Unfortunately, I decided to retire before I had my act together. I was counting on the markets to continue blossoming like they did in 2005, and I would ride the wave into retirement and the great beyond while leaving my heirs with a healthy nest egg of their own.
NOT! The economy decided to test my theory… in an angry way. Instead of stacking up new “stores in the barn,” I began losing ground at an an alarming rate. I had a hole in the barn and the cows were eating it while I sat here wringing my hands!
So here I sit trying to figure out when and if I can afford to begin taking a draw on my retirement funds. Living on social security and a few rental properties is getting increasingly difficult – especially since most of it is going to a plumber.
If anyone else is facing this dilemma, you might want to check out a site at msnbc.com which offers a free calculator. You plug in your age, income, how much you’d like to withdraw and it will spit out how much you have left when you check out of this life. (That’s assuming you know the date you’ll be checking out – I put in 120 just to play it safe!)
They are using a long-term anticipated return on your investments of 4 percent which I hope is on the low side, but who knows? The exercise made me feel a lot better about my original plan, and I’m even thinking of giving myself a little raise.
You can find the calculator by logging onto www.msnbc.com/
You might have to do a search for “nest egg calculator” or retirement planning to get to the right spot.