 Quote:
Originally Posted by crispus
We are both 53 with a combined income of 130k. We have a net worth of 960k. Home equity portion is about 275k and everything else is in 401k's and roth IRA's except for 26k in emergency fund. Our monthly expenses are around 4500 this includes 500 per month for my son's college 1.5 years remaining. In June of 09 my DW will be eligible for full pension with a cash value of 400k. Since all our money is tied up in retirement accounts I don't know if we can retire at 55. We both plan to take SS at 62.
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Sounds pretty good to me.
At 55, your son will be out of college so your expenses will be $48,000/year.
Assuming you had decided to take the cash value of your wife's pension, you could then put it in laddered CD's or some other stable investment and take out 48,000/year adjusted for inflation. It should last from 55 to 62.
Meanwhile, if your retirement accounts that are presently 685,000 grew with no withdrawals for the nine years until you are 62, and if you then withdrew 4%/year from them, plus both your social security checks, I think you might be just fine.
Maybe Firecalc would help in your computations. Link at the bottom of the page.
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"Already we are boldly launched upon the deep; but soon we shall be lost in its unshored, harborless immensities." - - H. Melville, 1851
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