Anyone else here forced to retire and scared to death?

[Lcountz]

Hey there Forced-To-Retire.....try not to get too depressed....like many here have said you have more than a lot of people do who are making it somehow...

I live in Western PA....in a smallish town of about 11,000 people, rents on apartments in today's paper are in the 5-600 dollar a month range, homes for rent in the 900-1200 a month range...There is a state-sponsored bus line in my town-so there's even public transportation available if you don't have a car or want to maintain one....and the town itself is very "walkable"...so in town living could totally eliminate need for a car.

Winters can be a pain, but the other seasons make it worth it.....PA does not tax retirement account withdrawals, pensions or Social Security. Even though it's a small town, there are three supermarkets, a Walmart, a hospital, VA clinic, chain drug stores, car dealers and fast food places and relatively low crime statistics....in short, liveable, clean and CHEAP. (Which is why I like it here!!!!)

You really need to get moving NOW to find a new place....6 months from now will put you in middle of winter, not a pleasant time to be looking for housing or moving. To minimize cost, you can rent a small u-haul, take only what you need and get rid of the rest. It's amazing how little "stuff" you need when you get older....

If PA or the northeast is not your cup of tea, I think there must be tons of places right in the US where you can live cheaply. In the town I live in, I doubt many oldsters have 300,000 in savings and they make it...

My two neighbors are white men in their 60s...one 63, one 65. One of them drives the schoolbus-van all winter for something to do. The other works some kind of job as a helper to some metal-building builder for 5 months of the year, 40 hours a week. They do this for "pin money" and to not be bored!!! So there ARE jobs out there for men in thier 60s-in fact, these two never appear to have trouble finding a job. Employers DO value older employees...my market is full of older ladies working the registers...

Attitude will go a loooonnnnng way...No one wants to be around people who are opinionated and/or nasty or are self-centered. Not saying you are, but you yourself identified yourself as being, perhaps, hard to get along with. I've worked with people like that, and saw them get let go, and my only thought was: "good riddance" You seem to grasp this insight now...so it's not too late.... Especially if you can re-invent yourself in a new location. Leave the poor attitude behind with the old furniture and make a new start.

If you can move to a cheaper place to live, I would consider what some have mentioned here as far as living off savings and prolonging collecting SS as long as possible to get the larger benefit. Was there longevity in your family?

You can do it....Just GET MOVING TODAY!!!!!...and good luck!

 

[karen1972]

There are definitely places, though most of the ones I know of are republican run and thus didn't expand ACA so you would have to be mindful or you could run into issues with medical.

Plenty of places in Wisconsin that you can rent a single bedroom apartment for $400 in some sleepy town around Green Bay/Appleton. You will either need to find someone via want ads that won't look up your history or you will need to be able to prove you have 13 months of payments available typically. If you were handy, you could buy something in say Neenah starting at $35k. I'm not saying it would be great, but its yours.

Also the reason I bring up Wisconsin is that I know they are hiring.. my brother works in Oshkosh and they can't seem to keep people (your looking at low wages $10-12/hr), but A) its a job B) well rent is super cheap C) it pays better than Walmart and includes benefits. My brother says there are want ads everywhere

I just know if I was desperate thats where I would end up. I know plenty of people that live on less than $20k in those rural towns and even raise families.

 

[Llep]

There are definitely places, though most of the ones I know of are republican run and thus didn't expand ACA so you would have to be mindful or you could run into issues with medical.

Karen is right. I just Googled a map of states that have and haven't expanded Medicaid and just about all of what we would consider "the south" hasn't expanded, making healthcare there problematic. (Remember OP hasn't declared how his assets are held, if in a 401K or IRA he is golden). While looking at the map I had a thought on another city I have researched and that is Albuquerque (NM has expanded Medicaid). They have a better inventory of apartments at higher quality than El Paso for about the same prices and they seem to have a more vibrant labor market at the professional level. And great weather year round, certainly better than Alexandria (where I just happened to have lived for a year back in the early 90's).

