topdawg4ever
Dryer sheet wannabe
So as I prepare for my retirement, I am starting to dive into Firecalc. Firecalc has no clear way to include taxable income, so I assume my spending value must include taxes?
So as I prepare for my retirement, I am starting to dive into Firecalc. Firecalc has no clear way to include taxable income, so I assume my spending value must include taxes?
We learned rather quickly that taxes (by far) is our largest expense category in retirement.
Plan accordingly.
So as I prepare for my retirement, I am starting to dive into Firecalc. Firecalc has no clear way to include taxable income, so I assume my spending value must include taxes?
We learned rather quickly that taxes (by far) is our largest expense category in retirement.
Plan accordingly.
So as I prepare for my retirement, I am starting to dive into Firecalc. Firecalc has no clear way to include taxable income, so I assume my spending value must include taxes?
Really appreciate all the responses. For summary:
$700k In Stocks and Bonds
$1.6m in IRA tax deffered
$730k in 401k tax deferred
$1.3m in tax deferred.
So.....I am assuming I will get nailed with taxes, as most my $$ is sitting in tax deferred accounts?
...So.....I am assuming I will get nailed with taxes, as most my $$ is sitting in tax deferred accounts?
We learned rather quickly that taxes (by far) is our largest expense category in retirement.
Plan accordingly.
We learned rather quickly that taxes (by far) is our largest expense category in retirement.
Plan accordingly.
We learned rather quickly that taxes (by far) is our largest expense category in retirement.
Plan accordingly.
We learned rather quickly that taxes (by far) is our largest expense category in retirement.
Plan accordingly.
Yes, you must gross up spending for the taxes you will have to pay.
Not sure about lumping income taxes with living expenses. Perhaps not a realistic scenario, but if someone is returning say 15%/yr on their stash and paying a third of that in income taxes, then income taxes alone would be a 5% WR, which sounds "above SWR" even though their stash is growing rapidly. Would it be more appropriate to charge income taxes against projected investment returns instead of adding them to living expenses?