Brandon Renfro, CFP®, RICP, EA

Mon, Jun 9, 2025, 5:00 AM8 min read

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I turn 59 in September 2025 and I plan to retire at 62 with no debt. I have $1.2 million in a traditional IRA and $200,000 in a workplace Roth 401(k). I have an emergency cash fund in a high-yield savings account. I earn $320,000 per year and annually contribute $30,000 to the Roth 401(k), plus I get a match on the first 6%. My only current debt is a $170,000 mortgage on a home worth $625,000. My wife and I will collect around $3,500 each month in Social Security at age 62. I have savings set aside to bridge medical insurance until Medicare coverage starts at age 65. Our projected expenses-which include property taxes, health insurance and auto insurance, plus normal living expenses-will be around $7,000 per month at age 62.

Is this a good plan? What could I do to make it better besides delaying retirement? 

– Shaun 

Shaun, based on what you've shared, it looks like you're in solid financial shape. While the finer details will influence your final decision, we can take a step back and look at the broader picture to see why retiring at 62 seems within reach. After that, I'll walk through a few suggestions I'd consider if I were in your position.

Whether you’re getting ready to retire or just starting to save for it, a financial advisor can help you plan for the future. Connect with your advisor matches today.

You've already taken a helpful first step by estimating your retirement expenses. The next move is to compare those costs to any sources of guaranteed income you expect to receive, such as pensions, annuities, or Social Security.

You and your wife are expecting to receive about $3,500 per month in Social Security benefits, which I assume is based on your latest estimate. If your monthly spending is projected at $7,000, that leaves a gap of roughly $3,500 that would need to be covered by withdrawals from your retirement savings-setting taxes aside for the moment.

(And if you need help deciding when to claim your Social Security benefits, speak with a financial advisor about your options.)

Next, let's estimate the value of your savings when you retire. You've got about $1.4 million in retirement accounts with three more years of contributions and growth ahead of you.

You're saving $30,000 per year in your Roth and getting a 6% match. You didn't specify the structure of the match so let's go with the common 50% of 6%, but adjust this to fit your actual match if it’s different. At $320,000 per year, that would come out to another $9,600, which I'll assume goes into a tax-deferred account.