- $20K - Checking Accounts
$330K - Other taxable account (after selling all my vested stock options a few weeks ago). I already paid a lot of taxes when they vested, sold them almost immediately when they vested, so I don’t think tax consequences will be large.
$120K - Incoming Cash - Cash proceeds I will receive from sale of house later this month (this is net of paying off mortgage, agent fees and closing costs). We are under contract and closing before end of month, so there is obv some risk of this falling through, but I hope not.
Tax-advantaged retirement-focused accounts: $630K
- $40K - My roth - Funded in 2020. At fidelity - 100% FZROX. Plan to keep maxing this out via backdoor.
$40K - Wife roth - Will fund in 2020 (using cash above) At fidelity - 100% FZROX. Plan to keep maxing this out via backdoor.
- $250K - My current 401K - At fidlity - 70% FID 500 Index, 30% FID small cap index. Both low expense ratios. I max this out.
$30K - My current executive deferred comp plan. In a total market fund with a decent expense ratio. I contribute 10% of my income to this. I understand there is some risk here, if company went insolvent, but I am hoping to only be with the company for 1-2 years more maximum.
$190K - Wife’s 457(b) - She just “retired.” This is in a stock index that replicates S&P 500 with a bad expense ratio.
$80K - My old 401K - Vanguard funds with low expense ratios.
- Bonus of $50K-$60K at end of Q1 - This is a pre-tax amount
$150K worth of stock (as of now) that will vest in December of 2020. Hard to know what will happen to value of stock between now and then. When stock sells, shares are automatically sold for tax withholding, so the $150K is also a pre-tax amount.
$100K worth of stock that will vest in December 2021. I don’t want to stick around for this, so I will probably lose out on this amount.
Current salary is $220K/yr
Student loans are finally wiped out (it was a lot……). We own two cars with no loans. Once house closes, I will have no mortgage. We are renting a house now.
I’m 37. Wife 36. Kids aged 5 and 4. We both got a late start on our careers, but I have been fortunate to land somewhere where I was able to make a big impact, and I have been and still am compensated well.
I want to feel financially secure with little debt. This is important to us. I would like to have a very low mortgage or none. I know this is probably silly in today’s market of low interest mortgages, but I’ve lived with a big mortgage and big student loans for last 10 years, and I couldn’t stand it.
I want to save for my children’s undergrad education at state school (tuition currently 11K/year) at best state school in our state. I would love to take a certain amount of cash from vested stock sale and invest it in a target fund (all in a 529?) and know I have this more or less covered.
I don’t have a strong desire to retire super early, but I would flexibility to retire at 60 if possible. We do not see ourselves living extravagantly in retirement. I am okay with 100% equities in retirement funds for next 7-10 years.
I would like to quit my job in December 2020 (after stock vest) and find a less stressful one OR find one I am passionate about, perhaps with high upside, but starting over in a new industry.
These are things I know. But I don’t really know what to do next, which is embarrassing because I’m good with financial math and time value of money. What should I do with all this cash? Do I have enough saved in retirement accounts if I keep maxing them? Should I worry about over-funding a 529K if I open on? My problem is that I load all this stuff in a spreadsheet, and get way way too granular with modeling and then I never make any decisions. (I was proud of myself for rounding to nearest 10K in above.) I feel like I am good at giving other people advice, but am lost right now on how I should proceed. How do I break out of analysis paralysis? Should I consider a financial adviser if I know I have this tendency?