The “I want to retire soon” thread (1 Viewer)

[brun]

At this point there's absolutely no way I'd live in one of those Sun City communities. Maybe my stance will change as I age but I'd rather just live in a smaller house close to a small town's downtown area. I don't need people policing me and all the "rumors" and what not

Like... Del Boca Vista or whatever that was in Seinfeld?

My wife flatly refused to even visit the Sun City near us on HHI. We do have several friends that live there, but she did not want such tight restrictions that their HOA enforces . Margaritaville is also close by and we have heard that is much more relaxed, but do not know anyone that lives there

I don't get it. It's like joining a country club, but everyone lives there and there isn't a golf course.

I'm sure these places are all different but at the place where I know a couple people there's 6-7 golf courses on property.

 

[Desert_Power]

The guy we hired to mow the front yard/pasture spent over and hour talking to us when he came to give us an estimate. On a Sunday morning which is prime mowing time before it gets hot, but, we just sat there chit chatting.

This sounds awful.

 

[Instinctive]

The guy we hired to mow the front yard/pasture spent over and hour talking to us when he came to give us an estimate. On a Sunday morning which is prime mowing time before it gets hot, but, we just sat there chit chatting.

This sounds awful.

I mean as late my as he mows it and it doesnt cost more...

 

[shuke]

HOA can be good or bad depending on local laws and implementation.

They are absolutely needed in locations where zoning laws are weak or non-existent. Nothing like having a million dollar home across the street from a duplex with couches and broken down cars in the front yard.

If they're to police a 55+ community just because they think they know what looks best for everyone's yard you better know what you're signing up for.

A big part is probably that the buildings are only 3 and 5 years old, so the HOA is relatively new. There has already been a bit of turnover, 3 different Presidents in that time. It's more like just a bunch of people trying to keep things going instead of anyone taking things too seriously. I'd imagine long established HOA's might have some people on power trips, which would suck.

I read someplace that moving into this type of community can be like going back to high school, and that was meant in a bad way. Cliques, hall monitors, class president types, etc.

Not worried about it personally because I will not get caught up in that sort of thing, but I'm looking forward to seeing if there's any truth to that. It does actually make sense.

Will there also be keg parties and lots of casual sex? I'm in.

 

[Terminalxylem]

Health is the biggest retirement concern imo. So we’ll do everything in our power to maintain our health.

Agree wholeheartedly. The financial advice in this thread is great, of course, but I think it takes a back-seat to maintaining functionality as we age. Have people set specific health/fitness goals for retirement?

I’m investing in moderate intensity exercise, mostly walking + a smattering of hiking/tennis, 90 minutes a day, plus strength/balance/flexibility training, via rock climbing at least 3 days/week.

Hoping to continue walking indefinitely, and climbing into my 60s. Want to be able to snow ski into my 80s as well.

I’ve also maintained a long-standing goal to keep my weight within 5 pounds of what I weighed in college. A plant-based, lowish fat/protein diet has worked so far, but I’ll liberalize protein over age 65, to preserve muscle.

In theory, none of this should be impacted much by not working. But I wonder how retirement typically influences health and activity level, and how one should factor it into their plans?

 

[-OZ-]

But I wonder how retirement typically influences health and activity level, and how one should factor it into their plans?

From what I see, this totally depends on the person. On Tuesday nights, I ride with my tri club. There are quite a few retirees there including a 70yo I don’t usually keep up with. Dude averaged over 22mph for over an hour this week.

 

[IvanKaramazov]

Health is the biggest retirement concern imo. So we’ll do everything in our power to maintain our health.

Agree wholeheartedly. The financial advice in this thread is great, of course, but I think it takes a back-seat to maintaining functionality as we age. Have people set specific health/fitness goals for retirement?

I’m investing in moderate intensity exercise, mostly walking + a smattering of hiking/tennis, 90 minutes a day, plus strength/balance/flexibility training, via rock climbing at least 3 days/week.

Hoping to continue walking indefinitely, and climbing into my 60s. Want to be able to snow ski into my 80s as well.

I’ve also maintained a long-standing goal to keep my weight within 5 pounds of what I weighed in college. A plant-based, lowish fat/protein diet has worked so far, but I’ll liberalize protein over age 65, to preserve muscle.

In theory, none of this should be impacted much by not working. But I wonder how retirement typically influences health and activity level, and how one should factor it into their plans?

My wife and I are reaching the end of our running days, but our plan for retirement is to at least walk daily, and supplement that with other stuff TBD (think pickleball and other low-key activities).

Her mom and step-dad are both in their 80s, and they've each been sedentary their entire lives. Neither one of them can go up and down stairs without doing the "one stair at a time" thing that toddlers do. That's not going to be us. (Those were the first words out of my wife's mouth when their car pulled out of the driveway the last time they were here).

 

[Gatorade]

Health is the biggest retirement concern imo. So we’ll do everything in our power to maintain our health.

Agree wholeheartedly. The financial advice in this thread is great, of course, but I think it takes a back-seat to maintaining functionality as we age. Have people set specific health/fitness goals for retirement?

I’m investing in moderate intensity exercise, mostly walking + a smattering of hiking/tennis, 90 minutes a day, plus strength/balance/flexibility training, via rock climbing at least 3 days/week.

Hoping to continue walking indefinitely, and climbing into my 60s. Want to be able to snow ski into my 80s as well.

I’ve also maintained a long-standing goal to keep my weight within 5 pounds of what I weighed in college. A plant-based, lowish fat/protein diet has worked so far, but I’ll liberalize protein over age 65, to preserve muscle.

