Poll: Total Income from SS & Pensions (Not Nest Egg or Retirement Withdrawals)

[ShokWaveRider]

Wow, aaron, do you live in a palace or something? $3400? That's WAY more than I pay in property taxes for my Dream Home. (grin - - just kiddin' around about your palace, but it's true that my property tax this year was $2,121, nowhere near the amount you are paying although it still felt like a kick in the rear).

Not to derail but probably one of the many reasons that LA is the #2 poorest state in the US. AL is #1. You gotta pay the taxes in order to reap the benefits.

https://www.roadsnacks.net/poorest-states-in-america/

Here are the top 10 as a comparison.

https://wealthygorilla.com/richest-states-in-the-usa/

 

[djsander]

I do not know about yours but our home does not consume food. We do, but not the house. These numbers are for running the home not total expenses.

Haha! I misread, however our previous house had 9 bird feeders so I guess the cost of keeping those would be included in our total.

 

[W2R]

Wow, aaron, do you live in a palace or something? $3400? That's WAY more than I pay in property taxes for my Dream Home. (grin - - just kiddin' around about your palace, but it's true that my property tax this year was $2,121, nowhere near the amount you are paying although it still felt like a kick in the rear).

Not to derail but probably one of the many reasons that LA is the #2 poorest state in the US. AL is #1. You gotta pay the taxes in order to reap the benefits.

https://www.roadsnacks.net/poorest-states-in-america/

Here are the top 10 as a comparison.

https://wealthygorilla.com/richest-states-in-the-usa/

I guess you could say the same for Wisconsin, where aaron lives, too! The property taxes there are much lower than those in New Jersey, after all. So, New Jersey must be heaven in comparison with Wisconsin?

Besides, it's not even challenging for people living elsewhere to say nasty things about Louisiana. It's everybody's favorite pastime.

 

[ShokWaveRider]

Besides, it's not even challenging for people living elsewhere to say nasty things about Louisiana. It's everybody's favorite pastime.

Not nasty at all, we all choose our lives, just the facts. If I was being nasty AL would be my first port of call, but I am not, to each his or her own. AL is absolutely the last state I would "choose" to live in. Infact, if it were the only choice, I would move back to the UK, or Canada, or Malta, all of which I am a citizen of and have passports for ..... my friends call me 00Ian

Now saying that, I have friends that live in AL and love it. I also have acquaintances that live there and hate it but have no other choice.

 

[RetiredHappy]

The property tax and homeowner insurance are pretty inexpensive here in Nevada. Our home of about a million dollars only costs $1,450 in home owner insurance and $4,350 in property tax. We also pay no income tax.

 

[W2R]

The property tax and homeowner insurance is pretty inexpensive here in Nevada. Our home of about a million dollars only costs $1,450 in home owner insurance and $4,350 in property tax. We also pay no income tax.

That's terrific! Sounds like a very good deal for a million dollar home.

Actually, now that I think about it, property tax in Louisiana goes to the individual Parish (=County), not the state. So, if I lived a couple of miles to the east, in a home of the same value, I'd be paying considerably higher property tax. If I lived 20 miles south, I'd bet my property tax would be a lot less than I am paying. The millages that we vote for, only apply to this Parish, not the whole state.

We are very happy with the value that we get for our property tax, in this Parish. It's much better kept up than are some neighboring Parishes.

 

[Gumby]

Works the same way here in Connecticut, but even more granular. How much property tax you pay on a million dollar house depends on which of our 169 cities and towns you live in since the mill rate is different for each.

We do have eight counties, but they are nothing more than lines on the map. There has been no county government since 1960.

 

[Taxman59]

Once I start SSI, the #'s change drastically

 

[bcbix001]

Would be interesting to see the 2/3rds that are above $5000 put into a few more buckets, maybe 5-7.5, 7.5-10, 10-15, and >15

 

[aaronc879]

Once I start SSI, the #'s change drastically

I assume you mean SS, not SSI. SSI is Supplemental Security Income and a single person has to have less than $2000 in total net worth to qualify.

 

[Time2]

The property tax and homeowner insurance are pretty inexpensive here in Nevada. Our home of about a million dollars only costs $1,450 in home owner insurance and $4,350 in property tax. We also pay no income tax.

I guess I'll pull up the rear with $1,324 property tax on a $250k home in the Fl. Panhandle. The county values it at $104k and we get a $50k homestead exemption.
Even though my tax is low, I still think taxing your home is a bad way to tax. Just my pet peeve.

 

[Gumby]

I guess I'll pull up the rear with $1,324 property tax on a $250k home in the Fl. Panhandle. The county values it at $104k and we get a $50k homestead exemption.
Even though my tax is low, I still think taxing your home is a bad way to tax. Just my pet peeve.

Property tax is a great way to tax because it is very difficult to evade.

 

[djsander]

I guess you could say the same for Wisconsin, where aaron lives, too! The property taxes there are much lower than those in New Jersey, after all. So, New Jersey must be heaven in comparison with Wisconsin?

