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Subject:  Re: investing for retirement!! Date:  12/28/2012  9:11 AM
Author:  Hawkwin Number:  71114 of 88498

After skimming all the above posts, I would strongly consider working from 50-60+ while you are receiving your pension and postpone withdrawals from your retirement accounts until later in life.

Assuming compounding, the best years of possible growth in your retirement dollars will come in the last 10 years of your accumulation. You will severely restrict your future cash flow from those accounts if you: 1 - are no longer working (and no longer contributing to those accounts), and 2 - pulling out monies early.

The Rule of 72 would have your money doubling every 10 years if you receive a 7% return. If your TSP account grows to $500,000 by age 50*, it would double in value to $1,000,000 if you could earn just a little over 7% a year for the next 10 years.

I don't know about you, but I would happily work some parttime or even full time easy job for 10 years if it allowed me to have an extra half a million dollars when decided to stop working.

* $6k (your current balance) invested every year from age 25 through age 50 (25 years) and compounded at 7% would equal about $438,000. I assume you will invest more than $6k a year as you get older, hence the $500k amount at age 50.
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