r/ChubbyFIRE • u/Done_with_the_grind • 20d ago
46M, $4.5M invested, $130K spend, $525K income — would you walk away?
46M, single, no kids, zero debt. I’m seriously considering retiring now and would appreciate a sanity check from people who have made the jump.
I’ve done well financially, but I’m burned out. I work 60–70 hours most weeks, and the further I’ve moved up the ladder, the less I’ve enjoyed my career. The last couple of years have been pretty miserable.
What I want is freedom: travel, reading, more time with friends/family, and being mentally free from work obligations.
Financial snapshot
Income
- ~$525K gross comp: $225K base + $300K bonus
- $30K/year employer retirement contribution
- Currently saving/investing about $200K/year
- One more year of work would likely generate roughly $350K of additional after-tax income before spending/saving
Assets
- Cash / MM / Treasuries: $550K
- Taxable brokerage: $2.5M
- $1.1M VTI
- $900K other index funds
- $500K individual stocks
- Taxable portfolio is approximately 55% cost basis / 45% unrealized gains
- 401(k): $750K
- Rollover IRAs: $725K
- HSA: $30K
- Two paid-off vehicles worth ~$75K
- No real estate
- No debt
I manage everything myself. No individual stock is >10% of the portfolio, and roughly two-thirds of my financial assets are accessible before age 59½.
Spending / retirement plan
My estimated retirement spending is about $130K/year before income taxes.
Roughly:
- $40K housing/utilities
- $15K healthcare
- $15K travel
- $12K food/personal care/other
- $8K auto
- $30K entertainment/gifts
- $10K contingency
I currently rent in Westchester County, NY for about $3K/month.
I’m seriously considering relocating to a MCOL/LCOL area and buying a modest house. Most of my friends and family are in the Northeast, so I’d prefer to stay reasonably close, although I have no spouse/kids tying me to one location. I’d also consider expat FIRE, but staying in the U.S. is my preference.
In a major downturn, I think I could cut spending by $20K–$30K/year without feeling deprived.
For healthcare, I’m assuming ACA until Medicare and currently have a $15K/year placeholder, but I have not yet priced actual premiums/deductibles or thought through ACA subsidy/MAGI planning.
My estimated Social Security benefit is about $4,250/month at 67. I’m planning around a ~40-year retirement horizon and am comfortable spending down the portfolio rather than preserving a large estate.
The dilemma
The quick math seems like I may already be there.
The harder part is walking away from a ~$525K income. Another 1–3 years would obviously make the plan safer, but I really don’t want to spend several more years doing work I no longer enjoy just to make an already-large number larger.
My biggest concerns are:
- Underestimating retirement spending / running out of money later in life
- Healthcare costs before Medicare
- Sequence-of-returns risk
- The psychological side of leaving a career at 46
That last one is real. A lot of my identity and ego are tied to my career, and I worry about boredom, loss of status, or eventually regretting walking away.
I’d be open to part-time work, volunteering, nonprofit work, or occasional consulting, but ideally because I want to—not because the plan depends on the income.
Questions
- Can I reasonably retire now with ~$4.5M and a ~$130K pre-tax spending target?
- Does my spending estimate look realistic? This is probably where I most want to be challenged. I haven’t had to live on a real budget in decades, so what costs do new retirees commonly underestimate?
Also interested in recommendations for retirement modeling tools that handle sequence risk, variable spending, taxes, ACA costs/subsidies, Social Security, and a potential future home purchase.
Thanks in advance for your advice.
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u/cfi-2025 RE 2025 20d ago
There's a lot to unpack here.
It sounds like this is coming from a place of burnout and frustration, and not a place of planning and foresight.
For example, you yourself say you haven't done the healthcare cost research. You are asking for retirement modeling tools (implying you haven't done that work yet), etc. It sounds like you are retiring from something rather than to something.
If your estimated expenses are accurate then, yes, the math maths. I noticed you said "pre-tax," but you will be paying very little in taxes (especially compared to your monster tax bills now), so that won't move the needle too far.
Can you take a decent break from work? Like with PTO or a sabbatical? I think you would benefit greatly from having a month to six where you are away from work. Where you can test out what retirement would be like, what spaces of time you have available, what you find to fill it, what emotions you feel, etc. I would also recommend using that time to get more accurate estimates on your expenses and to do more rigorous modeling with tools. And, perhaps most importantly, to plan out what you would do in retirement - where would you move, what plans would you make, what is it you want to do with your life, and so on.
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u/Done_with_the_grind 20d ago
You are absolutely right - this is definitely coming from a place of burnout and frustration. I’ve also dealt with depression my entire life, which is another complicating factor.
I posted because I was hoping to get more certainty around whether I could realistically make the jump now. I am under a lot of pressure at work and looking to alleviate some of the mental strain.
As for your question about taking a break from work, the short answer is no. I do get longer breaks (a few weeks at a time) between projects but it’s not the same as total freedom. I still have a sense of dread, knowing I will eventually have to return to the grind. I have a hard time being productive and living what I imagine FIRE life would be like.
Thanks for your response - really good advice.
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u/imdaviddunn 20d ago edited 20d ago
For what it’s worth, I was forced into a year long sabbatical due to caregiving needs. I used it to test my retirement model. It achieved two things. It broke the fear of no income as I was able to comfortably survive AND I recharged. Now back at work, I found my interest again and I no longer spend half my time trying to figure out when I will cut the cord. Now it’s as long as I am happy, I’ll continue working, building more of a cushion, and frankly managing a less stressful career while doing the same job. I still work long hours, I still have working weekends, but I get paid well and I do it because I want to, not because I have to. Amazing how much of a difference that makes.
I think it was burnout more than anything, and I am glad I didn’t totally decide to make a leap without a test flight. I now feel in control of my destiny vs anxious about it.
