2014 retired FED and going to retire FEDs...

[Redbugdave]

Hey you guys...I officially retired from the FEDs Jan 11!

My OPM temporary password and claim numbers came in two separate envelopes last week...Feb 11ish. I can see where my first annuity deposit will be Mar 1 when looking at my account on-line.

My annual leave that I cashed in was deposited about 2 weeks ago. And it had about 40% taken out for taxes.

My TSP showed that they received my faxed paperwork and will deposit my amount probably this week. Minus taxes.

And that's about where I am right now. How are you guys doing?

 

[DFA]

Congrats on the retirement, sounds like you are ready for this. I am working on my second month and it still feels like a long vacation.

 

[Tadpole]

Thanks for the details. Brings back memories. Congradulations!

Yea, the tax on that last dump is a doozy but look at it this way. It lowers your estimated taxes for the remainder of the year. And, since we moved from one coast to the other between in the week after retirement, leaving most of our furniture behind, that last dump was well worth the long stretch without a day off.

My favorite day of the process was CAC card turn-in. What was yours?

 

[Kaufmanrider]

Hey you guys...I officially retired from the FEDs Jan 11! How are you guys doing?

Redbugdave, I also retired Jan 11. FERS special retirement (LEO/FF/ATC), Annual Leave received about three weeks after I retired, 40% taken out, check.

TSP Rolled over into an IRA. TSP was fast. I faxed the withdrawal/rollover request and in two days my account was closed and the check was mailed. I took 10% of my balance out and had it deposited to my checking account. My brokerage received and posted my money three days after TSP mailed it.

Received my CSA claim number Saturday, Feb 15. Waiting on the password. Hopefully today or tomorrow.

 

[Redbugdave]

Hi Tadpole...I would have to say that my best day was not the last out processing day, (Friday). For me it was the next day...Saturday.

I can say that even though I had planned my retirement long ago, there was some anxiety. And that was something I did not for-see. But after 5 weeks, no anxiety and I am happy as a clam. And life is getting busier and busier as time goes by. There's an adjustment period.

Kaufman...I think you will get your password this week. When you log in, you will have to change your password as the first thing. Think up a good one... There is a disconnect about information and procedures in the time from us leaving work to starting the annuities, TSP, etc.


Add to...Also Kaufman, on the password...OPM may be slow because of the snow storm. They might have been off because of snow.

And...I am already losing track of the days. I was thinking it was Monday and discovered it was Tuesday! Now, that's my idea of Zen!

 

[Cassie]

Thank you for the link and establishing this thread Redbugdave. To recap my journey: I retired after 38 years CSRS Jan 3, 2014. Received my annual leave lump sum Jan17th. I got my interim deposit Feb 3rd and it was more than what I would have received for a month if I was still working. Yippee!

My password arrived from OPM about 2 weeks ago, however, I have not received the claim number. Feb 14 there was a $514 deposit made and I have no idea what that is. I'm on my way to the bank to get my TSP form notarized (partial withdrawal) and to sign up for online access to my checking account.

 

[W2R]

Congrats on your retirement, Redbugdave! Sounds like your retirement processing is moving right along and you are just about done with getting everything in place.

I retired on the FERS system back in 2009. Once OPM and the TSP get everything sorted out, the deposits just arrive like clockwork. I smile when I see them arriving in my bank account regularly each month.

Besides my FERS annuity/pension automatic deposits, I am getting equal monthly deposits from the TSP. Every December the TSP sends me a reminder that I can change the amount at that time if I want to.

Retired life has been SO good....

 

[Redbugdave]

Durn Cassie...$514...maybe that was a partial annuity payment?? That's odd.

How long does it take to get the monthly FERS Suppliment going? Is it added to the annuity payment or is it a separate deposit?

 

[W2R]

How long does it take to get the monthly FERS Suppliment going? Is it added to the annuity payment or is it a separate deposit?

I have no idea but maybe somebody else can tell you. I did not get the supplement, and it has been so long since I retired (back in 2009), that I think these things take longer now. However, things are coming along so smoothly in your retirement processing that it might be faster than I imagine.

 

[Redbugdave]

Thank you DFA and W2R!

Hopefully, we can figure this stuff out together. It's good to have others that have been through it be able to give advise.

 

[martyb]

Congrats, Dave!!!!

