For several years now, our retirement accounts have been growing at a decent pace...this year, however, the performance has been pretty anemic! I am thankful that, overall, we are not losing money. But as our readers probably already know, the anemic growth is one of the reasons why our family has now decided to switch our focus towards building our Dividend Stocks Portfolio and P2P Lending Accounts so as to have optional income streams in retirement. Nevertheless, we will still continue to track these accounts as they are still part of our retirement plan.
EXISTING RETIREMENT ACCOUNTS (FEBRUARY UPDATE):
Below is a quick update to show the current values of our retirement accounts as of February 1, 2015. For a more comprehensive list of values (beginning January 2014) and details of these accounts, please visit the Retirement Accounts page on our blog.
As of February 1, 2015
PENSION
Cash Value of Pension: $214,389
($1,801 increase from January update of $212,588)
($1,801 increase from January update of $212,588)
457K
Total value of 457K: $118,121
($280 decrease from January update of $118,401)
($280 decrease from January update of $118,401)
Roth IRAs
Total value of Roth IRA accounts: $54,550
($201 increase from January update of $54,349)
($201 increase from January update of $54,349)
After seeing a roughly $6K in November and another $3K in December, we are seeing some measly gains thus far in 2015. Especially when you consider the fact that my pension value is mainly due to somewhat large contributions from both myself and my employer each month. Nevertheless, from all three accounts, we saw an overall increase of $1,722.
As it stands, the total amount of our retirement accounts is currently valued at: $387,060 (up from the $385,338 reported last month). We currently contribute to my 457K (up to my company's match - 3%) and also $200 each to a Roth IRA for both myself and my wife. Although we are not entirely happy with their growth, we still feel that the 457K and Roth IRAs should remain part of our retirement plan. If for nothing more, the 457K and Roth IRAs will help supplement my pension. With some of the uncertainties around government pension these days, they could very well serve as back-up plans as well.
As it stands, the total amount of our retirement accounts is currently valued at: $387,060 (up from the $385,338 reported last month). We currently contribute to my 457K (up to my company's match - 3%) and also $200 each to a Roth IRA for both myself and my wife. Although we are not entirely happy with their growth, we still feel that the 457K and Roth IRAs should remain part of our retirement plan. If for nothing more, the 457K and Roth IRAs will help supplement my pension. With some of the uncertainties around government pension these days, they could very well serve as back-up plans as well.
Click below to view retirement accounts page
AFFJ,
ReplyDeleteVery nice progress your retirement accounts. Another 10 years or so you hopefully will exceed $1,000,000. Whether you live off of dividends or use some form of withdrawal, you should be in great shape!
MDP
Thanks MDP - A million in these accounts would be awesome! Regardless, if all goes well, we plan to live of the pension and defer tapping into the 457K and Roth IRAs as long as we can (hopefully not until the mandatory withdrawals at 70 1/2. :)
DeleteKeep up the great work. 10 years will fly by, and you will be ready to quit the rat race.
ReplyDeleteThanks NNL...Our plan is to fully retire in 12 1/2 years but who knows, if we get a little help from Mr. Market here and there, it could certainly happen sooner. Or as many others have suggested, maybe we will ease into it with semi-retirement in 8-10 years!
DeleteRegardless, thanks for the support and for following us on our journey.
AFFJ
Hey as long as the number goes in the right direction u will be all good. Keep paying yourself first and your retirement!
ReplyDeleteYes, even in small increments, up is certainly better than down. :) We plan to religiously pay ourselves first. Seems to be a winning recipe when we see those whom have been successful before us. :)
DeleteAFFJ
Great numbers! You're in awesome shape. Keep it up for a little longer, and you'll be able to enjoy a worry-free early retirement. I saw that you're in California, so expensive there, so I'm even more impressed :)
ReplyDeleteThanks Felix...that is what I keep telling myself and my wife and kids. The sacrifices we are making today (saving and investing 50% of our income) will allow us to have a much brighter future. As Dave Ramsey likes to say, we are "changing our family tree!"
DeleteBut you are right, cost of living here in California certainly makes things a bit more challenging. We've contemplated moving out of state to speed things along but the they have simply been talks thus far. :)
AFFJ
Excellent progress and numbers. I think you're in great shape when it comes to your retirement accounts.
ReplyDeleteThanks Tawcan...Don't get me wrong, I am definitely glad to see the need go up instead of down but it just feels like we they are moving at such a snail pace. But I guess as the saying goes...slow and steady wins the race! AFFJ
DeleteProgress is progress.
ReplyDeleteExcited to see the new focus on dividend stocks and P2P lending.
Keep up the good work.
Agreed...definitely prefer progress over a setback. :)
DeleteThanks, hoping to continually grow those other baskets from now until retirement. Who knows, we may even decide to use those basket to justify semi-retirement plan and exit the rat race a bit sooner than planned. AFFJ