Can we afford to retire now?

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:How much is your mortgage?

We are aiming for $250k/year after paying off mortgage and kids’ college costs.

then you would probably need 6M.

we have 3 and our yearly spend is about 120.

Who are you crazy ppl who think one needs 6 million to retire?? What is the percent of US population able to even get close to accumulating anything like this?

people on here spend LOTS of money. that's why! people don't want to retire and then have to scale their lifestyle/spend WAY DOWN.

This post is written by a person whose yearly spend is supposedly 120k... That's not a lot of money for a family of 5.. That's austere modest living. And if these type of people think they need 6 mil I want to know what's going through their head.

My bad. It's in response to a post of people making 250K. Still 250K for family living doesn't translate to having to spend this in retirement to maintain the same lifestyle (child related expenses, college savings, etc go away). It definitely doesn't require 6 mil liquid to be able to maintain this lifestyle especially if your home is already paid off or mortgage is modest. This HHI doesn't buy lavish lifestyle with vacation homes, abundant dining/travel, luxury shopping, etc. It's a middle class lifestyle for HCOL areas. And ppl wanting middle class life in retirement have to have 6 mil saved? That's crazy talk.

Ok, I think one factor that adds up to the anxiety I see here about retirement is healthcare costs, which for self insuring 50+ ppl are high. It's why we should hope this gets fixed to some extent, so that people don't have to pay another mortgage to get health insurance. I guess if your house is already paid off then you can afford private health insurance. But if you have limited income don't you also qualify for discounts?

yes, escalating health care costs are real. A silver EPO plan in my state is $1600/year per 55 year old, and goes up each year towards 65. That's medical only, with a $7K ind/$14K family deductible. That's $3.2K/month just to insure 2 adults, then you have to pay for most things until you hit the dedcutible. Not hard to assume you will spend $4.5K/month on all medical/dental/vision (since you have to pay the massive deductible first before medical really kicks in)

So unless you would get a reduction (and I doubt those are returning, and many of us make too much to get those even in retirement), medical is a huge part of your expenses. In comparison, we pay $500/month to cover the entire family (as many kids as you have and spouse), with a $1K/2K dedcubitles and dental/vision as well. So it's a huge increase in expenses versus when we were employed

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:How much is your mortgage?

We are aiming for $250k/year after paying off mortgage and kids’ college costs.

then you would probably need 6M.

we have 3 and our yearly spend is about 120.

Who are you crazy ppl who think one needs 6 million to retire?? What is the percent of US population able to even get close to accumulating anything like this?

people on here spend LOTS of money. that's why! people don't want to retire and then have to scale their lifestyle/spend WAY DOWN.

This post is written by a person whose yearly spend is supposedly 120k... That's not a lot of money for a family of 5.. That's austere modest living. And if these type of people think they need 6 mil I want to know what's going through their head.

My bad. It's in response to a post of people making 250K. Still 250K for family living doesn't translate to having to spend this in retirement to maintain the same lifestyle (child related expenses, college savings, etc go away). It definitely doesn't require 6 mil liquid to be able to maintain this lifestyle especially if your home is already paid off or mortgage is modest. This HHI doesn't buy lavish lifestyle with vacation homes, abundant dining/travel, luxury shopping, etc. It's a middle class lifestyle for HCOL areas. And ppl wanting middle class life in retirement have to have 6 mil saved? That's crazy talk.

Ok, I think one factor that adds up to the anxiety I see here about retirement is healthcare costs, which for self insuring 50+ ppl are high. It's why we should hope this gets fixed to some extent, so that people don't have to pay another mortgage to get health insurance. I guess if your house is already paid off then you can afford private health insurance. But if you have limited income don't you also qualify for discounts?

yes, escalating health care costs are real. A silver EPO plan in my state is $1600/year per 55 year old, and goes up each year towards 65. That's medical only, with a $7K ind/$14K family deductible. That's $3.2K/month just to insure 2 adults, then you have to pay for most things until you hit the dedcutible. Not hard to assume you will spend $4.5K/month on all medical/dental/vision (since you have to pay the massive deductible first before medical really kicks in)

So unless you would get a reduction (and I doubt those are returning, and many of us make too much to get those even in retirement), medical is a huge part of your expenses. In comparison, we pay $500/month to cover the entire family (as many kids as you have and spouse), with a $1K/2K dedcubitles and dental/vision as well. So it's a huge increase in expenses versus when we were employed

What a rip off, I am wondering why we aren't protesting on the streets against this indentured servitude system requiring people to work FULL TIME just to get reasonable healthcare costs. We should at least demand we get similar discounts for part time work or contract work. This mess needs to end sometime.

