Retiring early - at age 55 in the U.S.

[Bucklandbury]

So prior to getting HIV here in the USA at almost age 51 (yes, depressing, I know), I had planned on retiring early at age 55. Now that I am HIV+, I am wondering how I am going to have to pay for my HIV meds - Biktarvy currently - and any care once I hit age 55 and can retire. My plan used to be that I was going to use my Roth 401(k) money at my current job and use the "rule of 55" to take out the money penalty free prior to being age 59-1/2. My plan allows that where I work. I can live very economically, and my partner and I own our home. We are debt free and otherwise healthy. I am 51, and he is going to be 55 in less than 2 months.

My plan used to be that I was to get healthcare insurance on my own to tide me over from age 55 to 59-1/2, when I will have free and clear access to my rather substantial 401(k), IRA, and HSA accounts. I am lucky that I have invested well - largely in index funds - since I was 22. Plus my partner and I live pretty frugally as I say.

Now that I am HIV+, I am not sure how this all will work. I do not want to work past age 55. Especially now that I am a PLWH. I have private healthcare now thanks to my full-time employment and currently pay $0 for my Biktarvy and medical check-ups. I am continuing to max out my 401(k), Roth IRA, and HSA accounts every year.

Am I nutty in thinking I can still proceed with retiring at 55 as I have described above - just like I was thinking when I was negative?

I won't need Social Security - and Medicare - once I can get those agewise (assuming I do live that long), but I will certainly take them once I can. I did pay into them all these years after all.

I am not a usual case, I understand. Most folks do not save and invest as I have been able to.

[Expat1]

Between the Affordable Care Act, ADAP, HIPP, etc.  you should have no problem retiring at the age you wish.  There will be a way to get medical care.  After you retire do you have a pension or are you planning to use 401K or IRAs to fund your retirement?

IF you make too much to qualify for ADAP, you can order meds from India or Thailand.

Are  you planning on remaining where you are or moving?

Start by checking with your local Aids Service Organization to find out income limits.

I retired from work at age 51, no 66 no problems.

Good luck.

[Bucklandbury]

>> After you retire do you have a pension or are you planning to use 401K or IRAs to fund your retirement?

I have no pension, but I do have a traditional 401(k), Roth IRA, and HSA as I mentioned. I also have a bridge (brokerage) account that should get me from 55 to 59-1/2. As I mentioned, at age 55, my current firm will allow me to invoke the "Rule of 55," whereby I can use the Roth 401(k) money I am putting away now free and clear without penalty. That money is also tax free (it's Roth).

>> IF you make too much to qualify for ADAP, you can order meds from India or Thailand.

I am intrigued by ordering meds from India, but I worry about their not being legit, or getting stiffed. I had read that Biktarvy is sold in India by Gilead Sciences Inc. or its proxy. Whether or not that would be the meds I would get if I ordered would have to be seen. I would sure hope they would be legit!

>> Are  you planning on remaining where you are or moving?

I think we're staying put. I have lost my desire to travel much to be honest. My neuropathy is not good. Sadly, I just got diagnosed in March. That neuropathy started in June. My feet and legs buzz constantly. And my fingers are numbish a lot. I just hope it doesn't get worse.

>> Start by checking with your local Aids Service Organization to find out income limits.

Will do.

Thank you.

[BKKKevin]

IF you make too much to qualify for ADAP, you can order meds from India or Thailand.

How does one order meds from India or Thailand?
Do you have a link to a reliable online seller?

Thanks

[Almost2late]

Hi Buck,

Sorry about your neuropathy issue, do hope it gets better.

I also retired early in my 50's bc of the aids thing, just didn't want to go through it at work. Health insurance was challenging in Florida bc my pension was too much to qualify for adap, but we managed.

Start by checking with your local Aids Service Organization to find out income limits.

And ☝️ this is probably the best advice you could do for your situation.
 
After my move to Oregon, this is exactly what I did bc I really did not know how I was going to get my meds and labs done over here.. I was wondering if I made a big mistake moving this far.
So I seeked out help from a local aids organization and a counselor there helped me beyond my expectations.. surprisingly I qualified for the adap assistance in the state as long as I picked a silver healthplan from aca.

Now I don't know how 401k's work but I don't think it matters what you got in it, but what you take out of it each year that could be considered income.. that's what qualifies or disqualifies you for assistance.

[MitchMiller]

Have faith, you can retire as planned. 

I retired 3 months before turning 58 (now turning 65 in one week).  I'm sure I have a lot less saved than you do and I've never had any financial problems.  I live alone and don't get any public assistance.  However, my HIV meds are generic, so the cost is only $135/month.  I had Obamacare until this month.  It was free so can't complain.  However, the annual deductible was so high ($8600) that I never reached the limit.  I paid for all medical expenses out of pocket, but I did benefit by getting the insurance company's negotiated rate for services.

Some states have asset limits on ADAP.  Laws change so best to double check w/your state to see if what's specified in the article is still accurate.

https://www.verywellhealth.com/adap-to-pay-for-hiv-prescription-drugs-4116839

[Bucklandbury]

https://www.verywellhealth.com/adap-to-pay-for-hiv-prescription-drugs-4116839

Thanks, everyone, for the advice. I need to look at this site. I would no doubt be taking out more per year than the ADAP limit in my state (Kentucky), but I am OK with paying for it as it would be a tax deduction for me as a medical expense.

It's the med cost I really don't want to absorb. Biktarvy is outrageously expensive.
I wish I could trust buying Taffic from India. I looked at one site a couple of days ago, but they do not take PayPal or credit cards, and I am not keen on buying cryptocurrency (Ethereum) to make the unknown transaction with someone so far away I do not know.

[Expat1]

The meds from India are used world wide.  Mylan the maker of generic Biktarvy, is the maker of brand name Epipens. 

Also I guess you will buy the obamacare plan for health so the meds are covered by that. 

Another thing.  ADAPs are better in "blue" states than in "red" states.  There are also programs to pay your insurance premiums (HIPPs) and pay copays and deductables.  Again this stuff is state based.

[Expat1]

Kentucky ADAP is 500% times the federal Poverty limit so $64,400 for 2021.  If your income is that high, I don't think you would have a problem anyway.


Kentucky
The AIDS Drug Assistance Program ( ADAP ) helps ensure that people living with HIV and AIDS who are uninsured and under-insured have access to medication.

Eligibility Criteria
Application Instructions
Formulary
Hepatitis C (HCV) Drug Therapy
Contact Information

Eligibility Criteria:
Household income: no more than 500 percent or of federal poverty level....
https://adap.directory/kentucky#field_eligibility

[Bucklandbury]

When I retire, I will not have income per se, but I would expect to draw out a goodly amount per year from my healthy retirement savings.

I am assuming retirement funds do count as income in this case...

Kentucky ADAP is 500% times the federal Poverty limit so $64,400 for 2021.  If your income is that high, I don't think you would have a problem anyway.

[Bucklandbury]

I will figure it out in a very few years. It looks like I will not have to worry about paying for the med at least.

Thank you, Expat1.