Not a financial milestone, but today marks exactly 1,000 weeks since I retired. I wouldn't change one of them.
Not a financial milestone, but today marks exactly 1,000 weeks since I retired. I wouldn't change one of them.
Just added everything up, accounts (excluding 529 plans) plus home equity crossed the $6M mark. If the markets keep up this pace for a few more years I'll hit my FI goal. However, if past is prelude, whenever I start marveling at my account performance the markets tank soon thereafter.
What's your FI goal? Seems like that might be plenty, but I can understand if you're earning large and want to make hay while the sun shines....
In a similar boat as you (kids are a little younger) and we're in our prime earning years. DW and I also want to travel extensively and enjoy adult-level activities, such as wine, museums, tours, etc... These things aren't really appropriate (or enjoyable) with young kids in tow. Did a trial run of some last year and it took all of 30 minutes for the complaining to begin. Need the kids to go off to sleep away camp (Covid-19 kiboshed this year) to try again.FI goal is $6M in investible assets. Right now I'm at around $4.4M, the rest is home equity. SF Bay Area is expensive but DW and the kids don't want to move. Also, I want to travel a lot in retirement and I can't really do that until my kids are done with school. Youngest is in 6th grade now so not much point in calling it quits for another 6-7 years.
You need to check with HR and see if your 401k has the "Rule of 55". If it does, you don't have to wait until 59.5. You can retire in the year you turn 55 and start drawing from it penalty free.Not really a milestone but looking at my most recent paystub online I realized I’ve maxed out the 401k individual contribution limit for 2020. Feels good to take full advantage of that savings opportunity. I’ve also had my last Roth IRA contribution for the year transferred from my bank account so I’ve now officially maxed out my Roth IRA for the year.
I do wonder if I need to start shifting more towards taxable contributions. I’m concerned about access to my money if I can manage to retire prior to 59.5 years old. If I can retire at say 52-55 years old I’ve got to figure out where living expenses will come from for those years I won’t have access to my retirement savings.
You need to check with HR and see if your 401k has the "Rule of 55". If it does, you don't have to wait until 59.5. You can retire in the year you turn 55 and start drawing from it penalty free.
Not really a milestone but looking at my most recent paystub online I realized I’ve maxed out the 401k individual contribution limit for 2020. Feels good to take full advantage of that savings opportunity. I’ve also had my last Roth IRA contribution for the year transferred from my bank account so I’ve now officially maxed out my Roth IRA for the year.
I do wonder if I need to start shifting more towards taxable contributions. I’m concerned about access to my money if I can manage to retire prior to 59.5 years old. If I can retire at say 52-55 years old I’ve got to figure out where living expenses will come from for those years I won’t have access to my retirement savings.
The rule of 55 is an IRS provision, not a plan feature.You need to check with HR and see if your 401k has the "Rule of 55". If it does, you don't have to wait until 59.5. You can retire in the year you turn 55 and start drawing from it penalty free.
The rule of 55 is an IRS provision, not a plan feature.
Not from my understanding. Each 401k can be set up differently and how they report distributions to the IRS is what matters. Code 7, if I remember correctly.The rule of 55 is an IRS provision, not a plan feature.
We paid off the mortgage yesterday! We started making big extra payments January 2010 on our 5.25% loan to get rid of the mortgage at my retirement. We didn't reduce our monthly expenses however: we've lost the mortgage payment but replaced it with a health care premium that's the same amount of money....
Congratulations. It's a good feeling to have no mortgage ! we did the same and knocked off mortgage last year. Feels great to have no debt.
Well, that was fast....now at $3.2M and $3.7M, respectively!Hit $3M in investments, $3.5M NW again. I knew we would reach it again, but we had just barely hit it Sept. 2, and that was our high point until now.
This has me thinking maybe I shouldn't go back to work....or at least definitely take my time looking.
Congrats on both! Next month is our last payment on our 0% loan, too, so I can imagine how good that feels, I've been looking forward to this for months now!Hit a nice milestone today. Paid off our interest free car loan yesterday. Retiring in three months!! Happy Dance at our house!