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Checks in the Mail for Retirement

How Many Checks Will You Have Per Month When You Retire? Are you preparing yourself for a comfortable retirement? Or will you have to go back to work after 18 months? Take the time to look at what you have in place to determine if it’s enough or if there is something different you can do to ensure a comfortable retirement. You should have at least 4 paychecks coming in per month in retirement and if you plan properly you can achieve this.

The four checks should be:

  1. Pension

  2. Social Security

  3. TSP/401k

  4. Annuity Funds

And please, do not take a lump sum of your TSP or 401k when you decide to retire. The Pension, Social Security and TSP/401k are all growing tax deferred, so the amount you see on your quarterly statements may look really good but remember they will be taxed at least 25% when you are ready to receive it. If you choose to take your TSP/401k in one lump sum expect at least 30% or more to be taxed. For example if you were due to receive $100,000 lump sum distribution and your former employer withheld $20,000, you’d pay $7,600 (38% tax bracket) in taxes. If you’re younger than 50 ½, you’ll be hit with an additional 10% tax penalty equal to $2,000. Avoid being bitten by taxes, plan appropriately with your financial consultant. Contact Swain Consulting to help you navigate your own retirement plan. Go to


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