Case Study: Build retirement and FIRE post-tax funds together?

[tallgrass]

Hi all, first time / long time!
I'm assuming I need:
about $1 million at age 55 to retire -- this can be done with about $18k/year put away
about $350k at age 45 to live off of/dwindle down until we reach 55 (based on a spreadsheet from MMM, 4.5% real returns) -- need close to $26k/year to do this

The BIG issue I'm trying to understand is saving money pre-tax via (ie our IRA & 401k) vs saving up the $350k post-tax money that would be the bridge between the ages of 45 to 55.  With our own business there are ways to get way more money into pre-tax accounts than we can save in any given year (I've only looked at this from a high level, but it sounds like it's possible for a couple to put $100k+/year).  The problem is if 100% of our contributions are into retirement accounts, I don't really see a scenario where we can stop working before we have access to that.  But does it make sense to forego pre-tax opportunity?  Not sure how to balance this.

Thanks!

[dandarc]

Read this - it will change your life:

https://forum.mrmoneymustache.com/investor-alley/how-to-withdraw-funds-from-your-ira-and-401k-without-penalty-before-age-59-5/

Once you internalize that you can withdraw from ira's and 401K's without paying a penalty, what to do today becomes obvious:

1. Max out tax-advantaged accounts to the extent possible.
2. Invest anything additional into after-tax accounts.

Another thing - 10% additional tax isn't the end of the world either. You don't have to hit the bullseye to come out ahead in this game - just be sure the dart is somewhere on the wall and you're doing great.

[ysette9]

https://www.madfientist.com/how-to-access-retirement-funds-early/