Hello from MA

[SloHan]

Hi all,

First time posting...FIRE’d June of 2018.

--I'm 57 divorced.
--No mortgage.
--No debt.
--Retired Federal Employee (DOD)

TSP- $1100K (all pre-tax).
Roth IRA - $212K.
Brokerage acct- $129K
FERS Pension - $35K (No COLA till age 62)
FERS supplement - $15K (Ends at age 62, no COLA)

Index funds mostly with an AA of the following:

75/20/5- stocks/bonds/MM

-- So far the pension is meeting all of my non discretionary spending, however the FERS pension has no COLA till age 62 and the FERS supplement ends at 62. I’m fortunate to be able to carry my w*rk Health Insurance into retirement.

-- My 2019 withdrawals were < 1% of assets. Hope to bump that up a bit maybe have a post for the Blow that Dough thread! Like many newly retired folks I found it hard to spend after years of LBYM.

The plan is to hold off until age 67 for social security, perhaps some Roth conversions, however I’m still reading and researching. Firecalc has me at 100% success with a spending level of $75K a year.

I’m glad I stumbled upon this Forum a few years back. I have and continue to learn a lot from you folks.

Thanks, SloHan

 

[cooch96]

Welcome slohan!

 

[misshathaway]

Welcome. I'm a former MA resident myself. Just moved to FL.

 

[Dtail]

Welcome to our wonderful forum. Sounds like you are in good financial shape.
Hope to hear from you more in the future.

 

[WyomingLife]

Thank you for your service, and glad you are here.

 

[HI Bill]

Welcome! If I had your pensions and future SS, I'd look at using the VPW (variable percentage withdrawal rate) spreadsheet available here to maximize my spending:

https://www.bogleheads.org/wiki/Variable_percentage_withdrawal

...unless you're trying to leave a large bequest to someone!

In FIRECALC, you can use the Investigate tab to determine your max withdrawal rate that results in 100% success to get an idea of your max spending potential.

Best wishes!

 

[SloHan]

HNL Bill: I do like the concept of VPW. One downside will be variable withdrawal amounts as the market swings up and down, however my pension is covering all of my non-discretionary spending.

Is VPW a good choice for me? Maybe, in some modified form. Every type of withdrawal plan has its pros and cons. I should factor my age, financial circumstances, and tolerance for risk. I am reading the many threads on withdrawal strategies and they are helping me sort through the options in finding the withdrawal approach that works for me.

Thank you, everyone for the warm welcome!

 

[Bir48die]

Welcome. You’re in great shape. Enjoy

 

[Montecfo]

Welcome! Lots of good folks here and lots of answers.

 

[cnocmmz]

Hi all,

First time posting...FIRE’d June of 2018.

--I'm 57 divorced.
--No mortgage.
--No debt.
--Retired Federal Employee (DOD)

TSP- $1100K (all pre-tax).
Roth IRA - $212K.
Brokerage acct- $129K
FERS Pension - $35K (No COLA till age 62)
FERS supplement - $15K (Ends at age 62, no COLA)

Index funds mostly with an AA of the following:

75/20/5- stocks/bonds/MM

-- So far the pension is meeting all of my non discretionary spending, however the FERS pension has no COLA till age 62 and the FERS supplement ends at 62. I’m fortunate to be able to carry my w*rk Health Insurance into retirement.

-- My 2019 withdrawals were < 1% of assets. Hope to bump that up a bit maybe have a post for the Blow that Dough thread! Like many newly retired folks I found it hard to spend after years of LBYM.

The plan is to hold off until age 67 for social security, perhaps some Roth conversions, however I’m still reading and researching. Firecalc has me at 100% success with a spending level of $75K a year.

I’m glad I stumbled upon this Forum a few years back. I have and continue to learn a lot from you folks.

Thanks, SloHan

Congrats on the ER. WRT the SS supplement, once that ends at 62 your regular SS will receive cola though at whatever age you decide.
Doing the math, in 2019 you were living off of about 50K with your stated WR of 1%, which is great.

 

[SloHan]

Congrats on the ER. WRT the SS supplement, once that ends at 62 your regular SS will receive cola though at whatever age you decide.
Doing the math, in 2019 you were living off of about 50K with your stated WR of 1%, which is great.[/QUOTEM

Excellent comment! My income in 2019 was $50K in pension and FERS supplement + $12.4K in WD, dividends and interest. My actual spending was $43K in 2019 and the remainder was reinvested into taxable accounts. Being less than 2 years retired SORR is a concern, however my New Years resolution is to spend MORE!

 

[jazz4cash]

Congratulations SloHan. Impressive nest egg you have there. I’m curious to hear your thoughts on TSP allocation.