Hello fellow mustachians!
I am trying to calculate how much passive income + safe withdrawal rate income we have right now. Here is our financial situation
Primary house
Value: $525,000
Mortgage: $400,000
Investment properties
Total value: $1,200,000
Total mortgages: $685,000
Retirement accounts: $400,000
Brokerage accounts: $275,000
I'm currently getting $36,000/year in cash flow from my rentals. I'm trying to calculate my safe withdrawal rate. I know it's 4% of my net worth, but I'm unsure what to include in my net worth.
Do I include my primary home as part of my net worth?
Since I'm already getting passive income from my rentals, do I include the investment property values as part of my net worth?
My wife and I are 29 and 31, respectively. Should we add our retirement accounts as part of the SWR calculation?
Thank you!