Convincing myself that I have enough money to retire

[NW-Bound]

Quote:

Originally Posted by joeea ... If you think work isn't living, you are doing it wrong...

Many people retire, then find some other activities as a pastime. I like my work so much, I find similar things to do to keep busy in retirement.

Now, that can be difficult to do if you are a surgeon or a dentist. It's easy to continue the same work as a hobby if you are an engineer.

[travelover]

OP has posted similar threads over the years. I was struck by this information in his introduction :

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I have done a pretty good job of saving. I have a bit more than $10 million in taxable accounts and around $2.5 million in tax deferred. I have no debt and a house that is paid for and probably worth around $1.2mm When I retire, I will get around $1 million paid out over a few years, but beyond that no pension or retiree medical.

All I can say is, you really don't have a financial reason to balk, but I can understand being hesitant to make the jump for psychological reasons. Maybe this isn't the right place to get that answer. It might help to work with someone who understands psychology more intimately and can work with you through your fears and questions to come to a well thought out decision.

[GravitySucks]

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Originally Posted by RobbieB I dunno. If I was you I'd quit. Maybe you're one of those "puritan work ethic" guys?

That took a long time to cure myself of!

[ugeauxgirl]

A while back I read a post on the "Living A FI" blog about the author seeing a therapist for the exact same dilemma. The post was called "Mid-life FI-sis" or something similar. It was very helpful to me. You might find it helpful to you too. Good luck-

[joeea]

Quote:

Originally Posted by NW-Bound Many people retire, then find some other activities as a pastime. I like my work so much, I find similar things to do to keep busy in retirement.

Doing things you enjoy is always good.

[daylatedollarshort]

It seems like from this thread and similar threads it is a lot harder to walk away from a $500K or $1M a year kind of jobs than it is from jobs that pay $30k - $100K a year, which makes sense.

[firewhen]

If you have upwards of $15M as is suggested above, there should be NO reason not to retire for financial reasons, especially if your spending is below 2%. That would still give you $300k per year, which you could surely ratchet back a bit if you had to. Perhaps there are some nonfinancial reasons holding you back a bit too? How will I spend my time? What if I am bored?

[CaliKid]

Quote:

Originally Posted by daylatedollarshort It seems like from this thread and similar threads it is a lot harder to walk away from a $500K or $1M a year kind of jobs than it is from jobs that pay $30k - $100K a year, which makes sense.

This is my feeling. If you pull $500-1m+ working a few extra years can quickly give you some significant extra insurance going into retirement. An extra year at $50k just doesn't have the same ability to pad the savings account. It's easy to say walk away when talking to someone else but hard to just walk away from a high income.

[SnowBound]

Quickly looking through this, there are no nays (to retirement now). So is it a early early retirement?

[HI Bill]

Quote:

Originally Posted by medved Just turned 55...long work hours and work stress have had a big impact on me and imposed a heavy cost.

At a 2% withdrawal rate, and what you've written, it's way past time to give it up. Give two week's notice, and enjoy FIRE!

If your reluctance is not about the money, I'd also suggest the "How to Retire Happy, Wild and Free" book by Zelinski. It has some great ideas on how to figure out what you want to do in retirement, if you don't already know.

Would you rather die at work of a heart attack, or live another couple of decades retired? Just my 2 cents.

[audreyh1]

What about that book that folks sometimes recommend around here:

How to Retire Happy Wild and Free: Retirement Wisdom That You Won't Get from Your Financial Advisor https://www.amazon.com/How-Retire-Ha.../dp/096941949X

I think that can help with the non-financial preparation for retirement. Looking at personal priorities, etc., including what you want to retire "to". Some folks here have really needed it to get started off on the right foot.

Even reading the Amazon reviews might be helpful as folks tend to tell their story.

Oh funny - I see HNL Bill beat me to it.

[NW-Bound]

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Originally Posted by daylatedollarshort It seems like from this thread and similar threads it is a lot harder to walk away from a $500K or $1M a year kind of jobs than it is from jobs that pay $30k - $100K a year, which makes sense.

It would be nice to be making $500K-$1M a year, so I would not know for sure.

But I suspect a job like that is very special, and someone with that fortune and in-demand skill would find it hard to stop.

And of course CEOs and entertainers who make $10M-100M a year would not want to quit. The limelight and the power would be hard to give up, and they do not work hard like us peons do anyway.

