Join Early Retirement Today
Reply
 
Thread Tools Search this Thread Display Modes
Old 05-16-2015, 09:34 AM   #121
Recycles dryer sheets
 
Join Date: Aug 2010
Posts: 359
We look at SS as our longevity insurance. Our current plan is to take SS at age 70.

My dad died from lung cancer at age 50 from smoking all his life. Our other 3 parents are still living (90, 87, 80).

If I ran FireCal without SS, I get 100% success rate for 25 years.
Taking SS at 70 for both of us, I get 100% for 35 years.

If we die before taking SS, at least we hope to get to spend most of our money.
__________________

__________________
fh2000 is offline   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 05-16-2015, 10:14 AM   #122
Thinks s/he gets paid by the post
Spanky's Avatar
 
Join Date: Dec 2004
Location: Minneapolis
Posts: 4,046
Quote:
Originally Posted by fh2000 View Post
If I ran FireCal without SS, I get 100% success rate for 25 years.
Taking SS at 70 for both of us, I get 100% for 35 years.
What about the success rate for taking SS at 62, 66?

Would 100% for 30 years suffice?
__________________

__________________
May we live in peace and harmony and be free from all human sufferings.
Spanky is offline   Reply With Quote
Old 05-16-2015, 10:15 AM   #123
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
pb4uski's Avatar
 
Join Date: Nov 2010
Location: Vermont & Sarasota, FL
Posts: 16,424
Quote:
Originally Posted by ejman View Post
Please correct me if I'm wrong but my understanding is that as long as income es below $73,800 for a couple, long term capital gains are taxed at 0%.
You're sort of right. $73,800 is 2014 taxable income at the top of the 15% tax bracket, after deductions and exemptions.

Assuming MFJ, standard deductions and exemptions under age 65 you could have up to $95,500 of income and still have 0% LTCG rate. That $95,500 would include any LTCG.

2015 top of 15% tax bracket for MFJ...........$74,900
2015 standard deduction for MFJ..................12,600
2015 personal exemptions x 2 ......................8,000

Total income............................................ .$95,500

But be careful, if you go over then the excess is subject to an incremental tax rate of 30%... ouch!
__________________
If something cannot endure laughter.... it cannot endure.
Patience is the art of concealing your impatience.
Slow and steady wins the race.
pb4uski is offline   Reply With Quote
Old 05-16-2015, 10:20 AM   #124
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
pb4uski's Avatar
 
Join Date: Nov 2010
Location: Vermont & Sarasota, FL
Posts: 16,424
Quote:
Originally Posted by Spanky View Post
...Why play the market game (at a later stage of your life) when you do not have to unless you think it's fun?
Because i'm an averages player and believe that over a 30-40 year retirement time horizon that the market will not only provide for us but will also optimize our family wealth (and our kids wealth). As an investor, I have the stomach/fortitude for it and we can afford to take the risk.
__________________
If something cannot endure laughter.... it cannot endure.
Patience is the art of concealing your impatience.
Slow and steady wins the race.
pb4uski is offline   Reply With Quote
Old 05-16-2015, 11:23 AM   #125
Full time employment: Posting here.
 
Join Date: Apr 2015
Posts: 903
Quote:
Originally Posted by Spanky View Post
Most people, I think, desire guarantees. She seems to a wise person. The market is risky. Why play the market game (at a later stage of your life) when you do not have to unless you think it's fun?
This is why I work for government even if the same work pays 1.5-3x in private.

Quote:
Originally Posted by Independent View Post
I'll re-word this to "If you assume you'll be forced to take RMDs that you won't spend, then the proceeds are going to go into taxable accounts. In this case, it's better to proactively get money into Roth accounts. This is true even for equal tax brackets."

Correct?
Yep, pretty much. I think for folks with a sizeable IRA or 401k account and other streams of income (SS, pension, rentals and taxable accounts), it's a fairly valid concern.

I'm treating my 457 and IRAs as part fun money and part long term care insurance (I'm not HSA eligible) so I'd like to keep as much funds in those as possible.
__________________
hnzw_rui is offline   Reply With Quote
Old 05-16-2015, 11:36 AM   #126
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
audreyh1's Avatar
 
Join Date: Jan 2006
Location: Rio Grande Valley
Posts: 16,467
FRA for me is 66 years 10 months. So by then I'm only 3 years away from 70.

