Retirement

[Marsha/CA]

Harley Man,

It sure seems like an unfair system, doesn't it?  You put in for all those years and you would think they would just let you have the benefits without all the limitations.  And, I agree I feel for the younger workers too who have to wait until 67 to retire.  We were lucky in that Tim could retire at 58.

I have a sister than was a Post Master in Angola, Indiana.  She is now a union grievance <sp?>examinator. 

Marsha~

 

[Ron]

I decided that my best option was to begin taking retirement benefits at 62 and have Marsha go back to work full-time...tim

Sounds like a good plan IF you can accomplish it. ;D ;D ;D

 

[JoAnn]

I find this thread very interesting as Jim just turned 60 last week and will retire in 2 years.  I have a question.  I am 2 years younger and will probably continue to work until I turn 62.  So from what I'm understanding, my income will affect taxes he has to pay on his Social Security, but his pension and investment income will not???  I find all of this so confusing, I really appreciate all of your expert input.

JoAnn

 

[Alaskansnowbirds]

I'm sure Wendy will correct me if I wrong but it's my understanding that your income has no effect on his SS. He is only allowed to earn so much before they start reducing his SS.

 

[Wendy]

Your husband's social security receipts MAY be taxable. When you fill out your Form 1040, you have to calculate whether or not any SS receipts are taxable. There's a separate worksheet you use to figure this out. On that worksheet, you include half your SS $, all the amounts you listed under the Income section (wages, dividends, interest, etc), less any adjustments. If that amount is more than a certain amount ($32,000 last year for those filing jointly) then the SS receipts MAY be taxable. It's hard to explain but easy to follow the worksheet when you have all your tax info handy. If you have a copy of your 1040 instruction booklet, you can see how it's calculated there.

IRS explanation
1040 Instructions (PDF) - page 25 has the worksheet

Hope this helps and that I didn't just confuse the heck out of everyone. Bottom line, sometimes it's better to file separate returns or get a divorce and just live together

Wendy
Cortez CO

 

[Just Lou]

Wendy, your advice and info is right on.  I can tell you from experience, however, that divorce can play havoc with a lot of retirement dreams and finances.

Recovering nicely in North Carolina, lou  ;D ;D ;D

 

[motojavaphil]

Just got my Army Retirement Orders over the internet.  It has been a pleasant night with big smiles and thinking when I can go on the dole in the near future.  Life is good.
Phil ;D

 

[harley man]

Dear Marsha, I keep braggin bout Gary & Tom but youse and Wendy are NO slouches! I loved my work and my customers at the PO but Management did me in,the latest PO General is anti labor and employees are retiring as early as possible. my Wally World, Lowes, Home Depot and other places are their employer's now! It is so sad! I keep in touch with things and now they are trying to make it mandatory that we lose our health benifits upon reaching 65 and must rely on medicare A&B. Hell, that's why I left the Auto Business, to get a decent UMBRELLA!

 

[AuntSmurf]

Bill and I are taking our "retirement" early.  When he turns 62, he's drawing SS.  He plans on working that year until he draws close to the max allowed for the year, then quitting.  We figure he'll have to quit his job sometime in May.  We're going to bank his SS until then, padding our nest egg a bit more.  (He turns 62 in mid Dec 09 and will start drawing Jan 2010.)  Bill's 8 yrs older than I am, so I'm going to work until mid July.  Then we're traveling the rest of that year.  He's got a Pension from Des Moines, and figure between the two of them we should be in fairly good shape.  WorkCamping will be an option for us from then on.  I feel a bit guilty, retiring at such an early age.  But we've discussed it, and it makes more sense for us to both work part time, if needed, than for me to continue to work full time, while he sits at home.  Our health is good, and we don't want to take the risk of his taking SS later, and not being able to enjoy life after retirement.

