I wanted to re-post since I have updated information based on your feedback/questions:
46 and 4 months (LOL) – Married with 2 Kids
Assets/Income Streams/Benefits
- Primary Residence – Mortgage Will be Paid off September 2017 (400K Equity)
- $1M - 401K/Traditional IRA’s
- 15K – Taxable Account
- 60K – Emergency Fund (AFTER mortgage Payoff)
- Pension - 6K/Year (could take beginning at age 50), 12K/Year (if I start at 60) – not large but I believe it’s secure
- Social Security – Both calculated assuming we work until 50 and take early at 62 ($1,674+$1,900=$3,574)
- Medical – I qualify for retiree medical if can make it to 51.5 – cost would be 2K month for a family – has been tinkered with in the past and I would expect more changes so not sure this is worth staying an extra 1-2 years
Based on where we are at, I was thinking of doing the following, primarily to increase our financial flexibility and avoid 72T/RMD’s, if possible:
- Targeting savings of 100-120K/year for the next 3-5 years into Taxable Accounts, primarily focused on building a passive income stream.
- Both kids in reasonably good shape with 529’s – one entering Jr. Year (only Sr. Year will be pay as we go, 30K) / younger HS soph – 70K saved
- Minimum 401K to get the Full Company Match
In 3-5 years, we would like to move to lower COLA area with activities that we enjoy (maybe Colorado, Utah, Idaho) and downsize – I would expect we would pick up 100K in doing so...smaller place but on a lake, hopefully
Looking for advice on strategy for the next few years – sound doable or am I daydreaming?
Thank You.
46 and 4 months (LOL) – Married with 2 Kids
Assets/Income Streams/Benefits
- Primary Residence – Mortgage Will be Paid off September 2017 (400K Equity)
- $1M - 401K/Traditional IRA’s
- 15K – Taxable Account
- 60K – Emergency Fund (AFTER mortgage Payoff)
- Pension - 6K/Year (could take beginning at age 50), 12K/Year (if I start at 60) – not large but I believe it’s secure
- Social Security – Both calculated assuming we work until 50 and take early at 62 ($1,674+$1,900=$3,574)
- Medical – I qualify for retiree medical if can make it to 51.5 – cost would be 2K month for a family – has been tinkered with in the past and I would expect more changes so not sure this is worth staying an extra 1-2 years
Based on where we are at, I was thinking of doing the following, primarily to increase our financial flexibility and avoid 72T/RMD’s, if possible:
- Targeting savings of 100-120K/year for the next 3-5 years into Taxable Accounts, primarily focused on building a passive income stream.
- Both kids in reasonably good shape with 529’s – one entering Jr. Year (only Sr. Year will be pay as we go, 30K) / younger HS soph – 70K saved
- Minimum 401K to get the Full Company Match
In 3-5 years, we would like to move to lower COLA area with activities that we enjoy (maybe Colorado, Utah, Idaho) and downsize – I would expect we would pick up 100K in doing so...smaller place but on a lake, hopefully
Looking for advice on strategy for the next few years – sound doable or am I daydreaming?
Thank You.