Cincyguy63
Dryer sheet aficionado
Been following the group now for a couple of years. I know most here subscribe to <3.5% WR for FIRE. I know the variables are many -Age, Investments (Tax Deferred and Taxable), Annual Expenses, Location of retirement (HCOL/ LCOL) and many more I'm not including.
When I look at my own plan and discuss with my FP I seem to be on track including running the figures thru FIRECALC. But I get more nervous when I plug in 3.0% or less. QUESTION: Is this assuming that when my DW and I are gone my kids will have all the principal?
My Plan -love some feedback here:
I'm 56 and plan to launch at 59-60 (depending on macro economy at the time). My families average lifespan for my descendent males is around 76 years old. Women in my family do much better If I retire at 60 and with the advancements in medicine, I could see maybe 20 high to moderate active good years followed by 5-8 years of possible frailty/ needing care. So, my timeframe is 27 years that I am using and this in turn increases my annual WR from 3.5% to 4.25%.
Today I have 1.1M Retirement Accounts (mostly Roths/ 401-K's) and 1.4M Taxable. Adding approx 100k per year to savings until I retire in 3 years.
800k home will be paid for by end of 2020 and no debt. Expecting 40k per year from SS including DW's piece.
Projected annual spend (once the kids are out of college and off the payroll) will be approx 130-140k after tax. Side gigs until we turn 67 (wife's a PRN nurse) will account for 15-20k per year in retirement. I will adjust WR based on returns. If there's a bad year in returns I'll drop WR by 10% and cut back on expenses somewhere (no vacations etc). I actually follow the idea to give to my kids (houses, babies, college for the gk) while I'm still around vs. leaving a bucket of cash when I'm gone.
Goal would be to leave this place with no debt and nothing on the balance sheet but lots of fantastic memories, lots of grace and lived a generous life.
Any thoughts?
When I look at my own plan and discuss with my FP I seem to be on track including running the figures thru FIRECALC. But I get more nervous when I plug in 3.0% or less. QUESTION: Is this assuming that when my DW and I are gone my kids will have all the principal?
My Plan -love some feedback here:
I'm 56 and plan to launch at 59-60 (depending on macro economy at the time). My families average lifespan for my descendent males is around 76 years old. Women in my family do much better If I retire at 60 and with the advancements in medicine, I could see maybe 20 high to moderate active good years followed by 5-8 years of possible frailty/ needing care. So, my timeframe is 27 years that I am using and this in turn increases my annual WR from 3.5% to 4.25%.
Today I have 1.1M Retirement Accounts (mostly Roths/ 401-K's) and 1.4M Taxable. Adding approx 100k per year to savings until I retire in 3 years.
800k home will be paid for by end of 2020 and no debt. Expecting 40k per year from SS including DW's piece.
Projected annual spend (once the kids are out of college and off the payroll) will be approx 130-140k after tax. Side gigs until we turn 67 (wife's a PRN nurse) will account for 15-20k per year in retirement. I will adjust WR based on returns. If there's a bad year in returns I'll drop WR by 10% and cut back on expenses somewhere (no vacations etc). I actually follow the idea to give to my kids (houses, babies, college for the gk) while I'm still around vs. leaving a bucket of cash when I'm gone.
Goal would be to leave this place with no debt and nothing on the balance sheet but lots of fantastic memories, lots of grace and lived a generous life.
Any thoughts?