Retire at 60 as fed

[Anonymous]

I will only have 22 years as fed, but there’s no way I’m gonna want to stick around until I’m 68 or 70. That’s way too many years sitting at a desk. I plan more of a “downshift” to part time employment than true retirement, at least until SS kicks in.

House in low COLA will be paid for and kids will be out of college. No expensive hobbies.
I am partnered after a divorce and hope to remain partnered but marriage might not be on the table.

I started my career late after being SAHM and my savings got hit pretty hard in the tumultuous period after my divorce, but things are stable, if challenging, now. But I only have about 100k in TSP at age 43 and I can only put 10% in now, and don’t anticipate being able to amp that up unless my partner and I move in together or once my kids go to college and I move to low COLA. I will be 54 when my youngest completes college.

[Anonymous]

So, does this sound like a reasonable plan? What else can I do now? I feel like I’m already stretched. Rarely eat out, don’t spend $$ on clothes, vacations are infrequent, low budget, usually to visit family. Kids dad helps pay for their sports and activities above and beyond child support, but I’m still stretched thin.

[Anonymous]

Why wouldn't you wait 2 more years and get an extra 10 percent of your pension at 62?

[Anonymous]

Use Firecalc to figure this out. You will tell it how much you have, what you’ll add each year between now and retirement, what your pension and SS will be, what you plan to spend each year, and how long you expect to live.

This will force you to figure all of those individual items out, which you have to do before anyone can say whether this will work or not.

Firecalc will give you an odds of success—not outliving your money—based on all prior market cycles. You will have to decide what odds are high enough for you. Good luck.

[Anonymous]

Anonymous wrote:So, does this sound like a reasonable plan? What else can I do now? I feel like I’m already stretched. Rarely eat out, don’t spend $$ on clothes, vacations are infrequent, low budget, usually to visit family. Kids dad helps pay for their sports and activities above and beyond child support, but I’m still stretched thin.

You need way more details--what is your current income and spending level--not just "I don't feel like I spend much" but what you actually spend. If you are stretched thin on your income, you're going to be stretched even more thin on your retirement income. 100k will safely produce 3.5k/yr inflation adjusted for your retirement period. So that will be 290/mo pre-tax. Add in your pension and social security and that's what you have to live on including all your growing health care needs/expenses and costs of insurance. I would definitely not retire under these conditions, but you have to do the math and assess it for yourself. And don't have magical thinking about a LCOLA--there are very often more costs than you anticipate--including having to drive a lot more to get to basic conveniences, fewer healthcare providers so needing to travel/stay elsewhere for medical procedures.

[Anonymous]

Anonymous wrote:

Anonymous wrote:So, does this sound like a reasonable plan? What else can I do now? I feel like I’m already stretched. Rarely eat out, don’t spend $$ on clothes, vacations are infrequent, low budget, usually to visit family. Kids dad helps pay for their sports and activities above and beyond child support, but I’m still stretched thin.

You need way more details--what is your current income and spending level--not just "I don't feel like I spend much" but what you actually spend. If you are stretched thin on your income, you're going to be stretched even more thin on your retirement income. 100k will safely produce 3.5k/yr inflation adjusted for your retirement period. So that will be 290/mo pre-tax. Add in your pension and social security and that's what you have to live on including all your growing health care needs/expenses and costs of insurance. I would definitely not retire under these conditions, but you have to do the math and assess it for yourself. And don't have magical thinking about a LCOLA--there are very often more costs than you anticipate--including having to drive a lot more to get to basic conveniences, fewer healthcare providers so needing to travel/stay elsewhere for medical procedures.

OP will be eligible for FEHBP so health care costs should be reasonable (there are some good options to mesh with medicare part B).

Agree the way to figure this out is figure out actual expenses, but offhand if OP has a paid off house, 22% of their salary and social security will cover a lot in a LCOL area.

[Anonymous]

One of the good things about being a federal employee is that you won't be forced out of your job. So, if you're saving what you can, you can always evaluate how things look when you're in your later 50s and see if retiring at 60 is feasible. You will also have a better view of your expenses and how much money you need to bring in.

Something that will be really important for you is managing your kids' expectations regarding college be it in state public or community college or whatever you can afford.

[Anonymous]

Anonymous wrote:I will only have 22 years as fed, but there’s no way I’m gonna want to stick around until I’m 68 or 70. That’s way too many years sitting at a desk. I plan more of a “downshift” to part time employment than true retirement, at least until SS kicks in.

House in low COLA will be paid for and kids will be out of college. No expensive hobbies.
I am partnered after a divorce and hope to remain partnered but marriage might not be on the table.

I started my career late after being SAHM and my savings got hit pretty hard in the tumultuous period after my divorce, but things are stable, if challenging, now. But I only have about 100k in TSP at age 43 and I can only put 10% in now, and don’t anticipate being able to amp that up unless my partner and I move in together or once my kids go to college and I move to low COLA. I will be 54 when my youngest completes college.

