Author Topic: Those with kids, when do you plan on retiring?  (Read 19129 times)

theglobetrotter

  • 5 O'Clock Shadow
  • *
  • Posts: 49
Those with kids, when do you plan on retiring?
« on: June 16, 2014, 04:34:54 PM »
After playing with the Firecalc and cFiresim, I think we can retire at 48/52 (2028) of age but we're not comfortable with the idea of RE until the kids are done with school (have a bachelors). We'll be 53/57 yrs old by then.

If you have children, how old were you and children when you retired? Or when do you plan on retiring? Is this a standard procedure for those with children? To wait a bit? We have 75% of their tuition and have a wedding fund (started it when the girls were born, it's just a regular taxable investment so we can do whatever we want really) but we rather wait until they are done.

Gin1984

  • Magnum Stache
  • ******
  • Posts: 4777
Re: Those with kids, when do you plan on retiring?
« Reply #1 on: June 16, 2014, 05:15:18 PM »
I plan to retire at 55 after my daughter and our future child are done with college. 

BPA

  • Handlebar Stache
  • *****
  • Posts: 1191
Re: Those with kids, when do you plan on retiring?
« Reply #2 on: June 16, 2014, 05:25:52 PM »
When my son finishes high school (in two years) or when I turn 50 (in four) or sometime in between.

Emilyngh

  • Pencil Stache
  • ****
  • Posts: 892
Re: Those with kids, when do you plan on retiring?
« Reply #3 on: June 16, 2014, 05:30:53 PM »
I plan to be FI while in my young 40s.   I plan to retire anytime after that I'm sick of my job.   DD was born when I was 30, so she'll be around a young teen when we reach FI.   I will evaluate everything when the time comes and decide when I'm ready to retire, and how college costs are looking for DD *might* influence my decision to work a little longer (esp because my job includes a tuition exchange program).   However, no way in fuck would I delay retirement out of concern for any type of wedding fund for her.

arebelspy

  • Administrator
  • Senior Mustachian
  • *****
  • Posts: 28119
  • Age: -999
  • Location: Seattle, WA
Re: Those with kids, when do you plan on retiring?
« Reply #4 on: June 16, 2014, 05:34:01 PM »
We do not yet have a child, but are planning on having our first about a month or two before we FIRE. We'll be age 30 or so.

We plan on having that one and only one for a few years, then may then have anywhere from 0 to 3 more (i.e. maybe just that one kid total, but possibly up to 4).
We are two former teachers who accumulated a bunch of real estate, retired at 29, spent some time traveling the world full time and are now settled with three kids.
If you want to know more about us, or how we did that, or see lots of pictures, this Business Insider profile tells our story pretty well.
We (rarely) blog at AdventuringAlong.com. Check out our Now page to see what we're up to currently.

Milspecstache

  • Pencil Stache
  • ****
  • Posts: 510
Re: Those with kids, when do you plan on retiring?
« Reply #5 on: June 16, 2014, 05:56:15 PM »
I have kids and plan on being FI at age 42.  This is not to say I will retire but I hope that paying for my children's college will be the reason I keep working...

I had to pay/provide for my own college education which I believe has made me more grateful for it and work harder to get it.

I will do my best to help my children should they show initiative to get it for themselves but at this point I'm not sure that I should continue working so my kids can party at college...

Wile E. Coyote

  • Stubble
  • **
  • Posts: 225
Re: Those with kids, when do you plan on retiring?
« Reply #6 on: June 16, 2014, 06:02:23 PM »
I plan on retiring before our daughter is 10.

brewer12345

  • Handlebar Stache
  • *****
  • Posts: 1386
Re: Those with kids, when do you plan on retiring?
« Reply #7 on: June 16, 2014, 06:18:41 PM »
I bailed at 40 with a 7 and a 9 YO.  DW is still self employed part time.  Our family works MUCH better this way.  YMMV.

sol

  • Walrus Stache
  • *******
  • Posts: 8493
  • Age: 42
  • Location: Pacific Northwest
Re: Those with kids, when do you plan on retiring?
« Reply #8 on: June 16, 2014, 06:26:31 PM »
If everything goes according to plan, on our retirement date our kids will range in age from 14 to 4.

MayDay

  • Magnum Stache
  • ******
  • Posts: 4030
Re: Those with kids, when do you plan on retiring?
« Reply #9 on: June 16, 2014, 06:50:23 PM »
Maybe when they are 16 and 14.  That would probably not include paying for college though.

It is very likely that when they are 16/14 or so, we would move to part time or lower paying jobs, to continue to save for college, but not retirement. 

We do have some college savings already, and I wouldn't be surprised if we are gifted quite a lot from a relative.  But the back-up plan is to fund at least a good chunk ourselves, and we will work longer if needed to make that happen.  We also likely won't relocate when the kids are still in school (living at home) but might do so once they are all out of the house.

Lukim

  • Stubble
  • **
  • Posts: 102
  • Location: Expat in Asia
Re: Those with kids, when do you plan on retiring?
« Reply #10 on: June 16, 2014, 06:53:57 PM »
I reached FI about 5 years ago (when I was 50) but probably will not retire until I am 57 and our youngest child is in senior high school.

