Hey all,
I'm new to the financial independence world and I'm enthralled! I'm a 24 year old woman entering my second year of full time work. I love my job, but I don't want to be tied to one forever...
I save over 50% of what I earn. I've invested in VTSMX per MMM's suggestion (which I'm considering adding to and exchanging for VTSAX, per jlcollinsnh's suggestion). I just maxed out a Roth IRA for this year. I also started my 401(k) through work and intend to max that out.
Here's my simple question: how do I live off my investments? I don't mean that in a complainypants way! I mean logistically, how do I put money I've invested back into my checking account so I can live off of it?
Of all I've learned I've missed this practical step. I recently realized (to my chagrin) that 401(k) money has a penalty for withdrawal before age 59.5. I realize I can withdraw Roth IRA initial investments, but not gains. It's starting to feel like any money I invest is off-limits until my hair is completely gray. How do I GET the money I've invested when I retire before my almost-60s? What parts of it, exactly, will I be living off of?
Thanks for your help! If you have any suggestions lifestyle or investment wise for someone my age, I'd love to hear that too.