Can-i-retire-already
Dryer sheet wannabe
Plans are evolving.....could use some help.
I'm meeting with a financial planner to give me some more ideas on Friday. Would love to have your thoughts on this plan.
Recap:
Currently 1M brokerage
2.3M IRAs
39 years old. Family of 5.
No debt except mortgage.
College funds set aside for 3 kids and sufficiently funded.
Current salary 175k
Monthly expenses in retirement ~6500.
Current plan/options:
1. Max 401k and save till May 1 2021. Take 7 month sabbatical. To take a break and re-evaluate. If my portfolio is 800k-1.5M more by the end of the year, quit altogether. If portfolio is roughly the same level, go to part time (20 hrs) after jan 1. If potfolio down by jan 1, go back to working full time starting jan 1.
Keep income for the year below 122k to get.ACA healthcare discount.
2. Request to go to part time in May. Use vacation to take 3 months off to do some of the things i want to do. Go back to work part time after long vacation. Re-evaluate portfolio on jan 1 and decide if i can fully retire depending on portfolio size.
Healthcare through work....at about 500 a month (vs the current 250 a month)
3rd alternative??
Key point I've learned:
- if i keep my income below 122k, i can get ACA subsidy
- if income below 78k, long term capital gains and dividends are not taxed at the federal level. HUGE!
- i can definitely keep my income around 78k if inwithdraw about 100k a year (because some of the 100k will be poat tax principle....)
I'm meeting with a financial planner to give me some more ideas on Friday. Would love to have your thoughts on this plan.
Recap:
Currently 1M brokerage
2.3M IRAs
39 years old. Family of 5.
No debt except mortgage.
College funds set aside for 3 kids and sufficiently funded.
Current salary 175k
Monthly expenses in retirement ~6500.
Current plan/options:
1. Max 401k and save till May 1 2021. Take 7 month sabbatical. To take a break and re-evaluate. If my portfolio is 800k-1.5M more by the end of the year, quit altogether. If portfolio is roughly the same level, go to part time (20 hrs) after jan 1. If potfolio down by jan 1, go back to working full time starting jan 1.
Keep income for the year below 122k to get.ACA healthcare discount.
2. Request to go to part time in May. Use vacation to take 3 months off to do some of the things i want to do. Go back to work part time after long vacation. Re-evaluate portfolio on jan 1 and decide if i can fully retire depending on portfolio size.
Healthcare through work....at about 500 a month (vs the current 250 a month)
3rd alternative??
Key point I've learned:
- if i keep my income below 122k, i can get ACA subsidy
- if income below 78k, long term capital gains and dividends are not taxed at the federal level. HUGE!
- i can definitely keep my income around 78k if inwithdraw about 100k a year (because some of the 100k will be poat tax principle....)