 

[Letj]

You can break your lease. Even if they take you to court, no judge in VA will grant the Landlord 6 months of rent if that's what left on it. I own rentals and my attorney has told me many times that you can't recover the remaining months on the lease. Give them 60 days notice and tell them your financial situation has changed. That should give them enough time to show and rent. Allow them access to show the apartment. They will not return your security deposit though.


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[ivinsfan]

Do those of you with renting experience remember if some leases contain loss of job provisions?

I suspect if the OP said he had lost his job and had no money and would have to quit paying rent, the tune would change.

 

[SumDay]

As for breaking the lease, he can bail out and then he is only responsible for the rent up to the point the apt is rented out again to a new tenant. Not for the entire 6 months remaining, unless they do not find a new tenant. He is responsible for the lease term, but only if the apt is not re-rented out. The apt owners can't double dip.

I've heard of someone doing this. He was trapped in an expensive lease, and he actively advertised and found someone (made them give him their credit score & rental history) and took them to the rental office and said here's your new tenant. I'm outta here. Apparently it worked. I always try to have the attitude that most (if not all) problems can be solved. I'd get creative.

 

[Bamaman]

I'm a member/owner of a campground 90 miles NE of Atlanta. Our dues are $425 per year, and we can stay 14 days free per month. Many have two memberships and stay all year for a total cost of living of $850. That includes internet and utilities, 2 pools, tennis courts and a fishing lake.

Try to beat that for a low cost of living.

The only thing is you have to move the camper every 14 days which if you don't have a tow truck the campground will do it for $15.

 

[HFWR]

Probably some repetition, but:

1. Immediately start working a plan to match expenses with income. Will likely take some time, but your finances will thank you, and not having that stress dangling in front of you will improve your outlook and well-being.

2. As others have said, enroll in PACA.

3. Explore at least a part-time j*b as soon as practical. Obviously, that might have to wait if you decide to relocate.

4. Don't beat yourself up (or down, for that matter). Stuff happens, and the past cannot be changed. Just sit your ass(ets) down, and get busy on that plan!

 

[RunningBum]

I'd think that you could go many places, particularly non-corporate run rentals, where you could tell them you have retired early so you have no current income but plenty of assets to pay rent, and ask them what proof they need to see. That and a decent credit report and maybe a ref from your current place that you paid your rent on time should be enough. You seem stuck on what people have asked for in the past without trying (as far as you've told us so far) to approach it another way. CLEARLY you can't stay in a $2500/month place for long, so you're going to have to move somewhere, and it seems like it should be a lower cost of living area.


Just the fact that you aren't talking about skipping out on the lease tells me you probably take your financial responsibilities seriously and probably have a good credit rating.

 

[Forced to Retire]

More feedback from the original poster:

WOW! So many great ideas and inspiring stories have come since I did my first post just two days ago.

When I lost my job I never knew it would be so hard to get a new job, any job, part time or full time. I have tried everything. Fast Food, retail temp agencies, working with the State Job Service, taking job hunting classes, and hiring a professional to help me with my resume. NOTHING HAS WORKED.

Part Time low wage jobs want young workers or immigrants. And full time professional jobs want the same. No one seems to take me serious when I interview. They seem like I am bothering them to even have the nerve to ask for a new job.

The people at the State Job Service, told me they see lots of people like me who just can't get hired at my age, but for some reason people like me are never talked about in the media.

I went to the apartment office to ask again about breaking my lease and they looked at me like I had two heads. I got the impression if I pushed them too hard they would blacklist me and give me a bad rental reference if I applied for an apartment out of State next year.
FYI: No, I can't get someone to take over my lease, against the rules.

I wonder what it would be like to have lost my job and not have any savings and investments to fall back on.

Some may call my situation early retirement, but I call it unemployment.