Well.....I was gonna retire in January (CSRS) but, here it is Feb 18th & I'm still working. However, I DID transfer to a different office & state. Not a promotion. I'm in the place I'm gonna retire, though. Now I have to re-determine my retirement date. I kind of have one in mind....

While I have nearly 37 years in CSRS, I'm only a GS-11, step 5, so not gonna be a windfall pension by any means. It'll be enough, though, when combined with my military reserves & TSP. Actually, the CSRS will be a bit more than I currently net each month, because we're used to me maxing my TSP, plus wife will continue to work for at least another couple of years, so we'll be netting more than when I'm working.

 

[Redbugdave]

Hey Marty! It's good to see you! One of the places I was stationed was at Barksdale when I was active duty. I was a forecaster at base weather back then. SAC and all those alerts. I sure enjoyed the area with hunting and fishing. That's where I bought my first 3 wheeler...a big red. I was all over those pipelines and in my 20s.

Anyways...I retired a GS-12 and have been saving all these years, like you. Maxing out the IRA's, TSP and investing with Vanguard. I am FERS. My take home pay will go way up too, since I have been saving and investing...living on half my salary all these years. I am not used to spending as well as drawing on my TSP...and it is an adjustment. Thing is...if you watch the market and rebalance your TSP periodically...your TSP may not go down much even if you are drawing on it. But markets will fall and you have to adjust to that, too.

I think you will do just fine! Better than you think. You are a planner too, so I don't think there will be any surprises.

Somehow it seems criminal to be living like this and not having to work or suffer... and having the money roll in. I have been the tortoise and plugged along, and now I feel like the hare. Is this a dream or what?


Any other FEDs...come on in and give advise...

 

[Cassie]

Durn Cassie...$514...maybe that was a partial annuity payment?? That's odd.

How long does it take to get the monthly FERS Suppliment going? Is it added to the annuity payment or is it a separate deposit?

Went to the bank and signed up for online access, it looks like the $514 deposited is part of my pension. It is odd because I thought the adjustments would be made 1x a month. Sorry, I don't know anything about the FERS supplement. Still no claim number in the mail. Today I also mailed my TPS partial withdrawal request. For those of you who took one did you have extra $$$ taken out for taxes in addition to the 20%? I didn't, I figured I'd put some aside for next year just in case the 20% wasn't enough.

I retired at a 14/7 which gives me a pension that covers my living expenses. However, my TSP not large and my IRA is tiny. Thank goodness for the pension

Thanks

 

[W2R]

Went to the bank and signed up for online access, it looks like the $514 deposited is part of my pension. It is odd because I thought the adjustments would be made 1x a month. Sorry, I don't know anything about the FERS supplement. Still no claim number in the mail. Today I also mailed my TPS partial withdrawal request. For those of you who took one did you have extra $$$ taken out for taxes in addition to the 20%? I didn't, I figured I'd put some aside for next year just in case the 20% wasn't enough.

I retired at a 14/7 which gives me a pension that covers my living expenses. However, my TSP not large and my IRA is tiny. Thank goodness for the pension

Thanks

For me it seemed like I got several mystery amounts deposited between my last day of work and the time OPM had finalized me. By being finalized I mean that I received the personalized "blue book" that details the results of their computations for me, exactly what I would be getting, and what these odd amounts were. Also, once I got the blue book the amount settled down and hasn't changed at all except a small increase due to COLA.

As for the TSP, I chose withdrawal as equal monthly payments. I didn't choose to have any money withheld. I thought they would anyway, but they haven't at all. That is what I wanted; I have to pay estimated taxes quarterly anyway, due to my (other, taxable) investment dividends so for me I think that withholding would just complicate things.

 

[martyb]

Hey Marty! It's good to see you! One of the places I was stationed was at Barksdale when I was active duty. I was a forecaster at base weather back then. SAC and all those alerts. I sure enjoyed the area with hunting and fishing. That's where I bought my first 3 wheeler...a big red. I was all over those pipelines and in my 20s.

Anyways...I retired a GS-12 and have been saving all these years, like you. Maxing out the IRA's, TSP and investing with Vanguard. I am FERS. My take home pay will go way up too, since I have been saving and investing...living on half my salary all these years. I am not used to spending as well as drawing on my TSP...and it is an adjustment. Thing is...if you watch the market and rebalance your TSP periodically...your TSP may not go down much even if you are drawing on it. But markets will fall and you have to adjust to that, too.

