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Old 01-15-2015, 10:37 PM
 
Location: Silicon Valley
18,081 posts, read 22,914,959 times
Reputation: 35196

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I've never believed in staying anywhere I'm miserable. The result is that I'm very poor, but content. I'm on SSI, and live in subsidized senior housing. Honestly, if I had more money, my life would be more difficult. It's always been the middle class who suffers (which I used to be). If you can let go of the notion of having to afford a house, new car, etc., etc., as a senior who is low income in the US, you can live quite comfortably, in subsidized housing. Nothing fancy, but it's do-able, and you don't have to work anymore where you are miserable. That's the choice I made, and for me, it was the right one.

Good luck. Personally, I really like TX, except for the weather and the bugs LOL.
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Old 01-16-2015, 12:41 AM
 
11,929 posts, read 20,372,953 times
Reputation: 19326
Quote:
Originally Posted by GM fitter View Post
I am 31 months away from 62 yrs. old. I have 25.7 years with my employer, with full pension being 30 years. I also need to say that I work a job with lots of available overtime.

I know not to compare my income in retirement, with my current income, mostly because of the overtime. Also, my current job is not what I usually do. It is much, much better. Not financially, but in terms of wear and tear. I am a skilled tradesman, currently working full time in an office environment.

OK, finally my issue. My wife and I live in Texas, we followed my job. I'll start out with the mandatory apology. Not to offend anyone, but we do not like living here. This is something I choose not to share with my co-workers, although they may sense it. People here are very sensitive about their state. If you visit my home town and tell me you would rather do jail time than ever go their again, no problem. To each his own. When I talk about investigating other places to retire, they have no concept of why I would want to leave.

That said, am I being foolish to take the early retirement, and take SSI at 62? I think I would be happy with less money in a place I feel comfortable in. We can't afford to go back to where we are from, but are looking at Fla., North and South Carolina, and Delaware.

Will the extra money in retirement, that I would get by waiting, be worth 5 more years here? By then Ill be 65. Then it becomes "why not wait one more year to get full social?"

I don't know if any of this makes sense, or if I have really asked a question. Guess I just wanted to vent. If you are reading this....thanks for your time.
I can tell you one thing -- if people hassle you about leaving Texas, just tell them you're going home to family. I've had people that get all defensive about our plans to leave CA, but I tell them I want to be home with my family. Takes all the wind out of their sails.
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Old 01-16-2015, 02:00 AM
 
Location: Chesapeake Bay
6,048 posts, read 3,868,534 times
Reputation: 3502
One thing that you could do is leave at age 62 and defer your pension until age 65. You do not have to take it on the day you retire from your job nor will it be reduced simply because you left early if you wait until then to draw it.

Of course you might get raises during that 3 year period which could increase your final pension amount as that is based on your highest pay (s).
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Old 01-16-2015, 05:08 AM
 
Location: Los Angeles area
14,018 posts, read 17,723,738 times
Reputation: 32304
Quote:
Originally Posted by NoMoreSnowForMe View Post
I've never believed in staying anywhere I'm miserable. The result is that I'm very poor, but content. I'm on SSI, and live in subsidized senior housing. Honestly, if I had more money, my life would be more difficult. It's always been the middle class who suffers (which I used to be). If you can let go of the notion of having to afford a house, new car, etc., etc., as a senior who is low income in the US, you can live quite comfortably, in subsidized housing. Nothing fancy, but it's do-able, and you don't have to work anymore where you are miserable. That's the choice I made, and for me, it was the right one.
Glad you are happy. But you neglected to thank the rest of us who are paying for your housing. I am not overjoyed at the idea that I am paying for my own housing and also for the housing of others. It doesn't negatively affect my own happiness, but the idea rankles.
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Old 01-16-2015, 06:46 AM
 
Location: Texas
29 posts, read 34,419 times
Reputation: 44
Quote:
Originally Posted by ohio_peasant View Post
Consider the guilt-factor of retiring before a defined-benefit pension completely vests. If the OP has 25.7 years, well, that's only about 20 months of additional work beyond attainment of age 62, for that magic pension to vest. Decades down the road, having lingered for another 20 months on the job won't have mattered. But the difference in pension-income accumulates. If the OP is in poor health, and has distinct chance of passing away in his mid-60s, of course the considerations a different. But a healthy person with median incremental life-expectency ought to give grave and serious consideration before yielding to emotion and leaving an unpalatable job which offers nonlinear accumulation of benefits.

