Retire with $5M in the Bank?
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?
You just wasted me 20 seconds. I thought you already have that $5M.
Ditto.
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.
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)
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.
Yeah, but then you live.....in fucking Florida. With Florida Man. And Rick Scott.
My family has been here for a couple generations so moving out of state feels weird
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
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)
But the new language and making new friends is the hard part for me...
Then you woke up to a $150k in 401K
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
ROI
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
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.