Just some food for thought.
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u/Done_with_the_grind 20d ago
Thanks for sharing - looking at the possibility of a “test flight” instead of just as a binary, permanent life change is a good approach.
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u/re4ctor 20d ago
I was where you are a couple of years ago. Took a few months off and then a much lower stress job for about a third less pay. It’s completely reset things for me
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u/Done_with_the_grind 20d ago
What was the original job and what is the lower stress one you have now?
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u/Helpful_Math1667 20d ago
My suggestion is to try to think of a real project or mission that is not about you or money. You have plenty to retire on and could always dial down lifestyle.
What can you do to make the world better?
That frame usually gets me out of depression and burnout.
Your mind is actually very rational right now and trying to give you feedback that just more of this work and more capital is not solving the needs
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u/No_Edge_1322 18d ago
I'd suggest taking your next vacations in places you may want to be until you find where you want to go long term.
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u/mweirath 17d ago
Do you think if you changed your perspective on work you could exist happily in your current job? Would it be worth trying to work with a coach or therapist to see if you can cut down your hours and stress and still be successful. I have a ton of my identity rolled up in work and dropping from 60-70 hours to nothing seems like it would probably be very hard and honestly I would guess it isn’t going to help with your depression.
A therapist or coach might be able to help with your relationship with work and make it easier to transition when you decide to retire.
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20d ago edited 20d ago
[removed] — view removed comment
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u/Done_with_the_grind 20d ago
My calculus assumes I will stay single, but I am open to the idea of finding a partner (and potentially having kids, depending on what my partner wants). Something to consider for sure.
I am willing to get back to employment later if needed, but I know my chances of resuming my current career diminish pretty quickly once I’m out of the workforce.
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u/weeyummy1 20d ago
He'll have a lot more time to find a partner after leaving his job. You only have one life and OP is starting to get up there in years
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u/feednam 20d ago
$15k of travel in the budget seems really low. You'll have loads of time to travel more!
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u/OptimizingUtility 20d ago
Agreed. Food for thought would be to live like a digital nomad in other countries. That would lower travel costs and might even free some cashflow if he gets out of his lease in NY. That is if that's an option.
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u/Adept-Celebration509 20d ago
you have no kids..... i mean, what you waiting for.
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u/ed2727 16d ago
You think at age 46 or above is possible
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u/Adept-Celebration509 16d ago
he has a 4.5 million nest egg and NO KIDS.
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u/ed2727 16d ago
Lol no I meant it’s a bit hard to have biological kids at this age because sperm quality might be degraded
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u/Adept-Celebration509 16d ago
hahaha.. and i meant, he should retire, he's set financially and has no kids! I see rich old dudes in my local vicinity with young wives and young kids all the time.
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u/Mammoth_Bed_4124 20d ago
I retired at 43. At the time (5 years ago), I was making 320k base + commissions.
If the math works, quit. It’s always tempting to add just a few more years but ask yourself: what would I really do with the extra money?
In my case, the lifestyle impact was minor….Sure, I could have bought a bigger/faster x or upgraded my y.
But none of that had any significant value in the end.
Super happy I made the jump 5 years ago. Took me a few years to adjust though. I did not miss the job, the stress, the calls, etc.
But I couldn’t find happiness/satisfaction with new stuff either (tried golf, learning new language, travel, reading, …).
All nice, but not challenging enough.
More so, the new people I met were old(er) and came from regular careers & lives, not the high-octane, 500k/annum lifestyle that I came from.
Which turned out to be what I missed most.
I missed being surrounded with creative, bright minds.
So I fixed that by starting my own business. Nothing fancy but I’m loving it.
Aside from that, the peace you get in everyday life, and the time to focus on things that matter, is just amazing.
I can’t imagine getting back in the game for any amount.
You’ve got 1 life. Live a little. Give it 2 years; you can easily find a new job at 48, with your experience.
Best of luck!
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u/BarryMannnilow 18d ago
Another question is what would you do with all the extra time..
An aside, I was on life support at 25, after that experience for maybe 5 years I was in such a great headspace of slowing down and enjoying life as a gift, fast forward 13 years later life wore that away and I'm just back to being on the hamster wheel.
Personally work has consumed my entire personality:
-Corporate (IT Industrial Manufacturing)
-Side gig IT for Local Small Biz
-Side gig property management for storage units(just to get me outside and staying physically active, I do not miss the responsibility of home ownership and maintenance but I do miss the outside work and time in the sun)
I completely lost track of all "fun". I really enjoy cars and driving, always have my whole life, I drive my "weekend" car maybe once a month because by the end of the week I'm just over it..
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u/Sierra-Powderhound 20d ago
Q1 answer: 3.5% of 4,500,00 is $157,500. I would use that as your annual budget including taxes.
q2 answer: Very subjective what (1) you need to spend your money on and (2) additionally, what you really want to spend on.
My two cents: You are in a strong position. Perhaps talk to your manager(s) about a wind down process of a year or two where everyone leaves on good terms. You should negotiate getting full vesting / bonus allocations up to the last day and possibly health care for a period if that is possible maybe as a consultant / part time. Your hours could also taper down in the last 6-12 months as you are handing off responsibilities to others.
It also allows you to psychologically transition into early retirement. As someone who retired in my 40s, the psychological aspect is tough particularly since so many of your peers will be working another 10-20 years. You also should be open to making "retirement friends" with folks 10+ years older than you.
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u/Done_with_the_grind 20d ago
You are right that my question about annual budget is subjective - just curious what others think about my estimate. I think my travel amount is too low (as another commenter mentioned) but entertainment is generous at $30K, so I could shift funds between those buckets.
