livingalmostlarge
Recycles dryer sheets
- Joined
- Feb 8, 2014
- Messages
- 334
I was wondering I think we've incorrectly saved if that's the right thing to say our money for ER. Granted until this January it's something we've never talked about or considered. We always assumed we'd work until 60 and have a ton of money in the bank and everything we paid for home, kids college, wedding, etc.
So now i've started to change my mindset but my DH hasn't yet. We are looking at costs.
Spending $30k mortgage/year, $35k spending/year = $65k/year burn rate but really we want to spend $35-40k/year after ER.
-idea is to not have a mortgage and use current home equity to buy a home cash.
Retirement Savings - $475k
Cash $60k
Taxable Savings $126k
Debts $0, not counting my mortgage or home equity. Let's just say home equity is $200k conservatively.
What do I realistically need saved to retire? $1.32M at 33*40k. but what split of retirement and taxable savings? Does it matter? Would a 25*40 for $1M be too little to ER?
We are 34 and 36.
So now i've started to change my mindset but my DH hasn't yet. We are looking at costs.
Spending $30k mortgage/year, $35k spending/year = $65k/year burn rate but really we want to spend $35-40k/year after ER.
-idea is to not have a mortgage and use current home equity to buy a home cash.
Retirement Savings - $475k
Cash $60k
Taxable Savings $126k
Debts $0, not counting my mortgage or home equity. Let's just say home equity is $200k conservatively.
What do I realistically need saved to retire? $1.32M at 33*40k. but what split of retirement and taxable savings? Does it matter? Would a 25*40 for $1M be too little to ER?
We are 34 and 36.