Can I financially retire when I turn 57?

F.I.R.E User said:
Mom gets max SSI $994 a month.
SNAP: $161.
Insurance food benefits: $181.
$0 premium Medicare/Medicaid. She has no deductible. Everything is 100% covered. She has no assets. If we need to put her in assisted care facility they would be 100% covered by Medicaid too.
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This one. Please respond.
 
The withdrawal rate on a 72t is dictated by the federal government. I last checked into this about 8 years ago, and the rate was about 2.5%.
 
I skimmed 3 pages in and didn't see anyone say, "No you can't financially retire at 47 with $1.18M. It sounds like you want to wait until 70 to collect SS. You have 23 years to 70. Firecalc would say you can live on $48k not $75k to $100K. If you work 7 more years, and if the market returns it's long term average, you should have closer to $2.4M, this will then generate much closer to your $75k to $100k.
 
Time2 said:
I skimmed 3 pages in and didn't see anyone say, "No you can't financially retire at 47 with $1.18M. It sounds like you want to wait until 70 to collect SS. You have 23 years to 70. Firecalc would say you can live on $48k not $75k to $100K. If you work 7 more years, and if the market returns it's long term average, you should have closer to $2.4M, this will then generate much closer to your $75k to $100k.
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It’s 57 not 47.
 
4% rule of thumb says you can spend $49880 per year if you retire now. If that's not enough, then you should consider working for longer.

You should also consider SS benefits in your retirement calculations. It's probably best to assume a 25% haircut in 8 years on benefits.
 
Al18 said:
4% rule of thumb says you can spend $49880 per year if you retire now. If that's not enough, then you should consider working for longer.
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I have absolutely no plans to retire today. I am not sure why some users think I am retiring. I want to retire in 2035 when I am 57.
 

FIRECalc Results​

Your spending in every year after the first year will be adjusted for inflation, so the spending power is preserved.



Because you indicated a future retirement date (2035), the withdrawals won't start until that year. Your contributions will continue until then. The tested period is 9 years of preretirement plus 21 years of retirement, or 30 years.

FIRECalc looked at the 125 possible 30 year periods in the available data, starting with a portfolio of $1,247,000 and spending your specified amounts each year thereafter.

Here is how your portfolio would have fared in each of the 125 cycles. The lowest and highest portfolio balance at the end of your retirement was $1,247,000 to $20,889,063, with an average at the end of $7,439,779. (Note: this is looking at all the possible periods; values are in terms of the dollars as of the beginning of the retirement period for each cycle.)

Open an (unformatted) "multi-year" Excel spreadsheet showing the NON-inflation-adjusted end-of-year portfolio balances for every year in each of the cycles tested by FIRECalc.

Open a "single-year" spreadsheet showing the year by year inputs, data, and formulas (with inflation-adjusted values) for the cycle beginning in 1994. (Note: This spreadsheet requires a 30 year period, set on the first page.)

These spreadsheet links will expire in about 15 minutes.

For our purposes, failure means the portfolio was depleted before the end of the 30 years. FIRECalc found that 0 cycles failed, for a success rate of 100.0%.
 
F.I.R.E User said:

FIRECalc Results​

Your spending in every year after the first year will be adjusted for inflation, so the spending power is preserved.

Because you indicated a future retirement date (2035), the withdrawals won't start until that year. Your contributions will continue until then. The tested period is 9 years of preretirement plus 21 years of retirement, or 30 years.

FIRECalc looked at the 125 possible 30 year periods in the available data, starting with a portfolio of $1,247,000 and spending your specified amounts each year thereafter.

Here is how your portfolio would have fared in each of the 125 cycles. The lowest and highest portfolio balance at the end of your retirement was $1,247,000 to $20,889,063, with an average at the end of $7,439,779. (Note: this is looking at all the possible periods; values are in terms of the dollars as of the beginning of the retirement period for each cycle.)

For our purposes, failure means the portfolio was depleted before the end of the 30 years. FIRECalc found that 0 cycles failed, for a success rate of 100.0%.
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If you wish to be retired for 30 years or effectively through the age of 87, then that is not how Firecalc works. You are stating that you only wish to be retired for 21 years.
Edit - you need to put in 39 years on the first page, not 30 years.
 
Dtail said:
If you wish to be retired for 30 years or effectively through the age of 87, then that is not how Firecalc works. You are stating that you only wish to be retired for 21 years.
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Not sure why it says 21? I listed 2035 as my target retirement age at 57 in 2035.
 
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