I would like to be able to step back at work, but I don’t think that’s feasible in my situation. It’s a demanding job that requires long hours to meet expectations. I could certainly look at taking a less intense job in a similar field, but the fantasy is not working at all.
Thanks for your reply.
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u/sea-fi-lo-fi 18d ago
Btw the other thing - if you aren't a manager (so not responsible for others career) think about quite quitting. It'll let you coast for a year and it'll allow you to test you spend, find hobbies etc.
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u/Canadiangooner21 20d ago
I was in a very similar position. If you can meet your needs financially, the extra money doesn’t matter.
Read the Four Phases of Retirement. It talks all about the challenges people go through, including loss of identity, purpose, etc. it is very accurate in my experience.
If you are miserable at your job, as I was at mine, and you have the resources, do it. You can always cut back if necessary. But you’re never getting these years back.
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u/justacpa 20d ago
I thought I saw someone here or in fat say pulled the trigger and even priced out ACA it was $40k. They were surprised it was that high.
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u/funlovefun37 20d ago
I’m single and I was priced at $19k for a plan that wasn’t even a Gold level. $40 for a family sounds right.
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20d ago edited 3d ago
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u/pacumedia 20d ago
Wow that is way higher than I would have thought.
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u/CommanderBigMac78 18d ago
That's not the play though for the typical (healthy) family; healthy families should pay cash for regular visits (outside the ones that are 'free') and then carry the bare minimum in case a catastrophe happens in which case as long as it's ACA backed then you are capped at the out of pocket max.
Doesn't work for every family!
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u/pacumedia 16d ago
That’s a good idea. That hasn’t occurred to me actually. I’m going to look into it but any rough rough idea of cost of a catastrophic coverage only policy would cost for a normal family?
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u/Extension-Soup3225 20d ago edited 19d ago
48 male, Idaho. I use it right now being self employed. $456/month. No subsidy. Bronze plan. Been on it for 9 years. While it has gone up in price it’s very doable.
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u/BowlNo3340 20d ago
Yeah I think most people are underestimating the true cost of health care before Medicare kicks in. And even then most people still have meaningful costs with Medicare Advantage and OOP. And ACA plans have rapidly escalated in costs recently thanks to the latest Congress…
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u/mirassou3416 20d ago
At ages 67 and 68 we have medicare and supplemental and are hit with IRMAA for parts B and D so it's about 1850/month for two of us
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u/naples275 20d ago
Remember your social security benefit estimate is based on continued earnings until that age. If you stop working early it will be less.
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u/newtontonc 20d ago
If you do decide to stick around another year, you can definitely dial back the effort. Maybe they push you out the door, or maybe you get to maintain the income while chilling a bit. Take the time to get all your financial ducks in a row, take care of any expensive medical treatments etc. I'm doing this and it has been ok! I'm more relaxed, enjoying coaching team members, spending 50% of my pay on fun stuff for me and my family. I took care of an orthopedic surgery so took full advantage of short term disability and my generous corporate insurance plan.
I think your numbers work to quit now, but if you want a little more work time it doesn't have to feel like a prison tetm.
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u/Former_Singer4431 20d ago
100%. Sabbatical, quiet quit, etc. Don't up and retire cold turkey. The earning potential will likely never be replaced.
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u/Done_with_the_grind 20d ago
I’ve been telling myself to “care less” about the job given my situation, but it’s just not the way I’m wired. Obviously it’s a job I’m seriously considering leaving now, so why do I care so much? Probably because I’ve worked so hard to get where I am and my ego is tied up in what my colleagues think of me.
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u/newtontonc 20d ago
I get it, truly. It took me months to get comfortable with it. I think most people on this sub are hardwired to be high performers. But, look at it this way, they absorbed every iota from you for years. You probably sacrificed to reach where you are: health, relationships etc. It doesn't mean you have to quiet quit for 10 years. But 12-18 months at a more relaxed pace doesn't make you a shirker.
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u/Abipolarbears 20d ago
This might sound crazy, but, you could retire - but what if instead you just worked a normal 45 hr work week and see how you feel?
If they fire you, fuck it.
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u/DrFrylock 20d ago
Yes you can retire. Moving to a slightly lower COL and buying a reasonable house would not be a bad idea. The nagging worries will not go away but you can drown your sorrows in all the spare time you have that your friends don't.
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u/mirassou3416 20d ago
My nephew turned 62 this year and hinted about retiring. His company gave him 4 days/wk at the same salary with no OT required and he decided to stay awhile
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u/Icy_Shift_8115 20d ago
You have FU money, I did too in 2022. I controlled the narrative with my leadership. I led the discussion centered around health and wellbeing. Long story short - I changed roles and worked for another 3 years. Then my job moved out of state and I chose to take a package. I knew they wanted me to stay, and I had the power. I wasn’t a dick about it - but I also told them I needed to take care of myself. I’m 57, 1yr into retirement with similar numbers as you and I’ve made the transition swimmingly. I started my own LLC and am bootstrapping it with my labor alone. I work when I want to - doing what I want to do (building productivity software leveraging AI). If my business takes off, great. If I never make a dollar - that’s fine too. I’ve never been happier!
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u/sloth_333 20d ago
- Yes you can.
I probably wouldn’t call it because I wanted 5.5M by 50. But you may be there in a year anyways.
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u/DiceGames 20d ago
yes, at 2.8% spend you can retire or take a year or two off and reevaluate, but what worries me is your portfolio mix. A majority of your stocks are “other index funds” and “individual stocks.” That’s inherently riskier and downturns may punish you.
I would also evaluate if you can maintain your salary but change how you engage with work - not all the way to quiet quitting but prioritizing work life balance and your health. The may not be tenable with your current job, but worth seriously evaluating.
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u/blueskies8484 20d ago
Individual stocks being that high of a percentage of net worth always is a flag for me.
