I'd like to post this on "Ask a Mustachian" forum, but it wouldn't let me, so here it is...
Income:
Currently, I(age 36) make $65K and DH(age 37) makes $90K with a total of $155K.
He will have a pension of about $200 at 62
We have a rental property that generates net of about $600 that we give it to DH's mom to help out, but we'll have it eventually.
Our Net income is $8,500
Expenses:
Mortgage of $2500/month ($2000 + $500 as additional principal) on a 15 yr loan at 2.875% (I think we should invest that extra $500 principal and just pay $2000 but DH thinks differently... so I let him pay it. At this rate we should be paid off by 2024, or when we are about 46, 47 yrs old)
After care and extracurricular activities for kids (5 and 6 yrs old) is $1,000/month
We go to church and give about $500/month
No car payments (we have 2011 Hyundai Sonata and 2000 Toyota 4Runner, and 2000 Toyota Solara, all in good condition)
Misc (gas, activities, eating out, utilities, groceries, gifts, anything else I haven't mentioned) - $2,500
Total expense is about $6,500
Liabilities: None besides the mortgage mentioned above
Assets:
My 401K - $50,500
DH 401K - $30,000
My roth IRA - $88,000
DH roth IRA - $5,000
Other stocks - $30,000
Checking and Savings - $15,000
(I max out my 401k at $17,500 ($10,000 into roth 401k and $7,500 into traditional 401k) with no match from employer and max out Roth IRA at $5,500, but DH puts 6% into his 401K with 3% matching from employer. So every year, we save about $33,000 minimum, roughly 20% of our income.
Total Asset - $218,500
Mentionables:
We have no cable. We visit both our parents often, about 4 times a week where we'll have dinner prepared by them so it saves our groceries. They live within 10 miles and it's a win/win situation. We are both healthy now and excercise about 3 times a week.
At this rate, and with a hopeful expectation of aobut 8% returns on our assets, we expect to have roughly $1.3MM by age 50 and $2.1MM by 55.
I learned about SEPP, so thinking about taking that option until we turn 62 to collect our SS pmts. At 62, we'll be able to collect about $3,000/month.
Hopefully when we retire, thinking $3,000 to $4,000 expense per month without mortgage and kids' expenses. We are not big spenders and enjoy spending time with friends and traveling a little.
What do you guys think? Would it work?
Updates:
Currently, our health insurance is covered by our employers but after retirement, I wasn't sure how much our health insurance would be out of pocket and are not included in the post retirement expenses above.
We are not contributing to our children's college education b/c we want to cover for our retirement first and figured we can help them pay for their student loan later.