[USER]

We are exploring the possibility of retiring in Washington state, possibly in the Vancouver WA area. Having reached the age of 55, we are both weary of working and have accumulated savings of around $6 million, with no debt obligations.

We lack additional sources of retirement income, such as pensions or rental properties.

Our conservative monthly expenditure estimate is $10,000, and we worry about exhausting our resources in the future.

Can we retire securely at 56?

Thank you in advance.

[Tracy]

Try out Boldin. It’s a great planning tool and can help with lifelong estimates.

Also take a look at your mix of assets and the income streams they produce (dividends, interest) and see if you need to reallocate the generate more of an income stream In addition to just depleting principal

[Liz]

if u need more monthly income invest a bunch in Realty Income. they have raised their dividend every month for like 20 or 30 years. even.

better if u have $$$ in a roth !!!

[Brian]

Easily, and the amount will depend on which type of accounts you have $ savings allocated. The more you have in a taxable brokerage at this point the better.

Go live your dreams, looks like youve earned it!

[Ricky]

Seriously you have 6M bucks and asking if you have and enough. You literally are in the top 1-2% of net worth for someone in your 50s.

[Constance]

I live in WA, 7 years the new taxes kick in, property taxes will be triple…very spendy here, if I could move I would

[Ric]

Piece of cake! Even in Washington, which LOVES taxes…you will be fine.

Go to Idaho or Montana if you want to get a better bang for your buck!

[Cindy]

WA is expensive but it sounds like you have a good amount of money saved. I live in Seattle and it’s crazy expensive. Have you been to Vancouver?

It’s not a place I would like to live but maybe being retired out of the city would be nice.

Vancouver and Kelso areas get a lot of rain and being from Seattle, I’m over it. LOL.

[Mark]

With the 4% rule, it looks like you can do 3% and likely keep growing

[Jack]

At 55, you should be fine if you keep your portfolio mostly in well diversified equities for many more years.

[Scott]

The short answer is absolutely. Here are some things to think about before you pull the trigger. Is your savings averaging at least 7% a year over a 10 yr time frame?

It’s important to have a cash buffer of about 18 mos, with a replenishment plan.

Is enough of your money in pre retirement accounts? Is your 6m outside of your homes networth?

If not, would you be willing to sell and downsize/relocate. And lastly, Can you live off of 200k a year?

If you’ve thought through these basic things, go for it.. you’ve earned it.

[Elaine]

My mother used to live there
It’s a nice area and super close to Portland.

[Bill]

Yes. You are safe to retire at 55 with 10,000 a month spending. I’m not a financial advisor but I would still keep 80 percent in equities. You are still relatively young, probably my age, I am 54.

I am in a similar situation as you and I know that feeling you have.

Even though the numbers work, it is still what if worries. I still have 80 percent of my portfolio in stocks.

I think you have a realistic and sustainable withdrawal expectations. Now, if I would take my own advice and follow your lead.

[Saif]

As per the standard estimate you should be able to take out 4% every year without exhausting the principal.

So, you can take out 240k annually on 6 million

[Jeff]

Yes. I would suggest taking some risk with say $2mill in high div etf’s like QQQI, SPYI, and IWMI. They’re tax efficient and pay 12-15% divs.

Thats without upside in price.

[Author]

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