Fed or non-fed job

[Anonymous]

Anonymous wrote:

Anonymous wrote:I just retired at 57.

They’re in multiple times that I could’ve left and found more enjoyable work.

But now I don’t have to work.

OP needs 13 more years to retire at 57, so won’t be an option.

Correct. Financially regardless of where I work there is no path for me to retire before my 60s.

[Anonymous]

How much 20k is worth really depends on your household income. If your HHI is 500k, the 20k is negligible. If it's 80k, that's a totally different story.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Do you need to work?

If you don't, then go ahead and take the non-fed role.

I would prefer the stability of the fed role, but I need the money.

OP here. I actually see the non-fed role as more stable in these current times, even though I would have said differently prior to this year.

Really need clarity on non Fed job to compare. Corporate type jobs above 50 are VERY unstable. They are first laid off.

Benefits for Feds are meh, so if company is worse, that does reflect stinginess. My BIL is in F500 and they are gold plated.

Many private companies are doing lay offs and many do stack ranking. If the new company does stack ranking, be concerned about a hire to fire role, happens a lot with older workers because they usually have some deficiencies in skills that can be blamed.

It's a state job, not private sector.

State for the win.

[Anonymous]

So this is a fed versus state job, and you’re 50? Basically assume whatever you choose will be your final job till retirement. What do you want to do for the next ten years, OP?

[Anonymous]

Anonymous wrote:So this is a fed versus state job, and you’re 50? Basically assume whatever you choose will be your final job till retirement. What do you want to do for the next ten years, OP?

OP here. That's good framing. From a work/task perspective, the state role. From a financial perspective, the fed role (assuming I can't negotiate everything into the state role). Both matter at this age.

The curveball, of course, being if I lose my fed job due to *waves hands* all this.

[Anonymous]

Anonymous wrote:How much 20k is worth really depends on your household income. If your HHI is 500k, the 20k is negligible. If it's 80k, that's a totally different story.

In between those figures. I'm also the sole breadwinner.

[Anonymous]

State job changes my answer - take it and get two pensions in retirement!

[Anonymous]

Anonymous wrote:

Anonymous wrote:So this is a fed versus state job, and you’re 50? Basically assume whatever you choose will be your final job till retirement. What do you want to do for the next ten years, OP?

OP here. That's good framing. From a work/task perspective, the state role. From a financial perspective, the fed role (assuming I can't negotiate everything into the state role). Both matter at this age.

The curveball, of course, being if I lose my fed job due to *waves hands* all this.

I would stick to the Feds then. You need the money as the breadwinner, kids college perhaps, you’ve got the years towards a pension, higher number of vacation days. You can leave at 60, get your pension and TSP.

You go to the state, you won’t have a Fed pension and will be likely working beyond 60 to earn that state pension.

[Anonymous]

Anonymous wrote:State job changes my answer - take it and get two pensions in retirement!

I would even say state job then come back to feds later on to reset your high 3.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:So this is a fed versus state job, and you’re 50? Basically assume whatever you choose will be your final job till retirement. What do you want to do for the next ten years, OP?

OP here. That's good framing. From a work/task perspective, the state role. From a financial perspective, the fed role (assuming I can't negotiate everything into the state role). Both matter at this age.

The curveball, of course, being if I lose my fed job due to *waves hands* all this.

I would stick to the Feds then. You need the money as the breadwinner, kids college perhaps, you’ve got the years towards a pension, higher number of vacation days. You can leave at 60, get your pension and TSP.

You go to the state, you won’t have a Fed pension and will be likely working beyond 60 to earn that state pension.

Yes, good points. I will still get a fed pension if I were to leave now, just not a full 20+ years. I hate the work I do though. Seems like such a long haul to retirement, but the financial benefits win out.

[Anonymous]

OP let us know what you decide! Good luck!

[Anonymous]

Thank you!

[Anonymous]

Anonymous wrote:

Anonymous wrote:So this is a fed versus state job, and you’re 50? Basically assume whatever you choose will be your final job till retirement. What do you want to do for the next ten years, OP?

OP here. That's good framing. From a work/task perspective, the state role. From a financial perspective, the fed role (assuming I can't negotiate everything into the state role). Both matter at this age.

The curveball, of course, being if I lose my fed job due to *waves hands* all this.

it depends on the state, really. when i worked for the state of maryland, they put 7% in a 403b as a bribe for not electing the pension. if i had selected the pension, i would have had to contribute 7% out of my salary to the pension. you only have go contribute 4.4% to FERS, so that would be an additional 2.6% deduction which will eat into that "raise".

if the additional flexibilities are important to you, though, then it's worth it to try if the commutes are similar. you can always try to return to a fed role later if you really want to.

[Anonymous]

Anonymous wrote:

Anonymous wrote:I would stay put, in one year the big blue wave will hault the insanity, and 2 years later, start the long journey to fixing the hell we've been through over the past year. The retirement and vacation make $20k no where close to worth leaving for, not to mention the best health insurance possible in a world where that is going to sh*t. Stay put

I'm the OP. Yeah I've thought about all of this.

Maybe things will start to return to "normal" in a year, maybe not, but regardless it will be messy and drawn-out. My agency has been demolished and it will take years to rebuild. But I do wonder about being one of those who hang on.

If I were able to negotiate an equivalent amount to my TSP match and banked leave into my compensation package, would you still recommend I stay?

TSP match is literally terrible - if they aren’t offering that, absolutely negotiate and make a decision based on that. Literally - TSP match is NOT a good deal…if private isn’t better than that, I’d not leave.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:I would stay put, in one year the big blue wave will hault the insanity, and 2 years later, start the long journey to fixing the hell we've been through over the past year. The retirement and vacation make $20k no where close to worth leaving for, not to mention the best health insurance possible in a world where that is going to sh*t. Stay put

I'm the OP. Yeah I've thought about all of this.

Maybe things will start to return to "normal" in a year, maybe not, but regardless it will be messy and drawn-out. My agency has been demolished and it will take years to rebuild. But I do wonder about being one of those who hang on.

If I were able to negotiate an equivalent amount to my TSP match and banked leave into my compensation package, would you still recommend I stay?

TSP match is literally terrible - if they aren’t offering that, absolutely negotiate and make a decision based on that. Literally - TSP match is NOT a good deal…if private isn’t better than that, I’d not leave.

OP here. Many workplaces don't offer any kind of 401k match at all, making the TSP match a fabulous deal. The new job doesn't have any kind of 401k match at all. That's a lot of free, tax-advantaged money to leave on the table.