You need some perspective. Most of us have been working “at a desk” since they were 22, so by 60 they will have worked 38 years.

You and the luxury to SAH and not enter the regular workforce until you were 38. I’m sorry for your divorce, but you seem anxious to quit when you’ve barely been working 5 years.

Appreciate the time you did have to spend with your kids and not have to do the working parent grind, and I would work at least to 62 but honestly going to 67 and getting full SS should hardly be a hardship as that will still be less than 30 years in the workforce (plus whatever you did before kids).

I would address why you hate your job, maybe look for a different role. In my office people routinely work till 70, but we all believe in our mission, the work is cool, and our team is generally very cooperative. What is wrong where you are now? Do you have ADHD or something that makes sitting still difficult?

[Anonymous]

Anonymous wrote:Why wouldn't you wait 2 more years and get an extra 10 percent of your pension at 62?

Didn’t know this was a thing. Maybe I can hold out until 62. But being at my desk is slowly killing me.

[Anonymous]

Anonymous wrote:

Anonymous wrote:I will only have 22 years as fed, but there’s no way I’m gonna want to stick around until I’m 68 or 70. That’s way too many years sitting at a desk. I plan more of a “downshift” to part time employment than true retirement, at least until SS kicks in.

House in low COLA will be paid for and kids will be out of college. No expensive hobbies.
I am partnered after a divorce and hope to remain partnered but marriage might not be on the table.

I started my career late after being SAHM and my savings got hit pretty hard in the tumultuous period after my divorce, but things are stable, if challenging, now. But I only have about 100k in TSP at age 43 and I can only put 10% in now, and don’t anticipate being able to amp that up unless my partner and I move in together or once my kids go to college and I move to low COLA. I will be 54 when my youngest completes college.

You need some perspective. Most of us have been working “at a desk” since they were 22, so by 60 they will have worked 38 years.

You and the luxury to SAH and not enter the regular workforce until you were 38. I’m sorry for your divorce, but you seem anxious to quit when you’ve barely been working 5 years.

Appreciate the time you did have to spend with your kids and not have to do the working parent grind, and I would work at least to 62 but honestly going to 67 and getting full SS should hardly be a hardship as that will still be less than 30 years in the workforce (plus whatever you did before kids).

I would address why you hate your job, maybe look for a different role. In my office people routinely work till 70, but we all believe in our mission, the work is cool, and our team is generally very cooperative. What is wrong where you are now? Do you have ADHD or something that makes sitting still difficult?

I actually love my work and the people I am working with. I am just noticing the creeping effect on my health that sitting at a desk for 9 hours a day is having on my health. No amount of ergonomics is going to change that.

[Anonymous]

Anonymous wrote:
Didn’t know this was a thing. Maybe I can hold out until 62. But being at my desk is slowly killing me.

Welcome to white collar America. Unlike PP most of us work because we have to, not because we find cubicle life compelling.

Run the numbers, find a financial advisor to help you do that. What do you want out of retirement - to travel, to pay for your kids' college costs or weddings or similar? What small pleasures do you want in your daily life - restaurant meals, symphony tickets, other things that cost money? Do you have good long term care insurance or plans for when you need to move to assisted living or nursing care? Are you open to a longer term part-time job to bring in a bit of money? I know many retirees who work part-time in bookstores or similar.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:I will only have 22 years as fed, but there’s no way I’m gonna want to stick around until I’m 68 or 70. That’s way too many years sitting at a desk. I plan more of a “downshift” to part time employment than true retirement, at least until SS kicks in.

House in low COLA will be paid for and kids will be out of college. No expensive hobbies.
I am partnered after a divorce and hope to remain partnered but marriage might not be on the table.

I started my career late after being SAHM and my savings got hit pretty hard in the tumultuous period after my divorce, but things are stable, if challenging, now. But I only have about 100k in TSP at age 43 and I can only put 10% in now, and don’t anticipate being able to amp that up unless my partner and I move in together or once my kids go to college and I move to low COLA. I will be 54 when my youngest completes college.

You need some perspective. Most of us have been working “at a desk” since they were 22, so by 60 they will have worked 38 years.

You and the luxury to SAH and not enter the regular workforce until you were 38. I’m sorry for your divorce, but you seem anxious to quit when you’ve barely been working 5 years.

Appreciate the time you did have to spend with your kids and not have to do the working parent grind, and I would work at least to 62 but honestly going to 67 and getting full SS should hardly be a hardship as that will still be less than 30 years in the workforce (plus whatever you did before kids).

I would address why you hate your job, maybe look for a different role. In my office people routinely work till 70, but we all believe in our mission, the work is cool, and our team is generally very cooperative. What is wrong where you are now? Do you have ADHD or something that makes sitting still difficult?

