Issues for Boomers: can you afford to retire?

[OKNancy]

There was some discussion already about this, but tell us what you think or your own story.

It looks like health insurance is a huge obstacle in choosing to retire.

[Turbineguy]

1. Working part-time as independent contractor

you get to deduct all health insurance premiums off the top.

[Speck Tater]

2. I retired four years ago with virtually nothing in the bank.

I had the good fortune, however, to own my home and property outright, so that is what has made it possible for me to live very comfortably on Social Security and Medicare alone.

If I hadn't managed to pay off my home long before retiring I'd be in a world of hurt about now. I guess I'm just lucky that I hate moving, so I stayed in one place for a very long time.

[proud2BlibKansan]

3. Not really

I wouldn't starve but my health insurance would be $600 per month more than I pay while still employed. So I keep working.

[SheilaT]

14. But once you are on Medicare it will

be very different, yes?

[proud2BlibKansan]

16. Yes but that's a long time after I retire

I plan on retiring before I'm 65.

[SheilaT]

17. In which case you are retiring

very early. I'm guessing that the school system doesn't have health care benefits for early retirees. Alas, that's one of the disappearing benefits of recent years. My sister, who works in DC for an umbrella organization for unions had to postpone retirement when her outfit suddenly cancelled health care benefits for retirees several years ago.

Most of us need to wait until Medicare to retire.

[otohara]

4. Nope

Plus, we just got news of a devastating downgrade to our health insurance - if one of us got sick and had to go to the hospital now, our savings could be wiped out due to the outrageous costs of hospital care. My friend who had a minor stroke went to the emergency room, had a few tests to confirm if it was a stroke and it cost $30,000. He's now facing foreclosure for one hospital visit.

This is the crisis that many boomers will face as we age and get sick.

[BiggJawn]

5. No.

I hear that company insurance for retirees is about $600 a month, which is-Surprise!-about how much my pension will be.
Add to that the $1100 a month(if the GOP doesn't completely fuck things up) I'll get from social security and it just ain't gonna happen.
Right now, if I can last until I'm 70, the SS benefit will be more than my paycheck. But that's a long ways off, and I'm not getting any healthier.

[LiberalEsto]

6. No, but I've been unemployed for 3 years so it's a moot issue for me

Fortunately my husband has a job.

Unfortunately we're paying over $700 a month on our kids' student loans so there is nothing left to save for retirement.

[SheilaT]

15. Can't the kids pay their own loans?

[LiberalEsto]

18. I wish they could!

Both of them developed mental health issues while in college, and neither one graduated. Each one dropped out of several colleges.
The older one barely scrapes by as a live-in nanny.
The younger one hasn't worked for several years. She's been taking classes to get her associates at a community college, but keeps dropping out because of severe anxiety disorder.

It's been frustrating, but I'm sure there are other folks who have worse problems with their kids.

[annabanana]

19. I have some similar issues with the kids.

I have the feeling that these young-adult phychological/emotional issues are MUCH more common than they used to be.

I reject the "common wisdom" that our "over-acknowledged, spoild", kids are just having a generational temper tantrum.

I am apt to look at environmental deterioration.

I suspect the same cause in the huge spike in allergies in the Millenial Generation.

[LiberalEsto]

20. absolutely agree

Hi annabanana,

I think you're right about environmental deterioration, as well as exposure to all kinds of food dyes and chemicals that our ancestors never encountered in their lifetimes.

When my younger daughter was in second elementary school, the grade ahead of hers had an inordinate number of kids with ADD. These were all kids who were born in 1985. Out of about 75 kids, 28 in that grade had a diagnoses of ADD, and you could see it in their behavior. The third grade teachers were grateful to get the quieter born-in-1986 kids the following year. What was going on with that age group, I wonder.

I grew up in the 1950s-60s and I can't remember any classmates with ADD behavior. Or food allergies. My older daughter is severely allergic to all nuts, including peanuts. Sometimes she becomes temporarily allergic to eggplant and tomatoes; so does her sister. Other times they're both fine with those foods.

Two of my friends also have problems with adult children who can't figure out what to do with their lives. Part of it is the economy, with the future so uncertain. All the parents are college-educated. It's sad.

[SheilaT]

7. I'm going to be okay.

Because I got vested in Social Security back in the 1970's, and because I'm currently working part time, when I do start collecting SS (probably in about three years when I turn 66), my SS check will be greater than my paycheck. I will also get a tiny (about $100/month) from my old airline job.

