A tropical storm is passing through Arizona today...,

[ScoutAZ]

and that is so unusual, I thought I would say hello.

Joined this forum a few years back, posted a few messages and then drifted off elsewhere. My ER plan was to leave medi megacorp by Spring of 2011, but economic turndown of 08-09 convinced me otherwise.

I am adding another candle next week (61st) and focusing on retirement again in 2-8 months. 2 months if I announce soon and then asked to stay on until replacement. 8 months if I don't announce by November as I feel I could not leave the team in the lurch during our "busy" time in Q1.


Some particulars:

• Mortgage paid off earlier this year
• Both cars paid off
• Health good, but some work to be done.
• Mix of retirement funds is about 57/32/11 EQ/Fixed/Cash
  • About 15x base salary
  • 6% Roth
  • 60% IRA and 401K
  • 34% taxable
• Current Annual Income about $135-145K the last several years
  • 95-105K base
  • 20-25K Annual Incentive
  • 15K company equity annually
  • These have been 3-4 great years at medi megacorp. Nothing like this previously here or previously at uber mega corp
• Single, kids grown..., But...
  • 3/4 doing well
  • But one of my kids, the mother of my grandsons, is struggling and I have been supporting her to the tune of about $25-28K a year the last 3-4 years. I see this tapering off and she and I are working the issues.
  • I am looking at a budget of $5,500/m with them, 4K without them
• I anticipate SSI of about the following
  • $1850/mo @ 62
  • $2155/mo @ 64
  • $2500/mo @ 66
• I have a small, non-cola'd, pension from the previous mega corp.
  • $1100/mo @ 62
  • $1333/mo @ 64
  • $1600/mo @ 66
• Retiree medical plan through current employer, but does not seem very appealing
• I ran some scenarios through the FIRE Calculator
  • 60-70% of base pay for annual amount
    • I use base, because last few years of total pay seems an anomaly
  • 33 years (Higher than family history by 5-10 years)
  • With just current savings (no pension or SS) I was surprised to see success rates of 70 -78%. That seemed low
  • As soon as SS was plugged in at 62 or 64 goes right to 100% success.

Here is what I am thinking about and could use either advice or pointing towards links, articles, etc.

• Healthcare - I'm confused. I have 18 months of Cobra to figure it out I guess. As mentioned, the retiree healthcare provided by current outfit seems weak.
• Budgeting - I think I have a handle on my retirement budget, but would appreciate any suggestion of good tools to use.
• Mind set change - I have spent about 25 years furiously accumulating retirement funds. I'm not sure what to do next in the swithch from accumulation to distribution.
• Annuities -
• Permission - Can I give myself permission to decompress for 6-12 months after I retire?
• Gap - I'm not too concerned about the gap between 61.5 and medicare or the gap between 61.5 and SS...Should I be?

Thanks

 

[W2R]

Hi, and welcome to the ER Forum!

I'm not sure exactly what you mean by a tropical storm - - the NHC shows no tropical storms, Atlantic or Pacific, impacting the US right now. Maybe it was a joke or analogy or something that I just didn't get? Checking online I do see that you are having some thunderstorms and flash flooding, and hope you stay safe.

Permission - Can I give myself permission to decompress for 6-12 months after I retire?

Even better, why not give yourself permission to decompress for however long it takes? A wonderful aspect of retirement is that you will have oceans of time. I was surprised at how long it took me to decompress. Most of it happened in a couple of months, but it can be like peeling an onion - - for me there was layer after layer of stress to shed. It probably took at least 2-3 years before I was done. The same might be true for you too.

 

[steelyman]

Even better, why not give yourself permission to decompress for however long it takes? A wonderful aspect of retirement is that you will have oceans of time. I was surprised at how long it took me to decompress. Most of it happened in a couple of months, but it can be like peeling an onion - - for me there was layer after layer of stress to shed. It probably took at least 2-3 years before I was done. The same might be true for you too.

I can't speak for anyone but me, but in my case a better word is "adjust". It's a big change and a little disconcerting, but it's what you worked towards. I am not one of those people who closed the office door and then climbed Mt. Everest, but I have relaxed.

 

[W2R]

[...]I am not one of those people who closed the office door and then climbed Mt. Everest, but I have relaxed.

Why, shame on you! Just kidding. ScoutAZ, being able to relax if you want to is another great aspect of retirement. I go to the gym, but otherwise life is pretty relaxing these days for me. I even considered throwing away my alarm clock, and then decided to compromise by buying one that plays soft, sweet bird songs to slowly and gently awaken me in the mornings. I am a much nicer person now that I don't have to peel myself off the ceiling every morning.

 

[steelyman]

Why, shame on you! Just kidding.

Ha! Well, if you play steel guitar it seems like it sometimes

And I forgot to say hello Scout!