Early retirement pros and cons

S

stevenSC

New Member
My first post here. I have been contemplating retirement for the last year. It's scary when all you have done is work your whole life. I am currently 59.5 so I can start to withdraw from my IRA and 401k. I am fortunate to have a hefty savings built up and very little overhead. All in my bills each month add up to under $2k, that's groceries, utilities, phone, insurance, etc. I don't plan on drawing SS until I am 70.
My biggest fear isn't the money, although I do worry about drawing from that nest egg without ever putting any back, but it is more around just missing work. So I am reaching out to those of you that have retired early. Do you regret leaving early or do you wish you would have done it sooner?
 

Fair questions, all very important.
For me it was always the love of the job I miss. I absolutely loved my job. I would still be doing it today if they hadn't forced me out. I fought the decision till the 2nd last day. I was never going to stay till 65, but I wanted to leave when my mind or body said so. But after 23 years and many injuries later I was deemed un-deployable. So they offer you early full pension, a financial incentive on top to 'take the offer' and they play it up -you can retire at 45, your so lucky.

Not really, as I started in early 20's, I still have put in the time. It was very hard on me to leave. I loved the camaraderie, the challenge, the intense pressures, the thrill I guess. Even though the last 3 years I was overseeing training courses instead of active duty.

As for expenses, savings and costs, again dam tough choices to make. We all want financial security, but is it at the expense of enjoyment. My father had money, could have retired at 59 with full pension. He chose to stay around till 70. He said he loved his job. But 3 years later he was gone. He admitted at the end it was about the money, which didn't make sense as they had a lot of it, and no house or car payments, minimal bills, so that excuse was not a good one. He valued security over his life, and in the end all the security meant nothing.

I think that is the eternal question for people at or near retirement. Am I good? Will I make it, if so, do I leave now or hold out for more. Sometimes that bit of greed we all have stops us from living our best life. Frees us from the slavery of the 8-4 and gives us the greatest gift ever...time.

Now, that we are retired early (I did at 45, her at 48) we realize it was the greatest thing. We have done so much in the 10 years that we would only be possibly starting about now. That leaves us so much time to do so much more. The experiences are worth it.
But I understand you query. Its tough. My wife fought with herself for about a year on what to do. It wasn't the money as her pension started paying out immediately as did mine, but it was, if she kept working we could save more. That ever lasting desire to get a bit more, protect your nest egg, etc.

I guess its up to you. All I can say is my personal opinion. If you are good and feel you will be, enjoy your life. Live simply, live well, live healthy, live happy...I guess it comes down to-what of the 2 options will make you the happiest?

Best of luck...
 
Thanks for the response. You are right, I guess it's never enough, maybe it's greed or maybe its fear. Like many, I've worked hard my whole life wanting to retire while my health is still good enough to enjoy life. I'm there and scared, I guess. I have just known far too many people who put off retirement and then didn't live long enough to enjoy it.
 

I was given the boot, which made it much easier for me! 😉🤭😂

That was nineteen years ago and until this latest round of inflation I was able to live comfortably on Social Security and a small pension that allowed my taxable savings and IRA to continue growing.

I’m comfortable puttering around and haven’t had the need to manufacture ways to keep busy.

If you do feel the need to fill your time with something productive maybe it’s not time for you to retire. I hate to see people leave a good paying job where they have some seniority, great benefits, etc… and trade it for an entry level position making minimum wage because they are bored.

Would it be possible to go part time in your current position or continue on in a seasonal or consulting role?

Good luck with your decision.
 
I could probably do some consulting or even teach some continuing ed classes at the local tech school but honestly, I am not interested in doing either. I have 8 grands that I love spending time with. Plus I have done a lot of traveling in my career but my wife has not been able to travel with me so there are a lot of places I want to take her while we are both healthy.
 
I retired from the state at 58. 7 months later I was asked to teach a college course every semester which was a new endeavor which I loved. I did it for 8 years and it was fun. Since then I do a little consulting in my field. This year I worked 200 hours. I set my own appointments with the clients and really love it.

I have done a lot of traveling, volunteering and helping my friends. I never regretted leaving my full time job.
 
I expect that finance, health cover, state pensions etc.. differ somewhat from here in the UK,but for what it's worth .......................
Mrs. L and 'retired' in our early 50's and it was the best 'career moves' that we ever made. We moved from one end of the country to the other to enjoy a cheaper and better standard of living. Since health care is free at point of delivery, that wasn't an issue and there were better benefits for seniors.

The main advantages were being able to do what we wanted, when we wanted. No deadlines, no boring meetings etc.. We enjoy travel and can take holidays at cheaper times during the year avoiding school holidays.