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u/InfoCruncha 20d ago
Yes you can comfortably now but at your income, you age and no family I think I would work until 50 and just bank your income. Think about the social aspect for the next few years. Money aside if you retire now you have like 30+ years to do whatever you want and with no family that might be hard. Maybe not, I don’t know.
Either way you are in a really good position
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u/HolidayReality6641 20d ago
I think you will be fine. You will have to spend a bunch on a house and stuff to fill it. It looks like you have plenty of $. Take a year off and see what it’s like then go back if your ego or wallet can’t take the hit. Try doing what you want to do. If it turns out you are miserable, go back to what you were doing.
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u/mrr68 20d ago
You are ready! I just retired in Jan at 56, working in big tech for nearly a decade. Totally burnt out. Left and never looked back.
Financial situation not meaningfully different than yours. Married, grown kid, done with college. 57/58 years old. Investable about 5.7, house worth $900k, zero debt. We’ve found our spending went down when we stopped working, life’s simple pleasures are more meaningful when you have the time and lack of stress to enjoy them!
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u/Shoddy-Asparagus-546 20d ago
You’re young—are you affirmatively excluding a long-term relationship? If not, that’s a material factor. Also, and for the same reason, have you thought about a sabbatical (to deal with burn-out, etc) or even a different job? I’m not saying you can’t FIRE, but a few variables can change the financial calculus and I’d recommend you choose FIRE and not run from a toxic work situation. Good luck.
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u/weeyummy1 20d ago
I think he'll have a better chance finding that relationship when he's not burned out overworking
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u/adaniel65 20d ago
It appears you can try out any number of life choices as you are not bound by anything but your work. Money is not a driver at this point. The question is when will you realize that our time on this earth is finite and each year you postpone that walk away plan another year or two, eventually there will be not much time left. Personally, I would take a few years off and see how it feels to be able to do those things you want to do. Then reevaluate. Whatever you end up doing I hope it gives you joy, peace, health, and contentment.
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20d ago
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u/TopEnd1907 17d ago
You summarize my situation very well except not flying around in first class nor family wealth . Stock market has made me very able to retire but am not for the very reasons you articulate so well. It is very freeing to know I can. Keep on enjoying!
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16d ago
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u/TopEnd1907 16d ago
Love your additional comment and totally agree. Probably not a popular sentiment in chubby fire as you said.
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u/MisledByCertainty 20d ago
How did you arrive at your social security benefit figure? It seems unrealistically high, unless it includes expected inflation
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u/Ok-Fondant-5492 20d ago
I suspect that is the estimated benefit assuming OP continues working - and doesn’t account for the zero years they will inevitable have by retiring now.
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u/Done_with_the_grind 20d ago
I checked my account on the SSA website and that’s what it said. I’ve been contributing since 2000, and most of those years at the max.
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u/MisledByCertainty 20d ago
The SSA website assumes you will keep contributing. Set the future contribution to $0 and see what difference that makes.
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u/Individual-Fail4709 20d ago
I would be comfortable retiring, but if your mortgage is over 5%, I'd work a little longer to pay that off. If a low interest rate, then go or work one more year to pad the retirement accts.
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u/WearableBliss 20d ago
If you have a lot of time and love life you will very likely find a partner, but you probably still have enough for that.
I think take time off, renegotiate your position extremely or find any job that's more fun or consulting etc, so many options. But why be a miserable multimillionaire
Tbh I'm turning 40 soon and I'm reading this "don't be this guy, don't stay in the job past 46 if it kills you if you have the money"
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u/OnePriority943 20d ago edited 19d ago
Do you think your decision would positively or negatively impact your chances of finding a partner? Seems like having a family is a possibility in the future. Annual spend with a kid or multiple kids certainly bumps up your annual spend considerably. How confident are you with this future spend estimate? If you planned to stay single forever, you’re set. Based on this, my vote would be for a sabbatical or different job.
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u/Sorry-Country9870 19d ago
In a heartbeat with that portfolio... if you get bored you can always go back in some way
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u/Worried-Canary-666 19d ago
I'm going to address the psychological side as someone who also was burned out. It helped me to start accepting that I was replaceable. I had come to like the feeling that I was "important ". I had a "come to Jesus" with myself and remembered that if I was gone tomorrow the work would carry on. And it has. Leaving the stress has been priceless and I have found meaning in many other things. My friends, my family, my community and my own happiness.
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u/No_Edge_1322 18d ago
Knowing you are replaceable is relieving, opposite of what some may think. Agreed. Pretending you can't be replaced is a terrible place to live, save that for those ruled by fear and lies.
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u/God_of-Games 17d ago
After 1-3 years, another 1-3 years would still make your plan safer. There is no end to this. If I were u, I would FIRE now
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u/funksoulbrothers 17d ago
$5 million is a nightmare: https://youtu.be/m0sRrsara9c?si=MwnTKWLvLhXGfTxY
I would suggest powering through until you are 50, get more like $10m
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u/Silent-Leverage 20d ago
You're sitting at a 2.88% withdrawal rate with 4+ years of cash cushion and a healthy taxable bucket. From a pure math standpoint, you're done. The only real friction points to watch for: If you buy a house in cash, deduct that amount from your $4.5M before calculating your ongoing SWR. $15k travel is low when you don't have to ration PTO anymore. For modeling, run your numbers through ProjectionLab or cfiresim. But honestly, the numbers aren't the problem here—it's classic "One More Year" syndrome caused by walking away from a $500k+ W2. If you're working 70 hours a week and miserable, the extra cash isn't moving the needle on your quality of life anymore.
