I think it will take more than this to calm me down.
How are your retirement anxiety levels at the moment? I must admit my levels were high earlier this week. As described in my previous post, I recently realized that I’m (probably) not going to make it to 21-years of military service. Thus, I’m (probably) going to retire after my pension vests at 20-years. This means that I won’t secure the transferability of my GI Bill to my kids prior to retiring. As a result, I’m leaving a lot of potential money on the table.
I spiked my anxiety levels even further this week by breaking the above news to Mrs. Grumpus. She doesn’t routinely read my blog. She’s too busy with the kids and running the household to find the time to read my 3500+ word tomes (i.e. articles). As a result, if I come to some major insight about my life while writing, I can’t rely on her to read about it. This means I actually have to talk to her. Unfortunately, I’m a much better writer than a talker, so I usually make a mess of the conversation. Continue reading →
Does anyone have a friend that dates back to first grade? I don’t mean an acquaintance either. I mean someone that’s been there almost your entire life through thick and thin. Someone who is more like a brother or a sister than a friend. I’m happy to report that I got one. I’m also happy to report that he decided to write an article for my blog!
Now, I believe it’s good etiquette that people who host blogs introduce anyone who writes a guest post. In fact, that’s what Darrow Kirkpatrick did for me when I wrote Part 8 of the Pension Series for his blog. However, in this case, my friend interwove his story into the blog post. So instead of a long-winded introduction, I’ll simply say:
Here’s a great post on the tax benefits of VA disability from a best friend of mine that I’ve known since 1982!
If you’re reading my articles in chronological order, either in real time or at some undetermined time in the future, you’ll know that my two preceding articles were counter-points to other people’s financial ideas. As much fun as I had writing articles that used macroeconomics to argue against other people’s theories; doing so courts a certain amount of negativity. Granted, the counter-points needed to be made, and I believe I kept the articles congenial, lighthearted, and fact-based. However, at the end of the day, I still argued against someone’s work as opposed to building my own. As a result, I hit the pause button on the Risk Series this week, in order to focus on a more positive message.
Ironically, despite my online negativity I’ve actually been doing some positive stuff in the real world — which just might be the understatement of a lifetime in regards to the internet. Over the past three weeks, I counseled three different military members and/or their spouses on financial issues. Two of those counseling sessions took place face-to-face; while the third took place via email. All of them proved a great experience … for me at least. I learn a lot about myself and other people every time I counsel someone. Whereas I felt like a reluctant financial voyeur during my first counseling session; I actually enjoy them now. Continue reading →
A few months ago a military member from a mid-career service school approached me through my blog with a request. He’s an instructor, so let’s call him Professor X. One of Professor X’s topics is personal finance as it relates to effective management of one’s career. He’d read my blog and believed several of my articles were appropriate material for his students. As a result, he asked me to speak via video to his class. After we exchanged a few emails on proposed topics, legal conflicts of interest, and technical hurdles; I agreed to appear in uniform as a military member, smart in the ways of finance, but without mention of my blog.
With this scheduled event now only a few days away, I thought it prudent to script my remarks. I also thought it would be worth turning those remarks into a blog post. Since Professor X’s request forced me to distill numerous blog posts into one coherent speech about my financial philosophy, I figured some of my readers might find it useful. As a result, this post doesn’t cover any new territory. It simply synthesizes a lot of what I’ve written previously in one place. Who knows? If I ever write a book, this article might form a good basis for the first chapter.
I’ve had a draft version of this article sitting in my inbox for some time. It never gelled, so I left it alone. However, a blogging friend and mentor of mine, Doug Nordman, recently published an excellent article at his blog The Military Guide entitled “Don’t Buy A Home When You Leave Active Duty“. The article challenged several of my planning assumptions and acted as a catalyst to complete this post.
