Ronnieboy
Full time employment: Posting here.
- Joined
- Feb 14, 2008
- Messages
- 748
Hello everyone,
Been awhile since I posted but I wanted to get some comments/insight on the current situation.
Original plan: Drop down to PT work at 55YO where there is less stress and job demand yet still an excellent salary and most importantly benefits.
Throwing out fictional round numbers: $2m in savings to produce $100k/yr in spending money.
House: expected to be paid off or having the 'extra $$' to be able to pay it off if wanted.
Reality: Current age 53.5YO. Have passed our number by 10%, but 85% is in tax deferred. House not close to being paid off. Getting tired of the grind and would love to drop to PT now. Annual expenditure is 125-150% of want we want/need (<$100k/yr)
Thoughts....should I stop maxing out 401(k), the match is non existent (50% on the first $1k), it will cause the tax hit vs the deferment I am getting now.
Put the equivalent in regular savings/brokerage to make up the % imbalance between tax deferred and non?
Drop to PT and let the chips fall where they may? What I mean by this is that we have never budgeted and I know we aren't about to start but we have been good at fitting our spending into what we have available. I would be worried about continuing funding the max equivalent $$ of 401(k) if we did this though.
Or just try our best to max saving for the next year and a half till I get to 55yo assuming I live that long ha, ha
Thanks for any comments
Been awhile since I posted but I wanted to get some comments/insight on the current situation.
Original plan: Drop down to PT work at 55YO where there is less stress and job demand yet still an excellent salary and most importantly benefits.
Throwing out fictional round numbers: $2m in savings to produce $100k/yr in spending money.
House: expected to be paid off or having the 'extra $$' to be able to pay it off if wanted.
Reality: Current age 53.5YO. Have passed our number by 10%, but 85% is in tax deferred. House not close to being paid off. Getting tired of the grind and would love to drop to PT now. Annual expenditure is 125-150% of want we want/need (<$100k/yr)
Thoughts....should I stop maxing out 401(k), the match is non existent (50% on the first $1k), it will cause the tax hit vs the deferment I am getting now.
Put the equivalent in regular savings/brokerage to make up the % imbalance between tax deferred and non?
Drop to PT and let the chips fall where they may? What I mean by this is that we have never budgeted and I know we aren't about to start but we have been good at fitting our spending into what we have available. I would be worried about continuing funding the max equivalent $$ of 401(k) if we did this though.
Or just try our best to max saving for the next year and a half till I get to 55yo assuming I live that long ha, ha
Thanks for any comments