Personal Finance (Not Investing) • Laid off

Well, it happened. Fairly common in my industry as you get into your 40s. Here’s my stats, I’d appreciate any advice on the right next steps as I’m fairly confident I need to find new employment.

401k / IRA balance = 1,463,000 (VTI)
Taxable brokerage = 1,100,000 (VTI)
Vanguard Money market = 255,000
Total Investments = 2,818,000
Annual expenses at current lifestyle including ACA = 120,000
Most recent salary until this layoff was 660,000

I have no debt except $345,000 left on a mortgage (14 year at 2.875%). I’m 40, wife is 47, and have a 14 year old son. We have 140,000 in a 529 plan for college that isn’t included in the 2.8 million listed above.

I think I could either 1) find a lower paying job within my current industry covering my expenses while letting my investments grow for the next 5-7 years and then retire or 2) start withdrawing 60k now and find a job outside my industry (or contract work) covering the other 60k and let investments grow 10+ years.

Has anyone faced similar circumstances and have a suggestion? Anything you see that is clearly wrong with my thought process?

Statistics: Posted by Meaty — Fri Jul 26, 2024 8:14 pm — Replies 16 — Views 1947

---