First Day of Early Retirement 11-1-21!!!

[Ballhawker]

It's my first day! I pulled the rip cord at 55 after 30 years as a state employee, electing to take the reduced benefit rather than waiting for full pension at 62.

First day as a "pensioner" is 1-1-2022, with first pension check due to hit my account on 1-31-2022. I've got about $1.2m between my 457(b) account, Roth IRA and taxable accounts. The taxable accounts include some index funds and some high dividend stocks.

I've got a rental house that's paid off and my wife and I rent from her parents, which is a sweet deal. We have zero debt.

So my retirement income looks like this:
Pension: $5139/mo
Dividends: $2655/mo
Rental (net): $1700/mo

I won't be touching the principal on my accounts any time soon, or at least that's the plan.

My wife has elected to keep working at her state job (she has 22 years there), so I'm jumping over to mooch off of her health insurance . I've told her she can retire too after looking at the numbers, but she's not interested yet. She's 56 and I guess she still finds her job to be somewhat rewarding, or she just doesn't know what she'd do with herself if she walked away. She's not exactly thrilled I've retired, but she's not mad either, just neutral. I guess that'll have to do for now!

I'm planning on doing a little traveling, some volunteering, catch up on projects around the house and working on hobbies, such as photography, hiking, biking, reading, golf, disc golf, and gardening. I also want to take over more of the cooking duties.

For now I'm still in a state of shock. I can't believe this day is here. It seems almost too good to be true!

 

[finnski1]

Congrats. >$10k/month without your wife's pension and not even touching the 403b is fantastic.

 

[Ballhawker]

Thanks! Yes it seems we are "fine" financially, I'm feeling pretty confident about it. The only thing I'm a little unsure about is that with my wife still working, I hope there won't be an undercurrent of resentment there. My plan for this is to stay busy. If I keep the house clean and do some of the cooking, and am not sitting on the couch watching tv all day, I think she'll adjust to it pretty well.

 

[finnski1]

Thanks! Yes it seems we are "fine" financially, I'm feeling pretty confident about it. The only thing I'm a little unsure about is that with my wife still working, I hope there won't be an undercurrent of resentment there. My plan for this is to stay busy. If I keep the house clean and do some of the cooking, and am not sitting on the couch watching tv all day, I think she'll adjust to it pretty well.

Yes I did that too before DW retired. Sitting on the couch all day is the last thing I would want to do. We only turn the TV on at 7 or 8 pm to watch a British cop show or similar I do leave the classical music station on all day. Great and soothing background music.

 

[Luvtoride]

Ballhawker, congratulations and glad you could share your first day of retirement here! The part of your story I like best is your list of all the things you plan to do in retirement! Disc Golf...really? LOL. It sounds like you will have lots to keep you busy and that's the part to me that's key to retiring and enjoying your "freedom". Thanks for the inspiration. I will work on my list of things "to do" when I retire!

 

[Irishgirlyc58]

Congratulations!
I’ve worked with several women whose husbands retired before they did.
Their husbands cooked, cleaned, and took care of household issues.
These women enjoyed working even more with all of the extra work taken care of.

 

[Retireby45ish]

Congrats! Well done. Looks like a great plan! Enjoy each day of freedom!

 

[street]

WOW! That is great, the first day on your new job. It only gets better.

 

[mistermike40]

Congratulations!

 

[Ballhawker]

WOW! That is great, the first day on your new job. It only gets better.

Love this reply, thank you. I need to treat it as such! But what a lovely job it is, and I'm so grateful!

 

[flyingaway]

I guess your wife will have another pension to add to your income sources. Congratulations with no worry.

 

[whatnot]

Congratulations! Sounds like you have a great plan in place.

 

[ThunderFIRE]

Congrats! I start my retirement in 2 weeks and my wife is still planning to work until at least next June. Also worried about staying busy and resentment, but we have discussed it at length. At a minimum, I plan to get healthier...which will be a benefit to us both.

 

[Safire]

It's my first day! I pulled the rip cord at 55 after 30 years as a state employee, electing to take the reduced benefit rather than waiting for full pension at 62.

First day as a "pensioner" is 1-1-2022, with first pension check due to hit my account on 1-31-2022. I've got about $1.2m between my 457(b) account, Roth IRA and taxable accounts. The taxable accounts include some index funds and some high dividend stocks.

I've got a rental house that's paid off and my wife and I rent from her parents, which is a sweet deal. We have zero debt.

So my retirement income looks like this:
Pension: $5139/mo
Dividends: $2655/mo
Rental (net): $1700/mo

I won't be touching the principal on my accounts any time soon, or at least that's the plan.

