Your mom's awesome...can she come over and help with my siding? ;-)The 401k is great but your original post indicated she wanted to move to Portland and essentially retire there. The mortgage broker probably has a better idea of her net worth than any Fools here but here are some final thoughts for your mom.I agree with the other poster with respect to the siding. I'd be curious as to what the appraisal came back as. I'd invest as LITTLE as possible.I do intend to reinvest a portion of the profit into another real estate venture. My mortgage broker has suggested a different approach to real estate investmentHmm, little suspicious of this different approach. She might be investing in real estate with the purpose of renting it out to gain additional income? This really depends in large part on her goals. Let's say she scores $90k for her home so her profit is $38k. (I did not notice if this included capital gain tax but this would be moot I believe if she is investing in another home short term) Now as far as her 401k, if she's been in it for 2 years the maximum she could have contributed is $23k (11k for 2002 and 12k for 2003) unless she's rolled some over from some place else. Last year she probably did pretty well. Let's say a conservative 15% gain (should be more...S&P was up I believe just over 30% but 2002 didn't get hot until October). This would put her at around $25k or so. This would leave about $60k for retirement. I will venture to say this will not be sufficient. I would ask her just to be cautious here. She should really sit down and determine what her retirement goals are and figure out if she's heading in the right direction. When one reaches retirement the recommended withdrawal rate is around 4-5% if one wants to maintain some principal (usually used for inheritance to one's children or to a charity), more if they want to dip into the principal and not have much remaining. This is not much for retirement especially since she is planning to move to the west coast. If one saves $1,000,000 by the time they retire this would give them a $40-$50,000 per year income. More if she wants to dip into principal but remember average life expectancy for women I think is in the 80's so she will need income for a while. Maybe that's enough. Also, health insurance premiums keep on moving up and I'm pretty sure quite a few people are supplementing Medicare with something else if they can.From reading your mom's message it seems she's moving forward so all you can really do is make a couple of suggestions here. I don't mean to say the above to scare her but only to perhaps for her to think a bit more about her retirement so when she gets there she'll really be able to retire and not worry so much about money.HTH
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