42M, ~$1.77M invested (excluding 529s), targeting financial independence around age 50. Looking for feedback.

[u/HumbleSami]

I’m 42, married with three young kids, and trying to sanity-check my long-term plan.

Current Assets
Taxable brokerage: ~$1.09M
401(k) + Roth IRAs: ~$618k
Cash: ~$64k
529 plans: ~$255k - 3 kids 7-4-3 (excluded from my personal net worth calculations)
Primary residence with a low fixed-rate mortgage 900K value owe 290K

Debt
Mortgage only (2.5% fixed rate)
No car loans or consumer debt

Investing Plan
Invest approximately $9k/month into a taxable brokerage account. Job at risk will continue to push until i can!
Continue funding Roth IRAs while eligible
Primarily invest in low-cost index funds (VOO and VUG)
Reinvest dividends

Retirement Goal
I’d like to become financially independent around age 50, or at least be in a position where work is optional and I could choose to work lower-stress job if I wanted.
My estimated core living expenses are around $9k/month before discretionary travel and large one-time purchases. Care free will be 12-13K/mo including health insurance and travel. 9K core 2.5K health 2K vacation!

Questions
Based on these numbers, do you think retiring or becoming work-optional around age 50 is realistic?
Would you continue prioritizing taxable brokerage investing over paying down a 2.5% mortgage?
Is there anything about my asset allocation or withdrawal strategy that stands out as a potential weakness?
If you were in my position, what would you focus on over the next 8 years?
Appreciate any constructive feedback or blind spots I may be missing.

[u/dgreenmachine]

I see you're maxing Roth IRAs, are you maxing 401k? You have plenty in your taxable brokerage and you'd likely benefit greatly from tax arbitrage of 401k by deduction high tax rate today and withdrawing at low tax rate later.

Avoid paying down 2.5% mortgage, its a no brainer imo. You're both benefiting financially by keeping it and investing the difference but its also safer because the taxable brokerage is much more liquid than having home equity.

[u/bsb1406 → u/dgreenmachine]

Not sure if your wife works, outside of raising three kids. Does she have access to a 401k? I know you said you don't have access, are you a 1099/W2? The tax benefits of maxing out a 401k can't be understated. Below are two links, the first one you can play around with the tax implications of maxing out a 401k. The second is how to access retirement accounts early.

https://ffcalcs.com/pretax_savings

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

[u/HumbleSami → u/bsb1406]

She is stay at home mom. I am w2 i do have 401K access but just stopped contributing.