chicago_meatball
Dryer sheet wannabe
Hi everyone!
This is my first crack at serious financial planning so bear with me and correct me if I'm doing something stupid The stretch goal is to retire at age 50.
I'm 33 and married (wife 31) with 2 kids that are 4 and 1.
Current jobs - both of us work for the same megacorp in different businesses and climbing the corporate ladder. We both earn about the same money and pre-tax about 220K with salary and bonus.
Pension- both of us are in pension vested pension plan projecting to pay out a combined 8K a month at age 65 if we stopped working for the company at age 50.
investments
401K - combined balance is 230 with us both maxing out plus 3.5 company match. mainly invested in stock funds and a 2040 retirement fund. I'm accepting additional risk now knowing I'll need to begin getting conservative around 2020.
HSA - started this year maxed out, plan to collect reciepts and let it grow
Backdoor Roth started this year for each of us, will max out for 2013 and going forward
-Any other tax sheltered accounts I can work my way into?
250 a month toward kids college fund in a investment club with family/friends. Current balance 9K.
-open to more investing as money frees up. 2 kids in daycare @2350 a month has us tapped out now.
Housing
180K owed at 3.75% - paying extra to pay off in 2030 (goaled retirement year) home value around 275K
Rental townhouse
130K owed at 3.85 - paying extra to pay off in 2030, valued about 110K. Stuck with this during the housing downturn. I'll likely sell it prior to retirement to avoid the hassles of it.
The retirement plan.
16 years to go, if I can continue to max out everything above I should ~330K in the HSA and Roth that I can pull back out. Housing should be paid for and youngest son will be graduating soon. I'll need to stretch this money out for 5 years until i can begin dipping into my 401k.
This will be the biggest crunch and may require an extra year or 2 of work, but its the stretch goal.
Once 55 I can begin pulling out the 401k until I can begin pension and SS at 65. This is possible if I have 1 mil plus in 401K, well on target with reasonable market appreciation.
Once we are 65, we should be able to live off our combined pension and SS assuming our roth/401K/HSA has been deleted.
What do you old pros think!
This is my first crack at serious financial planning so bear with me and correct me if I'm doing something stupid The stretch goal is to retire at age 50.
I'm 33 and married (wife 31) with 2 kids that are 4 and 1.
Current jobs - both of us work for the same megacorp in different businesses and climbing the corporate ladder. We both earn about the same money and pre-tax about 220K with salary and bonus.
Pension- both of us are in pension vested pension plan projecting to pay out a combined 8K a month at age 65 if we stopped working for the company at age 50.
investments
401K - combined balance is 230 with us both maxing out plus 3.5 company match. mainly invested in stock funds and a 2040 retirement fund. I'm accepting additional risk now knowing I'll need to begin getting conservative around 2020.
HSA - started this year maxed out, plan to collect reciepts and let it grow
Backdoor Roth started this year for each of us, will max out for 2013 and going forward
-Any other tax sheltered accounts I can work my way into?
250 a month toward kids college fund in a investment club with family/friends. Current balance 9K.
-open to more investing as money frees up. 2 kids in daycare @2350 a month has us tapped out now.
Housing
180K owed at 3.75% - paying extra to pay off in 2030 (goaled retirement year) home value around 275K
Rental townhouse
130K owed at 3.85 - paying extra to pay off in 2030, valued about 110K. Stuck with this during the housing downturn. I'll likely sell it prior to retirement to avoid the hassles of it.
The retirement plan.
16 years to go, if I can continue to max out everything above I should ~330K in the HSA and Roth that I can pull back out. Housing should be paid for and youngest son will be graduating soon. I'll need to stretch this money out for 5 years until i can begin dipping into my 401k.
This will be the biggest crunch and may require an extra year or 2 of work, but its the stretch goal.
Once 55 I can begin pulling out the 401k until I can begin pension and SS at 65. This is possible if I have 1 mil plus in 401K, well on target with reasonable market appreciation.
Once we are 65, we should be able to live off our combined pension and SS assuming our roth/401K/HSA has been deleted.
What do you old pros think!