Recommended allocations after retirement

[SkyPilot]

I made my point to help others here.

No doubt.

 

[pyriel]

I made my point to help others here. If you don't think you need my help, then you know for certain I wasn't speaking to you. I'm not particularly interested in your point anyway, as I don't need any help either.

LOL, you make me laugh... This is a board... Whatever you write here is "free for all" as far as comments are concern. You want to help others but you are not willing to discuss others point of view. This board is about open discussions and collaboration. Essentially, your comment led me to believe that you can't take constructive criticism and unwilling to engage to open discussion on different subject viewpoint.

I hope we are not being grumpy because the market is not doing well...;-)

P

 

[grandma]

There is no substantial downside risk to either the F or G fund held over the long term.

Dropping even just 1% of a little bit, is a lot more substantial than that same 1% for someone who has large amounts, and/or, is still adding to the pot. Does that not change the outlook as to whether the downside risk is `substantial?'

I hope we are not being grumpy because the market is not doing well...;-)

Now, P, can you think of a better reason?? ...course, if we are that way naturally, I guess market's downside wouldn't change it, either !

grandma

 

[airlift]

Can the allocation percentage withdrawal be changed after retirement? That is, if an individual opts to take a 4% yearly withdrawal in monthly payments, but still continues to invest and manage the balance of the TSP funds doing IFT's, is the initial % withdrawal impossible to change at a later time? tia.

 

[SkyPilot]

Can the allocation percentage withdrawal be changed after retirement? That is, if an individual opts to take a 4% yearly withdrawal in monthly payments, but still continues to invest and manage the balance of the TSP funds doing IFT's, is the initial % withdrawal impossible to change at a later time? tia.

I believe it can be changed annually (by Dec. 15) for the upcoming calendar year.

 

[airlift]

Thanks Sky!

 

[airlift]

I would like to ask how Federal Taxes are levied on U.S. Government retirees. Since total income is reduced upon retirement, are the taxes applied as income on both the Retirement amount and the annual TSP withdrawal allocation, or is there some other means testing rule?

 

[Birchtree]

Anything that produces a 1099 will be considered ordinary income and will be taxed in the appropriate bracket. These sums include: annuity payments, TSP withdrawals, social security, savings account interest, any part-time work earnings and simply speaking there is no place to hide. Capital gains and stock dividends can be treated differently providing you have control of your AGI. Now don't forget the Mrs - anything she pulls in will certainly contribute to your AGI. If you can manage to keep your AGI in the 15% bracket your capital gains and qualified dividends will be taxed at 5% - providing the Donkey doesn't gain the White House. It sure takes good planning.

 

[airlift]

Thank you Birch!