Two things I would say are 1. not to embark upon early retirement under-financed. It can be a bit of a shock when your monthly income is a lot less. 2. Make sure you have enough to keep you occupied - hobbies, sport, voluntary work etc...

Good luck.
 
Capt Lightning said:
Two things I would say are 1. not to embark upon early retirement under-financed. It can be a bit of a shock when your monthly income is a lot less. 2. Make sure you have enough to keep you occupied - hobbies, sport, voluntary work etc...

Good luck.
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Those two points that the good Captain makes are important. Most members here know that I still work, and that's at the age of 78. However, work for me is more like a paid hobby. It's not some nine to five, tied to a desk. I get a call, "can you help?" My hours are varied some days I work just a couple of hours, some days not at all. Why do I do it? Mostly it's for the stimulus of engaging with people, of dealing with problems and the satisfaction that comes with it.

My wife has had a lifelong hobby of dressmaking, I have a wardrobe of clothes, some of which I put up on here. She is so absorbed when she's working on some project that I have to remind her that it's one am and we really should be in bed. Just as The Captain suggested, keeping occupied is very important. Use it or lose it as the saying goes, and memory is often the first to go if all you have are the repeats on daytime television.

Enjoy your retirement, engage with us here, let us know what you do and how you get on. Oh and I almost forgot, (I told you that memory was the first casualty,) welcome to Senior Forums.
 
stevenSC said:
My first post here. I have been contemplating retirement for the last year. It's scary when all you have done is work your whole life. I am currently 59.5 so I can start to withdraw from my IRA and 401k. I am fortunate to have a hefty savings built up and very little overhead. All in my bills each month add up to under $2k, that's groceries, utilities, phone, insurance, etc. I don't plan on drawing SS until I am 70.
My biggest fear isn't the money, although I do worry about drawing from that nest egg without ever putting any back, but it is more around just missing work. So I am reaching out to those of you that have retired early. Do you regret leaving early or do you wish you would have done it sooner?
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I expected retirement to be like one long holiday but, in reality, it was quite an adjustment. I had no idea how much I had become used to the routine of work and the social interaction.

Having hobbies and friends makes a big difference when you have more time. While it is nice to relax more, in the long term, it is good to have things to do outside of your home. Meeting up with friends for coffee, joining a club and meeting new people, spending more time on hobbies and the things you never had time for before, perhaps learning a new skill, visiting new places. A couple of my friends have bought annual National Trust tickets and they visit historic homes and gardens.

I have several friends who now work part-time. Last summer, a local cafe offered me a part-time summer job. it would have been fun but, to be honest, I am enjoying my freedom from work so much that, I decided to stay retired :)
 
Welcome Steven. I loved my work, but after 34 years was ready to get away from it, and yes I do still miss it some days... But not enough to return. I retired at 58.5 with a full pension, actually work 3 years past reaching it. DW is 56, and can retire now with medical coverage and a reduced pension. I have ACA now but going on her insurance till Medicare in a year. She may retire then, but no later than 1/2027 @58. Look at it as the major change that it is... As for SS... If your nest egg will support you fine without it, then consider taking it early, and use that money to live off and save your savings. Lots of things can change in 11 years.... Mine changed in 1.1 seconds.

" Yesterday in a cancelled check, Tomorrow is a promissory note, Today is the only cash you have, spend it wisely"
 
old medic said:
Welcome Steven. I loved my work, but after 34 years was ready to get away from it, and yes I do still miss it some days... But not enough to return. I retired at 58.5 with a full pension, actually work 3 years past reaching it. DW is 56, and can retire now with medical coverage and a reduced pension. I have ACA now but going on her insurance till Medicare in a year. She may retire then, but no later than 1/2027 @58. Look at it as the major change that it is... As for SS... If your nest egg will support you fine without it, then consider taking it early, and use that money to live off and save your savings. Lots of things can change in 11 years.... Mine changed in 1.1 seconds.

" Yesterday in a cancelled check, Tomorrow is a promissory note, Today is the only cash you have, spend it wisely"
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Thanks for the feedback and I love the quote. May I steal it?
 
Was forced to retire at 58. I loved work: the routine, the social contact, the money, the recognition for doing a good job. Ten years later am STILL trying to find something that makes me want to get up in the morning. Am not a hobby person, can't sit for hours upon hours. Would travel more or go back to school - again - but both require a large sum of money. School would be my choice: medical school.
 
Welcome @stevenSC! Everyone seems to be different in their handling of retirement.

