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My Retirement Checklist

VacationForever

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10K per yr sounds very high, unless you have alot of money to be managed... we pay 0.8 percent to a large wealth management firm. But, in reality, way less than that, because some of the investments do not incur management fees. If you are interested to know more, PM me..
 

capjak

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I would recommend that you go to early retirement forum ( my earlier post) and post your questions and research first it is like TUG. If you are willing to do your research than you do not need a Financial Planner, however, if you have no interest than one maybe helpful. In addition, you can use less expensive options like Betterment, Personal Capital, etc.. these work very well or if you want it simple: decide on an asset allocation (stock/bonds) say 60%/40% and buy a Vanguard Global Stock ETF and a Vanguard Global Bond ETF in your desired asset allocation (keep an emergency fund in cash separate from these perhaps 1 years expenses) and once a year rebalance. I am not a financial planner so you need to do your own research....
 

x3 skier

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As I am approaching the 70 and half rule, and I have several annuities, thus having taking to take allocations from each. I rolled them into a new Roth IRA. For future use. Perhaps that island with the umbrella drinks. Where I can watch the ocean and wonder how the people back home are doing in the snow..........:cool:

Doing well in the CO snow, skiing 3-4 times a week:cool:

Cheers
 

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I- and my husband-the same as you. Except the key in your story is still the pension. If we had a pension we would be retired now as well. Unfortunately, we have to wait to get SS and Medicare, even with all we have saved.
Mary Ann, don't know what you do or make for a living but a choice I made with the pension was the job (retail clerk) at Safeway was low pay in our area. For most of my 43 years I made less then $20 an hour. I did work in management for several years and at that time assistant managers were still union with all the benefits. Worst move I ever made was becoming a Store Manager and between long hours (70 a week in small store) and not much more pay and then paying for my benefits I was actually down to about $16 an hour with over 20 years in at the time.
Yes, the pension made all the difference and would have retired even earlier except they lowered what each year was worth in the pension during the last 10 years from $75 to 40. That alone cost me $350 a month more I would have been making now.
 

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As I am approaching the 70 and half rule, and I have several annuities, thus having taking to take allocations from each. I rolled them into a new Roth IRA. For future use. Perhaps that island with the umbrella drinks. Where I can watch the ocean and wonder how the people back home are doing in the snow..........:cool:
Can you please elaborate? Did you hold these annuities IN your IRA? Otherwise, I am unaware of rules requiring withdrawals from an annuity.

Meanwhile, I am with ya on the beach with umbrella drinks. Cabo, February, prime whale-watching...
 

WinniWoman

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I would recommend that you go to early retirement forum ( my earlier post) and post your questions and research first it is like TUG. If you are willing to do your research than you do not need a Financial Planner, however, if you have no interest than one maybe helpful. In addition, you can use less expensive options like Betterment, Personal Capital, etc.. these work very well or if you want it simple: decide on an asset allocation (stock/bonds) say 60%/40% and buy a Vanguard Global Stock ETF and a Vanguard Global Bond ETF in your desired asset allocation (keep an emergency fund in cash separate from these perhaps 1 years expenses) and once a year rebalance. I am not a financial planner so you need to do your own research....


Yes. I have been on that forum. I do manage our money- do all that- always have. I really wanted a FP's opinion on how to manage withdrawals upon retirement- how/when to take retirement and claim SS, Medicare- like more of a coaching/holistic type thing.
 

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Yes. I have been on that forum. I do manage our money- do all that- always have. I really wanted a FP's opinion on how to manage withdrawals upon retirement- how/when to take retirement and claim SS, Medicare- like more of a coaching/holistic type thing.
I think that it will be difficult to get good advice on this.

You are a smart cookie, run your own scenarios. Seriously, I fear you would get "professional advice" that pushes you off the course you have identified as best for the two of you in exchange for cookie cutter info. Or, you spend money to find out that you didn't learn anything new.

Perhaps you think you want to go with Plan A, whatever that is, let's say SS asap x 2. Run the numbers out 10-20 years to get any idea.

Do same for Plan B, Plan C, etc. There are a lot of special calculators out there, use what gives you the most flexibility in changing parameters like tax bracket, inflation, etc., so you can test in good and bad economic conditions and pick your best all purpose path. Definitely run one Best Case Scenario, everything better than planned! and also Worst Case Scenario, all estimates are off! Somewhere in the middle will be reality.

