Major Tom
Thinks s/he gets paid by the post
I wonder if he really is a professor with a PhD? Such are the mysteries of the internet.......
I wonder if he really is a professor with a PhD? Such are the mysteries of the internet.......
I wonder if he really is a professor with a PhD? Such are the mysteries of the internet.......
Maybe he was the second coming of Emiritus.
.....This guy was really condescending. Oh, don't worry, your small minds can't understand what an advanced person like me can see, just answer the question you little soldiers, and I'll do the hard thinking.
-ERD50
So I've decided to answer the question again in a different manner. My "data" begins at age 25 and continues at 5-year increments until age 50. I won't be 55 until 2014.
I know there are some similar posts earlier in this thread. Anyone else out want to post their multiples?
To the OP.... what do you think? Or, is this still to much inside the box?
The OP has not been back for a while:
I fear we will never learn just what we are missing with our limited 'in-the-box' thinking. How will we ever sleep at night?
It's hard to imaging how a savings number, without the context of expected spend, SS and pensions can be meaningful, and how having a PhD could change that.
Anyone else out want to post their multiples?
We are saving ~40% of our gross (so our expenses are 60% of our gross, includes mortgage payment and taxes). When we got married about two years ago, I would say we were closer to saving ~30% of gross.
At 36/32, we have 2.2X our gross annual salary saved in investment accounts, with roughly 1/3rd of that in taxable accounts. We also have about 2X gross annual salary locked up in home equity (if you want to consider that). NW(augmented) is then ~4.2X gross annual salary with expenses at ~60%, probably a little bit less, of GAS.
I'm wondering if his PhD was in computer science, and his intent was to hack into someone's retirement accounts and steal their money... and he was just looking for the best target?
Someone over the age of 50 may be less computer-security savvy than a younger person?
How's that for thinking outside the box?
I realize that your taxes are more now than when you're retired, but assuming your FIRE budget is 40% of GAS....what % WR were you looking at? At a 3.33% WR, with .4xGAS annual budget, you'd need 12xGAS.
At your current level of 4.2xGAS, you need to roughly triple your current stash.
Your current annual addition to savings is .4xGAS. Over 6 years, you'll add 2.4xGAS to your stash. That brings you up to 6.6xGAS from current levels plus additions. That means you need to roughly double your stash over the next 6 years, implying a roughly 12.2% annualized return over the next 6 years.
Were you shooting for a much lower multiple of GAS when you reach FI? Or a significantly larger WR than 3.33%?
The OP has not been back for a while:
I fear we will never learn just what we are missing with our limited 'in-the-box' thinking. How will we ever sleep at night?
-ERD50
I did use the 'Thanks' button while reading this thread for those that provided useful information even if it was in different metrics.
Just my 2cents.
And the question all along has been, how is this 'useful'?
Instead, he inferred we are too small thinking and stupid to understand if it wasn't immediately apparent. No thanks, not gonna play that game.
-ERD50