Should I Stay At My Job Just For The Pension?

[@PInk77W1]

I’m a high school drop out. Did 27y with the state. Retired at 56 with $2400 take home for life. Home paid off. No debt at all. Life is good.

[@larriveeman]

intelligence has nothing to do with graduating high school, way to go

[@currency2266]

Incredible!!

[@enigmathegrayman2953]

Nice

[@made1453]

Are you married?

[@PInk77W1]

@@made1453 I was married 1983-90. Divorced ever since

[@jmnthe3rd]

Government jobs are no joke. In many government jobs, the employer contributes over 40k a year above salary towards a pension and healthcare premiums. That is coupled with extremely high long-term job security and scheduled raises. Nobody's becoming a billionaire, but if you start young and live within your means, a US government career means never having to worry much about money ever again.

[@Xinerius]

Ok, FERS pension depends on your salary level. Obviously the more you make, the more they worth. But, the most amazing thing is it pays for rest your life after retirement and increases with COLA. So, for people like me who obviously gonna live forever, it's amazing. lol. If your job is killing you though, I mean... that ain't worth it.

[@MrMopeake]

I only have 7 years to go but I may take a lower paying government job that is easier because my current one is becoming much harder on my body.

[@chrisdeming9287]

@@Xinerius Yeah, current fed here and I like it so far. Just started back in October. The guys on the show don't seem to really understand the true job security and stability that government jobs offer. The pension is definitely nice. Almost impossible to find that in the private sector. Also, I heard you can keep your health insurance after retirement, as long as you have health insurance during the last 5 years leading up to your retirement. That's a huge perk as well.

[@edhcb9359]

@@XineriusFERS pays 1% to 1.1% per year. Not bad, but not exactly life long security either.

[@joefran619]

@@MrMopeake Turned down two higher paying jobs, because of the increased physicality of the jobs.

[@MeatballMedic]

My grandparents had three pensions, two retirement accounts, two SS checks, and VA disability. They lived one of the best life’s out of all the people I know.

[@MikeNapoli1989]

Good for them. They worked very hard for it and it paid off.

[@cantgetright742]

I think that’s the key. A household needs multiple incomes. 1, 2, or 4 paychecks a month doesn’t cut it. You need double that. It’s easy to save a paycheck if you don’t need it. When you’re starting at zero or below every pay period it becomes a lot harder to save. And payments only makes it worse

[@Larry_M6790]

I thank God I stayed in the Army for 24 years. There were times I wanted to leave, but I stuck it out, and between my Army retirement and some VA disability, I'm doing pretty well.

[@MikeNapoli1989]

@@Larry_M6790 same with my old man. 30 years retired army colonel.

[@Me-eb3wv]

@@Larry_M6790tryna be like you man. Do my 20 years and then retire.

[@wickedbird1538]

😊😊I stayed at a government job because I went to HR to get a calculation if I stayed for 30 years. Best decision I ever made. I love my pension.

[@theushistorian]

Heading into year 28 and nearing the finish line with a full pension. There were some very tough years and times I considered leaving. But overall I've had a great career doing worthy work. And so looking forward to the pension!

[@ICG_1687]

​@theushistorian question for Gov jobs, if you stay in the job for ten years is there still a percentage of a pension someone would qualify for?(just got a gov job, wondering if pension or 401k should be what I invest in)

[@wickedbird1538]

We qualify for retirement after 5 years. But my retirement plan is not available to people hired after 2007. IDK the current plan.

[@King32028]

​@@ICG_1687you get something but I'm not exactly sure of the calculation. You're vested at 5 yrs and believe it is high 3 salary average plus amount of yrs of duty times 1 percent.

[@DWilliam1]

I’m retiring next year at age 59. My two pensions will spin off about $9500 a month(I also get COLA), plus my $850K 403b(with a guaranteed fixed rate of 7%)medical costs being paid for by my union and two homes paid off. Putting in my 31 years was the best decision I ever made.

[@reneperron6942]

Passion level at 8. Stay with the pension job. I did and have never regretted it.

[@bones6554]

My pension is the only reason i'm still at my job.

[@nelsonairforce]

Don’t leave your job

[@InspectorApe]

That’s stupid, you’re limiting yourself. But maybe you just want the minimum. You probably don’t want to work. Plus pensions don’t rises with inflation. Good luck for retirement.

[@bones6554]

@@InspectorApe Other than SSI, what retirement does increase with infation? At least i don't have to depend on my 401k or SSI to fully fund my retirement. Plus i keep my health insurance until i'm eligable for medicare. I haven't heard of anyone complaining about that check every month.

[@Hugo-Hernandez]

⁠@@bones6554 What’s your plan if that company closes down ? Unless you work for the government. You can make a lot more money in a 401K. Like Ramsey said on his Pension VS 401K video 401k make millionaires not pension.

[@MikeS-7]

Dead on.

[@snowadams696]

Retire in 3 yrs at age 57 with a pension from a 33 yr job. Will have Healthcare for life. Cannot wait!

[@shaddiegradyorielly6380]

way to go

[@bp6877]

If you're with the Fed, do your research; you might have to work to age 62 to keep your health insurance benefit; I, too, would e retiring at 57 if I didn't need to work until 62 to keep the health insurance benefit.

[@snowadams696]

@bp6877 I am with State of Texas. I'm grandfathered into the rule of 80, however anyone hired in the last 10 yrs does have to wait until 62. Very grateful!

[@shaddiegradyorielly6380]

three months away from a Pennsylvania state pension. lifetime medical (without vision, dental). did my 35 years. glad I stuck it out. happy retirement.

[@natedog1619]

@@shaddiegradyorielly6380I too work for PA. Did you do deferred comp? I have 30 years before retirement and worried my pension will be on the smaller side. Can I compensate with deferred comp?

[@TheJimmy144]

My pension will be 75% of my final salary for the rest of my life and 100% of it can be passed to my wife. I may not make six figures here, but that income on top of my Roth 457 means a pretty secure retirement.

[@luciaabbaticchio1500]

I love this!

[@bruintoo]

Yep. Same here. And with 3% compounded COLA. I don’t even think I need to dip in my 457 at all.

[@LUK0BA]

​@@bruintooI'm in the same boat, or should I say golden handcuffs.

[@robedmund9948]

Ditto! And congrats!!

[@LovesGrilling]

I only disagree with Dave on a few things. This is one of those. 50 Grand after 15 years is 1.25 million. That's not enough to retire on AND NOT WORRY. A pension is **for life**. You don't need to worry (as much). Take the pension.

[@archeanchaos-s4c]

But this is assuming he will never get a raise and he did not invest in his 401k already. The average FERs retirement is $2,200 a month, plus you can't leave your family that retirement. If he saves 1.25 mil he can easily withdraw 4k a month which is double the average of FERs. Also he will most like die with at least 1 mili to leave for his family. I prefer government contract work because of the higher salary and ability to save much more.

