For those who are considering retiring, what is your Networth? Generally 25x expenses is considered safe (or 4% withdrawal rate) but curious about your magic number . Tech sector is way too volatile
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51 and about $3.5M in retirement funds and $1M taxable investment accounts. I still have a mortgage but sitting on about $1.5M home equity. 80% of my investments are in index funds.
My goal is to reach $5M by age 55 and retire. My plan is to live off the returns of the retirement account by taking 10% for the 10 years. Then in years 11 - 20 start taking 6%. And if my health is still good at age 76, I will reassess the withdrawal amount.
Why this withdrawal approach? I figure I will want to do more in my late 50's to 70's and will take a slower pace after that.
I’m the $10-11m man. I think about talking to my VP and volunteering every hour.
My personal opinion, if you have 10M+, you should absolutely quit, or volunteer to be on the list. Enjoy the severance and think about retiring or pursuing more fulfilling options..
Pulled the plug at 59 with no debt 3.9M net worth, 2 in household. No need to take SS until full retirement age. Evacuated high tax low freedom CA for less expensive red state. Loving retirement & new location. Boring 4 fund portfolio, 2 yrs expenses in money fund. Research distribution strategies or let Vanguard do it for you @ 0.6% AUM.
Ugh! I thought I was doing well at $1.75M; now, I'm not sure... I'm about 10 years from retirement and just got laid off. :-/
61 years old. Financial assets $17M. House paid off. Kids done with college.
To the poster who said it was too funny, I am sure these folks are posting household Networth. Two income families with some decent returns in stock market by late 40s and early 50s can get you to $5M
Spot the millenial, contribute nothing, but whine about everything...
Too funny. I work at Cisco and see the pay scales. There is no way 99% of the employees are hitting multiple millions. No way. Not here, with this stock. Pay has always been low.
I’m 63 and net position is somewhere around US$10-11m, including house equity. But I live in a very expensive part of the world. You’d think I’d be cruising and retired already. But even at this level of assets, I’m still worried—mainly about generating income—especially considering very low interest rates and a quickly approaching recession.
I spend half the day thinking I’ll be living the high life at a beach resort and the other half thinking I’ll be living under a bridge.
$2+M per individual sounds about right. That's in today's dollars. so adjust /scale accordingly if projecting into the future.
3 mil is probably too less for me. We are aiming at 5M
It’s simple, if you have 3ml, you can easily make 8-10% most years. So if you are debt free, 240-300k a year would be enough. With the tax rate being less and having no debt you could easily live off of half and still add to the portfolio. Also, keep 5-10% in cash, in the event of a down year to invest or income to not touch the portfolio in a down market.
You really think 10-20 years from now the government is going to give you your social security if you have $2 million saved? The first step will be to remove the yearly income cap, so 100% of all wealthy income will pay the 12%, just like Medicare tax. That will buy some time until the second step to see if you really need the social security income or not (i.e. you're already rich). Social security is a giant ponzi scheme, that you are forced to join the club.
49 and about $2M in retirement funds and cash/investment-accounts. The house has been paid off, there is just under $2M there as well. I feel I am tracking fairly well and anywhere outside major advanced tech and finance areas I think this and the social security should be able to cover me. I do not think we'll push it beyond 85 as nobody in my family did but if that happens to be the case I'll start looking at deferred income annuities as I, God willing, approach 75...
To the poster with 5.8M, how much is it in cash/stocks etc? Does it include house value ? If not, 6M will give you 240k that is more than enough plus social security?
loss of sense of purpose and identity can be soul crushing.
What was your purpose and identity at cisco?
If you have fu-k you money banked, for me somewhere between 10 to 15 million its a divine blessing will quit my job and do whatever in my life. Money buys total freedom from everything and everyone, just imagine not having to work in a tech job and deal with everyday sh---y politics and constant threat of getting chopped anytime. Things are real nightmare right now. A ton of people in companies like Nividia with their accounts over 10 million dollars don't realize how lucky they are.
$5.8M but nervous. Early 50s. Is that enough to live until 95? Inflation is going to ki-l us all long term and so are taxes.
From someone who took the plunge a few years back, money is important but from what I found, not the number one issue you may face. Everyone is different but the loss of sense of purpose and identity can be soul crushing. I didn’t believe it either when people told me the same thing, but boy was I wrong. Hobbies and travel and leisure will not fill the void. Count on a couple of years before you adjust.
$3.62m; age 57. Very fortunate. BrokerageLink active trader most of my time at Cisco. Have lost a whole bunch over the years, but have also done quite well. One has to understand fully their risk tolerance. Once LR'd a few years back, converted everything to pure index funds. Another good ~$500k of the $3.62m was from real estate proceeds from three homes, so not all stock market. Also candidly had an alcohol and chemistry dependency issue for a good decade, which affected my trading compulsiveness. Now completely clean and likewise on market side just do index funds. Post Cisco job is addiction counselor. Very lucky to still be very healthy, well aware how blessed I am. Hopefully helping others now. Life is enough drama to drive anyone crazy if they think enough.
Retirement is different for everyone and based on your financial situation. If you're close to retirement age, given the economic situation, it is something to consider.
If considering retirement:
- Engage a certified financial planner. I specifically picked someone much younger than me for when I lose all my marbles. I don't want to worry about managing my money, others want total control. There is a CFP for all investor-types.
- Create a realistic budget (and include healthcare costs if under 65 and not on medicare). If you plan on retiring within a year, try living on your proposed budget while still drawing an income and adjust accordingly.
- There is a website that will run a Monte Carlo scenario on your financial position to determine how long your money will last. (honestmath dot com) A CFP will do the same and will be more specific to your situation.
- Have a plan for what you want to do in retirement and discuss with your spouse (if applicable), (travel? move? new hobby?) The "vacation period" can wear off quickly if you don't think about life in retirement.
- Ideally your home should be paid off and you should be out of debt. If not, focus on paying off debt as soon as you can. Also, net worth includes your home equity - but unless you plan to sell your home; that value will not be realized. If you don't plan to sell and downsize, you'll still need someplace to live - renting creates uncertainty and presents fluctuation and cost increases at the whim of a landlord.
- There are a lot of YouTube channels that discuss this topic, so check some of them out that closely resemble your situation. (i.e., search "I'm 60 with $1 million, can I retire?" - YT's algorithm will do the rest, LOL)
Retirement is a major life change, plan accordingly and you'll wonder why you didn't do it sooner. Good luck!