Long time reader, first time posting.
Life Situation: Single 41, in MA been with same company since high school, has been good for me, but now I feel it is time to reinvent myself, take a step back/time away from the dilbertesque life and rediscover the world around me that I allow to be blocked out in wake of deadlines and corporate ways.
Gross Salary/Wages: 110k +potential bonus
Pre-tax deductions: 401k max each yr
Other Ordinary Income: N/A
Adjusted Gross Income: 85K, est
Taxes: 26K total est
Current expenses:
Mortgage 1500/mo (P/I 1200, plus extra 300/ mo to principle)
Investments -1700mo
Property tax 4k/yr, exise 60/yr, Insurance(home and auto) 2k yr, gas 100/mo, oil heat 1500-2K/yr(depends on the weather), phone -0(work covers, RE plan is to go to republic or other plan for no more than 50/mo max) internet 75/mo(includes 5/mo for a few basic cable channels), food 150/mo, misc(clothes, household, hobbies, etc.) 2-5K yr est
Expected ER expenses: in addition to above: health care- est 4k yr based on ehealthinsurance quotes, and cheap cell plan.
Assets: 401(k) 360K, roth 35K, taxable investments 289K, cash 46k, 10yr old car (not really an asset, but is paid for)
Liabilities: 15 yr Mortgage: bal 143K @2.75%.
Specific Question(s): Found MMM a while ago, realized I was already living a semi mustachian style without knowing it, and reading MMM and others have added focus towards a better way of living. I feel ready to FIRE, but would appreciate a sanity check, as I my mental drive to move away from corporate life may be clouding the reality of being a bit more patient or thorough to have better assurance.
In a nutshell, with about 730K in assets, and the mortgage of 143K at 2.75% I feel I am at the point where RE is possible provided I realize the mortgage accounts for 18K additional spending for the next 8 years, or pay it off and be with expenses at about 18K/yr. Either way, if I apply the 4% rule: without paying the mortgage off, I will be above 4% until it is paid(5% for 8 yrs or so), or pay it now and at 18K spending, be below 4% of assets. Am I off in this logic? Anything missing I should look into or account for? The logical choice tells me to stay with the mortgage and keep the assets working for me as they have potential to reap more in return over the 8 yrs than the 2.75% mortgage, but the comfortable option of paying it now has sound mental benefits.
Facepunches or ideas of moving or changing things to further lower expenses are welcome, but I like the area and family are literally a mile away, nice to be close by as parents age and be in a position to help them. On one hand, to escape corporate America and take a year or two off to allow myself to reset, find what truly interests me and gain a happier future seems great, but on the other hand I fear I may be making a hasty decision. Feedback from others who have made the transition would be appreciated. Thanks for reading