Discussion in 'General Education' started by FourSquare, Aug 9, 2017.
Aug 9, 2017
What happens when you don't pay your fire bill so the fire department lets your house burn down?
Aug 10, 2017
So sad! they didn't pay 21 cents/day to have fire protection. The poverty in this country. Can't afford 21 cents/day but can afford an iPhone. Absolutely compelling! You make my point. We need to make rules and stick by them. Let the house burn to the ground.
I'm in a private school too but my school contributes to a 403b plan (I think that's what it is).
That is a great thing, TeacherNY. I'm glad for you.
SIDE QUESTION - So this "roll over" business....does the money from your IL accounts literally just get put in your new account? Is it taxed or does the exact amount roll over? Does this happen in every state? I'm just wondering in case I ever move.
As long as you roll it over directly into the new IRA, you don't get taxed. The exact amount rolls over. If you have the funds sent to you first and then deposit them into the IRA yourself, you do get taxed. So, it's best to just let the pension system send the check directly to the IRA. I took mine out of the CTPF (and TRS and IMRF) and rolled it over into an account that wasn't based in any particular state (I opened an account with Vanguard). Since I assume you'd also be rolling over CTPF funds, it should work the same for you, no matter what IRA account you roll it over into. Regardless, I think it's the same for all pension systems, but I don't want to promise that.
That is an absolute shame.
But I have to comment - the idea that "it will never happen to me" bugs me to no end. What makes you so damn special?
I am assuming that the fireman were sure that all lives were accounted for before they watched. But it does sound like hands were tied on this one.
Aug 11, 2017
I also contribute a % of my paycheck. I really should put in more though.I think I'm at 3% but they recommend 5%. Maybe when I get my next raise I'll change it.
You will be very glad you did one day.
You want to get a Roth IRA. I am 25, work in a private school, make $55,000 (this will go up once I clear my credential), and have a Vanguard. All you have to do is contribute $5,500/12 or $458.33 per month, which is VERY affordable. (BTW, The maximum annual IRA contribution is $5,500.) Vanguard is awesome because they have very low fees, but they require you have $1,000 to start. Mine already has $16,000 and is steadily growing!
Well done! Your story is very inspirational and I hope to be in your shoes one day. I am just getting started, but I will be there eventually, haha!
Do you have any recommendations in terms of stocks or other retirement options (private)?
I suggest you find a financial advisor. He or she can guide you in the direction in which you want to go. Money for my 403B account was added each time I got paid so I never missed the money. My pension was based on years taught, age, and tier level. The sooner you start the better off you will be.Good luck.
Aug 12, 2017 at 8:55 AM
Good advice here. I admire all of you forward-thinking teachers. I thought my life situation would always continue as it was .... a foolish mistake. My husband passed away fairly young and suddenly I was responsible for much more than I had planned for. My kids were teens who fell apart. Anyway, I don't contribute to my savings anymore; I've been living off them for years
Aug 12, 2017 at 4:02 PM
A gentle reminder that it would behoove us all to keep the political rhetoric out of the discussion. This is an interesting topic that affects many of us, but turning it into what one party does or doesn't believe or do tends to become inflammatory.
Thanks in advance!
As for me, the state of Ohio's public school teachers have our Social Security payments diverted to the State Teachers Retirement Services. I didn't start teaching in Ohio until a decade ago, so I'll have a little of both. REALLY need to get a Roth IRA open and into some decently balanced funds.
Aug 12, 2017 at 7:22 PM
In this particular case, I don't think it's possible to discuss pensions situations which are directly related to government policies without mentioning the government. It's like trying to explain how to cook a roast without mentioning the temperature of the oven or how long to cook it.
Point noted though and I appreciate your position.
Aug 12, 2017 at 9:00 PM
There is a HUGE difference between discussing government programs and getting partisan about it.
Aug 12, 2017 at 9:05 PM
I genuinely don't see anyone on this thread that did that.
Aug 13, 2017 at 12:27 PM
Very few districts pay into SS in Texas because even if you are vested in SS, you don't get much if any of it back due to our annuities being considered a windfall. I've remarried so this no longer applies, but I would have only gotten about 75 dollars of my late husband's widow benefits. My mom worked in banking before teaching for over thirty years and she won't get a penny from SS.
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