My wife has elected to keep working at her state job (she has 22 years there), so I'm jumping over to mooch off of her health insurance . I've told her she can retire too after looking at the numbers, but she's not interested yet. She's 56 and I guess she still finds her job to be somewhat rewarding, or she just doesn't know what she'd do with herself if she walked away. She's not exactly thrilled I've retired, but she's not mad either, just neutral. I guess that'll have to do for now!

I'm planning on doing a little traveling, some volunteering, catch up on projects around the house and working on hobbies, such as photography, hiking, biking, reading, golf, disc golf, and gardening. I also want to take over more of the cooking duties.

For now I'm still in a state of shock. I can't believe this day is here. It seems almost too good to be true!

Congratulations, sir!!!!

Out of curiosity, may I know what stocks or bonds or mutual funds / ETFs constitute your dividend portfolio? I'm salivating over that large dividend you're generating that gives you such a large monthly "income". I am looking to build a large enough dividend portfolio to serve as "monthly income", especially eventually for my disabled son after we've exited the Planet and any advice you can give me is very gratefully appreciated.

BTW, are your numbers all after tax? If not, so you have a sinking "tax fund"?

Thanks again for sharing!

 

[pdxgal]

Thanks! If I keep the house clean and do some of the cooking, and am not sitting on the couch watching tv all day, I think she'll adjust to it pretty well.

A model ER'd spouse IMO Congrats, you're in a great spot financially and mentally, sounds like. Have fun!

 

[Dtail]

Congrats and welcome to the wonderful next stage of your life.

 

[Katiek]

Congratulations!

 

[skyking1]

Congratulations and thank you for sharing.

 

[ImThinkin2019]

Congratulations Ballhawker! My date was 14 October 2021 so about 2 weeks before you.

So far, so good. I am helping with grandchildren, cooking, and getting caught up on all the unfinished projects that we started over the years.

 

[Pellice]

Congratulations! And housework is not all horrible. You develop a relationship with your home. The results are immediate and gratifying. The process can be calming. And it doesn't take concentration, so you're free to listen to audiobooks, music, podcasts, sports, whatever while you do it. A St. Louis Cardinals radio game while gardening in late afternoon, along with a beer - most therapeutic! (If they're winning.)

 

[EastWest Gal]

I listen to music, audiobooks, and podcasts while doing housework and decluttering. It’s amazing how much gets done. Also a beverage helps (even plain seltzer.)

 

[Aerides]

If I keep the house clean and do some of the cooking, and am not sitting on the couch watching tv all day, I think she'll adjust to it pretty well.

That should work. If the housework has always been her domain, some thoughts:

Pay attention first to her definition of "clean" which is probably not the same as yours (any two people). Ask her to show you anything you're not sure of - don't let her come home to a broken dishwasher lol!

Some things she might not want to delegate, others she'll be glad to. But don't put the burden on her to assign you tasks or expect praise when you do them.

Pro-tip: prioritize the kitchen. Clean counters, sink empty of dishes, etc. (unless you're in the middle of cooking dinner).

 

[brett]

No rush whatsoever. Upgraded to 10 fourteen months ago.

As a light user I see no particular reason to upgrade.

As a matter of course, after years in the IT industry, my practice is always to wait. There is no percentage in being on the bleeding edge.

 

[Ballhawker]

Congratulations, sir!!!!

Out of curiosity, may I know what stocks or bonds or mutual funds / ETFs constitute your dividend portfolio? I'm salivating over that large dividend you're generating that gives you such a large monthly "income". I am looking to build a large enough dividend portfolio to serve as "monthly income", especially eventually for my disabled son after we've exited the Planet and any advice you can give me is very gratefully appreciated.

BTW, are your numbers all after tax? If not, so you have a sinking "tax fund"?

Thanks again for sharing!

Hi there and thanks! Sorry, I don't have any advice to give- I'm just a novice investor and I don't ever want to lead anyone the wrong direction. As they say, do your own due diligence.

My high dividend portfolio is mostly in three categories, oil services, big pharma, and REITs. I'm currently invested in the following dividend stocks:
SHLX, MMP, EPD, STWD, WPC, ABBV, PFE, MO, SUNS.

I also hold large chunks of VTI, VIG, VT, QQQM, a small chunk of IWN, and very small positions in a few growth stocks: BNGO, FCEL, DARE, FUBO.

No this is all pre-tax income, so I will need to account for that in my expenses.

Good luck with your plan!

 

[Ballhawker]

Congratulations Ballhawker! My date was 14 October 2021 so about 2 weeks before you.

So far, so good. I am helping with grandchildren, cooking, and getting caught up on all the unfinished projects that we started over the years.

Thank you and congrats to you too! I've got a lot of gardening ahead of me and a disaster in the garage that needs my attention. Lots of things to keep busy with, and in the process end up with a much nicer home environment.