I consider challenges to my retirement plan a good thing. They force me to re-examine and update it as I gain more knowledge, and as facts on the ground change. As such, this article isn’t so much a riposte to Doug’s article, as it is an acknowledgment of it. It’s a confirmation that Doug’s article contained great points which forced me to re-examine my planning assumptions, but despite the challenge, my plan still passes scrutiny. It’s a healthy, Bayesian inference exercise that everyone should conduct with their plan routinely. Continue reading →
***This is an updated article. See Post Script at the bottom***
Today’s topic comes from one of my Facebook group followers. I recently solicited my Golden Albatross group on subjects to research and write about, and Mr. Yankee responded with the following question:
Has there been discussion of how to shelter your pension benefits from federal tax? When I retire I expect to receive about $60,000 a year from my pension I’d hate to give a large portion of it back to the government.
I told Mr. Yankee I would look into it since I’d yet to conduct an in-depth analysis of pensions and taxes. It’s a bit premature considering the fact that U.S. tax law is undergoing its first major overhaul since the 1980s. Currently, the House and the Senate are working on reconciling their two different bills into one in order to approve and send to the President for signature. However, my research only shows one proposal in the House bill with the potential to impact this conversation in any meaningful way, and I believe I can address it appropriately. If something radical happens in the reconciliation process, I will simply update this article when the dust settles. Continue reading →
Am I only one I know, waging my wars behind my face and above my throat?
— Twenty-One Pilots, Migraine
How Was Your Week?
Last Friday wasn’t the best day for me mentally. I don’t know if the stress of a few hectic work weeks which included a lot of travel finally caught up, or if I missed my meds the night before. Maybe it was both. Maybe it was something else entirely. Either way, I didn’t feel the most stable. I think it was fairly apparent to several of my co-workers as I lost my cool (just a wee bit) during a meeting. For a moment, it felt like the bureaucracy was going to grind my bones to grist before I could escape. As a result, several hours after the meeting the weight of the Golden Albatross still felt insurmountable. Never a good feeling.
It got me this week.
As one of my Facebook readers once wrote, “Some days you slay the dragon, some days the dragon slays you.” Friday the dragon slew me, and it caught me off guard. It’s been a while since I’ve experienced a day like it. In fact, it might be the first day in over a year that I’ve lost my cool in a work environment. Home is a different matter, and the typical battlefield where I struggle to keep these sort of emotions in check (which of course is worse, and a different story altogether). Losing it at work, on the other hand, is an anomaly. As a result, I wasn’t ready to handle it. Continue reading →
This past week was a big one in the short history of the Grumpus Maximus blog. My first guest post on a much bigger website drove a record amount of traffic to mine. The guest post was a result of collaboration between myself and Darrow Kirkpatrick of www.caniretireyet.com. I am happy to consider Darrow one of my two main mentors in this blogging adventure. My introduction to Darrow was facilitated by my other mentor, Doug “Nords” Nordman, who founded the Military Guide blog. Darrow and Nords are both great guys, not only generous with their time but knowledge as well. Together they make up my team in the blogging sphere. Whether or not they know it, their willingness to help me succeed translates into a special kind of teamwork for which I am immeasurably grateful.
Da Komrades, we built this victory monument to commemorate your week.
I blogged recently that when I retire from the military, what I will miss most is working with the great men and women I’ve had the honor of serving with and leading. For some reason, I’m the type of person who draws great satisfaction from working successfully together as a team to accomplish goals. The military life, despite its many drawbacks, definitely offers plenty of opportunities for teamwork. While not the only career that offers this opportunity, if teamwork is one of your main motivations in life, I could think of no better occupation to enter.
