Hello Jim,
I'm certainly not a financial expert, just another retired guy making ends meet but maybe some of the following might help.
Is your house included in your assets, if so that is not a very liquid asset. So if for example you have $1.5M in stock, cash, bonds etc, then with strategic planning & life expectancies etc you could plan on drawing down on your savings for lets say 25 years which would put you around 87 & wife around 90 of age if you worked for another two years.
You indicated you wanted to retain close to $100,000 per year income after retirement. Based on $1.5M you could probably draw down roughly $88,000 per year for 25 years if you earn
3.5% compounded annually and maybe another $12,000 per year on a reverse mortgage monthly payment of approx. $1000/mo (
forever as long as one of you live in your home) if your home has enough value & no debt. This amount added to your $88,000 drawdown would give you your $100,000 income. Remember though, you have a 25 year timeline on your savings draw unless you can earn higher interest rates. You would need to verify how much you could get with a Reverse Mortgage Calculator & completely understand the ramifications & benefis of this type of mortgage.
These are some of the financial exercises my wife and I are going thru as we retired last year at 62 & 63 and we're still working at putting everything into place. Like yourselves, we also do not have any children, so we are considering every option. By the way it is obviously important to maintain the highest rate of return you can get, but it is just as important if not more, not to lose your capital base...If you do, forget your dreams! We just placed a CD @ 4.5%. The CD is a 15 yr with 1-yr call. We decided that if the CD goes out until maturity we could live with that as we have other CD's earning good rates.
Anyways, this is getting to be way too long but below is a copy of a printout of your $88,000 per Year Payout from this great Savings Distribution Calculator.
You can the Savings Distribution Calculator here:
Savings Distribution Calculator - Financial Calculators from Dinkytown.net
Starting amount $1,500,000
Years you wish to make withdrawals 25 years
Periodic withdrawal from savings* $88,000 per year
Rate of return 3.50% compound annually
Total amount you will have withdrawn $2,197,405
Ending balance after 25 years = $0
Good luck to you Jim & do not lose your capital base! You're not a 30 year old anymore with decades left to recover. Also don't forget your wife goes onto Medicare in two years so that can take a burden off from her valid health care worries.