How much do you put away?
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Meadbh
Give me a museum and I'll fill it. (Picasso) Give me a forum ...
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Scout said:
Gross Salary: $60K
Corporate Income: $120K
Yearly Savings: Corporate Income minus Corporate Expenses ~$100K
Yearly Living Expenses: $60K
Projected/hoped for age at FI: got there 1 year ago at age 48
Projected/hoped for age at ER: 55
Dollar amount shooting for: $3.5m
Current Net Worth: $2.4m
(All figures Canadian)
Thanks to everyone who has responded. I know this was a nosy question, but it helps to put your own financial situation into perspective when you see others. Some of you power savers have given me strong incentive.
Sorry i missed the other areas on the forum where this has been discussed previously...i'm still a relative newbie...i'll get better.
kudos to all of the environmentalists/animal rights folks who responded...dogs deserve better!
Sorry i missed the other areas on the forum where this has been discussed previously...i'm still a relative newbie...i'll get better.
kudos to all of the environmentalists/animal rights folks who responded...dogs deserve better!
Canadian FIRE
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Ok, I'm a bit late, but I liked this topic.
Gross salary - ~$70K between DW and myself
Yearly savings - 20% of our gross incomes go into our retirement plans and taxable accounts.
Plan FI: At age 45.
Savings: 25K
We also have one two year old running around. Please note I'm in Canada, so my FIRE calculations are very different than most people in the US. See the blog link if you want to read more.
Gross salary - ~$70K between DW and myself
Yearly savings - 20% of our gross incomes go into our retirement plans and taxable accounts.
Plan FI: At age 45.
Savings: 25K
We also have one two year old running around. Please note I'm in Canada, so my FIRE calculations are very different than most people in the US. See the blog link if you want to read more.
citrine
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Gross Income: $49,494.40
25% to 401K: $12,373.51
Roth IRA: $4000
Additional Savings: $4k-6k which is sent to Mutual Funds
Net worth at this time: $150K
25% to 401K: $12,373.51
Roth IRA: $4000
Additional Savings: $4k-6k which is sent to Mutual Funds
Net worth at this time: $150K
- Joined
- Apr 14, 2006
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- 23,103
Citrine:
With saving habits like that, you are well on your way to FIRE. Congratulations.
With saving habits like that, you are well on your way to FIRE. Congratulations.
citrine
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Thanks Gumby!
Now if I could just get the diamond fetish out of my system
Now if I could just get the diamond fetish out of my system
Me 28, husband 27. Current take-home is ~$60k (I am in grad school, and only bring in a measly stipend).
We put $600/month into his 403(b), and another $600/month into savings.
~$50k in our combined retirement accounts
~$10k in savings
~$25k in savings bonds
What's killing us right now are undergraduate student loans. Those should be paid off soon, and that's another $500 to sock away every month.
Our take-home should roughly double when I finish grad school, and since we're very happy with our lifestyle right now, we can hopefully just live on one salary.
I have no target dollar amount; it'd be almost meaningless to try and predict, because I'm not yet working, and we hope to have kids, etc. I'd like for us to retire when we're 55.
We put $600/month into his 403(b), and another $600/month into savings.
~$50k in our combined retirement accounts
~$10k in savings
~$25k in savings bonds
What's killing us right now are undergraduate student loans. Those should be paid off soon, and that's another $500 to sock away every month.
Our take-home should roughly double when I finish grad school, and since we're very happy with our lifestyle right now, we can hopefully just live on one salary.
I have no target dollar amount; it'd be almost meaningless to try and predict, because I'm not yet working, and we hope to have kids, etc. I'd like for us to retire when we're 55.
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S:
It appears that you have more than 6 months expesnes in cash or equivalents, which should be an adequate safety net. At this point, have you considered increasing the 403(b) contribution, or, even better, starting a Roth IRA? You would get the immmediate tax benefit with the 403(b) contribution (and possibly, although unlikely, an employer match), but many feel that over the long haul the Roth IRA is a better deal. Of course, it depends on the investment choices you have in the 403(b) -- an annuity product, which is all too common in such plans, would be horrible. For a Roth IRA, you might consider going with a no-loan index fund with Vanguard or Fidelity. Something that tracks to total stock market or S&P 500 might be a good start. Do some searches on this board and you will find innumerable discussions of the merits of 401k/403b versus a Roth IRA, which may help to focus your thinking. In any event, you have reached the point where it is time to expand your horizons. Your student days will soon be a thing of the past, you will be saving and investing steadily and looking forward to an early retirement. Best wishes to you both.