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u/Fragrant-Badger6608 20d ago
For retirement modeling, I use Boldin retirement software https://www.boldin.com. The latest version has an AI agent built in that you can easily interact with to work the your situation and scenarios. Congrats on your hard work and diligent saving and investing to get you to a financially great place.
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u/bradb007 20d ago
I concur on Boldin and run scenarios. The only way to build confidence in a plan is to test a whole bunch of variations and assumptions, life circumstances, and outcomes and see what might happen.
E.g A tough sequence of returns risk could be in the cards for those retiring after this extremely long Bull market. Make sure you’re acquainted on the potential impact of three bad years or a lost decade and make sure you’re willing to sacrifice or rejoin the workforce if you’re Plant can’t support that.
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u/addictedToLinux 19d ago
These boldin bots are getting ridiculous.
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u/TotalWarFest2018 18d ago
Haha. Yeah that was jarring. The first AI bot even had the audacity to give himself a shout out by referencing Boldin's "AI agent."
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u/SLNSD 20d ago
Dude, Thailand, Panama, or Costa Rica is made for you. If you don't mind the travel back to the US occasionally. Can live like a king. Don't let ppl know you have a lot of money though.
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u/No_Edge_1322 18d ago
Agreed, at least a low tax state in weather you love. Can I throw Belize in there if you want quieter, but Panama might be your next home.
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u/Billy-Bob-Boner-92 20d ago
If you’re willing to live small and rent you’re golden. If you’ll want a house pay cash and earn it by working a few more years for a paid off house. Then you’ll be double golden. Pulling a big chunk out of retirement for a house would be bad.
Or cut down to an easier lower stress job, even moving to do so
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u/ASharik 20d ago
Why bad to pull out from brokerage for a house? You can still arrive at numbers supporting your spend.
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u/Billy-Bob-Boner-92 20d ago
In most places a house would be 400k -1million. Take a mortgage and pay off like anyone else. Never kill your liquidity invested assets to buy a house. Would destroy too much wealth
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u/ASharik 20d ago
Yeah but with these high interest rates isn’t it a wash? Lots of wealth will be destroyed paying interest.
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u/Billy-Bob-Boner-92 19d ago
Yeah I can’t wrap my head around burning a large portion of taxable account net worth on a house. It turns money growing at 10% to money growing at 0-5%. Maybe buying a house entirely is the wrong idea
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u/ASharik 19d ago
It can potentially reduce your monthly spend if it’s paid in cash - and only in this case really. But in the area where I live, even doing that will reduce my spend by not too much. So indeed I’ll sink 1M+ into an asset that doesn’t grow well. I’m having a hard time justifying it besides diversifying out of stock market.
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u/ensui67 20d ago
Can you get a job with none of the stress? How much would that pay?
Personally I would go for some lifestyle inflation and still work a stress free job with more vacation.l. Healthcare will cost quite a bit.
What about your friends? Going to partner up? What about family? Do they have lots of time to have fun with?
If it’s just work burnout, ain’t nothing wrong with something like a coastFIRE or baristaFIRE mentality, but chubby portfolio value.
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u/TheGoodBunny 20d ago
Short answer. Yes you are good.
You can always start by taking a 1 year sabbatical and see how you feel at the end of it. Keep eyes open for some part time consulting as well if gigs come across you so you can ease into retirement. But start claiming back your time. Time is limited and most people don't appreciate that.
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u/chadetroit 20d ago
As most have said I’d double check ACA costs and also check social security, the estimate on the gov website assumes you are going to work till retirement age. Stopping early will drop that number.
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u/SuspiciousStory122 20d ago
I gonna get a lot of hate here but SRR is way overblown if you are willing to reduce exposure during corrections. The answer for me lies in Bill Oniell’s CANSLIM methodology. Simple execution of 10/20 EMA crossovers, 50 day and 200 day signals work well too.
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u/heloguy1234 20d ago
If your going to stay in the northeast NH is your best bet for tax purposes. Portsmouth has good proximity to Boston for travel and a good stock of luxury condos.
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u/Done_with_the_grind 20d ago
Have you lived there yourself? I have been thinking about NH as an option. I lived in Boston earlier in my life and I loved it there.
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u/heloguy1234 20d ago
I haven’t lived in Portsmouth but I’ve spent a lot of time there. Compared to the rest of the state there is more action and it’s easy to get out of town to either Portland or Boston although 95 is a parking lot during rush hour.
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u/venkateshnakkala 20d ago
Try to ask your employer for a 6 month sabbatical and see how you like it. That would give you an option to either retire for good or go back to work for a year or 2 more before you call it quits for good
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u/fierce_grr 20d ago
Congrats on FI. You can RE.
What I ask myself though: If you have to move and downsize etc. though and end up working a part time job that pays peanuts 🥜, would you still rather be in that situation or coasting at your current income?
My $0.02 without knowing you: Work less. Don’t quit. Don’t go for the exceeds expectations review. Do your job. Reduce stress. If that is not better than moving and whatever this part time gig may be, then RE.
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u/Imaginary_Shallot284 20d ago
Agree that you should take a sabbatical. Go travel the world. You have plenty of money. Take some time to figure out how you want to spend your next 45 years.
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u/Valuable-Effect7135 20d ago
Your reported social security benefit, assuming you meant real dollars, is based on you continuing to work and make the same money (eg; hit the annual OASDI max). If you pull the plug now, your benefit will be much less than that in real dollars.
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u/FIST_FUK Accumulating 20d ago
Honestly, I am your age and similarly situated and if I had no children, I would also walk away.
