Wife & I earn, the two kids don't. We are 35+. Both are experienced Staff engineers in large cap companies that pay competitively. Our total TC crossed $1M couple years ago. We live in Cupertino in a medium SFH 2500sqft paying a large mortgage. Max out every tax advantaged opportunity. We both think in the next 10 years we can grow to principal engineers. I'd like to then retire by 50. Financially, I'm lost. I don't know if what we have is enough or the bare minimum to live comfortably in the bay area through retirement. Peeps who are at this stage of life, what are your career and financial goals and strategies? TC 550K YOE 10 NW $4M
You can move out of the area
In 10 years you can retire comfortably. Won’t even need to be that long as long as you don’t spend $400k/yr
You have about 15 years to retirement and are already making 1m+ annually. Figure out a way to take that 4m nw to about 20m in the next 15 years (difficult, but doable I think) Retire with a 20m nw without worrying about anything
Yes but when they get 20m goal post will move to 50m.
When we reach retirement age, any new financial goal would seem meaningless. So we settle down happily with what we have
Hire a financial planner - they can model your future expenses and help you understand cash flows
In your situation I would retire and be a full time traveler tbh
OP has 2 kids, they cant travel all year long.
Lol missed that. Then I'd do it once they're in college
bare minimum. talk to a financial planner, not blind. $10m to retire in HCOL if you already own a house clear
What kind of lifestyle are you living that you need 10MM plus a paid off house 🤑🤑
one where you don’t have to worry about monthly budget. fine dining, new car every 4-5 years, vacations, new phone each year etc. cost of labor in hcol is a lot so house maintenance becomes quite expensive. and so on
Listen, this post is absurd. If you’re making $1m/year at 35 and you’re worried about finances and retiring at 50, that’s sad. By now, I’d hope you’d have a financial advisor to answer these questions for you. My partner is 65 and just retired with a $3.5m net worth. We sold our house in SF for $3m and bought a house in FL for $1m cash. He has $3m to live on for the rest of his life and he’ll be perfectly fine. We spend about $150k/year and live very comfortably. Calculate your inflows, outflows, and future value of your assets given a baseline % growth and that’s what you’ll have to live off of. It’s simple. Please leave the pity party to yourself.
This is a helpful data point. Thank you.
this post makes me realized there are a lot of immature 35+ year olds in the tech field
Looks like you are on track with 4M and 35 years. I would shoot at 10M in your case, which seems totally doable
I’m at 3.5 mill and we’re 30. Does this mean we can retire soon too? Idc about work anymore
3m is enough for lcol. i’d personally go for 4-4.5
3.5 mil gives you 140k annually assuming a 4% withdrawal rate, but you might want to be a bit more conservative with such a long retirement. That is way more than enough to retire almost anywhere in the US, so yeah, you can bail pretty much whenever you want
2M Then 4M Then 8M Then die….
True, well said 😂😂😂
Always make decisions based on what you want to look back on when you're dying.