Retirement Savings -- Countup

[Randomsaver]

Depends on how the $43k is invested. Are you investing it?June 2028 you will be 55? what are ou saving now?

Correct. Have to work till June 2028 to save $43. i am very risk averse on this $43K + $37K = $80K pre-retirement war chest, investing 65% in stock index and the rest in bonds. Not like my 401K which is 100% invested in stock index, 0 bond.

[Randomsaver]

401K Retirement Savings: $ 299K (market gone up)
IRA Retirement Savings: $ 61K
Subtotal Retirement Savings: : $ 360K
Pre-Retirement Savings: $ 38K


My Forecasted Monthly Retirement Check Amounts, if to retire starting 2025 (actual withdrawal can only start in Jul of 2031):
401 : $ 1.43K
IRA : $ 0.28K
SS : $ 1.47K
Tot : $ 3.18K
End-Goal : $3.50K
The mood is sell if up.

[LivingAlmostLarge]

Either the market is super good or your are saving like $6k/month now in your pre retirement. Weren't you just at $0 in march 2024 and less than 6 months later you are at $38k? So you are saving a huge amout monthly. End of march you saved $17k in one month. $19k May, early july $23k, end of july $25k, August $28k, then September $31k, then 37k and now $38kin 8 months. If your goal is $80k you will hit that in one year.

And your retirement savings is up $60k for the 8 months from march to october so i'm not sure you need 4 more years? Why do you think you need 4 more years? Saving at the pace you are it looks like you are saving about $5-6k/month.

[Randomsaver]

Hmm so from 17K (which was from my other accounts transferred) in Mar, I'm 38K now. So with 20K new savings in about a year for 2025, 2026 and 2027, I could target 100K balance. Thanks LivingAlmostLarge!



Really prioritizing this account. Not much awareness happening on how to retire around 50-55 years old. People see their retirement funds go up to a comfortable balance in that age range and yet does not have any cash to actually retire.

[kork13]

Really prioritizing this account. Not much awareness happening on how to retire around 50-55 years old. People see their retirement funds go up to a comfortable balance in that age range and yet does not have any cash to actually retire.

See, that's my biggest retirement fear. Sure, went got tons of cash in retirement, but how much is actually accessible when I'm looking at retiring very young (50 or younger)? This is why our plan has focused on building up Roth IRA/401K accounts, taxable brokerage, and rental properties. We have (and want) very little in our traditional 401k accounts.

[LivingAlmostLarge]

See, that's my biggest retirement fear. Sure, went got tons of cash in retirement, but how much is actually accessible when I'm looking at retiring very young (50 or younger)? This is why our plan has focused on building up Roth IRA/401K accounts, taxable brokerage, and rental properties. We have (and want) very little in our traditional 401k accounts.

I'm not sure you have to worry. You are retiring with a military pension. Did you read that guy nords? He really lays it out well for military retirees in his book i heard.

My thoughts on this is that you have to look at the time frame of retirement in terms of years until say SS and RMDs hit. And you have to look at where you are income wise during these years of savings. Our friends targeting retirement in 2030 at age 50 max out the 401k because they are in the 37% bracket. They make a lot. They are also stashing whatever they can in HSA and taxable accounts. They need to fund their own retirement but there is no way they will be close to making the income they make in retirement that they make now. So might as well take whatever tax breaks they can get

[kork13]

I'm not sure you have to worry. You are retiring with a military pension. Did you read that guy nords? He really lays it out well for military retirees in his book i heard.

You're right, and I think "fear" was probably the wrong word. More just a concern, something to prepare against. The concern is not that I won't have enough money to retire at will.... Simply that it'll be locked up & effectively inaccessible for 15+ years. It's mostly just that I want to retain as much flexibility as possible.

[Randomsaver]

You're right, and I think "fear" was probably the wrong word. More just a concern, something to prepare against. The concern is not that I won't have enough money to retire at will.... Simply that it'll be locked up & effectively inaccessible for 15+ years. It's mostly just that I want to retain as much flexibility as possible.

Also, if one is planning to retire abroad, US banks don't usually lend for properties abroad. So that million dollar opportunity to live 50 steps from the beach will have to wait when SS kicks and by that time the price is already doubled or tripled.

