MSerfozo Posted February 18 Report Share Posted February 18 You're a casino guy, right? Or is it your wife who always wants to stay at a casino on your epic trips? Anyway, think of it as a bet. But you're betting on how long you expect to live - and draw your SS benefit. If you run the benefit you get at different ages, you'll find that the total amount will be the same at your SS actuarial age. Based on your numbers, that's at about 77.33 years old in Aug 2036. ~$415,000. If you plan to die before then, you should take it ASAP. If you plan to die at around 77, then it doesn't matter. If you plan to live to 90, you should wait - $876,000 vs $928,000. And you should look up the benefit amount if you wait until 70 to receive benefits. It will still be about the same when you're 77, but a huge amount higher at 90. Obviously, you have to draw down your savings for your living expenses, but there are a few advantages to that. If you're not drawing, you can't be taxed on SS if a dream job drops in your lap and you continue to work. Drawing down an IRA or 401(k) will reduce the amount of RMD (Required Minimum Distribution) you'll have to take out at 73 yo. If your die and your wife gets your survivor benefit, she'll get the higher amount. Personally, I'm waiting until 70 to start receiving SS. I'm working part time, when I want to, and supplementing the income with IRA distributions. I plan to still be riding when I'm 90! 1 Quote Link to comment Share on other sites More sharing options...
Tonik Posted February 18 Report Share Posted February 18 31 minutes ago, Tpoppa said: Yes. And if you didn't spend that 45k and instead put it into an index fund for 11 years it would likely grow around 250%. Which extends the break even point even further. My advice is take it right away. My Fidelity guy agrees. Or if I draw down current investments while I wait to get SS I lose the income that money would get me. Quote Link to comment Share on other sites More sharing options...
Tonik Posted February 18 Report Share Posted February 18 31 minutes ago, Tpoppa said: Yes. And if you didn't spend that 45k and instead put it into an index fund for 11 years it would likely grow around 250%. Which extends the break even point even further. My advice is take it right away. My Fidelity guy agrees. Or if I draw down current investments while I wait to get SS I lose the income that money would get me. Quote Link to comment Share on other sites More sharing options...
Tonik Posted February 18 Report Share Posted February 18 29 minutes ago, MSerfozo said: You're a casino guy, right? Or is it your wife who always wants to stay at a casino on your epic trips? It's the wife, although I am betting she will win and I get celebration sex. Quote Link to comment Share on other sites More sharing options...
Tpoppa Posted February 19 Author Report Share Posted February 19 I say take it as soon as possible, adjusting for tax brackets the first year, assuming you retire after age 62. Copied/pasted... Social Security only counts earned income, such as wages or net business income, when calculating benefits. Investment income, such as dividends, interest, and capital gains, is not considered earned income for Social Security purposes. However, you may need to pay income taxes on your investment income. If your total income, including your investment income, is above certain thresholds, you may owe taxes on some of your Social Security benefits. Quote Link to comment Share on other sites More sharing options...
Tonik Posted February 19 Report Share Posted February 19 8 minutes ago, Tpoppa said: If your total income, including your investment income, is above certain thresholds, you may owe taxes on some of your Social Security benefits. Damn it. We will certainly be above the 44k limit I just found with Google. Time for more math. Quote Link to comment Share on other sites More sharing options...
Tpoppa Posted February 19 Author Report Share Posted February 19 The more important question is...what motorcycle should I buy myself for a retirement gift? 99% I'm retiring in March. Quote Link to comment Share on other sites More sharing options...
Tpoppa Posted February 19 Author Report Share Posted February 19 (edited) This is the most comprehensive Federal tax calculator I've found. You can plug in earned income, capital gains, interest, dividends, standard deductions, etc. https://www.aarp.org/money/taxes/1040-tax-calculator/ Edited February 19 by Tpoppa Quote Link to comment Share on other sites More sharing options...
Tonik Posted February 19 Report Share Posted February 19 6 minutes ago, Tpoppa said: The more important question is...what motorcycle should I buy myself for a retirement gift? 99% I'm retiring in March. Goldwing. Quote Link to comment Share on other sites More sharing options...
Tpoppa Posted February 19 Author Report Share Posted February 19 1 minute ago, Tonik said: Goldwing. If I was going to do a lot of 2 up touring, the GW would be at the top of the list. For 1 up I prefer something under 550 lbs. Quote Link to comment Share on other sites More sharing options...
