Super-savers in 401(k) - what are your retirement plans?

[Anonymous]

DH and I are in our early 40s and each have about $750,000 in our TSPs - we're feds so also each will have about 30% of our salaries in defined benefit pensions, our house paid off, and fully funded 529s for our kids. We thought that we were doing great based on retirement calculators, financial advice articles, etc. And then I look on this site and it seems like half the people have $4-5 million in their 401k's. I'm interested in what you have planned for retirement. Of course we'd like to travel, etc., but we're also balancing the desire to enjoy some of our money now with vacations while we are in good health (because who knows what will happen to us in 20-30 years).

[Anonymous]

Anonymous wrote:DH and I are in our early 40s and each have about $750,000 in our TSPs - we're feds so also each will have about 30% of our salaries in defined benefit pensions, our house paid off, and fully funded 529s for our kids. We thought that we were doing great based on retirement calculators, financial advice articles, etc. And then I look on this site and it seems like half the people have $4-5 million in their 401k's. I'm interested in what you have planned for retirement. Of course we'd like to travel, etc., but we're also balancing the desire to enjoy some of our money now with vacations while we are in good health (because who knows what will happen to us in 20-30 years).

This site is not reality. Stick with your plan. 1.5 mil in TSP at early 40s, you are doing better than most people out there. Stay the course.

[Anonymous]

Assuming you’re both GS-15 level your pensions will each be ~50k/year with COLA. That’s easily worth 1 million in 401ks which brings your combined total up to 3.5 million (not that much less than the super savers you’re describing)

[Anonymous]

Super savers are generally idiots. Why deny yourself today in the hopes of indulging next month when you could get cancer and die next week?

Save, yes, for sure. But not at the expense of living fully for the present.

[Anonymous]

Anonymous wrote:Super savers are generally idiots. Why deny yourself today in the hopes of indulging next month when you could get cancer and die next week?

Save, yes, for sure. But not at the expense of living fully for the present.

Speaking of idiots...

[Anonymous]

Anonymous wrote:Super savers are generally idiots. Why deny yourself today in the hopes of indulging next month when you could get cancer and die next week?

Save, yes, for sure. But not at the expense of living fully for the present.

This. I’m a child of super savers. My mom forgoes a cleaning lady, fancy vacations, nice clothing etc. Her life revolves around dollar amounts in the bank. I will be inheriting the money and spending it. I can’t take it with me!

[Anonymous]

Anonymous wrote:

Anonymous wrote:Super savers are generally idiots. Why deny yourself today in the hopes of indulging next month when you could get cancer and die next week?

Save, yes, for sure. But not at the expense of living fully for the present.

Speaking of idiots...

Don’t make this thread about you, love.

[Anonymous]

OP - you're doing great. Stay the course. Your future self will thank you.

Regarding what you'll do... that's your call. You'll have independent, debt-free kids, no mortgage, a permanent six-figure income with COLA, and about $4M in retirement savings. Oh, and federal retiree health benefits. Aside from ultra-luxury spending, I fail to see what you /can't/ do!

[Anonymous]

How can you be a super saver in a 401k? You can only put in $19,500. That makes for a nice retirement, but it's not 5m in the bank.

[Anonymous]

you are doing fine. just don't listen to "you may die tomorrow, spend today" idiots.

[Anonymous]

Anonymous wrote:How can you be a super saver in a 401k? You can only put in $19,500. That makes for a nice retirement, but it's not 5m in the bank.

Well, OP might. 750k at early 40, OP has ~20 more years to go. She will be able to triple that. Then OP will have a life-long pension of almost 70k per year (today's money). That's a lot of money. Double for OP's spouse too.

[Anonymous]

Anonymous wrote:How can you be a super saver in a 401k? You can only put in $19,500. That makes for a nice retirement, but it's not 5m in the bank.

Well many super savers also save in their Roth. If you work until about 65-67 and you were a super saver for about 30 or so years then you will most likely have 4-5million. Especially if you get a match.

[Anonymous]

You’re doing great and just stay the course. 90%+ of the people on this site would be very happy to be in your situation.

[Anonymous]

Anonymous wrote:DH and I are in our early 40s and each have about $750,000 in our TSPs - we're feds so also each will have about 30% of our salaries in defined benefit pensions, our house paid off, and fully funded 529s for our kids. We thought that we were doing great based on retirement calculators, financial advice articles, etc. And then I look on this site and it seems like half the people have $4-5 million in their 401k's. I'm interested in what you have planned for retirement. Of course we'd like to travel, etc., but we're also balancing the desire to enjoy some of our money now with vacations while we are in good health (because who knows what will happen to us in 20-30 years).

People who have $4-5M in their retirement accounts in their early 40s are extreme outliers. You're an outlier with $1.5M combined at this age, plus a pension. Keep it up because what you're doing is clearly working. Don't waste time worrying about DCUM posters (who may or may not be telling the truth) doing better than you, since you're doing very well yourself.

[Anonymous]

Anonymous wrote:How can you be a super saver in a 401k? You can only put in $19,500. That makes for a nice retirement, but it's not 5m in the bank.

its amazing how many people on this board don't understand retirement plans and how they work. Combined contribution (employee + employer) maximums for 2022 are $61,000 (under 50) or $67,500 (over 50). Those limits easily allow for 5M in the bank. Take into account that some of that can be Roth / post tax, and it realizes you even more in retirement.