Today’s post features a guest writer Angelo Saris, who lends some perspective on financial planning after 55 for military families.
Retirement after 55 (or later) isn’t a coast. For veterans and their families, this phase means rethinking how military benefits, savings, and civilian systems work, or don’t. You’re not navigating a single set of rules. You’re working with layers of entitlements, restrictions, and hard-earned resources that need to be sequenced, not stacked. Many get caught off guard, not because they lack assets, but because they lack structure. The decisions you make now affect not just the next few years but the next few decades.
Make Income Sources Work in Order, Not in Parallel
Military pensions provide consistency, but that doesn’t mean you can ignore timing. Claiming Social Security too early reduces benefits for life, and pulling from TSPs or IRAs without considering your pension’s tax impact can create avoidable drag. Instead, coordinate your drawdown strategy so that each piece contributes at the right time. This isn’t about adding up income. It’s about controlling when each source kicks in and how it affects taxes and longevity. Start with a clear plan for military pension and Social Security stacking to shape your taxable income, then design your withdrawal rhythm from there.
Treat Health Coverage as a System, Not a Default
Relying on the VA alone can leave serious gaps, especially if your access changes due to eligibility or geography. Medicare Part B becomes essential, not optional, once you hit 65, even if you prefer VA care now. Some services simply aren’t covered under VA or are only partially available. Integrating private coverage or Medicare Advantage can close those gaps. Too many delay enrollment and face penalties or limited plan options later. Planning now lets you structure care that’s both mobile and complete. Learn how to use VA benefits and Medicare together so you’re not left vulnerable in transition years.
Convert Sinking Costs Into Liquidity
If your life insurance policy no longer aligns with your current needs, don’t let it drain cash. A life settlement allows you to sell the policy, often for more than the surrender value. The key is working with someone who markets the policy broadly, not just to one buyer. Life settlement broker responsibilities include representing your interests, seeking multiple bids from licensed investors, and driving fair market value. This process can unlock liquidity without tapping retirement savings or taking on risk. For many military families, it’s a smart way to reduce expenses while adding flexibility.
Beware the Illusion of Stability
One of the most common missteps is assuming your pension means your financial picture is “set.” But fixed income erodes under inflation, and expenses often shift in unexpected ways. Veterans sometimes delay updating beneficiaries, avoid estate planning, or underestimate long-term care risks. They may also cling to investment allocations that no longer match their needs. Review your plan annually and adjust based on real shifts, not just idealized projections. Many of the retirement planning mistakes veterans make are avoidable, but only if you catch them before they snowball.
Think of Care Needs as a Timeline, Not a Crisis
Long-term care isn’t just about nursing homes. It’s about slow-developing support needs, recovery gaps, and caregiver strain. Medicare doesn’t cover everything, and VA benefits like Aid and Attendance come with eligibility hoops. The earlier you prepare, logistically and financially, the more options stay open. This includes understanding where VA support ends and private funding begins. Planning isn’t about predicting the future. It’s about removing panic from the equation. Familiarity with veterans’ long‑term care benefits gives you leverage long before you need it.
Build Flex Into How You Spend
Many retirees use a flat withdrawal rate, but that’s rarely how life plays out. Expenses shift, sometimes steeply. Market performance fluctuates. And your needs evolve. That’s why retirees who apply spending adjustments based on portfolio returns or inflation are often better off long term. It’s not about instability. It’s about design. Building in variance gives your plan resilience and breathing room. Using flexible withdrawal strategies offers structure that matches how real life unfolds, not just how spreadsheets look.
Integrate Assets, Don’t Just Accumulate Them
A pile of benefits doesn’t equal a plan. Military pensions, Social Security, civilian retirement savings, and survivor benefits need to be woven together, not left to operate in isolation. Otherwise, you risk paying more taxes, missing timing windows, or leaving your spouse unprotected. Even small shifts in withdrawal order or asset placement can raise after-tax income significantly. Coordinating where you pull from and when is more important than raw return rates. Learn how to combine pension, savings, and benefits wisely to create cohesion that holds through market swings and personal changes.
This chapter isn’t just about safety nets. It’s about building forward control. You’ve earned benefits, structure, and stability; use them with purpose. Don’t assume integration happens automatically. Sequence your moves, make tradeoffs with your eyes open, and eliminate assumptions that no longer fit. The families who thrive aren’t the ones with perfect spreadsheets. They’re the ones who stay alert, update often, and treat retirement like the mission it is.
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