Hi folks,
New convert to the Mustachian way here. I'm in the process of figuring out my numbers, but I couldn't find a satisfying calculator because I've two goalposts.
- FI - earlier the better
- RE - where I mayhave long-term health care costs and need a bigger nest egg
From the blog, I read that optimism is a component of thinking like a Mustachian, so I wonder if this conservatism veers into paranoia. I see the importance of investing in one's own health from this calculation, at least. If this line of thinking is reasonable though, are the formulas I'm using reasonable?
I made a google spreadsheet (Edit: link removed) with
- ROR = 5% after inflation
- FV of nest egg at age of FI=FV(ROR, (age of FI - current age), -(annual contribution), -(current nest egg), contribution made at end of year)
- FV of nest egg at age of RE=FV(ROR, (age of RE - age of FI), (current annual spending + ACA), -(FV of nest egg at age of FI), withdrawal made at beginning of year)
Thanks!
-C