Most Federal Employees make investment decisions on an account-by-account basis. But before you can make good choices for specific investments, it’s important to look at the big picture for retirement investing.
Starting Social Security at age 62? Or anytime before your Full Social Security Age (65-67)? Most Federal Employees are too – but they usually haven’t heard of the three big whammies that come with starting Social Security early. Don’t let these whammies catch you by surprise.
Did you know that your FERS retirement income will have some unique twists and turns? Your retirement income will start, stop and change in ways that simply won’t compute in most financial planning calculators. Find out how your income will change, and what it means for your ‘Gap’.
Imagine you’re retired and living on a fixed income of $5,200/month. But suddenly your income dropped to $3,000/month. What changes would you have to make? Would you be able to stay retired? Who is faced with this situation?
Many times when people consider the VCP annuity, it looks like a viable option. However, there are critical problems with the CSRS VCP annuity that you should know about before you sign on the dotted line.
HSAs (Health Savings Accounts) are special accounts designed to give you a tax deduction for qualified medical expenses. When you use this benefit correctly, you get a tax deduction now and get to use the money tax-free for qualified medical expenses, but it’s not right for everyone.
As a federal employee, you have a number of great benefits. There is one that is often taken for granted but the author says it is actually your greatest benefit as a federal employee.
Federal employees have unique financial planning considerations that most generic financial planning info doesn’t address. Drawing your retirement income timeline will help you see where your retirement income will be coming from and see the gaps you’ll need to anticipate.