EARLY CAREER TEACHER
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Make a budget. Know what your income is and learn not to spend more than that. That’s how you’ll start to build wealth.
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Pay down debt and know the interest rates for each of your loans. Focus on paying down high-interest loans first. Paying more than the minimum payment on a lower interest loan like your student loan before paying off a higher interest credit card might not be best for you.
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Sign up for a 403(b) tax-sheltered annuity. Contribute the amount required to replace Social Security..
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Find a financial planner who will work with you and provide guidance on what you should focus on money-wise.
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Roth or traditional. Determine best account type for future savings.
THE MID-CAREER PROFESSIONAL
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Revisit your budget. Are you still living within your means?
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Keep paying down debt and know the interest rates for each of your loans. Focus on paying down high-interest loans first. Paying more than the minimum on a lower-interest student loan before paying off a high-interest credit card might not be best for you.
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Sign up for a 403(b) tax-sheltered annuity. Contribute the amount required to replace Social Security. If it is offered contribute to a Roth 403(b). If a Roth 403(b) isn’t offered, open a Roth IRA..
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Create a MySTRS account. Update your profile so you don’t miss important updates. Review your annual statement to monitor total service credit, contributions and employer deductions. https://www.calstrs.com/
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Keep your beneficiary designations up to date. When you name a beneficiary on an account, you’re designating who should receive the assets in the event of your death.
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Find a financial planner. Talk with that person about whether you have the right mix of savings—STRS pension, 403(b), Roth IRA, etc.—for retirement.
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What will your income gap be?
NEARING RETIREMENT
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Keep working toward being debt-free going into retirement—you’re going to be living on a fixed income.
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Determine eligibility. If you’re at least 55 and vested, you are eligible to apply for a retirement benefit, though it pays to wait until age .60
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Generate STRS retirement benefit estimates on the CalSTRS website.
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Find a financial planner to discuss how best to turn your savings—your STRS defined befit pension, STRS defined benefit supplemental account, 403(b)—into income duringretirement without getting hit with a big tax bill.
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Make an appointment with a STRS retirement counselor. You will get a personalized, detailed estimate of your projected monthly retirement benefit. The application process and key decisions are also explained.
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Review health insurance options (through school district or supplemental insurance providers).
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Choose a CalSTRS retirement option. Which pension beneficiary option are you choosing?
RETIRED EDUCATOR
Enjoy what you have worked so hard to achieve. You’ve earned it