is our montly and yearly retirement budget.
Expenses
Housing
400.00
4,800.00
Tuition
1,250.00
15,000.00
Automobile
500.00
6,000.00
Insurance-Auto
100.00
1,200.00
Insurance-Medical/LTC
1,000.00
12,000.00
Braces
300.00
3,600.00
Phone
150.00
1,800.00
Utilities
200.00
2,400.00
Travel
1,000.00
12,000.00
Recreation
300.00
3,600.00
Taxes
800.00
9,600.00
Donations
500.00
6,000.00
Gifts
100.00
1,200.00
Food
600.00
7,200.00
Clothes/Personal Care
200.00
2,400.00
Miscellaneous
400.00
4,800.00
Total Expenses
7,800.00
93,600.00
Why I am nervous.
1-Flat market. Although we have put enough in to retirement saving vehicles if the market performs to historical averages - if the market stays flat we would likely have to significantly change our lifestyle planned for retirement. I also believe SS will be means tested which is about 20% of our planned income in retirement.
2- Rising medical costs. I will have to pay for my own medical insurance becaue i am leaving the company prior to the medical benefit age. This recently has me less worried now because of recent legislation to allow Military gray area retirees like me to buy into the Defense Department TriCare medical insurance. Although they haven't set the rates yet I believe they will be within my budget of $12K a year.
3-Rising college costs. We have set a side about $110K in college savings accounts, but I worry if the market stays flat that it will not be enough to cover our 50% portion of the kids college costs.
I am hoping that joining this site will help me mitigate those risks to our plan to RE.
Tokyo Expat