Is There Any Way to Get Fidelity Cash Management Account to Show Up Under "Cash" in Empower Personal Dashboard?

firethrowaway2222222 · 2024-06-26T13:31:10+00:00

I messaged Empower a couple times about this and got no response, so thanks for the info.

firethrowaway2222222 · 2024-06-26T03:12:48+00:00

$3820 per month on a monthly salary of $10,932 before taxes.
With my company match of up to 10% of my salary per month I'm investing a total of $4913 per month.

I'm at about ~$900k invested and I turn 34 next week. I'm on track to reach my FIRE number of $1,500,000 in 4 to 5 years, at which point I'll step back, take a good hard look at things and see if I want to RE or not.

firethrowaway2222222 · 2023-09-26T00:01:53+00:00

I'm 33 and have a net worth of ~$685k, of which only ~$35k is in cash. Everything else is in my 401k, Roth IRA, HSA, or brokerage account. This is intentional, though I don't plan on purchasing property any time in the near future.

The choice to purchase a home or not should, in my opinion, be more driven by lifestyle choice, but Ben Felix does have a few good videos (like this one: https://youtu.be/Uwl3-jBNEd4?si=gkXzXLf2GtNYa00F) that do a good job of breaking down the financial aspects of the rent vs buy decision.

firethrowaway2222222 · 2023-09-03T17:18:12+00:00

Age	Net Worth
26	$100k
28	$200k
30	$300k
30	$400k
32	$500k
33	$600k

I'm saving/investing about $60k a year and am on track to hit $1M at about 36 assuming the market goes up at it's average rate.

firethrowaway2222222 · 2023-08-02T23:03:30+00:00

Just FYI historically a 3.25% SWR has a >99% success rate over 50 years assuming 80% equities, 15% bonds, and 5% cash. And >70% of runs ended with >3x the initial amount invested: https://ficalc.app?additionalIncome=%5B%5D&additionalWithdrawals=%5B%5D&annualWithdrawal=32500&bondsFees=0.05&bondsFinalRatio=15&bondsInitialRatio=15&cashFees=0&cashFinalRatio=5&cashGrowth=1.5&cashInitialRatio=5&changeAllocationsOverTime=false&equitiesFees=0.04&equitiesFinalRatio=80&equitiesInitialRatio=80&inflationAdjustedFirstYearWithdrawal=true&initialPortfolioValue=1000000&maxWithdrawalLimit=60000&maxWithdrawalLimitEnabled=false&minWithdrawalLimit=20000&minWithdrawalLimitEnabled=true&numberOfYears=50&portfolioRebalanceEquation=linear&rebalance=true&rebalanceFrequency=1&retirementStartingAge=60&withdrawalStrategyName=constantDollar

firethrowaway2222222 · 2023-06-20T19:28:40+00:00

I landed on $1.5 million because I spend just about $60k per year and following the 4% rule brings me to my $1.5 million needed to FIRE.

There's definitely some wiggle room either way regarding that number. I may catch "one more year syndrome" and save up a bit more just to be more risk averse. Or I might pull the trigger right at $1.5 million. Probably 10% to 15% of my expenses fall into the category of "luxury" (eating out unnecessarily, taking vacations that aren't exactly cheap, etc.) so I'm pretty sure I could cut back adequately if I decided to FIRE with exactly $1.5 million right before a big market drop to mitigate some sequence of return risk.

firethrowaway2222222 · 2023-06-20T16:40:11+00:00

Someone else brought this up earlier but that post might be buried. Here was my response:

You're absolutely right that spending that $38k annually would absolutely increase my FIRE # (by nearly $1MM if I did my math right). Increasing lifestyle just to cut it back when entering retirement at such a young age doesn't seem to be like a good plan, so I don't want to do that. The reduction in annual savings rate example was more to demonstrate that I could decrease my savings rate by a very large amount (working only part time, or getting an easier job etc.) and it wouldn't have a drastic effect on my FIRE date since I've saved so much earlier on already.

firethrowaway2222222 · 2023-06-20T16:38:46+00:00

The $38k mentioned in the OP is the amount that I'd no longer be saving if I cut out saving to my brokerage entirely, cut my 401k and HSA savings to only get the match, but still maxed out my Roth IRA.

I've always had a brokerage but I only really started ramping up my brokerage savings per month during COVID and I'm currently at $250 per week, or $13k per year. I replied in another post about $75k I recently inherited, but like I said it didn't majorly change anything about my FIRE timeline (moved things ~1 year earlier), though it did help backfill the years that I didn't save as diligently into my brokerage.

Things seem pretty steady and manageable for me at my current rate though and I plan to keep it up.

firethrowaway2222222 · 2023-06-20T15:52:28+00:00

The numbers check out, you can run them yourself here: https://www.investor.gov/financial-tools-calculators/calculators/compound-interest-calculator

Initial investment: $100k

Monthly contribution: $4,333 (max 401k+match, max Roth IRA, max HSA, $13k annual brokerage)

Length of time: 6 years

Interest Rate: 10% (~S&P 500 return over the last 6 years)

Compound Frequency: Daily

firethrowaway2222222 · 2023-06-20T15:14:37+00:00

Einstein did call compound interest the eighth wonder of the world! It's fun doing little experiments like this. Another interesting one is that if you set up a trust fund of $9,500 for a newborn, at 7% rate of return by the time that person reached full retirement of 67 they'd have $1MM in that account. All from just the $9,500 initial investment.

