BeachBound2029
Confused about dryer sheets
- Joined
- May 13, 2017
- Messages
- 3
Hi All - my wife and I hit a major milestone a few weeks ago - $1M in retirement funds! Whoohoo! The event has really motivated me to focus on what life might look like in RE - spending, figuring out 'my number' etc... I found this great forum at the same time and, from what I've read so far, I think I will find everything I need right here.
About me/us - I turn 40 this year, and wife 42. We're DINKs, own a home NC and a vacation condo on the beach that we rent out in peak season. My goal is to be FIREd by 2029. I feel it's a stretch, but in the realm of possibilities.
The numbers -
IRAs/401Ks - 800K
Taxable accounts - 200K
AA - 75/25 stocks/bonds split. mostly low-cost index
MegaCorp Stock - 100K (short term holdings as of today)
Home - value 350K with 176K mortgage @ 4.125%; 17 years left
Rental - Value 190K with 130K mortgage @ 3.625%; 28 years left
Target retirement nest egg is 3.5M for about 100-120K a year with a WR of 3-3.5%.
We both max out our 401Ks at 18.5K a year and IRAs at 5.5K. Any extra funds go directly to our taxable investments earmarked for retirement.
I'm just starting to track our spending now and only do so at a very gross level - our credit card bills and utilities. We don't use cash for much. How accurately do others track spending? Every purchase? Item? Right now, it feels like we spend about 80-90K a year, but I have very little sample data.
Our plan is to move into our beach condo when we RE. We'll live there until it's no longer enjoyable or our knees can't handle the 3 flights of stairs. I'll convert our primary residence into a rental, and expect to gross 1800 a month in rental income in today's dollars.
I'm not sure what I should do with the 100K in MegaCorp stock. I will sell it once it turns into long-term caps, but do I invest it directly, or apply it to my primary residence mortgage? The numbers tell me to invest it, but there's a lot to be said about having next to nothing left on a mortgage...
Appreciate your thoughts and feedback on my strategy. Poke holes in it!
thanks!
Dreaming 'bout the beach....
About me/us - I turn 40 this year, and wife 42. We're DINKs, own a home NC and a vacation condo on the beach that we rent out in peak season. My goal is to be FIREd by 2029. I feel it's a stretch, but in the realm of possibilities.
The numbers -
IRAs/401Ks - 800K
Taxable accounts - 200K
AA - 75/25 stocks/bonds split. mostly low-cost index
MegaCorp Stock - 100K (short term holdings as of today)
Home - value 350K with 176K mortgage @ 4.125%; 17 years left
Rental - Value 190K with 130K mortgage @ 3.625%; 28 years left
Target retirement nest egg is 3.5M for about 100-120K a year with a WR of 3-3.5%.
We both max out our 401Ks at 18.5K a year and IRAs at 5.5K. Any extra funds go directly to our taxable investments earmarked for retirement.
I'm just starting to track our spending now and only do so at a very gross level - our credit card bills and utilities. We don't use cash for much. How accurately do others track spending? Every purchase? Item? Right now, it feels like we spend about 80-90K a year, but I have very little sample data.
Our plan is to move into our beach condo when we RE. We'll live there until it's no longer enjoyable or our knees can't handle the 3 flights of stairs. I'll convert our primary residence into a rental, and expect to gross 1800 a month in rental income in today's dollars.
I'm not sure what I should do with the 100K in MegaCorp stock. I will sell it once it turns into long-term caps, but do I invest it directly, or apply it to my primary residence mortgage? The numbers tell me to invest it, but there's a lot to be said about having next to nothing left on a mortgage...
Appreciate your thoughts and feedback on my strategy. Poke holes in it!
thanks!
Dreaming 'bout the beach....
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