I hope to keep my current part time job at a hospital until I'm 70, although any time after Medicare kicks in will actually be just fine. The health benefits seem to be quite good, although I do like to say I have the Republican Health Care Plan -- I don't get sick. So I don't really know if it would be adequate in the face of some huge health crisis.

Two years ago I tripped and fell in my own driveway and broke my right arm, a non-displaced hairline fracture of the ulna. A few weeks ago I got a check for $35.00 from the hospital. Turns out I'd been charged (and paid) for one of the follow-up visits or x-rays that I shouldn't have been charged for, and just now got the money back.

I do also have additional savings that should tide me over.

[shanti]

8. i am retired

from the state of CA and am 56, and do realize i am not in the norm. it's been almost a year now - i retired at the end of December 2010. did it at the earliest possible age as i couldn't take a minute more of my work environment/boss. i enjoyed my actual job, but since boss wasn't going anywhere anytime soon, i said adios. although it took longer than expected to finally top out in my career position after 21 years, i feel so grateful that i was able to do so, and at a relatively decent salary for someone without a BA (i do have 3 years of college although i didn't graduate).

my pension includes medical/dental/vision coverage too, extremely grateful for that!. although, the amount is not a lot, my needs are not many, and things are going well. next may, i will get a small COLA too, and when I turn 62, i'm taking early SS.

i've always felt that i was in the right place, right time. also, my first position with the state put me with a great mentor, who gave me tips on retirement, best departments for women, etc.

now, if i could just find a husband!

[sinkingfeeling]

9. Almost there.

I worked 30 years for IBM and began to draw my pension from them in 2003. I am currently into my 10th. year with the university. I will probably retire in Jan. 2013 at the age of 64 1/2. That doesn't 'ding' my SS benefit by much and I can be covered by one of my ex-employers benefit programs (I will be paying about $250/month) for my health coverage until Medicare (if it doesn't become 'means tested' or something).

I will then have my IBM pension, my university 403K savings, and SS to live on. Europe here I come!

[NRaleighLiberal]

10. Perhaps - we are trying to figure that out right now.

nearly 56, booted out of corporate (but there long enough for health coverage, about 400 per month - and my tiny pension due to a merger situation is about 400 - so a lucky wash).

Just finished a 21 month consulting contract - deciding whether to go back in/seek in that area, or take a complete change in direction.

If my wife and I can limit our total spending to 50K per year, we may be OK (of course, depends on value of IRA when we turn 59 1/2, what SS will look like). Big concern is the unexpected family emergency - so no contingency at all.

But for six months we've got the spending tracking spreadsheet set up, monthly ING acct target balance, looking at the variance.

Though the 25 years in the corporate world had some ups and some big downs, it put us in reasonable shape, for which we are really thankful.

[Howler]

11. retirement is lookin pretty distant for us.

We live in an historical district and have pretty small morgage payments but this house needs a whole lotta work. Sigh.
We just had a new roof put on but the water damage to the upstairs room ceiling is really bad.And of course we are tapped out from the roof.Also the back part of the house foundation is sinking,and a myriad of other problems with the property. Needs to much work to sell so we are muddleing through.

[Generic Brad]

12. Not yet

But I am getting there.

[bikebloke]

13. If I move to another country, perhaps in Soth America.

And if they don't hand our SS over to the plutonomy. And if I could ever earn some interest on my savings.

Otherwise, see you all under the bridge.

[MrYikes]

21. I retired last year

and I like it, but I am here.

[FOBS]

22. Retired and never looked back

I retired 2 years ago this Thursday at 54 years old and have never been happier.

I returned to school for a degree in geology and am having a great time launching into a new career.

My wife retired 6 years ago ( she worked in the forestry field ) and has opened a woolen mill in the local area and is the happiest I've ever seen her.

I did 34 years in a large West Coast fire dept, I was fortunate to have the job and even more fortunate to have earned my retirement.

The pension is good, it is fixed with no increases, but we planned for this and will be comfortable in the coming years.

None of our good fortune came easy, benefits, salary, and working conditions improved over the years enabling me to save and plan for our later years.


That is my tale in a nut-shell, I'm a veteran, fireman and damn happy to have had the chance to serve my country and community.

[Paulie]

23. Welcome to DU!

[schmice]

24. Retire? Hahahahahaha

I'm paying off three college educations. Thank God for ACA. Still,.....