After reading and lurking here a good bit, and reading some books and articles about "early retirement", I decided to try one approach that was in a book. I'm a shareholder in a law firm. At the end of last year, I worked out a deal where I would take 75% compensation in return for more time off. It kind of worked out that 75% would be about 12 or 13 weeks off, instead of 3 or 4, plus the normal holidays. The plan was to spend about half the summer at a 2d home we have in the mountains.
It hasn't worked out well. During the 1st quarter of the year, I worked normall hours, but got paid 75% of what the other partners/shareholders got paid. Life was good, cash flow was good.
Starting in late April, I took a couple of weeks off, with the plan being to work 2 or 3 weeks, go away for 2 weeks or so, etc. That went pretty smoothly.
Then, my wife and I planned the next 2 weeks off, in late May, early June. That went fairly smoothly. No complaints.
The 3d time we were supposed to go away for 2 weeks did not go smoothly. A judge wanted me here for a trial that didn't happen and another judge wanted me somewhere in late July for another trial. I got my 2 weeks off, but spent several of those days preparing for a trial.
Cash flow dropped off. The other senior guy was also taking a good bit of time off, but he hadn't agreed to reduced compensation. We missed a bunch of our normal weekly draws. Although it was unspoken, some cracks were made that suggested it was my fault for being gone.
Now, we want to take another 2 weeks and can't because of another judge. So much for working half the summer.
The stress and inconvenience of trying to work full time in the 1st and 4th quarters, but kind of half time in the 2d and 3d quarters doesn't work. It just turns out to be impossible to accomodate client's schedules and court schedules and my schedule.
Our thought now is to pull the plug on April 1 next year-I'll be 18 months from medicare and can cobra or do something else. I'm seriously considering right now to make it January 1.
One of you folks posted last year or early this year that it sounded like a bad deal for me. You were right. I should have listened. I'm listening now! What I really got was reduced compensation, increased stress and less time off than I wanted. It just didn't work, so now I'm looking at plan D or E or something.
It hasn't worked out well. During the 1st quarter of the year, I worked normall hours, but got paid 75% of what the other partners/shareholders got paid. Life was good, cash flow was good.
Starting in late April, I took a couple of weeks off, with the plan being to work 2 or 3 weeks, go away for 2 weeks or so, etc. That went pretty smoothly.
Then, my wife and I planned the next 2 weeks off, in late May, early June. That went fairly smoothly. No complaints.
The 3d time we were supposed to go away for 2 weeks did not go smoothly. A judge wanted me here for a trial that didn't happen and another judge wanted me somewhere in late July for another trial. I got my 2 weeks off, but spent several of those days preparing for a trial.
Cash flow dropped off. The other senior guy was also taking a good bit of time off, but he hadn't agreed to reduced compensation. We missed a bunch of our normal weekly draws. Although it was unspoken, some cracks were made that suggested it was my fault for being gone.
Now, we want to take another 2 weeks and can't because of another judge. So much for working half the summer.
The stress and inconvenience of trying to work full time in the 1st and 4th quarters, but kind of half time in the 2d and 3d quarters doesn't work. It just turns out to be impossible to accomodate client's schedules and court schedules and my schedule.
Our thought now is to pull the plug on April 1 next year-I'll be 18 months from medicare and can cobra or do something else. I'm seriously considering right now to make it January 1.
One of you folks posted last year or early this year that it sounded like a bad deal for me. You were right. I should have listened. I'm listening now! What I really got was reduced compensation, increased stress and less time off than I wanted. It just didn't work, so now I'm looking at plan D or E or something.