Surgery first. Retirement later.

[warbial]

Hi all. I found FIRECALC from a web search, and that led me here, where I've been lurking for a few days. I'm 63; wife is 61. I want to retire soon; she wants to keep working until 70. I write software for a federal contractor; she does research in atmospheric physics for a federal lab. I mostly work at home, popping into the office once every few weeks just to take care of the few things that can only be done in the office; my wife mostly works at home and goes to the office once a week. We live in Maryland and will not retire here, although we're still exploring options for where we want to live after she retires. We have two kids, son aged 25, and daughter aged 20. Both are about halfway through college, paid out of 529 accounts we funded since they were born. The house is almost paid for, and at 2.75% we have no reason to pay off the mortgage early. The kids are the source of the biggest questions: Will they be able to get jobs after they graduate? Will they take more time, exceeding the available 529 funds? Will they need extra help buying a house, starting a family, etc.? Otherwise, I think we are okay to retire as planned, and to adjust as plans are forced to change.

 

[REWahoo]

Welcome!

You didn't elaborate in your post about the "Surgery first" in your thread title? Since there appears to be an almost decade long difference in you and your spouse's desire to retire, I hope that "surgery" isn't a euphemism for "divorce".

 

[MarieIG]

Welcome to the ER Forum Warbial.

It does sound as if you're almost there, however two links that many have found helpful with their retirement planning process are Frequently Asked Questions and FireCalc.

MarieIG

 

[warbial]

Sorry about the title. I edited and re-edited the post so many times... but I don't think the title ever made much sense. Surgery was lumbar laminectomy, treatment for spinal stenosis, which has plagued me for just over a year, keeping me away from my favorite activities, such as hiking and x-country skiing. The operation was on Friday (1/17). I'm at home, recovering. I could work if I wanted to, but I'm taking this time off to relax, chill, and heal. I decided to accelerate my retirement plan. Multiple surgeons have told me that my back is a mess and will require lots of surgery in the future. I discussed my needs with my surgeon and came up with the plan for laminectomy of a few of the worst lumbar vertebrae, which will let me hike again. I think I will have 5-10 years of hiking, backpacking, x-country skiing, and generally enjoying the outdoors as much as I can.

I hope that I will still be active when my wife retires, and that at that time, we will have found a CCRC and be ready to move. We will then live in their independent living unit until my spine fails, at which time we will take advantage of the CCRC for my needs.

That still doesn't explain the title.

 

[MarieIG]

Of course your health is of paramount importance! Wishing you a speedy recovery.

 

[Koolau]

Welcome to the Forum!

You mentioned finding FIRECalc. Did it give you a clear signal that you were financially ready to retire?

Please check back often. We're glad to have you. I too have spinal stenosis and it's being treated very conservatively - but not totally successfully. ("Shots" and finally a neurostimulator).

 

[Texas Proud]

Welcome to the forum.... is working from home for now part of your decision to keep working? How will the call back to work for all federal employees affect you and your spouse?

My brother works for the IBM spinoff... said if he is told he has to go back is his first day of retirement (again, as he did it once before)...

 

[warbial]

You mentioned finding FIRECalc. Did it give you a clear signal that you were financially ready to retire?

I think we are good to go. But I don't know how to model a CCRC contract in FIRECalc: big lump sum payment and additional spending per month after a certain date.

What I've done is to omit our home from our assets, assuming that would go directly to the CCRC, and set a spending amount that is higher than anything we've ever spent. I'm open to other ideas.

 

[warbial]

is working from home for now part of your decision to keep working? How will the call back to work for all federal employees affect you and your spouse?

If I had to work in the office, I would quit on the spot. But that couldn't happen without renegotiating the contract.

My wife is a government employee and would be subject to a return-to-office order. At this time, the general in charge of the lab says that he will maintain the current policy, which is that everyone works where they work best. New orders take time to propagate through the chain of command.

 

[Out-to-Lunch]

Welcome aboard!

 

[NeilDH]

I think we are good to go. But I don't know how to model a CCRC contract in FIRECalc: big lump sum payment and additional spending per month after a certain date.

What I've done is to omit our home from our assets, assuming that would go directly to the CCRC, and set a spending amount that is higher than anything we've ever spent. I'm open to other ideas.

Welcome! FIREcalc has the Other Income/Spending tab where you can enter estimated new spending starting in a year of your choosing. That doesn't address the initial lump sum payment, but your thought of canceling that out with the value of your house is not a bad way to go. (That's more or less how it went with my client.)

 

[Koolau]

What I've done is to omit our home from our assets,

Most of us here exclude our principal residence and only use of invested assets when we calculate FIRECalc results.