In theory, none of this should be impacted much by not working. But I wonder how retirement typically influences health and activity level, and how one should factor it into their plans?

My wife and I do yoga and walk almost every day. Used to ride bikes, mostly beach cruisers, regularly but haven't been able to recently. Neighborhood has a pool we use sometimes. Another activity we like to include is dancing. It is amazing how much exercise this can give you.

 

[-OZ-]

Her mom and step-dad are both in their 80s, and they've each been sedentary their entire lives. Neither one of them can go up and down stairs without doing the "one stair at a time" thing that toddlers do. That's not going to be us. (Those were the first words out of my wife's mouth when their car pulled out of the driveway the last time they were here).

We say the same thing every time I see my dad. He’s 78 and just recently started being able to use the stairs. He’s had a walker or wheelchair for the past 7 years. Mom is blind and becoming deaf, neither of which are her fault. Luck is ****ty sometimes but we do our best to control what we can.

 

[SFBayDuck]

Great topic. I’ve let my fitness and health get away from me a bit the last couple years (other than walking 1-2 hours every day), but am in the process of changing that. Joined a gym and paid for a handful of personal training sessions to set up a weight lifting program. The whole idea is to make this a habit now that, once I have even more time, I’ll be excited to lean into. I try and squeeze in 30-60 minutes a few times a week now, can’t wait to be able to spend an hour or two most days.

And the above comments on older parents and stairs totally rings true. You’re going to lose muscle mass as you get older, so the best thing you can do is build up more before that really accelerates.

 

[jamny]

Since moving to Boise, I've been a lot better at doing some sort of exercise. I run twice a week for 2 miles, walk once or twice a week for like 5 miles. Hike some of the local trails and we bike along the river path. Just did a 20 mile bike ride yesterday. We also just walk a lot on weekends. I'm now at around 204, aiming to get under 200 for the first time in a long time. I was at my max of 224 back in 2021, so 25 pounds in a little over 3 years and doing it in a way that I'll be able to maintain. My wife has been a gym rat for like 20 years so I try to keep up with her.
They've started building a brand new YMCA only a few blocks from me, so I plan to join when it's done. I'd like to do some swimming in a pool. I keep saying it but hopefully next year I'll get into kayaking. There's a nice lake nearby. I used to have a very physical job before covid doing live events staging, unloading trucks, setting up gear, etc. It always kept me in shape.

 

[Sand]

My wife has been a gym rat for like 20 years so I try to keep up with her.

Yeah, no joke. After a good season of cycling my watch estimates me at 45 VO2max, which is decent on the charts for my age. Got my wife a nice Garmin watch a bit back and I noticed yesterday it estimates hers at 42, which for her age is off the bloody charts.

I feel the need to do more and keep progressing, but am again working 7 days a week and staring out my office window at a blue sky. This **** never ends.

 

[jamny]

My wife has been a gym rat for like 20 years so I try to keep up with her.

Yeah, no joke. After a good season of cycling my watch estimates me at 45 VO2max, which is decent on the charts for my age. Got my wife a nice Garmin watch a bit back and I noticed yesterday it estimates hers at 42, which for her age is off the bloody charts.

I feel the need to do more and keep progressing, but am again working 7 days a week and staring out my office window at a blue sky. This **** never ends.

My wife used to do between 10-15 classes a week at Equinox in NY. The classes are harder to come by here and she only does like 8 a week right now. So that falls on me to go walking and biking with her to make up for it...lol

 

[Judge Smails]

Lots of financial talk in this thread, which is great.... but excuse me while I pivot and discuss the WHERE'S when it comes to retirement.

I know what I want in terms of a "feel" of where I want to be: smaller town with "everything one would need", but close enough to a bigger town in case I want to see a bigger live music act. I also am like 99% sure I want to be in Texas or the South. Call me crazy but I like the heat, can stand humidity, and absolutely love thunderstorms rolling through on a summer afternoon.

And I know this is the "retirement" thread, but I doubt I will ever fully "retire". Once my kids are out of the house and I'm separated/divorced, I am OUT of California. Can't happen soon enough... as much as I know I will miss the holy heck out of my nuggets. So I will need to be somewhere close-ish to a major airport so I can fly for work trips.

Right now I have my sights set on Marble Falls, TX. It's 45 minutes northwest of Austin, and reportedly will be the final stop on their rail line that extends out from Austin on a northwest path. I can probably find a nice little house for under $1MM. I don't need anything fancy. 3 BR would do, that way I could have an office and a guest room for my Mom (God willing she's alive at this point) or one of my kids.

Any other smallish towns in that vein y'all could think of that have rave reviews from residents?

I daydream about this crap way too much

Heat, humidity and thunderstorms. Can I throw in bugs, too? I would call you crazy

 

[PIK95]

I retired in 2009 from the p.o. at 33 years old. Now I am 49, and want to find something fun to do. I really should write a book, but also thinking about following my son and best friend and learimg computer coding stuff. I love being in control of my time, and always want to be the boss whatever I do next.

 

[Terminalxylem]

But I wonder how retirement typically influences health and activity level, and how one should factor it into their plans?

From what I see, this totally depends on the person. On Tuesday nights, I ride with my tri club. There are quite a few retirees there including a 70yo I don’t usually keep up with. Dude averaged over 22mph for over an hour this week.

That’s impressive. No hills or tail wind?

 

[Terminalxylem]

Health is the biggest retirement concern imo. So we’ll do everything in our power to maintain our health.