The issue is about what to do with myself if I do not work and we still have responsibilities with children at school. We cannot go travelling for months so I may as well continue working.

bogart

  • Handlebar Stache
  • *****
  • Posts: 1056
Re: Those with kids, when do you plan on retiring?
« Reply #11 on: June 16, 2014, 07:52:23 PM »
DH RE (not noticeably so by mustachian standards -- late 50s) when his oldest was 30 and his youngest was 3.  Having him home/available for kid care, transport, etc., has been great.  I have done the math and in ~10 years will qualify for (regular) retirement from my current employer, a little younger (then) than DH was when he REd.  As that comes with a very nice tuition benefit for DS and I like my job, I plan to work at least until then, assuming they'll have me.  Exceptions would be if a member of my immediate or immediate extended family (particularly my mom) needed care due to health problems or aging before then, I might consider leaving employment if that arose (or, I suppose, health problems of my own).  Impossible to say at this point if that would be RE or just a break, too many variables. 

Nords

  • Magnum Stache
  • ******
  • Posts: 3218
  • Age: 59
  • Location: Oahu
    • Military Retirement & Financial Independence blog
Re: Those with kids, when do you plan on retiring?
« Reply #12 on: June 16, 2014, 08:35:06 PM »
If you have children, how old were you and children when you retired? Or when do you plan on retiring? Is this a standard procedure for those with children? To wait a bit? We have 75% of their tuition and have a wedding fund (started it when the girls were born, it's just a regular taxable investment so we can do whatever we want really) but we rather wait until they are done.
I retired at the age of 41, when our daughter was nine years old.  My spouse left active duty at age 39 (a year before I retired) and drilled in the Reserves for another eight years (one weekend a month, two weeks a year).  Our daughter graduated at the top of her high-school class, survived her civil engineering degree and Navy ROTC, and is now an ensign on a destroyer homeported in Rota, Spain.  We're lovin' this empty-nester lifestyle.

I think that starting a family will actually inspire parents to get their act together and save for financial independence.  The sooner you can reach FI, the more time you can spend with your kids. 

We saved aggressively for both our own ER (priority) and her college fund ("nice to have").  However it's more than money:  I think a big part of our daughter's success (and our parental sanity) was us parents being around during the "danger years".  She's also known me as "ER Dad" for over half my life, and she keenly understands the power of financial independence.  We tell her that we hope she finds a career that she loves, but being FI makes it much easier to find a career that she loves.

This question comes up a lot with my military readers, yet the issues are universal with all parents and ERs.  Here's more on the subject:
http://the-military-guide.com/2011/05/26/retiring-early-with-kids/
http://the-military-guide.com/2014/02/27/financial-independence-and-the-cost-of-raising-a-family/
http://the-military-guide.com/2013/06/10/im-setting-a-good-example-by-working-at-a-job/
http://the-military-guide.com/2011/06/01/raising-an-er-smart-kid/
http://the-military-guide.com/2011/06/08/early-retirement-and-the-kids-college-fund/

Thegoblinchief

  • Guest
Re: Those with kids, when do you plan on retiring?
« Reply #13 on: June 16, 2014, 09:03:42 PM »
I plan to "retire" within the next two years to be a full stay at home parent. Currently I work PT weekends but the time as a whole family versus extra income trade off is getting closer to the time side of the equation.

I put retire for me in quotes because as a family unit, we likely won't be FI until early 40's, which would make our goblins all nearing or past 18. We'd both much rather have it be ASAP.

Bookworm

  • Guest
Re: Those with kids, when do you plan on retiring?
« Reply #14 on: June 16, 2014, 09:10:33 PM »
We have four (the two youngest still under 18), and although realistically, they will all be adults and possibly out of the house by the time we reach FIRE, we would retire tomorrow if finances allowed it.  Or rather, hubby would retire.  I homeschool and will "retire" from my "job" when the kids finish their high school courses, regardless of money concerns.  If hubby hasn't left work by then, I'll probably find paying work to speed up the process.
« Last Edit: June 16, 2014, 09:12:21 PM by Bookworm »

theglobetrotter

  • 5 O'Clock Shadow
  • *
  • Posts: 49
Re: Those with kids, when do you plan on retiring?
« Reply #15 on: June 17, 2014, 03:52:06 AM »
Thanks everybody for the responses!!! I think we're just naturally cautious - or at least I am. Our girls are five years apart, I did it to space out the college tuition payment, and by 48/52 yrs old, the youngest will be 19-years-old. She'll have just three more years of college.

We plan on having the girls earn something while they're in school and the oldest knows that if she messes about, we're not paying for anything. They are learning about hard work now, or at least the 10-years-old, and getting some great advice from both parents (and we're full of them too :)) My family paid for my college and they sent me to the best schools they could afford and I have benefitted immensely from that. My learning have landed me some great jobs in my field and not having any college debt helped me financially. I just want to do that for the girls.

oldtoyota

  • Magnum Stache
  • ******
  • Posts: 3163
Re: Those with kids, when do you plan on retiring?
« Reply #16 on: June 17, 2014, 06:18:21 AM »
As soon as I have enough money. Not sure why kids factor in unless you are suggesting one has to budget for them. I budget for my kid and related expenses, so my answer is as simple as "when we have enough based on the budget"


soccerluvof4

  • Walrus Stache
  • *******
  • Posts: 5564
  • Location: Artic Midwest
  • Retired at 50
    • My Journal
Re: Those with kids, when do you plan on retiring?
« Reply #17 on: June 17, 2014, 06:47:03 AM »
We have 4 kids, 2 in HS in fall then a 8 and 10 year old. I am retired but my wife is still working by her choice our business 25hrs a week and adding to stash as well as its paying health insurance. Our plan is when my daughter is a senior to start building a much smaller retirement house on the out skirts of the school system as the taxes will be lower as well and retire both completely when she graduates high school and just have the other 2 which will be 12 and 14. I am currently 49 so will be 53 and my wife will be 50 at this time.

