Join Early Retirement Today
Reply
 
Thread Tools Search this Thread Display Modes
Double/triple check my FIRE plan
Old 01-25-2017, 11:48 AM   #1
Dryer sheet aficionado
 
Join Date: Jun 2014
Posts: 41
Double/triple check my FIRE plan

Hi all, been some time since I posted anything. Looking for the collective wisdom on here to provide insightful commentary, suggestions, advice. Scenario:

> Expenses - Will require $85,000 pre-tax post RE (assuming 15% tax or less) This is everything from taxes to wife's hair appts.

> DW & I will be 57 Feb 2017, plan to FIRE at mid 58 yo (so 1.5 yrs)

> Will contribute about another $70k to investments/savings till then

> Plan to work part time/part year (3 mths ?)until 62 or so only to pay the healthcare nut without being strained

>Current $ = $1,204,000 in pre-tax 401k/Vangaurd...stock-bond indexes & retirement savings trust funds....45 equities/30 broad bonds/25 low risk funds, trusts.......I know, light on stocks but I sleep well..also want to avoid sequence of risk returns

> $16k in current 401k Roth/ Fidelity 2015 retirement fund

> $17k in TRowe emerging market bond fund (after tax IRA)

> $135k standard savings acct / emergency.. maybe to much, but again I sleep well

> Pension kicks in at 62 of $18,000 yr (non cola) another at 65 of $5100 yr (non cola)

> Plan to take one SS at 62 ( $21k est) the other at 65/67 of ($24,000)

> FIRECALC has us 100% good on varying scenarios.

> Also, primary house will be paid for in 1.2 years / Gulf condo already paid for and will sell primary in about 4 yrs & move, when last kid exists college (fully paid college, pre-paid college trust) The primary is about $400k assessed value this year but have not included that anywhere here.

> Big concern is healthcare estimate but, part time work should help mitigate that expense.....both very healthy runners/gym rats...

Your collective comments and viewpoints are welcome to see if we have missed anything, suggested investment comments, etc. Thanks in advance
__________________
hammockman
gregory r. is offline   Reply With Quote
Join the #1 Early Retirement and Financial Independence Forum Today - It's Totally Free!

Are you planning to be financially independent as early as possible so you can live life on your own terms? Discuss successful investing strategies, asset allocation models, tax strategies and other related topics in our online forum community. Our members range from young folks just starting their journey to financial independence, military retirees and even multimillionaires. No matter where you fit in you'll find that Early-Retirement.org is a great community to join. Best of all it's totally FREE!

You are currently viewing our boards as a guest so you have limited access to our community. Please take the time to register and you will gain a lot of great new features including; the ability to participate in discussions, network with our members, see fewer ads, upload photographs, create a retirement blog, send private messages and so much, much more!

Old 01-25-2017, 12:28 PM   #2
Full time employment: Posting here.
 
Join Date: Oct 2014
Posts: 982
Quote:
Originally Posted by gregory r. View Post

> FIRECALC has us 100% good on varying scenarios.
FIRECalc? Ha. What do they know?

On a serious note: 85K expenses. Seems a bit high for a soon to be paid off mortgage. You have some interesting sequences there with retiring, then working part time then paying off mortgage, etc... Hopefully you have some flex in there. I guess since you are a self proclaimed gym rat you could always get a part time job there.
__________________
-Big Dawg-FI since 9/2010. Failed ER in 2015. New target 2021.-

-"Blow that dough"-Robbie

" People say I'm lazy, dreaming my life away Well, they give me all kinds of advice designed to enlighten me When I tell them that I'm doing fine watching shadows on the wall "Don't you miss the big time, boy. You're no longer on the ball" -John Lennon-
Bigdawg is offline   Reply With Quote
Old 01-25-2017, 12:56 PM   #3
Thinks s/he gets paid by the post
 
Join Date: Oct 2012
Location: Colorado Mountains
Posts: 3,053
Hope all works out according to your plan. From comments on this board, it does for quite a few folks in similar situations. It didn't for me. My son is still plugging away at college. He will not be done before his seventh year. My additional costs will be over $100k including direct costs and now guarantees for loans to help him complete his degree. I have more than enough in cash accounts to cover those unforeseen expenses so it is not a burden. From your available funds, I would guess the same would be true for you.
Hermit is offline   Reply With Quote
Old 01-25-2017, 03:10 PM   #4
Dryer sheet aficionado
 
Join Date: Jun 2014
Posts: 41
Bigdawg, thanks for the reply. The mortgage as noted above will be paid off prior to retiring so good there. The $85k initially takes into account the two residences (for safety sake) once we sell the primary in about 4 years those expenses will come down a good deal.
__________________
hammockman
gregory r. is offline   Reply With Quote
Old 01-25-2017, 03:41 PM   #5
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
pb4uski's Avatar
 
Join Date: Nov 2010
Location: Sarasota, FL & Vermont
Posts: 29,438
You look all set to me... why wait?