It appears that you have more than 6 months expesnes in cash or equivalents, which should be an adequate safety net. At this point, have you considered increasing the 403(b) contribution, or, even better, starting a Roth IRA? You would get the immmediate tax benefit with the 403(b) contribution (and possibly, although unlikely, an employer match), but many feel that over the long haul the Roth IRA is a better deal. Of course, it depends on the investment choices you have in the 403(b) -- an annuity product, which is all too common in such plans, would be horrible. For a Roth IRA, you might consider going with a no-loan index fund with Vanguard or Fidelity. Something that tracks to total stock market or S&P 500 might be a good start. Do some searches on this board and you will find innumerable discussions of the merits of 401k/403b versus a Roth IRA, which may help to focus your thinking. In any event, you have reached the point where it is time to expand your horizons. Your student days will soon be a thing of the past, you will be saving and investing steadily and looking forward to an early retirement. Best wishes to you both.
OKLibrarian
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A few thousand shy of half our gross--works out to about 2/3 of our take-home. Right now it's all going for the down payment on the house, after that it'll be shunted to 401k, IRA, etc.
Fireup2020
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Dang! I'm poorer than I realized! Nah!
Gross salary? 42K
Yearly savings? 16-17K (this includes TSP and Def. Comp)
Yearly living expenses? 20K + 5K for the fun stuff
Projected/hoped for age at ER/FI? 50 or 55
What dollar amount are you shooting for? not sure yet...but do realize I need to define that goal (duh!)
Also, my time is clicking away towards two pensions - one I will start drawing at age 50 or 55....the other at age 60.
Currently 36
Gross salary? 42K
Yearly savings? 16-17K (this includes TSP and Def. Comp)
Yearly living expenses? 20K + 5K for the fun stuff
Projected/hoped for age at ER/FI? 50 or 55
What dollar amount are you shooting for? not sure yet...but do realize I need to define that goal (duh!)
Also, my time is clicking away towards two pensions - one I will start drawing at age 50 or 55....the other at age 60.
Currently 36
chinaco
Give me a museum and I'll fill it. (Picasso) Give me a forum ...
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We save about 60% of our gross salary. This does not include the money that my and DW companies apply to pensions.
The money goes into 401ks, IRAs, and After-Tax Accounts.
We do not scrimp.... But we are not wasteful either. The 40% we spend includes our mortgage and 2-3 nice vacations a year...
The money goes into 401ks, IRAs, and After-Tax Accounts.
We do not scrimp.... But we are not wasteful either. The 40% we spend includes our mortgage and 2-3 nice vacations a year...
Wife and I gross 135K. We're both 39 and have 4 yr old twins. Grandma pays for daycare and intends to pay all of college! (I would never tell another parent that without the anonymity of this forum because they'd kill me).
We have about 190k in 401k and IRA's, 65k in managed stock fund and 250k in home equity.
Currently I max out my 401k to 15.5k/yr along with company match and since my wife just returned to work PT, we'll be putting some $ into our IRAs.
I recently found/joined this forum and am realizing I just might RE by 55.
We have about 190k in 401k and IRA's, 65k in managed stock fund and 250k in home equity.
Currently I max out my 401k to 15.5k/yr along with company match and since my wife just returned to work PT, we'll be putting some $ into our IRAs.
I recently found/joined this forum and am realizing I just might RE by 55.
jIMOh
Thinks s/he gets paid by the post
Re: Oh yeah, one other thing
6.5k into 401k each year for me
4k into Roth for me
2.4k into 401k for wife
wife's Roth was just opened, will be 3k for first year.
comes out to around 16% of income... this does not include the matches on the 401ks.
I am 34, wife is 33, total of 140k already set aside. Most of it is in my 401k (95k) and Roth (27k). I have a normal retirement with 9% return now... without setting aside another penny. Any higher return/more set aside is for ER.
