retirement planning

[tuxumino]

So I could retire in April but if I wait a month I get an extra .25 %. I have some stocks in a brokerage and have asked them for a retirement planning consultation. I think that the brokerage would have a vestige interest in me working longer and taking less out of the brokerage account. Should I seek independent Retirement consultation?
I inherited a house and a considerable amount of equities such that retiring at the age of 58.5 is feasible but is it worth working a year and half longer to get another 10K a year in pension?
If I do retire early It would kind of make life harder on my snarky boss but I don't want to cut off my nose to spite my face.
In terms of life expectancy I have no real knowledge of family history of disease due to my pa dying when I was quite young and my step father kickin me out of the house when I was 17 so I didn't have a lot of contact with my mom, so I have no real knowledge of family history.
Had the cancer scare this year but the CT scan came back unremarkable but still makes me think that it's better to go for it now than assume I'm going to live till 90, but it would suck to be 90 and living on the streets.

 

[afm199]

YES! It is absolutely worth a year to get another $10k in pension. Not even a maybe. A $10k pension would be considered an amortized amount of maybe $150k to $200k. In other words, the equivalent of that amount.

I would have worked a year and a half longer for $10k a year.

However, if your pension plus stock income is 70-110% of your current income, you're probably going to be fine. It's always a crap shoot when it comes to money and death. The first thing you discover about a fixed income is that it's fixed. You're not earning anymore, you're living off your income.

 

[littlebeast]

you need someone to run the numbers for you. i have a brilliant financial advisor (located in chicago, but able to support any location) who can model it out for you. let me know if you want contact info.

 

[JesasaurusRex]

Do you need the extra 10k per whatever? If not then it's as simple as do you like your job enough to work another 1.5 years for that 10k.

Who knows what'll happen with your retirement accounts around election time anyways

 

[Entoptic]

No brainer. Stay longer. You never know what could happen in a year. God forbid you crash your moto and need insurance or prolonged visits at the hospital.

Not saying 10k a year will help with that but the other bennies of a job are good.

I’m in a similar boat right now. Not because of age but I want to leave now but Erin wants me to wait 6 months. It’s a stressful thing to think about and I can relate to your concerns.

 

[ejv]

The most recent studies I have read note that the happiest retirees are those with comfortable guaranteed incomes versus people with larger accumulated wealth. Think people making $80-100K a year retired versus sitting on a few million in retirement accounts. So depending on what your pension would be before adding $10K a year to it, may make it worth it or not. If it were me and it was going to go from 30-40K vs 90-100K that's a very different scenario.

 

[Blankpage]

If you're digging your gig keep on truckin. Unless you have plans to travel the world asap.
I've had projects I loved working on and others that I hated. For me it would depend on which one of those projects I was on at the time.

 

[afm199]

The last thing I will say is that a lot of retired people complain about not having enough money.

i have yet to hear one complain about having too much.

 

[Blankpage]

What would Sailor Moon do?

 

[Eldritch]

So I could retire in April but if I wait a month I get an extra .25 %. I have some stocks in a brokerage and have asked them for a retirement planning consultation. I think that the brokerage would have a vestige interest in me working longer and taking less out of the brokerage account. Should I seek independent Retirement consultation?
I inherited a house and a considerable amount of equities such that retiring at the age of 58.5 is feasible but is it worth working a year and half longer to get another 10K a year in pension?
If I do retire early It would kind of make life harder on my snarky boss but I don't want to cut off my nose to spite my face.
In terms of life expectancy I have no real knowledge of family history of disease due to my pa dying when I was quite young and my step father kickin me out of the house when I was 17 so I didn't have a lot of contact with my mom, so I have no real knowledge of family history.
Had the cancer scare this year but the CT scan came back unremarkable but still makes me think that it's better to go for it now than assume I'm going to live till 90, but it would suck to be 90 and living on the streets.

Put the extra year in, no joke. You don't know what inflation will do to your pension in 20 years.

 

[bojangle]

Seems to me it would be worth working an extra 1 1/2 years for $10K more each year in retirement. That's an extra $100,000 over the following decade.

 

[Melissa]

My hope is that you never find yourself on the street.
I always have an extra bedroom for you......

 

[bikeama]

Next to getting married, retirement is one of the most personal decisions you will make. As said in the posts above there are so many reasons to stay or retire. If you have the skills run some spreadsheets with variables, if not hire someone to make a plan for you. I ran sheets for over a year leading up to my retirement. I used what I called cash flow, Social Security, pension, and rental income is my cash flow. IRA, brokerage accounts are our extras. When you feel you can live on the cash flow you may be ready to retire, big personal decision. The extra money for us is used for trips, remodels or other big money items. You must take a motorcycle tour of Europe.

Everyone's idea of retirement is different. I am happy traveling in my pickup camper, luckily the wife is too. Some people need a 40 ft motorhome. I retired at 60, mainly because of family history. Dad made 54 Mom made 62. The money will not buy you time. I could have worked longer and had more money but I have enough. You need to decide how much is enough for you.


PS, don't forget healthcare.

