How much income will you have when you retire? Here are several tools that will help as you plan your future retirement.
How do you plan for retirement? “I quickly discovered several rules of thumb. One prominent one is that you need 70% of your income but I also found that I might need 110%. Also, I shouldn’t withdraw more than 4% from my investments. These kinds of guides left me with more questions than answers.”
Your retirement annuity, whether you are CSRS or FERS, is determined by your length of service and your high-three salary. Your annuity is calculated by multiplying your high-three salary by a percentage factor that is derived from your length of service.
In calculating a FERS annuity supplement, you will find some years in which a retiree was not in pay status for the entire year. When this happens, the retiree’s salary for the entire year must, by law, be “deemed,” or legally fabricated. How is this done? Here is an explanation.
Discussion of “risk pools” and “call letters” from the Office of Personnel Management (OPM) doesn’t sound very exciting. And, in most years, the issuing of an OPM call letter doesn’t generate much press publicity in the federal community. This year may be different though.
In 2010, there is no income limitation that affects your ability to convert a Traditional IRA to a Roth IRA. This doesn’t mean that you should rush right out and do a conversion. Here are some important factors to consider in order to determine whether a conversion makes sense for you.