ikubak
Recycles dryer sheets
- Joined
- Dec 2, 2007
- Messages
- 482
For all you folks who like to review other ER plans, I would appreciate any input. I was thinking of meeting with a guy I work out with to review my plan since my departure from the working world is getting close. He’s a financial planner, but I really can’t think of a better place to have my plan picked apart than right here in the ER forums.
Briefly, I’m 54 and DW is 59. We have no debt. The house and cars are paid for.
Below is a summary of liquid assets:
Cash 40K
Non-retirement ETFs 135K
IRA/401K (invested 70/30) 900K
Roth IRA 380K
SS and Pensions: currently not collecting anything but over the next 10 yrs, ss and pensions will rise to 50K/yr
Last year we spent about 45K and I consider that to be spending wildly. DW takes several trips a year with friends and together we made trips to San Diego, upstate NY, Napa/Sonoma County, and the Yucatan peninsula in the last twelve months. We could live off 30K/year or less if need be. So the way I look at it, our lifestyle will be close to fully funded by SS and pensions in 5-10 years.
DW has been retired for a few years and is loving life. I am semi-retired, and that gives us some spending $ and health insurance. If I fully retire, the biggest uncertainty is buying health insurance.
Here is the plan…RE at the end of this year. Since DW will be 59 ½ in July, we will move some funds out of her IRA up to the max of the 15% tax bracket. This will give us additional nonretirement funds to work with. Next year, if the current healthcare model is still an option, we could get a silver plan for $100/mo or less. We do this by living off a blend of 401k distributions and nonretirement funds so our MAGI is about 25K. We could keep doing this until DW is 65 and eligible for Medicare and then I would buy a health insurance policy for myself. The real question is what will happen with the US healthcare. If we paid full price from the healthcare marketplace, we would be looking at 15-18k/year. We could swing it but it wouldn’t be pleasant. Fortunately we are both in good health, need no medication, and get plenty of exercise.
Our plan is to stay put since we live in a low cost area of the US with lots to do and the house is paid for. If the health insurance issue in the US is unacceptable to us, we could rent our house out and expat south of the border for a few years. I am bilingual and have lived there before. I don’t expect us to do this, but it’s always good to have a plan B.
Anyone see any glaring errors in the plan or ideas for improvement?
Briefly, I’m 54 and DW is 59. We have no debt. The house and cars are paid for.
Below is a summary of liquid assets:
Cash 40K
Non-retirement ETFs 135K
IRA/401K (invested 70/30) 900K
Roth IRA 380K
SS and Pensions: currently not collecting anything but over the next 10 yrs, ss and pensions will rise to 50K/yr
Last year we spent about 45K and I consider that to be spending wildly. DW takes several trips a year with friends and together we made trips to San Diego, upstate NY, Napa/Sonoma County, and the Yucatan peninsula in the last twelve months. We could live off 30K/year or less if need be. So the way I look at it, our lifestyle will be close to fully funded by SS and pensions in 5-10 years.
DW has been retired for a few years and is loving life. I am semi-retired, and that gives us some spending $ and health insurance. If I fully retire, the biggest uncertainty is buying health insurance.
Here is the plan…RE at the end of this year. Since DW will be 59 ½ in July, we will move some funds out of her IRA up to the max of the 15% tax bracket. This will give us additional nonretirement funds to work with. Next year, if the current healthcare model is still an option, we could get a silver plan for $100/mo or less. We do this by living off a blend of 401k distributions and nonretirement funds so our MAGI is about 25K. We could keep doing this until DW is 65 and eligible for Medicare and then I would buy a health insurance policy for myself. The real question is what will happen with the US healthcare. If we paid full price from the healthcare marketplace, we would be looking at 15-18k/year. We could swing it but it wouldn’t be pleasant. Fortunately we are both in good health, need no medication, and get plenty of exercise.
Our plan is to stay put since we live in a low cost area of the US with lots to do and the house is paid for. If the health insurance issue in the US is unacceptable to us, we could rent our house out and expat south of the border for a few years. I am bilingual and have lived there before. I don’t expect us to do this, but it’s always good to have a plan B.
Anyone see any glaring errors in the plan or ideas for improvement?