Can I break the tape in 5 years?????

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turkman
Posts: 12
Joined: Tue Jun 19, 2018 2:24 pm

Can I break the tape in 5 years?????

Post by turkman » Tue Jun 19, 2018 4:11 pm

Dear Bogleheads:

First off, what a wonderful website and community for financial advice. I have learned a lot here and want to come out of the lurking shadows.

A current post that I was reading makes me think about my own ability to retire in five years especially since our situation is very similar.Some minor differences of course.

***Total assets excluding home -3.15M
***Ages 51/50
***Total amount we will invest tax deferred annually until 55-$30k
***1 child age 11 with $100k in a 529

Due to the absolute misery of my job I would like to call it quits at age 55. There’s plenty of volunteer and other activities that I can be engaged in almost full-time. Either myself or my wife may continue a low-paying job just to keep health insurance until Medicare.

We would want to retire with $120,000 to spend annually inflation adjusted. I have read numerous posts here that it is all about variances and spending in retirement but although this is on the high side I think it is reasonable that we would spend quite a bit in our early retirement years.

As for our child we are looking to pay 1/2 of college tuition the rest is on him.

We have a 65/35 allocation all in index funds very Bogleheadish.

My concern is that we are at an all-time high in the stock market and a lot can happen between now and five years from now.

I still need some growth in the portfolio to get me where I want to be safely. Maybe I am wrong about that.

Question 1) The ultimate question is can my wife and I finish this race in five years with the numbers that we have and our anticipated annual spend?

Question 2) Out of curiosity, has anyone else partially retired but taken a much lower paying but more enjoyable job just for the healthcare for a few years?

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prudent
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Re: Can I break the tape in 5 years?????

Post by prudent » Tue Jun 19, 2018 4:38 pm

turkman, welcome!

What will you be getting from Social Security?

turkman
Posts: 12
Joined: Tue Jun 19, 2018 2:24 pm

Re: Can I break the tape in 5 years?????

Post by turkman » Tue Jun 19, 2018 4:41 pm

prudent wrote:
Tue Jun 19, 2018 4:38 pm
turkman, welcome!

What will you be getting from Social Security?
Per the SS website if I receive 71% of my benefits at 70, it would be about $2750 per month

So I assume 24k annually is a safe bet

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HomerJ
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Re: Can I break the tape in 5 years?????

Post by HomerJ » Tue Jun 19, 2018 4:45 pm

Does the $120k expenses a year include a mortgage payment? If so, when will it go away? How much do you still owe on the house?
The J stands for Jay

livesoft
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Re: Can I break the tape in 5 years?????

Post by livesoft » Tue Jun 19, 2018 4:46 pm

It is very likely that you can retire today.

Your demographic seems to match this one reasonably well:
viewtopic.php?t=87471
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turkman
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Re: Can I break the tape in 5 years?????

Post by turkman » Tue Jun 19, 2018 4:47 pm

No mortgage but we could possibly spend $100k to buy a different house. We would pay cash.

delamer
Posts: 6094
Joined: Tue Feb 08, 2011 6:13 pm

Re: Can I break the tape in 5 years?????

Post by delamer » Tue Jun 19, 2018 5:00 pm

Finding a new low-paying and/or low-stress job in your 50’s that includes health insurance for a family is not easy, particularly if you don’t want to work full-time.

In 5 years, you’ll still have 9 to 10 years until you are eligible for Medicare.

So a “retirement plan” that requires that you hold a job with health insurance for a decade isn’t realistic.

If you can work out a plan that allows $25,000+ in your budget for health insurance premium purchased through the ACA or a broker, then you might be able to retire in 5 years.

tesuzuki2002
Posts: 523
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Re: Can I break the tape in 5 years?????

Post by tesuzuki2002 » Tue Jun 19, 2018 5:12 pm

turkman wrote:
Tue Jun 19, 2018 4:11 pm
Dear Bogleheads:

First off, what a wonderful website and community for financial advice. I have learned a lot here and want to come out of the lurking shadows.

A current post that I was reading makes me think about my own ability to retire in five years especially since our situation is very similar.Some minor differences of course.

***Total assets excluding home -3.15M
***Ages 51/50
***Total amount we will invest tax deferred annually until 55-$30k
***1 child age 11 with $100k in a 529

Due to the absolute misery of my job I would like to call it quits at age 55. There’s plenty of volunteer and other activities that I can be engaged in almost full-time. Either myself or my wife may continue a low-paying job just to keep health insurance until Medicare.

