Tag: pension
Pension pitfalls
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Pension pitfalls

A friend's active-duty retirement reminded us of the potential surprises & pitfalls of the first pension payment. The first surprise you may encounter is the date of your pension deposit. When you're on active duty you're getting paid on the 1st and the 15th -- although the exact date that the money's in your ...

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USAA: Seven Money Rules to Break
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USAA: Seven Money Rules to Break

A few weeks ago USAA article posted an article on when to break the "money rules". Here's the summary, with my comments in italics: 1. Pay off debt and build an emergency fund before saving for retirement ... ... except when your debt is of the low-rate, tax-reducing variety, such as a mortgage or student loans, and ...

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TSP annuity options
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TSP annuity options

The last post talked about the TSP's withdrawal options, including penalty-free ways to tap into your account before age 59.5. It also includes the TSP's draft of their rules for the 2012 Roth TSP. Before we get into the "how" of a TSP annuity, let's ask "Why?" If you're retired from the military then you ...

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More SBP details
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More SBP details

Let me disrupt the posting schedule for a day with some additional SBP information from Monday's post. One of the book's contributors forwarded me not one but four separate SBP briefs put out by the Air Force Personnel Center. With the gracious permission of Mr. Dan McCullough, who added some clarification slides, ...

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Effect of Inflation on a REDUX Military Pension
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Effect of Inflation on a REDUX Military Pension

Veterans entering the service after July 1986 are eligible to choose between two different retirement systems. The first system, High Three, offers a multiplier of 50% at 20 years of service and raises it 2.5%/year to 75% at 30 years of service. Each year after retiring, the pension is raised by a cost of living ...

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