[@MacBook1ng]

Let's educate. The S&P 500 has gained 27% in 2024. So $1.25 million would gain $337,500... My net worth has absolutely raised by that much this year. My family of 4 currently lives off $85 - 95K for the year. In the past 24 yrs, the market was down 7 times. Y2K, 2009 and 2022 were the worst... 16 yrs were gainers (7 years at 20% or more), 1 yr no gain. On the up-years like 23-24, you set aside funds to weather the storms. Management and planning are key and very doable. So pull 100K for 2025... Sock 100K in bonds or HYSA or CD for 2026. Grow the nest egg to $1,387,500. But let's say 2025 goes into the crapper -40% like 2008, the nest egg is $832,500. No worries. You have $200K to tap over 2 yrs without touching the nest egg. In 2009, the market was back up 23% (and then 13%, 0%, 13%, 29%). History is no indication of the future, but can be a good gauge for planning.

[@jeffreyknaub9935]

Terrible advice. He likes his job. Stay for the pension. Leave at 50 with 30 years then take the pension and work for a private company. Double dip for a few years until retirement. Bad advice from Dave.

[@94SexyStang]

Yep, if you like the job, NEVER EVER leave for more money....huge mistake, I personally knew a friend who did this, and only lasted 1 year and said All the money was Not worth the extra work load!!!!

[@D0NKY]

Exactly. He should stay. The pension is so incredibly underrated AND he ENJOYS his current position. Plus the $50k can be offset by the pension contributions from the government.

[@calvinhaynes5781]

Additionally; he can stay until 57 and receive the FERS supplement which will pay him the equivalent of social security until he is 62. So he will receive a FERS supplement, pension, and his TSP at 57. There is no way on earth he should leave his government job.

[@slideboy07]

Time is worth way more than $$

[@fortgrove3166]

I remained in the military for the pension and no regrets.

[@kah4325]

Same here. Full military retirement and VA disability pension for life. Was a tough life at times but no regrets. Glad I stuck it out. Deposit(s) at the end of month and benefits remind me a military pension is a beautiful thing.

[@fortgrove3166]

@@kah4325 exactly. I got both as well and in my 50s; so I am fortunate that I can pay the basics each month without working. But I do work as well, investing in my Roth 401k and paying off my mortgage faster.

[@christophernava6685]

I was active duty USMC but couldn't stay active duty still wanted to be in my sons life so I chose to go national guard still be in his life and still get benefits only 9 years away from retirement at 20 years.

[@airframer120]

I’m about done with military after 8 years but just stuck it out to 20 just for pensions and benefits 😂 I’m glad I did… 38 years old is still young to do what I want

[@militaryhomes6292]

A lot of people look at the numbers for the military for the pay and forget to notice that the BAH isn't taxed. That a lot of extra money per year. Same with the military pension. Depending on what state you live in that Income isn't taxed.

[@PremSteve-yg4de]

It's recommended to save at least 15% of your income in a 401k. You can use online calculators to estimate how much you should save based on your age and income. Saving at least 15% of your income in a 401(k) can help ensure that you have enough money to retire comfortably. By saving this much, you can take advantage of compound interest and potentially grow your retirement savings over time.

[@bernisejedeon5888]

For me, I believe retirees who struggle to meet their basic needs are the ones who could not accumulate enough money during their active years to meet their needs. Retirement choices determine a lot of things. My wife and I both spent same number of years in the civil service, she invested through a wealth manager and myself through the 401k. We both still earning after our retirement.

[@yolanderiche7476]

It's unfortunate most people don't have such information. I don't really blame people who panic. Lack of information can be a big hurdle. I've been making more than $875k by just investing through an advisor, and I don't have to do much work. Doesn't matter if the economy is misbehaving; great wealth managers will always make returns.

[@belobelonce35]

As a new investor it's always great to hear from a person who has gone through all the difficult times and come ahead of it. What are some strategies i can employ to be successful?

[@yolanderiche7476]

Sharon Marissa Wolfe is among the most accomplished portfolio managers in the industry, widely acknowledged for her outstanding work. I highly recommend taking a closer look at her impressive portfolio.

[@valeriepierre9778]

Thank you for the lead. I searched her up, and I have sent her an email. I hope she gets back to me soon.

[@imveryhungry112]

The private sector job is going to be a lot harder than what hes doing now for sure

[@Dan16673]

100%%

[@JWS1985]

Absolutely.

[@georgeballow7028]

Wait till things turn down at the private sector job and for the first time in your working life you face the reality of a layoff.

[@imveryhungry112]

@@georgeballow7028 good point

[@gordonallen9095]

And a lot less secure.

[@tdtfire6251]

Keep the pension , and medical insurance paid for is a huge benefit when you get older….

[@gordonallen9095]

Agreed. people don't realize the peace of mind and security a defined benefit pension brings in retirement. Not to mention the health insurance benefit for federal employees. The private sector job sounds better money wise, but what if the company downsizes, gets sold or goes bankrupt? You'll end up having to start over when you could've had seniority on your federal job. One thing about the Federal Government, it's not going out of business anytime soon. For me, Job security and a guaranteed pension is priceless in an era of failing private sector jobs, and layoffs. It's like "money in the bank." Another thing to ask yourself is; can there be room for upward mobility on your federal job? you can make more money being promoted where you are presently also.

[@mplslawnguy3389]

I have a pension, we don't get medical insurance when we retire. You're still on your own there.

[@richthepup]

There’s a reason most people don’t have pensions anymore, look carefully at the numbers. It may be something to hold on to

[@mplslawnguy3389]

401ks can be good too, but you have to start early and get a healthy match. 35 is getting a little late in the game to start one from scratch and expect to exceed the value of a pension. Dave is really giving bad advice here.

[@jeffb.4800]

He'd still be able to collect a pension with 15 years of service though. Probably like 36k a year rather than 70k.

[@desimo147]

They don't even ask the guy how much is the pension. I'd want to know that. If he could really retire at 50 (with govt provided healthcare to boot), yeah, I'd be all over that situation. Plus, he doesn't have to worry about layoffs with a govt job. Probably more stress with the private sector job as well. Maybe a lot more.

[@lonmidwest5363]

I'm not walking away from mine.

[@rebeccalynn7795]

if new job is tied to a local municipality then job could go bye-bye at the whim of local politics.

[@flea4061]

He doesn't know. Its a calculation.

[@boomnailedit1609]

Dave and crew don’t really talk much about military/federal jobs.

