Early Retirement Dreams

henzsav

Hello. My very first post and to say the least, I'm somewhat clueless. I am a 52 year old single woman and I have somewhat ambitious hopes of retiring right before my 60th birthday. That leaves me about 3 years (until I turn 62) of waiting for social security to kick in with no "income". I am currently enrolled in my firm's 401K plan. At the time I hope to retire, I would have about $200,000 saved in the plan. My concern is how should I go about getting money on a monthly basis to take care of living expenses until social security can supplement my income and is there a way to continue to invest money after I retire? I do not understand how annuities, IRA rollovers and such mean. I would appreciate any help you can offer or any suggestion of materials to read. Thanks.

Troubleatmill_2

Not much skills here on US 401K plans etc etc

I only know of https://www.fool.com that may be of use to use.

Sorry

Best regards
Troubleatmill

dunstonh

This is a UK site so you are unlikely to get many responses suitable for someone resident in the US for tax purposes.

henzsav

My sincere apologies - I was wondering why there were so many references to UK retirement questions. I shall graciously go away and not bother you folks. Thanks.

seven-day-weekend

henzsav wrote:

My sincere apologies - I was wondering why there were so many references to UK retirement questions. I shall graciously go away and not bother you folks. Thanks.

Hope you are able to take your early retirement.

Cook_County

Are you resident in the UK? If so the double tax treaty may help you reduce UK and US tax considerably.

Scully's_Girl

hey Henzsav, Im an expat living in the UK, so I too have a 401k. www.fool.com and www.bankrate.com are both good resources. As long as you continue to contribute to your 401k for the next 8 years, it will continue to accrue. Annuities arent big in the US, thats more for the UK, where people purchase them with their pension money to buy an income forever. IRA rollover is more for if you left your firm. You could choose to leave the money where it was (by law they have to keep maintaining it for you) or you can "roll" it into an IRA to maintain the tax deferral benefit. (you arent paying tax now, but will when you take the money out later). Does your company offer a match? If so, consider maxing out to the full amount they match to add to the kitty (if you can afford it) Remember as you are over 50 you can make catch up contributions of an additional $4000 a year without penalty. You can take money out any time after 59.5, so you will be fine for 60. Give http://www.401khelpcenter.com a try. Its alot of easy to read info that might help