Agree wholeheartedly. The financial advice in this thread is great, of course, but I think it takes a back-seat to maintaining functionality as we age. Have people set specific health/fitness goals for retirement?

I’m investing in moderate intensity exercise, mostly walking + a smattering of hiking/tennis, 90 minutes a day, plus strength/balance/flexibility training, via rock climbing at least 3 days/week.

Hoping to continue walking indefinitely, and climbing into my 60s. Want to be able to snow ski into my 80s as well.

I’ve also maintained a long-standing goal to keep my weight within 5 pounds of what I weighed in college. A plant-based, lowish fat/protein diet has worked so far, but I’ll liberalize protein over age 65, to preserve muscle.

In theory, none of this should be impacted much by not working. But I wonder how retirement typically influences health and activity level, and how one should factor it into their plans?

My wife and I do yoga and walk almost every day. Used to ride bikes, mostly beach cruisers, regularly but haven't been able to recently. Neighborhood has a pool we use sometimes. Another activity we like to include is dancing. It is amazing how much exercise this can give you.

Yep, my eighty-year-old father-in-law dances twice a week. He met his second wife at the dance hall.

 

[Terminalxylem]

Health is the biggest retirement concern imo. So we’ll do everything in our power to maintain our health.

Agree wholeheartedly. The financial advice in this thread is great, of course, but I think it takes a back-seat to maintaining functionality as we age. Have people set specific health/fitness goals for retirement?

I’m investing in moderate intensity exercise, mostly walking + a smattering of hiking/tennis, 90 minutes a day, plus strength/balance/flexibility training, via rock climbing at least 3 days/week.

Hoping to continue walking indefinitely, and climbing into my 60s. Want to be able to snow ski into my 80s as well.

I’ve also maintained a long-standing goal to keep my weight within 5 pounds of what I weighed in college. A plant-based, lowish fat/protein diet has worked so far, but I’ll liberalize protein over age 65, to preserve muscle.

In theory, none of this should be impacted much by not working. But I wonder how retirement typically influences health and activity level, and how one should factor it into their plans?

My wife and I are reaching the end of our running days, but our plan for retirement is to at least walk daily, and supplement that with other stuff TBD (think pickleball and other low-key activities).

Her mom and step-dad are both in their 80s, and they've each been sedentary their entire lives. Neither one of them can go up and down stairs without doing the "one stair at a time" thing that toddlers do. That's not going to be us. (Those were the first words out of my wife's mouth when their car pulled out of the driveway the last time they were here).

My sister just turned 56.

We’ve talked about going Machu Picchu for years now, and I reminded her on her Birthday. She still wants to go, but clarified “my hiking days are over”.

I know some people choose not to exercise, and others develop medical problems which prevent it, but middle age is far too young to stop being active.

 

[Sand]

From what I see, this totally depends on the person. On Tuesday nights, I ride with my tri club. There are quite a few retirees there including a 70yo I don’t usually keep up with. Dude averaged over 22mph for over an hour this week.

That’s impressive. No hills or tail wind?

This is the Mauna Kea Bike Club. They meet at the Keck every Tuesday.

 

[-OZ-]

But I wonder how retirement typically influences health and activity level, and how one should factor it into their plans?

From what I see, this totally depends on the person. On Tuesday nights, I ride with my tri club. There are quite a few retirees there including a 70yo I don’t usually keep up with. Dude averaged over 22mph for over an hour this week.

That’s impressive. No hills or tail wind?

A couple small hills, mostly flat. 25 miles, 489’ gain. It’s out and back, tail wind to start, head wind to end.

 

[-OZ-]

Health is the biggest retirement concern imo. So we’ll do everything in our power to maintain our health.

Agree wholeheartedly. The financial advice in this thread is great, of course, but I think it takes a back-seat to maintaining functionality as we age. Have people set specific health/fitness goals for retirement?

I’m investing in moderate intensity exercise, mostly walking + a smattering of hiking/tennis, 90 minutes a day, plus strength/balance/flexibility training, via rock climbing at least 3 days/week.

Hoping to continue walking indefinitely, and climbing into my 60s. Want to be able to snow ski into my 80s as well.

I’ve also maintained a long-standing goal to keep my weight within 5 pounds of what I weighed in college. A plant-based, lowish fat/protein diet has worked so far, but I’ll liberalize protein over age 65, to preserve muscle.

In theory, none of this should be impacted much by not working. But I wonder how retirement typically influences health and activity level, and how one should factor it into their plans?

My wife and I are reaching the end of our running days, but our plan for retirement is to at least walk daily, and supplement that with other stuff TBD (think pickleball and other low-key activities).

Her mom and step-dad are both in their 80s, and they've each been sedentary their entire lives. Neither one of them can go up and down stairs without doing the "one stair at a time" thing that toddlers do. That's not going to be us. (Those were the first words out of my wife's mouth when their car pulled out of the driveway the last time they were here).

My sister just turned 56.

We’ve talked about going Machu Picchu for years now, and I reminded her on her Birthday. She still wants to go, but clarified “my hiking days are over”.

I know some people choose not to exercise, and others develop medical problems which prevent it, but middle age is far too young to stop being active.

56 is young.

 

[Terminalxylem]

Health is the biggest retirement concern imo. So we’ll do everything in our power to maintain our health.

Agree wholeheartedly. The financial advice in this thread is great, of course, but I think it takes a back-seat to maintaining functionality as we age. Have people set specific health/fitness goals for retirement?

