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To: Tell It Right

I actually used the catch up provision when I hit 50 or so. I wouldn’t fall under the new rules because I didn’t make enough to meet the cutoff. That said $150K is chicken feed in many big cities...


17 posted on 07/18/2023 9:20:37 AM PDT by EVO X ( )
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To: EVO X
The catch-up provisions don't apply to us anyway, with my wife retired and me quasi-retired even though we're in our 50's. We paid off all debts except the house (very low interest rate, so instead of paying that down I invested more) and invested a lot in Roth accounts and tax-deferred accounts with the understanding that part of that money might be used for one of our kid's college (nursing school), which is happening now. In other words, for our long term financial planning our 50's is the phase of slow withdrawals, not still making contributions. Then when I fully retire in my late 50's we'll do the 4% annual withdrawals (or 1/3 of 1% monthly).

And yes, part of the reason we're able to do that is we don't live in a big city where $150K is chicken feed. We're in a fairly rural suburb in Sweet Home Alabama.

19 posted on 07/18/2023 9:50:44 AM PDT by Tell It Right (1st Thessalonians 5:21 -- Put everything to the test, hold fast to that which is true.)
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