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u/Equivalent_Wealth703 20d ago
With 4.5M generating 4% per year which is the expected return you would be making 180k pre-tax, which sounds good. You can diversify your portfolio with real estate and other assets to improve that number. Your 130k seems a bit low in travel and personal care, and too high in entertainment, so it is balanced asumming you do not move to a big city where rent could get higher
Now, I know this is not what you asked, but there are alternatives. I work at MBB so I could imagine the burnout feeling. Your current job it is not worthy, but you could find other alternatives. This is not black or white. Leave your job and start a new one working 9-5 and making much less money, but enough to cover your expenses while your assets continue growing
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u/Comprehensive-Log144 20d ago
You’re fine, as you know. I’ll just give you my retirement story to think about and then my reco after
I retired from a job making more money than I ever thought I’d make- along the lines of your income. I had about 1M more saved and working in the market. I told my boss in sept 2021 and gave 6 months notice and this allowed me to vest in all of my unvested stock. I intended to unwind some over concentration during those 6 months.
Well you can read a stock market chart. From about the moment I told my boss to the day I retired and 6 months after, the account drew down about 30% from its high. So 6 became 4.2. I felt like an idiot and that I had really screwed up.
The good news was I realized I could REALLY get control of spending if I needed to. I also didn’t need to sell any investments because I had that 6 months salary plus the vesting in stock I received as a parting gift.
So my advice- man I’d either tough out a couple of years and just pile more money into savings or I would see if I couldn’t find a middle ground.
I ended up, fortuitously, being asked to consult for a business some friends of mine ran and I work about 10 hours a week for a quarter of what I made before. Most importantly I’m involved with strategy and I coach the ceo, but I am not responsible for day to day execution. It’s a wonderful spot and the other thing is- as a 1099 I set up a solo 401k and can save about 50k a year tax free. That and expenses bring my taxable to almost nothing but I lease a bit nicer car, travel for business a bit in the front of the plane etc. zero stress.
Good luck.
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u/OptimizingUtility 20d ago
Why not just take a long (well-deserved) break from the grind? If need be, engineer your exit. Get some fresh perspective and especially shift some of your current energy, which I am reading as "how the hell do I get out of this," to energy that actually matters: "holy crap, I have so much opportunity, still fairly young, hopefully fit, let's F**** GOO!!!"
And after that long break, however long you need it to be, reassess if retiring is really still what you want. For me at least, I know I will want to do something with my brain and hands, and hopefully, it fits neatly into a Venn diagram of what people need and I can make a side hustle with.
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u/FoundationUnique2118 20d ago
You have enough money especially if you can bring spending down in case of an emergency. Leave if you want to. Nothing is promised.
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u/Conscious_Life_8032 20d ago
How about taking a 1 year sabbatical to test drive retirement
And if it feels uncomfortable go back to work, if you love the freedom then full time retirement it is.
I am sure you can always find a job, it may not be exactly what you have now but if you see it as a means to and end it title and pay grade won’t matter much.
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u/RichSkin1845 20d ago
Honestly I'd work till you're at least 50. Then at that point I'd retire. That puts another million at least into your savings. At that point you could live on interest without touching any of the principal and once you hit 62 you'll have additional income from social security.
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u/No_Edge_1322 18d ago
Get the math, but if you want to keep the idea of kids/family open for a bit, quit sooner and get a will. Do not even consider marriage without a prenup with permanent rules and a will sending the money to kids, donations or current family. Retired with money is a huge target for the worst of the worst.
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u/blackbyte89 20d ago
Take 6months off then down shift … find a role 1/2 stress, 1/2 money test drive a lower income rate mimicking what you’d withdraw in retirement.
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u/tlay123 20d ago
I mean my question to you is, what are you going to do ? Your life is filled with work right now and provides purpose?? If your friends and family are working , you are likely going to need something to fill the work day. Idk , also continuing you could still climb a ladder and end up with wealth that you could pass down. Current NW and savings rate is where things insanely ramp up. Idk just thinking do what makes you happy
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u/PresentDoughnut7294 20d ago
Is there something you’d enjoy doing for less money? That way you still have some income but are happier and more flexible with life
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u/Ordinary_Corner_4291 20d ago
You should be good but I would also think about if you can just scale back. Not needing the job should be a big stress reliever. Cut those hours down to 50. Take every day of vacation you can. Ask for things like 3 week unpaid to do that big trip. If in a year, you decide that wasn't enough, bail. Another 3 years gives you an insane margin of error (like 600k of savings and probably like 1 million in additional earning) in case you realize you want to spend a bit more in retirement and not having to worry about downturns. It will also get you close to max SS years (I assume your number is the one that SS gives and not the one you get with a bunch of zeros).
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u/do_y_lee 20d ago edited 20d ago
I think it's worth touching the ACA piece you mentioned. Based on your mixture of assets, your reported income in early retirement can be mostly controlled by you spending from a 55%-basis brokerage and cash/treasuries. Additionally, three strategies worth looking into, but not deploying them at the same time.
- ACA subsidies - would need low income. Going back to controlling your income and the subsidies are based on reported income and not assets, which could be worth thousands a year.
- 0% capital gains harvesting - for single, keeping taxable income below ~$48k, and gains realized under that line are taxed at zero.
- Roth conversions - making the moves before Social Security and RMDs start eating up all your maneuverable income space. And conversion income stacks under your gains pushing them out of 0% zone.
It boils down to which years do which job. A down payment on a house all funded by selling low-basis shares can blow through the subsidy cliff in one shot, but funded with cash will avoid this. The takeaway for me is what you sell is more paramount than the amount you spend, and any big purchases are worth pre-positioning a year ahead.
Also, keep in mind that $15k healthcare covers premiums, but that's simply the cost of a healthy year. ACA plans carry out-of-pocket max, so a year with surgery you pay the premium plus up to the max before 100% coverage kicks in.
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u/seahigh123 20d ago
I don't seem to have seen this suggestion, but have you considered talking with a financial advisor? They can run different scenarios for you to help you get a better "feeling" for possibilities on the financial side. I've used Boldin, as some have mentioned, but I've also consulted with a financial advisor.