[@LG123ABC]

I know a guy that retired from the military after 20 years and then got a civil service job doing basically the same thing for more money. He's going to be retiring from that in a few years with a pension PLUS his military pension PLUS social security. Yeah, I think he's going to be doing alright.

[@shaddiegradyorielly6380]

three months away from a government pension. did my 35 years. glad I stuck it out.

[@anne9358]

Keep the pension. I didn’t start my pension until I was 39. With SSecurity plus my pension I will make more than my salary (which is substantial) when I retire- until I die. Benefits are amazing.

[@bwilliams6675]

I’m in the same exact situation

[@marcuswashington461]

Love Dave...but hard to take advice about pensions from someone who will never need it! I retired at 50 loving life!!

[@DavidHerrera-dh5ye]

What did you do?

[@javierosorio5169]

I’m 46 years old , I work for the city of Dallas , I get to retire at 50 years old . Sure im tired of my job , but I’m hanging in there !! 4 years to go.

[@jeffb.4800]

But surely the pension won't pay what you annual salary is at 50. It'll probably be 50% of the average salary of your 3 highest earning years.

[@blongshanks77]

Pension jobs are priceless. Trust me I know. I work as part of a a Union for a private company that offers a fully funded pension and healthcare when I retire. They also give us a 401K with a 6% match. I plan to stay here until I’m 62, and at that point I’ll retire with a Pension, 401K, and Social Security.

[@eddiejordan3718]

Your using my playbook

[@LegDayLas]

Private pensions worry me. If the company goes under, so does your retirement. I would struggle to "put all my eggs in one basket" and rely on that pension to be there. Now, gov pensions? Hell ya I'll rely on that. The only way that pension disappears is if the gov collapses, and if that happens my retirement is the least of my worries. I might be a bit bias though as I'm currently vesting into a Gov pension :D

[@Music-yq8qc]

​@LegDayLas Yes, private sector pensions are fake pensions. Government pensions are the real deal. It can never go under. They'll just increase taxes lol

[@NROhvac]

Imagine investing in a Roth too

[@Larry1-pl2wq]

Pensions are rare these days, and they do offer stability, but is it really worth staying at a job

[@roseyfischer]

It depends. I mean, the guaranteed income from a pension is hard to beat, but if you're not content and there are other ways to manage your finances, maybe it's worth exploring those options

[@Sanchyfab]

Exactly. I was in a similar situation a couple of years ago. My pension was decent, but I was ready to move on. Instead of staying just for the pension, I started working with an advisor to see how my other investments could fill that gap. It made all the difference

[@Bigwilli123]

Really? How did you figure out if your investments would be enough to make up for the pension?

[@Sanchyfab]

I worked with a portfolio manager who helped me balance everything-my 401(k), IRA, and other savings. I realized that with the right strategy, I didn’t need to rely solely on my pension to retire comfortably

[@Andres_853]

Absolutely. Working with a seasoned advisor helps, especially someone who focuses on retirement strategies.

[@SamuelClemente7718]

YES , YES YES . stay for the pension!!!!!!!

[@ralphparker]

Especially with a 80% satisfaction rating.

[@thehaulmom1969]

Please stay for the pension. Many of the retirees that have to go back into the workforce had a 401k and NO PENSION. Please keep your pension!!!🗣️🗣️🗣️

[@larriveeman]

my federal pension is 71K yearly with cola, plus SS wont take until fra plus tsp/ira wouldn't trade it, wife has ss and small fed pension also, plus I still pay for health insurance at the same rate as when I was working, it can't be beat

[@amason1979]

Stay for the pension and take an even higher paying private sector job at 51 plus the pension when you can starting collecting it.

[@archeanchaos-s4c]

He can take the pension till he's 60.

[@JohnJohnson-oh4zn]

Think twice before giving up your - Federal tenure, that makes you immune to fire. - Federal vacation accrual. At 15 years you're getting 2.5 days / month. That's a lot. SL and AL. - Federal Pension and 401k - Federal job training opportunities - Ability to not have to make anyone a profit Love and kindness to all beings.

[@ghostlyone2]

This guy is about to learn all about private sector healthcare costs.

[@michaelvan6675]

Christian healthcare ministries isn’t that expensive. I think I’m $750/month for whole family.

[@1978wisper]

@@michaelvan6675 that’s a whole lot. The state of missouri a fam is like $270 depending which plan you chose. As an individual I pay $70 for my public sector insurance.

[@michaelvan6675]

@@1978wisper ya it’s crazy. I was quoted over $2k for standard health insurance so $750 a steal.

[@Michael_Thomas134]

My pension took a big chunk out of every paycheck for 26 years, now that I’m retired I’m so happy to have this great pension. It would be hard to live just on it but my other investments are doing well too.

[@JohnJohn-wr1jo]

What people fail to realize, HC is no different than anything else. You get what you pay for.

[@fredericksalyer3304]

48 year old retired Police Officer. 5,500 per month, with free family medical, for life. If you're more than halfway to your pension, you should stick it out. I feel like I won the lotto!

[@andre1987eph]

You earned it buddy, enjoy. 😋

[@pamelawalker9056]

Thank you for your service. Yes, you earned it.

[@keke13905]

@@andre1987ephlike hell he did.

[@JesusisLordgh8j]

​@keke13905 A little Jealousy

[@penguin12902]

You take home in retirement more than I do working as a network engineer making over $100k gross....no wonder our country is bankrupt if that's how we pay police officers.

[@ryanshaeffer103]

Keep the pension job and invest 15 to 20% and you will be way better off!

[@twojabyla]

And live off what ?

[@mwolf0259]

I’m 8 years into a pension job but I am looking to leave as soon as I’m vested (15 years) instead of staying for a full career (25-36 years). I’m burnt out and am using my remaining 7 years to go back to school for a career change while utilizing my tuition reimbursement benefit.

[@NouNou25]

wow I didnt start my pension job yet Im still in the process. Everyone talks about how good it is but Im terrified of burnout *Police officer* I thought about going back to school now for a career change but anything but a pension scares me, especially after the pandemic.

[@cathyvine488]

@NouNou25 look into postal police. They are looking for postal inspectors. Might need a college degree.

[@cathyvine488]

​@NouNou25 the post office is hiring postal inspectors

[@dibari22]

Stay for the pension. Stay. Stay. Stay.

[@calvinhaynes5781]

He hasn’t thought this all the way through. He’s just thinking about the money.

[@TheReviewPigeon]

My pension is the only reason i'm still at my job. That guaranteed money for life hits different than me being concerned about the stock market destroying my 401k/457b. Just max out your retirement and coast until you're fully vested. Too easy

[@sophiafunworldatthepark6740]

My friend work for the Texas government and received the TRS pension. He got an offer like 30000 more. He moved to the private sector. If he stayed for the TRS pension, it will be better for him. He always think, the private sector is paying more but at the end you don't save more.

