My initial thoughts and calculations did not take into account my husband’s pension as much as I think it should. We have budgeted expenses of $65-75K depending on travel. My SS estimates $25K at 63. He will be eligible for a university pension of $40K at 61 with a COLA. HE is also eligible for insurance to carry until 65. There is a cost, but it is low. We have $600K in investments and hope to have $1 mil by the time I retire in 2023. I will be 56 in 2023 and plan to retire. He will continue to work until 61 or 62 in 2024 or 2025.
I am using a 4% growth and 3% deduction from investments for budgeting purposes. (does that seem reasonable?) If I read all of the feedback on posts correctly, we only need the difference between budgeted expenses less his pension after his retirement. This is much less than I was thinking when you factor in SS when I turn 63. Not that it would lower our savings rate, but might help my transition to part time before 2023.
Is my understanding correct?
I am using a 4% growth and 3% deduction from investments for budgeting purposes. (does that seem reasonable?) If I read all of the feedback on posts correctly, we only need the difference between budgeted expenses less his pension after his retirement. This is much less than I was thinking when you factor in SS when I turn 63. Not that it would lower our savings rate, but might help my transition to part time before 2023.
Is my understanding correct?