RetiredHappy
Thinks s/he gets paid by the post
- Joined
- Jun 27, 2021
- Messages
- 2,814
If you retire now at 58 with $4M, you will likely hit $5M within 5 years.
In other words, retire now and enjoy your retirement!
Very good question. Spouses need to be on the same page when it comes to FIRE. Otherwise, there can be big issues.You have plenty of money. Which way is your wife leaning?
I'd go now. You're where I was at. While I liked work and my colleagues continuing to work was really just going to make our kid's inheritance better and I decided that more "me time" was more important that the kids getting more inheritance. Sorry kids!Decision time for us. Wife and I just turned 58 and could retire this year with:
I have some financial incentives to work until 60 so would project us to have about a $5M nest egg if we work two more years. Our health is good and my company still likes me so I can stay if I like but leaning towards checking out now versus two more years.
- ~$4M nest egg ($2.1M Taxable, 1.4M 401K, 300k Roth, 200k cash)
- No debt. Paid off $750k home in medium cost of living area.
- Kids all grown up and out of house
- At 62 we could get about $60k in SS. Not sure when we will file though.
- Yearly retirement expenses expected to be ~$120k (60-70k to pay the bills including healthcare, 50-60 to travel)
Really struggling with this. My gut says go now.
Thoughts?
You have plenty of money. Which way is your wife leaning?
You misread.Rule of thumb is that your investments will double every 10 years given "normal" market returns. So there's a chance your $4m will be closer to $8m when you're 60. It's not worth giving away another 10 years of your life for an extra million when you're already making more than that on investment returns.
This is how I see it and how I saw it for myself. In order to change my retirement lifestyle, I would have had to work 5 more years. As nice as that envisioned lifestyle would have been, I wasn’t willing to work 5 more years for it. So, what would that extra million do for you? How would it change your retirement lifestyle or other goals you may have. If it’s just because you don’t want to leave money on the table, remember that any form of early retirement leaves money on the table. I retired at 57. I could have worked the 7 more years until now and maybe even longer. So I left a lot of money on the table. In the end, I decided it just wasn’t worth it. So what would be different, other than your bank account, if you wait?That extra $1M buys you.... what exactly? Nothing I can see from how you described your retirement plans.
Unless they are out of money because they retired too early.It seems to me that people still working are apt to consider working longer for a larger nest egg.
It's rare to find a retired person who wished that they would have worked longer for any reason.
I don't know anyone who ran out of money because they retired too early.Unless they are out of money because they retired too early.
Financially, you're fine given your resources and planned spend. Since that's the only reason you're hesitating, my advice is to retire now.Wife wants to retire now. I am the hesitating and that is only for financial reasons. I have a lot more incentives to stay working than she does.
Any voluntary retirement at any age leaves money on the table.... If it’s just because you don’t want to leave money on the table, remember that any form of early retirement leaves money on the table.
Also - as noted in many of the comments above - many of us wish we had had the foresight to retire earlier.It seems to me that people still working are apt to consider working longer for a larger nest egg.
It's rare to find a retired person who wished that they would have worked longer for any reason.
I've relayed here many times that I was FI at 51 but stayed until 58 because I was having fun. Literally the day it was no longer fun, I gave my notice.Wife wants to retire now. I am the hesitating and that is only for financial reasons. I have a lot more incentives to stay working than she does.
Yes, but it's a matter of degree.Any voluntary retirement at any age leaves money on the table.