In need of advice

[manz3]

August 18, 2020 at 3:52 pm

I’m currently 46, single father of 2 boys (10 and 7). I’m self employed and I have 100% ownership on both businesses going strong.

Ultimate goal: I would like to retire within the next 10-12 years when both of my sons are already in college (kids college education is already taking care of)

Current Income: $85,000/yr
Secondary Guarantee Income: $41,000/yr
Investment properties (4) rental Net Income: $ 20,400/yr

Current Assets:
ROTH IRA- $15,000
Rollover IRA- $77,000
(2) 529 accounts- $18,000
Money Market: $16,000
Savings: $23,000

No debt, no car payment, and FULL health insurance for life!

Emergency Fund: $45,000

Both companies conservative market value: $2M will be an easy sale. If I decide to keep them, I will become a passive advisor and I will require $2,500 per month on passive income.

Real Estate net worth: $800,000
Total Net worth not including businesses: $994,000, including businesses: $2.9M
Total monthly income: $12,200 not including SS
During retirement, I can collect an additional $12,000 per month if I focus on paying off the mortgages.

Grand Total income during retirement: $17,916 monthly from business passive income, guarantee income and investment properties income.

Would you sell the businesses and real estate or pay off the investment properties along the way and keep the companies passive income + real estate income?