I wouldn't withdraw anything from the 280k. It would stay in the market, continuing to earn the historic 9%. I have no way of accessing more than 54,600 a year from the pension fund.25 years is basically a 39% pension for ATC. 20*1.7% then 5*1%. 39% of 140k is roughly 54,600 a year without accounting for any decrease in electing survivor benefits.
If you got 280k, and then withdrew at say 5% a year, as that is a normal assumption, you would be getting out only 14,000 a year. However, this would be tax free since it would just be your investment account.
No, capital gains would be roughly 15% of the amount if I sold, which I wouldn't. Does your 54600 a year account for income tax? Or is the pension tax free?Does that 278k number account for possible capital gains taxes over the course of 20 years?
My life expectancy isn't much past 60. I would much, much rather be able to opt out.It’s tough to beat the pension, assuming it’s still around and not messed with.
Bingo. I don't need the pension either, and I probably won't be able to receive payments very long.If I did this for 25-30 years and got my money into the good funds then I wouldn't need the pension