I left state of Texas employment in 1992. I completed the direct transfer of retirement money to an IRA and promptly forgot about the money. Fast forward to 2012 and by then had been teaching 11 years and decided to buy back the time I had worked for the state, six years. I am not sure if I knew it at the time, but it turned out that if a person had worked for over 3 years at the state, the person could decide which retirement system to retire from, either the state of Texas system or the teacher retirement system.
The state of Texas system includes a free health insurance premium for me for life and my wife's health insurance is 50% off.
This decision gives me the flexibility to retire as early as age 61, instead of if I had never bought the time back, I would have to work until at least age 67, and have to figure out health insurance on my own.
Honorable mention goes to my purchase of the MCC, Mortgage Credit Certificate, an outlay of about $1600 or so resulted in tax credits of $28,000 over 14 years.
The state of Texas system includes a free health insurance premium for me for life and my wife's health insurance is 50% off.
This decision gives me the flexibility to retire as early as age 61, instead of if I had never bought the time back, I would have to work until at least age 67, and have to figure out health insurance on my own.
Honorable mention goes to my purchase of the MCC, Mortgage Credit Certificate, an outlay of about $1600 or so resulted in tax credits of $28,000 over 14 years.
Statistics: Posted by AlaskaTeach — Tue Apr 02, 2024 11:28 pm — Replies 82 — Views 5284