Stoplight's Retirement Story (FERS, Gap in Service, Military Buy-Back)

Stoplight, just spent an extend lunch reading the entire thread! Thanks to you, and all those that contributed.
Without going into too much of my current and upcoming adventure, you touched on something that I questioned the HR rep handling my package. It was submitted by mail OCT 23, received a call from HR notifying they had received it Nov 5. Today, over the phone she provided annuity estimates, which brought up the question of the taxable portion of the annuity. Seems about the only way to use that data in a calculator is by using what is reported on the 1099G, or in your case, your final paperwork calculations. My retirement will be handled a bit differently, hoping the frustration of dealing with OPM is much less. My military payback is on my LES, which they confirmed, they have my marriage certificate, even a letter from the county making my son a Deputy for a Day to document how the ceremony was performed. They do ask that! No breaks in service, 29years, 8 months same NAVAIR DOD local. With respect to the TSP, overnight USPS express mail, signature required only. Otherwise, well, you documented the story pretty well;). Pretty lame for a supposedly official government retirement function that limits trades between accounts to some unrealistic minimum. Then, no need to rehash that here;).

Anyone interested in the accommodation process, being lowered to a despicable person in everyone's eyes, the hurtles of obtaining physicians and supervisors statements might find it interesting to read a bit when I get a chance to put it up. This has been over a 3 year process since back surgery, and most recently 6 months ago, a TKR.

Congrats on the new lifestyle!
 
From another nnuut I hope your retirement processing goes smoothly Rustynutt, patience will be required.
 
Sounds like your plan is working so far.

I must admit that once I made up my mind to retire it got a bit scary. Now almost 6 months into retirement it was one of the best things I have done. The wife and I have a cruise planned next March with the daughters and the son-in-laws. I hope and pray for a strong body and a sound mind for many more years.

Stoplight, good luck.

Thanks, Nasa...and I hear what you're saying !

Making the decision to retire was scary to me, too...it's a "Major Life Event"...kinda my own personal "fiscal cliff" :) However, like you, I have NO regrets !

Enjoy that cruise !!!

Stoplight...
 
Congrats to the both of you. The personal experiences you've documented here on TSPTalk gives me confidence that my wife and I will be fine when I pull the plug one day ... in the not too distant future. I'm happy for you both. Keep sharing and may you be blessed with good fortune.

Khotso,

I won't speak for Nasa, but I'm glad you got some use out of my thread ! As noted above, retirement CAN be somewhat scary, so if my thread has given you a few things to watch out for, and has boosted your confidence, then it's been worthwhile for me !

Many thanks for the well-wishes, too...I hope, when you and the Wife DO decide to pull the plug, that all goes well !

Best Wishes !!!

Stoplight...
 
Long time no see nnuut! Stoplight's thread really got my attention. Good stuff!

WOW, Rusty ! That's quite a compliment, and I appreciate your posts !

I'm hoping that, by documenting the questions, and pitfalls, I've had, it will help others...sounds like you got some useful info from me and other posters to the thread re: taxes, paperwork, etc...that's great !

You really should consider starting a retirement thread based on YOUR experiences...sounds like you have several other "wrinkles" that are affecting you, that others who come after, may benefit from !

Best Wishes as you continue down the path !

Stoplight...
 
Stoplight, just spent an extend lunch reading the entire thread! Thanks to you, and all those that contributed.
Without going into too much of my current and upcoming adventure, you touched on something that I questioned the HR rep handling my package. It was submitted by mail OCT 23, received a call from HR notifying they had received it Nov 5. Today, over the phone she provided annuity estimates, which brought up the question of the taxable portion of the annuity. Seems about the only way to use that data in a calculator is by using what is reported on the 1099G, or in your case, your final paperwork calculations. My retirement will be handled a bit differently, hoping the frustration of dealing with OPM is much less. My military payback is on my LES, which they confirmed, they have my marriage certificate, even a letter from the county making my son a Deputy for a Day to document how the ceremony was performed. They do ask that! No breaks in service, 29years, 8 months same NAVAIR DOD local. With respect to the TSP, overnight USPS express mail, signature required only. Otherwise, well, you documented the story pretty well;). Pretty lame for a supposedly official government retirement function that limits trades between accounts to some unrealistic minimum. Then, no need to rehash that here;).

Anyone interested in the accommodation process, being lowered to a despicable person in everyone's eyes, the hurtles of obtaining physicians and supervisors statements might find it interesting to read a bit when I get a chance to put it up. This has been over a 3 year process since back surgery, and most recently 6 months ago, a TKR.

