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Retirement Benefit Question

Posted by on Oct. 16, 2017 at 10:28 PM
  • 10 Replies
We are sitting here going over my husband's retirement paperwork and we're stuck on the survivor benefits option. I'd rather do this, with the guarantee of 55% of his retirement for life than get a private policy with a lump sum. Everyone he is speaking to, retired friends, are saying they declined. What did you do, and why?
by on Oct. 16, 2017 at 10:28 PM
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Replies (1-10):
macawoogo
by on Oct. 16, 2017 at 10:33 PM
My dad retired from USPS and his check is less now do if he dies before my mom she will have an income for the rest of her life. She never worked and postal service didn't pay into social security back then.
jas_momof2
by アニメの雌犬 on Oct. 17, 2017 at 8:25 AM

We did it.  I'm really not sure why someone would decline, but I guess that's a personal thing.  Dh wanted to be sure I was taken care of if he passes first.

ReadWriteLuv
by Silver Member on Oct. 17, 2017 at 1:20 PM
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I think his friends that declined are all just cheapskates, and didn't want to fork over the $150 a month, but, to be fair, they are all in very different situations than we are, both medically and financially.

I think it makes more sense to play the long game. I'm not going to be able to build much of a retirement on my own, this gives me peace to know that if he passes early I won't be left destitute. People on both sides of my family live well into their 90's, his family has greatly shortened life expectancies on both sides. If he only lives to 70, and I live to 100, 30 years would be a long time to try to stretch a lump sum insurance pay out. I don't want to have to share cat food with my cat, KWIM?


Quoting jas_momof2:

We did it.  I'm really not sure why someone would decline, but I guess that's a personal thing.  Dh wanted to be sure I was taken care of if he passes first.

Anonymous
by Anonymous 1 on Oct. 17, 2017 at 3:11 PM
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My husband retired in 2012 and we opted for it and never considered not to. It just makes sense to us.

I can remember reading about this same thing on here a year or two back and everyone saying they chose not to sign up for it and I couldn't understand why. *shrugs* Something about other life insurance... but I feel like this is supplemental to life insurance and peace of mind. About $150 comes out of his retirement check for SBP in addition to $113 for dental and $45 for USFHP and we don't miss any of it. We figure what a steal for all of that compared to what other people are paying.
karene999
by Member on Oct. 17, 2017 at 3:18 PM
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we did survivor benefits, in addition to a life insurance policy

chrlstoncharmed
by Melissa on Oct. 19, 2017 at 3:46 PM
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He opted for the survivor benefit. He refuses to get life insurance, though. I just got a quote through USAA and I'm going to take out a policy on him and pay for it myself. 

ReadWriteLuv
by Silver Member on Oct. 20, 2017 at 4:21 PM
It's time to renew our benefits here at my job, I'm going to do the same, through my work. Won't be for a high amount without a physical, but the older we get the more I realize that I need to protect my future self.

Quoting chrlstoncharmed:

He opted for the survivor benefit. He refuses to get life insurance, though. I just got a quote through USAA and I'm going to take out a policy on him and pay for it myself. 

denise3680
by Bronze Member on Oct. 26, 2017 at 11:46 AM

We pay every month to ensure benefits.  I work but it is something my husband wanted to make sure of.  My father did it too.  IMO, I think it is worth it to do, piece of mind.

karene999
by Member on Nov. 7, 2017 at 11:19 AM

I retired and I did it; seemed crazy not to.

Idkmyscreenname
by Member on Nov. 11, 2017 at 5:11 PM
We didnt do it. We have IRAs, stocks, I make a great living, we have some private life insurance policies.
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