Health care costs have been good for us... health insurance premiums have been lower than what I planned for when I retired (in fact, much lower) and claims have been close to nil as luckily we have both been healthy. I concede that could change on short notice (have had two BIL's one from each side in the hospital recently for heart ailments) but so far, so good. Obviously, YMMV.
__________________
If something cannot endure laughter.... it cannot endure.
Patience is the art of concealing your impatience.
Slow and steady wins the race.

Retired Jan 2012 at age 56...target 65/35/0 AA TBD
pb4uski is offline   Reply With Quote
Old 01-25-2017, 07:23 PM   #6
Thinks s/he gets paid by the post
 
Join Date: Jul 2015
Posts: 1,030
Quote:
Originally Posted by gregory r. View Post

> Also, primary house will be paid for in 1.2 years / Gulf condo already paid for and will sell primary in about 4 yrs & move, when last kid exists college (fully paid college, pre-paid college trust) The primary is about $400k assessed value this year but have not included that anywhere here.
Looks reasonable given that you are close to paying off the primary house. If or when you sell, you'll obviously look even better. I like the idea of selling the house in 4 years. If you announce that to the kids, maybe they'll get the hint that it won't be fun to move back in if "things don't work out" after graduation.

Regarding asset allocation, I've been FIRE'd about 2 years and hold 50% equities, similar to you. I also hold about 1.5 to 2 years in a 1% online savings account. I'm planning to creep upwards to about 60% equities over the next decade, but I'm starting at 50% to defend against the risk of a poor sequence of returns early on.

Nice w*rk and welcome aboard. So what are you going to do with all your spare time??

FB
__________________
Living the dream...
FreeBear is offline   Reply With Quote
Old 01-26-2017, 07:44 AM   #7
Dryer sheet aficionado
 
Join Date: Jun 2014
Posts: 41
Thanks pb4uski & FreeBear - Luckily the other kids are grown and gone with homes of their own, just the one left. Luckily the pre-tax 401k allows the 55 Rule and we will watch the equity stake but plan to up that exposure like yourself after a couple years of seeing how it goes.


No other consumer debt so only operational costs. As for the spare time, the "next phase of life" condo is right in St Pete Beach and we're both beach people, paddleboards, etc. and I love to fish. Lot's of Florida Keys road trips I think
__________________
hammockman
gregory r. is offline   Reply With Quote
Old 01-26-2017, 07:57 AM   #8
Thinks s/he gets paid by the post
euro's Avatar
 
Join Date: Oct 2015
Posts: 1,599
As pb4uskinsaid: looks like you are ready NOW - best wishes!
euro is offline   Reply With Quote
Old 01-26-2017, 11:24 AM   #9
Dryer sheet aficionado
 
Join Date: Jun 2014
Posts: 41
Thanks to all for the commentary
__________________
hammockman
gregory r. is offline   Reply With Quote
Old 01-28-2017, 09:36 AM   #10
Thinks s/he gets paid by the post
 
Join Date: Dec 2010
Location: USA
Posts: 1,003
Congrats - You look to be in good shape. You have good cash flow (pension and SS) at age 62 ($39k) and 65 ($124k). You don't need to work part time if you don't want too.
Aiming_4_55 is offline   Reply With Quote
Old 01-28-2017, 11:02 AM   #11
Thinks s/he gets paid by the post
street's Avatar
 
Join Date: Nov 2016
Posts: 4,583
You are a lucky man and worked hard to get where you are at.
street is online now   Reply With Quote
Reply


Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)
 
Thread Tools Search this Thread
Search this Thread:

Advanced Search
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off


Similar Threads
Thread Thread Starter Forum Replies Last Post
Replace windows with triple pane or double pane? Asher Aion Life after FIRE 24 04-29-2016 12:12 PM
Double and triple-dipping kgtest FIRE and Money 15 06-06-2015 02:16 PM
Double long (leveraged) and Triple long (leveraged) funds... moneymaker FIRE and Money 19 04-23-2015 02:50 AM
Double/triple Coupons: Where do they take them? Orchidflower Other topics 5 07-22-2009 05:43 AM
Mortgage Question: Need a double-check Peaceful_Warrior Young Dreamers 5 08-24-2007 01:47 PM

» Quick Links

 
All times are GMT -6. The time now is 05:04 PM.
 
Powered by vBulletin® Version 3.8.8 Beta 1
Copyright ©2000 - 2021, vBulletin Solutions, Inc.