All Forum Posts by: Eric Carr

@Eric Carr Another possibility is to start taking $ out of your 401k (or equivalent) at 59.5 an amount somewhat close to your RMD. I started doing this a couple of years ahead to reinvest and drain the taxable balance down.

Fair point. And I could have lower income in that window after I semi-retire, before my mortgages are paid off to take advantage of a lower marginal tax rate

0 Votes

Minneapolis, Minnesota

Quote from @Jeff S.:

@Eric Carr there a couple of ways to look at this. Find out what your SS will be and have either enough cash to cover the lack of that or work a little to compensate for the lack of SS until you can collect.

This assumes you can live off your income w/o your W2 when you start collecting. I retired quite a few years before SS and it was not hard to get by. SS is just a bonus!

Thanks for your response. I figure I'll have my debt paid off by 65, so I'll be very comfortable come those golden years. I agree SS is a bonus and not something to be overly reliant on.

0 Votes

Minneapolis, Minnesota

I have 11 units in the Twin Cities. My total of all annual expenses is about $220K- everything, insurance, haircuts, leisure travel, property taxes, etc all included in there

I dont want to semi-retire any time soon, but I think it's smart to have long term plans. Maybe in 5-10 years?

A relative of mine said they'd want 3 years of expenses in my situation. Bear in mind I'd still work, say a few days a week and make enough income between rental cash flow and working to clear my annual expenses by at least $25K after taxes. (I'm not going negative burning savings)

How much cash in HYS would you want to have? Say I did this at age 45-50, so 15-20 years I'd need to bridge until SS and Medicare

0 Votes

Minneapolis, Minnesota

All Forum Posts by: Eric Carr

Eric Carr has started 1 posts and replied 3 times.

Post: How much $$ reserves do you want to potentially semi-retire?

Post: How much $$ reserves do you want to potentially semi-retire?

Post: How much $$ reserves do you want to potentially semi-retire?