trapperjohn
Recycles dryer sheets
- Joined
- Jun 1, 2012
- Messages
- 87
A few years ago, I took an "enhanced" offer to retire early from my previous employer. I accepted the offer, started receiving a very nice monthly pension, and found another j*b. I'm now almost 60 years young, and about ready to retire for good.
My wife also works and will retire 7 or 8 years from now with a small pension. Our combined tIRAs are just over 7 figures. Our combined Roths are a bit over $100K.
Just today, I received an offer from my previous employer to pay out a lump-sum amount and then discontinue the monthly pension payments. The lump-sum amount is based upon my current yearly pension amount multiplied by a "factor". I won't know the actual lump-sum amount for a few weeks, when they send out the individualized lump-sum information. For now, I'm estimating that the lump-sum amount will be between $400K and $500K.
Like many in this forum, I've created several different spreadsheets with various "what if" scenarios. Up to now, all of my scenarios took my pension and social security into account. But as near as I can tell, if I add what I consider to be a conservative estimate of the lump-sum amount to my existing tIRA balance, and remove my monthly pension payments, at age 100, I will end up with considerably more in my savings than if I just keep getting my pension.
Obviously everything will depend on the actual lump-sum amount which I won't know specific to my situation for a few more weeks. But I'm wondering if I'm forgetting or missing some consideration.
My wife also works and will retire 7 or 8 years from now with a small pension. Our combined tIRAs are just over 7 figures. Our combined Roths are a bit over $100K.
Just today, I received an offer from my previous employer to pay out a lump-sum amount and then discontinue the monthly pension payments. The lump-sum amount is based upon my current yearly pension amount multiplied by a "factor". I won't know the actual lump-sum amount for a few weeks, when they send out the individualized lump-sum information. For now, I'm estimating that the lump-sum amount will be between $400K and $500K.
Like many in this forum, I've created several different spreadsheets with various "what if" scenarios. Up to now, all of my scenarios took my pension and social security into account. But as near as I can tell, if I add what I consider to be a conservative estimate of the lump-sum amount to my existing tIRA balance, and remove my monthly pension payments, at age 100, I will end up with considerably more in my savings than if I just keep getting my pension.
Obviously everything will depend on the actual lump-sum amount which I won't know specific to my situation for a few more weeks. But I'm wondering if I'm forgetting or missing some consideration.