We would want to retire with $120,000 to spend annually inflation adjusted. I have read numerous posts here that it is all about variances and spending in retirement but although this is on the high side I think it is reasonable that we would spend quite a bit in our early retirement years.

As for our child we are looking to pay 1/2 of college tuition the rest is on him.

We have a 65/35 allocation all in index funds very Bogleheadish.

My concern is that we are at an all-time high in the stock market and a lot can happen between now and five years from now.

I still need some growth in the portfolio to get me where I want to be safely. Maybe I am wrong about that.

Question 1) The ultimate question is can my wife and I finish this race in five years with the numbers that we have and our anticipated annual spend?

Question 2) Out of curiosity, has anyone else partially retired but taken a much lower paying but more enjoyable job just for the healthcare for a few years?
Best scenario is the market goes into bear territory the next 2 years and you keep buying and buying... You'll come out on top after that!!

ExitStageLeft
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Re: Can I break the tape in 5 years?????

Post by ExitStageLeft » Tue Jun 19, 2018 5:28 pm

I just ran a scenario with CFIRESim and came up with the following:

Inputs
Start Year: 2023
End year: 2063
Portfolio: $3,100,000
SS: $24k starting in 2038
Assets: Equities 65%, Bonds 35%, rebalance annually
Contribute $30k annually 2018 through 2022
Investigate max spending level, inflation adjusted

Outputs
Portfolio at retirement: $4,320,000
Spending level $137,691
Success: 94.12%
Mean ending portfolio $11,831,926
Median ending portfolio $8,916,093

With some strategic management of spending you can probably lower the essential expenses to about half of your desired $120k. That would allow you to spend the remainder on indulgences in a good year or trim back when returns are poor. With some flexibility you could retire and sruvive market conditions like those experienced by the 1929 and 1966 cohorts.

CnC
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Re: Can I break the tape in 5 years?????

Post by CnC » Tue Jun 19, 2018 5:36 pm

3.1 mil + 30k a year plus 5% growth for 5 years is

Nearly 4.2 mil at 5% growth. That gives you roughly 168k at 4% withdrawal.


If your expenses of 120k a year include taxes and insurance you are set. Imo.

JoeRetire
Posts: 1587
Joined: Tue Jan 16, 2018 2:44 pm

Re: Can I break the tape in 5 years?????

Post by JoeRetire » Tue Jun 19, 2018 5:39 pm

turkman wrote:
Tue Jun 19, 2018 4:11 pm
Out of curiosity, has anyone else partially retired but taken a much lower paying but more enjoyable job just for the healthcare for a few years?
I retired and did some part-time consulting for a while. Not because I needed healthcare, but because I enjoyed it.
Work can be a lot more fun once you are financially independent, can work on your own terms, and can walk away if you stop enjoying it.

Rexindex
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Re: Can I break the tape in 5 years?????

Post by Rexindex » Tue Jun 19, 2018 6:34 pm

Is this typical for a bogleheads to be this in doubt? Isn’t over $3m at age 51 a lot of money? :shock:
“Attention is the rarest and purest form of generosity.” | — Simone Weil

livesoft
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Re: Can I break the tape in 5 years?????

Post by livesoft » Tue Jun 19, 2018 6:47 pm

Rexindex wrote:
Tue Jun 19, 2018 6:34 pm
Is this typical for a bogleheads to be this in doubt? Isn’t over $3m at age 51 a lot of money? :shock:
Yes, for a certain type of new posters it is very typical. Discussed in this thread:
viewtopic.php?t=191685
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delamer
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Re: Can I break the tape in 5 years?????

Post by delamer » Tue Jun 19, 2018 9:49 pm

Rexindex wrote:
Tue Jun 19, 2018 6:34 pm
Is this typical for a bogleheads to be this in doubt? Isn’t over $3m at age 51 a lot of money? :shock:
Think of it this way — what if someone came on the forum and said “I weigh 160 pounds. Am I fat?”

All of the responses would be “I have no idea. How tall are you?”

Similarly, just knowing someone’s assets doesn’t tell you whether they have enough to retire. You have to match their assets with expenses to know if someone has enough. Just like you have to match weight to height to tell if someone is fat.

Lots of people would have retired yesterday if they had $3 million in liquid assets. But other people couldn’t live the life they want with those assets.

Our role should be to help people determine if their assets match up with their expenses. It should not be to tell people what we think their expenses ought to be.

Tamalak
Posts: 546
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Re: Can I break the tape in 5 years?????