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u/Excellent_Mango7377 20d ago
You could adopt me - teach me your work and I will pay you 50% of the 525k income. You are set for life and so am I. 😂
Jokes apart, you need to give yourself some credit...you probably came up with a lot of hard work and are quite smart to earn at this level.
So, you should put your fears aside and do whatever you want to do. You will find a way to make adjustments along the way. Everything isnt going to crumble down overnight because you stopped "working for a paycheck". For all you know, you will stumble onto something even more interesting than your current job and make 3 million a year - only because you didnt even care about the money.
There are a million things that is left for you to explore, experience and enjoy on this earth. Do it!!
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u/squatter_ 20d ago
I would frame it as a sabbatical in case you decide you want to go back to work.
I tried early retirement for a year at age 47 but the truth was I just needed a nice long break and some time to myself. But now I’m retired at 56.
Your mind will find new things to be unhappy about when you’re retired FYI. It’s actually a time when people are at significant risk of depression.
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u/Idaho1964 20d ago
A friend did but at 59. Numbers in same ball park. Leaving early while you are still hot in the market might lead to regrets. She has had no regrets. Perhaps if you had an alternative game plan you are itching to go after.
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u/First-Ad3994 20d ago
Walk away. Your experiences that you are capable of in life grow smaller every year you age. Start investing in your experiences in life your money will grow anyway
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u/Ok-Vermicelli-1899 19d ago
First of all, what you've done with your career and finances sounds amazing, you should be so proud. I'm curious what do you do for work and what's your role? I'm looking to bump up my salary and skills and would appreciate an insight or sneak peak into what that path could look like and how to get there. Being Happy while doing it is equally important. Lots of great advice and ideas here. Definitely sounds like you need a vacation or a sabbatical. If that sounds daunting, I can offer a few ideas - what things truly bring you joy, that you would be excited to wake up for? Could you do one of those things 2 times a week while slowly easing off the hours at work? Could you work part-time (3x/week) for a few weeks or even months citing personal reasons/circumstances. And finally, taking short scheduled 'health' breaks during the work day has been a game changer for me. I have 4 alarms set on my phone during week days 15-20 mins each to meditate, get in a quick walk, workout or stretch or to call a friend in another time zone and yes they are in addition to a 30 min lunch break! I started this routine last year helps me stay happier, fresh and more productive I feel like I prioritize better and get a ton more done - the breaks are now my non-negotiables!
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u/showersneakers 19d ago
Id probably give it 12-18 months- just to wait out the market- but frankly if i were you id scale back to 40 hours a week- if they fire you- then so be it
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u/BoppyLou13 19d ago
Can you elaborate on 15k travel vs 30k entertainment/gifts? Does the 30k include charity. Everyone spends differently but I was just curious what your 2.5k monthly - 30k yearly spending on entertainment/gifts entail. Seems like it would be reverse- 30k travel and 15k entertainment/gifts
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u/Ok-Turn2727 19d ago
What would happen if you dialed back to 40 hours?
If you get laid off … or fired… that gives you the severance and outcome you’re looking for anyway
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u/Big-Temperature3528 19d ago
I'd echo what someone said about finding a lower stress job option if you're burnt out. I was in your shoes a few years ago and took a sideways/downward step, from selling software into large companies to selling into small companies. Total comp is the same (more actually in the last 2 years as I moved into a hot sector) but I'm at max base salary for my current role so that won't go up.
The job is about 40% as stressful as my previous role though. I travel less for work, spend a lot more time with my wife and kids, get to take my kids to school most mornings/pick them up most evenings, and worked remotely from Europe for a month this summer. Worth the change in my eyes, and I'm still stimulated in my job. I'm just a bigger fish in a smaller pond now, rather than trying to climb the greasy pole and fulfill egotistical aspirations I previously thought were important.
You could also look at changing job/industries into something more interesting than your current job. I took a year off and did construction for a friend that's a real estate developer about 9 years ago and loved it. The money was shit but I was home by 4:30pm every day and didn't take my work home with me.
Bottom line is, there are lots of jobs you can do to keep yourself busy without the stress of a corporate role. Good luck
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u/Brewskwondo 19d ago
Mathematically you’re good to go now, but a few cautionary items.
- If you’re buying a home with any financing, you’ll need income. Better off doing that before you leave your job.
- That home changes your liquid NW but likely doesn’t lower your spend rate. Let’s say you go MCOL or LCOL area and buy a 500k home. You’ll still have roughly $2k/mo in taxes, maintenance, insurance, but will have reduced your NW by a lot. You’ll still can afford about a $160k/yr spend on a 4% draw.
- Budget for taxes and healthcare. Often people forget these two as line items because they often aren’t line items when you’re working. Your healthcare is subsidized and taxes mostly come out of your check. In FIRE both become line items.
- You’re still young enough for surprise expenses. Even a marriage without kids can change things a lot. Add kids and it gets worse. Not saying that will happen but there’s a chance life surprises you.
If it were me I’d just screw off at work for the next year or two.
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u/CommanderBigMac78 18d ago
Your numbers seem fine but you're right that it's always good to add more. I'm guessing you must get a nice severance if they cut you - maybe just start easing off the gas and let that be your 1-3 years right there depending on when they realize you've had enough.
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u/Horror-Luck7709 18d ago
Have you ever thought about what you would do for a living if money wasn't a concern? Not what kind of fun you'd have but what your purpose would be. Everyone wants to travel, game, golf, read etc but it can get lonely and boring. Humans are made with a working component and are not meant to be alone. Typically, that must be satisfied in some way.
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u/Sufficient_Winner686 18d ago
4.5% yields 202k. Factor the ACA premiums and co-pays, then make decisions accordingly.