[@michikoiesaka3365]

I agree with you the pension is great Dave is wrong here bad move if this guy goes. I know I get the pension and the 401k and am a millionaire

[@michikoiesaka3365]

The pension is worth almost 2 million dollars Dave is wrong here. Dave you gave up 2 million dollars for 750,000 dollars. After 30 years you get about an 80k pension including social security. In addition you get the 401k. I would give up 40k a year for 15 years for this.

[@Music-yq8qc]

​@michikoiesaka3365 Not to mention he can get fired tomorrow in that private sector job for coughing wrong

[@jeffb.4800]

750,000 invested well could easily turn into 3 million in 15 years.

[@pamelawalker9056]

​@@Music-yq8qcnot only get fired, also get laid off if their is a recession or if the business is not doing well.

[@ralphparker]

He needs to consider all the benefits the gov't job is giving and put a value on them. There is a good chance the 40K won't cover those benefits. Paid leave, Sick leave, annual leave, controlled number of hrs of work. His 40K more position may require 90 hrs / week. He may already be eligible for a pension, he just can't get it til age 60 (or 62) = 1% x high 3 average x number of years employed.

[@bp6877]

You are correct! Dave should've also advised "working the numbers" regarding both opportunities, just as he would advise for a business deal.

[@jeffb.4800]

Agreed. I get 2 and a half weeks of sick time and soon to be 4 weeks of vacation each year.

[@morrcomedy]

“Leave a union job with incalculable security and a pension and top-tier benefits for an at-will employment position” great idea!

[@Dan16673]

Depends on pension

[@aolvaar8792]

@@Dan16673 or benefits, I get lifetime family healthcare

[@johnanderson8385]

They hate anything that’s unionized.

[@gordonallen9095]

That's my take on it as well. "A bird in the hand".......

[@jamesmooney7040]

😂

[@mithicash1444]

As someone who works in the federal government, although with much less time in, the biggest change for me from a contractor to a civil service was the piece of mind. Federal jobs are usually very secure even though the pay might not be as good as private sector. I am also single, which gives me the ability to move around for promotions. The Fed is a great place for career growth if you are mobile. Do not underestimate the quality of life you get with a steady and consistent 40hr weeks with great benefits.

[@simongarfunkel4040]

i am finding a similar benefit in a trades union. I like what i do, there's a health plan for my whole family my whole life, and pension so i can at least feed myself in my old age is a good sheet to sleep on. Teachers become millionaires too. Follow Dave's baby steps and i know i'm on a good path.

[@anthonyvanburen3998]

The ideal situation is a job with a pension and additional opportunity to invest in a 401k.

[@gordonallen9095]

Agreed. have a friend who was a federal employee that worked for the government for thirty years. In that timespan, he worked for 3 separate agencies, and was promoted 3 times. Because he was single, it was easy for him to pick up and relocate. He is now retired, and a part time science teacher at a local school. Not because he needs the money, but because it's something he always wanted to do. Plus he says it keeps him from being bored. His health insurance benefits are some of the best I've seen for retirees anywhere, I'm envious.

[@mplslawnguy3389]

@@anthonyvanburen3998 Employers (govt or otherwise) typically aren't going to give you a match for a 401K, 403b or 457b if they're already giving you a pension, so the opportunity to save outside a pension is there, regardless if it's private or government. The benefit of a 457b is there are no age restrictions, you can withdraw upon retirement.

[@anthonyvanburen3998]

@@mplslawnguy3389 You are correct not a 401k. However Government (Federal civilian and military) employees receive both a Thrift Savings Plan (TSP) with percentage match and a pension. The amount and type of pension varies but it still exists within the government.

[@coppingtonfarnham7731]

I worked in local government in various positions (in a library, but I'm not a librarian) for 34-years. I could never find a job that had comparable benefits or even pay. Good insurance and a pension. The pension is the difference between making it and not in my opinion, combined with SS and savings. The pension increases each year and will never run out. There were many times I hated the job. I also stayed because I like eating and having shelter and being able to help support my wife.... and I was adverse to the risk of moving around. I was able to retire from full-time at 60 (part-time to 62). For what I was earning, a 401k would not have been comparable in private industry.

[@talktothehand2012]

May I ask what you did? I used to work at a library as well.

[@jeffb.4800]

I was a Book Stamper. When people checked out books, I would be the one who stamped the "MUST RETURN BY". Did that for 34 years.

[@coppingtonfarnham7731]

@@talktothehand2012 Audiovisual (anything related to)including A/V collection management and assisting patrons on computers...the last ten years I was in Information Technology in a support position (setting up and removing equipment, software updates, etc...).

[@23pinkpear]

Dave doesn’t need a pension wrong person to ask

[@Salz88]

I work for the fed too and I'm 35 as well and I wouldn't leave the fed for many reasons. #1 Job stability, #2 Max Telework schedule #3 Great Pension, #4 Work-life balance is great, #5 I get so much leave I'm able to spend so much time with family and take vacations every year. The private sector is worst since they can easily fire you.

[@pamelawalker9056]

❤ same here. No way that I am leaving my government job.

[@janhatcher6991]

I would not give up my government job

[@whitb62]

Lol, just wait till DOGE is implemented soon. Say goodbye to whatever government job you got.

[@user-tb7rn1il3q]

@@whitb6210% of the jobs will go away through attrition. No congressman wants to get rid of jobs in their district. Most of the Government work is done by contractors right now.

[@guillermorivas7819]

Federal/State/City pensions of any kind equals to lifetime security. Also, contributing 10-15% of your overall income to a 457 plan (Roth or Traditional) is to ensure you'll be in a healthy retirement. Those without a pension can only wish they had that kind of security. On average, it's sad but true (as studies have shown) that those with a pension and a 457 plan can live with 90-100% of their income after retirement whereas those without a pension can only live with 60-70% of their income after retirement. Folks like Dave Ramsey don't like pensions because it basically goes against their conservative mantra of live with less and spend less.

[@jeffb.4800]

Very true. I have 15 years of service towards a government pension and have been contributing to a 457 plan the last 5 years. Plan to start a Roth when I'm 40 and build that up. Use the 457 as a bridge account so I can retire at 55 or so (if I want).

[@qdllc]

If you have a government job, don’t leave for private sector if you don’t mind what you’re already doing. Private sector can axe you overnight. Government can axe you, but it often has to “buy you off” when axing you.

[@Primitive_Code]

He's keeping his old job. Pension is a good asset.

[@jeffmiesen]

@Mac Yeah, but nobody stops you from doing both.

[@LG123ABC]

Pensions can go away plus a pension dies when you die. You can pass your assets on to your heirs.

