Hello.

I am ready to quit my day job of 20 years of working for the government

I started a test run Jan 1 by putting 100% into my roth 401 an 457...balance going into separate qccount

I have been putting 2k a month from rental income into stock market...figured cover health care cost I hope... probably stop when I quit

I do 1200 month into roth ira, me an my wife.. I know will have to stop since mo earned income in 2023

Going to see insurance guy on May 31

Going to see fiduciary CFP in June

Question I guess... any tips or advice?

I asked to go part time an not a option

I have 350 hours of vacation time to use so looking to pull trigger March 3 2023 at latest.. Earliest I guess Oct..

I have not noticed an difference with no earned oncome.. my wife is stay at home mom of 2..

So money wise I am fine...insurance scares me. My primary is paid off.. I have Heloc good for 10 years as a safety net an to buy homes.. I have 250k now loc on my rental with 100% available. I just renewed an I make enuff on rentals for them to keep loc going

Oh.. I am 45.. wife 46.. kids 10 an 11

in 2001 I requested a 5 yr leave of absence. It was denied. I then contacted the president of my company and asked why are flight attendants being offered 5 years leaves and not mechanic's or the whole company for that matter? Next thing I know the offer is made. Something like 80 mechanics took the leave.

The plus side was my longevity continued for retirement purposes and medical was covered but I had to pay a slight premium. My flight benefits continues. After 4 yrs of the 5 the company declared BK and anyone on the leave was let go. Up side I was now over 52 and could just retiree. I did. That gave me 4 more yrs to my retirement check. Big bonus -- the biggest I was only working one job not 2.

Bottom line :

DOWHATAGOTTADO, Jason.

Most of our ancestors lived on a lot less,

Sign up for convention, if you haven't already. My observation about either self-employed OR work from home types is, ya still need connections. And not just family and friends, but people who understand your business. And, the kids and wife should go too, though they might spend time around the pool. Heck, they could visit with NE's wife and kids, if he's going.

My husband needs a good ole kick in the backside to set up some lunch dates with his past and present buddies from work. People that he used to walk down the hall and chat with, but now they all work from home. Phone meetings aren't quite the same. He misses camaraderie.

Congratulations! I think that is a most excellent way to raise a family. The kids will learn so much, even if they don't decide to go into anything like RE. Enjoy your adventure!

20 years at a government job sounds horrible.

Jason, welcome to the gainfully unemployed club!

Understand that this health insurance fear is likely the result of a lifetime of conditioning. You took a guv job in part so that you would receive their health insurance, you stayed at the job for the same reason.

It may be an unreasonable fear.

It's not an UN-reasonable fear, but you WILL have to think about it and plan carefully.

Buy through healthcare.gov so that IF you should happen to qualify for a subsidy you can get one (and as LL's sometimes we can spend enough on the business that the lower profits might well qualify you. We did for several years when we were actively growing...get a good RE CPA.)

Buy a Bronze plan that allows an HSA so that you and your wife can both contribute - unlike a ROTH it doesn't have to be EARNED income. There are usually only one or two plans that qualify.

We did all the math and if you buy the super duper Platinum Plan or whatever it's called you will pay in Premiums what the Bronze plan requires you to pay in deductibles: no free lunch. It's just that with a Platinum plan you are SURE to pay it out each year in Premiums - with Bronze you might not get sick and might not pay out your entire deductible. Once you hit your OOP limit on either plan though, you are good.

Health Care costs are so crazy and so controlled by the insurance companies these days it's criminal. THEY decide, not your doctor, what care you need. THEY decide, not your doctor, if you can have a certain test or that certain drug.

Jason,

The angel in the Bible said "Be not afraid!"

You have done a fantastic job learning to building wealth. Just learn how to buy insurance. You buy it for your props.

Employers use health insurance as Golden Handcuffs, trapping you in a Gilded Cage making employees think they will die without the benefits from the company.

One or two rentals will cover the cost of a family plan.

I say all this assuming you do not have unusual needs.

BRAD

PS you have been paying for your ins all along in the form of reduced wages.

BRAD

Sisco nailed that one.

Thanks for the replys