- Nov 28, 2012
- Reaction score
If we can't do any Roth, we would max 401ks with room to save. When you plug $12K into Roths and that goes away, that puts a ton into 401k.If you aren't maxing 401k I wouldn't consider taxable yet.
We have Trad IRAs. I'd have to check with my 401k to see if we can do Trad to 401k.And if you don't have a trad ira, you can just backdoor Roth... So that's not really off the table.
To give some broader perspective, to figure out what we needed for retirement, I took our 2013 salaries, increased by 2% per year until retirement, save 20%, then voila, we can retire when we hit 25X of some arbitrary amount. My generic spreadsheet uses a real return assumption which I can vary in addition to easily changing what amount we want to retire with per year.
Based on my generic 2% increase figure, we are now at a combine salary that is equal to what I assumed we would be at by age 47, age 50 if you count her bonus opportunity (we are 33 going on 34). I honestly didn't think we would have to care about this for a few more years. I mean making more is good but now there are other wrenches I have to learn about.