steelyman
Moderator Emeritus
Steelyman. I actually just turned 39.
I believe you started the thread by saying you are 40. That's what I based my reply on.
At any rate, good luck with reaching your goals.
Steelyman. I actually just turned 39.
Steelyman. I actually just turned 39.
I'm 40. I have 2 houses worth 2.5 to 3 million. Plus 2 condos worth over a million. And a couple of fractionals 400 ish. I have 9 million in securities...3 million in laddered munis and the rest in diversified equities. I have a pension at 62 of a lump sum of a couple of million. 2 young kids. I estimate retirement expenses of 240 ish. I have no debt. My questions are can I retire? If so what kind of portfolio would you suggest? If I do retire I cant be wrong...I want to avoid having to go back to work at target when I'm 68! So I would need a pretty conservative portfolio. Thoughts?
$500K would be the necessary pre tax amount to generate $240K approx in after tax income in today dollars. make sense?
Taxes aren't going down. This has to be a long term model...top rates will go back to near 40 plus state and city you r there at 50 ish rates going fwd. In fact in NYC they r already over 50. I think Illinois is at 7 ish?? Plus the city of Chicago. Not sure exactly but I think 50 ish is a good and realistic estimate.
Illinois is going to 5% for the next 4 years, then drop to 3.75% after (that's the theory anyway). Chicago has no income tax on wages.
I was always surprised at how low it was... 3.75%. I relocated from IL to MN and paying 7.85% state income taxes. 5% would be nice.
I believe Cook County sales tax is about 10.25% for what it's worth. Might of changed since I moved away.
You must be referring to the sales tax in downtown Chicago, not just Cook County. Cook County adds only 1.25% to this total. But the current rate appears to be 9.75% after they got rid of the past Crook County President Todd Stroger and rolled back .5% of his last increase. He added relatives and cousins as the only "qualified" people in the country to do the jobs he hired them for at salaries 2x-3x what they used to make, more if you count the prison pay some of them used to get!
It seems to me that Illinois needs a complete revamp of its tax code. That state is in a world of hurt, and even a 5% (flat) tax rate is extremely unrealistic, given the hole that's been self-dug for the past couple of decades.
I mentioned before...once retired I will sell current house and move back to city place so that should reduce my re exposure by 1.7 million. And I love all of my other re and am willing to work another 2 years to make sure I can afford to love it. As far as what I do...I worked on wall street for 8 years doing investment banking...providing mergers and acquisitions advice and have spent the last 9 years running strategy and m and a for a somewhat well known industrial company.
I have $6million in stocks and 3 million in laddered munis (not $9 milllion plus the $3million sorry if i confused you on how i wrote that)...if i work another couple of years...i should have another $1.5 to $2.5 depending on how things go. so in 2 years i will have 8 ish in stock and 3 ish in bonds plus the $1.7 ish in RE proceeds from house sale. good advice on getting some professional help...so far ive been doing my own selections.
as far as what i will do...will definitely spend more time with my kids as my current job isn't that difficult...but the travel is absolutely killer. anyway - ill probably end up working with some buddies at a small m and a boutique a couple of days a week...and otherwise be a house husband. maybe my wife will decide to re-start her career (she was a TV newslady). who knows really what i will end up doing..just not doing this and this city!
Goblue1972...A.K.A Charlie Sheen?I'm 40. I have 2 houses worth 2.5 to 3 million. Plus 2 condos worth over a million. And a couple of fractionals 400 ish. I have 9 million in securities...3 million in laddered munis and the rest in diversified equities. I have a pension at 62 of a lump sum of a couple of million. 2 young kids. I estimate retirement expenses of 240 ish. I have no debt. My questions are can I retire? If so what kind of portfolio would you suggest? If I do retire I cant be wrong...I want to avoid having to go back to work at target when I'm 68! So I would need a pretty conservative portfolio. Thoughts?