Post by Tamalak » Wed Jun 20, 2018 9:48 am

OP, the "standard" withdrawal rate is 4% per year. 4% has over a 90% success rate if you make it rigid (i.e. withdraw the same inflation-adjusted amount every year come hell or high water) and a 100% success rate if you make it flexible (i.e. withdraw 4% of your current portfolio, even if the value has wobbled around).

To get the budget you want, 120k, that means you need 3 million. You have that right now! You can retire NOW with a very good success rate, and in your case "unsuccess" would just mean trimming your budget.

You have abundant money. You have much more limited time. Figure out for yourself which resource you need to be conserving.
Is this typical for a bogleheads to be this in doubt? Isn’t over $3m at age 51 a lot of money? :shock:
I was about to snap at the OP too, but not only does he have a lot of money, he wants to retire with a high standard of living. He DOES need a lot of money to enact his plan.

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HomerJ
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Re: Can I break the tape in 5 years?????

Post by HomerJ » Wed Jun 20, 2018 12:41 pm

Rexindex wrote:
Tue Jun 19, 2018 6:34 pm
Is this typical for a bogleheads to be this in doubt? Isn’t over $3m at age 51 a lot of money? :shock:
Expenses matter. If you have $100 million, but spend $10 million a year, you don't have enough to retire.

His expenses are fairly high. $120k a year with no mortgage is a good amount of money.

4% is considered a safe withdrawal rate for 30 years. That's $120,000 from $3 million. But 51 is pretty early retirement, and 30 years might not be enough. Maybe 3.5% withdrawals would be better at that age. But... because of Social Security, he probably could still retire today and be fine.

In 5 years, definitely.

Hopefully that $10,000 a month is flexible. If so, I'd tell him to retire in 0-2 years instead of waiting the entire 5.
The J stands for Jay

ShowMeTheER
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Re: Can I break the tape in 5 years?????

Post by ShowMeTheER » Wed Jun 20, 2018 12:55 pm

You could quit tomorrow if needed.

Work to 12/31/2019 for peace of mind and enjoy your next phase!

ExitStageLeft
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Re: Can I break the tape in 5 years?????

Post by ExitStageLeft » Wed Jun 20, 2018 12:58 pm

The original poster (OP) wants to retire at age 55, several years younger than a traditional retiree who works until SS eligibility. OP should be planning for a longer retirement, and with a spouse in the picture it is reasonable to plan on one of them living to age 95. Likely? No, but a 40 year retirement is an appropriate plan for them.

The "4% Rule" is a very convenient metric that allows one to anticipate a secure retirement if they have 25x expenses in their portfolio. The Trinity study looked at withdrawal periods of up to 30 years. It did not examine what initial withdrawal rate is safe with a 40 year horizon.

Big ERN at Early Retirement Now looked at safe withdrawal rates for those who want to retire in their thirties and found that a 3% initial withdrawal would allow a portfolio to retain its value for a period 60 years. For someone wanting a 40 year retirement and to leave some assets in their estate, an initial withdrawal of 3.3% is probably just about right. Thus, it only takes 30x expenses to have that degree of financial independence.

Tamalak
Posts: 546
Joined: Fri May 06, 2016 2:29 pm

Re: Can I break the tape in 5 years?????

Post by Tamalak » Wed Jun 20, 2018 2:06 pm

ExitStageLeft wrote:
Wed Jun 20, 2018 12:58 pm
The "4% Rule" is a very convenient metric that allows one to anticipate a secure retirement if they have 25x expenses in their portfolio. The Trinity study looked at withdrawal periods of up to 30 years. It did not examine what initial withdrawal rate is safe with a 40 year horizon.
Yes but most portfolios had a HIGHER inflation-adjusted balance at the end of the study's 4% withdrawal. A 4% withdrawal has a high success rate even indefinitely, even when done rigidly.

MotoTrojan
Posts: 2252
Joined: Wed Feb 01, 2017 8:39 pm

Re: Can I break the tape in 5 years?????

Post by MotoTrojan » Wed Jun 20, 2018 2:13 pm

tesuzuki2002 wrote:
Tue Jun 19, 2018 5:12 pm
turkman wrote:
Tue Jun 19, 2018 4:11 pm
Dear Bogleheads:

First off, what a wonderful website and community for financial advice. I have learned a lot here and want to come out of the lurking shadows.

A current post that I was reading makes me think about my own ability to retire in five years especially since our situation is very similar.Some minor differences of course.

