Flyfish1
Recycles dryer sheets
Covid took a serious bite out of my income (-45% last year) and poor recovery thus far this year (YTD -20%) and hence we are having to change plans and struggling with some decisions. I'm tired of working. The original plan was to retire at 60 keep two homes for many years and then drop to one as we aged, and have a modest boat. Well now that won't work unless I work until I'm in my mid 60's , assuming good recovery of income.
We have realized we love boating and want to spend the first part of retirement boating as much as we can. We just downsized 18 mo ago and the second home is by the water and our boat.
Here's where we stand:
Primary home : $800K , no debt
Secondary home : $1M, $500K mortgage.
401K : $2.4M
Taxable acct. $2.15
HSA: :125K
Biz equity 1: $300K ( paid over 5 years)
Biz equity 2: $400K ( paid over 4 years)
Cash value Life Insurance : $925K (in one scenario- pays $45K per year at age 60, no COLA, until age 95)
SS @ age 67: $34K me, $17K wife.
Kids are out of college, so weddings and a bit for house down payment.
Left over 529: $200K - grandkids?
I'm ready to pull the plug in one year, but will be 58 1/2. My wife really likes this place and wants me to work to 59 1/2. In either case we would sell here, pay off the secondary, buy a bigger boat and would likely take a boat mortgage out to be paid off in 4 years from the 2nd biz equity. Also biz buy outs are tied to EBITDA and may improve over time?
I believe I could access the 401K at 58 1/2 if I leave it with my employer and then roll it over to an IRA at age 59 1/2 ?? Just read about the rule of 55. Planned expenses are $200K/yr.
Thoughts?
(Yes , I have run FIRE calc, extended I-orp, Ultimate Retirement Calc, flexible retirement planner))
We have realized we love boating and want to spend the first part of retirement boating as much as we can. We just downsized 18 mo ago and the second home is by the water and our boat.
Here's where we stand:
Primary home : $800K , no debt
Secondary home : $1M, $500K mortgage.
401K : $2.4M
Taxable acct. $2.15
HSA: :125K
Biz equity 1: $300K ( paid over 5 years)
Biz equity 2: $400K ( paid over 4 years)
Cash value Life Insurance : $925K (in one scenario- pays $45K per year at age 60, no COLA, until age 95)
SS @ age 67: $34K me, $17K wife.
Kids are out of college, so weddings and a bit for house down payment.
Left over 529: $200K - grandkids?
I'm ready to pull the plug in one year, but will be 58 1/2. My wife really likes this place and wants me to work to 59 1/2. In either case we would sell here, pay off the secondary, buy a bigger boat and would likely take a boat mortgage out to be paid off in 4 years from the 2nd biz equity. Also biz buy outs are tied to EBITDA and may improve over time?
I believe I could access the 401K at 58 1/2 if I leave it with my employer and then roll it over to an IRA at age 59 1/2 ?? Just read about the rule of 55. Planned expenses are $200K/yr.
Thoughts?
(Yes , I have run FIRE calc, extended I-orp, Ultimate Retirement Calc, flexible retirement planner))
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