The Investment World

Many years ago Betty and I decided that we should begin to think about retirement, possible widowhood, etc. From the time I was employed at Rocky (1961-1994) 5% of income was contributed to TIAA/CREF. This was matched by the College. In the early years the majority was contributed to the College Retirement Equities Fund. So most of the time I was investing at low market prices. After our children graduated from College we were able to invest in some Mutual Funds. We went with a guy who was selling for American Funds and put IRA money there. He decided to leave that job, so we transferred our funds to Edward Jones with a former student at Rocky who I knew well. Betty's IRA went in one fund and mine in another, and we were able to buy into three other funds. After I had retired we decided that we should establish a Family Trust and name our youngest and oldest sons as successor Trustees. The Funds, house, cars, and everything else in in the Trust. At one point we agreed to transfer one of the Funds to the Scholarship Endowment Fund at Rocky Mountain College. Later I increased this gift and it stands as an Annuity which will go to the College at my death.

At Retirement I made a decision to take my funds from TIAA/CREF as 2/3rds from the Annuity portion with a 15 year guarantee. It will pay for life, but the 15 years since retirement are nearly up - 8/1994 to 8/2009. The 1/3rd from Equities changes the amount deposited once a year with the May payment. My income from this investment will decrease 55% from the previous month. Fortunately Social Security and TIAA are both up over last year. And, while the Mutual Funds have lost big time they have shown some growth the past few weeks, and I have not had to cash them in at all except for the required IRA distribution last year. That has been cancelled as a requirement for 2009. It looks as if I'll survive another year, at least financially.