Three years ago I started a five year plan in hopes to FIRE by the time I reached 58 and DW 57. The three main keys for this plan to work were 1. keep my job that pays about $115,000/yr, 2. DW keeps her job which paid $82,000/yr, 3. we stay in good health to have the possibiity of the lowest possible self insured health insurance premiums, and 4. the stock market didn't need to improve greatly, but we needed not to be hurt by it.
I now understand the saying that goes something like, "if your really want to hear God laugh, tell him your plans". First, my wife lost her job due to a merger, then she was diagnosed with breast cancer. Since her recovery, she has been unable to find even a low paying job in this economy. Of course we lost a big chunk of our retirement as we rode the market to the bottom. Last, my good paying job is not keeping up with inflation because of no raises, loss of bonus, more co-pays for health coverage, etc. To make matters worse my company has "merged" and our business is now currently in the toilet. I expect to be unemployed within the next 6 months if not before. Neither my DW or I was ever fortunate enough to work for a company with any kind of defined pension plan so we have to go it alone.
The bright spot, if you can call it that, is we are totally debt free. We also have a bit over $500,000 saved in CD's and I bonds. We started tracking our expenses several years ago, and last year our total expenses were just under $40,000 after taxes but that does not include any heath care coverage. I truthfully have no idea what is left in IRAs and my 401K as it is too depressing to even think about it. Maybe $500,000 to $600,000 tops. I have never been real savvy on investments and have primarily relied on a mixed bag of mostly Vanguard mutual funds. I would guess the equity in my house is about $275,000 after the big hit to real estate values. I will get about 6 months severance pay with full health care coverage during that time.
When I lose my job I would really like to move away as I have never liked where I live now and the property taxes are high. Unfortunately, I feel trapped here because houses aren't selling. Regardless of whether I stay put or move, at our ages I doubt there is much chance to land more than low paying jobs with little or no benefits compared to what have lost and will be losing.
This whole thing is killing me. It is hard for me to understand how 3 years ago we thought there was a good shot at becoming financially independent after 35+ years of hard work and LBYM. Now, I am really concerned that we are in for some really tough times ahead and I am quite depressed and stressed about it. I have always felt that a person is some kind of a loser if they can't support their family, but I am seeing now that there are sometimes circumstances out of our control.
Have any of you found yourselves in a similar situation where you might be able to give any advise? I am most interested hearing any suggestions you have on how to stretch what I have in an attempt to at least reach SS age. That will probably be the next rug to get yanked out from under me.
I now understand the saying that goes something like, "if your really want to hear God laugh, tell him your plans". First, my wife lost her job due to a merger, then she was diagnosed with breast cancer. Since her recovery, she has been unable to find even a low paying job in this economy. Of course we lost a big chunk of our retirement as we rode the market to the bottom. Last, my good paying job is not keeping up with inflation because of no raises, loss of bonus, more co-pays for health coverage, etc. To make matters worse my company has "merged" and our business is now currently in the toilet. I expect to be unemployed within the next 6 months if not before. Neither my DW or I was ever fortunate enough to work for a company with any kind of defined pension plan so we have to go it alone.
The bright spot, if you can call it that, is we are totally debt free. We also have a bit over $500,000 saved in CD's and I bonds. We started tracking our expenses several years ago, and last year our total expenses were just under $40,000 after taxes but that does not include any heath care coverage. I truthfully have no idea what is left in IRAs and my 401K as it is too depressing to even think about it. Maybe $500,000 to $600,000 tops. I have never been real savvy on investments and have primarily relied on a mixed bag of mostly Vanguard mutual funds. I would guess the equity in my house is about $275,000 after the big hit to real estate values. I will get about 6 months severance pay with full health care coverage during that time.
When I lose my job I would really like to move away as I have never liked where I live now and the property taxes are high. Unfortunately, I feel trapped here because houses aren't selling. Regardless of whether I stay put or move, at our ages I doubt there is much chance to land more than low paying jobs with little or no benefits compared to what have lost and will be losing.
This whole thing is killing me. It is hard for me to understand how 3 years ago we thought there was a good shot at becoming financially independent after 35+ years of hard work and LBYM. Now, I am really concerned that we are in for some really tough times ahead and I am quite depressed and stressed about it. I have always felt that a person is some kind of a loser if they can't support their family, but I am seeing now that there are sometimes circumstances out of our control.
Have any of you found yourselves in a similar situation where you might be able to give any advise? I am most interested hearing any suggestions you have on how to stretch what I have in an attempt to at least reach SS age. That will probably be the next rug to get yanked out from under me.