Happy holidays all!
Need some help trying to see if it’s possible for us to “retire” in 10yrs.
I am 36yo, spouse is 40yo.
Income: $110k
Expenses: $3300/mos
• Rent a 3bdrm home--$1650 in Cali. (3rd bdrm hm office use)
• CP—Airvoice—$60
• Groceries: 320
• Car insurance: $130
• Car Gas: 160
• Misc: 205 (Hair, clothes, meds, etc.)
• Gym: 32
• Netflix: 8
• Entertainment: 105
• Baby stuff—diapers, formula, etc: 200
• Timeshare (no need to punch me in the face, I do it everytime I talk about it)--$120
• Electicity--$105
• Gas: 35
• Water: 35
• Internet $54
• Costco $40
• Term Life Ins--$25
• Pet $15
Expected ER Expenses: $3200
• Added in health care
• No mortgage hopefully
Assets:
My portfolio is 80/20 mix; I am working on adding 20% foreign equities to my current stock/bond mix. Starting 2014 we max out Roth's, and my 457.
• Roth’s: VTSX and Vanguard Total bond—Mine $19k, Her’s 19k
• 457—90K mix of large, small, med cap (limited options, but they are low cost, index funds)
• Spouse 401k: $10k--Target retirement fund (puts away $600/mos--working Part-time)
• Taxable acct (VTSMX): $13k--$10k is for the house; 3k I’m transferring to a Vanguard 529 (put $300/mos to
529)
• Savings account: 36k--$20k is for house; 16k is ER savings
• We save $250/mos for vacation and $1000-3000/mos for a house dwnpmt.
Future assets:
• In 31 yrs: My pension w/ COLA--$2000; My SS--$700
• In 27yrs: Spouse pension w/ COLA--$200; Spouse SS--$1300
• Also get 40% med benefits covered
I had planned for us to save an additional 400k in the next 10yrs, to make it a total of $540k saved in Vanguard index funds 8020 (not going to predict what the market will make that # look like in 10yrs).
Liabilities: No debt, and are saving for a house (plan to only get up to a 200k mortgage loan, after putting 20-30% down).
Am I being unrealistic that we can "retire" at this point after 10yrs? I still plan to teach a few courses, and do private practice--which can bring in $30k (I prefer to low ball everything), but not sure if we will get screwed with paying health insurance and taxes. Plus we have 2 newborn babies, we are frugal, but still I don't know how much kids cost.