Retire with $5M in the Bank?

Intel / Mktg
TinyDiz

Intel Mktg

PRE
Facebook
TinyDizmore
Oct 17, 2018 37 Comments

I’m 38, married, dual income, two kids under 10, own my house, live in Silicon Valley, and generally hate every aspect of working for a company.

Unfortunately, I’m not an engineer or entrepreneur, so the corporate grind is my only option.

My wife and my goal is to stop “having” to work in our early 50s. I’m hoping by then, We will have a nest egg of $5M to draw from.

Hitting that goal likely requires selling our house (we got lucky and bought early and still are stretched to pay our mortgage). We will probably have to leave California, which we don’t want to do.

What are your retirement plans? Any Californians grappling with the notion of leaving? What’s your FIRE number, and where will you go to if you choose to leave?

comments

Want to comment? LOG IN or SIGN UP
TOP 37 Comments
  • Uber / Eng
    kBfU5h

    Uber Eng

    PRE
    Google
    kBfU5hmore
    You just wasted me 20 seconds. I thought you already have that $5M.
    Oct 17, 2018 1
  • Microsoft Gambini
    Why on earth would you stay in the Bay Area after retirement? You can stay in California if you like the weather but don’t have to be in the Bay Area.
    Oct 17, 2018 0
  • Microsoft / Eng Meowth
    I don't understand why anyone would stay in silicon valley if they aren't working there! In Florida you could easily retire right now.
    Oct 17, 2018 1
    • New aLuu55
      Yeah, but then you live.....in fucking Florida. With Florida Man. And Rick Scott.
      Oct 17, 2018
  • Intel / Mktg
    TinyDiz

    Intel Mktg

    PRE
    Facebook
    TinyDizmore
    OP
    I’m curious why people want to move to Spain and other countries? I’ve never lived abroad (but have traveled a ton - not just to Europe), and have never found a foreign country worth moving to without having my family and friends nearby
    Oct 17, 2018 7
    • New / Eng Crooklyn🔫
      ROI
      Oct 17, 2018
    • Facebook iuga45
      To begin with, I am not from around here so living in the Bay Area gives me as many family as any other place other than my country, which is not a good option due to safety and cost. So Spain gives me good wether, better food, safe environment, good health and public services in general and low cost. A no brainer
      Oct 17, 2018
    • Credit Karma scalaps
      Also Spain is just beautiful and culturally relaxed.
      Oct 17, 2018
    • Apple Icml2017
      Spain is one of my favorite places to retire, especially Andalusia and its white villages (Pueblos blancos). Plus I love soccer, tapas and all that nice stuff. I can speak Spanish though but I am not from Spain.
      Oct 17, 2018
    • VMware / Product lRQQ72
      Have you been recently?! Spain is getting fucked from both ends. First there is the socialist government that let's all the African migrants in. We flew there this summer with a plan to buy RE near Malaga, on the Cost. We ran away as fast as we could. In addition you have the separation and right movements that are gaining, like in Italy. It has nice geography but the timing is not good. We just bought 750k vacation property in the US instead. Will rent and move there if needed.
      Oct 18, 2018
    • Intel / Mktg
      TinyDiz

      Intel Mktg

      PRE
      Facebook
      TinyDizmore
      OP
      Exactly. Living in broke countries like Spain opens you up to leftist BS like wealth tax etc
      Oct 18, 2018
    • Apple Icml2017
      I visit Spain almost every year more because I have lots of friends in Madrid and I love watching Real Madrid football matches. I don’t disagree with your points though but instead of Malaga city I prefer small villages near Seville, Ronda, Granada (different parts of Andalusia). Some of my favorites are Montejaque, Grazelama, Trevelez, Gaucin, etc (Malaga will also be 2 - 3 hours by bus but I am not that fond of Malaga). These are small villages (primarily local population but some expats and retirees) but decently connected to the nearest cities and since I have been there a few times now, I know the locals better.
      Oct 19, 2018
  • Facebook iuga45
    The world is huge and there is plenty of great places to live in. I’ve moved countries twice already. If you don’t need to work then you can live wherever and visit family as often as you want. You are not doing yourself a favor by limiting yourself to 1 and only 1 of the many places on earth where you could live. I have 1M split as follows: 350k risky stock, 100k sp500 index, 350k cash/bonds, 200k on real estate. I plan to invest everything I save on the next 5 years on rental real estate, to raise the current 200k to about 1M . With 1M in cash flowing RE and 800k in stock, I’ll move to Spain and MAYBE work remotely (If i feel like it)
    Oct 17, 2018 1
    • Intel acthubback
      But the new language and making new friends is the hard part for me...
      Oct 17, 2018
  • The next recession will likely cut your home in half. Come back here when you have your feet on the ground.
    Oct 17, 2018 0
  • Intel / Mktg
    TinyDiz