[@aolvaar8792]

@Mac My former employer pays $3000/mo for Lifetime Family Healthcare + pension. It allows you to retire young, not waiting for Medicare. I left a $130K/yr job, for $65K/yr gov't job doing the same thing. 20 years needed My daughter will retire in her mid 30's, Never to work Again

[@aolvaar8792]

@Mac A $100K/yr pension, I didn't need "other investment vehicle growth"

[@enigmathegrayman2953]

@@jeffmiesen I agree

[@arandompersonp9883]

Stay with your current job, a pension in retirement is priceless.

[@shaddiegradyorielly6380]

62 with a state pension. just retired after 32 years. glad I stuck it out. It feels great.

[@charleswhite7035]

The people that complain about pensions probably don't have one and are envious of those that do. You can't beat the passive income and the time that you have to enjoy yourself. You can't put a price on time.

[@VaticanTop]

I’m in a union job for 13 years and I don’t have access to my pension until 65…I don’t see a benefit to it honestly.

[@MikeS-7]

​@@VaticanTopat 65 stinks. When the cash rolls in every month you understand the benefit.

[@gordonallen9095]

Exactly. Going civil service after being laid off from the private sector was the BEST decision I ever made. the ONLY people who hate pensions, are those who don't HAVE one.

[@pamelawalker9056]

​@@gordonallen9095same here. I was laid off from the private section during the recession 2009 and by the grace of God was employed in 2014 in the government sector. This was my second laid off. No way am I going back into the private sector only to get laid off again, working overtime with no pay, additional stress each day wondering if I will have a job.

[@Happinessisachoice2023]

Pensions are incredible. I have both a 401k and a VA/DFAS military widow pension. I don't have to touch the 401k because of my steady military pension! My military pension also includes health insurance for life. My civilian 401k never offered anything beyond 3 years of Cobra.

[@0mnilegacy]

I knew someone who switched and got layoff shortly after. The individual couldn't go back to his old GS job because it was already filled and the replacement got almost the salary the individual left for. Stated worst decision in their life.

[@TheFlyingZulu]

This is what makes people go postal... Holy smokes I would have a hard time dealing with that...

[@mithicash1444]

Yup. Going from a low pay contractor to a medium pay GS was the best decision I ever made. I am also single in a field where boomers are starting to retire. I can move anywhere in the US for any promotion as long as I know my job. The security and regularity of a federal job is SO good for someone like me who never had a stable environment in the past. People don't value security until they get hit hard

[@King32028]

​@@mithicash1444 sounds somewhat like what's going on with my agency

[@cantgetright742]

I'd keep the job. The gooberment is going to still be in business in 20 years

[@mmcgahn5948]

I’d stay at the public job with the pension. You can always go to a private sector job in 15 years when you have your 30 years in and you will then have two sources of income.

[@CarrieV9]

Stay with the pension job you love. Private sector is more competitive and is fickle.

[@gordonallen9095]

Working civil service vs. "at will." I've done BOTH. Give me civil service EVERY time.

[@amgooder]

No brainer😂 STAY WITH PENSION...unless your filthy rich like Dave.

[@eastcoastbiker7031]

Stay with the Pension Job. You will like that nice check every month w/out ever leaving your house. Use Dave's principles and build wealth along the way. You will not regret it. I retired 11yrs ago at age 46 with a nice pension with health benefits. Although, the job and people I worked with may not have been ideal at times I'm so glad I stuck it out. 50yoa is not too old to do whatever it is you want to do. You will own your time. Can't put a price on that.

[@kerryp7014]

But you're probably dirt poor too

[@Omar_Facio]

Can that really be called a life? Yuck

[@angieharris8015]

@@kerryp7014 How, exactly, is he dirt-poor? (if you're talking about eastcoastbiker). At the very least, he will have NO healthcare costs; that's a savings right there.

[@beatricerights]

@@kerryp7014 My Nyc teacher's pension will be 70k plus free health care at 55. This is in addition to a guaranteed 7% interest on my 750k 403B which I hope I can grow to a million dollars. A pension does not mean poverty. Many NYC teachers have a million dollars in their 403B.

[@simongarfunkel4040]

having good health benefits in your retirement is a is important. it will become more important to everyone here as they get older, and they see their family get older too.

[@rodrain2]

I love my pension. It is pegged to inflation so I never lose purchasing power and the wake up pay gives me options as far as working where I like as opposed to working because I have to.

[@Anne-qj6xo]

I retire next month after 39 years with a state job. Sometimes the job was difficult, but the insurance was good and inexpensive and leave time generous. Pay not the best but with a full pension and a lump sum, I am so glad I stuck it out. Taking early SS and that + my pension is as much as I make now. I don't have to worry about my ira losing money and the negative ROR this year, and probably next year too.

[@donjohnson1416]

LOL!! Your pension lost compared to an IRA but good for you being happy with what you got. Doesnt make a pension better than doing an IRA yourself nice try

[@Anne-qj6xo]

@@donjohnson1416 I never could have saved as much as I am getting in a pension. I did not even put into it. It was part of my benefit packet. Based on what my skill set and career choice was, I could have worked for a private company with not much better pay and certainly not the job security I had to make it 39 years. For some, the old fashion pension just can't be beat. And by the way, my IRA I contributed to is so losing money. I am so glad for my defined benefit and that I don't need to dip into my IRA at this time.

[@FluffyBunnySlippers]

Pension all the way. Ramsey wrong here

[@DLTJR1959]

@@donjohnson1416 LOL...My state funded pension is more than what my wife and I both make in SS...A lot more...I had a great 30 year career teaching at our local community college that folk would die for...And when I die she still draws the pension...When we get Medicare our insurance is $8 per month for a 90/10 plan over basic Medicare...

[@bigtoeknee11]

Good for you cingratz I'm in a similar position w 35 years n 2 more to ho my pension will be just as much as my base pay + full medical a no brainer

[@dc76384]

I'd look at stability. The government isn't going anywhere. The private sector is a roll of the dice.

[@billkennedy9234]

Started my goverment job when i was 21yrs old. Im 45. I have 6 more yrs for my pension. Ill be retired at 51. And 230k in deffered. Keep the pension job!!

[@dueydrew7172]

I agree with Mr. Ramsey about getting as much debt out of your life as possible. However, I disagree with his stance on pensions. There is a reason why the business world got rid of pensions and it wasn’t because a 401k is better for the employee.

[@Happinessisachoice2023]

Exactly. 401ks don't offer health insurance, dental insurance and vision insurance for life! Many pensions do!

[@williamschramm2761]

The benefits of the government job (health care costs ,vacation time, leave of absence and security) were not mentioned in this conversation.

[@pamelawalker9056]

Bingo. No way I am leaving my government job. I rather have the security, the benefits of the government job over going back into the private sector. That job in the private sector will be good for one year and be laid off the next year.