Congrats on the new lifestyle!


Rustynutt.
I retired 8/31/12 and my annuity was finalized in two months, it would have been even sooner if HR(my agency's HR is horrible) hadnt delayed my retirement papers going to OPM.

If you want to possibly speed up the retirement process, once OPM recds retirement package from your agency and you recd CSA number assignment....... email kenneth.zawodnyjr@opm.gov. Kenneth at OPM is the man............. I was able to deposit my annual leave lump into savings and not have to tap into it.

Right now I dont need to hit my tsp but cannot save anything either. Unfortunately I did not go to cash before election day because I believe all the crap saying Mitt was going to win. I am thinking about using one of these paid services again.

bj
 
... The second item : Today, I completed and faxed my FULL withdrawal form to the TSP (via a "real" fax machine, at Office Depot...I learned my lesson !) I'll start THAT clock ticking, and report on my results here.

Stoplight...

Status Report

I posted the above on 9 Nov, the day I faxed my full withdrawal paperwork to TSP. On 13 Nov (after the holiday), I had another "Message Alert" in my "Withdrawals" section of the TSP web site, saying my full withdrawal app was "under review".

Today (16 Nov), I had an alert posted this afternoon that says my full withdrawal request should be processed on 19 Nov, and that I can cancel it before noon, that day. The rest of the info is correct this time...how much the monthly amount is, and where it's going !!! I guess I won't need to resubmit this paperwork several times, like the partial withdrawal :)

At this point, I don't know if the first EFT to my checking account will occur on the 19th, or if there will be a lag between that date, and the money showing up...will post my results.

No complaints on the timing of TSP processing my paperwork...10 days from app to disbursement (hopefully !) ain't too shabby !

Assuming the deposit shows up on the 19th or 20th, I WISH I could say I planned it that way :D That'll be perfect, cause my credit card bill comes due about that time...we use the card a lot to earn reward points, etc., but pay it off each month. The rest of our current pension income all comes in at the end of the month/beginning of next month. It's no big deal, but from a "cash flow" point of view, that would work out well !

Stoplight...
 
Status Report

Today (16 Nov), I had an alert posted this afternoon that says my full withdrawal request should be processed on 19 Nov, and that I can cancel it before noon, that day.

At this point, I don't know if the first EFT to my checking account will occur on the 19th, or if there will be a lag between that date, and the money showing up...will post my results.

Stoplight...

Well, the TSP deducted my first monthly payment of my "full withdrawal" at COB 20 Nov prices...took it proportionally from my G and C funds. Today (23 Nov), my bank is showing a "pending EFT" for the correct total amount.

Again...I can't complain about the time it took them to get me the money...the "Alert" on the web page said it would be 3-5 "business days" for the EFT to show up...even with the Thanksgiving day holiday, they got it done quickly ! I was expecting it next week sometime.

They also already posted a PDF of the snail mail, dated 20 Nov, that breaks down the gross disbursement and the taxes withheld (20%). As I knew, it also reminds me that I can change the amount once a year, in January...I may take advantage of that, depending on how my allocation of my remaining balance in the TSP does each year.

I guess this pretty much ends the "story" of my Retirement Journey !!! There's nothing left dangling that could screw up my "Plan" too much ! If I don't have any major upheavals, I'll sit back, enjoy my retirement, and check this thread every now and then, to see if anyone has any questions or comments ! :)

Thanks to ALL who have contributed their experiences, knowledge, and best wishes to my Journey...all y'all are the BEST !!!


Stoplight...
 
Just a quick check-in on my retirement thread :D

FYI...TSP processed my 2nd monthly withdrawal from my remaining TSP balance on 19 Dec, via EFT...USAA credited my checking account on 21 Dec. That whole process seems to be working correctly.

I also received a letter from OPM, about a month ago, about signing up for the Long Term Health Care coverage. That's probably something the Wife and I will look in to as we get a little older...

Best Wishes to everyone for a healthy and prosperous 2013 !!!


Stoplight...
 
Hello, All !

Just passing through...nothing earth-shattering to report ! :)

It's time to start doing taxes...just thought I'd drop some notes about my experiences on THAT subject !!!

First comment is...I can't believe the number of tax-related forms you get when you retire/move around investments ! I THINK I have 'em all now, but I'm not positive !

Can someone explain to me why it's important to report the tax-free rollovers, from my TSP and the Wife's 403(b)'s, to our IRA's ? What difference does it make to the IRS ? They're all tax-free !!! They DID get their 20% share of distributions...

Just wondering...

Best wishes to ALL for 2013 !