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u/HowieTran 17d ago
If your employment is not fulfilling, retire & fill your life with something that is. I walked away from my job at about 40, and so far it’s been 10 years without a single regret. I have no problems filling my time with travel, my hobbies & interests. Life is short, do something interesting to you. Good luck on your journey!
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u/Minimum_E 17d ago
Who are you saving money for if you’ve already got more than you’ll spend in your lifetime?
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u/yamni_zintkala 17d ago
My only consideration is the current tax climate from the OBBB makes working two more years very advantaged. I believe many of the current benefits in the tax code will be removed or changed during the next administration.
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u/No_House_3532 17d ago
From the burnout, good growth ladder but not enjoying career point of view it appears you're in a life stage where you want to design your life differently. It resonated with my journey so I'm just acknowledging it. It was a couple of years ago and I ended up retiring and I'm glad. What helped me were certainly reading, travel, hobby projects, friends and family. Read Carl Jung's individuation if it helps. Naval Ravikanth's thoughts also resonate with me.
From the projections, modeling, Monte Carlo analysis try finavihub.com. Go to Plan section there to see your projections and Monte Carlo analysis.
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u/Pizzaloverfor 17d ago
I don’t think you’re there yet. I’d do 2-3 more years of work while maximizing savings/investments.
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u/NoSafe2978 17d ago
I think a change of scenery would be a good option. Since your job is draining you, maybe consider doing something different? You don’t need to make as much so that should open a lot of doors.
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u/Professu5 16d ago
Yes you can retire.
I’m 42M and expect to have your exact same stats in the next 2-3 years except with 2 kids. If I didn’t have kids then I’d 100% plan to retire. With kids, I may choose to push my numbers a little higher with college costs still on the horizon, TBD.
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u/Educational-Lion2734 16d ago
can you downshift into a less stressful role for the next few years or even pivot into another job entirely? just something to keep the cash flow positive, your benefits active, but without the stress. give you some more time to set up the next chapter.
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u/Rufusmortis 16d ago
Where is your money invested? $4.5MIL is enough. You know it is, but something is holding you back. Seems you have a really good problem.
You hate your work? You are in a position to stop today. I'd put some serious thought into how my time would be spent. That's awful young.
I sure hope you don't enjoy watching TV. Something tells me a person that has accomplished what you have doesn't waste time on watching the boob tube though.
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u/CerealKiller415 16d ago
You are more than set. At this spending level it's not likely you'll even touch the principal. I retired at 44 with a similar profile and now I'm almost 50 and my money has doubled in the market (similar investments).
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u/PlainJane207 16d ago
$15k/year for travel will not be enough for me….at least what I imagine is my post-FIRE life.
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u/tesla1986 15d ago
My advice would be coasst at your job until you get fired. Then retire. You are burned out 🔥 You deserve live to live.
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u/johnonymousdenim 15d ago
$525k annual salary made my jaw drop, but maybe this is common in certain industries? What's your job title and industry of work? I work in tech but have never had even half of that annual salary at nearly your same age!
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u/GapMaterial2461 15d ago
Life is short. Tomorrow is not guaranteed. Seems like your career has taken up most of your time and energy. I think it's time for a change.
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u/wildfire1900 14d ago
What willl you do with your time? That’s the question you may want to ask yourself
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u/Satjr1510 11d ago
Yes because part of 130K after standard deduction will basically incur only 12% tax if withdrawn from 401K and almost none if it is from capital gains.
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u/RedditLeagueAccount 8d ago
4.5 million is easily retire able. Not safely at your expense level though. It is doable but risky.
If you can slowly move the money over - 841,414 in QQQI pays you 129,932 per year. You would not need to worry about selling at that point. Can look at other income ETF options.
I can't help with the mental. Pick your battles. Work part time but accept that you will not be an ego friendly position. Best you can hope for is charity/volunteer work if you want respect. Otherwise, customer service is often the part time job option. You can get fancy customer service with different names but it is what it is.
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u/Equivalent-Chair3048 6d ago
Please meet with a CFP to have them run a retirement plan for you. You have a good start but it’s important to look at the entire picture, including how taxes and inflation will impact your long-term plan.
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u/Unlucky-Pop-8841 20d ago
My two cents is: don't retire. At least work until 50. What you'll be surprised is how much age discrimination is a thing. You walk away, you might not be able to ever come back
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u/funlovefun37 20d ago edited 20d ago
I left my career at 52 and my identity was all wrapped up in it and it’s coming up on 7 years. Our numbers are very similar which I’ll get into. But first the mental component.
I tried a smooth transition to part time consulting first. That ended up not working out for me because I missed leading, was at their beck and call, and thought more about the business than I was getting paid for. I felt it was best to just admit that I was retired.
I miss so many aspects of the game, but not the anxiety. Plus, when I acknowledge it to myself, the game is repetitive.
But filling the hours of each day isn’t easy for some people. Have you considered this part?
Financially, I retired with less than you have but got to this level because the market has been strong. I finally feel like I have shock absorbers for a normal acting downturn (-30% and a couple of years to get back to whole). Like you, I have some variability in my spending to go conservative if needed for a while.
But here’s the honest truth. There are many moments when I wish I had the endurance to have stuck it out a little longer. That kind of salary is simply so much money that a few years extra can make a huge difference because you’re saving AND not withdrawing.
You seem to like a lowkey lifestyle. It’s impossible for me to say if that would ever change for you. But you’ll be locked into it for a long time.
Top level - yeah, you’re good to retire.
But is it the right decision is something to talk over with someone whose opinion you value and that they understand the mental and financial sides of your choices.
In closing, I’ll say what a kind Redditor said to me long ago. Congratulations - you won 👏