[@patrickfurlong9169]

I took job 25 years ago for the pension and benefits.

[@mbpark270]

Dave is severely wrong here. They have no idea what his pension even is per month.

[@Happinessisachoice2023]

He is VERY wrong.

[@mrchyzy16]

No, you stay for the pension. Worst advice I have ever heard out of his mouth...If pensions were so bad, every politician would be the first ones to give them up. Pensions have all the upside. You will run out of your 401k money before my pension ever runs out. Im all for chasing the money but 50k a year is not worth it enough to lose a pension over.

[@amgooder]

Oh if he had said he was getting a politician's pension Dave would have said stay with pension right away!!!!😂 their pensions are triple of what any good paying job pays.

[@peterrose5373]

depends how long until you're fully vested: put away an extra 50K a year for 15 years, and you won't NEED a pension, especially if the new job has matching of any kind. You shouldn't just wave your hands and guess at general principles. You should sit down with a spreadsheet and do the damn math. Three times: Pessimistically, optimistically, and most likely.

[@LegDayLas]

As someone with a gov pension, strong disagree. I could have done far more with an extra 50k a year to compound in value over just getting 60-70k a year during retirement. Yes, the pension pays out forever... I'm not going to live forever. Disclaimer- this is in no way meant to defame pensions, I love mine. But if I was offered 50k MORE yearly salary I would take that in a heartbeat. It's not like his pension disappears anyway, he put 15 years into it, he is vested and will still get a pension till death, just a lesser amount. Don't let a pension hold you back from making positive financial moves.

[@JesusisLordgh8j]

​@LegDayLas That is if his new company lays you off or for whatever reason. Job marketing is not as stable as they once we're especially with AI jobs will be disappearing soon.

[@dgknapp]

The private sector also increases his risk of being downsized, laid off, or fired, by 100%.

[@buddyterry950]

It's the same bullshit anywhere you go. Might as well get a pension job so you can be kicked back in the recliner and "pinch" yourself when that pension checks hit every month.

[@happycampers6592]

Horrible advice without knowing all the finer details. $750,000 after taxes is ~$600,000. The present value of a decent pension could easily match that, or surpass it. Plus, the possibility of better insurance now and in the future. Probably more stability in current job too. His current entire benefits package needs consideration. What are the odds that he will save ALL of the increase in pay? This is America, the land of consumers. More than likely, he'll increase his standard of living and save very little.

[@Happinessisachoice2023]

Pension! I have a military widow pension for life. I waited to remarry just to keep it. I also have Tricare for life. My 401k is great but with the pension, I do not touch it. My kids will inherit it. Most 401ks don't come with benefits like health, dental and vision care for life. Many pensions do!

[@vinniephillips452]

I stayed with my job for 21 years only for the pension (which also receives a 2% COLA annually) and the life time medical. When social security kicks in it’ll be smooth sailing from that day forward!

[@Fer-jd5fh]

Life expectancy is 76 in the US I’m just saying

[@vinniephillips452]

⁠that’s why I’m taking SS at 62

[@sadieesther9721]

The golden handcuffs 😩😩 I’m in the same situation

[@MikeS-7]

Patience, my friend, the reward is coming. Stay hungry and seek promotions and grow that pension. I can retire with my pension any time but the best time is in 2-3 years. Between that and SS, I don't need to touch investments. Estate planning becomes critical after that. Pick your trust type and execute.

[@stevejacobson7128]

If you have a government job and are a private sector job, keep in mind that the private sector expects results.

[@arabellamuller2461]

May Almighty God heal the Affected, Create job for the jobless , pave way for us all And make this year a Great and memorable one Amen.

[@arabellamuller2461]

If you want your 2023 to be better. Now is the best time to set some funds aside and invest it. It will help you creat a passive income and save you from the unexpected. Started my investment journey since 2014 and God has really blessed my with good returns.

[@brentolson5552]

Wish you all the best

[@francisvelazco7501]

I’m really so interested in starting something for myself but the problem has always been not knowing where to start. What kind of investment would you advise? And what is the best way to follow it?

[@arabellamuller2461]

@@francisvelazco7501 I'm a single mother living in CA. Been working so hard so I can retire at 50 if things keep going well for me. Bought my first condo this month and I can't be more proud than I am right now. I'm so glad I made good decisions about my finances that changed me forever.

[@ElizabethRow]

@@arabellamuller2461 Wow God bless you more and more, it's never easy to be a single mother and still beating the odds, I'm a victim so I know how it works ..

[@mrjack8849]

Currently working for a state with a pension. They take 10% pre tax every paycheck for the pension. My monthly pension payment estimate is supposed to be about 60% of my last 5 years average salary, for life after I retire. So if my salary averages $4500/mo during my last 5 years, then I make about $2700/mo from the pension, plus SS, plus any existing IRA’s/401k’s I have…also add on they will pay for my health insurance for life and half of my wife’s insurance. No, I don’t control any of that pension money though, and my wife gets a small lump sum or continued monthly payments up to 10 years. And if I leave my state job, most of that pension is left behind. If you’re making 6 figures early in life and contributing to a 401k/IRA early in life, a 401k is good. If you’re making less early on or saving late, a pension may be a good way to help shore up retirement funds. The point is, always be putting money away whether you have a pension or not…and do it as early in life as possible.

[@robedmund9948]

If you do not absolutely HATE your job, then stay. Combined, a pension with a 401k (with employer match, if available) is a pretty unbeatable combo. That said, would you be able to stash most of that raise and invest it, or would you spend it? How much discipline do y'all have?

[@noname75013]

Dave should teach him how to value the pension and then determine if the pay bump would allow him to save enough to replace the pension.

[@gordonallen9095]

He didn't even ask him how much his projected pension payments might be. In the "long run" it might be as much or more than what the private sector offered him.

[@nnodw7721]

Dude, your government job pension is 80% of your highest salary for life. Meaning if he makes 100k he will bring home a pension of 80k for life.

[@azikiwe12]

Well it depends on what years tier you are in. In my job the old people get 80%. But for us younger ppl its now 60%. Still great though!

