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Old 06-06-2017, 07:25 PM   #161
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I semiretired in 2015 and moved to Reno with a portfolio about 20x comfortable withdrawal (has about 30% slack).
We haven't withdrawn yet despite taking a considerable cut in income--I'm still working part-time online and DW is also working, so savings and investment returns now make the portfolio about 25x the planned withdrawal, with SS coming online in 6 years (so I can reduce the withdrawal rate if necessary then).
I'm telling DW she can quit next year if her bucket is full, but she first wants to meet with a planner for confirmation. The part-time work for my employer was possible, but not confirmed when I pulled the plug; I've been renewed for another 2 years, so if DW quits the withdrawal rate will be 1.5-2%. (I like working part-time on my own schedule, which keeps me out of too much mischief, but your mileage may vary.) Also, when DW reaches full SS age, SS will almost fund the minimum lean budget (80%), so I don't mind withdrawing at 4-5.5% for a few years before my SS kicks in.
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Old 06-07-2017, 09:01 PM   #162
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I was "poor" when I pulled the plug at 51. Didn't make any difference. I was going anyway. Had a defined pension and a necessity to enjoy time with my wife should she leave this world due to cancer. Only had $85K in my 401k, got two years salary when I left and medical insurance for "life". Thought I was in fat city. Here I am 29 years later, wife is a survivor, still with me enjoying life, portfolio has grown 8X due to good investments, real estate and luck. Never looked back but wouldn't recommend my method to anyone. As the old saying goes in golf, "I'd rather be lucky than good".
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How big was your nest egg when you FIRE'd?
Old 06-07-2017, 10:59 PM   #163
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How big was your nest egg when you FIRE'd?

Johnny great post thank you ! I too am close and hoping to jump but keep waiting for the boat to get closer to the dock. But how close wait to the boat is tied to the dock ?
So seeing other post like yours helps.

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Old 06-09-2017, 09:03 PM   #164
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How do you determine the value of your pension?
Look at how much it would cost to purchase an annuity on the open market with the same characteristics as your pension​. It's also a good way to determine whether you should take annual pension or a lump sum payment.
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Old 06-09-2017, 10:15 PM   #165
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Look at how much it would cost to purchase an annuity on the open market with the same characteristics as your pension​. It's also a good way to determine whether you should take annual pension or a lump sum payment.
Never thought of it that way but yeah that makes sense. So my pension is worth 710K & ability to sleep well at night.
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Old 06-09-2017, 10:43 PM   #166
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I was "poor" when I pulled the plug at 51. Didn't make any difference. I was going anyway. Had a defined pension and a necessity to enjoy time with my wife should she leave this world due to cancer. Only had $85K in my 401k, got two years salary when I left and medical insurance for "life". Thought I was in fat city. Here I am 29 years later, wife is a survivor, still with me enjoying life, portfolio has grown 8X due to good investments, real estate and luck. Never looked back but wouldn't recommend my method to anyone. As the old saying goes in golf, "I'd rather be lucky than good".
What a great story! You've long been one of my FIRE heroes.
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Old 06-10-2017, 07:11 AM   #167
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JOHNNIE36 >>>> you have done well and it just shows that if a person is disciplined it can be done. You really won the game and life went well for you and DW. Great story!
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Old 06-10-2017, 08:10 AM   #168
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Congratulations on you wife's good luck!
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Old 06-11-2017, 11:53 PM   #169
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+1 on wellness of your spouse


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Old 06-12-2017, 06:05 AM   #170
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Added total spending, federal and state income taxes; subtracted SS and small annuity income. The remainder indicates invested NW is about 115X. Why am I agonizing about labor to spread pine straw around the shrubs?
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Old 06-12-2017, 07:11 AM   #171
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Current savings + investments are 17X our target spending, including taxes. I will also have a pension and the high end of SS. Just waiting for one slight breeze to push me into retirement...
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Old 06-12-2017, 04:05 PM   #172
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Financial assets at fiscal year end (being 61 and 59 years old) will be 42x a very comfortable budget (which we have never actually lived, being newlyweds this coming fall) and 33x a luxury budget which I'm sure we won't spend in the early years. More money likely to be received before FYE, but not guaranteed, would take these multiples to 44x and 35x. SS and home are excluded. Health is good, but feeling exhausted from 35 years of grinding (42 to 44 years if counting educational grind). Never mind that the multiples would be 17 to 20x higher but for expensive, untimely divorces. Does anyone feel what we've got is "not enough" and that I or we should keep grinding away beyond FYE?