 

[aja8888]

More feedback from the original poster:

WOW! So many great ideas and inspiring stories have come since I did my first post a just two days ago.

When I lost my job I never knew it would be so hard to get a new job, any job, part time or full time. I have tried everything. Fast Food, retail temp agencies, working with the State Job Service, taking job hunting classes, and hiring a professional to help me with my resume. NOTHING HAS WORKED.

Part Time low wage jobs want young workers or immigrants. And full time professional jobs want the same. No one seems to take me serious when I interview. They seem like I am bothering them to even have the nerve to ask for a new job.

The people at the State Job Service, told me they see lots of people like me who just can't get hired at my age, but for some reason people like me are never talked about in the media.

I went to the apartment office to ask again about breaking my lease and they looked at me like I had two heads. I got the impression if I pushed them too hard they would blacklist me and give me a bad rental reference if I applied for an apartment out of State next year.
FYI: No, I can't get someone to take over my lease, against the rules.

I wonder what it would be like to have lost my job and not have any savings and investments to fall back on.

Some may call my situation early retirement, but I call it unemployment.

Around here, Home Depot and Lowes are hiring older, grey hair guys and gals that speak good English, will show up for work and can tell the difference between a threaded bolt and a light bulb. Maybe you can try them?

 

[RunningBum]

Some may call my situation early retirement, but I call it unemployment.

I was suggesting to use "early retirement" to put a good spin on it for potential landlords. If you get chatty with them, you can say you may (or will) look for a part time job, but I think if you can take out the "unemployed" bias it may help you.

I think you said you looked older anyway, so just calling yourself retired may not even raise an eyebrow. If they ask about SS income, you can say that you are deferring it since you have enough money to live on for now. You don't have to mention that you must defer it since you aren't 62 yet! It's amazing how many people can't do that math on birth years, if they even take a close look.

None of this is a lie, just a way to put yourself in a better light. After all, if you plan to pay your rent, you have nothing to apologize for.

 

[Mulligan]

Around here, Home Depot and Lowes are hiring older, grey hair guys and gals that speak good English, will show up for work and can tell the difference between a threaded bolt and a light bulb. Maybe you can try them?

That is just what I was thinking, also... Grey hairs everywhere at my nearby locations.


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[pb4uski]

Yes, I know the logical thing is to move out ASAP and go to a more inexpensive spot.

I am afraid that it will be impossible to move into a new apartment in another cheaper town where rent is not $2500 a month like it is in Alexandria/Fairfax County VA.

Every place I have ever rented went through a complete background investigation where they checked my credit, criminal and salary information. The rent could not be any more than 1/3 of my income. Because my unemployment benefits have run out I have no income now at all.

I have applied for hundreds of part time and full time jobs since losing my career job last year, and have got no where. They don't want old, white haired overweight men like me. The jobs now days seem to be set aside for young kids and immigrants.

Being retired for me is not as pleasant as the typical poster on this board to say the least!

Forced, no disrespect but I think you are fretting too much about being unemployed when if you play your cards right you could be reasonably comfortably retired.

First, you need to consult a lawyer to see if you can break your lease to avoid that $2,500/month drag of your current apartment. Worst case, just move out leave no forwarding information and let them chase you for what they are due under the lease.

Next, move to a low cost-of-living area that you like (check out Find Your Spot website) and rent an apartment for a year. If you don't qualify offer them 6 months rent in advance on a one-year lease I suspect that will overcome any concerns on your qualifications.

You have 13 months before you can start collecting $1,250/month in SS. If you move to a LCOL area and get an apartment for say $800/month and need another $1,200/month for other living expenses then you would eat up $26k before you can start SS, reducing your nestegg to $274k. At 4% WR you could then draw $900/month and will have $2,150/month in total to live on, which is very doable in a LCOL area.

Alternatively, you could consider either renting a room or sharing an apartment for a year or so until you can start drawing SS to minimize the drawdowns on your nestegg.

