Retirement Dollars --> Energy-Efficient Techno Purchases

[jhinton]

Originally Posted by Godiva

The TSA I have is supposed to be especially for educators. I can't take money out early without a stiff tax penalty. And I *have* to start to withdraw it by, I think, age 72. But the pension will only be something like 60% of my salary, so I had to do some saving to supplement. As is, the two combined won't be my current salary. Hope that my current expenses will be smaller after I stop working will probably be wiped out by the higher cost of food, utilities, gas etc.

Godiva,

You do have one HUGE advantage. You live in San Diego. You may not want to do it but in a pinch you could sell your house in San Diego and buy one in say Kansas. Believe it or not there are still lots of places in the US were an average single family house can be purchased for $100K or less. I would say you would be able to live on the proceeds from selling your house for many years.

[Godiva]

I'm aware of that. San Diego is in the top most expensive places to live Cost of Living-wise. San Francisco and Los Angeles also consistently make the list. I think California has the majority of the top 10 most expensive COL.

But....I have family here. And if I sell my house then in order to stay in San Diego I have to really move down to buy something else.

At some point I may have to choose between my house and my parents' house. But I was hoping to either live in my house or keep it and rent it out.

I don't believe in selling real estate unless you absolutely have to.

[andyprius]

Originally Posted by Godiva

Uh. I do.

I'll have a pension through the State Teachers Retirement System.

I've also been contributing to a TSA since I was 30.

The goal was to be able to retire at age 57-58.

With all that's been going on, who knows? I might have to work until I die.

Hi, If your TSA is anything like a 401k or an IRA, I believe the rule is" You must start MRD s Minimum Required Distributions at 71.5 and you may start at 59.5. Don't wait to start at 72 as you are then required to take 2 years distributions and you pay taxes on that amount.

[Godiva]

Originally Posted by andyprius

Hi, If your TSA is anything like a 401k or an IRA, I believe the rule is" You must start MRD s Minimum Required Distributions at 71.5 and you may start at 59.5. Don't wait to start at 72 as you are then required to take 2 years distributions and you pay taxes on that amount.

No way I can wait until I'm 71 to start drawing. If I can't draw until I'm 60, then I may have to work until I'm 60. I can't survive on my pension alone. That was the whole point of the TSA.