I also relocated decades ago to a locale which I despise, for purposes of my career, with an employer offering a defined-benefit pension. There are always tradeoffs, always pros and cons. But as one gets older, financial security and the psychological achievement-value of a full career, become substantial considerations. It's always easier to retire later, than to retire too soon and to seek return to one's former job.
The pension is vested, just at a reduced amount. If I am understanding your statement.
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Old 01-16-2015, 07:56 AM
 
Location: Backwoods of Maine
7,108 posts, read 8,145,682 times
Reputation: 18741
If I had to do it all over again...

I would have retired at age 60, and not waited till I was 65. I ended up not gaining anything for those 5 years, and they were 5 hard years. Whoever said that *time* is the only thing you can't replace, was right. We have enough money, but we would have had enough 5 years before.

Sometimes people worry so much about "not having enough $$$" that they don't see the forest for the trees.
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Old 01-16-2015, 08:50 AM
 
7,895 posts, read 5,024,944 times
Reputation: 13528
Quote:
Originally Posted by Nor'Eastah View Post
Sometimes people worry so much about "not having enough $$$" that they don't see the forest for the trees.
Worry can launch us into one or the opposing extreme. When does a sufficiently large collection of trees constitute a proper forest? If a person's in ailing health, with extensive interests placed on hold for narrow purposes of earning money, if relatives abound and friends beckon, then indeed there's merit in retiring early. Other situations may trigger the opposing decision.

My only point is that one can't return to one's job, once retired. Time lost to lingering at work can't be regained either, but at least one can accelerate one's activities in the time remaining. But the golden watch is only given once.
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Old 01-16-2015, 08:57 AM
 
Location: Texas
29 posts, read 34,419 times
Reputation: 44
Quote:
Originally Posted by Gandalara View Post
Call your personnel office and ask them what your pension will be in 31 months.
Go to the Social Security web page and find out what your benefit would be at 62.
Add the figures together.
Subtract cost of medical insurance.

Take that final figure and live on it month to month for 1 year.

You didn't mention any other retirement savings or taxable savings?
I've done those things. But how do I figure how much comes out for taxes, Medicare Part B etc.?
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Old 01-16-2015, 11:26 AM
 
Location: San Antonio
7,629 posts, read 14,373,108 times
Reputation: 18706
Quote:
Originally Posted by GM fitter View Post
I am 31 months away from 62 yrs. old. I have 25.7 years with my employer, with full pension being 30 years. I also need to say that I work a job with lots of available overtime.

I know not to compare my income in retirement, with my current income, mostly because of the overtime. Also, my current job is not what I usually do. It is much, much better. Not financially, but in terms of wear and tear. I am a skilled tradesman, currently working full time in an office environment.

OK, finally my issue. My wife and I live in Texas, we followed my job. I'll start out with the mandatory apology. Not to offend anyone, but we do not like living here. This is something I choose not to share with my co-workers, although they may sense it. People here are very sensitive about their state. If you visit my home town and tell me you would rather do jail time than ever go their again, no problem. To each his own. When I talk about investigating other places to retire, they have no concept of why I would want to leave.

That said, am I being foolish to take the early retirement, and take SSI at 62? I think I would be happy with less money in a place I feel comfortable in. We can't afford to go back to where we are from, but are looking at Fla., North and South Carolina, and Delaware.

Will the extra money in retirement, that I would get by waiting, be worth 5 more years here? By then Ill be 65. Then it becomes "why not wait one more year to get full social?"

I don't know if any of this makes sense, or if I have really asked a question. Guess I just wanted to vent. If you are reading this....thanks for your time.
I would look at cost of living comparison charts thru google to see what the current cost of living would be for where you want to be vs where you are and that might help you decide if the wait is worth it...cause you might very well need the extra money if moving to a state with taxes.
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Old 01-16-2015, 12:06 PM
 
Location: SoCal desert
8,093 posts, read 13,223,984 times
Reputation: 14870
Quote:
Originally Posted by Gandalara
Call your personnel office and ask them what your pension will be in 31 months.
Go to the Social Security web page and find out what your benefit would be at 62.
Add the figures together.
Subtract cost of medical insurance.

Take that final figure and live on it month to month for 1 year.

You didn't mention any other retirement savings or taxable savings?
Quote:
Originally Posted by GM fitter View Post
I've done those things. But how do I figure how much comes out for taxes, Medicare Part B etc.?
Taxes are personal - depends on your circumstances.
Remember you won't have deductions for social security or medicare or state disability (don't know if TX has that or not).
For me personally - I estimated 15% of gross for Federal taxes. I found that in my first year of retirement, I over-estimated, LOL

The Medicare Part B at age 65, premiums range (in 2014) from $104.90 to $335.70 a month depending on income.

The point I was trying to make in my other post was - if you can live on your retirement income before you retire, why not retire?
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