You should qualify for either Medicaid or a heavily subsidize ACA policy for health insurance.

Now admittedly you won't be living high-on-the-hog, but there are lots of households with income less than the $26k a year that you will have that seem to find a way to get by. My DS earns less than that, shares an apartment with another guy for a dirt-cheap $350/month, pays for his health insurance and still manages to save money by living very simply.

 

[Walt34]

I went to the apartment office to ask again about breaking my lease and they looked at me like I had two heads. I got the impression if I pushed them too hard they would blacklist me and give me a bad rental reference if I applied for an apartment out of State next year.

Well, not breaking the lease is gonna cost you $15k that you can ill afford to give up, not to mention the other expenses of staying in a high COL area. If it was me I'd rent a U-haul, hire a moving crew, pack up and move to one of the places mentioned. FL is a bear in summer because of the heat (my sister lived there for 9 years) but of course in much nicer in winter. She described FL weather as "like D.C. in August but for 10 months of the year". That may or may not appeal to you.

Here in West Virginia I regularly see apartments going for $500-$600/month and you can still buy a single-family home for less than six figures. It won't be luxury but for one guy how much do you need? In your situation renting would probably be better until you know how things are going to settle out.

As with the PA location someone else mentioned winter can be a pain but the worst of it only lasts two months, not much difference from Fairfax. Road clearing after a snow is not as good because WV doesn't have the tax base to pay for that. There is a reason it is cheaper to live here. But if needed I have a 4WD pickup (practically de rigueur in WV) but mostly we just stock up on groceries and wait it out. No biggie.

Here's the main local newspaper for this area: Journal News | News, sports, jobs, community information for Martinsburg - The Journal

It's about an hour and a half to two hours from Fairfax depending on how deep into WV you go.

 

[Walt34]

Around here, Home Depot and Lowes are hiring older, grey hair guys and gals that speak good English, will show up for work and can tell the difference between a threaded bolt and a light bulb. Maybe you can try them?

Same here, as with the grocery stores too. Lots of help-wanted ads, none of them high paying but they are jobs.

Also, Proctor & Gamble is in the process of building a new manufacturing plant not far away and they're already having job fairs and the local community college has classes specifically for the types of jobs they will be adding.

 

[ivinsfan]

More feedback from the original poster:

WOW! So many great ideas and inspiring stories have come since I did my first post just two days ago.

When I lost my job I never knew it would be so hard to get a new job, any job, part time or full time. I have tried everything. Fast Food, retail temp agencies, working with the State Job Service, taking job hunting classes, and hiring a professional to help me with my resume. NOTHING HAS WORKED.

Part Time low wage jobs want young workers or immigrants. And full time professional jobs want the same. No one seems to take me serious when I interview. They seem like I am bothering them to even have the nerve to ask for a new job.

The people at the State Job Service, told me they see lots of people like me who just can't get hired at my age, but for some reason people like me are never talked about in the media.

I went to the apartment office to ask again about breaking my lease and they looked at me like I had two heads. I got the impression if I pushed them too hard they would blacklist me and give me a bad rental reference if I applied for an apartment out of State next year.
FYI: No, I can't get someone to take over my lease, against the rules.

I wonder what it would be like to have lost my job and not have any savings and investments to fall back on.

Some may call my situation early retirement, but I call it unemployment.

This is a rehash of your other posts,so you are convinced you can't get another job, move on to the controlling your costs. Go back to apartment management and don't "ask about breaking your lease" tell them you lost your job and can't afford the rent. You keep throwing up reasons why you can't help yourself.Right now you seem content to sit and bemoan your jobless status and your high rent, don't give up so quickly.

