How much do you really need?
Whenever I look at retirement calculators, they tell you to figure on living to be 90 or 95 and that you should want to have 80% - 90% of your pre-retirement income coming in monthly. I am seriously looking at early retirement. My husband is 62 but because of diabetes, he is now on Short Term Disability and will be going on Long Term Disability next month. His eye sight is failing. In his job, he drove several hundred miles a week. His vision is past the point of being legally able to drive - though not legally blind.
I am 60 and my health is not great. I feel fine and am able to do most anything, but a year ago I had a "heart event" and had to had open heart surgery. At that time they found I also had diabetes. So, now I take diabetes meds, heart meds, cholesterol meds, etc. Not fun, but at least it keeps me going and feeling well.
My questions for you are:
1. Will I be able to find health insurance on my own until I reach MediCare age? If so, at what cost? I know you can't say for sure, but estimated amount. I work for a very small (12 employees) company and we do not have an option of continuing our insurance once we leave.
2. Do you really need 85% of your income when you retire? Seems the first few years you might do a lot and spend a lot, but than then it would slow down.
We currently make about $85,000 per year. After the disasterous market the last couple of years, his 401 has about $175K and mine has about $50K (I stayed hone with the kids until they were grown, so I got a late start). We also have about $300,000 in roth IRA's, mutual funds and other CD's. We have no debt - house and cars are paid for. We don't live extravagantly, but we do enjoy life. We had always planned to travel both here and in Europe when we retired. We have a son in London and have already been to Europe three times and absolutely love visiting the different countries. Again, we do our trips on the cheaper side. Neither of us have to stay at 5 star resorts or eat in fancy restaurants.
I am really wanting to retire early because of DH's eye sight. I am scared if I wait until I am 65, it will be so much worse he is not going to want to go places or enjoy our trips. He has had 6 or 7 laser surgeries and they are doing more, but no real change - they are just staying the same so far.
Any thoughts or opinions would be welcome.