Happy New Years to you all! I'm looking for some perspective on my FIRE journey and advice on how to plan out the next few years. I've been grinding work and saving/investing since I started working in 2015. Graduated with no debt thanks to my parents and scholarships. Hopped a couple jobs since and I make $160k in a HCOL area and I'm relatively conservative with my spending and lifestyle. I've been maxing out my 401k and Roth IRA since 2017.

    • HYSA: $95k
    • Brokerage: $170k between VTSAX and VGT
    • Traditional 401k: $507k
    • Roth IRA: $106k
    • HSA: $42k
    • Total: $920k

    I guess what I'm stuck on is that I don't have a clear idea of what to aim for next and that demotivates me:

    • I've already got a good start on retirement savings, enough that I feel like I should prioritize my non-retirement savings more than retirement accounts (maybe just get the company match for my 401k and max just the Roth IRA?). 70% of my NW is in tax-advantaged accounts.
    • I am single and rent an apartment right now but I'm looking to purchase a home in the next within the next 2 years. I figured I would keep 9 months of expenses in an HYSA (job is in a niche field) and put everything else in my HYSA and brokerage towards a down payment. Should be enough for around 35% down for the price range I'm looking at.
    • HSA is in a good place to grow. If I do use my HSA funds for healthcare expenses prior to retirement, what's in there is enough for couple bad years already.
    • Car is paid off and I have no debts.
    • I never ran the numbers for CoastFIRE until yesterday and apparently I've just crossed my number already.

    After retirement and HSA contributions, insurance premiums, rent, and other monthly expenses, I usually save around $2.5-3k each month which I usually dump into mutual funds for lack of a better idea of what to do with it. I do think I should spend more on my lifestyle to be honest whether it's quality furniture for my place, a nice gym membership, hobbies, or traveling and making memories with friends and family. I spend a lot of time alone at my place since I have a WFH job.

    Questions:

    • Is it a bad idea to reduce 401k contributions to just the company match to balance out after-tax and retirement accounts some?
    • Assuming mortgage rates are still around 6% when I do purchase a home, does it make sense to put everything I have (except for my emergency fund) towards the down payment or should I just do the standard 20% down to avoid PMI and keep the rest invested?
    • Any advice on how to avoid burning out on the path to FIRE? I do enjoy my current job but there's a decent amount of stress involved. Never really considered taking a lower stress job for maybe less pay but the thought has been creeping up in the back of my mind lately.
    • Any other feedback would be appreciated!

    Early-30s, $900k NW: Not sure what the next target is
    byu/NAAGhost infinancialindependence



    Posted by NAAGhost

    1 Comment

    1. MyEarly90sScreenName on

      Unless you need money now, yes I think it’s a bad idea to reduce 401k from anything but max. As your income rises more will go into taxable and it balances out over time.

      I’d take the mortgage at 20% down and just pay extra principal. That way you have control on how much cash you have.

      Stress at jobs comes with the territory IMO. Right or not is up to you and your well being. But I try to remind myself of how much I’d have to grind doing a job that’s less stress….and how tired that’d make me. Also shut off on weekends and take regularly spaced out vacations. I’m 39 so just a few years ahead of you but the boat isn’t flooding no ‘mo for me with that mentality

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