 

[Mulligan]

I agree Ivin....OP, I think you need to change the parameters of situation. Instead of feeling trapped with no way out make a plan... If it were me these would be my steps....Determine a spot to move to. Seal the deal on new apartment, paying upfront or whatever it takes to get it. Then go back and tell current landlord, you are gone. Give 2 months "conscious money" and go focus on getting a job in new locale. When interviewing, my body language would be such that this job is my dream job and I am planning on working there for 5 years minimum and would be excited to start ASAP.



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[Running_Man]

So many good and thoughtful answers, thanks.

I went to my landlord, at the large corporate owned apartment complex I live at, and they told me I could leave as soon as my lease is up. Or I could leave immediately if I paid off the entire lease term. With rent about $2500 a month I would have to pay them $15,000 to leave. (I have six months left on my lease.)

In the mean time my forced early retirement is quite expensive. After cutting my expenses to a bone I got my costs down to $4000 a month. (Rent and COBRA is about 80% of my fixed expenses.)

According to this website, I can make my money last with a five percent withdrawal and a three percent annual inflation increase for 30 years:

[mod edit]

So how could I move to a new apartment in a quiet small town setting where the cost of living is very low if I have no income? Everyplace I have ever lived has done a complete background investigation about my assets and income.

With a good payment history and being able to show ability to take from 300K in income you should be able to get an apartment in most places. I do not know what activities you enjoy so knowing where to recommend to move is difficult. However, it sounds as though your eccentric personality may impede your finding of a job. If you wanted to move to a major city I recommend Chicago where there would be more opportunities —— this is a very good vintage studio location in a safe neighborhood that is close to many shops, excellent healthcare opportunities for $1,100 with 500+ square feet and includes Gas Water Heat Sewer and trash leaving only electric to pay with grocery stores in walking distance. Studios open up most months just not right now

Dearborn North Rentals - Chicago, IL | Apartments.com


Monthly pass to travel unlimited rides through the city by bus or the “L” trains is only $100. Once you reach 65 it is 1/2 that. You would be within 1/2 mile of Lake Michigan and 4 blocks of the Magnificent Mile. The Lake Shore Drive Bike trail which extends all along the lake shore for tens of miles is 1/2 mile away as well. If nothing else there would be many volunteer opportunities. Plenty of free TV channels over the air in Chicago

in this Apartment I would see the budget for 2017 as:
Rent:------------------$1,100
Electric-------------------- 75
Internet------------------- 75
Transit--------------------100
ACA Bronze——————— 75 based on 30K annual income @ age 61
House Goods------------ 400
Misc————---------——200
Out of Pocket Medical-—250
Cell Phone 500mb data-—30
Fed INC Tax——-———— 30
State Inc Tax— ———— 35
———
Total —————-———$2,370

If you wanted cheaper there are cheaper apartments that are in a decent neighborhood by Wrigley Field between Belmont and Irving Park Road and Sheffield Ave and the lake for about $850 a month some with heat but further from all the main Chicago attractions but still connected by the “L” and busses.
RIght now on Stubhub you could go to a Sox game and sit in a box seat for $8.00 yes they are out of the playoffs but it would still be major league baseball against playoffs teams such as Kansas City or Cleveland. The Red Line “L” will take you right to US Cellular and right back home again after the game— train stop is 1 block from apartment ---- there are free days for Illinois residents for a multitude of high quality museums
Free days for Chicago museums | ChicagoParent.com

I am assuming you take SS and your other savings needs to be taxed. If you have money in taxable accounts and could take from such that you could limit your income to 20K you could get a silver plan for $85 a month with a max of $2,250 out of pocket that would give you low cost doctor visits and would owe no Federal Income tax

You have enough---you can do this and live a full life if you are careful with your money. You might even be able to cut another $250 from the budget to drop to a 4% withdrawal rate if you wanted to live more minimally but with what you propose you could do many interesting things in Chicago

 

[Lcountz]

Someone suggested rent a truck, load your stuff and go and don't leave a forwarding address....let them find you....

