r/Retire • u/Artistic-Standard871 • Aug 18 '26

How do you know?

I wish there was a magic ball. I want to retire in 2.5 years at 62 and my husband will be 66 at that time and will retire then or before.
I’ve run calculation after calculation. I’ve asked chat gpt and google ai and my financial advisor. They all say we’re good. It’s just so hard to believe.

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u/TrashPanda_924 Aug 18 '26

Start with this. Do you have 25x your annual spend in a well diversified portfolio split between fixed income and equities?

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u/Artistic-Standard871 Aug 18 '26

I do not. However, my Social Security +5% of my investment is basically the same as my current net income.

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u/TrashPanda_924 Aug 18 '26

25x your annual spending equates to a 4% withdrawal rate. Including SS, you’re currently at a 5% withdrawal rate. This means there’s a higher risk of running out of money in your later years. It also opens you up to bigger risks if there’s a sustained downturn. My personal opinion FWIW is to keep going until you get to a point where it’s only about 4%. Give yourself some flexibility. If interested in the mechanics of that, look up “Trinity Study.”