A discussion near and dear to my heart! I held three full-time jobs during my working career. My first job was at a state university hospital/medical school. I believe my salary topped out at about $30,000/year (in 1996), but the job made me eligible for a state pension plan benefit that was fabulous. Even though I lost half of my pension in my divorce settlement, if I wait to draw on it until I'm 72 years old, I'll get a benefit of about $1200/month. The state contributed all the funds into that pension--none of my salary went into it. My second job came with a much higher salary ($42,000/year), but basically no benefits beyond health insurance and a small 'matching' contribution to a 401(k). I didn't stay there long. My third job--where I stayed for 24 years--also had a modest salary. My final gross was about $76K/year. But I only had to work 37.5 hours a week, had TONS of paid time off and it came with an early retiree health care benefit that I take advantage of now. My employer also contributed a sum equal to 10% of my salary into a 403(b) plan the entire length of my employment. And, on top of everything else, I got to take my dogs with me to work--every single day. I've mentioned before that I never felt 'passionate' about any of my jobs. They were a means to an end and a way for me to support my dog training passion. But the benefits were always more important to me than the salary. My lifestyle is simple enough, I've never felt like I needed to make a lot of money. The benefits are what allowed me to retire early and will likely provide me with a reasonably good income stream for the rest of my life. Now, I would be remiss if I didn't mention that the state pension plan I'm vested in no longer offers the same level of benefits. And that "early medical retiree" plan my final employer offered? It doesn't exist in the same form either. I was fortunate the timing of my employment allowed me to take advantage of some very generous benefits.
Most of my retirement funds are also in TIAA. I do plan to eventually take about 50% of it and turn it into a single-life annuity. I may start by doing an 'interest only' withdrawal for a few years as we don't really 'need' the money now and that would allow the principal to remain until we decided we need/want to begin drawing on it. I'm three years away from drawing my own SS.
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A discussion near and dear to my heart! I held three full-time jobs during my working career. My first job was at a state university hospital/medical school. I believe my salary topped out at about $30,000/year (in 1996), but the job made me eligible for a state pension plan benefit that was fabulous. Even though I lost half of my pension in my divorce settlement, if I wait to draw on it until I'm 72 years old, I'll get a benefit of about $1200/month. The state contributed all the funds into that pension--none of my salary went into it. My second job came with a much higher salary ($42,000/year), but basically no benefits beyond health insurance and a small 'matching' contribution to a 401(k). I didn't stay there long. My third job--where I stayed for 24 years--also had a modest salary. My final gross was about $76K/year. But I only had to work 37.5 hours a week, had TONS of paid time off and it came with an early retiree health care benefit that I take advantage of now. My employer also contributed a sum equal to 10% of my salary into a 403(b) plan the entire length of my employment. And, on top of everything else, I got to take my dogs with me to work--every single day. I've mentioned before that I never felt 'passionate' about any of my jobs. They were a means to an end and a way for me to support my dog training passion. But the benefits were always more important to me than the salary. My lifestyle is simple enough, I've never felt like I needed to make a lot of money. The benefits are what allowed me to retire early and will likely provide me with a reasonably good income stream for the rest of my life. Now, I would be remiss if I didn't mention that the state pension plan I'm vested in no longer offers the same level of benefits. And that "early medical retiree" plan my final employer offered? It doesn't exist in the same form either. I was fortunate the timing of my employment allowed me to take advantage of some very generous benefits.
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Link to comment from May 12, 2026
Most of my retirement funds are also in TIAA. I do plan to eventually take about 50% of it and turn it into a single-life annuity. I may start by doing an 'interest only' withdrawal for a few years as we don't really 'need' the money now and that would allow the principal to remain until we decided we need/want to begin drawing on it. I'm three years away from drawing my own SS.
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Another great HD contribution--thanks for this.
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Link to comment from April 26, 2026
Great article! This should be mandatory reading for young people.
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