It may be worth it to work on a plan to go overseas between 55-65 and then return here when eligible for Medicare.

[Anonymous]

The real hidden cost of retiring early is losing 401k catchup contributions.

this year I did the $23,500 and the new $11,250 catch up for 60-63. So a total of $34,750. And that is before match. For instance Fannie Mae pays a 8 percent match and they match on bonus too.

Someon making lets say $225K with a 75K bonus will get a $24,000 match.

So that would be $58,750 in 401k in one year.

60-63 alone doing max can massively increase 401k

Now imagine you work till 67 vs retiring early at 59.5 when you can first take your 401k penalty free and and did max each year with catch up at a place with a 8 percent match. Given the new 60-63 super catch ups it would grow a ton those last 7.5 years and you will be compounding your current funds too. Most likely it may double or even triple in size those last 7.5 years.

My BIL early retired at 62 in 2020. He had been pulling from his 401k the last 5 years and missed most of bull market Fall 2022 to today. By time he hits RMDs at 73 he will have used up a ton of his 401k already.

[Anonymous]

Anonymous wrote:The real hidden cost of retiring early is losing 401k catchup contributions.

this year I did the $23,500 and the new $11,250 catch up for 60-63. So a total of $34,750. And that is before match. For instance Fannie Mae pays a 8 percent match and they match on bonus too.

Someon making lets say $225K with a 75K bonus will get a $24,000 match.

So that would be $58,750 in 401k in one year.

60-63 alone doing max can massively increase 401k

Now imagine you work till 67 vs retiring early at 59.5 when you can first take your 401k penalty free and and did max each year with catch up at a place with a 8 percent match. Given the new 60-63 super catch ups it would grow a ton those last 7.5 years and you will be compounding your current funds too. Most likely it may double or even triple in size those last 7.5 years.

My BIL early retired at 62 in 2020. He had been pulling from his 401k the last 5 years and missed most of bull market Fall 2022 to today. By time he hits RMDs at 73 he will have used up a ton of his 401k already.

Right, but if you started early and have millions in your 401K / TSP by retirement, catchup contributions are small change. It's not worth forfeiting your healthy years of retirement for another million if you already saved enough.

[Anonymous]

Anonymous wrote:

Anonymous wrote:The real hidden cost of retiring early is losing 401k catchup contributions.

this year I did the $23,500 and the new $11,250 catch up for 60-63. So a total of $34,750. And that is before match. For instance Fannie Mae pays a 8 percent match and they match on bonus too.

Someon making lets say $225K with a 75K bonus will get a $24,000 match.

So that would be $58,750 in 401k in one year.

60-63 alone doing max can massively increase 401k

Now imagine you work till 67 vs retiring early at 59.5 when you can first take your 401k penalty free and and did max each year with catch up at a place with a 8 percent match. Given the new 60-63 super catch ups it would grow a ton those last 7.5 years and you will be compounding your current funds too. Most likely it may double or even triple in size those last 7.5 years.

My BIL early retired at 62 in 2020. He had been pulling from his 401k the last 5 years and missed most of bull market Fall 2022 to today. By time he hits RMDs at 73 he will have used up a ton of his 401k already.

Right, but if you started early and have millions in your 401K / TSP by retirement, catchup contributions are small change. It's not worth forfeiting your healthy years of retirement for another million if you already saved enough.

This

you shouldn't be retiring early if you actually need to add that much more to retirement and have it grow tax free. If that's the case, you are not ready to retire.

But yes, retire early if you can and just enjoy life and your good health (hopefully). You never know when things will decline (hint: in your 50s, even if you exercise and are healthy, shit starts to happen for many, it's natural decline of your body, so don't wait until 67 to travel and do things you want, you might not be able to)

[Anonymous]

Anonymous wrote:The real hidden cost of retiring early is losing 401k catchup contributions.

this year I did the $23,500 and the new $11,250 catch up for 60-63. So a total of $34,750. And that is before match. For instance Fannie Mae pays a 8 percent match and they match on bonus too.

Someon making lets say $225K with a 75K bonus will get a $24,000 match.

