Retirement Planning For Teachers And Public Employees
Retirement Planning For Teachers And Public Employees
Educators and public employees have a unique set of retirement income options available to them. When attempting to diversify and optimize your retirement portfolio, it can be difficult to research all of the options to find the best solution for you. At Appreciation Financial, we will make sure your teacher retirement plan sets you up for the success you deserve.
403(b) Retirement Plans
403(b) plans are similar to 401(k) plans on the surface, however 403(b) plans are actually tax sheltered annuities, meaning that the funds in a 403(b) plan are not taxed until they are withdrawn. When selecting a plan upon being hired, your employer will likely present you with multiple plan options. Choosing the wrong option for your individual or family needs in retirement could have a large impact on your future.
Teacher & Public Employee Retirement Plans
Most teachers are automatically enrolled in a pension plan when they begin employment. This is generally a good thing. However, just because you are enrolled in a plan when you begin working does not mean you will meet the necessary requirements when you reach retirement and may need to withdraw a monthly salary from your pension account to live on.
Many states require 5-10 years of employment before you are eligible to receive pension payouts. If you move before you reach the required number of years, you may be out of luck. The amount you receive in retirement will also depend on your salary and years of service you put in.
Teacher pension plans can be complicated, and when combined with the lack of social security benefits available to teachers in 15 states, pension plans are incredibly important to financial stability and security for teachers upon retirement. Because of this, it is a good idea to have a financial professional to help guide you through.
Retirement Planning for Teachers & Public Employees
As educators and public employees, you deserve to retire with comfort. Whether you need help understanding your 403(b) plan, navigating the realities of your pension plan, understanding social security benefits (or lack thereof), or anything else, we are here to help.
At Alto Financial Group, our licensed agents and financial advisors have the knowledge and experience necessary to help teachers create a retirement plan tailored to their specific needs. We will provide you with a personalized analysis of your plans and advise you on the best ways to invest for your retirement.
The information contained herein is for informational purposes only and should not be considered investment or tax advice. For a personalized evaluation, please speak with your licensed agent or registered representative.
