Rustynutt
Member
Hi all, been a while.
Short Bio: DOD FERS 29 years 9 months. Exit date Jan 31, 2013 VERA VISP.
First, any members with service time left browsing through these forums, take heed well the advise here! So much experience and knowledge that us regular Joe's just don't have the capacity to understand.
Leaving out the ecstatic feeling the first 20 days or so of not having to drag myself into a less than desirable work situation, and a death in the family 3 months later that left so many of us devastated, come crawling back for some advice
1: Haven't touched funds remaining in the TSP as of yet.
2: Combined with VISP payout, there is a TSP loan balance which will be declared as income for tax year 2013.
3: Tax liability for 2013 will be as great as it was while working throughout 2012.
What was thought to be at least a feasible exit strategy sunk pretty quick when unexpected family burdens arose to help out with cost. I don't feel bad about that at all, most would do anything they could for their parents given the ability to do so.
We managed to set aside enough VISP to cover expenses through next January, when tax wise we can afford to make a withdraw and get back to where we thought we were before the walls came down.
Pretty good with Turbo Timmy's tax tool, and have estimated this and next years tax liability, including withdraw in January that will be taxed in 2014. It's not pretty, not what I really wanted to do, at least the amount required. Needless to say, a new 2014 Corvette is out of the picture. Still, leaves enough for a mobile type log cabin in the PNW, not a real one though. Still, Turbo Tax isn't professional advice, and surely a lot can be missed in circumstances such as this. I've used it since it came out with pretty good results, at least being able to maintain documentation and accounting, but retirement, the first year, is way out of my league.
Guess to the point, I don't think right now the business I need to seek is an investment firm (or go out on my own with "ScottsTrade", but a reliable firm to help bundle this mess up to see where we are at as far as tax indebtedness. There won't be much if at all in this first draw down to offset tax by reinvesting, debt prohibits this. Yes, the debt was suppose to be paid down, but it wasn't, so it's got to be paid, correct?
Kills me to see the gains in the TSP we've missed out on since retirement, garnering a messily $500 interest sitting in the G fund. It's a scary thought to attempt to manage you're own funds, especially if it's all there is.
Looking for a corporate tax business that has a good understanding of TSP and IRS law pertaining to withdraw specifics. Many don't understand the MRA condition on TSP withdraws, as they work primarily in the public sector. One where their employees have a good ear, take kindly to piles of paperwork and explanation. Don't know if "HR Block" is the way to go, or seek a local tax accountant to work through this mountain of paperwork. we are in a very very rural area, the military being the reason the town exist, and while there are some accountants, the pool is shallow, and businesses like HR Block are here only seasonally.
P.S. Don't forget to plan on a hernia surgery for when the honey do's get a little out of hand. Knee replacement worked out great, after the first year or so. If nothing else falls off, will consider myself lucky, at least physically, and martially.
TIA for thoughts and opinions
Rustynutt
Short Bio: DOD FERS 29 years 9 months. Exit date Jan 31, 2013 VERA VISP.
First, any members with service time left browsing through these forums, take heed well the advise here! So much experience and knowledge that us regular Joe's just don't have the capacity to understand.
Leaving out the ecstatic feeling the first 20 days or so of not having to drag myself into a less than desirable work situation, and a death in the family 3 months later that left so many of us devastated, come crawling back for some advice
1: Haven't touched funds remaining in the TSP as of yet.
2: Combined with VISP payout, there is a TSP loan balance which will be declared as income for tax year 2013.
3: Tax liability for 2013 will be as great as it was while working throughout 2012.
What was thought to be at least a feasible exit strategy sunk pretty quick when unexpected family burdens arose to help out with cost. I don't feel bad about that at all, most would do anything they could for their parents given the ability to do so.
We managed to set aside enough VISP to cover expenses through next January, when tax wise we can afford to make a withdraw and get back to where we thought we were before the walls came down.
Pretty good with Turbo Timmy's tax tool, and have estimated this and next years tax liability, including withdraw in January that will be taxed in 2014. It's not pretty, not what I really wanted to do, at least the amount required. Needless to say, a new 2014 Corvette is out of the picture. Still, leaves enough for a mobile type log cabin in the PNW, not a real one though
. Still, Turbo Tax isn't professional advice, and surely a lot can be missed in circumstances such as this. I've used it since it came out with pretty good results, at least being able to maintain documentation and accounting, but retirement, the first year, is way out of my league.Guess to the point, I don't think right now the business I need to seek is an investment firm (or go out on my own with "ScottsTrade", but a reliable firm to help bundle this mess up to see where we are at as far as tax indebtedness. There won't be much if at all in this first draw down to offset tax by reinvesting, debt prohibits this. Yes, the debt was suppose to be paid down, but it wasn't, so it's got to be paid, correct?
Kills me to see the gains in the TSP we've missed out on since retirement, garnering a messily $500 interest sitting in the G fund. It's a scary thought to attempt to manage you're own funds, especially if it's all there is.
Looking for a corporate tax business that has a good understanding of TSP and IRS law pertaining to withdraw specifics. Many don't understand the MRA condition on TSP withdraws, as they work primarily in the public sector. One where their employees have a good ear, take kindly to piles of paperwork and explanation
. Don't know if "HR Block" is the way to go, or seek a local tax accountant to work through this mountain of paperwork. we are in a very very rural area, the military being the reason the town exist, and while there are some accountants, the pool is shallow, and businesses like HR Block are here only seasonally.P.S. Don't forget to plan on a hernia surgery for when the honey do's get a little out of hand. Knee replacement worked out great, after the first year or so. If nothing else falls off, will consider myself lucky, at least physically, and martially
.TIA for thoughts and opinions
Rustynutt