I don't think there is One Best Answer, no matter how many planners you end up being able to find. No one has a crystal ball and no one is more interested in your future financial well-being as you are.

I do of course hope you find someone helpful because you want to find them, but I think you have the smarts needed and just want a "yes, this is a good solid plan" confirmation. Nothing wrong with that. I hope you find it and can put crisis of confidence behind you and retire with some certainty that Yes, today I can stop working!

I further hope that SS and Medicare discussions around these parts help you since so many have already travelled this path. At 51, I'm not putting forth any special effort to understand Medicare just yet, and it is clearly more complex than I had originally thought. SS for me is the only fixed payment so I want to push it off as long as possible.

Continued good luck, and good investing!
 

sts1732

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Can you please elaborate? Did you hold these annuities IN your IRA? Otherwise, I am unaware of rules requiring withdrawals from an annuity.

Meanwhile, I am with ya on the beach with umbrella drinks. Cabo, February, prime whale-watching...
We split up my 401K upon retiring into 3 different annuities. They are separate from one another, having to be held at least 15 yrs. Two fixed, one in IRA. By the rules of SS, once you reach age 70 and a half, you have to start taking mandatory withdrawals from each one. Either in one yearly withdrawal or monthly. You use the money or put them into a different IRA. Since I already draw from a pension plus SS, we elected to deposit in a Roth IRA. It should also be noted that you WILL PAY TAX on your withdrawals. That's the reason we rolled it over into an IRA. After the feds got their part(again) we are able to recoup some of what was taxed(so far), hoping the market still keeps climbing.... :ponder:
 

sts1732

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Doing well in the CO snow, skiing 3-4 times a week:cool:

Cheers
Pushin 70 and can't quite miss the trees. Besides.......I don't have that much insolation anymore...................o_O
 

geekette

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We split up my 401K upon retiring into 3 different annuities. They are separate from one another, having to be held at least 15 yrs. Two fixed, one in IRA. By the rules of SS, once you reach age 70 and a half, you have to start taking mandatory withdrawals from each one. Either in one yearly withdrawal or monthly. You use the money or put them into a different IRA. Since I already draw from a pension plus SS, we elected to deposit in a Roth IRA. It should also be noted that you WILL PAY TAX on your withdrawals. That's the reason we rolled it over into an IRA. After the feds got their part(again) we are able to recoup some of what was taxed(so far), hoping the market still keeps climbing.... :ponder:
aye, thank you for additional color, makes a lot more sense now!

Since I'm not much for annuities, I would not have guessed that lands you in forced withdrawals from each since IRA rules don't care from where, just get it outa there!

Yeah, no matter what vehicle it is invested in within IRA, withdraw = tax.
 

WinniWoman

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We split up my 401K upon retiring into 3 different annuities. They are separate from one another, having to be held at least 15 yrs. Two fixed, one in IRA. By the rules of SS, once you reach age 70 and a half, you have to start taking mandatory withdrawals from each one. Either in one yearly withdrawal or monthly. You use the money or put them into a different IRA. Since I already draw from a pension plus SS, we elected to deposit in a Roth IRA. It should also be noted that you WILL PAY TAX on your withdrawals. That's the reason we rolled it over into an IRA. After the feds got their part(again) we are able to recoup some of what was taxed(so far), hoping the market still keeps climbing.... :ponder:


Don't you have to be working to contribute to an IRA? And isn't having an annuity inside an IRA kind of redundant being money in annuities is tax free until withdrawn? I don't get it.
 

WinniWoman

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I think that it will be difficult to get good advice on this.

You are a smart cookie, run your own scenarios. Seriously, I fear you would get "professional advice" that pushes you off the course you have identified as best for the two of you in exchange for cookie cutter info. Or, you spend money to find out that you didn't learn anything new.

Perhaps you think you want to go with Plan A, whatever that is, let's say SS asap x 2. Run the numbers out 10-20 years to get any idea.

Do same for Plan B, Plan C, etc. There are a lot of special calculators out there, use what gives you the most flexibility in changing parameters like tax bracket, inflation, etc., so you can test in good and bad economic conditions and pick your best all purpose path. Definitely run one Best Case Scenario, everything better than planned! and also Worst Case Scenario, all estimates are off! Somewhere in the middle will be reality.