***Total assets excluding home -3.15M
***Ages 51/50
***Total amount we will invest tax deferred annually until 55-$30k
***1 child age 11 with $100k in a 529

Due to the absolute misery of my job I would like to call it quits at age 55. There’s plenty of volunteer and other activities that I can be engaged in almost full-time. Either myself or my wife may continue a low-paying job just to keep health insurance until Medicare.

We would want to retire with $120,000 to spend annually inflation adjusted. I have read numerous posts here that it is all about variances and spending in retirement but although this is on the high side I think it is reasonable that we would spend quite a bit in our early retirement years.

As for our child we are looking to pay 1/2 of college tuition the rest is on him.

We have a 65/35 allocation all in index funds very Bogleheadish.

My concern is that we are at an all-time high in the stock market and a lot can happen between now and five years from now.

I still need some growth in the portfolio to get me where I want to be safely. Maybe I am wrong about that.

Question 1) The ultimate question is can my wife and I finish this race in five years with the numbers that we have and our anticipated annual spend?

Question 2) Out of curiosity, has anyone else partially retired but taken a much lower paying but more enjoyable job just for the healthcare for a few years?
Best scenario is the market goes into bear territory the next 2 years and you keep buying and buying... You'll come out on top after that!!
This is a gross simplification.

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indexmonkey
Posts: 39
Joined: Mon Jun 27, 2011 5:51 pm

Re: Can I break the tape in 5 years?????

Post by indexmonkey » Wed Jun 20, 2018 6:06 pm

MotoTrojan wrote:
Wed Jun 20, 2018 2:13 pm
tesuzuki2002 wrote:
Tue Jun 19, 2018 5:12 pm
turkman wrote:
Tue Jun 19, 2018 4:11 pm
Dear Bogleheads:

First off, what a wonderful website and community for financial advice. I have learned a lot here and want to come out of the lurking shadows.

A current post that I was reading makes me think about my own ability to retire in five years especially since our situation is very similar.Some minor differences of course.

***Total assets excluding home -3.15M
***Ages 51/50
***Total amount we will invest tax deferred annually until 55-$30k
***1 child age 11 with $100k in a 529

Due to the absolute misery of my job I would like to call it quits at age 55. There’s plenty of volunteer and other activities that I can be engaged in almost full-time. Either myself or my wife may continue a low-paying job just to keep health insurance until Medicare.

We would want to retire with $120,000 to spend annually inflation adjusted. I have read numerous posts here that it is all about variances and spending in retirement but although this is on the high side I think it is reasonable that we would spend quite a bit in our early retirement years.

As for our child we are looking to pay 1/2 of college tuition the rest is on him.

We have a 65/35 allocation all in index funds very Bogleheadish.

My concern is that we are at an all-time high in the stock market and a lot can happen between now and five years from now.

I still need some growth in the portfolio to get me where I want to be safely. Maybe I am wrong about that.

Question 1) The ultimate question is can my wife and I finish this race in five years with the numbers that we have and our anticipated annual spend?

Question 2) Out of curiosity, has anyone else partially retired but taken a much lower paying but more enjoyable job just for the healthcare for a few years?
Best scenario is the market goes into bear territory the next 2 years and you keep buying and buying... You'll come out on top after that!!
This is a gross simplification.
Isn’t this exactly why one uses monte carlos or firecalc? For best and worst market scenarios? Why is it an oversimplification?

TigerNest
Posts: 308
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Re: Can I break the tape in 5 years?????

Post by TigerNest » Wed Jun 20, 2018 6:18 pm

Life is too short. You should absolutely not be working a job that is 'absolute misery' for the next 5 years, regardless of your level of net worth. The fact that you have $3.2M excluding your house makes it even crazier.

I would suggest that you find a new job now that's more rewarding.

With your net worth, you have the luxury of finding one that's not necessarily high paying, but offers other rewards (enjoyable, flexible, passion projects, good coworkers, good commute, etc.)

MotoTrojan
Posts: 2252
Joined: Wed Feb 01, 2017 8:39 pm

Re: Can I break the tape in 5 years?????

Post by MotoTrojan » Wed Jun 20, 2018 6:30 pm

indexmonkey wrote:
Wed Jun 20, 2018 6:06 pm
MotoTrojan wrote:
Wed Jun 20, 2018 2:13 pm
tesuzuki2002 wrote:
Tue Jun 19, 2018 5:12 pm
turkman wrote:
Tue Jun 19, 2018 4:11 pm
Dear Bogleheads:

First off, what a wonderful website and community for financial advice. I have learned a lot here and want to come out of the lurking shadows.