The Post-Retirement Teamwork Challenge
It remains to be seen if I can successfully translate the satisfaction I derive from teamwork opportunities in my full-time career to retired life. For someone like me who needs the sense of accomplishment which comes with teamwork, it begs the question as to what outlet I will turn to when retired. Certainly, blogging might provide more and bigger opportunities to collaborate, and I look forward to the possibility. Yet, as I stated elsewhere on this blog, I started blogging as a means of therapy and to help a friend plot a path through a Golden Albatross moment towards Financial Independence (FI). I’m not ready to give those reasons up and place all my hope for fulfillment in retirement on blogging. Continue reading →
For those veterans in the audience, Happy Veteran’s Day 2017. Veteran’s Day in the U.S. is celebrated on 11 November, which in many other parts of the world is celebrated as Remembrance Day or Armistice Day. While originally designed to commemorate the sacrifice of those who served in, and the devastation caused by, World War I; there are nuanced differences in how the holiday is marked presently. The most obvious difference in the U.S. is that Veteran’s Day is not designed to celebrate those who died (that’s what we call Memorial Day), but those who currently serve and formerly served in the military. It’s meant to provide the nation an opportunity to pause, be thankful for, and engage with its veterans.
The Census Bureau’s latest info graphic for Veteran statistics.
Given that less than 1% of the U.S. population currently serves in the military, and as little as 9% have previously served; a holiday like Veteran’s Day provides a rare but important mechanism for renewing the Nation’s commitment to both its current and former military members. Conversely, it also provides those in the U.S. military the opportunity to connect with and renew their commitment to the populace it protects and the democratically elected civilian-run system which guides it. It’s most appropriate to thank a veteran for their service on Veteran’s Day.
Controversially, perhaps, I believe it’s less appropriate to thank current serving members for their service outside of Veteran’s Day. Not that I believe it’s wrong to thank service members on all occasions outside of Veteran’s Day. There might be plenty of good reasons from the ultra-personal to the ultra-obvious for a person to do so. But, I believe as a U.S. citizen you shouldn’t feel pressured into thanking service members simply because you think it’s the required thing to do, or because you believe we require it from you. You shouldn’t and we don’t. It’s neither healthy for a democracy’s citizens to feel pressured into supporting its military blindly, nor is it healthy for a democracy’s military to believe your thanks is some sort of right to be demanded from its citizenry.
“Thanks” should be genuine and not built off some misinformed interpretation of what it means to be patriotic, or a mistaken belief that your military requires it from its citizens. Furthermore, while your thanks is appreciated, your obligation as a voting citizen runs deeper than simply thanking service members. We are, after all, a military 16 years into the Nation’s longest conflict. We are overseen and run by civilians appointed by the President and the Congress. Your tax money pays our salaries. Your elected officials decide if and when we go to war. The constitution we swear to uphold and defend provides all us the liberties we enjoy and love. Thus, we are your military. As a result, I believe it’s important that taxpayers and voters engage at a more intimate level with the military than what a simple “thank you” conveys.
In that vein, I pulled the following story out of the Grumpus Maximus historic annals to provide you just that opportunity to engage more intimately with one military member. Given that this is a personal finance blog, I kept it related to my experience with the interplay between remuneration, service, and the issue of “thanks”. You might think the three have nothing in common, but my experience will hopefully change your mind. Continue reading →
Anybody else exhausted from Part 2 of the Pension Series? I know I am. At 3200+ words it wasn’t concise. Amongst all those words, you may remember my promise to help you determine your pension’s worth in future posts. Well, the future is now, or at least partially. Unlike Part 2 though, I intend to break up the discussion over the next several posts. How many? I don’t know yet; at least two, maybe more. Since calculating your pension’s worth is more of a “how to process”, I hope the articles don’t need to be overly verbose. I understand people don’t have time to read 3200+ word posts every week, and frankly, I don’t have the time to write them.
Calculating Your Pension’s Worth … Ain’t Like Dusting Crops
For this post, I will examine the three key inputs in determining your pension’s worth. I will also examine some of the basic mathematical formulas used to calculate your pension’s worth. I will keep it simple because I am not a math genius by any means (liberal arts major here!), and more than likely you are going to use a pension calculator to make the calculations anyway. However, you should understand the inputs and formulas because like Han Solo said in Star Wars: A New Hope: Continue reading →
