RetireAbroadAt35
Dryer sheet aficionado
- Joined
- Jun 30, 2012
- Messages
- 48
I'm 34 and desirous of a life free from the tyranny of work. I'm willing, even excited, to live abroad to make that happen. I've done a fair bit of travelling and could adapt.
In any event, my real questions are about finances and investing. I don't really know what I should be doing but I'm pretty sure what I've been doing isn't quite right.
I need to do two things.
1) Rebalance my assets to not be so cash heavy
2) Model my retirement options and determine how much I need to retire
I'm an investment newb but I knew enough to live below my means and save as much as I could. After ten years working for a globalcorp, I amassed about $420k:
I set up automatic investments but I still ended up cash heavy. I should have done something about this but ... I didn't know what I wanted to do with that money.
Now I do. I want to retire. As soon as humanly possible. I plugged in some numbers to FireCalc and it gave me an 82% shot of making it for 60 years with $500k to start while withdrawing $20k a year to live on. That's enough for Mexico.
I could probably go back to work for two years and put another $100k in the bank. If that's what it would take I could suck it up and put my tie back on for a little while, but I need a plan.
At this point I'm not even sure what questions to ask so I'm just posting these notes as I struggle to figure out what to do.
In any event, my real questions are about finances and investing. I don't really know what I should be doing but I'm pretty sure what I've been doing isn't quite right.
I need to do two things.
1) Rebalance my assets to not be so cash heavy
2) Model my retirement options and determine how much I need to retire
I'm an investment newb but I knew enough to live below my means and save as much as I could. After ten years working for a globalcorp, I amassed about $420k:
- $103k in cash (mostly in ingdirect savings & CDs at pitiful interest rates)
- $34k in individual stock in the company I worked for
- $72k in Vanguard 500 Index Fund (VFIAX)
- $9600 in Vanguard Balanced Index Fund (VBINX)
- $168k 401k in Vanguard Target 2040
- $34k 401k in Vanguard Total Bond Mkt Index
- $2,700 Roth IRA in Vanguard Total Stock Market Index Fund (VTSMX)
I set up automatic investments but I still ended up cash heavy. I should have done something about this but ... I didn't know what I wanted to do with that money.
Now I do. I want to retire. As soon as humanly possible. I plugged in some numbers to FireCalc and it gave me an 82% shot of making it for 60 years with $500k to start while withdrawing $20k a year to live on. That's enough for Mexico.
I could probably go back to work for two years and put another $100k in the bank. If that's what it would take I could suck it up and put my tie back on for a little while, but I need a plan.
At this point I'm not even sure what questions to ask so I'm just posting these notes as I struggle to figure out what to do.