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Old 12-27-2011, 04:00 PM   #21
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I'm just reading this for the first time. If wife's $9000 is supposed to be 1/2 your $18,000 SS, that amount is not true unless she waits till age 66 to start taking SS based on your record. Every year before age 66 she starts drawing on your SS reduces her SS payment by about 7-8%. I.e., at age 63, she gets like 37-38% of your $18000 or like about $7000. Also, even when you retire, every year you hold off drawing SS increases your payments by ~8% per year which also increases your wife's payment from your account up till she's 66. Net, if you can fund retirement from your savings (Some of those $300,000 CD's funds) & with the pensions, not SS, for some years, you'll be gaining 8%+ per year till you reach age 70. Also, when you die first, she gets your total SS amount. Net, again the longer you can not draw SS but fund from retirement funds, the more she will take in after you're gone. Of course this is irrelevant if she goes first. Good Luck.
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Old 12-27-2011, 08:32 PM   #22
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My wife only makes about $7,200.00 SS as stated in my first post. She started at age 62. I plan on starting SS a few months before 65.

My Dad died at 71 and my Mother at 63. That is one reason I want to leave the workplace while I am good health. But that is only one reason.

Both my parents were heavy smokers. My wife and I have not smoked in over 30 years so I hope we will make it a few more years than they did. My Dad was also insulin dependent diabetic and had been for 15 years prior to his death. My Mother died in her sleep with a heart attack. Both my parents have been dead for(Mom) 32 years and (Dad) 25 years.

MichaelB, I guess I meant I was not college educated. I attended college in late 1966 for one semester then joined the military. School was just not for me but I do regret not learning more about writing. I am terrible in grammar.

This is a tough decision for my wife and me. Once I leave there is no going back as they will hire someone immediately. I really trust the great opinions here. I have been reading on this site for several years and you people are great. I just would like to know how it is not going to work. I have not missed many days working since I got out of the military in 1970. I have plenty of things to do to keep busy. I also would like to enjoy life a little better than my parents did when they aged.
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Old 12-29-2011, 05:31 AM   #23
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Oldtrig, I know what you meant
Feever makes an important point. It only takes a few minutes to make a list of your expenses, including new health insurance and Medicare premiums. This will test your plan, and it also will let you see if you have any room to cut should something unexpected happen. Do you know what your Medicare premiums will be?
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Old 12-29-2011, 07:33 AM   #24
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So your wife is already collecting SS and gets $7,200/year and your SS if you retire in May will be $18,000/year or a total of $25,200/year. Your annual expenses are less than $24,000 a year.

For health care, your will use what you receive from unused vacation and sick leave to provide for health care until you are both eligible for Medicare.

On top of that you have a pension that will pay you $9,000/year and a side business repairing PCs and a commercial property (income producing?) plus $300,000 of investments that would provide $12,000 of income at a 4% sustainable withdrawal rate.

So all told, your income would be $46,200 ($18,000+$9,000+$7,200+$12,000) and your expenses will be <$24,000 + health care.

It sounds to me like you are set, especially since it sounds like you can scale down your <$24,000 in expenses if you needed to (but it doesn't sound like you will need to).

I think you should (as others have advised) do the same analysis as if you passed tomorrow and as if DW passed and if each scenario has an excess of income over expenses, start planning what you will do in you retirement. Congratulations.
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Old 12-30-2011, 09:28 PM   #25
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Thanks again. I have researched and I will go with BCBS C Plus plan F at the cost of $150 per month. I understand that there will be $107 per month taken from my SS check for plan A so that has to be in the calculation of my expense. Never in our 41 years of marriage have we ever had a budget but is looks like I will have to come up with something.
Utilities including TV, internet, phone, power, garbage pickup, sewer bill, water and gas comes to around $300.00
insurance like car and home $100.00 per month
Food $300.00 per month
Gas for vehicles about $80.00 per month
Thats about it on expenses