I’m investing in moderate intensity exercise, mostly walking + a smattering of hiking/tennis, 90 minutes a day, plus strength/balance/flexibility training, via rock climbing at least 3 days/week.

Hoping to continue walking indefinitely, and climbing into my 60s. Want to be able to snow ski into my 80s as well.

I’ve also maintained a long-standing goal to keep my weight within 5 pounds of what I weighed in college. A plant-based, lowish fat/protein diet has worked so far, but I’ll liberalize protein over age 65, to preserve muscle.

In theory, none of this should be impacted much by not working. But I wonder how retirement typically influences health and activity level, and how one should factor it into their plans?

My wife and I are reaching the end of our running days, but our plan for retirement is to at least walk daily, and supplement that with other stuff TBD (think pickleball and other low-key activities).

Her mom and step-dad are both in their 80s, and they've each been sedentary their entire lives. Neither one of them can go up and down stairs without doing the "one stair at a time" thing that toddlers do. That's not going to be us. (Those were the first words out of my wife's mouth when their car pulled out of the driveway the last time they were here).

My sister just turned 56.

We’ve talked about going Machu Picchu for years now, and I reminded her on her Birthday. She still wants to go, but clarified “my hiking days are over”.

I know some people choose not to exercise, and others develop medical problems which prevent it, but middle age is far too young to stop being active.

56 is young.

It should be. But my dad died at 57, mom at 65. Sister may be following in their footsteps.

 

[matttyl]

But I wonder how retirement typically influences health and activity level, and how one should factor it into their plans?

From what I see, this totally depends on the person. On Tuesday nights, I ride with my tri club. There are quite a few retirees there including a 70yo I don’t usually keep up with. Dude averaged over 22mph for over an hour this week.

Plan to keep biking till I’m in the ground. If personal/life plan works out, the last few years before full “retirement” will be spend wrenching on bikes in the local bike shop (either as part time employee, or potentially owner). Hope to continue climbing assuming there is a local climbing gym to go to - it’s also a fairly low impact sport (except for the accidental huge impact).

Financially speaking when it comes to health stuff in retirement, that’s another reason I’m a huge advocate of HSAs. I have retired clients who have nearly 6 figures in their HSAs in retirement. The interest it generates (which is tax free), allows them to pay for their part B and part D premiums with tax free dollars.

 

[gianmarco]

But I wonder how retirement typically influences health and activity level, and how one should factor it into their plans?

From what I see, this totally depends on the person. On Tuesday nights, I ride with my tri club. There are quite a few retirees there including a 70yo I don’t usually keep up with. Dude averaged over 22mph for over an hour this week.

Plan to keep biking till I’m in the ground. If personal/life plan works out, the last few years before full “retirement” will be spend wrenching on bikes in the local bike shop (either as part time employee, or potentially owner). Hope to continue climbing assuming there is a local climbing gym to go to - it’s also a fairly low impact sport (except for the accidental huge impact).

Financially speaking when it comes to health stuff in retirement, that’s another reason I’m a huge advocate of HSAs. I have retired clients who have nearly 6 figures in their HSAs in retirement. The interest it generates (which is tax free), allows them to pay for their part B and part D premiums with tax free dollars.

HSA is arguably the best retirement vehicle. Goes in pre tax, grows tax free, and withdraws tax free. Plus I get an employer contribution each year. Only wish we could contribute more.

We don't touch it now, just contribute. Wish I could have started earlier with it.

 

[-OZ-]

But I wonder how retirement typically influences health and activity level, and how one should factor it into their plans?

From what I see, this totally depends on the person. On Tuesday nights, I ride with my tri club. There are quite a few retirees there including a 70yo I don’t usually keep up with. Dude averaged over 22mph for over an hour this week.

Plan to keep biking till I’m in the ground. If personal/life plan works out, the last few years before full “retirement” will be spend wrenching on bikes in the local bike shop (either as part time employee, or potentially owner). Hope to continue climbing assuming there is a local climbing gym to go to - it’s also a fairly low impact sport (except for the accidental huge impact).

Financially speaking when it comes to health stuff in retirement, that’s another reason I’m a huge advocate of HSAs. I have retired clients who have nearly 6 figures in their HSAs in retirement. The interest it generates (which is tax free), allows them to pay for their part B and part D premiums with tax free dollars.

HSA is arguably the best retirement vehicle. Goes in pre tax, grows tax free, and withdraws tax free. Plus I get an employer contribution each year. Only wish we could contribute more.

We don't touch it now, just contribute. Wish I could have started earlier with it.

It would be great if they increased eligibility to all.

 

[Sand]

But I wonder how retirement typically influences health and activity level, and how one should factor it into their plans?

From what I see, this totally depends on the person. On Tuesday nights, I ride with my tri club. There are quite a few retirees there including a 70yo I don’t usually keep up with. Dude averaged over 22mph for over an hour this week.

Plan to keep biking till I’m in the ground. If personal/life plan works out, the last few years before full “retirement” will be spend wrenching on bikes in the local bike shop (either as part time employee, or potentially owner). Hope to continue climbing assuming there is a local climbing gym to go to - it’s also a fairly low impact sport (except for the accidental huge impact).

Financially speaking when it comes to health stuff in retirement, that’s another reason I’m a huge advocate of HSAs. I have retired clients who have nearly 6 figures in their HSAs in retirement. The interest it generates (which is tax free), allows them to pay for their part B and part D premiums with tax free dollars.

HSA is arguably the best retirement vehicle. Goes in pre tax, grows tax free, and withdraws tax free. Plus I get an employer contribution each year. Only wish we could contribute more.

