You're welcome.Thank you Chassis! The pension is COLA'd, so we are in even better shape!You are FI.
The RPM spreadsheet is perfect for your situation.
Another method is to calculate the NPV of your future cash inflows (SS and pension), which is $1.278m using a discount rate of 4% (10-yr Treasury rate), COLA'd SS of $45k/yr at 2.5% per year and non-COLA'd pension at $80k/yr. If your pension is COLA'd the NPV is more than $1.278m.
Using pension + SS NPV your porfolio is ~$5m which is 25x of $200k/yr spend. You're there.
Did you include real estate equity in your portfolio number of $3.8m?
NPV is $1.54m with pension and SS COLA'd at 2.5% per year. Both income streams end at age 85 (decease of investor). Survivor benefit would increase the NPV.
Statistics: Posted by chassis — Thu Aug 08, 2024 8:18 pm