I actually love my work and the people I am working with. I am just noticing the creeping effect on my health that sitting at a desk for 9 hours a day is having on my health. No amount of ergonomics is going to change that.

Maybe a standing desk will? I had a couple of coworkers (federal ees) who were able to get standing desks provided to them.

[Anonymous]

Also I have worked much more than 5 years, but only in the last 5-6 would I consider it my “career”. But most of the money I made in my 20s and early 30s went to paying off students loans and into property/assets where we lost most of what we had in 2008 financial/real estate disaster and then trying to catch up after that. I was only a FT SAHM for a total of about 5 years, but it obviously impacted my ability to have a career, as did my undiagnosed depression and anxiety.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:I will only have 22 years as fed, but there’s no way I’m gonna want to stick around until I’m 68 or 70. That’s way too many years sitting at a desk. I plan more of a “downshift” to part time employment than true retirement, at least until SS kicks in.

House in low COLA will be paid for and kids will be out of college. No expensive hobbies.
I am partnered after a divorce and hope to remain partnered but marriage might not be on the table.

I started my career late after being SAHM and my savings got hit pretty hard in the tumultuous period after my divorce, but things are stable, if challenging, now. But I only have about 100k in TSP at age 43 and I can only put 10% in now, and don’t anticipate being able to amp that up unless my partner and I move in together or once my kids go to college and I move to low COLA. I will be 54 when my youngest completes college.

You need some perspective. Most of us have been working “at a desk” since they were 22, so by 60 they will have worked 38 years.

You and the luxury to SAH and not enter the regular workforce until you were 38. I’m sorry for your divorce, but you seem anxious to quit when you’ve barely been working 5 years.

Appreciate the time you did have to spend with your kids and not have to do the working parent grind, and I would work at least to 62 but honestly going to 67 and getting full SS should hardly be a hardship as that will still be less than 30 years in the workforce (plus whatever you did before kids).

I would address why you hate your job, maybe look for a different role. In my office people routinely work till 70, but we all believe in our mission, the work is cool, and our team is generally very cooperative. What is wrong where you are now? Do you have ADHD or something that makes sitting still difficult?

I actually love my work and the people I am working with. I am just noticing the creeping effect on my health that sitting at a desk for 9 hours a day is having on my health. No amount of ergonomics is going to change that.

Maybe a standing desk will? I had a couple of coworkers (federal ees) who were able to get standing desks provided to them.

Actually, thanks for the reminder. My ancient desk is breaking down and I have planned to replace it with adjustable standing desk. I guess now is the time.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:I will only have 22 years as fed, but there’s no way I’m gonna want to stick around until I’m 68 or 70. That’s way too many years sitting at a desk. I plan more of a “downshift” to part time employment than true retirement, at least until SS kicks in.

House in low COLA will be paid for and kids will be out of college. No expensive hobbies.
I am partnered after a divorce and hope to remain partnered but marriage might not be on the table.

I started my career late after being SAHM and my savings got hit pretty hard in the tumultuous period after my divorce, but things are stable, if challenging, now. But I only have about 100k in TSP at age 43 and I can only put 10% in now, and don’t anticipate being able to amp that up unless my partner and I move in together or once my kids go to college and I move to low COLA. I will be 54 when my youngest completes college.

You need some perspective. Most of us have been working “at a desk” since they were 22, so by 60 they will have worked 38 years.

You and the luxury to SAH and not enter the regular workforce until you were 38. I’m sorry for your divorce, but you seem anxious to quit when you’ve barely been working 5 years.

Appreciate the time you did have to spend with your kids and not have to do the working parent grind, and I would work at least to 62 but honestly going to 67 and getting full SS should hardly be a hardship as that will still be less than 30 years in the workforce (plus whatever you did before kids).

I would address why you hate your job, maybe look for a different role. In my office people routinely work till 70, but we all believe in our mission, the work is cool, and our team is generally very cooperative. What is wrong where you are now? Do you have ADHD or something that makes sitting still difficult?

I actually love my work and the people I am working with. I am just noticing the creeping effect on my health that sitting at a desk for 9 hours a day is having on my health. No amount of ergonomics is going to change that.

I noticed the same things--this is what I do: Amplify my walking pre-work (jog in place while waiting for coffee, take a quick walk outside, park far away, take the stairs). During my work I set a half hour timer and stand up and walk somewhere for a minute on the half hour and then up and down the steps for 3 mins on the hour. At first I found this disruptive to my thinking, but I quickly got used to it. I found it embarrassing at first, but really have gotten either no notice, positive comments or people who say I should do that too and join me. I walk somewhere outside to eat the lunch I bring to work. Even though that 10k steps a day thing is made up, I just make sure I hit at least 7.5k steps a day on week days. I formally work out 3-4 days a week with more intensive aerobics/weight training.

If you're noticing health effects now, you need to change it now--not hope that retiring a few years early will solve it.