Gin1984

  • Magnum Stache
  • ******
  • Posts: 4777
Re: Those with kids, when do you plan on retiring?
« Reply #18 on: June 17, 2014, 06:51:27 AM »
Thanks everybody for the responses!!! I think we're just naturally cautious - or at least I am. Our girls are five years apart, I did it to space out the college tuition payment, and by 48/52 yrs old, the youngest will be 19-years-old. She'll have just three more years of college.

We plan on having the girls earn something while they're in school and the oldest knows that if she messes about, we're not paying for anything. They are learning about hard work now, or at least the 10-years-old, and getting some great advice from both parents (and we're full of them too :)) My family paid for my college and they sent me to the best schools they could afford and I have benefitted immensely from that. My learning have landed me some great jobs in my field and not having any college debt helped me financially. I just want to do that for the girls.
My family did not help, and because of my mother's income I was ineligible for a lot of aid, granted this was exasperated by her unwillingness to even fill out the FAFSA.  It took me seven years to get through and I missed out a couple great opportunities because of my inability to take time off work.  I think working was good for me, but not to the extent I had to because of that, I do plan to work longer to support their college.  It is something important to me.  Everyone has their own goals, most here have ER as a goal, but mine is FI more than retirement.   

happy

  • Walrus Stache
  • *******
  • Posts: 5586
  • Location: NSW Australia
Re: Those with kids, when do you plan on retiring?
« Reply #19 on: June 17, 2014, 07:02:27 AM »
I'm 55 and bred late. I only "found" ERE/MMM in late 2011, and so I'm really in damage control mode from my past decisions. If at all possible, I won't fully retire before DD finishes high school in 18months. I may work part-time until age 60 when DD should have just about completed  3years at university, but it depends: I might finish up sooner.

Bourbon

  • Stubble
  • **
  • Posts: 234
Re: Those with kids, when do you plan on retiring?
« Reply #20 on: June 17, 2014, 07:19:58 AM »
As soon as is possible.  If all goes according to plan they will be ~ 13/11/9 in 10 years.  Sooner if I can accelerate.  May work part time and a less stressful  job once we hit FI, but would still like to be able to volunteer and do school trips.

Ottawa

  • Handlebar Stache
  • *****
  • Posts: 1011
Re: Those with kids, when do you plan on retiring?
« Reply #21 on: June 17, 2014, 07:32:14 AM »
As soon as I have enough money. Not sure why kids factor in unless you are suggesting one has to budget for them. I budget for my kid and related expenses, so my answer is as simple as "when we have enough based on the budget"

Likewise here.  I think a lot of people have no real idea of what a child costs and therefore take guidance from the media-generated numbers.  Like the breakdown of taxes in Frugal Toque's latest MMM post...one should be critical of child-expense related numbers.  If we consider the same source for information (the Fraser Institute), we can see the breakdown for 2013 here.  There are numbers near the bottom of this study for other countries including the US.

Bear in mind that this study excludes daycare costs, housing costs and university/tertiary costs.  My table numbers below include daycare costs, and tertiary costs.  Since we purchased our townhome prior to kids and don't believe there is much additional house cost to having a child if you avoid 'lifestyle expansion'.  At the end of this post I will also provide the annual number without daycare and tertiary savings...to see if our numbers compare to the fraser Institute study. 

If you want to see the total estimated costs (including tertiary institution), have a look at this Macleans article.  It suggests that the all-in costs are closer to $700,000!!! At the end of this post I provide my all-in estimate for our own Luxurious Mustachian child raising.

Looking at a Mustchian household, our monthly expenses for our five year old have dropped off since full day school started (i.e. daycare has gone down to after school only).  The average over the last 20 months all-in costs are ~$780 per month.  This includes costs for future education.  Thus, I expect that expenses will effectively go to zero at age 17 (age of tertiary education commencement). 

   Total   Daycare   RESP     FOOD   Tax Credit   Total
Oct-12   $758   $630   $208   $100   $100      $966
Nov-12   $834   $630   $208   $100   $100      $1,042
Dec-12   $625   $560   $208   $100   $100      $833
Jan-13   $723   $665   $208   $100   $100      $931
Feb-13   $785   $560   $208   $100   $100      $993
Mar-13   $595   $595   $208   $100   $100      $803
Apr-13   $666   $595   $208   $100   $100      $874
May-13   $739   $665   $208   $100   $100      $947
Jun-13   $591   $560   $208   $100   $100      $799
Jul-13   $824   $630   $208   $100   $100      $1,032
Aug-13   $630   $630   $208   $100   $100      $838
Sep-13   $393   $192   $208   $100   $100      $601
Oct-13   $317   $264   $208   $100   $100      $525
Nov-13   $511   $252   $208   $100   $100      $719
Dec-13   $807   $264   $208   $100   $100      $1,015
Jan-14   $191   $85   $208   $100   $100      $399
Feb-14   $273   $48   $208   $100   $100      $481
Mar-14   $358   $60   $208   $100   $100      $566
Apr-14   $280   $264   $208   $100   $100      $488
May-14   $536   $264   $208   $100   $100      $744

RESP = Registered Education Savings Plan

Taking the first total number and subtracting out daycare (food is offset here by tax credit) and not adding in RESP the number over 20 months is $3,023 (or $151 per month). 