Stoplight...
 
Hmmmmm...

Well, my monthly TSP withdrawal posted at COB yesterday, so I effectively "withdrew" an additional 1.8%, since I'm in "S"

Ah, well...that's one of those things I have absolutely NO control over, so I'm not gonna fret it.
It could be worse....I could still be working :nuts:

Still haven't started my taxes, either...maybe today !


Stoplight....
 
Hmmmmm...

Still haven't started my taxes, either...maybe today !


Stoplight....

Geez ! Did I actually say that 2 months ago ??? Well, when you're retired, you kinda lose a sense of time like you have when you're working...

So, I did get my taxes in. I had all my forms, and all my tax withholdings checked out with my numbers, so that's a GOOD thing ! Should get some money back, but not TOO much...

The BAD thing was...I use TaxAct online to file, and it was a TOTAL PITA to enter my W-2 (from my last few months working), 3 1099's for the Wife and my rollovers, 1 1099 for my TSP monthly withdrawals, and 3 1099's for my Wife's 2 pensions and my Fed pension !!!

Next year won't be near as bad...just the pensions and the TSP withdrawal.


Hope everyone's investments are bringing you good returns !


Stoplight...
 
Geez ! Did I actually say that 2 months ago ??? Well, when you're retired, you kinda lose a sense of time like you have when you're working...

So, I did get my taxes in. I had all my forms, and all my tax withholdings checked out with my numbers, so that's a GOOD thing ! Should get some money back, but not TOO much...

The BAD thing was...I use TaxAct online to file, and it was a TOTAL PITA to enter my W-2 (from my last few months working), 3 1099's for the Wife and my rollovers, 1 1099 for my TSP monthly withdrawals, and 3 1099's for my Wife's 2 pensions and my Fed pension !!!

Next year won't be near as bad...just the pensions and the TSP withdrawal.


Hope everyone's investments are bringing you good returns !


Stoplight...

Stoplight, glad to hear you got it all done. My taxes took a little less time than you. At least you spent less time doing your taxes than I did a few years ago doing FAFSA forms for my daughters. :rolleyes:

Other than the tax fiasco it sounds like retirement is treating you well. Enjoy.
 
Stoplight, glad to hear you got it all done. My taxes took a little less time than you. At least you spent less time doing your taxes than I did a few years ago doing FAFSA forms for my daughters. :rolleyes:

Other than the tax fiasco it sounds like retirement is treating you well. Enjoy.

Thanks for stopping by, Nasa ! Hope retirement is treating you well, too...hard to believe we're coming up on our 1 year "anniversary", isn't it ??? :nuts:

My "finances" are working out okay...we knew this year was going to be the tight one, and we had an unplanned expense, when we chipped in to a relative's college tuition, but I haven't had to touch the IRA's yet, and my investments are staying ahead of my withdrawals in the "Big Picture" (so far !).

I've been using TaxAct for my taxes the last few years...never liked TurboTax, 'cause the numbers it pulled out of Quicken never matched the W-2's or other forms. It was funny...TaxAct kept warning me about having withdrawals from my TSP, but being younger than 59 1/2...said I would be penalized, until I found the button that told it I was a Fed :D

Best Wishes to You and your Family !


Stoplight...
 
Hard to believe it will be a year May 3rd. We are doing well. My wife is finally off unemployment and is working part time and I am still at Best Buy part time. This October will be 10 years at BBY. We have been on two cruises since I retired and we are booked for two more this October. Hoping not to touch my TSP until I need to or age 70 whichever comes first. Sounds like your year has gone by quick. Stay healthy and enjoy.

Marty
 
Hard to believe it will be a year May 3rd. We are doing well. My wife is finally off unemployment and is working part time and I am still at Best Buy part time. This October will be 10 years at BBY. We have been on two cruises since I retired and we are booked for two more this October. Hoping not to touch my TSP until I need to or age 70 whichever comes first. Sounds like your year has gone by quick. Stay healthy and enjoy.

Marty

Dang, Marty !!! You've been at BBuy for 10 years ? I never was in a PERMANENT full-time position with the Feds that long :D

In my retirement, the consulting engineer stuff I thought I might do is not working out...with the sequester, the DOD Construction in my area has dried up...OTOH, I have an option to start teaching some basic stuff from my earlier career, but I don't need the money at this point, and I just can't get motivated to going back to work !

ALSO, ...the Wife is building a base of customers for her hobby...making jewelry ! She's good at it, and starting to meet expenses...We're taking a Small Business Development Class Wednesday to see what we need to think about as she expands her reach !

