Preparing for Retirement
In the upcoming editions of the
PERS and TRS Newsbreaks, we will be discussing
retirement preparation ideas as well as welcoming
helpful advice and suggestions from our current retirees
that may assist those who will soon be retiring. In this
edition, we will look at preparing your retirement budget
If retirement is now in your vocabulary, you may want to
start developing a retirement budget. After all, guessing the
income you may need in retirement and doing so
incorrectly is not an option, unless you want to go back to
work. In addition to what your expenditures may be today,
there are future expenses you need to take into
The easiest way to start creating a retirement budget is to
track your expenses and income and examine what costs
may no longer be a factor once you retire. For example,
items like union dues, professional clothing, or uniforms
may no longer be necessary.
Keep in mind, your medical insurance premiums will
change based on your tier and the elections made for your
retiree medical coverage at time of retirement.
It’s good to know what your expenses are now, to help you
plan how much you may need when you retire.
Speaking of expenses—if you’re planning on moving after
retirement, be sure to include all the charges that will be incurred during the process, such as realtor and closing
costs, engineering examination, and all other associated
fees. If you’re buying a new home, make sure to time its
purchase after you receive your first retirement check.
Retirement benefits are payable at the end of each month
and the initial benefit set-up can take up to six weeks to
finalize. We will not be able to verify your income for
loans until your benefit has been fully processed. If you
participate in other retirement plans, such as the Alaska
Supplemental Benefits Annuity Plan (SBS-AP), you
cannot withdraw your money from the account until 60
days after your date of termination of employment.
Stay tuned for the next edition, we will discuss creating a
retirement plan to get you to your retirement goals!