So that would be $58,750 in 401k in one year.

60-63 alone doing max can massively increase 401k

Now imagine you work till 67 vs retiring early at 59.5 when you can first take your 401k penalty free and and did max each year with catch up at a place with a 8 percent match. Given the new 60-63 super catch ups it would grow a ton those last 7.5 years and you will be compounding your current funds too. Most likely it may double or even triple in size those last 7.5 years.

My BIL early retired at 62 in 2020. He had been pulling from his 401k the last 5 years and missed most of bull market Fall 2022 to today. By time he hits RMDs at 73 he will have used up a ton of his 401k already.

Why would I work until 67 if I have $7M now at 49. I am retiring now. LOL.

[Anonymous]

Anonymous wrote:

Anonymous wrote:The real hidden cost of retiring early is losing 401k catchup contributions.

this year I did the $23,500 and the new $11,250 catch up for 60-63. So a total of $34,750. And that is before match. For instance Fannie Mae pays a 8 percent match and they match on bonus too.

Someon making lets say $225K with a 75K bonus will get a $24,000 match.

So that would be $58,750 in 401k in one year.

60-63 alone doing max can massively increase 401k

Now imagine you work till 67 vs retiring early at 59.5 when you can first take your 401k penalty free and and did max each year with catch up at a place with a 8 percent match. Given the new 60-63 super catch ups it would grow a ton those last 7.5 years and you will be compounding your current funds too. Most likely it may double or even triple in size those last 7.5 years.

My BIL early retired at 62 in 2020. He had been pulling from his 401k the last 5 years and missed most of bull market Fall 2022 to today. By time he hits RMDs at 73 he will have used up a ton of his 401k already.

Right, but if you started early and have millions in your 401K / TSP by retirement, catchup contributions are small change. It's not worth forfeiting your healthy years of retirement for another million if you already saved enough.

That only works if you can wait till RMDs not if you are hitting it early.Plus 401ks limits were actually pretty low years ago as was salaries. This year at $58,750 is masive for a 60-63 year old. As recently as 2001 the 401k max was $10,500 with no catch up. And in 2001 salaries were less meaning match was less. And from 2000 to 2010 was dead decade for stock appreciation.

[Anonymous]

Anonymous wrote:

Anonymous wrote:The real hidden cost of retiring early is losing 401k catchup contributions.

this year I did the $23,500 and the new $11,250 catch up for 60-63. So a total of $34,750. And that is before match. For instance Fannie Mae pays a 8 percent match and they match on bonus too.

Someon making lets say $225K with a 75K bonus will get a $24,000 match.

So that would be $58,750 in 401k in one year.

60-63 alone doing max can massively increase 401k

Now imagine you work till 67 vs retiring early at 59.5 when you can first take your 401k penalty free and and did max each year with catch up at a place with a 8 percent match. Given the new 60-63 super catch ups it would grow a ton those last 7.5 years and you will be compounding your current funds too. Most likely it may double or even triple in size those last 7.5 years.

My BIL early retired at 62 in 2020. He had been pulling from his 401k the last 5 years and missed most of bull market Fall 2022 to today. By time he hits RMDs at 73 he will have used up a ton of his 401k already.

Why would I work until 67 if I have $7M now at 49. I am retiring now. LOL.

Because you are stealing from your children and grandchildren. And to be honest 10 million is minimun at that age. College alone will be $500,000 a kid for you and medical insurance soon to be $50,000 a year based on past increases.

And property taxes will be $50,000 on a average house and new cars will be 100K. and these projections arse just in next 10-15 years.

My Mother in law who bought her house in 1964 today her property tax equal her purchase price. Someone buyng a house in Bethesda in 2024 for two million by 2084 will be paying two million a year property tax. Sounds scary. But it took my MILs house just 60 years to go to an annual property tax bill equal to her purchase price.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:The real hidden cost of retiring early is losing 401k catchup contributions.

this year I did the $23,500 and the new $11,250 catch up for 60-63. So a total of $34,750. And that is before match. For instance Fannie Mae pays a 8 percent match and they match on bonus too.

Someon making lets say $225K with a 75K bonus will get a $24,000 match.

So that would be $58,750 in 401k in one year.