Haven't signed up for as many cruises as YOU have, but we're still on track in OUR retirement !!!

Best of luck to you !


Dean...
 
WOW ! So I've turned 58 years old, and I've been retired 1 year !!! Hard to believe..."time flies" !!!

So far, the finances are working out good...this year (2013), I had predicted, would be our toughest year...yet, we're keeping our head above water so far, even WITH putting some $$$ to keep our Grand-Niece in college ! She's a Good Kid...goes to school near us, so we provide her a "home-away-from-home" on some weekends, and she and her 20-something Friends keep us "young" ! :D

My construction consulting idea has gone nowhere...just look at today's construction numbers, and see how the Federal construction contracts have dried up :nuts: The Wife's hobby is taking hold, though, so we have a few unexpected bucks coming in...

BTW, the small business development class we took was pretty worthless for us...it was designed for younger people, thinking about starting a bricks-and-mortar, for-profit business...

I'm spending my time focusing on our investments...so far, overall, I've kept ahead of our withdrawals from my remaining TSP balance.

We've also started 1 "bucket list" item...I've ALWAYS been intrigued (and jealous !) of people who can speak 2 (or more !) languages...my 2 years of high school German actually helped us out on a vacation in Germany, in 1995 ! It's embarrassing that Americans expect everyone else to understand OUR language... Sooo...we "invested" in a "Rosetta Stone" language software package, and we're gonna work on learning some Spanish ! :D

Boring life ? Perhaps ! But I never hear an alarm clock anymore, and that works for us !!!


Stoplight...
 
Good for you, Stoplight. I didn't notice you before, and you've been on here longer -- a few more years -- than I have-- I think because you did not post a lot, but I'm glad you are enjoying your retirement and broadening your horizons now that your time is your own! Best wishes for success in your endeavors. I have not written here in a few months because I have been busy. I in fact retired Dec.31 (!) at age 65 and wife will probably retire a year from now at age 62, we pretty much have our ducks in a row, helping out the younger daughter get established in life; the older one is doing very well in her work, good for her, and we march on. I will start a thread on my ret. story in a bit. Regards, Polarbear
 
Good for you, Stoplight. I didn't notice you before, and you've been on here longer -- a few more years -- than I have-- I think because you did not post a lot, but I'm glad you are enjoying your retirement and broadening your horizons now that your time is your own! Best wishes for success in your endeavors. I have not written here in a few months because I have been busy. I in fact retired Dec.31 (!) at age 65 and wife will probably retire a year from now at age 62, we pretty much have our ducks in a row, helping out the younger daughter get established in life; the older one is doing very well in her work, good for her, and we march on. I will start a thread on my ret. story in a bit. Regards, Polarbear

Polarbear,

Thanks so much for stopping by my thread, and even MORE for the well-wishes !!

Yes, I've been around TSPTalk for a while, but never did post much, until recently. I think I still have an account thread around here somewhere ;)

Congrats on YOUR retirement, and the Wife's pending retirement...Is she a Fed, as well ? My Wife turns 62 in 2014, so we'll start pulling her Social Security. I'll turn 59 1/2 late in 2014, so I'll be able to tap my (former TSP) IRA without penalty after that. So far, we haven't touched hers, either, even with helping the Grand-Niece...glad we just don't have expensive tastes ! We cashed in some old, small life insurance policies we've had laying around, while maintaining enough to plant us in the ground when either of us goes...those few extra bucks are keeping us ahead this year. We have 1 more to surrender, and that should be more than enough to carry us over to next year.

In my original "Plan", I intended to start drawing MY SS when I turned 62, but the way things are going, I'm starting to think we'll have to give that some thought, and maybe delay that, and get the larger amount later. It gets complicated, though, by the fact that I lose the FERS annuity supplement at age 62, REGARDLESS if I choose to take SS or not ! Decisions, decisions...

OTOH, we just found out about needing an unexpected MAJOR "home improvement" now, so that's causing me to re-think how to pay for it :mad: I developed a "plan" for that, though :)

Speaking of the FERS annuity supplement : I recently received a letter from OPM, containing the "annual survey" to report any income I earned in 2012, AFTER my retirement. This relates to the fact that the supplement is subject to an earnings test, like SS...the good news is, if you had no earnings (like I didn't !), you can throw the survey in the trash. It's no big deal, though...they just ask you for the amount (dollars and cents). It IS filled with dire warnings about how they'll be cross-checking with the records at the SSA, to make sure you don't "cheat" ! :D

Hope everyone's investments are making them money !!!

Stoplight...
 
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