 

[afm199]

Next to getting married, retirement is one of the most personal decisions you will make. As said in the posts above there are so many reasons to stay or retire. If you have the skills run some spreadsheets with variables, if not hire someone to make a plan for you. I ran sheets for over a year leading up to my retirement. I used what I called cash flow, Social Security, pension, and rental income is my cash flow. IRA, brokerage accounts are our extras. When you feel you can live on the cash flow you may be ready to retire, big personal decision. The extra money for us is used for trips, remodels or other big money items. You must take a motorcycle tour of Europe.

Everyone's idea of retirement is different. I am happy traveling in my pickup camper, luckily the wife is too. Some people need a 40 ft motorhome. I retired at 60, mainly because of family history. Dad made 54 Mom made 62. The money will not buy you time. I could have worked longer and had more money but I have enough. You need to decide how much is enough for you.


PS, don't forget healthcare.

This. My ideal situation was one where I did not spend down. That's working out. Shit happens. Catastrophic illness, dementia, you name it.

 

[byke]

Tux, some folks only see the 10k question, but all I can see are your concerns about mortality. I had a buddy that was working hard on retirement trying to set everything up with a year to go and then he had a massive heart attack and died. Fuck that shit. Fuck ten grand right in the eye. I wanna live for me as soon as possible. As long as your non-fiscal retirement plans involve living and not sitting around the house watching Judge Judy all day, then I vote for April.

 

[afm199]

Tux, some folks only see the 10k question, but all I can see are your concerns about mortality. I had a buddy that was working hard on retirement trying to set everything up with a year to go and then he had a massive heart attack and died. Fuck that shit. Fuck ten grand right in the eye. I wanna live for me as soon as possible. As long as your non-fiscal retirement plans involve living and not sitting around the house watching Judge Judy all day, then I vote for April.

When I was twenty I never dreamed I'd live to forty. When I retired I had already had stage three throat cancer. And yet here I am, 74 in a couple months, freshly recovering from a broken neck and still plugging along. My nightmare at this point is running out of money in my late eighties. Humans live long lives, longer than we think we will.

 

[byke]

But you could easily address any money concerns, right? Sell all your stuff and house and get out of the bay and pretty much be an actual millionaire anywhere else in the country? Or even better, out of the country and live really well in Spain, Italy, Philippines..like a boss with quality affordable healthcare and all the titties you can handle?

 

[afm199]

But you could easily address any money concerns, right? Sell all your stuff and house and get out of the bay and pretty much be an actual millionaire anywhere else in the country? Or even better, out of the country and live really well in Spain, Italy, Philippines..like a boss with quality affordable healthcare and all the titties you can handle?

Sure. I paid off my house almost twenty years ago.

However, I like the Bay Area. My point is that what seems like a lot of money today may not be a lot of money tomorrow. Inflation is very real. It's the first thing anyone who wants to retire should understand. And pensions today are not necessarily iron clad.

Most of all, who would sexor me if I moved?

 

[GAJ]

So I could retire in April but if I wait a month I get an extra .25 %. I have some stocks in a brokerage and have asked them for a retirement planning consultation. I think that the brokerage would have a vestige interest in me working longer and taking less out of the brokerage account. Should I seek independent Retirement consultation?
I inherited a house and a considerable amount of equities such that retiring at the age of 58.5 is feasible but is it worth working a year and half longer to get another 10K a year in pension?
If I do retire early It would kind of make life harder on my snarky boss but I don't want to cut off my nose to spite my face.
In terms of life expectancy I have no real knowledge of family history of disease due to my pa dying when I was quite young and my step father kickin me out of the house when I was 17 so I didn't have a lot of contact with my mom, so I have no real knowledge of family history.
Had the cancer scare this year but the CT scan came back unremarkable but still makes me think that it's better to go for it now than assume I'm going to live till 90, but it would suck to be 90 and living on the streets.

First of all find out what Health Insurance will cost you in the "bridge" years until Medicare kicks in at age 65.

It could easily be almost $1000/month so working longer actually saves you the cost of that insurance PLUS adds $10k to your pension so the "gain" in money saved for the future could actually be $20k/year.

We retired at 51 and are able to live on about 1/2 our prior income.

Have a professional run the numbers for you with all the disaster scenarios.

We do not regret retiring at 51 but, then again, running our business was increasingly stressful and had we continued, likely would have faced bankruptcy and it was definitely having a negative effect on my health.

It sounds like your working situation is far less dire than ours.

Maybe continue working but at a reduced schedule?

Maybe just 4 days per week?

 

[byke]

Sure. I paid off my house almost twenty years ago.

However, I like the Bay Area. My point is that what seems like a lot of money today may not be a lot of money tomorrow. Inflation is very real. It's the first thing anyone who wants to retire should understand. And pensions today are not necessarily iron clad.

Most of all, who would sexor me if I moved?

I agree about your point. Mine works with it, I think, in that as long as you're not on the bottom rung, there are options available and that your personal formula hasn't hit the point where your concerns outweigh everything else, so it comes with an asterisk. Everyone wants more security, even the wealthy, or especially the wealthy.