Thursday, June 18, 2009

17+ Years Til Retirement

So I know I've posted recently about how my new job isn't as great as I originally hoped it would be. I've had a couple of nice conversations with some of the Old Guard in the past couple of days which makes me think it will get better though. Also, there's always the light at the end of the tunnel, retirement statements.

I just got my retirement statement and I'm still trying to figure it all out so what better way then to post about it?

According to my statement, I joined the Retirement System in April, 2007. While that is technically true, I have credited service going back to September, 2006. What this means is sometime between now and retirement I have to buy 8 months of service from the system. When I do this, hopefully in the next two years, I will be on track for a retirement date of September 2027! Woohoo, I'll only be 47 years old then!

Actually, damn, I just reread that part about how your benefits are reduced if you have less than 30 years of service...but they're a lot better after 20. I don't know, the wording is really vague. Must do more research. (I've posted about my retirement system before if you want a little more background.)

My account balance (3% of what I've earned since joining) is currently at $2,433.22. This would be what I get back from the system if I leave before I vest. It isn't much but it's good to know. I earned a whopping $83 in interest this year too!

Death benefits! Yikes! In case of my untimely demise, my younger siblings stands to inherit my ordinary death benefit of $43,260 plus my contributions to the retirement system. As long as this figure is less than $50k it's tax free. That's all well and fine but let's hope he never needs to know about it.

My fiance and I love to talk about our hypothetical early retirement plans, maybe moving to the islands and working "fun" jobs. In the meantime we plan on keeping our noses to the grindstone.

Oh wait, there's also my 457 retirement plan. This program is optional and I'm glad I joined because making my savings automatic (coming directly out of my paycheck before I can touch it) has proved the only successful way I have learned to save money. And look how well my funds are accumulating compared to the last time I posted about it? What recession?

All in all I am learning to appreciate my job just a little more.

1 comment:

Neil Fiorenza said...

You're only about 16 years away from reaching retirement. It seems that you have a lot of ideas on what you'll spend you're free time with. For now, I'll wish you good luck with your work. =D