Retire vs making more money?

[FREE866]

Is there ever the perfect time to "retire"? At a seminar a few years ago the speaker used quite a visual representation to help those unsure.
Taking a 25' 1" wide tape measure, extending it upward to the average life expectancy of a man i.e. 87 years, he extended the tape to the 87 inch mark, placing his left thumb on your current age i.e. 65 years and his right thumb on the 87" mark.
He then described the portion of the tape from 1"-65" as the portion that you have lived and the remaining 66"-85" as the life you have remaining.

Seeing it in that manner makes you think twice...or three times, as to whether it is time or not.
That being said, I continue to work because it is personally fulfilling and I enjoy helping others, but that vision of the tape measure has become more
pronounced in my mind as time moves on!

That's a great way to look at it.



We all have our own path, but I never "loved" working and found that I feel just as much fulfilled if not more doing activities I care about in retirement. I think we all have been so conditioned to be working that breaking that attachment can be a challenge initially, but damn does it have rewards.

 

[Hillbilly]

I'm at the verge of retiring - maybe by year end. My financials are fine - every model I run gives me confidence.

But I could stay at my job and make more money and preserve my retirement funds, and grow them more.

What things do you think of when it is time to make the decision? I don't really love my job, it is ok at best. But it pays well and it is not too stressful. And I'm worried that the fun of retirement will wear off in a few months.

I'd like to get some input on how people decide to give up certain income vs time to do whatever you want.

Good job! It sounds like you have the finances in place.

I'd suggest that the next step is what to you want to do (and not) with whatever time you have left.

Over time, my work required travel to over 40 states. Near the end, I was tired of living out of a "bag" and not sleeping in my own bed. I still hate to travel overnight to this day.

So, the reward for getting your finances in place, has grown into an opportunity to "paint the canvas" the way you want to. Think of it as what you want to do rather than what you need to do. It opens so many doors that were never there before. Good luck to you.

 

[DogGone]

I'd suggest that the next step is what to you want to do (and not) with whatever time you have left.

This ^

Most studies on happiness have shown the key point is to remove the things that make you unhappy, not pile on things that make you happy while you suffer in other areas.

 

[steelyman]

Most studies on happiness have shown the key point is to remove the things that make you unhappy, not pile on things that make you happy while you suffer in other areas.

I like that, a slight but significant shift in thinking. Very relevant to ER.

 

[Retired Expat]

I am not sure I have ever read a thread on this forum and agreed with every response that has been written. You got some really good advice here. While I saw one person hinted at this, I never saw the suggestion that perhaps you go to a part-time status. Pretirement. This is my plan in about a year. We get full benefits including health care as long as we work 20 hours/week.

I really enjoyed reading this sage advice. Great forum.

I tried the part time withdrawal from work. Went to 4 days then 3 days but it has nothing to do with the change when you are truly done! You still read emails, are on the hook to make decisions and worry. I worried all the time about what was happening so while I went in less days I didn’t feel any less connected just more stressed.

30/35 some years of struggling to wake up in the dark to be at work by 7 or before. In my field we started early. I knew I was done when I could wake up at 5, roll over and snuggle my wife and go back to sleep for a few hours. Then my head was clear to plan and organize things for us and do things I wanted to do without work worries slipping in..

 

[Focus]

I tried the part time withdrawal from work. Went to 4 days then 3 days but it has nothing to do with the change when you are truly done! You still read emails, are on the hook to make decisions and worry. I worried all the time about what was happening so while I went in less days I didn’t feel any less connected just more stressed.

30/35 some years of struggling to wake up in the dark to be at work by 7 or before. In my field we started early. I knew I was done when I could wake up at 5, roll over and snuggle my wife and go back to sleep for a few hours. Then my head was clear to plan and organize things for us and do things I wanted to do without work worries slipping in..

I almost did this too, but it quickly became apparent that it was going to be what you describe -- and that I'd still be expected to put in more than my set hours, thus defeating the purpose. I think phased retirements look better on paper than in reality.

