I can relate to your desire to retire and spend more time with your family and pursuing interests not related to making money. I’ve been running the numbers regularly for a similar goal.
Difference is that I’m 10 years older, have my house *almost* paid off, and have more of a nest egg. My net worth is somewhat of a myth because a large chunk of the “net worth” is my house – and you can’t spend a house. But on paper, my net worth looks good.
I use the quicken planning tools to “what-if”. I run the numbers obsessively. I can’t figure out a way to work unless I can figure out a cheaper option for healthcare… Insurance is the budget killer. My husband has just over 5 years till medicare age, I have just over 15. We have kids that have 8-10 years till they start college – so we have to insure them for the long haul too.
I’ve got an option most don’t have… My husband and kids are in process of being recognized as dual Italian citizens… and some (not all) of the southern regions let you buy into the national healthcare for a very low amount ($1200/year vs per month). But as most of us know… Italy (and the other PIIGS countries) isn’t in the best fiscal shape… so I don’t feel confident banking on that solution to the budget busting healthcare.
I strongly suggest you get a good comprehensive tool and forecast various scenarios. Forecast what happens in down markets. Forecast what happens if insurance goes up to much. Forecast college costs for your kids. Forecast what happens if inflation happens bigtime.
For me – I need to have the house paid off and close to 2M in various savings/investments. With the market fluctuations of the past couple of years… I may have to up that number… I’m not comfortable with the idea of running out of money before I die.
My maternal grandfather retired at 55. They thought his pension and soc.sec. would be more than enough. 6 years later, my grandmother had to take a job as a “shop girl” for a downtown La Jolla gift shop… Anyone who remembers the 70’s remembers the inflation…. and how people on fixed incomes were hit hard.
Keep the dream – but run the numbers and save aggressively.
