Im going to stay in the military until they kick me out. If that is before 20 years, I will use my Bachelors in Mechanical Engineering (when I get it, and will get it before I get out of the Military).
after retirement, i plan on being that old fart that did 20 years in the navy, and still use my Bachelors in Mechanical Engineering.
I put enough to get the full match in one company plan 5%, 17000 a year in the other, and they take (no option) 7% for the pension plan, which I get back if I leave before 10 years, otherwise I get a pension.
Planning for collapse is all fine, but it might not happen on the right timeline. I will have access to most of the money when I leave my job, and losing a job is a major concern. Only the 5% and 5% match are really retirement planning, the others I just consider savings since I can get it without penalty, only taxes. If I don't need the money, I guess it will be retirement.
Well, Duh hubs is retired. So far we are doing ok. He had to retire or lose a ton of money if he waited till 62.
Everything we had done, planning wise, was predicated on him retiring at 62 and I'll retire at 65. I got about 7-8 years left to work. We are working to get the mortgage paid off before anything happens.
At 27, I am already retired from the Army. I wish I had been able to put in my 20.
That said, I continue to work and will do so until I can kick the kids out of the house.
I firmly believe that od put me here to accomplish a set number of tasks. As of right now, I'm so far behind, I'll never die.
WARNING: This post may contain material offensive to those who lack wit, humor, common sense and/or supporting factual or anecdotal evidence. All statements and assertions contained herein may be subject to but not limited to: irony, metaphor, allusion and dripping sarcasm.
I have a general pension fund through work in which I'll be vested in 2.5 more years for a partial pension, and it has an attached annuity that I contribute 7% of my pay to pre-tax. I've learned it isn't wise to depend on employer based plans, especially since I'll need 12.5 more years to draw from them fully, and my job isn't all that secure in my eyes/ experience. So I also have a Roth IRA, and plan to collect more pm's as I go along.
That, in combination with my preps, should be enough to see me through quite a bit. When I'm ready to again, I'll talk to my securities advisor and find out exactly how much money I'll need to contribute to hit a minimum of 1.2 million by 65. It can be done, but the longer you wait the harder it is to do. Compound interest plays a role.
It sounds like a lot, but if you do the math you'll see that 1.2 million only gives you $40,000 a year for 30 years once you start drawing. I may or may not live to 95, but I'm not gonna want to go back to work once I retire, and inflation is going to make $40,000 seem pretty lean.
Consilio et animis
Essayons!
cwconnertx, I'm not sure I understand the plan you were talking about. I'd check that out before you pull any money from the one you say has no taxes or penalties.. If it's 401k or something similar then you can take loans (no taxes,penalties) how ever if you don't pay back while working it's considered early distribution and you pay taxes AND penalty before age 59-1/2. IF you take $ and put it into IRA then no penalty but you only have 60 days from when check was cut (date on check)to roll it over for no taxes or penalty.Duh hubs had to take a distribution/loan a few years ago (flood in basement) but due to early retirement we had to pay taxes on what was left to pay back cause we couldn't pay it back when he retired.
Last edited by Katrina; 02-25-2012 at 12:13 AM.
I am a CPA and well versed in retirement plans. A friend of mine is one of the top 10 experts in the world on these things and I've consulted him, my deferred comp plan is subject to taxes but not an early withdrawal penalty. While 401b and 401k plans and IRAs are all subject to the 10% penalty, there are other plans which are not.Originally Posted by Katrina
For the record I did say it was not subject to penalty, I never said no taxes.
I really appreciate your concern, but in this (rare) case I actually know what I am talking about
It doesn't happen often... so I'll get back to my regularly scheduled BS.
cwc how are you versed in Canadian Tax law??? I could ask a question or three....
Beyond my initial post, I already have my acreage, which I am paying off at an accelerated rate of my own devise, I am working to gain self sufficiency here. First with the garden, the will be raising some critters. I have a good stock of wildlife which for the most part is all edible and palatable. I just ordered my fish for this year, so will be able to see how much food I will get from them. My ultimate goal, as implied by my first post, is o retire early, work the land, and be as self sufficient as possible.
I have most of my toys/tools to do so, it is just a matter of having the time to get everything set up.
If ShTF sooner rather than later, then it just accelerates the process...
One duck, two duck, three duck, four! they're slowly but surely lining up. Granted winning the lottery would help accelerate the process, but I'll hold off on holding my breathe for that! lol!
CW you are right there are different types of plans, I have one that when I retired allowed me to take money out right away. I pulled some out this year and even with no penalty I got hosed. After all the was taken out of our checks I still had to write a check for $8K.
sounds like CW needs to start an "investment thread, to teach the ants the intricacies of investing; without the gov't raping us
...
jus' sayin'
.
.
.
Reply With Quote
Bookmarks