I think you will do just fine! Better than you think. You are a planner too, so I don't think there will be any surprises.

Somehow it seems criminal to be living like this and not having to work or suffer... and having the money roll in. I have been the tortoise and plugged along, and now I feel like the hare. Is this a dream or what?


Any other FEDs...come on in and give advise...

Howdy Dave! I did work civil service & reserves at Barksdale from '96 to '08, but then I left & went to work for Defense Contract Management Agency, & moved off to Wisconsin for a year, then down to Lufkin TX for 4 1/2 yrs, and most recently got a transfer back to Shreveport/Bossier. We bought our retirement place here & this is where we'll retire. 2 kids & some grandkids here, so wife says we're staying here.

You're right, fishing's great here, and I'll be doing lots of that. I don't hunt much anymore, but who knows, I may get back into that too. My son-in-law's a big hunter & fisherman, so he may get me back into the woods someday.

I'll be making a lot of trips to NC starting later this year (mom's 84) so you & I might have to get together for some SC (or NC) BBQ. I drive through Columbia every time I make the trip.

Due to all the saving over the years, even at my 11/5 or 11/6 grade, my after-tax etc. pay will be over $8000 a year more than it currently is. I'll be able to easily extract $1000 a month or more from TSP if I want to, but don't really think I'll need to. It's there, though, which is good. Also will have my military pay kicking in in 3 yrs, 11 months. I've done the math 40 ways to Sunday, and I'm feeling confident. Wife will work till just before my military pay starts, making a smooth transition there.

 

[Kaufmanrider]

Durn Cassie...$514...maybe that was a partial annuity payment?? That's odd.

How long does it take to get the monthly FERS Suppliment going? Is it added to the annuity payment or is it a separate deposit?

From what I have been told by other retirees you don't get the FERS Supplement until they finalize your retirement numbers. You will get an interim based upon a percentage of you FERS Retirement. No insurance deductions either until it is all finalized, then OPM settle it all up with a lump sum and your full monthly begin.

Some in my agency who retired in Dec have already been finalized. I can only wish.

 

[Greg V]

Congrats.

The process went OK for me as a FERS retiree...saving up some extra cash and selling back Leave gave enough cushion to get through the interim pay period. I retired end of Jun 2012, got finalized last week in Nov 2012 and Jan 2013 was the first "normal" check, and included FERS Annuity Supplement. The check in Dec 2012 that settled up for smaller interim pay, etc also included any FERS Annuity Supplement amount that was not paid.

While there are no insurance deductions for FEHB coverage during interim pay, if you have Vision and Dental policies through BENEFEDS, they will bill you direct until you are finalized and normal allotments begin again. Overall, the insurance part worked fine for me with no lapses in coverage.

Depending on how much you withdraw monthly from TSP, no money may be withheld no matter what withholding you select. Be ready to make estimated tax payments.

Lastly, during finalizing, I had to confirm some bought back military time. It's a plus if you've got some old proof (military orders, etc) squirreled away to help the system along. The rep was very helpful and patient throughout the finalizing process.

 

[Redbugdave]

That helps out a lot Greg, Kaufman and W2R.

On the OPM site it says I got interim pay issued on 1/24/14. I think that was for my annual leave settlement. I have not been assigned to a specialist yet. It's been more than 5 weeks since I retired. Thanks for the FERS Suppliment information. That settles my concerns. I was wondering about that. I do have dental thru Benefeds, so I should be getting a small bill in the mail.

I just checked my Vanguard account and the TSP deposited my monthly amount overnight. I was wondering about that, too. They seem to be more efficient.

I kinda think that a lot more people are retiring in 2014 than 2013 and OPM may be slower.

Your claim number will show up any day now, Cassie. I know it's worry-some, because there's no communication.

 

[Kaufmanrider]

Redbugdave, are you doing TSP life expectancy or a set dollar amount each month from your TSP? I assume you are depositing it into a brokerage account?

I rolled all mine into a Schwab IRA. I might tap it next year for 72T payments to supplement my retirement providing travel/emergency cash (play money) as I am only 49 and don't want to have to work. Of course if the right opportunity comes along. I have no earnings cap on my Supplement until I turn 56 and a few months.

