Deferred comp.

[Peconic]

How many of you guys/gals have set up deferred comp. plans to supplement your pensions? I was just hired, and want to get one going ASAP (sooner the better). I was wondering for those that have such a plan, what percentage of your weekly (bi-weekly or annual) salary do you set aside into such accounts? I know it will vary by personal opinion and salary range, but any info helps! Thanks!!!

[Dinosaur32]

Your benefits people should have full explanation of the plans available. Try for the max contribution you can live with (family circumstances are a big consideration)......you'll get used to the contribution and eventually will not miss it. today's plans a very much improved over the first versions.

[GrayPatriot]

I give 15% per paycheck. I know I shouldn't but I go on their website everyday and check my account. I lost $1,200 in one day a few months ago... Some people told me they lost well over $100,000 when the bubble burst on the tech industry so...

[k9 max]

In my opinion this is a great plan and well worth investing in. Years ago a good friend of mine advised me to start contributing as much as I could to the plan, and as I reflect back that was some of the best advice I could have received.

[AllGoNoShow]

When I looked into it, a Roth IRA would have been a much better option-but you do have to have the patience and self-control to fund it/set-it-up yourself (the convience of having it taken right out of your paycheck is nice).

[gbotj]

peconic, sorry to steal the thread but whats SCPP's salary?

[Peconic]

SCPP starts (in academy) at 49,500 base, goes to 52k (I believe, could be alittle higher) after graduation. Top pay after 7, lots of ot. There are some things in the work also, so things are looking really good for the future! Seems like a great bunch of guys/gals (both who work there, and new hires). I appreciate all the deferred comp. calls also!

[gbotj]

OMFG you lucky SOB.

JACKPOT!!!! Congrats again....

[jchughes05]

Wowwie wow wow!

I only made 35,500 in the academy, making about 40K now (1.5yrs on)

[CO1259]

I put in about 10%, which comes out to somewhere in the neighborhood of 4700 a year. Just make sure you're careful, and distribute the money well. Some high risk, some low risk etc.

[Peconic]

So its best to spread it around a bit then? As you sair, maybe put some in high risk/ high yield, and some in low/low? Sounds good, and 10% I think is about what I want to do.

[CO1259]

I have half in low, half in high. But I'm nowhere near retirement age, so take that into account as well.

[VegasMetro]

How many of you guys/gals have set up deferred comp. plans to supplement your pensions? I was just hired, and want to get one going ASAP (sooner the better). I was wondering for those that have such a plan, what percentage of your weekly (bi-weekly or annual) salary do you set aside into such accounts? I know it will vary by personal opinion and salary range, but any info helps! Thanks!!!


I have it, started in the academy 15 years ago. My advice to you is max it out every chance you can raise your contribution. More than likely you will always get raises, if you start now, you will never miss the money and before you know it you will retire. I pay 450 into it a check. The max is around 575, I can't swing the max now due to bills, kids, ect. I plan on bumping it to 500 in Jan. Once you pass 100k in the account it will grow fast. Yes, I took a hit in 01, lost 30k, but gained that back now..... Anyhow, Good luck..

[Peconic]

Thank all of you for the advice, its very valuable!

[gbotj]

hey peconic. Time to change your profile buddy.

"Are you a sworn police officer"
"Hell muthafvckkin yeah!!" lol.

[Peconic]

Thanks, I'd like to. But, even though I have been sworn in, I won't change it until I am out of the academy. Only then (when I am finally "on the street") will I feel as though I have earned the title, sworn LEO. ;)

[gbotj]

haha.

its gonna be a looooooooonnnnnnnggggggg 6 months. well worth it though.

[SlowDownThere]

So its best to spread it around a bit then? As you sair, maybe put some in high risk/ high yield, and some in low/low? Sounds good, and 10% I think is about what I want to do.

The maximum allowed by law, for 2007, is $15,500.
Let's hope it continues to go up, up, up.

At your age, you should be willing to take some risk. I'd put the majority of it in a high quality, low cost S&P 500 index fund. Put some into international funds and/or emerging markets. Avoid the bond funds at this point in your life.

You should have one million dollars when you retire (and I'm not exaggerating), assuming you contribute the maximum every year. Also, you can contribute to the def. comp. and a Roth IRA at the same time, if you can afford to do so.

[GrayState]

I lost 15 percent in my small cap last week... some company obviously went under heh. I have some money in, but I'm trying to save up for a house... I know I should be putting a lot more in but, well no good excuse.