[audreyh1]

Quote:

Originally Posted by daylatedollarshort It seems like from this thread and similar threads it is a lot harder to walk away from a $500K or $1M a year kind of jobs than it is from jobs that pay $30k - $100K a year, which makes sense.

I certainly get that impression!!!

[Perryinva]

I would definitely agree with that as well. Even though I am making more than I ever made, and actually more than I ever thought I would not too many years ago, its still under $200k/yr and I find it very hard to “want” to walk away from it. $500 k-$1M would be terrible pressure....but I’d still like to try!!

[bloom2708]

Is the advisor getting 1% AUM?

You could have 25% more (1% of 4% withdrawal) by doing it without the fees. Hopefully this is a "pay per use" advisor and your expense ratios are low and not AUM fees. Those give me more confidence that you have enough. Can't buy back time.

[pb4uski]

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Originally Posted by medved Just turned 55. I know a decent number of people who died in their 50s. So I agree with you. I have not really scrimped or denied myself; I have lived pretty well. But long work hours and work stress have had a big impact on me and imposed a heavy cost.

Why don't you just go part-time for while? 3 or 4 days a week so you'll have more medved time.

If your employer balks, tell them that 60% or 80% of medved is better than 0% of medved.

[NoiseBoy]

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Originally Posted by T-Minus ....Then, I looked at my parents - and considered how long they lived, when their declines began (less travel, less active, etc.), then applied those numbers to my current place in life. Turns out, if I use them as a yardstick, I had about 20 years of active retirement left, followed by another 5-10 years of decline.

I could've written this post. I really believe that my physical abilities are declining bit by bit, year by year, even though I usually get in some form of exercise every day. The other thing that is driving my desire to RE is the time I burn each day commuting to/from work. My drive is pretty easy, rural interstate for the most part, but I am just tried of the grind.

I have one more year to work to maximize my soon to be frozen DB pension and then I will enter OMM (one more month) mode. Ironically, like many here, I've reached a very high level of compensation at the end of my career, at least for flyover country, so I find myself starting to get a case of the nerves as the long planned for event approaches. Do I have enough? With it being only a year away I have a gained a new perspective on these threads where folks are struggling with the decision to retire or not!

[jcfradio]

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Originally Posted by T-Minus I recently went through the exact same mental calculus as you, Medved. Every financial model, advisor, etc. all told me I was “good to go” at a rate MUCH higher spending rate than I planned to spend. What pushed me out was looking at the issue from another perspective. I don’t know how old you are, but I was 56 when I was in the throwes of my decision. Then, I looked at my parents - and considered how long they lived, when their declines began (less travel, less active, etc.), then applied those numbers to my current place in life. Turns out, if I use them as a yardstick, I had about 20 years of active retirement left, followed by another 5-10 years of decline. I had worked since the age of 16, so I figured I’d put in 40 years work for 20 years reward. And, the reward part was shrinking every year. So I retired at age 57 (after OMY) and am now busy reaping the rewards of those 40 years working, saving, and de)nying myself. I made the right decision and have no regrets. I hope this shift in perspective helps...

I did the same analysis. Even my very health in-laws are now slowing down in their late 70's, so when I look at the calendar and see that 61 summers have already passed, so I hope to have about 15 to 20 good years left. I also read a study that said that for an average 65 year old male, they will on average have about 8 years before some health issue forces a change in their life. hat convinced me to get out this year (oh yeah, having MegaCorp wave some $$$ in front of me to go away didnt hurt either!). My withdrawl rate will be in the 4% range, but that is the fun money part of te portfolio as we have healthy work and Gov't pensions. It was a great job, but it is definitely time to now pass the baton to the next generation to give them their chance.

Just finished my last customer meeting with my successor today, so I am starting to feeling the stress start to exit from my pores. 2 weeks to go and then I graduate as part of the class of 2019!

[Spanky]

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an average 65 year old male, they will on average have about 8 years before some health issue forces a change in their life.

Definitely not spending my time working during these years.

[Spanky]

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Originally Posted by pb4uski Why don't you just go part-time for while? 3 or 4 days a week so you'll have more medved time. If your employer balks, tell them that 60% or 80% of medved is better than 0% of medved.

How about asking for a leave of absence for 6 months to clear the mind?