Want to retire from Los Angeles Fire and Police Pensions early—that is, before “normal” retirement age? The big challenge—a problem most of us are glad to have— is that we’re living longer. Retire from Los Angeles Fire and Police Pensions in your mid-fifties and you could live 40 years or more in retirement.
For a longer retirement period, you’ll need a larger nest egg than if you retired from Los Angeles Fire and Police Pensions at a later time, yet you’ll have fewer years to build that nest egg. Early retirement from Los Angeles Fire and Police Pensions means smaller monthly Social Security benefits. The same applies to traditional pension plan benefit amounts.
'For a longer retirement period, you’ll need a larger nest egg than if you retired later.' |
If you retire from Los Angeles Fire and Police Pensions early, you may need to replace corporate benefits you lose, such as life insurance and, if you work part-time or on your own during retirement, disability insurance. You also may need to come up with health insurance to cover the gap until you qualify for Medicare at your normal retirement age. Retiring from Los Angeles Fire and Police Pensions before age 59-1/2 also can present a tax problem, since taking money out of your retirement plans may trigger a 10% tax penalty. And you could still have major expenses to fund, such as a mortgage and college.
The challenges of early retirement from Los Angeles Fire and Police Pensions are not just financial, however. What are you going to do all those years? Many financial planners find their retired clients returning to work, often part-time, out of boredom. So although early retirement from Los Angeles Fire and Police Pensions may sound appealing, be sure you’ve thought through the financial and non-financial issues before taking the plunge.
Featured Video
Articles you may find interesting:
- Corporate Employees: 8 Factors When Choosing a Mutual Fund
- Use of Escrow Accounts: Divorce
- Medicare Open Enrollment for Corporate Employees: Cost Changes in 2024!
- Stages of Retirement for Corporate Employees
- 7 Things to Consider Before Leaving Your Company
- How Are Workers Impacted by Inflation & Rising Interest Rates?
- Lump-Sum vs Annuity and Rising Interest Rates
- Internal Revenue Code Section 409A (Governing Nonqualified Deferred Compensation Plans)
- Corporate Employees: Do NOT Believe These 6 Retirement Myths!
- 401K, Social Security, Pension – How to Maximize Your Options
- Have You Looked at Your 401(k) Plan Recently?
- 11 Questions You Should Ask Yourself When Planning for Retirement
- Corporate Employees: 8 Factors When Choosing a Mutual Fund
- Use of Escrow Accounts: Divorce
- Medicare Open Enrollment for Corporate Employees: Cost Changes in 2024!
- Stages of Retirement for Corporate Employees
- 7 Things to Consider Before Leaving Your Company
- How Are Workers Impacted by Inflation & Rising Interest Rates?
- Lump-Sum vs Annuity and Rising Interest Rates
- Internal Revenue Code Section 409A (Governing Nonqualified Deferred Compensation Plans)
- Corporate Employees: Do NOT Believe These 6 Retirement Myths!
- 401K, Social Security, Pension – How to Maximize Your Options
- Have You Looked at Your 401(k) Plan Recently?
- 11 Questions You Should Ask Yourself When Planning for Retirement
For our Los Angeles Fire and Police Pensions clients who would like more info on this topic information about this topic, view our e-book here: https://retirekit.theretirementgroup.com/planning-for-the-stages-of-retirement-e-brochure