Now what?

SecondCor521

SecondCor521

Give me a museum and I'll fill it. (Picasso) Give me a forum ...
Joined
Jun 11, 2006
Messages
7,889
Location
Boise
Lord willin' and the creek don't rise, I'll be running out of financial goals soon:

Got a good payin' job? Check.
Adequate life insurance? Check.
6 month emergency fund? Check.
Own a home? Check.
No debt other than the mortgage? Check.
Refi the mortgage lately? Check.
Max out 401k match? Check.
Kids' college funds taken care of? Check.
Max out the Roth? Check.
Heading towards FIRE at a fast enough clip? Check.

Now what?

I could increase the emergency fund more, but 6 months seems like enough when the longest it has taken me to find a job in the last decade has been 4 months.

I could pay down the house more, but with a 4.625% fixed interest rate 15 year mortgage, planning to itemize for the indefinite future, decent equity and no real plans to move, doesn't seem especially urgent either.

I could buy stuff, but after been hyper-frugal for the past 4 years (and merely a cheap b*stard before that) I don't really want to.

Maybe I'll add to the taxable account.

Suggestions?

2Cor521
 
You really need a midlife crisis. A pony tail, a red Corvette and a 20 year old girlfriend. :LOL:
 
Since everything is checked in the finance side, how about spending more time on leisure?
 
It sounds like you have reached that convergence of time and money: save now (it's not a sin to save post-tax money given the likelihood of higher future taxes) and you can either FIRE earlier or else enjoy a higher income and level of financial security when you do retire.

In a sense, it's as simple as that if I understand your situation correctly.
 
Make sure you stay healthy. Eat healthy, exercise, and preventive healthcare. That takes a bit of education and execution as well.

Estate planning. You should have a will and maybe a revokable trust. Healthcare directives. Make sure you have beneficiaries named for everything. Make sure your executor can find all the needed documents and accounts. Make sure your family can handle the finances without you there to help them. Make sure your finances hold up if you are married and only one of you dies, probably reducing Soc Sec, and increasing taxes to the higher single rate.

Think about what might happen to investments if debt starts taking down developed countries, US state governments, and US governemt programs like Soc Sec and Medicare while raising taxes and inflation. What if China and the US start fighting for resources? Can you be flexible with your retirement timing and income? Always plenty to worry about!
 
Bake more cookies!

Amethyst
 
Animorph said:
Make sure you stay healthy. Eat healthy, exercise, and preventive healthcare. That takes a bit of education and execution as well.

Estate planning. You should have a will and maybe a revokable trust. Healthcare directives. Make sure you have beneficiaries named for everything. Make sure your executor can find all the needed documents and accounts. Make sure your family can handle the finances without you there to help them. Make sure your finances hold up if you are married and only one of you dies, probably reducing Soc Sec, and increasing taxes to the higher single rate.

Think about what might happen to investments if debt starts taking down developed countries, US state governments, and US governemt programs like Soc Sec and Medicare while raising taxes and inflation. What if China and the US start fighting for resources? Can you be flexible with your retirement timing and income? Always plenty to worry about!
Click to expand...

Good advice.

Since you are only about 3 years from your target retirement year do you have good plans about what you want to be doing in retirement? In our case we wanted to live much closer to the kids so we spent time and money firming up where we wanted to live, what club(s) we wanted to join etc.
 
What Animorph says. You are in a good spot now and you have choices which can safety proof your FI. In your position I would enhance my financial security by adding to the taxable account.
 
Thanks to all for the suggestions, especially the girlfriend and cookies ideas. I'll let those ideas simmer for a bit :)

Kinda already had the midlife crisis a few years ago, but it wasn't really the fun kind...got divorced and got an MBA.

Good idea to work on the health. That's not my best feature right now...lots of work and no girlfriend = a few extra pounds and who cares?

Have the estate planning stuff all done. Will, healthcare directive, letter of instruction updated regularly...check, check, check.

I think my max 401k contribution is $16,500 -- I'm too young to do the catchup thing. I think the $41,000 number is for a different kind of savings plan -- SEP or Keogh or one of those others.

2Cor521
 
SecondCor521 said:
Now what?

I could increase the emergency fund more, but 6 months seems like enough when the longest it has taken me to find a job in the last decade has been 4 months.

I could pay down the house more, but with a 4.625% fixed interest rate 15 year mortgage, planning to itemize for the indefinite future, decent equity and no real plans to move, doesn't seem especially urgent either.

I could buy stuff, but after been hyper-frugal for the past 4 years (and merely a cheap b*stard before that) I don't really want to.

Maybe I'll add to the taxable account.

Not a bad idea

Suggestions?

2Cor521
Click to expand...

Give some away?
(not to me)
Click to expand...
 
Last edited:
SecondCor521 said:
Good idea to work on the health. That's not my best feature right now...lots of work and no girlfriend = a few extra pounds and who cares?
Click to expand...
Actually, having no girlfriend is a very strong reason to stay in shape. Like most things, holding on to an incumbency is easier and more certain than creating a new relationship.

Usually your existing girlfriend will put up with some flab out of inertia, love, or whatever. But when you go to meet someone new, she just might put the calipers to you. :)

Ha
 
Ha = resident girlfriend expert!
:LOL:
 
SecondCor521 said:
Kinda already had the midlife crisis a few years ago, but it wasn't really the fun kind...got divorced and got an MBA.



2Cor521
Click to expand...


That wasn't a mid life crisis just a crisis . A midlife crisis is more fun and you deserve fun . You are at the prime of your life and have done a great job with your kids and your financial life so it is time for SCor521 to spread his wings .
 
Wow....good for you! Invest/spend on hobbies that will benefit your health and provide some fun. It will help prime you for ER.
 
Hey, I remember you mentioned the desire to live a simple life in a teardrop trailer once you retire. How about getting one now to enjoy it on weekends or vacation? A guy needs something to keep busy on, and a travel trailer is just as good a thing as any.
 
Ya......Time to work on you! Join a gym and get a few sessions with a personal trainer....get fit...It makes everything better! And a relationship would be nice and fun, too.....Not a twenty year old.....someone within 7 years younger to 5 years older.....more to connect with and talk about....make sure your energy levels are the same and you have some common interests to share and do.......
 
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