I loved my career for the first 25 years but the corporation that took over our company was very political and there were many new policies and restrictions that came with belonging to a larger company. I was an executive but could no longer make decisions without 5 other approvals and everything moved SLOWLY. Like you, I traveled all over the world in my career. I look back on that fondly but rarely took my spouse so although I got to visit 5 continents and some wonderful places it wasn't the same sharing it with business acquaintances. Now my spouse and I travel together 2 or 3 times per year, all outside of the States.

The last 5 years of my career, I was fairly miserable. Then Covid affected our company and 50% of the staff was let go. I was 62 and was told my position was eliminated. I got a decent severance package but was still concerned that we would have enough money for the long run. With the maximum socked away in my 401k, taking Social Security early and the past few years in the stock market we should be fine.

As for daily activities, I'm an introvert so I enjoy interaction at the grocery store, pharmacy, etc. but I don't need it. What helped me was having a daily routine. I always went into my home office with my coffee in the morning, watched the news and checked e-mails when I was working. I still do that until it is lunchtime. Then I go to the gym 4 or 5 days a week, plan lunch out with my spouse and maybe go to a movie. I also walk around the lake near our house. What works for me is that I generally plan out my week (gym, grocery stores, movie, etc.) So I still have structure in my life but my time is my own.

Another big key for me was that before I retired I started figuring out who I was outside my job. I didn't let my career define me. I was also a husband, an uncle, a brother-in-law, a son, a provider, a Cat Daddy, etc. I also didn't need the success in my career to know I was a success as a human being. If you can start doing that and finding a work/life balance you should be fine!
 
Ok, our preliminary rough draft dream schedule when we retire to our summer cabin home. Monday- garden and fish. Tuesday- Co ed Golf league. Weds- drive to city for groceries and needed items. Thursday- another Coed golf league. Friday- garden and Fri fish fry somewhere. Saturday-UTV /ATV riding club cruises. Sunday- relax on Porch.Winter in Naples,Fl or Palm Springs,CA. Cons- following the schedule i guess.
 
stevenSC said:
My first post here. I have been contemplating retirement for the last year. It's scary when all you have done is work your whole life. I am currently 59.5 so I can start to withdraw from my IRA and 401k. I am fortunate to have a hefty savings built up and very little overhead. All in my bills each month add up to under $2k, that's groceries, utilities, phone, insurance, etc. I don't plan on drawing SS until I am 70.
My biggest fear isn't the money, although I do worry about drawing from that nest egg without ever putting any back, but it is more around just missing work. So I am reaching out to those of you that have retired early. Do you regret leaving early or do you wish you would have done it sooner?
Click to expand...
Well physically I had no choice, I caught covid I already had COPD. So my stamina went to zip and then some. Even today I am barely able to do two or three jobs minor ones and not be exhausted after 35 minutes of working those jobs.

And really I did have to retire because, my retirement age is supposed to be 67 and a half. The way I'm going I'll be lucky to make 67.

I recently went over to Walmart twice met this guy in the automotive section who told me he was 83 and he uses a walker to work. I asked him if he chose this or had no choice, he said 'I like working!"

Even my mother who finally fell down due to inner ear problems, tried to get surgery so they could fix the issue. Why? because she wanted to go back to work!
 
jujube said:
I retired at 62 and never looked back. I had my late husband's pension and went on SS (drawing on his until mine got higher).

I had met the Spousal Equivalent, who had been retired for a few years and was ready to hit the road and travel in a RV.

I couldn't pass that up.
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Sounds great! I just turned 62 and I feel very ready to retire - but my husband is not quite there... I need to find him a hobby!

We talked about getting an RV and doing the travel around the us thing ... How much maint. is involved in that? I've watched a lot of you tube videos, and it seems it can be quite a bit. I don't know if we are up for that.
 
spedini said:
There are no "cons" to early retirement.

How ridiculous.
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well apart from the obvious issue if one retires too early with not enough money to live comfortably on.

But for many people there are cons - people who miss work and get lonely and bored .

That isnt everybody of course and it is a fixable problem - do volunteer things, join clubs, etc - but to retire just thinking there are no possible cons is ridiculous too.

and not everybody wants to retire early - continuing working isnt ridiculous either.
 
Hmmm....if it is an easy job and you don't have enough money saved up
January said:
well apart from the obvious issue if one retires too early with not enough money to live comfortably on.

But for many people there are cons - people who miss work and get lonely and bored .

That isnt everybody of course and it is a fixable problem - do volunteer things, join clubs, etc - but to retire just thinking there are no possible cons is ridiculous too.

and not everybody wants to retire early - continuing working isnt ridiculous either.
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Especially if they have easy jobs.... go time in and time out and get paid, why not?
 

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