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Retirement Discussions / Retire Well on Less
|Subject: pensions and such over 50||Date: 9/9/2006 9:45 PM|
|Author: eatnbybears||Number: 976 of 1766|
I am picking this line up from another post on another board because it is sooooooo important
Are you sure about that? Most pensions come with a joint option.
Everyone should at some point (soon?) take a deep breath and look into all of this stuff.
Start with Disability policies ... so many of them have changed over the past 10 years ... to put into the broadest of accounting and financial terms ... many just suck. Couple that with the chance of an individual having a heart attack or stroke under the age of 60 and surviving with a disability have gone up 100 X over ... in the old days, you just kicked the bucket and your family hoped you had life insurance.
Now, you may be disabled, unable to work, or at least do "your old job". A good policy might cover you with 2/3 of your salary for 2-3 years, maybe tax free, depending on how it is paid.
Depending on your condition, Social Security could take a couple years to be approved.
If you are not at "your job" what about "health insurance?" You your spouse and two kids on a full load policy with pharmaceuticals and low deductibles can cost $11-14,000 a year. .... Do with less? what if your "disability" causes you to need $1200 a month in newer med's without insurance, plus the testing and doctors? ... it's a wash.
Owning the best disability policy you can is essential.
Pension plans .... Understand what you have !
You get your retirement all worked out to the penny, and then find out that your Social Security check becomes taxable as income when your other taxable income from pensions and investments exceeds $ xxxx dollars .. Oh No !
Your spouse who was the participant in the "pension plan" that was going to make retirement "great" predeceases you and you find out then that the non-participant spouse would receive lifetime benefits of 50% of the gross pension that was being paid during the lifetime of the participant ... Oh No !
You are going to qualify for Medicare ... Oh Boy !!, but then discover a supplement is up to $480.00 a month.
The list goes on and on ...... Don't get caught uninformed. You know early enough, there are changes that can be made to offer protection.
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