I don't think there is One Best Answer, no matter how many planners you end up being able to find. No one has a crystal ball and no one is more interested in your future financial well-being as you are.

I do of course hope you find someone helpful because you want to find them, but I think you have the smarts needed and just want a "yes, this is a good solid plan" confirmation. Nothing wrong with that. I hope you find it and can put crisis of confidence behind you and retire with some certainty that Yes, today I can stop working!

I further hope that SS and Medicare discussions around these parts help you since so many have already travelled this path. At 51, I'm not putting forth any special effort to understand Medicare just yet, and it is clearly more complex than I had originally thought. SS for me is the only fixed payment so I want to push it off as long as possible.

Continued good luck, and good investing!

LOL! You have more confidence in me than I do! I really just wanted a so-called expert to look at the money we have- tell me if it is enough or not. Based on that, when can we retire from these hell-hole jobs, how much will what we have generate in income each year, when to take SS, etc. etc.

If I had millions of dollars. this guy would be great. But- to hand over $10,000 per year- if we were going to do that we would rather give it to our son who struggles financially.

I am starting to think I should stop thinking and just go with the flow and deal with things as they happen and the heck with it. :D
 

VacationForever

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We split up my 401K upon retiring into 3 different annuities. They are separate from one another, having to be held at least 15 yrs. Two fixed, one in IRA. By the rules of SS, once you reach age 70 and a half, you have to start taking mandatory withdrawals from each one. Either in one yearly withdrawal or monthly. You use the money or put them into a different IRA. Since I already draw from a pension plus SS, we elected to deposit in a Roth IRA. It should also be noted that you WILL PAY TAX on your withdrawals. That's the reason we rolled it over into an IRA. After the feds got their part(again) we are able to recoup some of what was taxed(so far), hoping the market still keeps climbing.... :ponder:
You can delay withdrawal by up to a max of 125K in IRA money by buying a QLAC deferred annuity that starts payout at 85.....
 

bogey21

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You can delay withdrawal by up to a max of 125K in IRA money by buying a QLAC deferred annuity that starts payout at 85.....

Although I'm all set and past the point of having to plan cash flows for my future (I'm 82 now), if I were younger I would be carefully analyzing the desirability of deferred annuities. I would want to know more about them.

George
 

DancingWaters

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Vacation forever,
What happened that you retired at 52 instead of your intended age of 62? I was talked into putting half my teachers pension in a one time plop and the plop failed. The stock market was not kind to the limited mutual funds I was able to choose from, so thank goodness I did keep half my monthly pension. As an earlier post mentioned too many retirees take their money and don't take the monthly pension. 10 years later they are struggling financially. Unfortunately, my 88 year old mom is one of them. Alot of financial advisors recommend taking a retirement lump sum and giving up the monthly pension, so it was very hard to work through this process. Going with a sure thing, the monthly pension, will let both of us sleep better at night.
 

geist1223

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We had friends that pulled all their money out of their retirement system. Some Advisor convinced they could make more money that way. They both had to get new full time or part time jobs. When we retired a couple years after them we chose to leave the money alone. When we retired the fund calculated our monthly payment and it is guaranteed for life. Plus we had the option to take a few dollars less per month so when one of us die first the other continues to receive the deceased's retirement for life. We both took that option.
 

MuranoJo

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LOL! You have more confidence in me than I do! I really just wanted a so-called expert to look at the money we have- tell me if it is enough or not. Based on that, when can we retire from these hell-hole jobs, how much will what we have generate in income each year, when to take SS, etc. etc.

I know you said you have visited the Early Retirement Forum as capjak recommended upstream, but one way to tell if you'll have enough is to use the Firecalc tool, often mentioned on that site. It'll take some work to enter figures and expectations, but will help. Personally I've used a similar free tool on the Fidelity website. (Another very short-cut method is to figure out your fixed income & fixed expenses in retirement, if you have a shortage, then multiply the difference or shortage by 25. That's the additional amount you'll need in your supplemental nest egg. I'd suggest you go beyond the short-cut method and use a simulator tool.)
 

