What is your retirement number...and what do you do when you reach it?

[disneysteve]

There's an income requirement. I don't know the limits, but it is pretty low. Even with tIRA, I've been putting in post-tax money into it for years because there's some sort of limit there too (wife doesn't put $ into her IRA because of it).

I am really shocked (and frustrated) that no one else has called you out for your absurd comments on Roths.

Sorry, Storm. I haven't been on regularly so I missed his response.

sv2007, your reply is beyond absurd. Saying that the income limit is "pretty low" and that "most people are locked out of the Roth pretty early" really does suggest that you have no concept of reality.

Only about 5% of the population earns over $150,000/year, so at least 95% are eligible to contribute to a Roth. The limit that you think is "pretty low" applies to only a small fraction of the population.

[rennigade]

Its official. sv2007 made the cut on my ignore list. 1st member to have that privilege...congrats.

[97guns]

Its official. sv2007 made the cut on my ignore list. 1st member to have that privilege...congrats.

I thought I was your huckleberry

[rennigade]

I thought I was your huckleberry

Nah...you have some odd methods of investing and handling money (imo) but you hustle and know how to make money. Cant hate on someone like that.

[sv2007]

sv2007, your reply is beyond absurd. Saying that the income limit is "pretty low" and that "most people are locked out of the Roth pretty early" really does suggest that you have no concept of reality.

Only about 5% of the population earns over $150,000/year, so at least 95% are eligible to contribute to a Roth. The limit that you think is "pretty low" applies to only a small fraction of the population.

I post what comes to mind. I suppose given the entire USA, the entire world, maybe even $10k annual is considered high.

Look at it this way, senior engineers get $150k+, and to become senior means 2 (or at most 3) years of experience. In the context of SF bay area, $150k income is really not much and easily surpassed. Even before the current hot tech trend, we were shut out of Roth after 3 years or something. Now, new grads make a lot more money then when I graduated.

[StormRichards]

I post what comes to mind. I suppose given the entire USA, the entire world, maybe even $10k annual is considered high.

A Roth IRA is an account set up in the United States. What people make in other parts of the world is totally irrelevant to this discussion. You say you post what comes to mind. Does it ever come to mind that you are wrong?

[GrimJack]

I try to think that every purchase must be supported by the 4% spending rule even while I am still working. It is pretty difficult stay in the head-set to never spend principle; I am working towards retiring in the next few years - I have a couple service years that I want to 'buy into' for the calculation of my years of retirement. I have a couple years of military and 4 years working for NOAA as a full-time temp; the 2 together will almost double the years counted to retirement calculation.

[disneysteve]

Look at it this way, senior engineers get $150k+, and to become senior means 2 (or at most 3) years of experience. In the context of SF bay area, $150k income is really not much and easily surpassed.

That makes perfect sense, but that isn't what you posted. Had you said this, I don't think anyone would have taken issue with it. Sure, if you look at a very specific population - senior engineers in the SF Bay area - Roths probably aren't very useful. But for the vast majority - over 95% - of the population in this country, Roths are a great retirement tool that everyone should be taking full advantage of.

Not only that, but Roths are the only retirement plan that don't even require you to be working to contribute. A spousal Roth allows the working partner to fund the account for the non-working partner. I've funded my wife's Roth for years even though she was a SAHM for a long time, went back to work for a while, and is now at home again. We still max her account every year. It's a huge deal to be able to do that despite her having no earned income.

[Nutria]

someone who has a cd's had a diffrent number
a Cash value life insurance as a different
someone who owns an Annuity has a different number
someone who wants to buy bonds has a different number

Shocked!

[butler]

Our number is $3.5M. This includes equity in primary residence since we will definitely downgrade to a small condo once daughter is out of the house and we don't need large front/back yards or extra rooms.
When we started our journey, we had planned to have $1m by 40, $2m by 48, $3m by 55 and 3.5m by 60 to retire. All in today's dollars.

Thanks to Silicon Valley RE boom and some amazing gains on RSU grants we were able to reach our first milestone by the age of 38 and will reach our second in another 2 years at 44. So we are a little ahead for now (as long as we don't experience another big 2001/2007 event or a huge drop in RE in SF Bay Area!). Other risk for us is there is a clear age-discrimination in Silicon Valley. I feel we are at peak of our career (my wife doesn't agree!) and from this point on, we could go downhill so we need to be extremely conservative!!

Forums/discussions like these keep us motivated to contiue on this path!!