A current post that I was reading makes me think about my own ability to retire in five years especially since our situation is very similar.Some minor differences of course.

***Total assets excluding home -3.15M
***Ages 51/50
***Total amount we will invest tax deferred annually until 55-$30k
***1 child age 11 with $100k in a 529

Due to the absolute misery of my job I would like to call it quits at age 55. There’s plenty of volunteer and other activities that I can be engaged in almost full-time. Either myself or my wife may continue a low-paying job just to keep health insurance until Medicare.

We would want to retire with $120,000 to spend annually inflation adjusted. I have read numerous posts here that it is all about variances and spending in retirement but although this is on the high side I think it is reasonable that we would spend quite a bit in our early retirement years.

As for our child we are looking to pay 1/2 of college tuition the rest is on him.

We have a 65/35 allocation all in index funds very Bogleheadish.

My concern is that we are at an all-time high in the stock market and a lot can happen between now and five years from now.

I still need some growth in the portfolio to get me where I want to be safely. Maybe I am wrong about that.

Question 1) The ultimate question is can my wife and I finish this race in five years with the numbers that we have and our anticipated annual spend?

Question 2) Out of curiosity, has anyone else partially retired but taken a much lower paying but more enjoyable job just for the healthcare for a few years?
Best scenario is the market goes into bear territory the next 2 years and you keep buying and buying... You'll come out on top after that!!
This is a gross simplification.
Isn’t this exactly why one uses monte carlos or firecalc? For best and worst market scenarios? Why is it an oversimplification?
I’m stating the quoted “best scenario” is flawed since it is not a given that a bear will rebound as quickly as the last two major crashes did. You may not come out “on top” if a bear starts 2 years before retirement.

turkman
Posts: 12
Joined: Tue Jun 19, 2018 2:24 pm

Re: Can I break the tape in 5 years?????

Post by turkman » Wed Jun 20, 2018 6:33 pm

TigerNest wrote:
Wed Jun 20, 2018 6:18 pm
Life is too short. You should absolutely not be working a job that is 'absolute misery' for the next 5 years, regardless of your level of net worth. The fact that you have $3.2M excluding your house makes it even crazier.

I would suggest that you find a new job now that's more rewarding.

With your net worth, you have the luxury of finding one that's not necessarily high paying, but offers other rewards (enjoyable, flexible, passion projects, good coworkers, good commute, etc.)
Thanks for the encouragement! It makes me think there is hope!!

tesuzuki2002
Posts: 523
Joined: Fri Dec 11, 2015 12:40 pm

Re: Can I break the tape in 5 years?????

Post by tesuzuki2002 » Thu Jun 21, 2018 3:39 pm

MotoTrojan wrote:
Wed Jun 20, 2018 6:30 pm
indexmonkey wrote:
Wed Jun 20, 2018 6:06 pm
MotoTrojan wrote:
Wed Jun 20, 2018 2:13 pm
tesuzuki2002 wrote:
Tue Jun 19, 2018 5:12 pm
turkman wrote:
Tue Jun 19, 2018 4:11 pm
Dear Bogleheads:

First off, what a wonderful website and community for financial advice. I have learned a lot here and want to come out of the lurking shadows.

A current post that I was reading makes me think about my own ability to retire in five years especially since our situation is very similar.Some minor differences of course.

***Total assets excluding home -3.15M
***Ages 51/50
***Total amount we will invest tax deferred annually until 55-$30k
***1 child age 11 with $100k in a 529

Due to the absolute misery of my job I would like to call it quits at age 55. There’s plenty of volunteer and other activities that I can be engaged in almost full-time. Either myself or my wife may continue a low-paying job just to keep health insurance until Medicare.

We would want to retire with $120,000 to spend annually inflation adjusted. I have read numerous posts here that it is all about variances and spending in retirement but although this is on the high side I think it is reasonable that we would spend quite a bit in our early retirement years.

As for our child we are looking to pay 1/2 of college tuition the rest is on him.

We have a 65/35 allocation all in index funds very Bogleheadish.

My concern is that we are at an all-time high in the stock market and a lot can happen between now and five years from now.

I still need some growth in the portfolio to get me where I want to be safely. Maybe I am wrong about that.

Question 1) The ultimate question is can my wife and I finish this race in five years with the numbers that we have and our anticipated annual spend?