Post script: I do plan to keep working for pay, part-time, but haven't arranged it yet and am not 100% committed to such work for any particular duration, or at all; and it's not in these numbers. But even working part-time in my field, it would be hard to earn an amount much less than we spend. So it's a good hedge.
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Old 06-12-2017, 04:22 PM   #173
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Financial assets at fiscal year end (being 61 and 59 years old) will be 42x a very comfortable budget (which we have never actually lived, being newlyweds this coming fall) and 33x a luxury budget which I'm sure we won't spend in the early years. More money likely to be received before FYE, but not guaranteed, would take these multiples to 44x and 35x. SS and home are excluded. Health is good, but feeling exhausted from 35 years of grinding (42 to 44 years if counting educational grind). Never mind that the multiples would be 17 to 20x higher but for expensive, untimely divorces. Does anyone feel what we've got is "not enough" and that I or we should keep grinding away beyond FYE?

Post script: I do plan to keep working for pay, part-time, but haven't arranged it yet and am not 100% committed to such work for any particular duration, or at all; and it's not in these numbers. But even working part-time in my field, it would be hard to earn an amount much less than we spend. So it's a good hedge.
Sounds like you are set. Your issues are psychological not actual. Before rushing into PT why not commit to no work for a while and give it a chance. It took me two years to trust the math and not worry about it.
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Old 06-12-2017, 07:20 PM   #174
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I'm planning for infinity X

In almost exactly two years, God willing, the young wife and I will retire. At that time, our two pensions will cover our current day to day expenses. A year and a half after that, I'll start social security, and it will pay for our current level of vacation travel. We'll be able to sustain our current lifestyle (which is fairly luxurious, I think) without drawing a penny from the portfolio. Although I suppose we'll find a way to travel more.

As a backstop, in the event our pensions and SS should somehow disappear, our portfolio (assuming no crash between now and then) will support the same spending at a 4% withdrawal rate. It would be 3% if we sold the house and added it to the stash -- our property tax, insurance and maintenance would rent a pretty nice apartment.
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Old 06-13-2017, 08:48 AM   #175
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I went out with 38x expenses not including DW's pension. I do not include that as she uses that for our food and her "mad money".
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Old 06-13-2017, 11:17 AM   #176
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I should ask this question of myself, but... Why does one have significantly more than 25X expenses in ones stash? Several folks have mentioned 25X to 115X!! Asked another way, why not up the spending level so that the X is closer to 25?

If the time horizon is WAY beyond 30 years, then maybe significantly more than 25X is reasonable. Also, I suppose some want to leave a significant legacy. Others perhaps have visions of upping their spend later (for fun stuff). Still others may just be "making sure" - whatever that means. One of mine is planning for inflation OR long term care beyond the standard few years.

I think too (for me) it's that I just don't trust the numbers, no matter how many times I've gone through them (and they always say "you're gold!")

Any insights (or interest in this subject?)
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Old 06-13-2017, 11:22 AM   #177
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What's reasonable? Why does Warren Buffet still working? He certainly has more than 25x.
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Old 06-13-2017, 11:52 AM   #178
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For those that have waaaay more than they'll ever spend...your kids thank you. They'll be glad to spend it for you.
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Old 06-13-2017, 12:05 PM   #179
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What's reasonable? Why does Warren Buffet still working? He certainly has more than 25x.
I guess that's a category I hadn't thought of. Some folks think increasing the X factor is part of the game or and end in itself. Warren likes to make it. He doesn't like to spend it. Instead of "He who dies with the most toys - wins." It's "He who dies with the most X - wins." Of course, it's not "way more than 25X" with WB, it's way more than 250,000X, but YMMV.
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Old 06-13-2017, 12:15 PM   #180
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Or T.Boone Pickens:
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