VacationForever

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Vacation forever,
What happened that you retired at 52 instead of your intended age of 62? I was talked into putting half my teachers pension in a one time plop and the plop failed. The stock market was not kind to the limited mutual funds I was able to choose from, so thank goodness I did keep half my monthly pension. As an earlier post mentioned too many retirees take their money and don't take the monthly pension. 10 years later they are struggling financially. Unfortunately, my 88 year old mom is one of them. Alot of financial advisors recommend taking a retirement lump sum and giving up the monthly pension, so it was very hard to work through this process. Going with a sure thing, the monthly pension, will let both of us sleep better at night.
Don't know what a plop is. We don't have pension, so we pretty much have to dig into savings to supplement IRA withdrawal, SS and IRA annuity payout. I retired at 53, not 52.
 

sts1732

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Don't you have to be working to contribute to an IRA? And isn't having an annuity inside an IRA kind of redundant being money in annuities is tax free until withdrawn? I don't get it.
No you don't have to be working to contribute to an IRA. The annuity isn't inside an IRA. I had 3 different plans, 2 different annuities, 1 IRA. When you reach 70 1/2 by SS rules you must take disbursements from each one. In my case all 3. Not needing any extra cash at this time, I set up a different/separate Roth IRA in case something catastrophic happens, I can get monies with out being taxed again. Yes, your money is tax free in any plan until withdrawn, but with the Roth why pay again when you really need it. With the family history of cancer it seemed the best way to go. Hope this answered questions.
 

Elan

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I am starting to think I should stop thinking and just go with the flow and deal with things as they happen and the heck with it. :D

Regardless of how much planning and saving you do, I think this is key -- being adaptable. My retirement "plan" has always been to adjust my lifestyle to fit my income.
 

Passepartout

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Regardless of how much planning and saving you do, I think this is key -- being adaptable. My retirement "plan" has always been to adjust my lifestyle to fit my income.
That's kinda how it works in real life. During your working life, you plan, (hopefully) save/invest, pay off big ticket items like home & cars, and realize that some things are just beyond your control. The only REAL choice you have is when to stop working and when to start collecting your Social Security. THEN you do a little back-of-the-envelope arithmetic of just what your income will look like, and for how long it might be necessary, and adjust your lifestyle to match. There are always unexpected occurrences that can get thrown in. illness/injury, death of one spouse or the other, windfall inheritance, you name it. Then you adjust again. Over the course of retirement- likely 20-30 or more years, you may do the 'lifestyle adjustment' exercise so often that it seems an ongoing, almost month-to-month exercise.

Jim
 

WinniWoman

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No you don't have to be working to contribute to an IRA. The annuity isn't inside an IRA. I had 3 different plans, 2 different annuities, 1 IRA. When you reach 70 1/2 by SS rules you must take disbursements from each one. In my case all 3. Not needing any extra cash at this time, I set up a different/separate Roth IRA in case something catastrophic happens, I can get monies with out being taxed again. Yes, your money is tax free in any plan until withdrawn, but with the Roth why pay again when you really need it. With the family history of cancer it seemed the best way to go. Hope this answered questions.


I beg to differ. You need to have earned income to contribute to an IRA. I am not talking about rollovers- just new money.
 

sts1732

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I beg to differ. You need to have earned income to contribute to an IRA. I am not talking about rollovers- just new money.
If in taking a disbursement, you pay tax, then have to claim it at the end of the yr. both total amount and taxes pd. Taking money from one to another, except in a roll over, you still pay tax. Even though the sum was first established by you(to be used later in life) it is still earned income at distribution. It's all in the details and terminology, it's your money, you put it away, paid tax when you put it away, but the Feds still get there cut as earned income in the end, that's what makes it NEW MONEY...........
If you bought your house for 50K 20yrs. ago, sold it today for 100K. The 50K over what you pd. originally is considered "NEW MONEY". Did you work for it(well sorta) no......but you still show it as earned income whether you spend it or put it in a IRA.
 
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Talent312

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Adaptability:
Near the end of each month, I do a budget for the next three.
Month 1 is well-settled, as it's based on actual bills received.
But months 2 & 3 often fail to account for the little surprises
... like visits to The Mall or Home Depot.

More Paperwork:
1. Confirmed DW's drug plan approved and listed on Medicare's website...
But had to send Humana a letter about prior drug coverage to avoid a penalty.

2. Submitted DW's Medigap application to BC/BS-Florida (Plan F)
... She quickly dismissed the idea of no-premium Advantage Plan. <sigh>

Weekend Homework: Fill out a W-4P for my pension's tax withholding.

.
 
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