    Intel Mktg

    PRE
    Facebook
    TinyDizmore
    OP
    My family has been here for a couple generations so moving out of state feels weird
    Oct 17, 2018 0
  • New DuQvV7x
    Yes, you can.

    I’m retired with only $4m.

    IN based.
    Oct 18, 2018 4
  • Microsoft lGnQ70
    Leave, buy in Montana. Reture like kings
    Oct 17, 2018 1
    • Microsoft Lmnop43210
      Montana will be good when climate change brings the pain.
      Oct 17, 2018
  • Amazon HBkS82
    10x your current wage at retirement time is a typical goal. If you are invested in something that brings you regular income that can be useful too eg rent-landlord thing as stocks/bonds can be too fluid over a few years so you need cash for 1-2 yrs at a time
    Oct 17, 2018 0
  • Apple eurp31
    Totally doable if you leave and move to the Midwest somewhere or scale down your cost of living and housing cost significantly.

    And buy very good health insurance. That’s your biggest wild card that can drain you the fastest.
    Oct 17, 2018 0
  • Wells Fargo qUyB01
    If your kids have flown the nest by then, buy a home in an affordable part and spend a couple years in different countries. Once you have satisfied your wanderlust come back and chill. If you don’t have wanderlust just chill.
    My magic number is also 5mm if we retire in the states but if we do decide to move abroad it’s more like 2-3mm
    Oct 17, 2018 0
  • Microsoft Lmnop43210
    If you move to somewhere like Mexico you could retire much earlier with way less. Facebook has a bunch of great expat groups.
    Oct 17, 2018 2
    • Facebook iuga45
      Problem with Mexico and Latin America in general is that safety levels are way worse than those of Europe.
      Oct 17, 2018
    • Microsoft Lmnop43210
      Are you a narco?
      Oct 17, 2018
  • Intel / Mktg
    TinyDiz

    Intel Mktg

    PRE
    Facebook
    TinyDizmore
    OP
    A little over a million not including our house equity. Our funds have been doing poorly compared to the S&P cause I’m a little heavy in Emerging Markets and Small Caps (trying to chase long term growth)
    Oct 17, 2018 2
    • Amazon
      Sun&Shine

      Amazon

      PRE
      Microsoft, Oracle
      Sun&Shinemore
      There is no way you can have $5mil from the reading. Get realistic and save more. I thought you had 5mil and felt happy for you. Stop daydreaming and make more.
      Oct 17, 2018
    • Intel / Mktg
      TinyDiz

      Intel Mktg

      PRE
      Facebook
      TinyDizmore
      OP
      As usual, a troll from Amazon to save the day.
      Oct 18, 2018
  • Microsoft putana
    Move to Salinas and start cow farming
    Oct 23, 2018 0
  • Cadence Onlytrue
    What’s your equity minus your primary home?
    Oct 17, 2018 0
  • New / Eng Crooklyn🔫
    Then you woke up to a $150k in 401K
    Oct 17, 2018 0
  • Uber / Eng hotboi
    How much do you currently have saved? Most of my friends (I’m in California) wish they could move elsewhere since they’d like to buy homes for cheap.
    Oct 17, 2018 0

Join verified employees in our anonymous social network! Download the app!

close