Looking to leave Alaska!

[mlpguy]

Hi , New to the forum and gathering info for retirement. After 27 years in Alaska my wife and I are contemplating an early retirement. We have not spent enough time back in the "real world" to really get a handle on if we have enough put away to enjoy ourselves and be secure. I'm hoping some of you out there can enlighten us so, I will provide some details of where we are at financially.
I have a miltary pension worth $2500.00 a month and am eligible for a second defined benefit pension of $3500.00 per month. We currently have approximately $500k in savings and deferred compensation plans. My wife has no pension. We own our home outright and expect to sell it for around $325k. (conservative). No other indebtness. We own 24 acres in western North Carolina where we plan to build our retirement home and pay for it in cash in lieu of a mortgage.
Our medical benefits through the military aren't the best but, my second retirement medical benefits would kick in at 60 (three years) and are paid by the employer. Right now we are both in good health. I guess the big question in our mind as I know is in a lot of other others is, "How much is enough"! Thanks!

 

[Rambler]

Welcome mlpguy.

Indeed, how much? That really depends on how much you spend. It looks to me that you have $6k per month or $72k per year, without touching your nest egg. I'm pretty sure most people around these parts would say you are sittin' pretty. Our home is in California, and we will not be able to make it on 72k/yr but in the other location we are considering we would be just fine, to say the least. Add SS on top of that and a 4% SWR on the nest egg ($20k/yr, adjusted for inflation or the 95% rule), and you could easily have over $100k per year. We could do that even in our high property tax area of California and our desire to travel the states by RV or travel trailer.

So, what are your expenses now? When you know that, go online to cost of living calculator and see how it tests out for your future retirement home area. Check to see if your pensions are cola'd, diet-cola'd, or un-cola'd. The answers to these questions will help you figure out if you have enough.

Hope this helps. Good luck!

R