60-63 alone doing max can massively increase 401k

Now imagine you work till 67 vs retiring early at 59.5 when you can first take your 401k penalty free and and did max each year with catch up at a place with a 8 percent match. Given the new 60-63 super catch ups it would grow a ton those last 7.5 years and you will be compounding your current funds too. Most likely it may double or even triple in size those last 7.5 years.

My BIL early retired at 62 in 2020. He had been pulling from his 401k the last 5 years and missed most of bull market Fall 2022 to today. By time he hits RMDs at 73 he will have used up a ton of his 401k already.

Right, but if you started early and have millions in your 401K / TSP by retirement, catchup contributions are small change. It's not worth forfeiting your healthy years of retirement for another million if you already saved enough.

This

you shouldn't be retiring early if you actually need to add that much more to retirement and have it grow tax free. If that's the case, you are not ready to retire.

But yes, retire early if you can and just enjoy life and your good health (hopefully). You never know when things will decline (hint: in your 50s, even if you exercise and are healthy, shit starts to happen for many, it's natural decline of your body, so don't wait until 67 to travel and do things you want, you might not be able to)

So this advice varies by family and by person. No for most UMC people the 50s are not when there are issues that would impact travel. That was the case 75 years ago. For many people it is not until their 70s or even 80s when they have issues. You never know but thinking you will have issues in your 50s that will prevent travel is crazy in 2025 for UMC people.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:The real hidden cost of retiring early is losing 401k catchup contributions.

this year I did the $23,500 and the new $11,250 catch up for 60-63. So a total of $34,750. And that is before match. For instance Fannie Mae pays a 8 percent match and they match on bonus too.

Someon making lets say $225K with a 75K bonus will get a $24,000 match.

So that would be $58,750 in 401k in one year.

60-63 alone doing max can massively increase 401k

Now imagine you work till 67 vs retiring early at 59.5 when you can first take your 401k penalty free and and did max each year with catch up at a place with a 8 percent match. Given the new 60-63 super catch ups it would grow a ton those last 7.5 years and you will be compounding your current funds too. Most likely it may double or even triple in size those last 7.5 years.

My BIL early retired at 62 in 2020. He had been pulling from his 401k the last 5 years and missed most of bull market Fall 2022 to today. By time he hits RMDs at 73 he will have used up a ton of his 401k already.

Right, but if you started early and have millions in your 401K / TSP by retirement, catchup contributions are small change. It's not worth forfeiting your healthy years of retirement for another million if you already saved enough.

This

you shouldn't be retiring early if you actually need to add that much more to retirement and have it grow tax free. If that's the case, you are not ready to retire.

But yes, retire early if you can and just enjoy life and your good health (hopefully). You never know when things will decline (hint: in your 50s, even if you exercise and are healthy, shit starts to happen for many, it's natural decline of your body, so don't wait until 67 to travel and do things you want, you might not be able to)

And who is traveling with you when you retire early. At 55 nearly everyone on my block had a housefull of kids at home all in school and pets. My new nieghbor I just met who is 55 has a 11, 13, 17 and 20 year old at home. Her husband is 58. Exactly how are they retiring and traveling the world young?

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:The real hidden cost of retiring early is losing 401k catchup contributions.

this year I did the $23,500 and the new $11,250 catch up for 60-63. So a total of $34,750. And that is before match. For instance Fannie Mae pays a 8 percent match and they match on bonus too.

Someon making lets say $225K with a 75K bonus will get a $24,000 match.

So that would be $58,750 in 401k in one year.

60-63 alone doing max can massively increase 401k

Now imagine you work till 67 vs retiring early at 59.5 when you can first take your 401k penalty free and and did max each year with catch up at a place with a 8 percent match. Given the new 60-63 super catch ups it would grow a ton those last 7.5 years and you will be compounding your current funds too. Most likely it may double or even triple in size those last 7.5 years.

My BIL early retired at 62 in 2020. He had been pulling from his 401k the last 5 years and missed most of bull market Fall 2022 to today. By time he hits RMDs at 73 he will have used up a ton of his 401k already.

Right, but if you started early and have millions in your 401K / TSP by retirement, catchup contributions are small change. It's not worth forfeiting your healthy years of retirement for another million if you already saved enough.

This

you shouldn't be retiring early if you actually need to add that much more to retirement and have it grow tax free. If that's the case, you are not ready to retire.