Lots to consider, but I've been leaning towards the "later" camp.

I don't get 8% returns on average in my retirement portfolio now. More like 5%.

Maybe we will start doing Roth conversions someday.
__________________
Well, I thought I was retired. But it seems that now I'm working as a travel agent instead!
audreyh1 is offline   Reply With Quote
Old 05-16-2015, 11:52 AM   #127
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
Chuckanut's Avatar
 
Join Date: Aug 2011
Location: West of the Mississippi
Posts: 6,328
The best decision on when to take SS is the one that lets you sleep at night.
__________________
The worst decisions are usually made in times of anger and impatience.
Chuckanut is offline   Reply With Quote
Old 05-16-2015, 12:31 PM   #128
Recycles dryer sheets
 
Join Date: Feb 2013
Posts: 377
Chuckanut - perfect answer!

I will also say longevity depends upon your health - I have diabetes - I'm taking whatever SS I get at 62.
__________________
LinCella is offline   Reply With Quote
Old 05-16-2015, 12:40 PM   #129
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
 
Join Date: Jul 2005
Posts: 5,408
me too , diabetic as well but so far under control with just a a lot of exercise ( i run 3-1/2 miles non stop every other day ) and strict diet i am on no meds.

the math and longevity just don't work in my favor delaying .

giving up those early checks . giving up my wife's spousal kicker and spending down investments possibly in to a down market my first year all say waiting is a poor choice.
__________________
mathjak107 is offline   Reply With Quote
Old 05-16-2015, 01:12 PM   #130
Recycles dryer sheets
 
Join Date: Feb 2013
Posts: 377
Mathjak! Good for you! I was a Type 2, turned into a Type 1. Now on a pump and CGM and getting better results than ever.
__________________
LinCella is offline   Reply With Quote
Old 05-16-2015, 03:36 PM   #131
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
haha's Avatar
 
Join Date: Apr 2003
Location: Hooverville
Posts: 22,384
Quote:
Originally Posted by mathjak107 View Post
me too , diabetic as well but so far under control with just a a lot of exercise ( i run 3-1/2 miles non stop every other day ) and strict diet i am on no meds.

the math and longevity just don't work in my favor delaying .
The when to take SS choice is some kind of personality test. People decide what is most appealing emotionally, then marshal arguments to support the choice. But did you notice that BB King just died at age 89, good and fat, and a longtime diabetic? His shows over recent years have him sitting quietly on a stool. He surely was not running non-stop any 3.5 miles ever, let alone every other day. So if he lasted until age 89, only god knows how long you might last.




Ha
__________________
"As a general rule, the more dangerous or inappropriate a conversation, the more interesting it is."-Scott Adams
haha is offline   Reply With Quote
Old 05-16-2015, 03:40 PM   #132
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
 
Join Date: Jul 2005
Posts: 5,408
and your point ? he was living on insulin and meds and could barely walk for years . i was taken off everything and need no meds at all and in the best shape of my life . .

he was also way over weight ,i am not .

not sure of your entire comparison or point .
__________________
mathjak107 is offline   Reply With Quote
Old 05-16-2015, 03:53 PM   #133
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
haha's Avatar
 
Join Date: Apr 2003
Location: Hooverville
Posts: 22,384
Quote:
Originally Posted by mathjak107 View Post
and your point ? he was living on insulin and meds and could barely walk for years . i was taken off everything and need no meds at all and in the best shape of my life . .

he was also way over weight ,i am not .

not sure of your entire comparison or point .
You don't realize it, but you have just summarized my point. You said "the math and longevity just don't work in my favor delaying ." From what you have said, you could easily have average or greater life-span.

BB King had diabetes, was not well controlled, yet he lived to age 89. You are concerned that you should take SS early, because you have diabetes that doesn't even require meds, and you run over 10 miles a week, yet you seem to think that your medical condition favors taking SS early. But who knows what you think. Anyway, as the McDonald's ad says, have it your way.
__________________
"As a general rule, the more dangerous or inappropriate a conversation, the more interesting it is."-Scott Adams
haha is offline   Reply With Quote
Old 05-16-2015, 03:53 PM   #134
Full time employment: Posting here.
 