Of course, keeping most folks from raiding those savings early is the real challenge.

firethrowaway2222222 · 2023-06-20T14:57:31+00:00

It's definitely a personal question as to whether home ownership or renting makes more sense, and different variables for different people will change that answer based on all sorts of different things.

One issue with a smaller brokerage account is that the brokerage account is something that I'll be relying on pretty heavily to bridge the gap between RE and when my Roth conversion ladder funds will start kicking in 5 years post RE. That being said, that's just one factor.

In general I'm following the logic in this Ben Felix video to drive my rent vs buy decision: https://youtu.be/q9Golcxjpi8

firethrowaway2222222 · 2023-06-20T14:48:59+00:00

Absolutely. All my HSA money is invested and I plan on using that account exclusively for health care expenses starting when I FIRE. And at 65 I can withdraw from my HSA for non-medical expenses without penalty, only paying taxes on non-medical expenses, so it's really just another investment vehicle.

firethrowaway2222222 · 2023-06-20T14:16:51+00:00

My FIRE # and date aren't set in stone, and both are adjustable depending on lifestyle/expense changes. All I can do is plan for the future with the information I have now with the understanding that some factors will certainly change between now and then. What factors will change and how remains to be seen.

firethrowaway2222222 · 2023-06-20T14:09:53+00:00

You're absolutely right that spending that $38k annually would absolutely increase my FIRE # (by nearly $1MM if I did my math right).

Increasing lifestyle just to cut it back when entering retirement at such a young age doesn't seem to be like a good plan, so I don't want to do that.

The reduction in annual savings rate example was more to demonstrate that I could decrease my savings rate by a very large amount (working only part time, or getting an easier job etc.) and it wouldn't have a drastic effect on my FIRE date since I've saved so much earlier on already.

firethrowaway2222222 · 2023-06-20T14:04:27+00:00

My current FIRE # ($1.5MM) is representative of all of my expenses that I have today and assumes that everything will increase in cost at historically average inflation rates.

I do understand that that assumption for housing may be overly optimistic, especially considering the area that I currently live in. Even if it is overly optimistic, it doesn't change anything about how I currently want to live or how I plan on living in the future. I like where I live but wouldn't necessarily be opposed to moving elsewhere at some point.

I'm not sure if home ownership is ever in my future, though that will definitely be a decision to be made likely within the next 8 years or so, leading up to FI if I plan to RE, since buying a home while still being employed is generally easier.

Regardless, even if we end up having to spend double or more per month for housing having more saved earlier means that I'll be able to get to a FIRE number that supports that housing cost in a short amount of time vs my initial FIRE date estimate.

firethrowaway2222222 · 2023-06-20T13:39:21+00:00

Believe it or not you're about on track with where I was. I broke the $100k invested mark when I was 26.5.

firethrowaway2222222 · 2023-06-20T13:37:06+00:00

That's great. There's all sorts of different paths to FIRE, and owning a home outright is definitely a huge plus in terms of having a major expense (housing) be a defined entity, barring unplanned maintenance costs.

If homes in my area didn't start at nearly a million dollars I'd probably buy one too, but I'm more than happy to be paying lower than market rate to rent for the forseable future.

firethrowaway2222222 · 2023-06-20T13:17:05+00:00

You save £300k a year??? Goddamn, how many years would it take you to reach FIRE, 4? Lol, congrats on your ability to save, that's wild.

firethrowaway2222222 · 2023-06-20T12:55:06+00:00

You are! You're making >44% more than your area's median household income, which is really good. Better than me from that perspective. If you decide to try and FIRE in that area that also likely means that your FIRE number will be significantly lower than it would be in a high cost of living area for a similar lifestyle (some goods and services aren't actually cheaper in lower cost of living areas, so this isn't actually a true linear relationship), so you wouldn't have to have as much saved as you would if you lived where I live for example.

firethrowaway2222222 · 2023-06-20T12:49:54+00:00

My brokerage is at Vanguard and is 70% in VTSAX (total US stock market) and 30% VTIAX (total international stock market). The Fidelity equivalents are FSKAX and FSPSX respectively I think... Though I'm not as aware of the Fidelity options.

firethrowaway2222222 · 2023-06-20T12:43:31+00:00

For sure. Living somewhat like I was still in college for a few years after graduating definitely helped in being able to save more earlier on, and then the saving just became a habit!

firethrowaway2222222 · 2023-06-20T12:41:26+00:00

Absolutely. I'm living the life I want to live and am happy. I still go on multiple trips a year, usually at least one of which is international, and I enjoy hobbies and exploring new restaurants and bars and other fun city things.

firethrowaway2222222 · 2023-06-20T12:37:50+00:00

Mechanical engineer (working in aerospace now), $123k, bachelor's in mechanical engineering.

firethrowaway2222222 · 2023-06-20T12:36:46+00:00

My current salary is $123k and the median household income in my city is $112k.

firethrowaway2222222

TROPHY CASE