But yes, retire early if you can and just enjoy life and your good health (hopefully). You never know when things will decline (hint: in your 50s, even if you exercise and are healthy, shit starts to happen for many, it's natural decline of your body, so don't wait until 67 to travel and do things you want, you might not be able to)

And who is traveling with you when you retire early. At 55 nearly everyone on my block had a housefull of kids at home all in school and pets. My new nieghbor I just met who is 55 has a 11, 13, 17 and 20 year old at home. Her husband is 58. Exactly how are they retiring and traveling the world young?

I'll play. I'll be 56 when youngest goes off to college. DH "retired" last year at 60 (aged out). We have about $4mil saved. I'll be retiring next year, and we plan on traveling. DH is from another country, so we'll probably spend a lot of time there with his family, too, but while there, we plan on traveling around that continent.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:The real hidden cost of retiring early is losing 401k catchup contributions.

this year I did the $23,500 and the new $11,250 catch up for 60-63. So a total of $34,750. And that is before match. For instance Fannie Mae pays a 8 percent match and they match on bonus too.

Someon making lets say $225K with a 75K bonus will get a $24,000 match.

So that would be $58,750 in 401k in one year.

60-63 alone doing max can massively increase 401k

Now imagine you work till 67 vs retiring early at 59.5 when you can first take your 401k penalty free and and did max each year with catch up at a place with a 8 percent match. Given the new 60-63 super catch ups it would grow a ton those last 7.5 years and you will be compounding your current funds too. Most likely it may double or even triple in size those last 7.5 years.

My BIL early retired at 62 in 2020. He had been pulling from his 401k the last 5 years and missed most of bull market Fall 2022 to today. By time he hits RMDs at 73 he will have used up a ton of his 401k already.

Why would I work until 67 if I have $7M now at 49. I am retiring now. LOL.

Because you are stealing from your children and grandchildren. And to be honest 10 million is minimun at that age. College alone will be $500,000 a kid for you and medical insurance soon to be $50,000 a year based on past increases.

And property taxes will be $50,000 on a average house and new cars will be 100K. and these projections arse just in next 10-15 years.

My Mother in law who bought her house in 1964 today her property tax equal her purchase price. Someone buyng a house in Bethesda in 2024 for two million by 2084 will be paying two million a year property tax. Sounds scary. But it took my MILs house just 60 years to go to an annual property tax bill equal to her purchase price.

College is paid for. We only have one kid so that we would have more financial freedom. With $7M we have plenty to pay for health insurance and property taxes. Plenty! But by all means go ahead and widdle away for 10+ more years in you 9-5. I will be living my life fully.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:The real hidden cost of retiring early is losing 401k catchup contributions.

this year I did the $23,500 and the new $11,250 catch up for 60-63. So a total of $34,750. And that is before match. For instance Fannie Mae pays a 8 percent match and they match on bonus too.

Someon making lets say $225K with a 75K bonus will get a $24,000 match.

So that would be $58,750 in 401k in one year.

60-63 alone doing max can massively increase 401k

Now imagine you work till 67 vs retiring early at 59.5 when you can first take your 401k penalty free and and did max each year with catch up at a place with a 8 percent match. Given the new 60-63 super catch ups it would grow a ton those last 7.5 years and you will be compounding your current funds too. Most likely it may double or even triple in size those last 7.5 years.

My BIL early retired at 62 in 2020. He had been pulling from his 401k the last 5 years and missed most of bull market Fall 2022 to today. By time he hits RMDs at 73 he will have used up a ton of his 401k already.

Right, but if you started early and have millions in your 401K / TSP by retirement, catchup contributions are small change. It's not worth forfeiting your healthy years of retirement for another million if you already saved enough.

This

you shouldn't be retiring early if you actually need to add that much more to retirement and have it grow tax free. If that's the case, you are not ready to retire.

But yes, retire early if you can and just enjoy life and your good health (hopefully). You never know when things will decline (hint: in your 50s, even if you exercise and are healthy, shit starts to happen for many, it's natural decline of your body, so don't wait until 67 to travel and do things you want, you might not be able to)

And who is traveling with you when you retire early. At 55 nearly everyone on my block had a housefull of kids at home all in school and pets. My new nieghbor I just met who is 55 has a 11, 13, 17 and 20 year old at home. Her husband is 58. Exactly how are they retiring and traveling the world young?

