Hi, new to the site hoping for some advice from the wisdom of this crowd.
Life Situation: 52, male, married (26 years) two boys (one 24 working, one 21 a Junior at College), one dog (Lab) living in the north suburbs of Chicago, IL. Sold my company in 2016, earnout complete end 2019.
Gross Salary/Wages: $250,000 salary $100,000 annual bonus.
Other Ordinary Income: Rental Income $1,000 per month ($12,000 per year) share in a property.
Investments: $4,118,507.43 invested in Cash, bonds, stocks, commodities, REITS and Alternatives.
House: $1,114,000 (according to Zillow), No mortgage. Property taxes: $20,000 per year.
Other property: Estimated value $232,548.07 (% share)
Other Assets: About $200,000
Future income: $1,785,353 due during 2018 and 2019 remaining payments on business sold (all except $350k guranteed, last part dependent on performance).
Debt: None, pay off credit cards each month, no mortgage.
Other: Will pay for the last year of son's college out of 2017 bonus.
Current expenses:
Category January Annualized
Shopping $1,188.11 $14,257.32
Kids $5,115.93 $61,391.16
Auto & Transport $985.76 $11,829.12
Food & Dining $1,562.05 $18,744.60
Education $1,000 $12,000.00
Travel $750.38 $9,004.56
Health & Fitness $1,317.92 $15,815.04
Bills & Utilities $874.02 $10,488.24
Home $1,289.64 $15,475.68
Gifts & Donations $720.00 $8,640.00
Pets $47.69 $572.28
Entertainment $485.17 $5,822.04
Business Services $281.01 $3,372.12
Fees & Charges $34.00 $408.00
Personal Care $30.00 $360.00
Uncategorized $260.00 $3,120.00
Total $15,941.68 $193,300.16
Expected ER expenses: (optional, if relevant): Expect health costs and travel to go up in retirment expect Kids costs to go down after last one graduates college.
Specific Question(s): Clearly we have been very fortunate and has amassed a decent chunk of wealth. We also clearly spend too much. When I retire I have these questions for the wise Mustacians:
1. What advice do you have for investing in happiness vs pleasure?
2. I feel that my expenses are way high and don't really need to be, what are the three biggest areas you would cut back on?
3. I am thinking about renting the house out and sailing around the world, has anybody done that, any good threads to follow?
Much thanks.