FIREd Oct 2012 at Age 49
Hello. I joined this ER community a while ago and have been reading many of the posts. Thought it would be good to toss in my “Hi, I am…” post. The discussion threads here are very interesting, and I’m looking forward to learning from this group.
Background:
Married 16 years. DW is 52. Both of us have enjoyed MegaCorp careers. We have one son, age 15. We now live in CT. Annual household expenses $175 – 200K, excluding income taxes. Non-COLA DB pensions will start at age 60 for each of us: DW $7K per month, mine $18K per month. Until then, expect expenses will be covered by portfolio withdrawals of <3% (inclusive of income taxes), primarily from deferred compensation payouts.
Portfolio allocation (60% tax-advantaged, 40% taxable accounts):
Cash 6%
US Stocks 75%
Foreign Stocks 6%
Bonds 9%
Other 4% (alternative investments)
Factoring in PV of future pension income bumps bond allocation to >30%. Five years left on remaining mortgage balance of $137K. No other debts.
Concerns include:
1) future rate of inflation / healthcare costs
2) future taxes on income / wealth
3) ability / willingness of MegaCorp to make good on its pension obligations
Any comments or feedback would be welcomed.
Hello. I joined this ER community a while ago and have been reading many of the posts. Thought it would be good to toss in my “Hi, I am…” post. The discussion threads here are very interesting, and I’m looking forward to learning from this group.
Background:
Married 16 years. DW is 52. Both of us have enjoyed MegaCorp careers. We have one son, age 15. We now live in CT. Annual household expenses $175 – 200K, excluding income taxes. Non-COLA DB pensions will start at age 60 for each of us: DW $7K per month, mine $18K per month. Until then, expect expenses will be covered by portfolio withdrawals of <3% (inclusive of income taxes), primarily from deferred compensation payouts.
Portfolio allocation (60% tax-advantaged, 40% taxable accounts):
Cash 6%
US Stocks 75%
Foreign Stocks 6%
Bonds 9%
Other 4% (alternative investments)
Factoring in PV of future pension income bumps bond allocation to >30%. Five years left on remaining mortgage balance of $137K. No other debts.
Concerns include:
1) future rate of inflation / healthcare costs
2) future taxes on income / wealth
3) ability / willingness of MegaCorp to make good on its pension obligations
Any comments or feedback would be welcomed.