Join Early Retirement Today
Reply
 
Thread Tools Search this Thread Display Modes
Couple heading in right direction?
Old 07-15-2012, 03:47 PM   #1
Dryer sheet wannabe
kenpoed's Avatar
 
Join Date: May 2012
Posts: 19
Couple heading in right direction?

My wife and I are both 45 and looking to retire in 15 years. We currently contribute $20,000 annually to IRA/401k combos.

Our portfolio consists of index funds, Vanguard total market, International index, small cap value index and total bond index. Our AA is 80/20.

We have about 1.3M in our portfolio with no debt. We have about 2/3 of the portfolio in tax deferred, the rest in taxable.

We run firecalc and assume a withdrawal rate of $100k/year and inflation of 3.3% (to be safe). Firecalc states we should be ok, but I am wondering what the FIRE community thinks of our portfolio and goals. Is it realistic?

Any advice or critique is appreciated.
__________________

__________________
kenpoed is offline   Reply With Quote
Join the #1 Early Retirement and Financial Independence Forum Today - It's Totally Free!

Are you planning to be financially independent as early as possible so you can live life on your own terms? Discuss successful investing strategies, asset allocation models, tax strategies and other related topics in our online forum community. Our members range from young folks just starting their journey to financial independence, military retirees and even multimillionaires. No matter where you fit in you'll find that Early-Retirement.org is a great community to join. Best of all it's totally FREE!

You are currently viewing our boards as a guest so you have limited access to our community. Please take the time to register and you will gain a lot of great new features including; the ability to participate in discussions, network with our members, see fewer ads, upload photographs, create a retirement blog, send private messages and so much, much more!

Old 07-15-2012, 04:17 PM   #2
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
Purron's Avatar
 
Join Date: Nov 2007
Posts: 5,584
You look to be in fine shape to me. Significantly better than most 45 year olds. A few questions:

Why a withdrawal rate of $100K per year? This sounds very high to me.

How did you arrive at a target retirement date of 15 years from now? At the rate you're going, seems to me you might get there much quicker.

What planning have you done for health care and insurance? I know this is likely to change for many of us given recent events, but still this is a major factor for most retirees.

Welcome and look forward to hearing more from you.
__________________

__________________
I purr therefore I am.
Purron is offline   Reply With Quote
Old 07-15-2012, 05:15 PM   #3
Dryer sheet wannabe
kenpoed's Avatar
 
Join Date: May 2012
Posts: 19
we are not really sure how to factor in for health care, so about $15k-$20k of that annual withdrawal rate is for health care. Other than that, we want to do a lot of traveling.

Actually, based on national factors, $15k may be light when considering health insurance. Do you think I am too gloomy about health care costs?
__________________
kenpoed is offline   Reply With Quote
Old 07-15-2012, 08:51 PM   #4
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
Purron's Avatar
 
Join Date: Nov 2007
Posts: 5,584
It's hard not to be gloomy regarding health care costs. I can't predict what the future will be as we're in such a changing environment. My husband and I are both retired and are currently spending close to your estimate including long term care insurance.

I'm confident many others around here with much more knowledge than I will offer their suggestions. Again, welcome.
__________________
I purr therefore I am.
Purron is offline   Reply With Quote
Reply


Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)
 
Thread Tools Search this Thread
Search this Thread:

Advanced Search
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off


 

 
All times are GMT -6. The time now is 12:24 AM.
 
Powered by vBulletin® Version 3.8.8 Beta 1
Copyright ©2000 - 2017, vBulletin Solutions, Inc.