We don't touch it now, just contribute. Wish I could have started earlier with it.

Same. Stuff the absolute max in every year.

 

[gianmarco]

But I wonder how retirement typically influences health and activity level, and how one should factor it into their plans?

From what I see, this totally depends on the person. On Tuesday nights, I ride with my tri club. There are quite a few retirees there including a 70yo I don’t usually keep up with. Dude averaged over 22mph for over an hour this week.

Plan to keep biking till I’m in the ground. If personal/life plan works out, the last few years before full “retirement” will be spend wrenching on bikes in the local bike shop (either as part time employee, or potentially owner). Hope to continue climbing assuming there is a local climbing gym to go to - it’s also a fairly low impact sport (except for the accidental huge impact).

Financially speaking when it comes to health stuff in retirement, that’s another reason I’m a huge advocate of HSAs. I have retired clients who have nearly 6 figures in their HSAs in retirement. The interest it generates (which is tax free), allows them to pay for their part B and part D premiums with tax free dollars.

HSA is arguably the best retirement vehicle. Goes in pre tax, grows tax free, and withdraws tax free. Plus I get an employer contribution each year. Only wish we could contribute more.

We don't touch it now, just contribute. Wish I could have started earlier with it.

Same. Stuff the absolute max in every year.

Still talking about HSAs?

 

[SFBayDuck]

Still talking about HSAs?

Love the HSA, although I sure don't love the high deductible plans that go with them. My daughter had some allergy labs done recently, bill was $2,400 - and that all had to be paid out of pocket. Her inhalers? Just cost me $740 out of pocket. It seems most years we get right about up to the deductible but don't get past it to where the plan is actually paying anything. So I basically paid a bunch of premiums and got nothing out of it, other than the "opportunity" to fill up an HSA. So it's almost more like auto insurance - it's there if you have an accident or something serious occurs, but most of the time you don't get any benefit.

This year we actually just did hit the deductible (thanks to that lab bill), so we're trying to get as many appointments, tests, etc done by the end of the year as we can to take advantage of the plan covering 80%.

Of course the HSA is designed to be used to cover all those out-of-pocket costs, especially when the employer kicks in a little. But as you said, it's the best retirement account out there if you can invest it and let it ride. But the google sheet tracking all my unreimbursed expenses and the google folder stuffed full of pdf receipts sure has filled up this year!

 

[gianmarco]

Still talking about HSAs?

Love the HSA, although I sure don't love the high deductible plans that go with them. My daughter had some allergy labs done recently, bill was $2,400 - and that all had to be paid out of pocket. Her inhalers? Just cost me $740 out of pocket. It seems most years we get right about up to the deductible but don't get past it to where the plan is actually paying anything. So I basically paid a bunch of premiums and got nothing out of it, other than the "opportunity" to fill up an HSA. So it's almost more like auto insurance - it's there if you have an accident or something serious occurs, but most of the time you don't get any benefit.

This year we actually just did hit the deductible (thanks to that lab bill), so we're trying to get as many appointments, tests, etc done by the end of the year as we can to take advantage of the plan covering 80%.

Of course the HSA is designed to be used to cover all those out-of-pocket costs, especially when the employer kicks in a little. But as you said, it's the best retirement account out there if you can invest it and let it ride. But the google sheet tracking all my unreimbursed expenses and the google folder stuffed full of pdf receipts sure has filled up this year!

Well, obviously every plan and employer and situation is different, but my premiums on the high deductible plan are a good bit lower than every other plan.

When I compare how much I save per month on premiums, it ends up being a wash if I hit max OOP expenses. So, it's a win/win. If I don't hit the OOP max, I'm saving money on premiums. Even if I break even, I'm getting the HSA perk.

I'm curious what your difference in premiums is.

 

[jamny]

Love having an HSA! We've taken a good portion and invested it in various ETF's

btw...I just found out recently that if the older spouse hits Medicare age, you can still contribute the family limit until you both hit 65. My wife is 6 years younger so that will help.

 

[gianmarco]

I just looked:

My choices are:

HDHP
Basic PPO
EPO
POS

Basic PPO I would never consider. Similar deductible and OOP expenses. So, non-starter.

My EPO is about $350/month more. No deductible, but max OOP is still $3000 compared to $6000. But I'm saving $4200 per year on premiums. So, unless my expenses are exactly between $4200-6000 AND I'm not really spending much OOP at all on the EPO, I'm still way ahead.

The POS plan is almost $600/month more expensive. Again, not even an option considering I'm saving $7200 per year on premiums and my max OOP is $6000.

And I get the benefit of the HSA with $1000 free money from my employer to boot.

 

[-OZ-]

I just looked:

My choices are:

HDHP
Basic PPO
EPO
POS

Basic PPO I would never consider. Similar deductible and OOP expenses. So, non-starter.

My EPO is about $350/month more. No deductible, but max OOP is still $3000 compared to $6000. But I'm saving $4200 per year on premiums. So, unless my expenses are exactly between $4200-6000 AND I'm not really spending much OOP at all on the EPO, I'm still way ahead.

The POS plan is almost $600/month more expensive. Again, not even an option considering I'm saving $7200 per year on premiums and my max OOP is $6000.

And I get the benefit of the HSA with $1000 free money from my employer to boot.

I will no longer complain about not having an HSA. You don’t want to hear our costs or deductible.

 

[IvanKaramazov]

Yeah, I slept on our HSA. That's one thing I would do differently if I had it to do over again, but oh well. Water under the bridge.