 

[JoAnn]

Ok, what confuses me even more is Medicare and health supplements.  I have 3,  women who work for me who are between 65 and 72,  and they are always complaining about raising medical  and co pay costs.  What suggestions do you have for a good supplemental coverage at reasonable prices.  What about prescriptions?  We have been covered all these years under my husbands work (Teamsters) coverage. I never had to think much about it.  Just showed the card and everything from Dr. visits, prescriptions, eyeglasses, and dental have been covered, with a small copay.  The thought of worrying about paying these things scares the daylights out of us.  If he retires at 62 there will be a reduced (I know there is just not sure how reduced) gap coverage until he's 65.  I'm 2 years younger and need to find out about coverage for me during those 2 years. ???  Things should get less confusing as we get older and it seems to be worse.  Thanks for any help or suggestions.

JoAnn

 

[RREngr]

I just retired on August 1st from the Railroad after 30 years, you only have to be 60 years old if you have 30 years in. You don't have to wait to be 62 unless you have less that 30 years.

Rich & Kay

 

[papahog]

You my friends will wonder how you ever found time for work you will be so busy.  It is a good life we RVers have and even better by being retired.

 

[Gary RV_Wizard]

Good coverage at reasonble costs is pretty much an oxymoron in todays health care market. Find out what coverage you will have under your husband's policy and then look for plans that cover the gap. But expect to be shocked at the prices.

If you have coverage for major illnesses (hospitalization) and your health is OK for your age, it is probably most cost effective to go without the gap insurance and pay out of pocket if needed. Start studying the age 65 medical situation now, i.e. Medicare & Plan B and what coverage you will have, if any, from the Teamster's policy.

 

[NCsleeves]

Every so often I think about how it would be nice to retire, not mess with working every day and being away from home for weeks on end several times a year.  And then I start thinking about all the new problems I'd have to deal with (like insurance and SS and significantly reduced annual income) and I think, hey, I like my job and management seems to appreciate me and it's kinda cool to travel abroad a few times a year....  I ran the numbers  a few weeks ago, and for every additional year I work, I gain and extra $100/mo in pension - it's good to know that if the right opportunity comes up, or the work situation deteriorates, it won't cost me too much to move on to the next phase of my life, whether working or just playing.    In any case, while life hasn't always been a bowl of cherries, I feel very fortunate to at least have the options that I do.

 

[Wendy]

It's always great to have options....work or don't work, move to another spot or stay, full-time or part-time. Just don't wait too long.....life is short.

Enjoy
Wendy

 

[Jeff]

Every so often I think about how it would be nice to retire, not mess with working every day and being away from home for weeks on end several times a year.  And then I start thinking about all the new problems I'd have to deal with (like insurance and SS and significantly reduced annual income) and I think, hey, I like my job and management seems to appreciate me and it's kinda cool to travel abroad a few times a year....   I ran the numbers  a few weeks ago, and for every additional year I work, I gain and extra $100/mo in pension - it's good to know that if the right opportunity comes up, or the work situation deteriorates, it won't cost me too much to move on to the next phase of my life, whether working or just playing.    In any case, while life hasn't always been a bowl of cherries, I feel very fortunate to at least have the options that I do.

When the time comes you will know it. In the meantime enjoy the life you have.

 

[ArdraF]

And when you finally do retire, you'll wonder how you ever found the time to WORK!  :

ArdraF

 

[Ron]

And when you finally do retire, you'll wonder how you ever found the time to WORK!  :

ArdraF

Very True. Gee just think how lucky our previous employers are that we did retire BEFORE we found we don't have time to work. ;D

 

[John From Detroit]

IN another time and place someone posted of a new virus that's out.... It is a very nasty virus called the WORK virus

Yup, Once you have been infected with the WORK virus you no longer have time for personal computer stuff, chatting with your friends or a social life.

Of course there is a good side to the WORK virus.. IT often attracts the MONEY worm, at least in a small degree.

Took me over a quarter century to eradicate the WORK virus though.. Sadly the Money worm left shortly after

 

[papahog]

John that is funny.  I have got rid of the work virus also. Not as hard as getting rid of moles but alas that work for money time is past.  Moles are still here however.  Money worm has not left me completely and continues to trickle in.  Thank the good Lord.

However I have some friends that are affected with the SS worm only and they are hurting.  I feel sorry for them.