Hello! This site is awesome! I am a single 40 year old with no kids and have the desire to return at 50. 55 is probably more realistic but might as well set my goals high.
Own house with about 135K left on the mortgage. Value is probably around 220K.
~525K in 401K - max it out yearly
~325K in a gift trust that is parked in a single mutual fund that is doing well. I am currently able to access around 50K of the $.
~3,600 in a REIT Index fund (Vanguard of course!). making $100 contributions monthly
~160K in Roth. Mixture of stocks and mutual stocks. max out yearly.
~47K in non-tax advantaged account with stocks and mutual funds
Grand total of all these accounts is a little over 1M. (I am not counting the house in my calculations)
91K emergency fund (some set aside for next car, vacation, etc.)
I make around 93K a year.
Live in the Northeast. No plans to relocate to a more expensive area.
For my 401K 40% is in a mid cap value fund, 40% is in a small growth fund and 20% is in a foreign mutual fund,
The gift trust is one mutual fund. It's a large growth fund. I can touch about 50K of the 325K but the fund has done well over the years so I have left it alone.
Roth is composed of:
35% Vanguard small cap index
12% Southwest Airlines (LUV)
8% Vanguard total stock market index
and other stocks and mutual funds of less significant amounts of the total portfolio. One being a Fidelity Target fund (Freedom Index 2035 Investor) with the idea that I would slowly start moving most of my holdings to that fund.
The non-tax advantaged account is composed of the following:
44% Vanguard small cap index
21% Berkshire Hathaway B
I believe that I have generally done well with my individual holdings but I like not having to watch my investments which is why I am heavily weighted in funds. I think that I should probably shift to a simpler portfolio. I know that I probably have too much going on in my Roth which is where I used to "play the market" but now that I want to retire in 10 years I am much more serious about it and want to make sure that I am doing the right thing. A 75 stock index/25 bond index might be the way to go at this point. I would love to hear your comments about my current situation and how you think I should change it.
I really want to retire at 50 and FireCalc says that I will be living off around 70K if I retire at 50. That is totally acceptable to me. I am expecting to get an inheritance sometime within the next 2 to 5 years between 200K to 400K after taxes. With the inheritance I figure that I should get able to get there quickly provided we don't have a down market. I am going to also get some additional money from company stock and a pension fund. I feel like I have typed a novel, but I wanted to provide as much information as possible so that you could provide better advice. Thank you.
-Are we there yet?