 

[gianmarco]

I just looked:

My choices are:

HDHP
Basic PPO
EPO
POS

Basic PPO I would never consider. Similar deductible and OOP expenses. So, non-starter.

My EPO is about $350/month more. No deductible, but max OOP is still $3000 compared to $6000. But I'm saving $4200 per year on premiums. So, unless my expenses are exactly between $4200-6000 AND I'm not really spending much OOP at all on the EPO, I'm still way ahead.

The POS plan is almost $600/month more expensive. Again, not even an option considering I'm saving $7200 per year on premiums and my max OOP is $6000.

And I get the benefit of the HSA with $1000 free money from my employer to boot.

I will no longer complain about not having an HSA. You don’t want to hear our costs or deductible.

I realize I didn't actually post my premium. My family premium is $265/month.

 

[matttyl]

Love having an HSA! We've taken a good portion and invested it in various ETF's

btw...I just found out recently that if the older spouse hits Medicare age, you can still contribute the family limit until you both hit 65. My wife is 6 years younger so that will help.

I’m not sure that’s true. Got a link?

While it’s true that you can contribute to your HSA after age 65, you can’t if enrolled in Medicare.

 

[jamny]

Love having an HSA! We've taken a good portion and invested it in various ETF's

btw...I just found out recently that if the older spouse hits Medicare age, you can still contribute the family limit until you both hit 65. My wife is 6 years younger so that will help.

I’m not sure that’s true. Got a link?

While it’s true that you can contribute to your HSA after age 65, you can’t if enrolled in Medicare.

I read it on one of the retire early blogs, but here's another link after searching:
link

Additionally, when married couples have one spouse with HDHP coverage, the other spouse can enroll in Medicare without affecting the HDHP-covered spouse’s HSA eligibility (and if the HDHP covers both spouses, one spouse can still contribute up to the higher family contribution limit even if the other spouse is covered by Medicare and ineligible to contribute to their own HSA).

 

[SFBayDuck]

I just looked:

My choices are:

HDHP
Basic PPO
EPO
POS

Basic PPO I would never consider. Similar deductible and OOP expenses. So, non-starter.

My EPO is about $350/month more. No deductible, but max OOP is still $3000 compared to $6000. But I'm saving $4200 per year on premiums. So, unless my expenses are exactly between $4200-6000 AND I'm not really spending much OOP at all on the EPO, I'm still way ahead.

The POS plan is almost $600/month more expensive. Again, not even an option considering I'm saving $7200 per year on premiums and my max OOP is $6000.

And I get the benefit of the HSA with $1000 free money from my employer to boot.

I will no longer complain about not having an HSA. You don’t want to hear our costs or deductible.

I realize I didn't actually post my premium. My family premium is $265/month.

Yeah I'm sure you're right in that the premium difference is significant enough. Doesn't make the call from my kid telling me her inhaler is $ $740 and CVS literally won't give it to her because they think something is wrong with the insurance any easier.

 

[Peggy]

Love having an HSA! We've taken a good portion and invested it in various ETF's

btw...I just found out recently that if the older spouse hits Medicare age, you can still contribute the family limit until you both hit 65. My wife is 6 years younger so that will help.

You have to still be working though, with an employer insurance that has an HSA, right?

Yeah, I slept on our HSA. That's one thing I would do differently if I had it to do over again, but oh well. Water under the bridge.

Ditto

 

[matttyl]

Love having an HSA! We've taken a good portion and invested it in various ETF's

btw...I just found out recently that if the older spouse hits Medicare age, you can still contribute the family limit until you both hit 65. My wife is 6 years younger so that will help.

I’m not sure that’s true. Got a link?

While it’s true that you can contribute to your HSA after age 65, you can’t if enrolled in Medicare.

I read it on one of the retire early blogs, but here's another link after searching:
link

Additionally, when married couples have one spouse with HDHP coverage, the other spouse can enroll in Medicare without affecting the HDHP-covered spouse’s HSA eligibility (and if the HDHP covers both spouses, one spouse can still contribute up to the higher family contribution limit even if the other spouse is covered by Medicare and ineligible to contribute to their own HSA).

Not sure that’s true.

https://www.mcgriff.com/content/dam/bbt/mcgriff/pdfs/compliance/compliance-qa-medicare-and-health-savings-accounts-7-22.pdf#:~:text=HSA%20contributions%20must%20cease%20before%20the%20first%20day,contributions%20will%20need%20to%20cease%20one%20month%20earlier.

There is an example
In there of what I think you’re describing. It’s prorated for the remaining months.

 

[jamny]

Love having an HSA! We've taken a good portion and invested it in various ETF's

btw...I just found out recently that if the older spouse hits Medicare age, you can still contribute the family limit until you both hit 65. My wife is 6 years younger so that will help.

You have to still be working though, with an employer insurance that has an HSA, right?

Yes, the younger spouse would have to be the one with the HSA. Not sure if that would still continue if she went on COBRA for the 18 months. @matttyl ?

Here's the link where I first read it

Additionally, when married couples have one spouse with HDHP coverage, the other spouse can enroll in Medicare without affecting the HDHP-covered spouse's HSA eligibility (and if the HDHP covers both spouses, one spouse can still contribute up to the higher family contribution limit even if the other spouse is covered by Medicare and ineligible to contribute to their own HSA).

 

[Peggy]

Love having an HSA! We've taken a good portion and invested it in various ETF's

btw...I just found out recently that if the older spouse hits Medicare age, you can still contribute the family limit until you both hit 65. My wife is 6 years younger so that will help.