Now for my wife's insurance plan. I have looked and will go with BlueChoice Essential for $195.00 per month with a $3000.00 deductible. I know it may not be the best but I refuse to pay everything I make to insurance. I can handle the deductible. She is in good health so I will gamble a little until she reaches 65. At least we would not go broke is she had to go in the hospital for an extended period. It looks like we would be paying $2340.00 per year for her and $3084.00 for me for a total of $5424.00. I can live with that. I know as years go bye all these will increase but so will my SS and State pension. What you think? You have to remember I cannot sit still very long and I have many ways to bring in extra income. If I get where I cannot go anymore then some of the numbers will go down because I would staying home all the time and not driving much. All of us are only going to live for x number of years and when we reach 65 the quality of life sometimes goes down so I want to spend time doing what I want while I am still in good health. Thanks for all the help and any more is much appreciated. oldtrig
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Old 01-30-2012, 06:55 PM   #26
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I went in today and decided that I was ready to retire I will be offically retired as of 2/29/2012. Lot of sleepless nights trying to make the move but to worry no more on that one. My next phase in life starts now. Wish me luck. Oldtrig
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Old 01-30-2012, 07:05 PM   #27
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Congrats! Enjoy yourself.
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Old 01-30-2012, 07:49 PM   #28
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I went in today and decided that I was ready to retire I will be offically retired as of 2/29/2012. Lot of sleepless nights trying to make the move but to worry no more on that one. My next phase in life starts now. Wish me luck. Oldtrig
Congratulations ! Enjoy !
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Old 01-30-2012, 08:22 PM   #29
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Originally Posted by oldtrig
I went in today and decided that I was ready to retire I will be offically retired as of 2/29/2012. Lot of sleepless nights trying to make the move but to worry no more on that one. My next phase in life starts now. Wish me luck. Oldtrig
Oldtrig, good for you! You are ready for this, hopefully no more sleepless nights. The best of luck to you and your wife.
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Old 01-30-2012, 10:19 PM   #30
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Looks like you have dotted the i's and crossed the t's. Best of luck to you both.
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Old 01-30-2012, 10:20 PM   #31
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Congratulations!!! Enjoy the new phase of Life.
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Old 01-30-2012, 10:24 PM   #32
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Congratulations. February is going to be a good month for you - just be careful not to sprain your face smiling
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Old 01-30-2012, 11:53 PM   #33
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You picked a fun day to take the 'leap'. Best of luck.
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Old 01-31-2012, 06:11 AM   #34
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just be careful not to sprain your face smiling
I like that one
When I signed the papers yesterday I was nervous, today I woke up feeling like a new person. I have been working at a job since I was 17 years old. I graduated from HS in 1965 and went straight to work. I did try one semester of college and I could not sit still long enough to hear anything the teachers said. Forty seven years without a break longer than two weeks. I will take one day at a time and enjoy life for a change. oldtrig
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Old 01-31-2012, 09:21 AM   #35
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Congrats! A well-deserved retirement! I hope you enjoy it immensely.
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Old 02-03-2012, 08:44 PM   #36
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Thanks, my wife was approved for Blue Cross Blue Shield today and I will use Cobra for five months until Medicare, total of $600 per month for both. In August that amount drops to $410 for the both of us when Medicare kicks in. I will take Blue Cross C+.
I have looked forward to this for a very long time. Lots of worry and planning. Last night I did the math and I will make the same money as if I were working. Never really thought about that part until recently. Eighteen working days left. On March 1st I get a check for $10,860 because I sold part of my sick leave and vacation days. I only missed three days from work because of sickness in 15 years. I will use that money to pay our health insurance premiums so it will look like the insurance is free for about 18 months. I understand I will have to pay tax on the money but I have that in my plan. .
I would say for anyone who has accumulated any wealth that health insurance is the number one thing you need to make the move.
I have had a smile on my face all day since I found out my wife was accepted into the insurance plan. She has a couple of years before Medicare and that is fine. We plan on doing many things this year. Thanks again to all who supported me. Old trig
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Old 02-03-2012, 08:53 PM   #37
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Congratulations again, it looks like everything is clicking into place.
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Old 02-03-2012, 09:24 PM   #38
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Great news, Oldtrig. Healthcare insurance is the biggest hassle for us ER types, so once that is taken care of everything else seems easy. Welcome to the club. And the "sprain your face" is funny, but also appropriate.
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Old 02-03-2012, 09:41 PM   #39
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... I have been working at a job since I was 17 years old. I graduated from HS in 1965 and went straight to work. I did try one semester of college and I could not sit still long enough to hear anything the teachers said. Forty seven years without a break longer than two weeks. I will take one day at a time and enjoy life for a change. oldtrig
Forty-seven years working at a job: you certainly have put in your time. I'm sure we all hope you enjoy your retirement.
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Old 02-03-2012, 10:04 PM   #40
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Forty-seven years working at a job: you certainly have put in your time. I'm sure we all hope you enjoy your retirement.
Not 47 years in the same job. I would have went crazy if that had happened. I started working for my Dad when I was 12 years old in the summers. When I got out of HS I went directly to work. I did attend college in 1966 but found out quickly that was not for me. I did make an A in ROTC. I then joined the USAF and spent fours years. I was in SAC if anyone here knows what that is . While stationed in Guam in 1967 we worked 12 hour days 6 days a week. I did that for 6 months during the bombing of Vietnam. After I returned to civilian life in 1970 I went to work right away. I stayed on that job for 27 years and this job for 15. Forty seven years in about right not counting the summers working for my Dad. . oldtrig
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