My husband and I are both 31 and have recently started off on the path to FIRE. We have one son, but are planning on having more children. We are currently stationed in Texas. We have been saving and investing for retirement and have never led extravagant lives with debt or excessive spending so we aren't necessarily starting from scratch, but we were following the advice of only putting away 15% of income in savings. We have since changed this as of a few days ago!
We practice frugal living and do not have new cars or fancy clothes, we have zero debt besides our mortgage. We plan to sell our house when we PCS next year and are planning on renting or living on base depending on the location, etc.
My husband is in the Air Force and has about 8 years left until he retires from active duty. We wish to retire in 8 years and collect his pension. We still plan to work, but only work we enjoy! We have $20k in his Roth TSP allocated between C (60), S (20) & I (20) funds, $24k in one Vanguard Roth IRA, $24K in another Vanguard Roth IRA, $7k in a Vanguard Index Fund/Money Market and $20k in our savings account. We were not maxing out his TSP, but will start that next year and have already increased it for this year. We earn a combined $96k/year. Our expenses are about $40k per year.
I am a disabled veteran and I receive disability so that is a steady source of income for us. I am finishing up my Master's degree with the remainder of my Post 9/11 GI Bill and will stash all of the BAH into investments/savings for the next year. My husband has his Bachelor's degree and is getting ready to test for E-7.
How are we doing? Is $20k enough in our savings? Should we stop putting money into our savings account? I never know how much to keep in savings. We plan to max out Roth TSP, two Roth IRA's, invest some into an index fund and then continue to build in a high interest saving account every year. Am I missing anything? Are we pretty much on track to FIRE? Any advice/tips are appreciated...
P.S. We just started reading Nords book: The Military Guide to Financial Freedom and Retirement and plan to research everything and weigh our options BEFORE military retirement. I just want to make sure we are doing everything we can as early as possible. Thanks in advance and look forward to learning and implementing as much as possible!
We practice frugal living and do not have new cars or fancy clothes, we have zero debt besides our mortgage. We plan to sell our house when we PCS next year and are planning on renting or living on base depending on the location, etc.
My husband is in the Air Force and has about 8 years left until he retires from active duty. We wish to retire in 8 years and collect his pension. We still plan to work, but only work we enjoy! We have $20k in his Roth TSP allocated between C (60), S (20) & I (20) funds, $24k in one Vanguard Roth IRA, $24K in another Vanguard Roth IRA, $7k in a Vanguard Index Fund/Money Market and $20k in our savings account. We were not maxing out his TSP, but will start that next year and have already increased it for this year. We earn a combined $96k/year. Our expenses are about $40k per year.
I am a disabled veteran and I receive disability so that is a steady source of income for us. I am finishing up my Master's degree with the remainder of my Post 9/11 GI Bill and will stash all of the BAH into investments/savings for the next year. My husband has his Bachelor's degree and is getting ready to test for E-7.
How are we doing? Is $20k enough in our savings? Should we stop putting money into our savings account? I never know how much to keep in savings. We plan to max out Roth TSP, two Roth IRA's, invest some into an index fund and then continue to build in a high interest saving account every year. Am I missing anything? Are we pretty much on track to FIRE? Any advice/tips are appreciated...
P.S. We just started reading Nords book: The Military Guide to Financial Freedom and Retirement and plan to research everything and weigh our options BEFORE military retirement. I just want to make sure we are doing everything we can as early as possible. Thanks in advance and look forward to learning and implementing as much as possible!