 

[Lewis Clark]

I almost did this too, but it quickly became apparent that it was going to be what you describe -- and that I'd still be expected to put in more than my set hours, thus defeating the purpose. I think phased retirements look better on paper than in reality.

Depends on the situation.

I used to teach online classes at several colleges simultaneously. For my phased retirement I just reduced the number of colleges I was working for and only work for one of them today. My phased retirement is successful because I was actually able to reduce both the actual workload and everything else that was expected of me from my job(s).

For folks with one employer, trying to cut back to a reduced schedule might be much more difficult as you described.

 

[cnocmmz]

I'm at the verge of retiring - maybe by year end. My financials are fine - every model I run gives me confidence.

But I could stay at my job and make more money and preserve my retirement funds, and grow them more.

What things do you think of when it is time to make the decision? I don't really love my job, it is ok at best. But it pays well and it is not too stressful. And I'm worried that the fun of retirement will wear off in a few months.

I'd like to get some input on how people decide to give up certain income vs time to do whatever you want.

I understand! We are right behind you with DW walking away in April (66) and myself July just before my 60th birthday. The goal was to retire at 55; however, life happens.
Being retired military medical is not the issue and we have a good Guaranteed Gov pensions, disability, and SS, and 1MM in investments and cash. I guess I had the same feeling of "what to do next"? Although, after reading on this Blog for sometime now, most seem to be more busy in retirement than actually working lol.
Looking forward to it

Good luck to you

 

[geerman]

This is so true. I sometimes think wow I could go back and make x. But then I quickly realize screw that!

Love it.....my thoughts exactly!

 

[Retired Expat]

I know many people who upon deciding to retire were offered great opportunities elsewhere, had several myself. I also mostly loved what I did and couldn’t imagine not doing it. Used to say that I would have done my job for 1/2 the money.

But that was before retirement and rebuilding my life. Can safely say this “retirement” is so much better than I could have imagined and 2x better than my best day at work and 10x better than most of them! And remember I loved my job!

If retirement is just going to be one long day off from work, then you shouldn’t necessarily retire. If it is going to be a new life, new outlook, new stage I heartily recommend it.

 

[HI Bill]

bird in the hand bro - how much is a year of your life worth?

+1. And what would another year of working do for your lifestyle?

At 50, I was FI, but decided to w$rk another 3-4 years to double the travel budget, and perhaps buy a better house, rather than a condo. I'm glad I did, but at 53 3/4, I'm nearly at the end of what I'm willing to do for $.

I'm thinking that my ability to scuba dive and travel will be at their peak for me for the next 5-6 years, at a maximum. Giving those up 'best remaining dive/travel years' are not worth any extra $ to me, even if it means living in a condo, rather than a fancy house.

 

[Cayman]

A lot of good advice here.

Don't underestimate the impact that a blow to.your health - or someone's health who is important to you - will have on your life, your future.

As our dear friend 96 year old Bob says "retire to something. I don't care what it is, but have something to occupy your time that you enjoy and find meaningful or useful."

 

[LINYbob]

Well I've postponed my date until 2/21. I have a condo at a ski resort and I called up to make sure it was not rented out starting 1/6. But it was rented until 1/20 so I decided to work instead for the time being.

In early March I have a trip already planned to France and Italy so that kind of set my final date. No sense in coming back to work after that.

Over Christmas I went to a family gathering. One of my more distant relatives is a partner in a law firm. I have always asked him when he was planning on retiring - it certainly was not a money issue with him. He just said he liked work. Well when I saw him a week ago he was in a wheelchair and now has a home health aide, and can only speak in a whisper. I don't know exactly what happened but it was definitely since last year. Very sad.

So seeing something like that, I even more so get that it is not about the money.

 

[Musica40]

I'm at the verge of retiring - maybe by year end. My financials are fine - every model I run gives me confidence.

