Menu

Retirement

Home General/Welcome Retirement

  •  WorkforFIRE 
    Participant
    Status: Physician
    Posts: 11
    Joined: 11/22/2018
    early retirement for doctors

    What is everyone’s number for FIRE?
    Would this include cash or total net worth?

    #171742 Reply
     snowcanyon 
    Participant
    Status: Physician
    Posts: 148
    Joined: 10/22/2018

    2 mm to cut down. 2.5 mm to cut way down to just maxing out 401k and earning living expenses. 5 mm done with anything remotely productive. All numbers exclusive of primary residence.

    #171743 Reply
    Liked by MPMD, Tim
     Tim 
    Participant
    Status: Accountant
    Posts: 560
    Joined: 09/18/2018

    I would have different number for NW for different types of investments and their mix.
    Brokerage, IRA, and real estate each have liquidation costs. Years to Medicare is a factor.
    2mm discount store
    3mm mall
    5mm but it on weekend trips to NYC or skiing.
    10mm new job, finding charitable projects to run.

    #171754 Reply
     Larry Ragman 
    Participant
    Status: Other Professional
    Posts: 257
    Joined: 08/30/2018

    I measure net worth in terms of assets that would generate cash flow in the next phase. Too old for RE, but I do plan in terms of FI. I say $3M is threshold and $5M objective.

    #171755 Reply
     Peds 
    Participant
    Status: Physician
    Posts: 2071
    Joined: 01/08/2016

    What is everyone’s number for FIRE?
    Would this include cash or total net worth?

    Click to expand…

    2.5MM

    #171766 Reply
    Liked by ENT Doc
     snowcanyon 
    Participant
    Status: Physician
    Posts: 148
    Joined: 10/22/2018

    What is everyone’s number for FIRE?
    Would this include cash or total net worth?

    Click to expand…

    2.5MM

    Click to expand…

    TNW or investments? Work at all in FIRE?

    #171773 Reply
     JBME 
    Participant
    Status: Spouse
    Posts: 196
    Joined: 03/26/2018

    Have $750k when my wife cuts back to .80 and stays there for the rest of her career.

    Have $1.5m by the time I get a lower-paying FT job that I actually want to do.

    Have $2m and my wife considers exiting medicine if she wants to pursue a career in something different

    Have $4m when we can both exit the workforce

    We’re on a glide FIRE path, not aiming to get there ASAP. We can exit the workforce once final child has gone to college, and we’ll be 53.

    Those numbers don’t include the house but would include investments and cash

    #171783 Reply
     Peds 
    Participant
    Status: Physician
    Posts: 2071
    Joined: 01/08/2016

    TNW or investments? Work at all in FIRE?

    Click to expand…

    investments i can sell to live on.

    yes transition out of medicine.

    #171784 Reply
    Liked by snowcanyon
     Kamban 
    Participant
    Status: Physician
    Posts: 1696
    Joined: 08/01/2016

    For FI $5M

    RE is your choice on whether to do it or not.

    #171786 Reply
    Liked by hatton1, CM
     Bmac 
    Participant
    Status: Physician
    Posts: 215
    Joined: 10/21/2017

    Rather than picking a $ amount, probably better to think in terms of a multiple of annual expenses (25 x annual expenses, for example). 25 would be the minimum, but for true RE, maybe 30 or 35 a better multiplyer. And the result would represent assets but not primary residence (so not true NW).

    #171806 Reply
    Liked by hatton1, Rando
    Drop it into MD Drop it into MD 
    Participant
    Status: Physician
    Posts: 229
    Joined: 09/20/2018

    Are we talking today or future dollars?

    Hard to say right now for us young folk.  We could easily live on a 120K and half that when I am done with the mortgage and child care.  Hard to know what big expenses will come up in the future.  The most likely one is ongoing kid expenses.  My spending already includes funding a 529 to a level that should cover a good chunk of a reasonable college cost. At least make it easier to cash flow if needed.   I hope not to provide over the top economic outpatient care for my children but this is one of the largest financial fears I have right now.

     

    #171812 Reply
    Zaphod Zaphod 
    Participant
    Status: Physician, Small Business Owner
    Posts: 4739
    Joined: 01/12/2016

    Really depends on age and enjoyment in career I guess.

    I would only consider retirement assets that could be drawn down like 401k/taxable. Its really of limited (though not zero) use to have a bunch of equity in your primary home only.

    Right now…2-5M. Too young and surgery is too unforgiving if a horrific sequence of returns hits, etc…I could of course easily live off 2M in liquid assets, but…whats the point of not working if you cant have some fun? 2-3M and maybe I just make the wife work and I do something fun like teaching anatomy for just spending cash.

    10M and I would feel comfortable ditching everything and never going back even at this young age. I realize thats way more than necessary, but I think you’ll find its true thats whats really required to do so, far above and beyond even crazy imagined concerns to really make one do so.

    As I get older I imagine the number decreases due to the death wedge, etc…

    #171814 Reply
     orthodds 
    Participant
    Status: Dentist
    Posts: 66
    Joined: 11/07/2017
    Earnest refinancing bonus

    In today’s dollars:  At least 8M for FI/RE with 10M+ being the actual goal because I would like to have a comfy RE.  I might need to downsize the house to get to 10M in a reasonable time frame.

    #171817 Reply
     MnSaver 
    Participant
    Status: Other Professional
    Posts: 47
    Joined: 01/04/2018

    5MM. We only include assets invested (exclude homes, cars, 529, UTMA). The answer is unique to everyone, projected spending, and other projected income sources like pensions. Pensions throw an interesting twist: I would argue a 50 year old law enforcement officer is set for FIRE as they can retire at 52 with 100% pension. No savings needed.

    #171821 Reply
    Liked by hatton1, Zaphod
    q-school q-school 
    Participant
    Status: Physician
    Posts: 2003
    Joined: 05/07/2017

    Really depends on age and enjoyment in career I guess.

    I would only consider retirement assets that could be drawn down like 401k/taxable. Its really of limited (though not zero) use to have a bunch of equity in your primary home only.

    Right now…2-5M. Too young and surgery is too unforgiving if a horrific sequence of returns hits, etc…I could of course easily live off 2M in liquid assets, but…whats the point of not working if you cant have some fun? 2-3M and maybe I just make the wife work and I do something fun like teaching anatomy for just spending cash.

    10M and I would feel comfortable ditching everything and never going back even at this young age. I realize thats way more than necessary, but I think you’ll find its true thats whats really required to do so, far above and beyond even crazy imagined concerns to really make one do so.

    As I get older I imagine the number decreases due to the death wedge, etc…

    Click to expand…

    Z- if you suddenly got 10 mil net worth somehow, would you quit medicine?  is there a difference between 5 and 10 million that factors into your decision?

     

    #171829 Reply

Reply To: Retirement

In case of a glitch or error, please save your text elsewhere, clear browser cache, close browser, open browser and refresh the page.

you're currently offline

Notifications Mark all as read  |  Clear