Wahoo Posted February 19 Report Share Posted February 19 (edited) When I retired a little over 5 years ago at age 62 and 2 months, I ran the numbers on taking SS then or waiting until I was 66 and 6 months (my full retirement age). My so-called “break even point” was age 79. Figuring I may not live that long, I started collecting SS immediately and left my very healthy tsp account alone (that’s the federal government version of a 401k) I collect a substantial federal pension and my wife gets a smaller pension from the school (same one as Tonik) five years later, I still haven’t touched a dime in the tsp which continues to increase every month 👍 Edited February 19 by Wahoo Quote Link to comment Share on other sites More sharing options...
Wahoo Posted February 19 Report Share Posted February 19 (edited) 85% of our ss is taxable by the fed but they’ve been talking about eliminating that. Who knows. Would be nice Ohio doesn’t tax SS benefits (regardless of your income level) so that’s a good thing Edited February 19 by Wahoo Quote Link to comment Share on other sites More sharing options...
snot Posted February 19 Report Share Posted February 19 To bad you are not closer to me. I know a guy with a wood shop looking for help. He needs a talent craftsman 10 hours a week. Or at least he was a year ago. He makes carts for competition shooting. 1 Quote Link to comment Share on other sites More sharing options...
Tonik Posted February 19 Report Share Posted February 19 1 hour ago, Tpoppa said: If I was going to do a lot of 2 up touring, the GW would be at the top of the list. For 1 up I prefer something under 550 lbs. Tad heavier than 550 but the 24 FJR is looking pretty good to me for one up. Quote Link to comment Share on other sites More sharing options...
mello dude Posted February 19 Report Share Posted February 19 @Tpoppa - That tax calculator is nice.. .thxz 1 Quote Link to comment Share on other sites More sharing options...
jschaf Posted February 19 Report Share Posted February 19 When I retired last summer, one of the things that I took into serious consideration is that insolvency of Social Security may cause benefits to be reduced in the not too distant future. In the past, I was one of the I'll wait until 70 to collect guys, but a 20% reduction in benefits in say 2033 would extend the "break even" point out to absurdity. I'm definitely in agreement with Tony & his Fidelity guy. Get it while you can. 2 Quote Link to comment Share on other sites More sharing options...
Popular Post Tonik Posted February 21 Popular Post Report Share Posted February 21 It's official. I have informed the company I am retiring the end of April. 4 1 Quote Link to comment Share on other sites More sharing options...
Popular Post Tpoppa Posted February 21 Author Popular Post Report Share Posted February 21 3 hours ago, Tonik said: It's official. I have informed the company I am retiring the end of April. Congratulations! I plan to inform my company next Friday. Tomorrow I'm going to look at a potential retirement gift for myself. 4 1 Quote Link to comment Share on other sites More sharing options...
2talltim Posted February 21 Report Share Posted February 21 4 hours ago, Tonik said: It's official. I have informed the company I am retiring the end of April. 33 minutes ago, Tpoppa said: Congratulations! I plan to inform my company next Friday. Tomorrow I'm going to look at a potential retirement gift for myself. Congratulations Fellas!!!! 1 1 Quote Link to comment Share on other sites More sharing options...
F4iguy Posted February 22 Report Share Posted February 22 On 2/18/2025 at 7:25 PM, Tpoppa said: This is the most comprehensive Federal tax calculator I've found. You can plug in earned income, capital gains, interest, dividends, standard deductions, etc. https://www.aarp.org/money/taxes/1040-tax-calculator/ @Tpoppa does the link only work for members? When I tried it, it sent me to a membership application page. Quote Link to comment Share on other sites More sharing options...
Tpoppa Posted February 23 Author Report Share Posted February 23 20 hours ago, F4iguy said: @Tpoppa does the link only work for members? When I tried it, it sent me to a membership application page. Not sure. It works for me. I am not a member. Quote Link to comment Share on other sites More sharing options...
mello dude Posted February 23 Report Share Posted February 23 9 hours ago, Tpoppa said: Not sure. It works for me. I am not a member. I'm a member but not signed in... looking at the page, it shows not signed in, not a member. Quote Link to comment Share on other sites More sharing options...
motocat12 Posted February 24 Report Share Posted February 24 Wu too https://pitchfork.com/news/wu-tang-clan-announce-final-tour/ Quote Link to comment Share on other sites More sharing options...
Tonik Posted February 24 Report Share Posted February 24 I saw that. And it appears Method Man will be with them this time. If so, I will be there. Probably Detroit as Columbus sucks. Quote Link to comment Share on other sites More sharing options...
Tpoppa Posted March 3 Author Report Share Posted March 3 (edited) I informed my company on Friday that I am leaving effective 3/14. I did give them an option to pay to retain me as a (very) part time consultant for 90 days to ease the transition. 50/50 if I want to stay on as a consultant or just be done. Wheels are in motion. Edited March 3 by Tpoppa 1 3 Quote Link to comment Share on other sites More sharing options...
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