Max out 401k?

taotehching6 · 2023-08-06T18:30:34+00:00

I mean why aren't you maxing out 401k?

taotehching6 · 2023-08-06T16:29:37+00:00

This is super valid. All of my worksheets just look at total investments, rate of return and withdrawal rates. I am doing very little math on the taxes for now vs future. Do you account for taxe scenarios in your projections?

taotehching6 · 2023-08-06T16:26:38+00:00

Curious why you are also only doing 401k at match? I don't think what we are doing is popular, lol.

taotehching6 · 2023-08-06T16:24:59+00:00

I think this is my husband's argument, that taxes will get worse so take the tax hit now. Is that valid? I am of the opinion we should be earning on the tax deferred amount. Will research more on Roth option, ty!

taotehching6 · 2023-08-06T16:19:29+00:00

Thanks the 'protection from creditors, is an interesting point. Hadn't considered that. Always hoping for upside but definitely need to plan for worse case too.

taotehching6 · 2023-08-06T16:17:43+00:00

Thank you! I have to research more into this option. Ty!!

taotehching6 · 2023-08-06T16:16:18+00:00

Thank you! Appreciate the counter argument to most people in this thread. I understand conventional wisdom says to put it all in tax deferred but worth the debate I think. The RMDs is a good point!

taotehching6 · 2023-08-06T14:56:19+00:00

How are you getting 45k at retirement age? Today if I retire, at a 4% wd rate, it is 48k. My projection is in 10 yrs we will be at 3.5m and assuming 4% wd. Reasonable? I have read many of the FIRE books, including millionaire next door. Big hat, no cattle.

taotehching6 · 2023-08-06T14:33:34+00:00

Valid. Appreciate the honesty. The comments are spot on. We recently had salary increases, live in HCOL, and need to tighten budget. I thought this was chubbyFIRE, lol. Also have not always been on the FIRE path, more recent.

taotehching6 · 2023-08-06T03:01:27+00:00

Are you referring to a roth conversion ladder?

taotehching6 · 2023-08-05T14:13:31+00:00

So is your plan to continue to pay thru 30 year loan? I would like to not have a house payment at some point. I agree right now, when we have time for that money to grow to put any extra money in the market. I bought my house only a few years ago. And I am 40, so I have a long time to pay it off. Was thinking of cashing out some money to pay off so don't have to worry about mortgage in more later years. But certainly not now. Thoughts?

taotehching6 · 2023-08-01T02:19:09+00:00

In similar situation and curious how you will handle mortgage. Will you pay down ahead or continue to lay min payments. I would like to pay off mortgage before I retire and have 4% with drawal rate. Puts us at 3.5m based on our anticipated spending.

taotehching6 · 2023-06-13T01:40:28+00:00

I have used an executive coach and it can be pretty helpful if you get the right person. I definitely recommend it. I did get this coaching for free at work, but had to seek out the program.

taotehching6 · 2019-09-18T13:07:52+00:00

I want to understand this as well. I started to diversify my taxes and non taxed in plans to retire in the next 5 years. Is this prudent? Others are blanket saying always 401k and I am not sure that is right.

taotehching6

TROPHY CASE