But I could stay at my job and make more money and preserve my retirement funds, and grow them more.

What things do you think of when it is time to make the decision? I don't really love my job, it is ok at best. But it pays well and it is not too stressful. And I'm worried that the fun of retirement will wear off in a few months.

I'd like to get some input on how people decide to give up certain income vs time to do whatever you want.

Retiring has been on my mind for quite some time. 60 years old, married and retired from the military. I work full time but recently I had a life changing experience that opened up my eyes. I was diagnosed with clogged arteries and I had to endure open heart surgery where they unclogged 4 arteries. The signs were there but I kept saying " No Way" this will happen to me. On Sep 6, 2019, I had a heart attack while on vacation in San Diego. I ignored the signs. After many tests, doctors said I needed bypass surgery. I went under the knife on 15 Nov 2019. A little over six weeks ago. My life perspective has changed. I realized tomorrow is not guaranteed and no matter how much money we have, once you die, you can't spend anymore. So the question is, do I want to live out my life now before I can't live the way I wish, or do I continue to work to FRA and then retire? Mind you that I already get pensions from the Air Force and the VA. Condo is paid off. No debt aside form a truck payment which we plan on paying off in the next 2-3 months. Is it worth retiring now all chance my health and continue working? Can't get these questions out of my head. My wife enjoy traveling and have intentions to continue traveling after we retire. We have also discussed purchasing an RV and hitting the road as well. Are these ideas crazy? Do we take the jump and retire? Do we continue saving for retirement? Opinions would be welcomed.

 

[RetMD21]

Well I've postponed my date until 2/21. I have a condo at a ski resort and I called up to make sure it was not rented out starting 1/6. But it was rented until 1/20 so I decided to work instead for the time being.

In early March I have a trip already planned to France and Italy so that kind of set my final date. No sense in coming back to work after

I guess I'm a slacker. Retiring in August 2020 but I don't have any trips planned. Are the "alumni cruises" really a good deal? I noticed that they are usually half off.

 

[HI Bill]

Retiring has been on my mind for quite some time. 60 years old, married and retired from the military. I work full time but recently I had a life changing experience that opened up my eyes. I was diagnosed with clogged arteries and I had to endure open heart surgery where they unclogged 4 arteries. The signs were there but I kept saying " No Way" this will happen to me. On Sep 6, 2019, I had a heart attack while on vacation in San Diego. I ignored the signs. After many tests, doctors said I needed bypass surgery. I went under the knife on 15 Nov 2019. A little over six weeks ago. My life perspective has changed. I realized tomorrow is not guaranteed and no matter how much money we have, once you die, you can't spend anymore. So the question is, do I want to live out my life now before I can't live the way I wish, or do I continue to work to FRA and then retire? Mind you that I already get pensions from the Air Force and the VA. Condo is paid off. No debt aside form a truck payment which we plan on paying off in the next 2-3 months. Is it worth retiring now all chance my health and continue working? Can't get these questions out of my head. My wife enjoy traveling and have intentions to continue traveling after we retire. We have also discussed purchasing an RV and hitting the road as well. Are these ideas crazy? Do we take the jump and retire? Do we continue saving for retirement? Opinions would be welcomed.

If your pensions and SS/<4% of your investments satisfy your spending needs, then NOT pursuing these ideas is crazy. As someone here said once, or sever times, the goal is not to be the richest one in the graveyard.

 

[Cayman]

Over Christmas I went to a family gathering. One of my more distant relatives is a partner in a law firm. I have always asked him when he was planning on retiring - it certainly was not a money issue with him. He just said he liked work. Well when I saw him a week ago he was in a wheelchair and now has a home health aide, and can only speak in a whisper. I don't know exactly what happened but it was definitely since last year. Very sad.

So seeing something like that, I even more so get that it is not about the money.

Right on. Our mortality trumps money. Sounds like he made the best choice for himself and his time here by doing what he enjoyed while he was able to.