Hi, I am new to this forum. Have 2 questions below. But first a few data points on our scenario
My wife worked for 20 years at a mega corp (she stoped working 5 yrs ago) and I am in my 30th year at a mega crop.
Very thankful that Income over the last 10 years has been well above what we need for living expenses. We have saved from day 1 out of college. Thanks dad for instilling in me the discipline to save first.
Next year we will have 1.4 mil in qualified retirement accts and 1.4 mil in brokerage. For the last 30 years we have been 90% equities 10% cash. But shifted recently to 50% cash 50% equity. We are preparing to go 60% equities and 40% fixed income once interest rates run up a bit. Also, 150k in emergency fund. First 2 years of retirement income is covered through a deferred comp program. No debt. No pension.
Questions
1. We are targeting 7,500-8,000 per month as expenses in retirement (does not include income taxes). We have drafted several mock retirement budgets and the numbers seem reasonable. Included 1,500/ month for health insurance, need to include son in coverage for 2 more years. Does this seem reasonable?
2. I have an aversion to paying an advisor 1% to manage our money. I am planning to use a fairly simple ETF or fund allocation model (like Morningstar models developed by Christine Benz). Thoughts?
Appreciate any guidance from those who have taken the plunge.
My wife worked for 20 years at a mega corp (she stoped working 5 yrs ago) and I am in my 30th year at a mega crop.
Very thankful that Income over the last 10 years has been well above what we need for living expenses. We have saved from day 1 out of college. Thanks dad for instilling in me the discipline to save first.
Next year we will have 1.4 mil in qualified retirement accts and 1.4 mil in brokerage. For the last 30 years we have been 90% equities 10% cash. But shifted recently to 50% cash 50% equity. We are preparing to go 60% equities and 40% fixed income once interest rates run up a bit. Also, 150k in emergency fund. First 2 years of retirement income is covered through a deferred comp program. No debt. No pension.
Questions
1. We are targeting 7,500-8,000 per month as expenses in retirement (does not include income taxes). We have drafted several mock retirement budgets and the numbers seem reasonable. Included 1,500/ month for health insurance, need to include son in coverage for 2 more years. Does this seem reasonable?
2. I have an aversion to paying an advisor 1% to manage our money. I am planning to use a fairly simple ETF or fund allocation model (like Morningstar models developed by Christine Benz). Thoughts?
Appreciate any guidance from those who have taken the plunge.