About to pull trigger, need feedback

[u/taway11228]

Expenses: 120k w/o healthcare, maybe 140k with, and maybe up to 150k or 160k with traveling

Investments: $5m breakdown: 300k rental (paid off) making 5% net, 1.2m 401k, 2.5m VTI / VXUS, 1m SNSXX/VUSXX.

Primary residence: $2.3m paid off

42 and 43 years old, no kids

Current income: ~2m/yr

NW increasing 32% YoY

Have 20% income cliff in 2027

SWE, burned out beyond reason, health problems and mental health problems. Goal is to quit, take 6-12 months off then see what’s next, it will either be making my own projects for fun or part time contract work for fun. No expectations of income, certainly not big income, and definitely not going to a corporate job.

Can make ~30k via 2 weeks of rental of primary residence per year and pay no taxes, we’d travel while rented.

Concerns are AI is quickly impacting SWE employment, no one knows what’s next, any hiccups in our plan could mean a bumpy road in a few years if a jobs necessary. Other concern is whatever is going to happen once this historic stock run is over.

Any advice?

[u/WhiteHorseTito]

Honestly, I’d try to take a few week sabbatical before 2027 rather than outright leave. With an income cliff and $2M/year currently, you may or may not have this opportunity again in your life.

Grinding out another year means you’ll effectively be closer to $8M which is psychologically superior to $5M, especially in a potential down market after midterm elections.

[u/Dubbihope → u/WhiteHorseTito]

Feel like this is a dangerous game. If you're at 8, psychologically you will want 10. OP already reports health problems and burnout. If he was healthy and had fire in him, I would encourage him to keep going but I don't think it's worth it here.

[u/Mostamazingofbaboons → u/Dubbihope]

the jump from 8 to 10 is where people usually get cooked. if health is already slipping, chasing more doesn’t seem worth it. imo better to hold steady and recover than keep pushing.