My estimate for cost to raise a single child in Canada (including education) is $200,000. 

PLEASE SEE A COUPLE POSTS DOWN.  MY NUMBERS HAVE BEEN REVISED SOMEWHAT DUE TO TAX REFUNDS.
« Last Edit: June 17, 2014, 08:14:43 AM by Ottawa »

GuitarStv

  • Senior Mustachian
  • ********
  • Posts: 14319
  • Age: 38
  • Location: Toronto, Ontario, Canada
Re: Those with kids, when do you plan on retiring?
« Reply #22 on: June 17, 2014, 07:37:19 AM »
You're paying about 70% lower than we can find in Toronto for daycare costs.  :P

Ottawa

  • Handlebar Stache
  • *****
  • Posts: 1011
Re: Those with kids, when do you plan on retiring?
« Reply #23 on: June 17, 2014, 07:41:17 AM »
Oh, and to answer the actual OP's question...

Our kid is 5.5 presently.  We will be in a position to FIRE in 2.5 years at age 45. 

Ottawa

  • Handlebar Stache
  • *****
  • Posts: 1011
Re: Those with kids, when do you plan on retiring?
« Reply #24 on: June 17, 2014, 07:47:34 AM »
You're paying about 70% lower than we can find in Toronto for daycare costs.  :P

Yeah, I hear that.  Our daycare costs were $35 per day (7am - 4pm).  This included home-made south american style food!  Also, my wife worked part time at 4 days per week, so we only paid for 4 days per week.  Furthermore, our daycare was 2 doors down...so no inconvenience or fuel costs etc. 

Our present costs are $12 per day (1 hour of after-school care). We didn't pay much in Jan-Mar 2014 due to my parents being in town and meeting the youngster at the school bus (outside our house).  We also won't be paying any childcare in the summer July-Aug...since my wife is taking 5 weeks off and we have our kid in a couple 1 week camps.  There is a fitness/arts credit of 15% to a max back of $500 for annual activities (like camps/swimming etc).  We got $215 back for 2013.  That reduces the $780 to $762. 

This reminds me..that we (in Canada) get a deduction on income from daycare costs.   So, for example our $6131 in 2013 child care expenses would come off net income and effectively result in a tax refund.  So, if the lowest earning spouse had a marginal tax rate of 26% (wife), then we would have a refund of $1532.  This reduces my number in the long post above from $762 per month to $634.  Since we really only have large daycare costs in Canada for 3-4 years it won't reduce the total cost to raise a child by a ton...and the 15% on arts/fitness does help...so perhaps my $200,000 number could come down by $5,000 for refund on arts/fitness over 17 years and $10,000 on daycare costs.  Perhaps $185,000 to raise a child is a better guesstimate.
« Last Edit: June 17, 2014, 08:12:34 AM by Ottawa »

mld

  • 5 O'Clock Shadow
  • *
  • Posts: 90
Re: Those with kids, when do you plan on retiring?
« Reply #25 on: June 17, 2014, 07:57:33 AM »
We are expecting our first this October and hoping for a second in the next 2-3 years. Aiming for FI in 15 years.

What we are planning to do is to start working at income averaging when our first starts school in about 5 years, which will give us 3 months off per year to spend the summers with our kids and continue like that for 10 years before we hit our FI numbers. Their college funds will essentially come from our FI stache considering that the stache does not take into account the pension we will start getting at 60 years of age from working for 18-20 years in the same organisation.

We also want our children to save up for part of their education. My parents made a deal with me that if I decided to go study in another city, I was responsible to cover my living expenses and they would pay for tuition (which in Canada is a lot less than in the US). If I stayed at home I would have gotten free rent (unless I wasn't in school they would have asked for a monthly payment) and free food. It really made sense considering that the program I was taking could have been done at a local university but their was a few extra perks of going to the other university and I was the one to cover for the extra cost to obtain those perks which made me appreciate their value even more. This helped me gain good frugal habits and a good sense of money early on.

ambimammular

  • Bristles
  • ***
  • Posts: 393
  • Age: 42
  • Location: Indiana
Re: Those with kids, when do you plan on retiring?
« Reply #26 on: June 17, 2014, 09:27:36 AM »
We'll turn it in at 56 when both kids are through undergrad. One of the perks of husband's professor job is having 90% of tuition paid for the girls.  Hard to beat free money.  I think we'd be FI at 52 though.   

davisgang90

  • Handlebar Stache
  • *****
  • Posts: 1269
  • Location: Roanoke, VA
    • Photography by Rich Davis
Re: Those with kids, when do you plan on retiring?
« Reply #27 on: June 17, 2014, 09:39:49 AM »
I plan to retire at 49/50 in about 4 years.  That will get me to 27/28 years of Active Duty and a nice pension from Uncle Sam.  At that point my youngest will be starting high school.  If he works hard, he can use my GI Bill for college.

gillstone

  • Bristles
  • ***
  • Posts: 388
  • Age: 38
  • Location: The best state in the Union (MT)
Re: Those with kids, when do you plan on retiring?
« Reply #28 on: June 17, 2014, 04:53:59 PM »
If all goes well we are looking at a FIRE date in 2025 or so.  That will give us a 16 year old and a 12 year old.