I'll play. I'll be 56 when youngest goes off to college. DH "retired" last year at 60 (aged out). We have about $4mil saved. I'll be retiring next year, and we plan on traveling. DH is from another country, so we'll probably spend a lot of time there with his family, too, but while there, we plan on traveling around that continent.

DH and I will be 49 when our youngest heads to college. We were 31 when she was born. We will definitely be retired by 55. We could do it at 49 but want to make sure we have plenty for grad school and down payments for them. We already have plenty for our own retirement.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:The real hidden cost of retiring early is losing 401k catchup contributions.

this year I did the $23,500 and the new $11,250 catch up for 60-63. So a total of $34,750. And that is before match. For instance Fannie Mae pays a 8 percent match and they match on bonus too.

Someon making lets say $225K with a 75K bonus will get a $24,000 match.

So that would be $58,750 in 401k in one year.

60-63 alone doing max can massively increase 401k

Now imagine you work till 67 vs retiring early at 59.5 when you can first take your 401k penalty free and and did max each year with catch up at a place with a 8 percent match. Given the new 60-63 super catch ups it would grow a ton those last 7.5 years and you will be compounding your current funds too. Most likely it may double or even triple in size those last 7.5 years.

My BIL early retired at 62 in 2020. He had been pulling from his 401k the last 5 years and missed most of bull market Fall 2022 to today. By time he hits RMDs at 73 he will have used up a ton of his 401k already.

Why would I work until 67 if I have $7M now at 49. I am retiring now. LOL.

Because you are stealing from your children and grandchildren. And to be honest 10 million is minimun at that age. College alone will be $500,000 a kid for you and medical insurance soon to be $50,000 a year based on past increases.

And property taxes will be $50,000 on a average house and new cars will be 100K. and these projections arse just in next 10-15 years.

My Mother in law who bought her house in 1964 today her property tax equal her purchase price. Someone buyng a house in Bethesda in 2024 for two million by 2084 will be paying two million a year property tax. Sounds scary. But it took my MILs house just 60 years to go to an annual property tax bill equal to her purchase price.

College is paid for. We only have one kid so that we would have more financial freedom. With $7M we have plenty to pay for health insurance and property taxes. Plenty! But by all means go ahead and widdle away for 10+ more years in you 9-5. I will be living my life fully.

Anyone telling to you keep working has mental health issues with severe anxiety. Ignore. If you cannot retire with SEVEN f-ing millions, then 90% of US population cannot retire at all. Ever. You are at the point where money makes money for you and you do not need to work for income and you won't even touch your principal to have a nice life. congrats and ignore all this BS how you owe your kids sizeable trust funds, houses, private college grad schools, private schools for grandkids, etc. There is no such requirement.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:The real hidden cost of retiring early is losing 401k catchup contributions.

this year I did the $23,500 and the new $11,250 catch up for 60-63. So a total of $34,750. And that is before match. For instance Fannie Mae pays a 8 percent match and they match on bonus too.

Someon making lets say $225K with a 75K bonus will get a $24,000 match.

So that would be $58,750 in 401k in one year.

60-63 alone doing max can massively increase 401k

Now imagine you work till 67 vs retiring early at 59.5 when you can first take your 401k penalty free and and did max each year with catch up at a place with a 8 percent match. Given the new 60-63 super catch ups it would grow a ton those last 7.5 years and you will be compounding your current funds too. Most likely it may double or even triple in size those last 7.5 years.

My BIL early retired at 62 in 2020. He had been pulling from his 401k the last 5 years and missed most of bull market Fall 2022 to today. By time he hits RMDs at 73 he will have used up a ton of his 401k already.

Why would I work until 67 if I have $7M now at 49. I am retiring now. LOL.

Because you are stealing from your children and grandchildren. And to be honest 10 million is minimun at that age. College alone will be $500,000 a kid for you and medical insurance soon to be $50,000 a year based on past increases.

And property taxes will be $50,000 on a average house and new cars will be 100K. and these projections arse just in next 10-15 years.

My Mother in law who bought her house in 1964 today her property tax equal her purchase price. Someone buyng a house in Bethesda in 2024 for two million by 2084 will be paying two million a year property tax. Sounds scary. But it took my MILs house just 60 years to go to an annual property tax bill equal to her purchase price.

DP:

Paying for undergrad and a first car/setting up first apartment is really all we need to do. If a kid wants graduate school, they can fund it themselves. I wouldnt' work longer just for that.