You have to still be working though, with an employer insurance that has an HSA, right?

Yes, the younger spouse would have to be the one with the HSA. Not sure if that would still continue if she went on COBRA for the 18 months. @matttyl ?

Here's the link where I first read it

Additionally, when married couples have one spouse with HDHP coverage, the other spouse can enroll in Medicare without affecting the HDHP-covered spouse's HSA eligibility (and if the HDHP covers both spouses, one spouse can still contribute up to the higher family contribution limit even if the other spouse is covered by Medicare and ineligible to contribute to their own HSA).

Googling around I think you can contribute to HSA in both Cobra and ACA(if there is a HDHP-HSA plan available in the marketplace) but it's with after tax income.

So theoretically when doing 401k to Roth conversions each year you could take an extra $8,300 and plop it in a HSA.

I think.

 

[nirad3]

Lots of financial talk in this thread, which is great.... but excuse me while I pivot and discuss the WHERE'S when it comes to retirement.

I know what I want in terms of a "feel" of where I want to be: smaller town with "everything one would need", but close enough to a bigger town in case I want to see a bigger live music act. I also am like 99% sure I want to be in Texas or the South. Call me crazy but I like the heat, can stand humidity, and absolutely love thunderstorms rolling through on a summer afternoon.

And I know this is the "retirement" thread, but I doubt I will ever fully "retire". Once my kids are out of the house and I'm separated/divorced, I am OUT of California. Can't happen soon enough... as much as I know I will miss the holy heck out of my nuggets. So I will need to be somewhere close-ish to a major airport so I can fly for work trips.

Right now I have my sights set on Marble Falls, TX. It's 45 minutes northwest of Austin, and reportedly will be the final stop on their rail line that extends out from Austin on a northwest path. I can probably find a nice little house for under $1MM. I don't need anything fancy. 3 BR would do, that way I could have an office and a guest room for my Mom (God willing she's alive at this point) or one of my kids.

Any other smallish towns in that vein y'all could think of that have rave reviews from residents?

I daydream about this crap way too much

Heat, humidity and thunderstorms. Can I throw in bugs, too? I would call you crazy

I know, I know...

And yeah that's what bug spray and citronella candles are for. The bugs are an annoyance but I'd gladly take them on if I'm getting the kinda weather I really dig.

 

[Gally]

I can probably find a nice little house for under $1MM.

I hope so. That seems like a lot of a house in that area.

 

[nirad3]

I can probably find a nice little house for under $1MM.

I hope so. That seems like a lot of a house in that area.

I have the Redfin app and check in every few days just to see what the inventory looks like. Right now there's a 3BR/4Bath with a pool for $739k. Walkable to downtown Marble Falls.

 

[matttyl]

Love having an HSA! We've taken a good portion and invested it in various ETF's

btw...I just found out recently that if the older spouse hits Medicare age, you can still contribute the family limit until you both hit 65. My wife is 6 years younger so that will help.

You have to still be working though, with an employer insurance that has an HSA, right?

Yes, the younger spouse would have to be the one with the HSA. Not sure if that would still continue if she went on COBRA for the 18 months. @matttyl ?

Here's the link where I first read it

Additionally, when married couples have one spouse with HDHP coverage, the other spouse can enroll in Medicare without affecting the HDHP-covered spouse's HSA eligibility (and if the HDHP covers both spouses, one spouse can still contribute up to the higher family contribution limit even if the other spouse is covered by Medicare and ineligible to contribute to their own HSA).

My understanding - yes, the younger spouse can still contribute into their HSA so long as their coverage (either though an employer, with cobra, or on the individual ACA exchange) is an HDHP. I believe, though, that they would be limited to the individual contribution limit. That would be prorated if the older spouse went to Medicare mid year.

 

[Sand]

Love having an HSA! We've taken a good portion and invested it in various ETF's

btw...I just found out recently that if the older spouse hits Medicare age, you can still contribute the family limit until you both hit 65. My wife is 6 years younger so that will help.

You have to still be working though, with an employer insurance that has an HSA, right?

Yes, the younger spouse would have to be the one with the HSA. Not sure if that would still continue if she went on COBRA for the 18 months. @matttyl ?

Here's the link where I first read it

Additionally, when married couples have one spouse with HDHP coverage, the other spouse can enroll in Medicare without affecting the HDHP-covered spouse's HSA eligibility (and if the HDHP covers both spouses, one spouse can still contribute up to the higher family contribution limit even if the other spouse is covered by Medicare and ineligible to contribute to their own HSA).

My understanding - yes, the younger spouse can still contribute into their HSA so long as their coverage (either though an employer, with cobra, or on the individual ACA exchange) is an HDHP. I believe, though, that they would be limited to the individual contribution limit. That would be prorated if the older spouse went to Medicare mid year.

Good thing they keep these things simple.

 

[ConstruxBoy]

I just looked:

My choices are:

HDHP
Basic PPO
EPO
POS

Basic PPO I would never consider. Similar deductible and OOP expenses. So, non-starter.

My EPO is about $350/month more. No deductible, but max OOP is still $3000 compared to $6000. But I'm saving $4200 per year on premiums. So, unless my expenses are exactly between $4200-6000 AND I'm not really spending much OOP at all on the EPO, I'm still way ahead.

The POS plan is almost $600/month more expensive. Again, not even an option considering I'm saving $7200 per year on premiums and my max OOP is $6000.

And I get the benefit of the HSA with $1000 free money from my employer to boot.

