Hello from ShowMe

[KB203]

Hi everyone. I'm just starting to evaluate if I can or should retire.
I have these assets:
- $725k in traditional IRA
- $22k in Roth IRA
- $47k in pension fund
- my home and 3 rental houses valued at $707k with annual income $34k and no debt
- business/land valued at $1M with $430k debt (I could start drawing a $12-$24k dividend)
- savings/liquid assets of $160k
I'm nearly 57 and could draw $2500 monthly SS @ 62 and Wife is nearly 56 with $800 mo SS @ 62

I've been thinking of early IRA withdrawal to retire in October 2021 to cover the gap years and take early SS at 62.

My expenses are max $50k annual could squeeze down to $35k if needed to or bump to $60k to do some travelling abroad if thats an option given covid situation.

I confident I have the assets to retire if I liquidate assets but would like to leave some assets for my kids when our times up.

Glad to meet you all and welcome your thoughts.

KB

 

[JeffyD]

Have you run your numbers through Firecalc and I-ORP site? I think that these tools both allow you to specify an end balance, and analyze your withdrawals to keep a balance at the "end of your plan". God, I hate that expression.

 

[Luvtoride]

Hi KB,
Welcome. Sounds like you have certainly done plenty of planning for RE. Good for you.
I’m sure others here will chime in with specific recommendations but it sounds to me you have a good base to start this chapter of your life. As long as you structure your AA in a way to meet your cash flow needs and to grow your substantial net worth for the long haul, I’d say you will be more than fine.
Congrats again and keep us posted.

Brian

 

[KB203]

Where do I find the I Orp?

 

[tmm99]

Where do I find the I Orp?

i-orp.com

 

[Edwalelah]

Hi! Welcome to our community~

 

[VanWinkle]

Welcome KB!! Look at the results with you delaying SS to full retirement(67) and age 70 just to see another plan that maximizes your floor income. I think you should do well either way, but that might increase the amount left to the kids.

VW

 

[Romer]

It looks like you are using your benefit and your wifes SS benefit. Hers is significantly less than yours. She could instead file for Spousal benefits off of yours and collect 50% of your value. Which means the longer you wait to file that both your payments go up. There are rules if she collects earlier. You should read the rules and understand how spousal benefits work

 

[Sunset]

Won't you have to pay an extra 10% tax penalty to withdraw from your IRA prior to 59.5

Might be better to use savings or sell 1 rental instead.