03-07-2014, 09:40 AM
We have some projects and debt that will mostly derail our plan this year, but starting in the second half of this year and into 2015, we plan to place our social security checks into the investment account, and limit withdrawals to the dividend stream that is produced. I'm thinking that between dividend increases and the flow of new funding, that the growing dividend stream will help offset inflation. Of course our pension is indexed to inflation, so that will act as a partial offset to inflation. I agree with rnsmith's savings strategy, and feel that retired individuals should continue to save at least 10% of cash flow. That way the income should both last a lifetime plus should also stay ahead of moderate levels of inflation.
I managed to save all of last year's social security checks, but this year will only save about 50% at best. Next year, hopefully that will move up to about 75%-80% which will be slightly in excess of after tax net.
I managed to save all of last year's social security checks, but this year will only save about 50% at best. Next year, hopefully that will move up to about 75%-80% which will be slightly in excess of after tax net.
Alex