Thanks Ed for this post, it encouraged me as I am in a similar situation. I am "mostly" retired, still doing some part time IT consulting work for my former employer, which I can do remotely from anywhere. I live in the Northern VA area, and would love to move west to somewhere in the Shenandoah mountains region. However my wife's mother lives near us, and she is requiring increasing amounts of our (mostly my wife's) time to help her manage as she gets older - she is also living in her home. So moving is not feasible at this time - but I can follow your lead and take short trips to the area, and maybe even establish a kind of second home through an Airbnb that we return to frequently. Thanks for sharing your story! jeff
Hi Dave - where in Jersey do you live? I lived a short 3 years in Flemington NJ and it was by far my favorite of all the places I have lived in my life. I grew up in Westchester County NY, and I currently live in Northern Virginia.
When I was much younger I remember thinking how strange (and un-Biblical) the mainstream mindset was - i.e to save up a huge pile of money while you are working, and then at an arbitrary age in your 60s to stop working and then live off your pile the rest of your life. I was a hotshot IT contractor and I loved my work, and I figured I would keep doing it forever. However I did save for retirement anyway in 401K accounts. Later as I approached 60 a change in my attitude occurred - I still liked my IT work but I was tired of it consuming so much of my life, and I wanted more time for other things too. Now I am 68 and recently retired from my last employer - but also doing part time contract work for that former employer. I'm glad I saved in the 401Ks so I could reduce to time now!! jeff
OK I see that - in the Roth case you pay a net 22%, while in the traditional case you pay a net 10%. However what about the account's growth? In the Roth case all the growth is tax free, while in the traditional case you are paying the 12% on the money you invested as well as all the growth - which could be substantial. So it will vary on a case by case basis.
So if you are in the 12% tax bracket in retirement it's better to pay 12% tax on a traditional account withdrawal than 0% on a Roth? I dont get that logic.
Comments
Thanks Ed for this post, it encouraged me as I am in a similar situation. I am "mostly" retired, still doing some part time IT consulting work for my former employer, which I can do remotely from anywhere. I live in the Northern VA area, and would love to move west to somewhere in the Shenandoah mountains region. However my wife's mother lives near us, and she is requiring increasing amounts of our (mostly my wife's) time to help her manage as she gets older - she is also living in her home. So moving is not feasible at this time - but I can follow your lead and take short trips to the area, and maybe even establish a kind of second home through an Airbnb that we return to frequently. Thanks for sharing your story! jeff
Post: Almost There
Link to comment from May 26, 2025
Hi Dave - where in Jersey do you live? I lived a short 3 years in Flemington NJ and it was by far my favorite of all the places I have lived in my life. I grew up in Westchester County NY, and I currently live in Northern Virginia.
Post: Here to Stay
Link to comment from August 24, 2024
When I was much younger I remember thinking how strange (and un-Biblical) the mainstream mindset was - i.e to save up a huge pile of money while you are working, and then at an arbitrary age in your 60s to stop working and then live off your pile the rest of your life. I was a hotshot IT contractor and I loved my work, and I figured I would keep doing it forever. However I did save for retirement anyway in 401K accounts. Later as I approached 60 a change in my attitude occurred - I still liked my IT work but I was tired of it consuming so much of my life, and I wanted more time for other things too. Now I am 68 and recently retired from my last employer - but also doing part time contract work for that former employer. I'm glad I saved in the 401Ks so I could reduce to time now!! jeff
Post: Prophet Motive
Link to comment from February 3, 2024
OK I see that - in the Roth case you pay a net 22%, while in the traditional case you pay a net 10%. However what about the account's growth? In the Roth case all the growth is tax free, while in the traditional case you are paying the 12% on the money you invested as well as all the growth - which could be substantial. So it will vary on a case by case basis.
Post: Called to Account
Link to comment from January 27, 2024
So if you are in the 12% tax bracket in retirement it's better to pay 12% tax on a traditional account withdrawal than 0% on a Roth? I dont get that logic.
Post: Called to Account
Link to comment from January 27, 2024