[@selflessman]

Coming from someone who retired with 37 years of federal government service, and who collects SS, this isn't true for federal government jobs, especially since CSRS was replaced by FERS, Social Security, and the TSP in 1986. Even though CSRS got a higher pension, they didn't pay into SS, which means they didn't qualify for SS. Although FERS got a smaller pension, they paid into SS, plus they were offered the TSP, the federal government's version of the 401K. With CSRS replaced by FERS, the only way you will come out with 80% or higher, is if you invest in the TSP early or put a lot of money in it, or both. Unfortunately, without the TSP, FERS pensions comes out to nowhere near 80%...not even half. For example, 30 years of service will get you around 30%. When you include SS, then you're looking at closer to 80%, but don't quote me..that depends on how long you worked. Then when you include the TSP, depending on how much you put in it, you could be looking at 80% or higher. But like the 401K, the TSP has its ups and downs as well, plus most people don't start putting in enough until it's too late, like myself. But I knew I had the pension and SS to look forward to. With the house paid off, and no debt, I'm living pretty comfortable of my pension and SS, although I think I would have came out better under the CSRS. And although the COLAs don't really match inflation, they make a big difference to your pension in the long run. How I know? I've been retired for 18 years. Because of my added up COLAs, I get around $30,000 more to my annual pension to date, which will increase each year as long as I get a COLA. If I didn't get my COLA's over the years, my pension would be $30,000 a year less. Another thing. If you work until 62, you get 1.1 of your high three salary. Under 60, you still get 1.0 percent of your high three salary. It may not sound like much, but that 1.1% means a 10% raise on your pension for the rest of your life.

[@selflessman]

@@azikiwe12 If you're talking about the older employees under CSRS, and the newer employees placed under FERS since 1986, then I can relate, since I was one of those who started in 1986. Well, six months of my service was under CSRS before they switched me over to FERS, for whatever difference that made. I didn't think CSRS got 80%, but when I think back, I believe that's what they were getting. I was so blind, I thought I was going to get 80%. And being young, I thought 80% wasn't enough, since at the time, I thought I would still have a mortgage. I didn't even realize how much lower the percentage was under FERS. But the SS helps a lot. The employees who came in when they first switched over to FERS in 1986, the same time they started the TSP, would have about 38 years, if they kept working. I went out on FERS Disability in 2006. So I have no ideal how those who invested in the TSP came out when they retired. The hopes were high when the economy was booming. Since the crash, I'm not sure how it worked out for them, but I know their small FERS pension and their SS, help them fill in any gaps. If you were at least a GS 12, you could retire overseas, and live like a king. You could do well here in the states too, if you were able to knock off your mortgage. I wouldn't want to be living of a pension, and still paying a mortgage, or especially rent. Those two factors alone, can determine whether or not you can afford to retire, especially if you're single. When I was forced out on FERS Disability, something you also have to get a lawyer to win if you're denied, I got 40% of my high three salary. That was good compared to the percentage FERS pays to non-disability pension receivers. It would take them 40 years to get 40%. But SS messed me up by constantly denying me SSDI, which would have brought me up to about 60%. But because all this went down in 2006, and becasue I'm single, I was able to sell my house, take the equity, relocate, and buy a house in the South, paid in full. That's how I was able to live of of only 40%. When I turned 62, I started getting SS. I'm putting away most of that money.

[@MatthewEdwards-bd7uo]

I have a pension and I’m in the private sector, I also have dividends from the stock market and I’m only 35.

[@Music-yq8qc]

Private sector pensions are fake pensions. Try to get into the government.

[@skills7071]

he better weigh all the options. I know a couple people who work at the federal level and depending on what retirement he has, average pension (depending on time served) is 30-50%, could be more of their take home plus dirt cheap medical benefits. Plus they have matching 401k's as well. Plus it's a super stable job

[@imveryhungry112]

Just FYI that new pension the new one that people get it's 1% a year so after 30 years it's like 30% of your income

[@9770G]

LEO’s in my state retire with pensions at 60-70% of their highest income year. 30-50% sounds super Low. Idk where u got those numbers but I haven’t heard of a pension that pays less than 50%.

[@1111_Millionaire]

Stay at the pension job and look for a higher grade in the government! The private sector is cut throat you may stay there for 6 months then lay you off!

[@jackies7218]

Do what you need to do to get that pension. It's worth it. You will be glad you did.

[@Fishouta]

He already has earned the pension, no matter what he does now.

[@larriveeman]

the value of a pension, lets say you have a 60K federal pension with cola and 50% survior benefit, and lets say you use a typical withdrawal rate of 4%, the value of the pension is 60K/.04 = 1.5 million, that only stops when you and spouse die, that's hard to beat, and you get health insurance at the same rate as when working

[@ChristopherAbelman]

These days, I've been contemplating retirement, uncertain whether my 401(k) and IRA will ensure a secure future. I've also invested $800K in the stock market, experiencing fluctuations without substantial gains.

[@PennyBergeron-os4ch]

Using a 401(k) or IRA is a valuable strategy for retirement planning, providing potential savings growth and tax advantages. While the stock market is promising, expert guidance is essential for effective portfOlio management

[@JosephineKenney]

Opting for an investment advisr is currently the optimal approach for navigating the stock market, particularly for those nearing retirement. I've been consulting with a coach for a while, and my portfOlio has surged by 45% since Q2.

[@HildaBennet]

Market behavior can be complex and unpredictable. Mind if I ask you to recommend this particular coach to whom you have used their services?

[@JosephineKenney]

Go with Sonya lee Mitchell. She is the licensed manager I use. Just research the name. You’d find necessary details to work with a correspondence to set up an appointment.

[@HildaBennet]

I searched for her name on the internet, found her page, and reached out via email to schedule a conversation. Thank you.

[@jaylenjenkins1696]

I would stay with the pension job in the long run it will be better in the later years.I know people that retire and got a pension 30 plus into their retirement

[@blackworldtraveler3711]

At least be vested before leaving. I have two pensions because of company I worked for in the past and already vested.

[@kwqd54]

First of all, why didn't they ask specifics about his pension? How much will it be, is there a COLA, etc.? He could always find a new private sector job at 50 with his pension locked in and it would be a core, unchanging part of his retirement portfolio, not subject to economic factors. Also, in my state there is no tax on pensions. I am using my pension as a bridge to collecting Social Security at 70 and then to my 401K at 73. My company, State Farm, dropped their pension plan a few years after I retired, and then outsourced their entire IT department to an Indian company few years after that. At one time, State Farm seemed bullet proof, but that all changed pretty quickly. If can get a decent government pension, go for it. Also, the private sector is typically less secure than a government job. I think they blew this one.

[@LightofBankai]

One thing I realize is that people are not disciplined in managing their own retirement fund. I also realize that private companies can file for bankruptcy. A city, county, state, federal government can’t.

[@commonsense5555]

I work for a county part time as an EMT which offers a pension and I’ve definitely considered dropping my full time working at a higher paying private EMS service to go there and the pension is definitely part of my considerations

[@hisgraceissufficient5323]

Just curious, but if you work part time do you still get service credit. I currently work for the school district. I previously worked about 10 years in municipal gov. Would like to find a part time job in gov. to draw more than 1 pension.

