Great points, Adam, but I would add that for those retiring early—before age 65, when eligible for Medicare—the dominant concern is qualifying for ACA tax credits to keep health insurance premiums low. This can make the difference between spending less than $100/month, with NO deductible, versus up to $1000/month with high deductible ($7000-$8000). In Minnesota, if one can keep his income below ~$30,000 one can qualify for the former example. Thus drawing from maturing CDs or Notes in a taxable account—and avoiding regular income tax from tax-deferred account withdrawals—becomes a strategy. High health insurance costs are really a dominant concern for those in the early retirement, pre-65 group.
My favorite investing book: “Winning the Loser’s Game”, because it uses tennis as an analogy. Most points in tennis are lost, not won; the way to win is to avoid unforced errors. This book solidified my conviction that buying index funds, for me, was the simplest, most error-free method to become wealthy.
When I backpacked across Europe for 3 months when I was 27 I carried, and used extensively, “Let’s Go Europe”. Written by Harvard students sent to scout areas the guide was my bible. And the writing was quite good, too! On packing I still follow this gem, “Pack as light as you can, then when you are done, cut it in half and bring more money”.
I think FIRECalc is the best one out there. Allows for many different income sources, timing of those sources, and cost and spending models. And it is free.
What a great memory, Jonathan. I, too, was a competitive distance runner earlier in my life, and I have known similar race emotions.
One of the greatest experiences I would relive is backpacking for three months across Europe, in my 20s, right after the Berlin Wall fell and Eastern Europe opened up to visitors. It was an exhilarating journey!
Another interesting thing about “Pride and Prejudice” is I seem to recall the upper middle classes “living on the four percents”, i.e. interest in long-duration government bonds (consuls). Sort of like our modern day 4 percent rule.
I did something similar 2 years ago, but used CDs for years 1 and 2, the US Treasury Notes for year 3. Not sure if this was any better, but wanted the option to sell the Notes, without penalty, if needed. I also maintain about a years worth of expenses in a high yield money market fund.
Comments
Great points, Adam, but I would add that for those retiring early—before age 65, when eligible for Medicare—the dominant concern is qualifying for ACA tax credits to keep health insurance premiums low. This can make the difference between spending less than $100/month, with NO deductible, versus up to $1000/month with high deductible ($7000-$8000). In Minnesota, if one can keep his income below ~$30,000 one can qualify for the former example. Thus drawing from maturing CDs or Notes in a taxable account—and avoiding regular income tax from tax-deferred account withdrawals—becomes a strategy. High health insurance costs are really a dominant concern for those in the early retirement, pre-65 group.
Post: Tax Smart Retirement
Link to comment from March 7, 2026
Yes, I know someone who took advantage of this to retire early at age 56,
Post: Rule of 55: Early Retirement
Link to comment from November 1, 2025
My favorite investing book: “Winning the Loser’s Game”, because it uses tennis as an analogy. Most points in tennis are lost, not won; the way to win is to avoid unforced errors. This book solidified my conviction that buying index funds, for me, was the simplest, most error-free method to become wealthy.
Post: How Not To Invest
Link to comment from October 11, 2025
When I backpacked across Europe for 3 months when I was 27 I carried, and used extensively, “Let’s Go Europe”. Written by Harvard students sent to scout areas the guide was my bible. And the writing was quite good, too! On packing I still follow this gem, “Pack as light as you can, then when you are done, cut it in half and bring more money”.
Post: Is 4.7% the New 4% Safe Withdrawal Rate
Link to comment from August 23, 2025
I think FIRECalc is the best one out there. Allows for many different income sources, timing of those sources, and cost and spending models. And it is free.
Post: Recommendations for Retirement Planning Tools
Link to comment from August 2, 2025
What a great memory, Jonathan. I, too, was a competitive distance runner earlier in my life, and I have known similar race emotions. One of the greatest experiences I would relive is backpacking for three months across Europe, in my 20s, right after the Berlin Wall fell and Eastern Europe opened up to visitors. It was an exhilarating journey!
Post: Hitting Repeat
Link to comment from April 5, 2025
I am glad I found this forum of folks with similar investing philosophies as mine: I am doing nothing in reaction to recent market events.
Post: Tariffs and our retirement assets
Link to comment from April 5, 2025
Another interesting thing about “Pride and Prejudice” is I seem to recall the upper middle classes “living on the four percents”, i.e. interest in long-duration government bonds (consuls). Sort of like our modern day 4 percent rule.
Post: All Hat No Cattle
Link to comment from August 17, 2024
I did something similar 2 years ago, but used CDs for years 1 and 2, the US Treasury Notes for year 3. Not sure if this was any better, but wanted the option to sell the Notes, without penalty, if needed. I also maintain about a years worth of expenses in a high yield money market fund.
Post: Question of Interest
Link to comment from August 10, 2024
Interesting. Something I should look into.
Post: Question of Interest
Link to comment from August 10, 2024