Join Early Retirement Today
Reply
 
Thread Tools Search this Thread Display Modes
Playing with some numbers..... (LONG)
Old 04-27-2015, 01:51 PM   #1
Full time employment: Posting here.
Pilot2013's Avatar
 
Join Date: Mar 2015
Location: Greenville
Posts: 517
Playing with some numbers..... (LONG)

Introduced myself a while back, and got lots of good information, not the least of which was tracking spending. Found that my bank has a system where you can assign categories and get reports, so I went back to 1/1/2015 and re-assigned expenses. Will keep that going for the next few years!

Then, I started trying to do some fun stuff. Took a look at my 401K and found 5 year average of 10.9% return. I lowered that to 8%, and ran through a calculator (with my contributions also added in) to get a rough estimate of ending balance over the next years.

Next, I started looking at SS for DW and I at various start points for both of us, trying to determine the best (or at least reasonable) start to SS. I am genetically challenged, whereas both of her parents hit 89 and 90, with one still going. I think I will take mine earlier, and then do the file and suspend thing for her at FRA and let her wait until 70 to start while getting something out from spousal benefit.

After all of this, I grabbed another calculator and did some AW work on 401k until I start SS, re-adjusted 401k AW's (down) until DW files, suspends, and starts getting spousal, and then another AW decrease from 401k until both on SS, then a final AW decrease from 401k for another 20 years. Looked like there was about $395k left in the bank if I ER'd at 57 and could "manage" to live off of $80k/year.

Now, if I can just MANAGE to put up with this Job 5 more years!!
__________________

__________________
Pilot2013 is online now   Reply With Quote
Join the #1 Early Retirement and Financial Independence Forum Today - It's Totally Free!

Are you planning to be financially independent as early as possible so you can live life on your own terms? Discuss successful investing strategies, asset allocation models, tax strategies and other related topics in our online forum community. Our members range from young folks just starting their journey to financial independence, military retirees and even multimillionaires. No matter where you fit in you'll find that Early-Retirement.org is a great community to join. Best of all it's totally FREE!

You are currently viewing our boards as a guest so you have limited access to our community. Please take the time to register and you will gain a lot of great new features including; the ability to participate in discussions, network with our members, see fewer ads, upload photographs, create a retirement blog, send private messages and so much, much more!

Old 04-27-2015, 02:00 PM   #2
Recycles dryer sheets
robertf57's Avatar
 
Join Date: Jun 2014
Posts: 329
Nice to start thinking of alternatives while you still have time to make changes. I am not following your file and suspend for your wife at FRA.... My understanding is she can get hers or yours at her FRA. There is no file and suspend if you are already taking your social security (and her spousal benefit will be reduced if you took your social security early...
__________________

__________________
robertf57 is offline   Reply With Quote
Old 04-27-2015, 02:43 PM   #3
Full time employment: Posting here.
Pilot2013's Avatar
 
Join Date: Mar 2015
Location: Greenville
Posts: 517
I may have this wrong, but I thought that at FRA, she should file for her SS, suspend it to let it continue to accrue to higher value at 70, but start taking spousal benefit under mine? Yes, I know it would be reduced if I start early, and I accounted for that in the benefit determination.

Maybe at FRA she can just draw on mine and not file and suspend? Either way it is accomplished, those are the numbers I was looking at in the calculations.
__________________
Pilot2013 is online now   Reply With Quote
Old 04-28-2015, 06:41 AM   #4
Full time employment: Posting here.
Golden sunsets's Avatar
 
Join Date: Jun 2013
Posts: 746
Robert is correct I believe in that she does not file and suspend in order to collect spousal. However he is incorrect that her spousal would be reduced if you collected yours prior to FRA. The situation the OP outlined is exactly the route DH and I have taken. DH started his reduced SS at age 62. I turned 66 last December. I filed for spousal benefits the month I turned 66. I was pleasantly surprised to see that I receive 50 percent of his PIA at full retirement age not 50 percent of his current reduced benefits. I will wait until I am 70 to switch to my own benefits. No file and suspend.
__________________
"Luck favors the prepared mind"
Pasteur
Golden sunsets is online now   Reply With Quote
Old 04-28-2015, 07:08 AM   #5
Full time employment: Posting here.
Pilot2013's Avatar
 
Join Date: Mar 2015
Location: Greenville
Posts: 517
Wow Golden! That is good news! I had calculated her spousal at 50% of my reduced benefit, so that will help out a good bit.

Hope life is treating you very well!
__________________
Pilot2013 is online now   Reply With Quote
Old 04-28-2015, 07:55 AM   #6
Full time employment: Posting here.
Golden sunsets's Avatar
 
Join Date: Jun 2013
Posts: 746
Yes it is good- so she does not also get hit with the 25% haircut that you took.
__________________
Golden sunsets is online now   Reply With Quote
Old 04-28-2015, 09:50 AM   #7
Recycles dryer sheets
robertf57's Avatar
 
Join Date: Jun 2014
Posts: 329
Quote:
Originally Posted by Golden sunsets View Post
Robert is correct I believe in that she does not file and suspend in order to collect spousal. However he is incorrect that her spousal would be reduced if you collected yours prior to FRA. The situation the OP outlined is exactly the route DH and I have taken. DH started his reduced SS at age 62. I turned 66 last December. I filed for spousal benefits the month I turned 66. I was pleasantly surprised to see that I receive 50 percent of his PIA at full retirement age not 50 percent of his current reduced benefits. I will wait until I am 70 to switch to my own benefits. No file and suspend.
I learned something new!
__________________
robertf57 is offline   Reply With Quote
Old 04-29-2015, 08:55 AM   #8
Full time employment: Posting here.
Golden sunsets's Avatar
 
Join Date: Jun 2013
Posts: 746
__________________

__________________
Golden sunsets is online now   Reply With Quote
Reply


Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)
 
Thread Tools Search this Thread
Search this Thread:

Advanced Search
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off


Similar Threads
Thread Thread Starter Forum Replies Last Post
Playing around with numbers David1961 FIRE and Money 14 02-26-2014 10:06 AM
Lets run some Pension numbers utrecht FIRE and Money 28 11-15-2010 07:16 PM
Another HSA case - with some numbers magellan_nh Health and Early Retirement 19 01-13-2007 09:35 AM
Playing With Your Children boont Life after FIRE 32 11-06-2006 09:08 AM
Playing with your PenSION azanon Life after FIRE 11 11-02-2006 12:42 PM

 

 
All times are GMT -6. The time now is 06:59 PM.
 
Powered by vBulletin® Version 3.8.8 Beta 1
Copyright ©2000 - 2017, vBulletin Solutions, Inc.