Could work in your favor AFTER you secure a new place....Use your current rental history as a plus, rent the new place, then, if the current place won't budge, screw 'em-you told them you're broke, they can't/won't get blood from a stone...

You won't be the first one to do this. By the time you secure a new place, we might be talking about 3 months rent due. I doubt they'd "Come after you" in court-could ding your credit report, but if you have a roof, who cares?

Not a savory way I suppose, but people cheat on rent every day...and some are professional squatters who never pay, just bounce from place to place.

I agree with poster who said TELL don't ASK them you need to break the lease. Be assertive. What if you had NO savings? End result would be the same-they'd get no rent.

Gotta get moving though....the seasons are turning and moving in February on the East Coast is NOT fun.

Good luck! Look for small towns WITH public transit. You can eliminate a car that way. Do you have a car? If you're a single guy, you'll b okay on what you will collect and your savings if you're careful.....Isnt family of four average income @50,000 right now?

 

[razztazz]

More feedback from the original poster:

The people at the State Job Service, told me they see lots of people like me who just can't get hired at my age, but for some reason people like me are never talked about in the media.

Actually here's at least one sample of quite like your situation being mentioned in the media. He's got less money to work with so you're a leg up on one guy

How I went from middle class to homeless - Apr. 26, 2016

 

[Walt34]

First, you need to consult a lawyer to see if you can break your lease to avoid that $2,500/month drag of your current apartment. Worst case, just move out leave no forwarding information and let them chase you for what they are due under the lease.

Sure, his credit score will take a ding for doing that but would it really matter? I doubt it. If it was me that's what I'd do.

Worst case it goes to a collection agency but even they will give up in time and the farther back in time it goes the less it matters.

I'm fence-sitting on going to the lawyer but I guess there might be a gotcha in VA or local law that would make it worthwhile to cover that base.

 

[2017ish]

Double check to see that this law applies in your instance, but it looks like Virginia follows the general rule that landlord has obligation to make reasonable effort to mitigate its damages if you leave tomorrow:

Landlord’s Duty to Find a New Tenant in Virginia
If you don’t have a legal justification to break your lease, the good news is that you may still be off the hook for paying all the rent due for the remaining lease term. This is because under Virginia law (Va. Code Ann. §§ 55-248.33, 55-248.35), your landlord must make reasonable efforts to re-rent your unit—no matter what your reason for leaving—rather than charge you for the total remaining rent due under the lease. So you may not have to pay much, if any additional rent, if you break your lease. You need pay only the amount of rent the landlord loses because you moved out early. This is because Virginia requires landlords to take reasonable steps to keep their losses to a minimum—or to “mitigate damages” in legal terms.

So, if you break your lease and move out without legal justification, your landlord usually can’t just sit back and wait until the end of the lease, and then sue you for the total amount of lost rent. Your landlord must try to rerent the property reasonably quickly and subtract the rent received from new tenants from the amount you owe. The landlord does not need to relax standards for acceptable tenants—for example, to accept someone with a poor credit history. Also, the landlord is not required to rent the unit for less than fair market value, or to immediately turn his or her attention to renting your unit disregarding other business. Also, the landlord can add legitimate expenses to your bill—for example, the costs of advertising the property.

Renter's Rights Breaking a Lease in Virginia | Nolo.com What is the vacancy situation in your building? Likely to be re-let quickly?

 

[travelover]

I'm no lawyer, but I've watched a few episodes of Judge Judy. She has little sympathy for landlords that have re-rented an apartment and seek damages for breaking a lease. I'd give 30 days notice and let them keep the deposit. They won't pursue you out of state, especially if they have a tenant lined up.

Re jobs, there are all kinds of under the table gigs for a smart person that is not flaky. I know a guy that just moves cars. Drives them to their destination and either flies or drives another one back.


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[mystang52]

Where I live, if you paid cash a years worth of rent up front, not only would they not do a credit check, they probably would discount the rent!


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This. Then follow the many other great recommendations.