There are so many questions and emotions associated with retirement. The secret to dealing with this situation is planning whether you are a first year, a tenth year or a last year employee.

How will I save for retirement and all the other needs of my family? How do I invest? Will I have enough savings? Will I relocate? Should I volunteer or work for income. Can I travel? What can I do with my time?

The concerns are personal and legitimate. Your retirement should be based on what you want to do. It is normal to be concerned.
Spousal, family or financial issues always enter into the process, but yours is the opinion that counts. Use caution when it comes to letting others have too great an impact on your thoughts.
For a prospective retiree this is a stressful time. The best way to approach retirement at any stage of your career is with a flexible plan. The plan can be an ever-changing series of thoughts that can be as simple as “I will wait for my decision until Social Security”, “I will accumulate a certain dollar amount” or “I will open a 403b or Tax Sheltered Annuity”. These all work. Planning can and will help your thinking about and expanding your thoughts on retirement.
In my 16 years as a retirement counselor one thing stands out. People with a plan have an easier time with the emotion of retirement. Finances are important but the emotional side of retirement is important too!
If you need or want help getting started with your plan or “wrapping up” your career, may I suggest that you visit the NYSTRS website or attend one of their seminars. Beware of insurance company invitations.
You can also call me or set-up an appointment to discuss any and all retirement matters. I welcome your inquiries.

Hank Sessa
NYSRetirement Guide
631-335-8201

Solving the Retirement Puzzle
Hank Sessa, NYS Retirement Guide
631 335 8201.
An affiliate of NABCOT

Summertime may be the right time to look, adjust, or learn more about your money and your retirement. Many people say “they just don’t know where to start” or know what is appropriate. Let me give you some suggestions or even a plan. The following list of ideas can be accomplished in any order. Set a deadline and get them all done.

• Sign up and login to My New York State Retirement System at www.nystrs.org This site contains all the information pertinent to your NYS retirement account. The site is a good place to check for any mistakes in service, reported salary and prior service claims. There are links to calculators and other valuable information.
• Log in to your Tax Shelter Annuity (403b) website. Check your account. Read about the funds you own. Use the calculators that are available. You might even want to call your TSA agent to set up an appointment to review your status or adjust your contribution. Remember your agent should work for you!
• The Social Security Administration website, www.ssa.gov is a terrific resource for general and personal information about benefits and eligibility. It may be helpful to call Social Security at 800-772-1213 for answers about your personal situation. The phone service is available 7AM to 7PM. I try to call as early during these hours as possible. Just a reminder, you can only access your personal information on the phone.
• Read your Teacher Union Contract! Your union agreement contains valuable information about salary, insurances, sick days, possible incentives, payouts at retirement and notification dates. This document governs your separation from your employer. Ask your union representative for help or another copy of your contract if yours is misplaced.
• You can call me. I will answer questions about retirement related issues or we can schedule a consultation in your home to fully discuss your personal retirement concerns.

Spend time organizing and synthesizing the information you have gathered. Take the time to get acquainted with all the pieces of the retirement puzzle. Don’t be afraid to ask questions of involved people – your union, your employee benefits officer, your TSA agent, or your spouse or partner.

Spend a few hours this summer on your retirement even if it is years away. Share the information you have gathered with the person you share financial responsibilities. It will be very rewarding!

There is an old adage – it is never too late to start saving. Well, it is also never too early to start saving and now a new wrinkle has been added.

The newest concern for younger workers who have pensions is the need to fill the income gap between taking a pension at age 55 through 62, and collecting Social Security payments that Congress is likely to push back collection of full benefit to age 67 through 70.

If Congress changes the Social Security full benefit age to 67 through 70 but still allows you to collect a percentage of full benefit at age 62, that payment will be smaller than the current 75%, thus increasing the need for a savings cushion.

Savings, in the form of equities, bank accounts, IRA’s. 403b and 457 will help bridge the gap that will most likely occur if you leave the pension system prior to Social Security age of collection. This is not the “good old days” of Tier I and II. The newest tiers are designed to pay you less by reducing the pension for the years after thirty years of service.

If you only have one vehicle for savings, I would recommend the 403b and/or the 457 accounts. These are accounts that have money taken from your paycheck before taxes and deposited in vehicles of your choice. You don’t see the money making it more difficult to spend! If you already have such accounts, try to increase your contribution. The maximum is $17,500 up to 50 years of age and $22,500 for those over fifty.

If you are nervous about this kind of investing choose the fixed income selection of the company you choose – it is sure to pay at least 3% guaranteed. Reminder: $10,000 savings per year at fixed rate of 3% yields $276,765 after 20 years and $490,027 after 30 years.

Over the thirteen years I have been a Retirement Consultant, I have seen thousands of public employees through the retirement process. The most difficult issue we deal with is not having enough savings. Try not to be one of the people who is forced to work after you have had enough at the job.

Savings give you confidence, security, and many choices at decision-making time. This is a position we all want to be in.

Happy savings!

We are educators. We expend a great deal of effort preparing our students so that they can do their best and reach their goals. We use many forms of preparation to ensure that they have an arsenal of information to help move our students forward. Nights and weekends are spent researching and at in- service courses to help us gather that information. Why, then, don’t we use the same due diligence and intensity on our own finances and retirement planning?

We can quickly gain financial and/or retirement knowledge by simply “putting in some regular time.” Once you start the learning process and start building the habit of acquiring financial knowledge you can assure yourself of an unconfused financial future.

To get started, here are some helpful hints:

The New York State Teachers Retirement System (www.nystrs.org) and the New York State and Local Retirement System (www.osc.state.ny.us/retiree) are truly good resources for accurate information and estimates. Members of NYSTRS can have instant access to all of their personal data by signing up for and logging in to MyNYSTRS.

The Social Security Administration website (www.ssa.gov) has an estimator and many interesting, practical bits of information that help build knowledge.

Your TSA/TDA/403b provider will also have a helpful website. Many providers have calculators, estimators and helpful hints.

You will become more comfortable with your financial future if you start planning for that future. The knowledge that you gather will put you at ease and allow you to build and fine-tune your plan.

If you think you need help getting started or fine-tuning your plan I am only a phone call away.

Just a reminder; I don’t sell any products. I am here to help. I am your NYS Retirement Guide.