Gray Matter

  • Magnum Stache
  • ******
  • Posts: 3635
  • Location: Midwest
Re: Those with kids, when do you plan on retiring?
« Reply #29 on: June 17, 2014, 07:18:43 PM »
I'm not entirely sure...depends on any number of things (finances, the markets, our jobs, our tolerance, etc.).  I do believe I am more conservative because I have kids.  While I'd be willing to downsize significantly, live in a studio apartment in a transitional neighborhood, chuck it all to live overseas, etc. if it were just the two of us, I want more stability for my kids.  I want them to stay in the same house/school/neighborhood (not at all costs, but I weight it more heavily than I would if I didn't have kids).

If DH and I didn't have kids, I could see us downsizing right now and taking greater risks with our jobs, maybe going independent and working part-time, etc.  But there are legitimate expenses that come with kids (health care, for one) and there are also things that we consider important (paying for a portion of their college).  Plus, with five people to take care of, it seems like the odds of someone having a larger expense are greater, and so the need for larger emergency savings and cushion is there, too.

While I don't feel the need to work until my kids have graduated from college, I do feel the need to get them TO college, which will likely require working until my youngest is 18 and on her way, and we can use college savings to help her through.  So another 10 years (I would be 53), I would say, though I retain the right to change my mind.

theglobetrotter

  • 5 O'Clock Shadow
  • *
  • Posts: 49
Re: Those with kids, when do you plan on retiring?
« Reply #30 on: June 18, 2014, 07:57:32 AM »
Yes, with kids, I am more conservative. Also, hubby likes expensive toys, vintage cars, and so I feel like we need to keep going until after college is done.

We may change our minds too if the market's decent, the kids will for sure get scholarships etc but who knows. I did have the perk of paying 50% off tuition. I plan on working at a university again and hopefully the uni will be a good one and with programs the girls are interested in.

Thanks for answering the questions!!

zolotiyeruki

  • Magnum Stache
  • ******
  • Posts: 3297
  • Location: State: Denial
Re: Those with kids, when do you plan on retiring?
« Reply #31 on: June 18, 2014, 10:14:36 AM »
I'm a bit at an extreme end of this--we're expecting our 6th child this fall, and our current trajectory has us retiring in about 18 years.  This assumes:

1) we don't pay for our kids' college (my wife and I made it through on our own, so will our kids)
2) no increase in income beyond inflation

Like others have posted, we look at our current spending and base the planning on that.

RootofGood

  • Handlebar Stache
  • *****
  • Posts: 1361
  • Age: 39
  • Location: North Carolina
  • Retired at age 33. 5 years in, still loving it!
    • Root of Good
Re: Those with kids, when do you plan on retiring?
« Reply #32 on: June 19, 2014, 01:53:41 PM »
I pulled the plug less than a year ago at 33 with 3 kids from age 1 to age 8.  Mrs. RootofGood is still working for maybe another year but gets many months paid time off each year right now.

We have a budget of around $32,000 per year and I just figured in another thread that we spend about $9k per year on our kids above what we would otherwise spend as a childfree couple.  Our investment portfolio is a bit over $1.3 million and the house is mostly paid off. 

Unknowns for us are
-college (we have 2 years tuition for all 3 in dedicated 529s and plan to help with some of the rest from our portfolio when those obligations come due in 9 to 19 years from now)
-cars - insurance is expensive, but we don't drive much so we can probably get by with owning 1-2 cars for the whole family.  Buses are nearby and we live in a fairly walkable, centrally located area.
-braces - I think at least 2 will need them based on cosmetic considerations but I'm not sure if they will be required out of medical necessity. 

We have been lucky that our kids are unremarkable in terms of medical problems, educational, or behavioral issues (so far). 

Our spending rate is well below 3% of our portfolio, so we can afford to pay for a few bumps in the road without busting our ER plans. 

Jane

  • 5 O'Clock Shadow
  • *
  • Posts: 78
Re: Those with kids, when do you plan on retiring?
« Reply #33 on: June 19, 2014, 02:45:47 PM »
We have one on the way. I don't have an exact date in mind for retiring. I'm 32 now and loosely thinking I'll retire by 40 or before. My husband is thinking the same for his date.

It mostly depends on job satisfaction. I'd really like to save up a good chunk more so that we can pay for college and have some extra cushion. If my job stays as is (work from home most of the time, low stress, lots of time to do things that I want when I'm done with the day's tasks) then I'll probably keep it indefinitely. Lots of factors could play into me wanting to leave, and my situation at my company and industry is very rare so it could end anytime. If I have to go back to sitting in a cube all day, I'll quit pretty quickly.

We waited a bit to start a family and started on the journey to FI pretty young. A big reason we waited to have a kid until now was so we could save up as much as possible without having to worry about daycare and other kid costs. I am equally concerned about being around as they get older as I am while they are younger. I hear a lot of folks saying (in general - not really on this board) that they figure they can work more as kids get older, and I actually want the opposite. I hope to be around as much or more as they get older.