Join Date: Apr 2015
Posts: 903
Quote:
Originally Posted by mathjak107 View Post
and your point ? he was living on insulin and meds and could barely walk for years . i was taken off everything and need no meds at all and in the best shape of my life . .

he was also way over weight ,i am not .

not sure of your entire comparison or point .
Maybe his point is your longevity risk might be higher?

I think Chuckanut's answer is the really the right one.

We can all run spreadsheets of various scenarios comparing a bunch of different variables but in the end, this really boils down to an emotional response.
__________________
hnzw_rui is offline   Reply With Quote
Old 05-16-2015, 03:58 PM   #135
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
 
Join Date: Jul 2005
Posts: 5,408
Quote:
Originally Posted by haha View Post
You don't realize it, but you have just summarized my point. "the math and longevity just don't work in my favor delaying ."

BB King had diabetes, was not well controlled, yet he lived to age 89. You are concerned that you should take SS early, because you have diabetes that doesn't even require meds, and you run over 10 miles a week, yet you seem to think that your medical condition favors taking SS early. But who knows what you think. Anyway, as the McDonald's ad days, have it your way.
on the other hand eventual complications and diabetes did my mother in at age 55 and my dad at 66 from stroke . .

it is as unpredictable condition as can be. today i have it under control tomorrow it can destroy my internal organs. no one knows with diabetes what is next.

but that isn't why i am taking it early , it just makes better sense as i need to make it to around 84- 85 to just break even and longevity isn't one of my family's strong points . my first cousin died last year.

i have neuropthy in my toes and fingers from it which make them burn. but other than that so far so good but i am a gym rat and have been so for more than 15 years now.

starting to run last year made the biggest difference and since then i am off lipitor , blood pressure a meds nd no diabetes meds . got my fingers crossed things stay this way
__________________
mathjak107 is offline   Reply With Quote
Old 05-16-2015, 04:48 PM   #136
Recycles dryer sheets
 
Join Date: Feb 2013
Posts: 377
89 and not well controlled is not a happy place.
__________________
LinCella is offline   Reply With Quote
Old 05-16-2015, 04:52 PM   #137
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
RunningBum's Avatar
 
Join Date: Jun 2007
Posts: 5,180
Quote:
Originally Posted by LinCella View Post
89 and not well controlled is not a happy place.
Still need money, right?
__________________
RunningBum is offline   Reply With Quote
Old 05-16-2015, 08:07 PM   #138
Recycles dryer sheets
 
Join Date: Feb 2013
Posts: 377
Of curse you still need money, RunningBum. And with Diabetes you need a lot more of it!
__________________
LinCella is offline   Reply With Quote
Old 05-16-2015, 08:45 PM   #139
Thinks s/he gets paid by the post
steelyman's Avatar
 
Join Date: Feb 2011
Location: Triangle
Posts: 3,218
Quote:
Originally Posted by travelover View Post
Kinda rude, don'tcha think?

Never mind "rude". It's just not true, and not worth a minute of thought.
__________________

steelyman is offline   Reply With Quote
Old 05-16-2015, 08:51 PM   #140
Thinks s/he gets paid by the post
Dash man's Avatar
 
Join Date: Mar 2013
Location: Limerick
Posts: 1,668
Quote:
Originally Posted by travelover View Post
Kinda rude, don'tcha think?

I think it depends a lot on the government agency. I worked both private and supervised DoD employees while I the military, and worked as a government civilian for a while. Most civilian government employees I saw worked hard, though rarely over 40 hours. There were a few slackers, but I saw that in private industry too. The true bureaucrats I've known were, however, not that dedicated in their work.
Federal benefits are often exaggerated, and state and local government benefits vary quite a bit. I think my private sector benefits were comparable to the federal benefits I remember having.
__________________

__________________
Dash man is offline   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
When Should You Take Social Security? wanaberetiree FIRE and Money 20 09-02-2014 02:56 PM
when should you take social security article veremchuka FIRE and Money 117 02-21-2011 06:04 PM
why you should ALWAYS take SS as soon as you can endthefed FIRE and Money 69 06-05-2010 09:38 AM
Iraq and the Kansas Tornado. You should be angry. We all should. newguy88 Other topics 16 05-08-2007 08:20 AM

 

 
All times are GMT -6. The time now is 04:29 AM.
 
Powered by vBulletin® Version 3.8.8 Beta 1
Copyright ©2000 - 2017, vBulletin Solutions, Inc.