[LivingAlmostLarge]

You're right, and I think "fear" was probably the wrong word. More just a concern, something to prepare against. The concern is not that I won't have enough money to retire at will.... Simply that it'll be locked up & effectively inaccessible for 15+ years. It's mostly just that I want to retain as much flexibility as possible.

Understandable. A lot like Random saver. But personally with prepping for SORR, if done responsibly for most early retirees you should be preparing honestly I think for a stacked 5 year bond tips ladder for early retirement. As a military pension you don't have the same problems the rest with a portfolio do. Having accessible cash for I think 5 years as you head into early retirement will buffer against most issues that come up. Of course like my friends if you make BOATLOADS of money and you will never have that much in retirement you might as well stash the cash you can and it doesn't matter where. At that income you can't stash enough tax deferred. So you have to pay taxes.

We are much in the same boat. We are maxing out our tax deferred space but at the same time we are just building the porfolio. There is only so much tax efficiency we can do. The bottom line is when you want to retire early or are able too you aren't going to be tax efficient. If you don't live in poverty level but instead have a "large shovel" then you are going to run out of space to maximize your tax deferred and your tax free space.

I mean it's only $69k per person into 401k even if all roth. Maybe $76k if over 50. Then $7k roth ira. Then max is $18k gifting. You are "only" looking at $100k savings before the taxable space is hit. And if you make a lot it's still not enough.

[Randomsaver]

Savings to Retire at 55 to be used for Age 56-60
Balance: :$ 42K
End-Goal by 55: $100K (that means a living budget of $20K/year for age 56, 57, 58, 59 and 60)
Retirement Condo $400K: Fully Paid (No Renting expense!)

At 61, 401K will cover 1 Year; at age 62, it is SSS onwards
401K Retirement Savings: $ 309K (Trump won, market gone up)
IRA Retirement Savings: $ 63K
Total Retirement Savings: $ 372K


My Forecasted Monthly Retirement Check Amounts, if to retire starting 2025 (actual withdrawal can only start in Jul of 2031):
401 : $ 1.47K
IRA : $ 0.29K
SS : $ 1.47K
Tot : $ 3.23K
End-Goal : $3.50K
The mood is sell if up.

[james.hendrickson]

More slow but steady progress:

TSP: $4,720.00
SEP IRA: $6,229.95
ROTH IRA: $16,798.71

[LivingAlmostLarge]

Randomsaver is living on $20k feasible? Will it be awful? i ask that most seriously.

[Randomsaver]

* Yes outside of America. Currency exchange and no rent helps a lot. $20k becomes $50K.

[Randomsaver]

Savings to Retire at 55 to be used for Age 56-60
Balance: :$ 42K
End-Goal by 55: $100K (that means a living budget of $20K/year for age 56, 57, 58, 59 and 60)
Retirement Condo $400K: Fully Paid (No Renting expense!)

At 61, 401K will cover 1 Year; at age 62, it is SSS onwards
401K Retirement Savings: $ 305K
IRA Retirement Savings: $ 61K
Total Retirement Savings: $ 366K (healthy pullback allows for buy on discount)


My Forecasted Monthly Retirement Check Amounts, if to retire starting 2025 (actual withdrawal can only start in Jul of 2031):
401 : $ 1.46K
IRA : $ 0.29K
SS : $ 1.47K
Tot : $ 3.22K
End-Goal : $3.50K
The mood is buy the dip.

[LivingAlmostLarge]

Savings to Retire at 55 to be used for Age 56-60
Balance: :$ 42K
End-Goal by 55: $100K (that means a living budget of $20K/year for age 56, 57, 58, 59 and 60)
Retirement Condo $400K: Fully Paid (No Renting expense!)

At 61, 401K will cover 1 Year; at age 62, it is SSS onwards
401K Retirement Savings: $ 305K
IRA Retirement Savings: $ 61K
Total Retirement Savings: $ 366K (healthy pullback allows for buy on discount)


My Forecasted Monthly Retirement Check Amounts, if to retire starting 2025 (actual withdrawal can only start in Jul of 2031):
401 : $ 1.46K
IRA : $ 0.29K
SS : $ 1.47K
Tot : $ 3.22K
End-Goal : $3.50K
The mood is buy the dip.

How much longer to hit 55? How long to save $58k?