Desertdawg
Confused about dryer sheets
Me, 58 in August. Laid off my job of 15 years to due a sale in November 2017. I was retained for 1 year then unexpectedly laid off November 2018. New ownership was difficult to work for so I was relieved as a great job was made way too stressful. Difficult time finding decent paying work in my locale, outside sales and sales management. Spent the past 6 months skiing 5 days per week. So much fun!! Actively looking for work as well. I’ve had interviews but I have not shown much interest because the jobs either pay 40% - 60% of what I previously made, want me to work in an office, I have not done this in 18 years, or in industries I have no desire to work in.
Wife, 63 in August. Retiring June 30.
Current retirement savings.
Me
· $270K 401(k) 80% stock 20% bonds @ Fidelity
· $40K Roth IRA Schwab Intelligent portfolio
· $60K IRA Schwab Intelligent portfolio
$370K total
Wife
· $180K 457(b) 80% stock 20% bonds
· $190K TSP 80% stock 20% bonds
· $21K IRA Schwab – 100% stocks
Plan is to move the balance of wife’s 457(b) into TSP in June. Started paperwork this week.
$390K Total
Family retirement total $760K
Other cash
Cash in checking/Savings $92K
Non retirement stocks $98K
Total retirement/ cash assets $950K
Home value $400K - $34K owed = $366K
Wife receives $2100 per month pension with 50% survivor benefit effective July 1. Very generous COLA adjustments for life.
We both plan to take SS at 67
Me 2028 $30K annually
Wife 2023 $15K annually
Debt
· $34K house. Loan at 3.785% currently paying $1550 per month including tax and insurance. Payoff in 29 months. My piece of mind plan would be to pay this off upon retirement thus lowering monthly expenditures.
$30K on a car, $600 per month. Purchased in April 2018. Job paid car allowance so we purchased a new car as I drove 30,000 plus miles per year and my previous car was 12 years old. Loan is 2.9%. Can likely sell for $30K but would still need a car. Probably need to spend $20K for a used replacement.
My idea to payoff house is to lower monthly expenses, I have every penny earned/spent in Microsoft Money since 1997 so I know our expenses.
Non-discretionary expenses, including car payment but no house payment but including taxes and insurance
· $70K before taxes
Wife wants to travel so if we match our typical annual vacation expenses need $86K before taxes.
I’ve run Firecal, multiple scenarios, with all parameters entered. I get 100% success rate for 30 years at $88K annually. I’ve worked with both Fidelity and Schwab advisors and they both agree though both say do not pay off the house. Not paying off the house would require pre-tax income of $111K for 29 months then $86K annually.
Health insurance is $300 per month until Medicare as wife is a retiring Fed.
All child-rearing is complete.
Should I join my wife in retirement, or her join me or continue to search for work and put in 2-3 more years?
Wife, 63 in August. Retiring June 30.
Current retirement savings.
Me
· $270K 401(k) 80% stock 20% bonds @ Fidelity
· $40K Roth IRA Schwab Intelligent portfolio
· $60K IRA Schwab Intelligent portfolio
$370K total
Wife
· $180K 457(b) 80% stock 20% bonds
· $190K TSP 80% stock 20% bonds
· $21K IRA Schwab – 100% stocks
Plan is to move the balance of wife’s 457(b) into TSP in June. Started paperwork this week.
$390K Total
Family retirement total $760K
Other cash
Cash in checking/Savings $92K
Non retirement stocks $98K
Total retirement/ cash assets $950K
Home value $400K - $34K owed = $366K
Wife receives $2100 per month pension with 50% survivor benefit effective July 1. Very generous COLA adjustments for life.
We both plan to take SS at 67
Me 2028 $30K annually
Wife 2023 $15K annually
Debt
· $34K house. Loan at 3.785% currently paying $1550 per month including tax and insurance. Payoff in 29 months. My piece of mind plan would be to pay this off upon retirement thus lowering monthly expenditures.
$30K on a car, $600 per month. Purchased in April 2018. Job paid car allowance so we purchased a new car as I drove 30,000 plus miles per year and my previous car was 12 years old. Loan is 2.9%. Can likely sell for $30K but would still need a car. Probably need to spend $20K for a used replacement.
My idea to payoff house is to lower monthly expenses, I have every penny earned/spent in Microsoft Money since 1997 so I know our expenses.
Non-discretionary expenses, including car payment but no house payment but including taxes and insurance
· $70K before taxes
Wife wants to travel so if we match our typical annual vacation expenses need $86K before taxes.
I’ve run Firecal, multiple scenarios, with all parameters entered. I get 100% success rate for 30 years at $88K annually. I’ve worked with both Fidelity and Schwab advisors and they both agree though both say do not pay off the house. Not paying off the house would require pre-tax income of $111K for 29 months then $86K annually.
Health insurance is $300 per month until Medicare as wife is a retiring Fed.
All child-rearing is complete.
Should I join my wife in retirement, or her join me or continue to search for work and put in 2-3 more years?
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