Besides, it's not even challenging for people living elsewhere to say nasty things about Louisiana. It's everybody's favorite pastime.

Lived in NW Louisiana for 18 years. The running joke was you know that Mississippi was having a bad day when Louisiana wasn’t in last place (or first if that’s the worst position).

 

[RobLJ]

I new New Jersey was bad. I thought it was bad here paying $3400 on a $160K house but it is worse some places. Glad I don't live in those places.

We paid 7k/year in county and state property taxes for the 220000 place in Houston. But you know--Texas has NO INCOME TAX!! so it's all good, supposedly. I've discovered the low tax states will get you, one way or another, to quote Blondie.

Plus the "low tax state" charged 8% state and local sales tax, but whatever. I'm sure this has been covered ad nauseum, but I chuckle when I hear about "low tax states." As almost all of you know, you need to calculate your over-all tax debt and the services rendered, and the services are often failures. Texas built a lot of new roads in the DFW area, which I discover every time I fly there (4-5 times a year) tocheck on the agedP below Fort Worth and my brother-in-law in North Dallas---but they are mostly toll roads. 5 bucks a trip isn't that bad--unless you are using it weekly to commute to work back and forth; then the low taxes bite your butt.

 

[RobLJ]

Which is exactly who it was intended for. NOT Income that is related to draw downs or voluntary withdrawals from a Nest Egg, which is where 401ks and IRAs fall. not fixed like SS and Pensions. Just Sayin'.

I read your note to the poll which helps, although this is, after all, a supposed "Early Retirement Forum". Now that I am a doddering regular retirment person who might draw SS in 2 years, I guess it should be meaningful to me and others in the "Early Retirement Forum." Admittedly, "early retirement" is relative--when I'm 80 it might apply (I hope, at least for the good of the rest of you "Early Retirement regulars")!

 

[mickeyd]

But if you are withdrawing from them (RMD) they really are a pension.

RMD and pension are different. One is Defined Benefit. One is not. One is Defined Contribution. One is not.

 

[ShokWaveRider]

RMD and pension are different. One is Defined Benefit. One is not. One is Defined Contribution. One is not.

I agree, I could not go back and edit that post, or I would have. I think it was discussed later in the thread.

 

[swabby01]

Started SS finally this month. My SS and Pension (not including wife's) comes in significantly above your top bracket. Our lifestyle is comfortable but took MANY years to get here

 

[MarieIG]

Started SS finally this month. My SS and Pension (not including wife's) comes in significantly above your top bracket. Our lifestyle is comfortable but took MANY years to get here

I notice that is frequently the case . . .

 

[ShokWaveRider]

Don't Pensions count towards WEP? Although I think there is a bill in congress to eliminate WEP altogether.

 

[Gumby]

Don't Pensions count towards WEP? Although I think there is a bill in congress to eliminate WEP altogether.

Only if the pension is from a job where you did not contribute to Social Security.

 

[Time2]

Property tax is a great way to tax because it is very difficult to evade.

Sure, just take their house away.


That's why I don't like it.

 

[Gumby]

Sure, just take their house away.


That's why I don't like it.

And I have zero sympathy for people who don't pay their taxes, which is why I do like it. I suspect neither of us will convince the other of the righteousness of our respective positions.

 

[cyber888]

Good poll.
I'm right in the border of $5000/mo for fix income, when I take SS. I think in low cost areas or states, $5000/mo is a good base, assuming you have no debts. For more expensive cities or high cost areas, I understand some here needing more than $5000/mo as a base number. I have no pension, so decided to buy a Joint Lifetime Annuity to make sure I have a minimum of $5000/mo. in addition to SS.

 

[cyber888]

Mine is even lower than yours. I have a 3,400 sq.ft. modern all-brick home with a 2-storey great room. Our community has a Lake. Mine totals to $1,220/month (no food). If I pay off my Heloc, it will be even less. Thinking of ditching the cable too.

Home Equity Line - $370/mo
Real Estate Tax & Insurance -$366/mo (Yearly tax: $3110, Insure -$1288)
Electric, Gas, Water- $247/month
HOA - $72/month
Internet, Phone, Cable TV - $165/mo
TOTAL - $1,220/month ($14,640 annually)
(I do all my lawn and landscaping, never hired people to do that)

Our home (~3,300 sqft) in a gated resort'ish G&CC community, 1.5 miles from one of the best beaches in the area for all the mandatory expenses (Not Food) costs only $1,400 per month all in for 2022. That leaves a lot of cash for Healthcare, Car insurance & related expenses, Food etc. All in includes:

HOA and Landscaping
Electricity, Water & Gas
Internet & Cable TV (We had cable in 2022 but not now)
Umbrella, Flood & Home Insurance
Telephone
Pest Control
Property Tax

OK some of you think it is too low, but it is OK for the objective of this poll, consider yourselves VERY privileged. The points have been well made. Since I collected SS at the beginning of the year, we have a lot of discretionary income to BTD.