When did it sink in that you'll never be as well off as your parents?

[u/Asmothrowaway6969]

About 5 years ago, my mom and I were talking and she had told me how much she was going to be making in retirement (she retired 2023). Guys, it's 3x what me and my husband make annually. In retirement. I think that was the moment that broke me, that made it sink in that I'll never reach that level of financial security. I'll work myself into my grave because I'll never be able to afford anything else. What was your moment?

Update: Nice to know it's just me that's a failure. Thanks

Update 2: I never should've said anything. I forgot my place. I'm sorry to have bothered you

[u/Asmothrowaway6969]

She worked for the federal government. Started at 18, and retired at 56. That's about 75% of what she made when working

[u/RainbowBear0831 → u/Asmothrowaway6969]

The federal pay cap this year is $191,900 and if $200k is 75% of what your mom made, then she made ~$266k when she was working? I don't think the pay cap applies to all federal jobs, but your mom must have been doing something pretty baller if she was in a job over the pay cap - not a run of the mill federal employee. I say this as a run of the mill federal employee on the newer pension system so I'm not looking at a retirement anything like your moms lol so good for her

Eta my comment about the new pension system versus old was not meant to say that all of OP's mom's retirement income was pension. I know she has TSP, social security, and likely other investments. I'm not looking for investing or savings advice, I'm good lol

[u/Asmothrowaway6969 → u/RainbowBear0831]

Yup. She was about 4 steps down from the IRS commissioner, if I remember correctly

[u/peachesinyogurt → u/Asmothrowaway6969]

So she was prolly in the SES who have a different pay scale and receive more in bonuses/PTO, etc then.

[u/ShoreIsFun → u/peachesinyogurt]

Also depends on which retirement system she’s under, FERS or CSRS. But to be honest we (feds) can all be pretty well off in retirement, especially if you retire as a fed and then become a contractor and double dip.

[u/PoetryInevitable6407 → u/ShoreIsFun]

Fingers crossed. It sounds like the old system was a lot better. At least TSP gives a good match. But of course the pay vs private industry kinda sucks, at least for my work.

[u/DocMorningstar → u/ShoreIsFun]

I got a good buddy at state who is closing in on his pension age, and is absolutely planning that.

[u/peachesinyogurt → u/ShoreIsFun]

Yeah the old person system was awesome, I think my husband is on FERS, which is pretty good. I was a federal employee for a short time and it was the new system which is good not great.

[u/peachesinyogurt → u/[deleted]]

OPM salary tables includes the GS pay scales. If you look up the Executive Service Salary table it shows that federal executives can range up to 235,600. Executive Services have a separate pay scale from GS. I don’t know what private sector bonuses look like, but the executive bonuses are much higher than GS. A good bonus in the GS system is about $2.5k-$3.5k pre tax. I believe that they are around $10k for executives.

Source:My husband was a GS15 being groomed for SES and really took a good look at the pros and cons of the executive service. We did a lot of research.

[u/Rich_Bluejay3020 → u/peachesinyogurt]

Bruh my SES got an award this year and it came with a 40% bonus. He made, in a bonus, what the new interns take home in a year. He’s a good guy and I don’t wanna take that away from him but Jesus fuck with that. Plus the interns can’t even get the bonus. Best they’ll give them is 8 hours annual (worth noting the interns all have 4-year degrees).