Live And Learn
Thinks s/he gets paid by the post
I'm trying to figure out if I can possibly be at a 3% WR
Current ER budget : 88k
Current ER budget : 88k
- Includes 29k for Healthcare of which 21k is Premiums (based on full Obamacare for 2)
- 12k comes from DH work (which currently provides HI - Total cost in 2012 about 6k including premiums + copay for 1 hip replacement)
- 76k needs to come from savings (currently 2.0mm of which 1mm is pretax and 1mm is aftertax)
- Scenario 1: DH's job continues to offer HI; assume same 12k spend in 2013; 17k less than ER budget. ER budget now 88k - 17 = 71k less 12k from DH = 59k from savings = 3% WR
- Scenario 2: Buy HI through Exchange. ER budget = 88k - 12k from work = 76k. Use 16k in cash/after tax funds; remainder from taxable funds .... MAGI = 60k. Obamacare subsidy = 15k. Expenses now 88k - 15k (subsidy) = 73k - 12 (DH) = 61 from Savings (3% WR). Only need to use 2k aftertax dollars to get to MAGI <60k for subsidy.