You didn't mention if you have a paid or house of if you will get substantial Social Security but I would suspect that you have both.
I very rough back of the envelope calculation is that with the lump sum you have almost $6 million in investments. If you spend $200K a year including taxes then $6 million/$200k=30 years which your investments would last if they just keep up with inflation and that would take you until you are 89 years old if you retire when you are 59.
I would not necessarily recommend doing it but you could even build a TIPS ladder where $200K matures every year for the next 30 years. The TIPS ladder would also be generating about 2% in interest.
That is not including Social Security.
Many people naturally slow down about the time they are in their mid 70s and at that point their spending often decreases a lot while they are in relatively good health since they do not want to do things like travel much.
There are lots of details to figure out but you should be fine to retire in two years and even likely would be more than fine if you retired today.
I very rough back of the envelope calculation is that with the lump sum you have almost $6 million in investments. If you spend $200K a year including taxes then $6 million/$200k=30 years which your investments would last if they just keep up with inflation and that would take you until you are 89 years old if you retire when you are 59.
I would not necessarily recommend doing it but you could even build a TIPS ladder where $200K matures every year for the next 30 years. The TIPS ladder would also be generating about 2% in interest.
That is not including Social Security.
Many people naturally slow down about the time they are in their mid 70s and at that point their spending often decreases a lot while they are in relatively good health since they do not want to do things like travel much.
There are lots of details to figure out but you should be fine to retire in two years and even likely would be more than fine if you retired today.
Statistics: Posted by Watty — Wed Jan 29, 2025 5:22 pm