DMoney

  • 5 O'Clock Shadow
  • *
  • Posts: 82
Re: Those with kids, when do you plan on retiring?
« Reply #34 on: July 12, 2014, 07:54:25 PM »
I want us to retire(FIRE) at ages 46/47 when our kids will be 16 and 15.  Based on our projected earnings, savings, etc. it should be no problem financially.  We will have $80k for each kid in a college fund, plus our nest egg for living expenses.

BUT DH is having a hard time with the idea of us not working until they are through college!  Slowly convincing him to see things my way, thanks in large part to MMM and this forum.  Good luck!

Goldielocks

  • Walrus Stache
  • *******
  • Posts: 6540
  • Location: BC
Re: Those with kids, when do you plan on retiring?
« Reply #35 on: July 13, 2014, 10:48:49 AM »
I am seriously thinking about putting FIRE on hold a few years, and dropping off the corp rat race to spend 4 yrs with kids.  And focus on family supports, etc.
Oldest is in grade 10, so this is my last shot, really, and becoming more imoportant to me. I went back to work after 5 months home with them and have been full time ever since.

I would take in an exchange student, maybe work part time during school hours, minimum wage, close to home, etc.  And coast. No 65%+ savings rate.

I do need to wait until hubby finishes school in May, which is after the nice bonus pay out for me in March.  He is already working part time and would be able to pull in $40k, so it may work.

Does that mean I would retire MMM style in the next year?

DecD

  • Bristles
  • ***
  • Posts: 298
Re: Those with kids, when do you plan on retiring?
« Reply #36 on: July 15, 2014, 09:33:08 PM »
Assuming we both continue to work full time, it looks like we'll make it to FI in ~5 years, age 42/43, the kids will be 8 and 13.  This includes saving for college and staying in our somewhat more expensive neighborhood for the super fantastic elementary school they're in. 

I can't WAIT to have my summers off and throw them in the car with the dog and take off on month-long camping adventures to the national parks. :)

Helvegen

  • Pencil Stache
  • ****
  • Posts: 542
  • Location: PNW
Re: Those with kids, when do you plan on retiring?
« Reply #37 on: August 06, 2014, 09:25:28 AM »
Somewhere between 39-45. Hopefully then we've moved to a LCOL area, have bought a house and have it paid off, have a decent amount of money in the bank, and only have to work part-time (which is the dream for me, not full retirement). My kid will be an adult then and for further education, we'll strongly be encouraging staying at home and going to community college or going to a university in her father's home country where she also has citizenship and it is very, very low cost.

mamagoose

  • Bristles
  • ***
  • Posts: 357
  • Location: FL
Re: Those with kids, when do you plan on retiring?
« Reply #38 on: August 06, 2014, 01:28:40 PM »
We are retiring at age 35. We are currently 30 (today is hubby's bday) and LO is turning 1 this month. It might actually happen sooner, but DH is in a 3-year contract with a bonus that he doesn't want to forfeit so it will be at least 3 years, no more than 5 years from today. When we "retire", that just means he's leaving his corporate job. I'll probably still do my side gig (freelance engineering) and pocket those dollars to pay for baby's college, and I also want to pick up teaching at the local college. He might also teach, or start his own business or do absolutely nothing, his decision :)

Gggirl

  • 5 O'Clock Shadow
  • *
  • Posts: 20
Re: Those with kids, when do you plan on retiring?
« Reply #39 on: August 06, 2014, 04:02:35 PM »
We are FI but DH still works.   We live in area that is great for the kids but not a place I would want to retire.  We live in the burbs and plan to retire living at the lake.  DH feels he might as well work since he doesn't mind his job and the kids are in school 9 mths out of the year.  I also work minimally during school year.  I work because I enjoy my job and flexibility to be home when they are home from school.    We do take longer vacations now that we are FI.  We toy with the idea of buying small lake house to enjoy with the kids now  then sell our house once youngest is in college and live at the lake.  Before the face punches we have no mortgage, car note, etc. We max all IRA accounts plus have 4 years college saved for the kids.  Our kids are 9 and 12.   
« Last Edit: August 06, 2014, 04:49:55 PM by Gggirl »

fartface

  • Bristles
  • ***
  • Posts: 402
  • Age: 45
  • Location: Wisconsin
    • money apple
Re: Those with kids, when do you plan on retiring?
« Reply #40 on: August 06, 2014, 07:58:09 PM »
My husband worked 20 years after college and retired last year at age 44. I'm 40 and still working full-time plus carry the insurance benefits. Our kids are aged 10, 11, and 13. Current savings earmarked for college tuition is about $40,000.

$15,000 in a 529 and $25,000 is custodial DRiPs. We contribute $3000/year to the 529 as that's the maximum tax benefit in our state (WI).

My plan is to pay off the mortgage within 2 years. Once mortgage is paid off, the $1600/month house payment can now be diverted into more robust college savings.

I'd like to sell our fancy pants house in 7 years before the last one heads off to college (she skipped a grade and therefore will be going at 17). Since the house will have been owned 'free and clear' for about five years before this happens, we should be able to cover two kids in college at the same time - maybe. However, if I need it, I'll use proceeds from the sale of this home to make up the difference.

