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retirement planning

295566 said:
Do you not have a Roth 401k option?
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I'd heard between traditional/Roth and 401K/IRA, do one of each -- so if you have a Roth IRA (as I do), then opt for the traditional 401k or the inverse (traditional IRA/Roth 401).

Don't remember the details anymore but the reasoning made sense at the time.
 
justanotherg20 said:
I'd heard between traditional/Roth and 401K/IRA, do one of each -- so if you have a Roth IRA (as I do), then opt for the traditional 401k or the inverse (traditional IRA/Roth 401).

Don't remember the details anymore but the reasoning made sense at the time.
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I max out both

If you make too much money you can backdoor it into the Roth IRA
 
GAJ said:
Posted this in another thread but thought I'd post here also.

Even us retired folks need to keep in mind that 20 percent or so of money in our non Roth IRAs goes to Uncle Sam.

We'll be working on mitigating that between 65 and 70 when we start collecting Social Security by using those 5 years to draw down our IRAs while I'm in a lower tax bracket.

Once we collect SS combined will be +$80,000 +/-.

Not starting until age 65 as we are trying to maintain our income at a level that still qualifies us for a Health Care subsidy.

Before that subsidy we were paying 17k/yr, it would, obviously, be much much higher today.
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I just found out if I cash out on one of my investments I would lose my low cost healthcare....
AND!....have too PAY Back the principal @ $18,000.. a year. To keep my insurance...
So I will then lose my investment profit!......
This sucks real big time!
 
Also look at the costs of Medicare. I met someone who'll turn 65 soon. And she told me that Medicare (Part B?) will cost her $850 out of her Sosh Sec.!
 
Sucking part about IRA --> Roth IRA backdoor is that even if you deposit in to IRA and immediately convert to Roth IRA, it's counted as 6k withdrawl or someting At least in my taxes it's extra 1k something in taxes I owe.
 
Beanzy said:
Also look at the costs of Medicare. I met someone who'll turn 65 soon. And she told me that Medicare (Part B?) will cost her $850 out of her Sosh Sec.!
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$850.00 per annum? $71.00 per month hopefully won't negatively impact her too much.
 
She said every month.

Hard to believe, bc she looks very healthy for a senior. But she might have diabetes and hypertension and we know how insidious the former can be on the human body as a person ages.
 
Beanzy said:
She said every month.

Hard to believe, bc she looks very healthy for a senior. But she might have diabetes and hypertension and we know how insidious the former can be on the human body as a person ages.
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She must be confused. Medicare part B chart attached. Now depending on what supplement plan she has that could be more. I have a plan F and that is $155 a month above my part B
 

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900ss said:
$850.00 per annum? $71.00 per month hopefully won't negatively impact her too much.
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The Part B premium goes up to a maximum of $490 a month based on last 2 years of income. Add in a supplement and $144 a month Part D premium and I could see something near to $850 a month.

Nobody making $500K a year is going to get any sympathy, but they probably won't make that much in retirement. They might have a nice house in the Bay Area and that still costs a lot.
 
Last edited:
The market is a pogo stick this week. Retired and got out of all but the company stock from where I worked, when I retired. Hormel has been good to me. Today is a WTF day.

Schwab acct info.
+$64,750.11 (5.44%)
Day Change

Don't know where it will close but in less than 3 hours got back almost all of the losses from this year. This is why you don't sell and panic when the market drops.
 
Typically when the market makes a big drop I see it as a sale and time to buy. The market these days is something else though.
 
tuxumino said:
So I could retire in April but if I wait a month I get an extra .25 %.
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You will regret leaving early, stay as long as you can and get the extra money every year. If you calculate the actual value of 10k every year until you kick it, you will be amazed at how much it is. If you live another 20 years, the net present value of 10k payments every year at 5% interest is $124,622. What you actually receive over the 20 years is substantially more...future value in total is $330, 659. That's a lot of money to give up for 1 year of work!
 
UDRider said:
Sucking part about IRA --> Roth IRA backdoor is that even if you deposit in to IRA and immediately convert to Roth IRA, it's counted as 6k withdrawl or someting At least in my taxes it's extra 1k something in taxes I owe.
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Did you use TurboTax? I had the same issue with their software.
 
I am afraid my retirement is being tossed out the window without a mask.
 
Beanzy said:
She said every month.

Hard to believe, bc she looks very healthy for a senior. But she might have diabetes and hypertension and we know how insidious the former can be on the human body as a person ages.
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Unless she's extremely wealthy, that's highly unlikely. There are addons for people who have high income, but that's unlikely.

Here's a look at medicare costs:

https://www.medicare.gov/your-medicare-costs/medicare-costs-at-a-glance

She might be carrying a very high cost part B, but that's by choice, not law.

For me medicare is a god send. I might spend $4,000 year on it, total, but that's nothing compared to the $15,000 I would be paying for a comparable policy.
 
kingmoochr said:
Bump to the front...where should us youngers be looking to put our money in once the parabola hits the base?
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Well, the question isn't properly that. Nobody knows when a market bottoms or tops out until a few months afterward.....

The question is: "What are good investments right now?"
 
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