newenglandpat
Dryer sheet wannabe
- Joined
- Apr 6, 2015
- Messages
- 22
Our background: both 56, no debt except for a total of $47K HEL/auto @ 1.99%/1.49% (thank you penfed!)
home conservatively valued at $850,000-$900,000, we do not plan on downsizing our primary residence in conjunction with or after this purchase.
kids- 1 year of college remaining (she will be working as a BSN upon graduation)- other 2 out of house,working, all with no debt and small investment portfolios
our assets:
bucket 1 - taxable - $1,488,000 (LTCG approx $600,000)
bucket 2 - profit sharing/ - $1,731,000
trad IRA type
bucket 3 - Roth $824,000
total $4,033,000
interest in son's condo $33,000 + %gain (currently worth 48-50K)
Social Security - I will defer till age 70, spouse will likely collect spousal benefits @ my FRA - total est combined approx $50K+/year ( not sure of % taxed but, could be heavily taxed!)
yearly expenses (not counting health insurance/daughter's college expenses) - $84,000
proposed purchase is a winter condo for $600K-$750K (depending on unit) with yearly expenses of $24,000 - $28,000/year (HOA,RE taxes,utilities)
We understand that it would be cheaper to rent a unit (even for 4 months!) but we would be much more comfortable going to our 'own home'. Also, we understand that there are many cheaper units but this area is the best location for us in terms of friends,neighborhood and familiarity.
Currently our health insurance is paid through my corp. I am committed to working for the next year or so and then would like to quite possibly cut back to very part time - earning 50-100K while still having my corp pay the health insurance until we are eligible for medicare. I am not sure that profit sharing contributions would continue beyond this year if I cut back.
We view our financial situation as having reached a critical mass or financial independence. I see myself as working because I want to instead of as needing to. While purchasing a condo would be very nice, I don't want to give up our financial independence for it! As for calculations, I would like to be conservative and bump up my yearly spending from $84,000 to $100,000 for a bit of a cushion.
I look forward to your thoughts!
home conservatively valued at $850,000-$900,000, we do not plan on downsizing our primary residence in conjunction with or after this purchase.
kids- 1 year of college remaining (she will be working as a BSN upon graduation)- other 2 out of house,working, all with no debt and small investment portfolios
our assets:
bucket 1 - taxable - $1,488,000 (LTCG approx $600,000)
bucket 2 - profit sharing/ - $1,731,000
trad IRA type
bucket 3 - Roth $824,000
total $4,033,000
interest in son's condo $33,000 + %gain (currently worth 48-50K)
Social Security - I will defer till age 70, spouse will likely collect spousal benefits @ my FRA - total est combined approx $50K+/year ( not sure of % taxed but, could be heavily taxed!)
yearly expenses (not counting health insurance/daughter's college expenses) - $84,000
proposed purchase is a winter condo for $600K-$750K (depending on unit) with yearly expenses of $24,000 - $28,000/year (HOA,RE taxes,utilities)
We understand that it would be cheaper to rent a unit (even for 4 months!) but we would be much more comfortable going to our 'own home'. Also, we understand that there are many cheaper units but this area is the best location for us in terms of friends,neighborhood and familiarity.
Currently our health insurance is paid through my corp. I am committed to working for the next year or so and then would like to quite possibly cut back to very part time - earning 50-100K while still having my corp pay the health insurance until we are eligible for medicare. I am not sure that profit sharing contributions would continue beyond this year if I cut back.
We view our financial situation as having reached a critical mass or financial independence. I see myself as working because I want to instead of as needing to. While purchasing a condo would be very nice, I don't want to give up our financial independence for it! As for calculations, I would like to be conservative and bump up my yearly spending from $84,000 to $100,000 for a bit of a cushion.
I look forward to your thoughts!