A Real-Life Retirement Planning Case Study

At Peace of Mind Wealth Management, one of the most common questions we hear is:
“Can I actually retire at the age I’m hoping for?”

In a recent episode of our Secure Your Retirement podcast, we explored that question through the lens of a realistic client scenario. We welcomed Certified Financial Planner Nick Hymanson to walk through a detailed case study that mirrors the situations we frequently see in our practice.

Meet John and Jane, a fictional couple who reflect many of the clients we serve. Both are 55, working full-time, and earning $125,000 each. Their dream is to retire together at age 62 and continue enjoying their current lifestyle—travel, family time, and a sense of freedom.

Their financial picture includes:

• Combined income: $250,000/year
• 401(k) savings: $1 million total (pre-tax)
• Brokerage account: $1 million (taxable)
• Cash savings: $20,000
• Home: Valued at $750,000, fully paid off
• Monthly expenses: $10,000, expected to continue in retirement with 3% annual inflation

What We Found in the Financial Plan

Using our planning software, RightCapital, we ran a full projection to see how their current savings, spending, and strategy might play out through age 90. With a conservative 5.5% investment return assumption and no Social Security COLA adjustments, here’s what we discovered:

• Projected assets at retirement (age 62): $3.5 million
• Assets by age 90: ~$5.1 million
• Social Security starts at 67: ~$86,000/year combined
• Required Minimum Distributions (age 75): ~$180,000 annually

The numbers tell us: Yes, they can retire at 62 and maintain their lifestyle but a successful early retirement requires much more than just a healthy net worth.

What Needs to Be Planned For

The years between 62 and 67 (before Social Security starts) are critical. With no earned income during this time, John and Jane will rely entirely on investment withdrawals. While that’s expected, it also opens a window for smart tax planning.

Key planning areas include:

• Roth Conversions: With no income from work, this is an ideal time to move pre-tax assets into tax-free Roth IRAs (hedging against future tax increases)
• Healthcare Planning: Private insurance will be needed until Medicare begins at 65. Today’s estimates range from $800 to $1,500/month per person
• Medicare Surcharges: Higher income from investment gains or Roth conversions could trigger surcharges starting at age 63
• Social Security Timing: Waiting until 67 means larger monthly checks but more pressure on investment withdrawals in the meantime. It’s a balance that needs to be reviewed

The Power of a Comprehensive Plan

John and Jane’s case is a great example of how financial planning isn’t just about accumulating assets. It’s about coordinating every part of the retirement picture: income, taxes, healthcare, and long-term goals.

That’s exactly why we created the Peace of Mind Pathway™, our three-step process:

1. Build the Roadmap
2. Implement the Strategy
3. Nurture the Plan year after year

We revisit every plan regularly because life changes, tax laws evolve, and priorities shift.

Wondering if You Can Retire Early?

If you’ve been saving diligently but still find yourself asking,
“Is it enough? Can I really do this?” you’re not alone.

Listen to the full podcast episode here to hear the complete case study breakdown.

And if you’d like to see what your own numbers look like, we’re here to help.
It starts with a simple, no-pressure, 15-minute call.

Schedule your complimentary introductory call today.