I will no longer complain about not having an HSA. You don’t want to hear our costs or deductible.

I realize I didn't actually post my premium. My family premium is $265/month.

My company offers crappy medical plans that don't cover very much, but the HDHP is free. No premium paid by the employee at all. Just putting the max into the HSA each month. So I got that going for me.

 

[SFBayDuck]

Good article on Social Security from kitces.com. The key takeaway:

....even if the OASDI Trust Fund were to become depleted, the system would continue to pay the majority of benefits that are simply covered by the ongoing receipt of significant payroll tax revenue. In fact, according to the Social Security trustees, the combined OASDI Trust Fund would still be able to pay 83% of scheduled benefits in 2035, when it is expected to be depleted, though this figure would decline to 73% of scheduled benefits by 2098 (recognizing that forecasting economic and demographic conditions that far out into the future is inherently imperfect).

Which means, simply put, even if nothing is done to address the situation, the 'worst case' scenario (under intermediate economic assumptions affecting the system's future health) is that almost 4/5 of Social Security benefits would still be paid for the rest of the century!

It also talks about many of the options available to address this shortfall. We won't get into the +/- of each possible solution here, but...

In sum, while there is no shortage of potential policy options to shore up the Social Security system (which might not be as severe as some taxpayers anticipate, given alarming headlines about Social Security's health), the question remains when (and whether) Congress will act.

The issue, as I see it, is the number of people reading just the headlines. This feeds into the conservative (ss will go away) upon conservative (CAPE ratios/PEs are high so future returns will be much lower) upon conservative (worst case scenario we've ever seen will be even worse in the future) assumptions so many people are using in their retirement planning that seems highly likely to just leave them working for longer or spending much less. For example.....

a 2023 Gallup poll found that only 50% of non-retired adults expect to receive any benefits at all when they retire!

So what's the tl;dr?

Ultimately, the key point is that while the Social Security system is currently on an unsustainable path, changes to benefits are not likely to occur for another decade, and even then (in the absence of legislative action), the program is expected to still be able to pay out between 73% and 83% of scheduled benefits for decades to come.

In my planning/modeling I've been taking the numbers from the ssa.gov site as the baseline, and then using 75% of that amount as what I feel to be a conservative estimate of what I expect to receive.

 

[Peggy]

Good article on Social Security from kitces.com. The key takeaway:

....even if the OASDI Trust Fund were to become depleted, the system would continue to pay the majority of benefits that are simply covered by the ongoing receipt of significant payroll tax revenue. In fact, according to the Social Security trustees, the combined OASDI Trust Fund would still be able to pay 83% of scheduled benefits in 2035, when it is expected to be depleted, though this figure would decline to 73% of scheduled benefits by 2098 (recognizing that forecasting economic and demographic conditions that far out into the future is inherently imperfect).

Which means, simply put, even if nothing is done to address the situation, the 'worst case' scenario (under intermediate economic assumptions affecting the system's future health) is that almost 4/5 of Social Security benefits would still be paid for the rest of the century!

It also talks about many of the options available to address this shortfall. We won't get into the +/- of each possible solution here, but...

In sum, while there is no shortage of potential policy options to shore up the Social Security system (which might not be as severe as some taxpayers anticipate, given alarming headlines about Social Security's health), the question remains when (and whether) Congress will act.

The issue, as I see it, is the number of people reading just the headlines. This feeds into the conservative (ss will go away) upon conservative (CAPE ratios/PEs are high so future returns will be much lower) upon conservative (worst case scenario we've ever seen will be even worse in the future) assumptions so many people are using in their retirement planning that seems highly likely to just leave them working for longer or spending much less. For example.....

a 2023 Gallup poll found that only 50% of non-retired adults expect to receive any benefits at all when they retire!

So what's the tl;dr?

Ultimately, the key point is that while the Social Security system is currently on an unsustainable path, changes to benefits are not likely to occur for another decade, and even then (in the absence of legislative action), the program is expected to still be able to pay out between 73% and 83% of scheduled benefits for decades to come.

In my planning/modeling I've been taking the numbers from the ssa.gov site as the baseline, and then using 75% of that amount as what I feel to be a conservative estimate of what I expect to receive.

Yeah, a few years ago my brother sold his company and retired at age 65 and he hadn't even considered SS at the time. "Oh, I just figured there wouldn't be any left by the time I retired" when I asked him about it. I think the opposite, agree with the article and also think politicians will just print more money rather that leave old people hanging, it's just something that will never go away imo. That said in my planning it's all a bonus.

 

[SFBayDuck]

That said in my planning it's all a bonus.

Yeah I get it. If your plan works without even considering SS, you're likely in great shape.

I know it's obvious in here, but my (admittedly self-serving) bias is always towards how to push the limits to allow one to retire earlier in what might traditionally be considered an "underfunded" state (ie less than 25x expenses). So that means looking at better portfolio construction that allows a higher SWR as a baseline, ways to combat the SOR risk without a cash drag, tax strategies to minimize the amount of gross income needed each year, looking at how retirees actually spend money vs just increasing the estimates by CPI every year, flexible spending plans, and even potentially being ok with a 60-70% monte carlo "success rate". And yeah it gets a whole lot easier when I build in that 75% of my SS from age 70 on.

But I also know if I am able to retire here in the next few years in my mid-50s but then things don't go as planned, I can always go back to work in some capacity for a few years. And that very well may even be part of the plan, just shifting from my 25+ year career to something less stressful, part time, and more rewarding.