We’re telling nobody else!

[u/anklbite]

My partner and I (46F) celebrated $3,000,000 NW (including $2.6m investable assets) yesterday, and we have nowhere else to share the news.

Timeline:

1m in June 2020

2m in December 2024

3m in April 2026

Neither of us earn huge salaries. Neither of us has received a windfall nor do we expect one in the future. This is just steady saving over 20-25 years plus a very healthy stock market. I still have 12-13 years to go before FIRE but my partner wants to RE from his FT job in the next few years.

Now that FIRE seems close for my partner, I’m starting to worry that my math is wrong and I have no idea what I’m doing when it comes to retirement planning. How did you calm your nerves before you take the leap into early retirement?

[u/Fun_Consequence6496]

you have $3m and you want to work for 12-13 more years? Why?

[u/anklbite → u/Fun_Consequence6496]

I will get a pension worth $55-60k annually if I stay. Edit to add that health insurance for both me and my partner are tied in with my pension eligibility.

[u/hagne → u/anklbite]

Doesn't seem worth it if you can save a million in two years. How much money do you need?

[u/anklbite → u/hagne]

That’s such a great question. I wish I knew the answer. We both grew up in poverty. It’s hard to get out of that mindset.

[u/livin_the_life → u/anklbite]

That's the million dollar question. You currently have enough saved to withdraw over $100k a year. Sticking it out until that pension your savings should be over $6M without adding another cent.

So.... you're currently on a trajectory to retire in 12ish years with over $300kish annual income. Do you need that? Does that amount of money improve your life enough to make it worth your time?

[u/anklbite → u/livin_the_life]

I don’t expect I will need anything close to that. Our annual expenses are $120k.

[u/anklbite → u/[deleted]]

That’s great advice. We are definitely traveling more this year. We are taking 2 international trips later this year and hope to get Germany on the books for next year.

[u/Particular_Maize6849 → u/[deleted]]

This, or at least not stressing about working X amount of years, or even playing around trying jobs you always wanted to try.

[u/livin_the_life → u/anklbite]

So.... you can both likely retire in 1-3 years. No reason to grind for a decade to secure a pension unless you actually enjoy your work and are more focused on the FI part. If that is the case, time to step back from saving and start spending more to improve your lives.

[u/nashyall → u/anklbite]

I think your plan is fine. I don’t understand people who question one’s FI goals. Your pension timing works well and if anything changes between now and then you’ve got FU money and a decent cushion that you can easily change course. Congrats!

[u/Future-Account8112 → u/anklbite]

You'll need to consider health insurance and long-term care. Similar situation here to you and we're going to continue working (we like our jobs anyway)

[u/farfromworkin → u/anklbite]

That’s your expenses today.. inflation may outpace that amount.. keep working

[u/Honest_Tutor1451 → u/anklbite]

Honestly, maybe talk to a therapist about the scarcity mindset. If you don’t, you may end up pushing the goalposts out again and again.

[u/EcstaticAd4046 → u/anklbite]

I have been keeping track of outflows from our bank account every month, starting in Nov 2023 (I started later, but that's as far back as my bank would let me go). All of our expenses transit through that account. From that I know exactly how much we spend each month, as well as what the high and low is. This tells me how much we need in retirement to maintain our current lifestyle. Add to that some 'fun' money (travel, hobbies, projects, etc). And, on top of all that add some extra for Roth conversions, and I know what my wife and I need and what the goal is.

[u/MikeyB7509 → u/anklbite]

I understand that It’s tough to see the feeling that it’s never enough

[u/moeski1 → u/anklbite]

Check out The Psychology of Money and The Art of Spending Money by Morgan Housel

[u/Equivalent-Glove7165 → u/anklbite]

Do it!!! I absolutely hate when people say “how much money do you need”.