Thanks for reading and helping a fellow member out!
Life Situation: Single, 44M
FIRE Progress: Started late and playing catch up. Luckily, I'm able to play the game nonetheless. My end game is to retire by 55 with $2.5+ million in asset. My job in education allows me to retire at age 55 with 60% of my final 3 year-average-salary which I'm thinking will be $140,000. My annual pension will be 140,000 •0.6 = $84,000.
Gross Salary/Wages: $130,000
Yearly Savings Amounts:
Roth IRA: $7,000
Job's 401K: $23,500
Brokerage: $10,000
Other Ordinary Income: I do overtime and some tutoring on the side so that's an extra $3,000
Rental Income, Actual Expenses, and Depreciation: No loans, car payments, only a mortgage of $150,000 left with a 3.5% interest.
Current monthly expenses:
Mortgage $1,400
Food/Transportation/Utilities $1200
Dining Out $200
Extra expenses $600
Assets:
My job's 401k - $450,000 with 80% of it in a fixed rate of 7%
HSA/FSA - none
Roth IRA - $2,500 (I started two-half years ago)
Brokerage - $125,000 in mutual/index funds and 50% of it is in vtsax
Cash/High Yield Savings/Emergency funds - $15,000
Specific Question(s):
Based on my calculations, I won't be able to reach my goal of $2.5 million unless I invest more annually into my brokerage account. I recently discovered that I could invest in a 457 plan so I'm wondering if I should stop adding more money into my brokerage but instead investing it in the 457 plan. Anyone familiar with this and can help determine the pros and cons to it? Thank you!!
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