OutdoorsNW
Confused about dryer sheets
- Joined
- Oct 16, 2013
- Messages
- 1
I’ve been watching from the weeds for about nine months and have finally joined the forum. I’m excited to find a group of kindred spirits.
I’m hoping to partially ER in about a year and I’m trying to make sure I’m not missing something I need to know or think about.
I am currently 54 and my husband is 64. We have no children. He has been retired for about 13 years and draws two pensions, both of which increase each year by almost the amount of CPI. (About 80% of the pension income will be available to me as a survivor benefit if necessary.) He will take social security at FRA. I plan to work part time until I’m 62 when I will take social security. Our basic living expenses (food, shelter, insurance, health care and taxes) are a little more than covered by the pensions and my husband’s social security. We own our home and have no debt.
To maintain our current lifestyle, we will initially need to withdraw 3% or less from our retirement assets, first from taxable accounts (about 15% of our assets, good for about six or seven years by my estimate) and then tax deferred, and shouldn’t have the need for a 4% withdrawal rate until I’m at least 70. I have run our scenario through a number of retirement calculators and get a green light on all of them. The biggest, scariest unknown, of course, is health insurance.
I know about recommended SWR, sequence of returns risk, RMD and early withdrawal penalties on tax deferred accounts, taxability of SS benefits, and enough to put together a “couch potato” portfolio to keep investing expenses as low as possible. I need to learn more about how to create an income stream, though I’ve done some reading on the subject. What other things should I be considering? Is there something major that I’m missing in my planning process?
Thanks in advance for your thoughts.
I’m hoping to partially ER in about a year and I’m trying to make sure I’m not missing something I need to know or think about.
I am currently 54 and my husband is 64. We have no children. He has been retired for about 13 years and draws two pensions, both of which increase each year by almost the amount of CPI. (About 80% of the pension income will be available to me as a survivor benefit if necessary.) He will take social security at FRA. I plan to work part time until I’m 62 when I will take social security. Our basic living expenses (food, shelter, insurance, health care and taxes) are a little more than covered by the pensions and my husband’s social security. We own our home and have no debt.
To maintain our current lifestyle, we will initially need to withdraw 3% or less from our retirement assets, first from taxable accounts (about 15% of our assets, good for about six or seven years by my estimate) and then tax deferred, and shouldn’t have the need for a 4% withdrawal rate until I’m at least 70. I have run our scenario through a number of retirement calculators and get a green light on all of them. The biggest, scariest unknown, of course, is health insurance.
I know about recommended SWR, sequence of returns risk, RMD and early withdrawal penalties on tax deferred accounts, taxability of SS benefits, and enough to put together a “couch potato” portfolio to keep investing expenses as low as possible. I need to learn more about how to create an income stream, though I’ve done some reading on the subject. What other things should I be considering? Is there something major that I’m missing in my planning process?
Thanks in advance for your thoughts.