I’m 60 with $2M How Much Can I Spend in Retirement?

A $2 million portfolio at age 60 might seem like a solid foundation for retirement, but financial readiness requires detailed planning. Joe and Jackie are nearing retirement with a net worth of $2.4 million, including $1.8 million in investments and two properties. Their goals include $8,000 in monthly expenses, healthcare costs, property upkeep, and $25,000 annually for travel during early retirement. James' analysis highlights challenges like bridging income gaps before Social Security at 67 and ensuring sustainable withdrawal rates. With initial withdrawal rates exceeding 7% and a low probability of financial success, adjustments are necessary. Strategies include working longer, cutting expenses, or using property assets to cover unforeseen costs like long-term care. The case underscores the importance of trade-offs, aligning spending with actual retirement patterns, and managing withdrawals to extend portfolio life. Even small changes, like working an extra year or modest spending reductions, can significantly improve retirement outcomes. These principles offer valuable guidance for anyone planning their financial future. ======================= 🔗 Connect with us → https://learn.rootfinancialpartners.com/connect Get access to the retirement software I use and more → https://retirement-planning-academy.mykajabi.com/rpa _ _ ⏱Timestamps:⏱ 0:00 - Meet Joe and Jackie 2:59 - Income now and later 4:35 - Retirement cash flows 7:31 - Travel, healthcare, and taxes 9:42 - Withdrawal rate 12:50 - Explore other options 15:52 - If Joe worked longer 17:57 - Building options 19:58 - Retirement spending smile 21:36 - Understand tradeoffs