I'm only planning on two of my kids attending college. My middle daughter has a cognitive delay and severe learning disabilities. The upside is, she can stay in HS until age 21 and there are many opportunities available for kids with special needs to learn applicable skills for an enjoyable life. This is something I need to do a bit more research on, so if anyone else has been through it with a disabled adult child, I'd love to hear your experiences!

Anyway, I digress. Once the house is sold and we downsize - or maybe even rent - so we can be more mobile...I'll likely try to "retire" before the last kid finishes college. This plan gives me a range of somewhere between ages 47 and 50.

My DH and I both agree that the kids won't receive squat unless they get jobs, save for themselves, earn good grades, and attend a public, in-state schools. We're not telling them any of our plans. The most we've ever said is that whatever they earn and save for school we'll match.

Actually, one of my bigger dreams is to use the "college" savings (say $5000/year) I collect from each kid when they start jobs at 16 to open and fund ROTHs for each of them.

I hope to work just long enough to have enough 'stache of my own to make all tuition payments for both kids. Therefore, anything they earn (and save) will go towards their ROTHs instead of a tuition bill or student loan. Then, 10 years or so down the road when they are married and hopefully secure, BAM, here you go kids...$50,000 grand each in ROTH IRA's for you.
 
Like I said: Very Big Dream, but it's fun to dream!


MsRichLife

  • Pencil Stache
  • ****
  • Posts: 539
  • Age: 42
    • Living My Rich Life
Re: Those with kids, when do you plan on retiring?
« Reply #41 on: August 06, 2014, 08:20:08 PM »
We have a 2 year old who is probably going to be an only child.

DH has been a SAHD since our son was 3 months old. He likely won't go back to work so I guess he's already FIRE.

I plan on retiring at 40 which is 2.5 years away, when our son is five.

My dream is to take off and slow travel around the world for a few years. DH's dream is to build an off-grid homestead in the region he grew up. The compromise is likely to be a little of both. 
 

Gin1984

  • Magnum Stache
  • ******
  • Posts: 4777
Re: Those with kids, when do you plan on retiring?
« Reply #42 on: August 07, 2014, 08:26:36 AM »
My husband worked 20 years after college and retired last year at age 44. I'm 40 and still working full-time plus carry the insurance benefits. Our kids are aged 10, 11, and 13. Current savings earmarked for college tuition is about $40,000.

$15,000 in a 529 and $25,000 is custodial DRiPs. We contribute $3000/year to the 529 as that's the maximum tax benefit in our state (WI).

My plan is to pay off the mortgage within 2 years. Once mortgage is paid off, the $1600/month house payment can now be diverted into more robust college savings.

I'd like to sell our fancy pants house in 7 years before the last one heads off to college (she skipped a grade and therefore will be going at 17). Since the house will have been owned 'free and clear' for about five years before this happens, we should be able to cover two kids in college at the same time - maybe. However, if I need it, I'll use proceeds from the sale of this home to make up the difference.

I'm only planning on two of my kids attending college. My middle daughter has a cognitive delay and severe learning disabilities. The upside is, she can stay in HS until age 21 and there are many opportunities available for kids with special needs to learn applicable skills for an enjoyable life. This is something I need to do a bit more research on, so if anyone else has been through it with a disabled adult child, I'd love to hear your experiences!

Anyway, I digress. Once the house is sold and we downsize - or maybe even rent - so we can be more mobile...I'll likely try to "retire" before the last kid finishes college. This plan gives me a range of somewhere between ages 47 and 50.

My DH and I both agree that the kids won't receive squat unless they get jobs, save for themselves, earn good grades, and attend a public, in-state schools. We're not telling them any of our plans. The most we've ever said is that whatever they earn and save for school we'll match.

Actually, one of my bigger dreams is to use the "college" savings (say $5000/year) I collect from each kid when they start jobs at 16 to open and fund ROTHs for each of them.

I hope to work just long enough to have enough 'stache of my own to make all tuition payments for both kids. Therefore, anything they earn (and save) will go towards their ROTHs instead of a tuition bill or student loan. Then, 10 years or so down the road when they are married and hopefully secure, BAM, here you go kids...$50,000 grand each in ROTH IRA's for you.
 
Like I said: Very Big Dream, but it's fun to dream!
My mom had that attitude but with community college and that meant (because of her refusing to fill out the FAFSA) that I lost out on a full ride from a private college in another state.  Private colleges often offer more aid for good students (and aid that does not have to be paid back) than public. 

JoyBlogette

  • Stubble
  • **
  • Posts: 242
  • Location: Canada
    • My Journal
Re: Those with kids, when do you plan on retiring?
« Reply #43 on: August 07, 2014, 12:01:41 PM »
We have a 2 year old who is probably going to be an only child.

DH has been a SAHD since our son was 3 months old. He likely won't go back to work so I guess he's already FIRE.

I plan on retiring at 40 which is 2.5 years away, when our son is five.

My dream is to take off and slow travel around the world for a few years. DH's dream is to build an off-grid homestead in the region he grew up. The compromise is likely to be a little of both.

