I'm 58 With $800,000 Saved, Can I Retire in 5 Years Without Social Security Yet?

"At 2.16% annual inflation, purchasing power erodes slowly but steadily. Using the 4% withdrawal rule, $800,000 supports roughly $32,000 per year in initial withdrawals, adjusted annually for inflation. The critical nuance: withdrawing 4% during the first 7 years exposes you to sequence-of-returns risk. A 20% market drop in year one means selling assets at depressed prices, permanently reducing recovery potential."

"Healthcare is the wildcard. Individual health insurance from age 63 to 65 can represent a significant expense depending on your state and subsidy eligibility, costs that effectively reduce your withdrawal cushion before Medicare begins."

"Build a 2-year cash reserve for healthcare and essential expenses before retiring. Save aggressively over the next 5 years to build the additional cushion that makes the bridge strategy viable. Adding another $100,000 by 63 creates meaningful breathing room."

Retiring at 63 with $800,000 saved while delaying Social Security until 70 requires careful planning around two critical challenges: generating sufficient income for seven years without Social Security benefits, and covering healthcare costs for two years before Medicare eligibility at 65. Using the 4% withdrawal rule, $800,000 supports approximately $32,000 annually in inflation-adjusted withdrawals. The bridge strategy involves holding 2-3 years of expenses in bonds or cash to avoid selling equities during market downturns, protecting long-term recovery potential. Healthcare costs between 63 and 65 represent a significant variable expense that reduces the withdrawal cushion. Building an additional $100,000 by age 63 and aggressively saving over the next five years creates meaningful breathing room. Delaying Social Security until 70 increases monthly benefits by approximately 8% annually beyond full retirement age.

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