 

[Redbugdave]

Kaufman...I am doing a set amount each month and having it deposited in my Vanguard MM account. From there, I can shuffle it for living/fun expenses or into my other Vanguard funds. Each year, you can adjust the amount thru TSP if you want more or less. I also watch the market and shuffle between the G, S and C funds. Sometimes it goes up or down in a day or two more than what I will be withdrawing in a year, which can be nerve wracking. When I hit 60, I plan to roll it all over into my Vanguard IRA accounts as Traditional IRA's.

Since I worked into January...I think it's a good idea to contribute to my wife's and my Roth IRA's for 2014. It will be the last year I can do that, unless I work some other place which is highly unlikely. That's something you should think about too...Kaufman and Cassie.

I'm 56 and went 2 weeks after my 56th birthday. For me, 56 was the earliest I could retire with full benefits. I bought my military time years ago. I will be getting 100% of my sick leave applied to my total time. That's better than 50% at my birthday last December.

Those CSRSers got it made...I missed out on CSRS by 1 year. 40 years at 80%. That's a long time. But if you saved and invested just like a FERS person has to, you would be sitting pretty and go with 30 years and 55. And probably better than 80%, with COLA and not worrying so much about what the market will do with your retirement.

 

[Cassie]

Thanks sharing, this is good information and eases anxiety. Even though I only worked 3 days in 2014 I didn't realize that I could still contribute to my 2014 IRA. Also I didn't realize insurance was not taken out yet. I did hear from FedBens, however no bill yet. Even though I haven't received my claim number, I'm pleased with the process so far.

 

[Kaufmanrider]

Kaufman...I am doing a set amount each month and having it deposited in my Vanguard MM account. From there, I can shuffle it for living/fun expenses or into my other Vanguard funds. Each year, you can adjust the amount thru TSP if you want more or less. I also watch the market and shuffle between the G, S and C funds. Sometimes it goes up or down in a day or two more than what I will be withdrawing in a year, which can be nerve wracking. When I hit 60, I plan to roll it all over into my Vanguard IRA accounts as Traditional IRA's.

Since I worked into January...I think it's a good idea to contribute to my wife's and my Roth IRA's for 2014. It will be the last year I can do that, unless I work some other place which is highly unlikely. That's something you should think about too...Kaufman and Cassie.

I'm 56 and went 2 weeks after my 56th birthday. For me, 56 was the earliest I could retire with full benefits. I bought my military time years ago. I will be getting 100% of my sick leave applied to my total time. That's better than 50% at my birthday last December.

Those CSRSers got it made...I missed out on CSRS by 1 year. 40 years at 80%. That's a long time. But if you saved and invested just like a FERS person has to, you would be sitting pretty and go with 30 years and 55. And probably better than 80%, with COLA and not worrying so much about what the market will do with your retirement.

I, like you, went in January as I also wanted the 100% sick leave. I had about 2000 hours. I was first eligible June 2013.

I retired at 49, with 25 years and 6 year military bought back years ago when I first stared. I qualified for full benefits under the Special Retirement.

I will look to add to my IRA, but I'll wait until I do my taxes next year and see how much it will benefit me. I believe you have until April 15 of 2015 to apply an IRA contribution to your 2014 tax year.

 

[Cassie]

Yippee, my claim number came today, and I actually walked down the street to the mailbox! It's like spring time here, in the high 70's. The OPM website was easy to navigate, I've been assigned a specialist and the amount I'm to get March 1st was posted AND $150 more than I anticipated! It's hard to believe I'm netting more now than when I was working. At one point I was considering working 40 years versus the 38 I did, especially since I was at my highest earning years. However, I'm pleased with my decision to start another phase this year.

Gotta run, I'm making roast pork tenderloin, roasted potatoes with oregano & lemon, and lemon ginger string beans. (all from my Weight Watcher weekly) Yesterday I went to Whole Foods to pick up the ingredients.....it was so darn pleasant shopping during the week. I had to force myself from continuously smiling.

 

[martyb]

For what it's worth, it takes 41 yrs, 11 months to get to the 80% number in CSRS. I'm CSRS & will have 37 years in May this year. Not gonna make it to 80%, but will go out with a little over 70% of hi-three average.

 

[Cassie]

For what it's worth, it takes 41 yrs, 11 months to get to the 80% number in CSRS. I'm CSRS & will have 37 years in May this year. Not gonna make it to 80%, but will go out with a little over 70% of hi-three average.

That's good Marty! Congratulations...37 years!