Wow.  I think we are kindred spirits.  Our son is 1, DH is SAHD (well WAHD technically for now) and I hope to retire by 40.  I also want to travel a lot and DH is dreaming of off-grid living.  We have a few more years to go before 40 and we hope to give our son a sibling or two.  My ideal plan is to have 3 kids and FIRE when the 3rd one is born (just not return to work after mat-leave is over).

gillstone

  • Bristles
  • ***
  • Posts: 388
  • Age: 38
  • Location: The best state in the Union (MT)
Re: Those with kids, when do you plan on retiring?
« Reply #44 on: August 07, 2014, 02:04:20 PM »

My mom had that attitude but with community college and that meant (because of her refusing to fill out the FAFSA) that I lost out on a full ride from a private college in another state.  Private colleges often offer more aid for good students (and aid that does not have to be paid back) than public.
[/quote]

+1

My DW attended a private college because its aid package (mostly grants and scholarships) made it cheaper than the aid packages (mostly loans) of the in-state schools.  Don't set such hard limits up front, the higher-ed market is facing some huge shifts in the next twenty years and being flexible can pay off in a big way.

MsRichLife

  • Pencil Stache
  • ****
  • Posts: 539
  • Age: 42
    • Living My Rich Life
Re: Those with kids, when do you plan on retiring?
« Reply #45 on: August 07, 2014, 06:33:05 PM »
We have a 2 year old who is probably going to be an only child.

DH has been a SAHD since our son was 3 months old. He likely won't go back to work so I guess he's already FIRE.

I plan on retiring at 40 which is 2.5 years away, when our son is five.

My dream is to take off and slow travel around the world for a few years. DH's dream is to build an off-grid homestead in the region he grew up. The compromise is likely to be a little of both.

Wow.  I think we are kindred spirits.  Our son is 1, DH is SAHD (well WAHD technically for now) and I hope to retire by 40.  I also want to travel a lot and DH is dreaming of off-grid living.  We have a few more years to go before 40 and we hope to give our son a sibling or two.  My ideal plan is to have 3 kids and FIRE when the 3rd one is born (just not return to work after mat-leave is over).

:) yay for kindred spirits!

We go back and forth on the idea of a sibling for our son. We wouldn't want to have another until I'm FIRE, by which time I'm getting on a bit. I'm not sure I want to have another child at 40, so I'm becoming more and more convinced that the boy will be an only child.

JoyBlogette

  • Stubble
  • **
  • Posts: 242
  • Location: Canada
    • My Journal
Re: Those with kids, when do you plan on retiring?
« Reply #46 on: August 07, 2014, 10:49:17 PM »
:) yay for kindred spirits!

We go back and forth on the idea of a sibling for our son. We wouldn't want to have another until I'm FIRE, by which time I'm getting on a bit. I'm not sure I want to have another child at 40, so I'm becoming more and more convinced that the boy will be an only child.

Some days I can't imagine having another child (it's so hard!) and other days I want a bunch more.  I can imagine that starting again with a newborn after 40 would be tough, but once you're FIRE you'll need something to fill up all that time... ha ha.  DH and I are so close with our siblings, it's hard to imagine our son as an only child (we're both 1 of 3 kids)... time will tell.

Emilyngh

  • Pencil Stache
  • ****
  • Posts: 892
Re: Those with kids, when do you plan on retiring?
« Reply #47 on: August 08, 2014, 06:06:32 PM »
We have a 2 year old who is probably going to be an only child.

DH has been a SAHD since our son was 3 months old. He likely won't go back to work so I guess he's already FIRE.

I plan on retiring at 40 which is 2.5 years away, when our son is five.

My dream is to take off and slow travel around the world for a few years. DH's dream is to build an off-grid homestead in the region he grew up. The compromise is likely to be a little of both.

Wow.  I think we are kindred spirits.  Our son is 1, DH is SAHD (well WAHD technically for now) and I hope to retire by 40.  I also want to travel a lot and DH is dreaming of off-grid living.  We have a few more years to go before 40 and we hope to give our son a sibling or two.  My ideal plan is to have 3 kids and FIRE when the 3rd one is born (just not return to work after mat-leave is over).

Triplets!   My DH is SAHD with our 3 yr old, who will be my only (although DH has a 17.5 and 24 yr from previous marriage).   I am 33 and plan to retire by 43.   I don't know if we'll get to fully off-grid, but will move into a cabin in the woods/mountains and hopefully get solar panels.

Meggslynn

  • Bristles
  • ***
  • Posts: 252
Re: Those with kids, when do you plan on retiring?
« Reply #48 on: August 12, 2014, 09:00:40 AM »
We have one son who is 2.5 and we are 31 and 33. We should FIRE right around 52/53 if we stay at the savings rate we are at (only 35%). I would like to go part time around 45/47 or do consulting though.

bo_knows

  • Pencil Stache
  • ****
  • Posts: 819
  • Age: 38
  • Location: Fairfax, VA, USA
    • The Crowdsourced FIRE simulator
Re: Those with kids, when do you plan on retiring?
« Reply #49 on: August 12, 2014, 09:09:42 AM »
We have a 2yr old, and are aiming for a 2nd kid soon.  By my estimations, we'll be FI in maybe 7-9yrs.  The point that we hit FI, I'd really like to try to find something that is only 20hrs/week of work (for both my wife AND I), as to provide some better healthcare, and possibly be a little liberal with that extra money for travel.  Then, the moment they go to college, we'd retire completely.  It's possible that we'd fully retire beforehand, but we'll cross that bridge when we come closer to it :)