Scout said:
6.5k into 401k each year for me
4k into Roth for me
2.4k into 401k for wife
wife's Roth was just opened, will be 3k for first year.
comes out to around 16% of income... this does not include the matches on the 401ks.
I am 34, wife is 33, total of 140k already set aside. Most of it is in my 401k (95k) and Roth (27k). I have a normal retirement with 9% return now... without setting aside another penny. Any higher return/more set aside is for ER.
I'm a teacher without a lot of cash, and still a little time before retiring! And I just found THE BEST guide I've ever seen for how much to put away. It's all in this new book called, "SAVING FOR RETIREMENT WITHOUT LIVING LIKE A PAUPER OR WINNING THE LOTTERY" by Gail MarksJarvis. She gives the most useful advice about how much to save and where to save it... I couldn't believe it when I read that $25 a paycheck could really make a difference, but it IS already (for me). IF you're at all curious about how to save and where to put your money (or if you think you need to live like a pauper just to have enough money so you don't have to eat cat food when you retire!) I really recommend this book. My goodness, I never thought I would be the kind of person touting some book, but this one has really helped me get organized and I'm so thankful I found it now!
I am 32, DH is 34, no kids.
His gross salary is 85K, I've been in school and hope to start earning $ soon. We also have income from a rental property, but it's slightly in the red.
Yearly savings is 24K.
Living expenses are around 60K
We hope to FIRE when he retires from the military at 42.
So far we've accumulated 120K (plus 300K equity in the rental), and hope to have 4-500K to supplement his pension and the income/sales profits from the rental.
His gross salary is 85K, I've been in school and hope to start earning $ soon. We also have income from a rental property, but it's slightly in the red.
Yearly savings is 24K.
Living expenses are around 60K
We hope to FIRE when he retires from the military at 42.
So far we've accumulated 120K (plus 300K equity in the rental), and hope to have 4-500K to supplement his pension and the income/sales profits from the rental.
Fireup2020
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WM,
Is DH maxing out his TSP contributions? It is a great program to add to the mil pens.
Is DH maxing out his TSP contributions? It is a great program to add to the mil pens.
Fireup2025 said:
Hi Fireup2025, yes, he is now. Until recently we were saving in Roths and then taxable accounts, thinking that we needed access to funds before 59 1/2. But now that we know about rolling over to IRAs and doing 72t withdrawals, we are TSP coverts!
The other reason I was wary of the TSP, honestly, is that I couldn't find good "neutral" sources of info about it that I trusted. Probably I could have looked harder, it wasn't a priority, but that's been a great benefit of hanging around here
TargaDave
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dmpi said:
Question: So how do you manage to keep total tax amount at $52k? That is 26% total, for everything (assuming $200k is gross)! Am I missing something or do you live in a very low tax area. We get hit with AMT and can't even get close that total tax rate. Just curious.
aaronc879
Give me a museum and I'll fill it. (Picasso) Give me a forum ...
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27, single, no kids, no debt
Income- $43,000 pre tax
Savings per year- 20K minimum not counting company match. Max 401K and Roth IRA. Anything left goes into MM for house savings.
Age at ER/FI- Hopefully 49
Dollar amount shooting for- 1.75M May sound low to some but 4% is $70,000 which is almost $35,000 in today's dollars which is more than enough for me.
Savings to date- $65,000
Income- $43,000 pre tax
Savings per year- 20K minimum not counting company match. Max 401K and Roth IRA. Anything left goes into MM for house savings.
Age at ER/FI- Hopefully 49
Dollar amount shooting for- 1.75M May sound low to some but 4% is $70,000 which is almost $35,000 in today's dollars which is more than enough for me.
Savings to date- $65,000
TargaDave said:
I was reading this and I thought, hey that guy's just like about where we are... I look again and it us! Now to answer your question. We have a few thing going for us. We have no kids, so we have only two exemptions. We paid off our house so we have no mortage. We use the standard deduction. We also max out our 401Ks (15K x 2 ). We happen to live in state with no state income tax. This year I think we paid around 42K in income taxes + 2600 in property tax. Every year we are getting closer and closer to paying AMT tax. Just a matter of time. I've run out of ammo to dodge taxes.
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