04-10-2021, 07:47 AM
(04-10-2021, 07:16 AM)ken-do-nim Wrote: Wow, I had never heard of the ability to withdraw prior to age 59 1/2 through the rule of 55 or the 72t thing; thanks for enlightening me. Since I've been at the same job for over 20 years, I could retire at age 55 and take penalty-free (but obviously not tax-free) withdrawals from my 401k. I probably won't, since my child support ends right about then and I think I'd like to make my full salary for a few years.
As to the 3 million, I've developed what I call the "rule of AT&T" in response to the standard wisdom of getting 4 or 5% from your portfolio annually to determine retirement income. In other words, you should be able to average whatever AT&T's yield is, for your portfolio. I'm not saying put every last dollar in AT&T for its dividend, or even that all of the money should come from dividends, just that I think it's a good target to shoot for as a portfolio withdrawal %. Right now, AT&T is at 6.92%; that means with a $3,000,000 portfolio, we should be making $207,600 annually, even before Social Security kicks in. I think even with a mortgage that's plenty. My mortgage goes until I'm age 78 since I just refinanced
Why did you start by saying, "not sure what's wrong with me"? I mean, you should be buying TECL of course but no one listens to me on the triples lol.
seems like we're close in age, career and goals
as far as "not sure what's wrong with me" is a reference to i'm a staunch buy and hold investor and selling is very very very bad--it's usually a horrible mistake so i'm sure one or more of those stocks i sold will be good money makers--still own a nice amount of BAM though
another thing i've done was lower my kplan contributions from 18% to 16% to 10% ending up at 6% because I've been allocating monies to reducing debt, cash build-up and more put into the brokerage account. the one thing i've heard recent retiree's say over, over and over again was, "I wish I had more cash" almost everyone that i've known who retired over the years has said...."i wish i had more cash"
the rule of at&t is a nice guideline--i've heard of that one but long forgot about it--thank you for reminding me--i'm going to start using it