Question 2) Out of curiosity, has anyone else partially retired but taken a much lower paying but more enjoyable job just for the healthcare for a few years?
Best scenario is the market goes into bear territory the next 2 years and you keep buying and buying... You'll come out on top after that!!
This is a gross simplification.
Isn’t this exactly why one uses monte carlos or firecalc? For best and worst market scenarios? Why is it an oversimplification?
I’m stating the quoted “best scenario” is flawed since it is not a given that a bear will rebound as quickly as the last two major crashes did. You may not come out “on top” if a bear starts 2 years before retirement.
nobody knows.... would could be in a bull for the next 50 years right?? or a bear for the next 50 years... we certainly don't have enough data..

MotoTrojan
Posts: 2252
Joined: Wed Feb 01, 2017 8:39 pm

Re: Can I break the tape in 5 years?????

Post by MotoTrojan » Thu Jun 21, 2018 4:40 pm

tesuzuki2002 wrote:
Thu Jun 21, 2018 3:39 pm
MotoTrojan wrote:
Wed Jun 20, 2018 6:30 pm
indexmonkey wrote:
Wed Jun 20, 2018 6:06 pm
MotoTrojan wrote:
Wed Jun 20, 2018 2:13 pm
tesuzuki2002 wrote:
Tue Jun 19, 2018 5:12 pm


Best scenario is the market goes into bear territory the next 2 years and you keep buying and buying... You'll come out on top after that!!
This is a gross simplification.
Isn’t this exactly why one uses monte carlos or firecalc? For best and worst market scenarios? Why is it an oversimplification?
I’m stating the quoted “best scenario” is flawed since it is not a given that a bear will rebound as quickly as the last two major crashes did. You may not come out “on top” if a bear starts 2 years before retirement.
nobody knows.... would could be in a bull for the next 50 years right?? or a bear for the next 50 years... we certainly don't have enough data..
Yup I agree. You clearly stated that the best case is we enter a bear and he buys at a discount to today and that he will "come out on top after that!!". That is not certain at all, hence my comments.

johnra
Posts: 176
Joined: Sun Dec 28, 2014 12:07 pm

Re: Can I break the tape in 5 years?????

Post by johnra » Sat Jun 23, 2018 10:12 am

turkman wrote:
Wed Jun 20, 2018 6:33 pm
TigerNest wrote:
Wed Jun 20, 2018 6:18 pm
Life is too short. You should absolutely not be working a job that is 'absolute misery' for the next 5 years, regardless of your level of net worth. The fact that you have $3.2M excluding your house makes it even crazier.

I would suggest that you find a new job now that's more rewarding.

With your net worth, you have the luxury of finding one that's not necessarily high paying, but offers other rewards (enjoyable, flexible, passion projects, good coworkers, good commute, etc.)
Thanks for the encouragement! It makes me think there is hope!!
I totally agree--you have got this inverted!: You want to earn money doing what you want to do, and being who you want to be. Not the other way around. Soooooo...if you had a magic wand, what would your dream work and activity be? Surely there is more for you than "plenty of volunteer and other activities that I can be engaged in almost full-time." Too many people think of jobs as making money so they can stop making money, but the bigger goal is to do what you want to do and to work on something worth doing.

You are still very young--there is a whole other career and for you ahead. What's inside your heart (not your wallet)?

Beehave
Posts: 347
Joined: Mon Jun 19, 2017 12:46 pm

Re: Can I break the tape in 5 years?????

Post by Beehave » Sat Jun 23, 2018 10:25 am

I am much less of an expert than others who will comment about the finances. But with what you have and your willingness to work longer (I think I read that) and then work part-time you look to be in very good shape to me.

I am retired and working part-time for low pay but nice community engagement and mental stimulation. I am happier doing some work than no work. So your openness to employment or volunteer work sounds very good to me.

Your holdings, as you seem to suggest, are good except perhaps if some black swan event occurs that affects the economy. Perhaps you should consider
(a) an immediate annuity in case you or spouse do not have pensions.
(b) some kinds of investments (not going crazy overboard) that protect against prolonged deflation and inflation.

Good luck and best wishes.

P.S. If something bad happens in the economy at the time your child is headed to college, consider the possibility of community college for 2 years. You seem willing to pay 1/2 of the cost of education, that might be a way for your child to exit college virtually debt free. I teach now at a community college (many years ago having taught at a top state U) and remain surprised at the high quality of education that can be obtained there especially if some care is taken about which courses and instructors.

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