[@commonsense5555]

@@hisgraceissufficient5323At least where I’m at once you’re in the pension you’ll pay into it regardless of full time or part time status, I did decide to go full time with the county

[@johntnguyen9917]

Lately, l've been reflecting on my retirement plans and questioning whether my 401(k) and IRA will ensure a secure future. Additionally, I've invested $800K in the stock market but I have experienced fluctuations and modest returns. I'm seeking an approach that matches my risk tolerance and aligns with my financial goals.

[@JeffreyTuck-x4f]

Using a 401(k) or IRA is a valuable strategy for retirement planning, providing potential savings growth and tax advantages. While the stock market is promising, expert guidance is essential for effective portfolio management.

[@miketolliver8940]

Graham David Fullerton is among the most accomplished portfolio managers in the industry, widely acknowledged for his outstanding work. I highly recommend taking a closer look at his impressive portfolio.

[@DeborahPatterson-v5k]

I just checked him out on google and I have sent him an email. I hope he gets back to me soon.

[@Casey-summer]

More and more people might face a tough time in retirement. Low-paying jobs, inflation, and high rents make it hard to save. Now, middle-class Americans find it tough to own a home too, leaving them without a place to retire.

[@sloanmarriott5]

The increasing prices have impacted my plan to retire at 62, work part-time, and save for the future. I'm concerned about whether those who navigated the 2008 financial crisis had an easier time than I am currently experiencing. The combination of stock market volatility and a decrease in income is causing anxiety about whether I'll have sufficient funds for retirement.

[@mellon-wrigley3]

This is precisely why I like having a portfolio coach guide my day-to-day market decisions: with their extensive knowledge of going long and short at the same time, using risk for its asymmetrical upside and laying it off as a hedge against the inevitable downward turns, their skillset makes it nearly impossible for them to underperform. I've been utilizing a portfolio coach for more than two years, and I've made over $800,000.

[@lilyhershey1]

​ *@mellon-wrigley3* That does make a lot of sense, unlike us, you seem to have the Market figured out. Who is this consultant?

[@mellon-wrigley3]

"Gertrude Margaret Quinto" is the licensed advisor I use. Just research the name. You’d find necessary details to work with a correspondence to set up an appointment

[@Buffet-walton22]

Insightful... I was curious about her, so I looked her up online. I discovered her website, and I must say that she seems knowledgeable. I sent her an email outlining my goals. I appreciate you sharing.

[@agoogleuser9218]

I'm staying in my current job for that very reason. It's an easy, relatively stress-free government job that I can retire from in a few years with a decent (not lucrative) monthly check.

[@DUNCEATRON5000]

A pension is awesome . Why not stay

[@hcrystalh]

C’mon tommy. No one wanted to “remove the money out of the conversation.” This isn’t a happiness advice show. It’s a money show.

[@flea4061]

He has a lower tier federal job. For him it might make sense. My federal pension will be more then 50k a year.

[@anne9358]

Once you are in the system you can move up (if you want to)

[@ryanmaris1917]

It’s an extra $750,000 over 15 years without raises/bonuses. I would be weighing that against the pension, the pension might be more valuable, especially since it sounds like the guy is doing alright financially.

[@Music-yq8qc]

He can literally get fired the next day in the private sector. In the government, you have to count the pension contribution from the employer (government l), paid sick days, vacations, etc. All those should count regarding your salary

[@pokeballztime1936]

Higher Healthcare cost, higher turnover, and more stress. That’s what private sector has for you. I understand what Ramsey said here by make your own retirement but to these companies you’re a pawn. And they lore you in with high starting salary’s then drop you. For context I’m an electrical/computer engineer working for a city owned power company with one hell of a pension plan, 8 out of 10 with my job as well.

[@kendrickf-d6695]

I hate when they ask if you enjoy the work. Not all of us are excited about work at all. And there is nothing wrong by being motivated by money.

[@EmpressMermaid]

50 is actually still young enough to go into another job and still collect that pension. I'd stay personally, especially since he says his job is 8/10. Plus you have to consider job security. Private sector jobs can poof away instantly. Having said that, he could make it work if he has the discipline to keep his current lifestyle and invest the extra money over the coming years.

[@SlowPeace25]

I was kind of onboard for 100% no tolerance for credit cards... But 100% no tolerance for pensions is a bit much. No one I've ever met regretted getting a pension.

[@selflessman]

I have this feeling this guy would regret leaving his government job with a pension after 15 years, especially when he liked his government job on a scale of 8/10, just to go to a private sector job because it paid more...even if it doubled his salary. I'm so glad I never left my government job, when several people where suggesting I go to the private sector to more than double my salary, even though the ones who were suggesting I do this, actually meant it for my good.

[@imveryhungry112]

The earliest the federal workers can collect the pension is 57 and that's early retirement with reduced benefits.

[@mithicash1444]

There are special cases depending on occupation and on the agency. But you are generally correct.

[@sloughdog]

I believe 57 1/2 with 30 yrs service is the earliest, with no reduction in benefits. their are other branches such as immigration/ border patrol, that you only have to work 20 yrs for full retirement, military also. good day

[@imveryhungry112]

@@sloughdog yeah and theres also the TSP for the governmet employee. So if they want to build a larger nestegg they can use that and some agencies match the TSP too so they can build an even bigger nestegg.

[@SunshineFL]

You can retire after 20 years with.a pension where I work for the county government. I will be 55 and retired with over 25 years and I’m young enough to do something else if I. Chose to but I don’t need too.

[@Shell2014]

Most people will spend the extra monies they earn, with pension company pays on your behave and you will forsure have it, plus health insurance the rest of your life

[@MikeS-7]

It's pension and HEALTH INSURANCE. The assumption is you will bank all that extra money and you likely will not. If you have a job offer letter, see if you can use that to get a bump in salary. They won't match your raise as it is to high, but you could get a nice increase. At 50, you can take your pension and retire or transition into the private sector for 10-12 years. You can go for the sure thing or go for gold. I am more conservative so it is a no brainer to go for the sure thing.

[@giannolamichael]

dave one thing you forgot to mention is they were in the possition for 15 years. in the federal goverment system after 5 years of service you concrete a pension just longer you stay more you get

[@stevenwalker4923]

The main concern is government jobs don't usually come with performance requirements. Government employees are typically given tenure after a specific period of employment. You won't be fired unless you really screw up or murder someone on the job. The private sector is different. He will have performance quotas. It's the trade-off you have to make before you decide.

[@johnussery3386]

Keep the job with the pension. They are rare and becoming extinct. Also, when the economy tanks (and it eventually will), you will be the last to get laid off while the private sector reacts quickly. Plus, the benefits (vacation, sick leave, medical, dental, etc...) from a Federal job are great. Invest more, save more. It's not what how much you make, it's what you do with it.